Work Opportunity Tax Credit Remaining Funding Allotments for Fiscal Year 2025

Background
The Work Opportunity Tax Credit (WOTC) is a federal tax credit program administered by the U.S. Department of Labor's Employment and Training Administration (ETA). It aims to incentivize the hiring of individuals from certain target groups who face significant barriers to employment. This grant opportunity announces the availability of WOTC funding allotments for Fiscal Year 2025, providing states with the necessary resources to conduct WOTC activities and manage grant applications.

Grant Details
The total FY 2025 funding allotment for WOTC is $18,485,000, which includes a remaining balance of $10,129,780 available for states after initial distributions. States are required to submit applications for funding as outlined in Attachment I of the TEGL. The funding will support state workforce agencies (SWAs) in administering WOTC activities as per the WOTC Statement of Work. Additionally, ETA intends to distribute system modernization awards to 29 states identified as having critical needs for improving their information technology systems related to processing certification requests and alleviating backlogs. The awards will be tiered based on state needs: Tier 1 ($50,000), Tier 2 ($75,000), and Tier 3 ($100,000). Grantees must report fiscal expenditures quarterly using ETA Form 9130 and performance outcomes using ETA Form 9058.

Eligibility Requirements
Eligible applicants include State Workforce Agencies (SWAs) that are responsible for administering the WOTC program. States selected for additional backlog award funding must demonstrate a critical need for system modernization and improvement in processing capabilities.

Period of Performance
The period of performance extends throughout Fiscal Year 2025, with specific application requirements mandating submission within 30 calendar days from the issuance date of this TEGL.

Grant Value
The total value of the grant opportunity is $18,485,000 for FY 2025, with individual state allotments varying based on a formula that considers previous fiscal year data and specific state needs.

Place of Performance
The grant will be performed across various states in the United States as specified in Attachment I of the TEGL.