States with STC Programs Applying for Grants

CLASSIFICATION
EMPLOYMENT AND TRAINING ADMINISTRATION
ADVISORY SYSTEM
U.S. DEPARTMENT OF LABOR
Washington, D.C. 20210

UI

CORRESPONDENCE SYMBOL

OUI/DUIO
DATE

May 10, 2020

ADVISORY:

UNEMPLOYMENT INSURANCE PROGRAM LETTER NO. 22-20

TO:

STATE WORKFORCE AGENCIES

FROM:

JOHN PALLASCH
Assistant Secretary

SUBJECT:

Coronavirus Aid, Relief, and Economic Security (CARES) Act of 2020 –
Short-Time Compensation (STC) Program Grants.

1. Purpose. To encourage and assist states in applying for grant funds for STC programs and
issue guidance on the process to apply for the grants provided for under Section 2110 of the
CARES Act, which supports the Secretary of Labor’s (Secretary’s) commitment to provide
resources and assistance during re-opening of businesses and help employers and workers
avert layoffs.
2. Action Requested. The U.S. Department of Labor’s (Department) Employment and
Training Administration (ETA) requests that State Workforce Agency Administrators
provide information contained in this Unemployment Insurance Program Letter (UIPL) to
appropriate staff.
3. Summary and Background.
a. Summary – On March 27, 2020, the President signed into law the CARES Act, which
was designed to mitigate the economic effects of the COVID-19 pandemic in a variety
of ways. The CARES Act includes the Relief for Workers Affected by Coronavirus Act
set out in Title II, Subtitle A. The UI-related provisions are summarized in UIPL No.
14-20, Coronavirus Aid, Relief, and Economic Security (CARES) Act of 2020 –
Summary of Key Unemployment Insurance (UI) Provisions and Guidance Regarding
Temporary Emergency State Staffing Flexibility, issued on April 2, 2020. The STCrelated provisions are summarized in UIPL No. 21-20, Coronavirus Aid, Relief, and
Economic Security (CARES) Act of 2020 – Short-Time Compensation (STC) Program
Provisions and Guidance Regarding 100 Percent Federal Reimbursement of Certain
State STC Payments, issued on May 3, 2020.
Section 2110 provides up to $100 million for grants to states with STC programs in their
laws that conform to the requirements of section 3306(v), Federal Unemployment Tax
Act (FUTA) (26 U.S.C. § 3306(v)). Grants are available for the implementation or

RESCISSIONS

None

EXPIRATION DATE

Continuing

improved administration of an STC program, and for the promotion of the program and
enrollment of employers in an STC program. The Secretary may use up to $250,000 of
the $100 million to provide outreach and to share best practices for STC programs. The
deadline to apply for these grants is December 31, 2023.
This UIPL provides guidance and instructions regarding the process to apply for these
grants and encourages eligible states to submit STC grant applications. Attachment I
provides the language in Section 2110, Grants for Short-Time Compensation Programs.
Attachment II contains an application checklist states can use while completing the STC
grant application(s). Attachment III provides the STC grant Quarterly Progress Report
(QPR). Attachment IV lists the Short-Time Compensation (STC) Grant amounts
available by state. Finally, Attachment V provides the instructions for Completing the
SF-424 (Application for Federal Assistance) and SF-424A (Budget Information for NonConstruction Programs).
b. Background – The STC program (also known as “worksharing” or “shared work”) is a
lay-off aversion program in which an employer, under a state-approved plan, reduces the
hours for a group of workers and these workers in turn receive a reduced unemployment
benefit payment. In the context of re-opening businesses closed temporarily by a pandemic,
STC can also serve as a means of bringing most or all of a temporarily laid-off workforce
back to the job, even if social-distancing measures, a decline in business, or other factors
prevent operating at full staffing levels full time. Specifically, this benefit may be made
available to individuals returning to work with reduced hours who worked for the employer
prior to the temporary lay-off due to COVID-19. This program preserves employees’ jobs
and employers’ trained workforces during a disruption to firms’ regular business activity
by reducing hours of work for an entire group of affected employees, rather than by
laying off some employees while others continue to work full time. The STC benefit
payment cushions the adverse effect of the reduction in business activity on employees
and employers, by maintaining the connection between employees and employers,
ensures that these workers will be available to resume prior employment when business
demand increases, and allows businesses to gradually ramp up operations and re-open.
Federal requirements concerning the STC program are found in the definition of STC in
section 3306(v), FUTA (26 U.S.C. § 3306(v)). Employer participation in an STC
program is voluntary. An employer must submit a written plan to the state
unemployment compensation (UC) agency, which is subject to the state’s approval. The
employer’s plan must specify the percentage reduction in the workweek for affected
employees and be consistent with employer obligations under applicable federal and state
laws. Employers must maintain (to the same extent as other employees not participating
in the STC program) health benefits and retirement benefits under Sections 414(i) and (j)
of the Internal Revenue Code (IRC) (26 U.S.C. §§ 414(i) and (j)) for employees in the
affected unit, despite the reduced hours. An employee must be available for his or her
workweek to meet the “able and available for work” requirements.
4. Eligibility for Grants. Section 2110(d) of the CARES Act, requires that STC grant funds be
used for two distinct purposes: (1) an eligible state may receive a grant to fund the
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implementation or improved administration of an STC program; and/or (2) an eligible state
that has submitted a plan for a grant for implementation or improved administration may also
receive a grant to promote and enroll employers in its STC program.
To qualify for an STC grant, a state’s UC law must be certified under Section 3304, FUTA,
(26 U.S.C. § 3304) and under Section 303, Social Security Act (SSA) (42 U.S.C. § 503). In
addition, the state must meet the following two criteria: (1) the state has an STC law that
conforms to Section 3306(v), FUTA; and (2) the state STC program is not subject to
discontinuation. To qualify for an STC grant to promote and enroll employers in its STC
program, the state must have submitted a plan for a grant for implementation or improved
administration of its STC program.
For a state that has a new STC law there is one additional criterion. The state STC program
must be scheduled to take effect within 12 months of the date of the Secretary’s certification
to the U.S. Department of Treasury (Treasury) to permit a transfer of funds for the STC grant
award.
5. Amount of Grants. The total amount available in grant funds is $99,750,000: $100,000,000
less $250,000, which the Secretary may use to provide outreach and share best practices for
STC programs. Each state’s share of the STC grants is calculated as provided under Section
2110(b)(1) of the CARES Act:
[To] be equal to the amount obtained by multiplying $100,000,000 (less the
amount used by the Secretary under subsection (e)) by the same ratio as would
apply under subsection (a)(2)(B) of section 903 of the Social Security Act (42
U.S.C. 1103) for purposes of determining such State’s share of any excess
amount (as described in subsection (a)(1) of such section) that would have
been subject to transfer to State accounts, as of October 1, 2019, under the
provisions of subsection (a) of such section.
This means each state’s share is based on its proportionate share of FUTA taxable wages
multiplied by the $99,750,000. (See Attachment IV). As noted above, states may apply for
one or two STC grants. Of the total amount available to each state, the following conditions
apply:
•
•

One-third of the total STC grant funds available to the state are for implementation or
improved administration of the STC program; and
Two-thirds of the total STC grant funds available to the state are for promotion of the
STC program and enrollment of employers in the program.

Note: If a state applies for both of these grants, the state must track and account for each
grant separately as described in Section 7 of this UIPL.
6. Use of Grant Funds. Section 2110(d) of the CARES Act requires that STC grant funds be
used for the implementation or improved administration of state STC programs, and for
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promotion and enrollment efforts associated with such programs. Funds awarded under these
grants may be used for activities such as:
•
•
•

The creation and support of Rapid Response teams to advise employers about
alternatives to layoffs, including STC;
The provision of education or assistance to employers to enable them to assess the
feasibility of participating in STC programs; and
The development or enhancement of systems to automate submission and approval of
plans and to automate the filing and approval of new and ongoing STC claims.

In developing an STC grant application, the Department strongly encourages state UI
agencies to collaborate with Workforce Innovation Opportunity Act (WIOA) Rapid
Response teams because they share states’ goal of layoff aversion and there may be an
opportunity to leverage resources.
Funds may only be used to support those specific activities that were proposed in the
approved STC grant application. If a state wants to expand or modify the approved STC
grant activities, the state must submit a request for modification to the ETA National Office,
with a copy to the appropriate ETA Regional Office.
7. Reporting. Section 303(a)(6) of the SSA requires states, as a condition for receiving
administrative grants, to provide reports to the Secretary. In addition, Section 2110(h) of the
CARES Act allows the Secretary to establish reporting requirements for states receiving an
STC grant in order to provide oversight of grant funds. As a condition of receiving an STC
grant, the state must adhere to the reporting requirements as described in this section.
A state that receives STC grant(s) must submit an STC grant Quarterly Progress Report
(QPR) (Attachment III) for each grant. The purpose of the STC grant QPR is to track STC
grant activities and ensure that the state achieves the goals set forth in the STC grant
application. The STC Grant QPR has five sections for the state to document quarterly STC
grant activities: (i) implementation and/or improved administration, (ii) promotion and
enrollment, (iii) outcomes (i.e., number of averted layoffs, number of reduced hours, UI
payments by sector/firm/size, etc.), (iv) success stories, and (v) technical assistance needed.
ETA will monitor the state's quarterly progress using the STC Grant QPR and will match it
against the timeline for achieving goals submitted in the STC grant application.
The report is due 45 days after the end of each quarter (i.e., November 14, February 14, May
15, and August 14). If a state fails to submit the STC Grant QPR and/or is not meeting the
timeline for achieving goals established for STC grant implementation as approved in the
application, the STC grant may be subject to recoupment as described in Section 9 of this
UIPL.
For a state with approved STC grant applications, subaccounts will be established in its
Unemployment Trust Fund (UTF) account for each grant type, which must be used only for
the purpose(s) outlined in the approved grant application. After the Department provides
certification of the approved grant(s) and the amount of the grant(s) to Treasury, then
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Treasury will transfer the appropriate amount(s) to the subaccounts. ETA will advise the
state of the total STC grant award(s) and the amount(s) awarded along with the purpose of
the grant(s) through an award letter.
After the award(s), the following reports will be required for all STC transactions involving
the UTF subaccounts:
1. ETA 8403 (Summary of Financial Transaction, Title IX Funds, OMB No. 12050154); and
2. ETA 2112 (UI Financial Transaction Summary, OMB No. 1205-0154) on lines
15 (Title IX or Special Legislation) and 44 (Title IX or Special Legislation). The
transactions should be identified by amount and program type, as appropriate, in
the comments section.
8. Grant Application. The STC grant application must be consistent with Section 2110 of the
CARES Act and requirements outlined in this guidance.
States must perform STC program duties and functions in accordance with the Uniform
Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards
(Uniform Guidance) at 2 C.F.R. Part 200 and 2 C.F.R. 2900 applicable to all grants and
cooperative agreements. Additionally, the Department’s administrative requirements for
grants and cooperative agreements at 29 C.F.R. Parts 31, 32, 38, and 98 apply to grant funds
provided for these activities. The FY 2020 grant terms and conditions are available at:
https://www.dol.gov/sites/dolgov/files/ETA/grants/pdfs/2020_Terms_Template.pdf
Section 2l10(a)(3)(A) of the CARES Act directs the Secretary to develop eligibility criteria
for these grants; this guidance sets forth these criteria. In addition, section 2l10(c)(1) of the
CARES Act directs the Secretary to develop the manner of the application for these grants
and the Department provides an STC application checklist in Attachment II to help states
develop their applications and encourages states to use the checklist to ensure their STC grant
applications are complete when they submit them to the Department. STC grant applications
must be complete and submitted by December 31, 2023.
To be complete, applications must be submitted with a cover letter signed and dated by the
state administrator and include the name, telephone number, and e-mail address of the state
STC program contact. The following details should be included with the application:
a. A copy of the state STC law along with an explanation of how the law conforms to
Section 3306(v), FUTA;
b. If the state is applying for a grant to implement or improve administration of the state
STC program, the state must submit a narrative description of the funding request and
a detailed project plan. This project plan must include a quarterly timeline for all of
the implementation/improvement activities for the STC program, including:
i.
A description of any planned infrastructure implementation or
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ii.

improvements (e.g., information technology system(s) or operational
upgrades) that the state has identified to automate or improve the
submission and approval of STC employer plans and initial and continued
STC claims; and
A description of any plans to hire and train STC staff for STC program
implementation.

c. If the state is applying for a grant to promote the STC program and enroll employers
in it, the state must submit a narrative description of the funding request and a
detailed project plan. This project plan must include a quarterly timeline for
promotion and enrollment activities for the STC program, as well as:
i.
A description of any plans to create or improve support of Rapid Response
teams to advise employers about alternatives to layoffs;
ii.
A description of education or assistance that will be provided to employers
to enable them to participate in the STC program; and
iii.
A description of STC program outreach tools and efforts to be funded
through the grant.
d. A description of the state's quarterly and cumulative goals (i.e., interim milestones
and timelines for all grant activities) and desired outcomes for the STC program,
which may include, but are not limited to:
1. Outreach efforts and partnerships established to increase employer STC
program usage (e.g., Labor Organizations, Rapid Response teams, and
workforce system Business Services Representatives);
2. Number of STC employer plans established; and
3. Number of anticipated layoffs averted.
e. A description (or copy) of the written agreements or Memoranda of Understanding
(MOU) between the UI agency and appropriate workforce system partners, such as
WIOA Rapid Response, Workforce System Business Service Representatives, and
State/Local Workforce Investment Area(s), to develop a coordinated plan to avert
layoffs;
f. A description of how the state will sustain the activities that were funded by the STC
grant(s). This may include leveraging WIOA Rapid Response grant funds to support
promotion and enrollment activities or better coordination of WIOA Business
Services teams, Rapid Response teams, and other state agencies with business
engagement and outreach efforts.
g. The following assurances:
i. That the state will expend the awarded funds in accordance with the
requirements of the STC grant(s);
ii. That the state will submit required reports on STC activities;
iii. That the state will recover any STC overpayments in accordance with the
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iv.

state UC law; and
That the state will develop processes for auditing and monitoring STC
employers’ adherence to the state-approved STC employer plan and STC
payments.

A STC grant application must address all the requirements outlined above and be submitted
on or before December 31, 2023. Attachment II includes an application checklist to help the
state with development of its application.
Section 2110(c)(2) of the CARES Act requires the Secretary to notify the state of whether the
requirements for a grant have been met within 30 days from the date a complete application
is received. The 30-day period begins on the day following actual receipt of a complete
application.
States should submit completed grant application(s) by electronic submission to the National
Office at STC_Applications@dol.gov, with a copy to the appropriate ETA Regional Office.
9. Recoupment of STC Grants. Section 2110(f) of the CARES Act requires the Secretary to
establish a process under which the Secretary will recoup the STC grant funds if, during the
five-year period beginning on the first date that the grant is awarded, the state either
terminates the state’s STC program, or fails to meet the requirements of the STC program.
The Secretary’s determination to recoup a grant will be based on the State’s law and its
implementation of the law, including reviews of state legislation to ensure the state is
maintaining a program meeting the requirements of section 3306(v) of FUTA. The
Department will follow Uniform Guidance at 2 CFR Part 200 and 2 CFR 2900 in recouping
any grant funds, if necessary.
10. Technical Assistance. The Department developed its STC website to provide the states with
resources and tools. The STC website is located at https://stc.workforcegps.org/. The
following is a short list of the material on the website:
•
•
•
•
•

STC Guidance and Model Legislation;
Resources for Developing a State Program;
Business Outreach Templates and Materials;
STC Summit Presentations and information provided at the Summit; and
Resource library containing sample STC state documents and links to other resources.

Section 2110(e) of the CARES Act authorizes the Secretary “to use 0.25 percent of funds
available under subsection (g) to provide for outreach and to share best practices with respect
to short-time compensation programs.” The Department will develop a webinar to provide
states with examples of successful practices involving STC program implementation and
outreach tools developed as a result of these STC grants and will post information on the UI
Community of Practice web site. Additional resources and tools will also be added to the
STC website, as appropriate.

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11. Inquiries. States should direct inquiries to STC_Applications@dol.gov and copy the
appropriate ETA Regional Office.
12. References.
•

•
•
•
•
•
•

•

•

•

Sections 2108-2111 of the Coronavirus Aid, Relief, and Economic Security (CARES)
Act, Pub. L. 116-136, including Title II, Subtitle A, Relief for Workers Affected by
Coronavirus Act;
Sections 3304(a)(5) and 3306(v) of the Federal Unemployment Tax Act (FUTA);
Section 303(a)(6) of the Social Security Act (SSA);
20 CFR Part 665, subpart C, Rapid Response Activities;
2 CFR Parts 200 and 2900;
29 CFR Parts 31, 32, 38, and 98;
UIPL No. 21-20, Coronavirus Aid, Relief, and Economic Security (CARES) Act of
2020 – Short-Time Compensation (STC) Program Provisions and Guidance
Regarding 100 Percent Federal Reimbursement of Certain State STC Payments,
issued on May 3, 2020, https://wdr.doleta.gov/directives/corr_doc.cfm?DOCN=9622.
UIPL No. 14-20, Coronavirus Aid, Relief, and Economic Security (CARES) Act of
2020 – Summary of Key Unemployment Insurance (UI) Provisions and Guidance
Regarding Temporary Emergency State Staffing Flexibility, issued on April 2, 2020,
https://wdr.doleta.gov/directives/corr_doc.cfm?DOCN=3390.
UIPL No. 12-01, Change l, Outsourcing of Unemployment Compensation
Administrative Functions-Claims Taking, issued on November 26, 2007,
https://wdr.doleta.gov/directives/corr_doc.cfm?DOCN=2558; and
Training and Employment Guidance Letter (TEGL) No. 12-09, Joint Guidance for
Stales Seeking to Implement Subsidized Work-Based Training Programs for
Unemployed Workers, issued January 29. 2010,
https://wdr.doleta.gov/directives/corr_doc.cfm?DOCN=2712.

13. Attachment(s).
•
•
•
•
•

Attachment I – Section 2110 of the Coronavirus Aid, Relief, and Economic Security
(CARES) Act,
Attachment II - Short-Time Compensation (STC) Application Checklist
Attachment III - Short-Time Compensation (STC) Grant Quarterly Progress Report
(QPR)
Attachment IV- Short-Time Compensation (STC) Grants – Amounts
Attachment V- Instructions for Completing the SF-424 and SF-424A

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Attachment I to UIPL No. 22-20
Statutory Language of Section 2110 of the
Coronavirus Aid, Relief, and Economic Security (CARES) Act of 2020
SEC. 2110. GRANTS FOR SHORT-TIME COMPENSATION PROGRAMS.
(a) GRANTS.—
(1) FOR IMPLEMENTATION OR IMPROVED ADMINISTRATION.—The Secretary
shall award grants to States that enact short-time compensation programs (as defined in
subsection (i)(2)) for the purpose of implementation or improved administration of such
programs.
(2) FOR PROMOTION AND ENROLLMENT.—The Secretary shall award grants to
States that are eligible and submit plans for a grant under paragraph (1) for such States to
promote and enroll employers in short-time compensation programs (as so defined).
(3) ELIGIBILITY.—
(A) IN GENERAL.—The Secretary shall determine eligibility criteria for the
grants under paragraphs (1) and (2).
(B) CLARIFICATION.—A State administering a short-time compensation
program that does not meet the definition of a short-time compensation program
under section 3306(v) of the Internal Revenue Code of 1986, and a State with an
agreement under section 2109, shall not be eligible to receive a grant under this
section until such time as the State law of the State provides for payments under a
short-time compensation program that meet such definition and such law.
(b) AMOUNT OF GRANTS.—
(1) IN GENERAL.—The maximum amount available for making grants to a State under
paragraphs (1) and (2) shall be equal to the amount obtained by multiplying
$100,000,000 (less the amount used by the Secretary under subsection (e)) by the same
ratio as would apply under subsection (a)(2)(B) of section 903 of the Social Security Act
(42 U.S.C.1103) for purposes of determining such State’s share of any excess amount (as
described in subsection (a)(1) of such section) that would have been subject to transfer to
State accounts, as of October 1, 2019, under the provisions of subsection (a) of such
section.
(2) AMOUNT AVAILABLE FOR DIFFERENT GRANTS.—Of the maximum incentive
payment determined under paragraph (1) with respect to a State—
(A) one-third shall be available for a grant under subsection (a)(1); and
(B) two-thirds shall be available for a grant under subsection (a)(2).
(c) GRANT APPLICATION AND DISBURSAL.—
(1) APPLICATION.—Any State seeking a grant under paragraph (1) or (2) of subsection
(a) shall submit an application to the Secretary at such time, in such manner, and
complete with such information as the Secretary may require. In no case may the
Secretary award a grant under this section with respect to an application that is submitted
after December 31, 2023.
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(2) NOTICE.—The Secretary shall, within 30 days after receiving a complete
application, notify the State agency of the State of the Secretary’s findings with respect to
the requirements for a grant under paragraph (1) or (2) (or both) of subsection (a).
(3) CERTIFICATION.—If the Secretary finds that the State law provisions meet the
requirements for a grant under subsection (a), the Secretary shall thereupon make a
certification to that effect to the Secretary of the Treasury, together with a certification as
to the amount of the grant payment to be transferred to the State account in the
Unemployment Trust Fund (as established in section 904(a) of the Social Security Act
(42 U.S.C. 1104(a))) pursuant to that finding. The Secretary of the Treasury shall make
the appropriate transfer to the State account within 7 days after receiving such
certification.
(4) REQUIREMENT.—No certification of compliance with the requirements for a grant
under paragraph (1) or (2) of subsection (a) may be made with respect to any State whose—
(A) State law is not otherwise eligible for certification under section 303 of the
Social Security Act (42 U.S.C. 503) or approvable under section 3304 of the
Internal Revenue Code of 1986; or
(B) short-time compensation program is subject to discontinuation or is not
scheduled to take effect within 12 months of the certification.
(d) USE OF FUNDS.—The amount of any grant awarded under this section shall be used for the
implementation of short-time compensation programs and the overall administration of such
programs and the promotion and enrollment efforts associated with such programs, such as
through—
(1) the creation or support of rapid response teams to advise employers about alternatives
to layoffs;
(2) the provision of education or assistance to employers to enable them to assess the
feasibility of participating in short-time compensation programs; and
(3) the development or enhancement of systems to automate—
(A) the submission and approval of plans; and
(B) the filing and approval of new and ongoing short-time compensation claims.
(e) ADMINISTRATION.—The Secretary is authorized to use 0.25 percent of the funds available
under subsection (g) to provide for outreach and to share best practices with respect to this
section and short-time compensation programs.
(f) RECOUPMENT.—The Secretary shall establish a process under which the Secretary shall
recoup the amount of any grant awarded under paragraph (1) or (2) of subsection (a) if the
Secretary determines that, during the 5-year period beginning on the first date that any such grant
is awarded to the State, the State—
(1) terminated the State’s short-time compensation program; or
(2) failed to meet appropriate requirements with respect to such program (as established
by the Secretary).
(g) FUNDING.—There are appropriated, out of moneys in the Treasury not otherwise
appropriated, to the Secretary, $100,000,000 to carry out this section, to remain available without
fiscal year limitation.

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(h) REPORTING.—The Secretary may establish reporting requirements for States receiving a
grant under this section in order to provide oversight of grant funds.
(i) DEFINITIONS.—In this section:
(1) SECRETARY.—The term “Secretary” means the Secretary of Labor.
(2) SHORT-TIME COMPENSATION PROGRAM.— The term “short-time
compensation program” has the meaning given such term in section 3306(v) of the
Internal Revenue Code of 1986.
(3) STATE; STATE AGENCY; STATE LAW.—The terms “State”, “State agency”, and
“State law” have the meanings given those terms in section 205 of the Federal-State
Extended Unemployment Compensation Act of 1970 (26 U.S.C. 3304 note).

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Attachment II to UIPL No. 22-20
SHORT-TIMECOMPENSATION (STC) APPLICATION CHECKLIST
This checklist will help states complete applications for an STC grant under Section 2110 of the
Coronavirus Aid, Relief, and Economic Security Act to the Secretary of Labor. The use of this checklist
is not mandatory, but its use is recommended to ensure completeness of the state’s application.
Check List Item
Y N
NA Remarks
Cover letter signed and dated by the state
administrator
Name, telephone number, e-mail address of state
STC program contact
a. Copy of the state STC law along with an
explanation of how the law conforms to Section
3306(v), Federal Unemployment Tax Act.
b. If the state is applying for a grant to implement
or improve administration of the state STC
program, the state must submit a narrative
description of the funding request and a detailed
project plan. This project plan must include:
i. A quarterly timeline for all of the
implementation/improvement activities
for the STC program including:
ii. A description of any infrastructure
implementation or improvements (e.g.,
information technology system(s) or
operational upgrades) that the state has
identified to automate or to improve the
submission and approval of STC
employer plans and initial and continued
STC claims; and
iii. A description of any plans to hire and
train STC staff for STC program
implementation.
c. If the state is applying for a grant to promote
and enroll employers in the STC program, the
state must submit a narrative description of the
funding request and a detailed project plan.
This project plan must include a quarterly
timeline for promotion and enrollment activities
for the STC program, as well as:
i. A description of any plans to create or
improve support of Rapid Response
teams to advise employers about
alternatives to layoffs;
ii. A description of education or assistance
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d.

e.

f.

g.

that will be provided to employers to
enable them to participate in the STC
program; and
iii. A description of STC program outreach
tools and efforts to be funded through the
grant.
Description of the state's quarterly and
cumulative goals (i.e., interim milestones
necessary to meet the timelines for all grant
activities) and desired outcomes for the STC
program, which may include, but are not limited
to:
i. Outreach efforts and partnerships
established to increase employer STC
program awareness (e.g., Labor
Organizations, Rapid Response teams,
and workforce system Business Services
Representatives);
ii. Increased awareness by employers
educated or contacted about the STC
program;
iii. Improved skills and knowledge on the
part of UI and workforce system staff
trained about STC program activities;
iv. Number of STC employer plans
established; and
v. Number of anticipated layoffs averted.
Description (or copy) of the written agreements
or Memoranda of Understanding (MOU)
between the UI agency and appropriate
workforce system partners, such as WIOA
Rapid Response, Workforce System Business
Service Representatives, and State/Local
Workforce Investment Area(s), to develop a
coordinated plan to avert layoffs;
Description of how the state will sustain the
activities that were funded by the STC grant(s)
activities. This may include leveraging WIOA
Rapid Response grant funds to support
promotion and enrollment activities to
encourage employers to participate in the STC
program.
Provide the following assurances:
i. An assurance that the state will expend
the awarded funds in accordance with the
requirements of the STC grant(s);
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ii. An assurance that the state will submit
required reports on STC activities;
iii. An assurance that the state will recover
any STC overpayments in accordance
with the state UC law; and
iv. An assurance that the state will develop
processes for auditing and monitoring
STC employers’ adherence to the stateapproved STC employer plan and STC
payments.

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Attachment III to UIPL No. 22-20
Short-Time Compensation (STC) Grant Quarterly Progress Report (QPR)
State: ____________________
Project Director:
Quarter Ending:

Project Name:
Grant No:

Purpose: To track STC grant activities and ensure that the state achieves the desired goals set forth
in the STC grant application.
Report Due Dates: This report is due 45 days after the end of each quarter (i.e., on November 14,
February 14, May 15, and August 14).
Section I. Implementation or Improved Administration Activities. Include a narrative
description of the implementation or administrative activities that occurred this quarter. If the
state's quarterly goal is not achieved, then explain. Consider including the following, as applicable:
• Progress toward implementing and improving STC procedures and systems;
• Progress in developing and enhancing systems to automate the STC program; and
• STC program administrative activities (e.g., staff hired and/or staff training).
Section II. Promotion and Enrollment Activities. Include a narrative description of the
promotion and enrollment activities that occurred this quarter. If the state's quarterly goal is not
achieved, then explain. Consider including the following, as applicable:
• Progress in the state's promotion and enrollment activities;
• Creation and support of Rapid Response teams and/or other partnerships established to
advise employers about the STC program;
• Education and assistance to employers about the STC program;
• Development of outreach materials and messaging tools; and
• Promotional activities (e.g., meetings attended, media, mailings).
Section III. Outcomes. Include a narrative description of the outcomes that occurred this quarter.
If the states' quarterly goal is not achieved, then explain.
Section IV. Success Stories. Include any STC program success stories and achievements that
occurred this quarter. Consider providing:
• Employer or claimant success stories;
• Outreach/promotion/enrollment success stories; and
• Technology/administrative/operational improvement success stories.
Section V. Technical Assistance Needs. Describe any STC program or grant-related technical
assistance needs.

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Attachment IV to UIPL No. 22-20
Grants for STC Programs – Amounts
STATE
Alaska
Alabama
Arkansas
Arizona
California
Colorado
Connecticut
Dist. of Columbia
Delaware
Florida
Georgia
Hawaii
Iowa
Idaho
Illinois
Indiana
Kansas
Kentucky
Louisiana
Massachusetts
Maryland
Maine
Michigan
Minnesota
Missouri
Mississippi
Montana
North Carolina
North Dakota
Nebraska
New Hampshire
New Jersey
New Mexico
Nevada
New York
Ohio
Oklahoma
Oregon
Pennsylvania
Puerto Rico
Rhode Island
South Carolina
South Dakota
Tennessee
Texas
Utah
Virginia
Virgin Islands
Vermont
Washington
Wisconsin
West Virginia
Wyoming
US Total

Short Time Compensation
Distribution

208,491
1,269,971
799,283
1,909,689
11,767,738
2,017,781
1,187,842
431,513
305,339
5,928,629
3,188,424
392,949
1,002,882
437,884
4,187,442
2,048,726
950,722
1,253,728
1,267,698
2,569,031
1,674,218
382,579
2,903,672
1,957,780
1,834,214
712,491
267,224
3,029,549
240,498
605,746
446,137
2,943,318
525,031
1,065,774
6,458,984
3,503,807
1,093,621
1,264,460
3,776,990
438,654
326,879
1,430,226
253,017
1,961,269
8,806,708
978,540
2,674,255
17,437
183,292
2,366,077
1,886,749
438,005
177,037
99,750,000

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33% share

69,497
423,324
266,428
636,563
3,922,579
672,594
395,947
143,838
101,780
1,976,210
1,062,808
130,983
334,294
145,961
1,395,814
682,909
316,907
417,909
422,566
856,344
558,073
127,526
967,891
652,593
611,405
237,497
89,075
1,009,850
80,166
201,915
148,712
981,106
175,010
355,258
2,152,995
1,167,936
364,540
421,487
1,258,997
146,218
108,960
476,742
84,339
653,756
2,935,569
326,180
891,418
5,812
61,097
788,692
628,916
146,002
59,012
33,250,000

66% share

138,994
846,647
532,855
1,273,126
7,845,159
1,345,187
791,895
287,675
203,559
3,952,419
2,125,616
261,966
668,588
291,923
2,791,628
1,365,817
633,815
835,819
845,132
1,712,687
1,116,145
255,053
1,935,781
1,305,187
1,222,809
474,994
178,149
2,019,699
160,332
403,831
297,425
1,962,212
350,021
710,516
4,305,989
2,335,871
729,081
842,973
2,517,993
292,436
217,919
953,484
168,678
1,307,513
5,871,139
652,360
1,782,837
11,625
122,195
1,577,385
1,257,833
292,003
118,025
66,500,000

Attachment V to UIPL No. 22-20
Instructions Completing the SF-424 and SF-424A
I.

Application for Federal Assistance (SF-424)
Use the current version of the form for submission. Expired forms will not be accepted.
SF-424, Expiration Date 12/31/2022, Office of Management and Budget (OMB) Control
No. 4040-0004 (Grants.gov). http://www.grants.gov/web/grants/forms/sf-424family.html
Section # 8, APPLICANT INFORMATION:
• Legal Name: The legal name must match the name submitted with the System for
Award Management (SAM). Please refer to instructions at https://www.sam.gov
• Employer/Tax Identification Number (EIN/TIN) : Input your correct 9-digit EIN and
ensure that it is recorded within SAM
• Organizational DUNS: All applicants for Federal grant and funding opportunities are
required to have a 9-digit Data Universal Numbering System (D-U-N-S®) number,
and must supply their D-U-N-S® number on the SF-424. Please ensure that your state
is registered with the SAM. Instructions for registering with SAM can be found at
https://www.sam.gov . Additionally, the state must maintain an active SAM
registration with current information at all times during which it has an active Federal
award or an application under consideration. To remain registered in the SAM
database after the initial registration, there is a requirement to review and update the
registration at least every 12 months from the date of initial registration or
subsequently update the information in the SAM database to ensure it is current,
accurate, and complete. Failure to register with SAM and maintain an active account
will result in a rejection of your submission.
• Address: Input your complete address including Zip code+4; Example: 20110-831.
For lookup, use link at https://tools.usps.com/go/ZipLookupAction!input.action
• Organizational Unit: Input appropriate Department Name and Division Name, if
applicable
• Name and contact information of person to be contacted on matters involving this
application. Provide complete and accurate contact information including telephone
number and email address for the point of contact
Section # 9, Type of Applicant 1: Select Applicant Type: Input “State Government”
Section # 10, Name of the Federal Agency: Input “Employment and Training
Administration”
Section # 11, Catalog of Federal Domestic Assistance Number: Input “17.225”;
CFDA Title: Input “Unemployment Insurance”

V-1

Section # 12, Funding Opportunity Number and Title: Input “UIPL No. 22-20,
Coronavirus Aid, Relief, and Economic Security (CARES) Act of 2020 –Guidance
Regarding Short-Time Compensation (STC) Program Grants.”
Section # 13, Competition Identification Number: Leave Blank
Section # 14, Areas Affected by Project: Input the place of performance for the project
implementation; Example “NY” for New York
Section # 15, Descriptive Title of Applicant’s Project: Input “Short-Time
Compensation (STC) Program Grants”
Section # 16, Congressional Districts of:
• Applicant: Input the Congressional District of your home office. For lookup, use link
at www.house.gov with Zip code + 4
• Program/Project: Input the Congressional District where the project work is
performed. If it is the same place as your home office, input the congressional district
for your home office. For lookup, use link at www.house.gov with Zipcode+4
Section # 17, Proposed Project
• Start Date: Input a valid start date for the project (earliest start date will be thirty days
after the Department receives a complete application,)
• End Date: Input a valid end date for the project
Section # 18, Estimated Funding ($): Input the estimated funding requested. Ensure that
the funding requested matches the TOTALS in Section B – Budget Categories of the
SF424A
Section #s 19 – 20: Complete as per instructions for Form SF-424
Section # 21, Authorized Representative: Please select the “I AGREE” check box and
provide complete information for your authorized signatory including contact information
such as telephone number and email address. If your Authorized Representative has
changed from your previous application submission for this program, please include a
letter from a higher-level leadership authorizing the new signatory for the application
submission
Remember to get the SF-424 signed and dated by the Authorized representative
II.

Budget Information -Non-Construction Programs (SF-424A)
Use the current version of the form for the submission. Expired forms will not be
accepted. SF 424A, Expiration Date 02/28/2022, OMB Control No. 4040-0006
https://apply07.grants.gov/apply/forms/readonly/SF424A-V1.0.pdf

V-2

Section B – Budget Categories: Ensure that TOTALS in Section 6, Object Class
Categories matches the Estimated Funding requested in the SF-424.

V-2