Welfare-to-Work Data Collection

Federal RegisterOct 29, 1998

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DEPARTMENT OF HEALTH AND HUMAN SERVICES

Administration for Children and Families

45 CFR Part 276

RIN 0970-AB92

Welfare-to-Work Data Collection

AGENCY: Administration for Children and Families, HHS.

ACTION: Interim final rule; request for comments.

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SUMMARY: The Administration for Children and Families is issuing an

interim final rule that specifies the reporting requirements applicable

to States and Indian tribes with respect to participants receiving

services under Welfare-to-Work (WtW) grants. The overall purpose of the

WtW program is to assist States, Tribes, and other grantees to provide

transitional employment assistance that moves hard-to-employ welfare

recipients, living in high poverty areas, into unsubsidized employment

and economic self-sufficiency. WtW grants are targeted to assist those

TANF (Temporary Assistance for Needy Families) recipients, and certain

noncustodial parents, who have experienced or have characteristics

associated with long-term welfare dependency. This regulation

implements portions of section 411 of the Social Security Act, 42

U.S.C. 611.

DATES: The interim final rule is effective October 29, 1998. However,

affected parties do not have to comply with this information collection

requirement until we receive approval from the Office of Management and

Budget and publish the control numbers assigned to it under the

Paperwork Reduction Act of 1995.

Comment period: You must submit comments by December 28, 1998. We

will not consider comments received after this date.

ADDRESSES: You may mail or hand-deliver comments to the Administration

for Children and Families, Office of Planning, Research and Evaluation,

7th Floor West, 370 L'Enfant Promenade, SW, Washington, DC 20447.

Attention: Patrick Brannen.

Comments that are less than 10 pages in length may be transmitted

via facsimile at (202) 205-3598, provided that submission of written

text follows.

You may also transmit written comments electronically via the

Internet. To transmit comments electronically, or download an

electronic version of the interim final rule, you should access the ACF

Welfare Reform Home Page at http://www.acf.dhhs.gov/news/welfare/ and

follow any instructions provided.

We will make all comments available for public inspection at the

Office of Planning, Research and Evaluation, 7th Floor West, 901 D

Street, SW, Washington, DC 20447, from Monday through Friday between

the hours of 9 a.m. and 4 p.m.EST. (This is the street address, as

opposed to the mailing address above.)

We will not acknowledge the individual comments we receive.

However, we will review and consider all that are germane and received

during the comment period.

FOR FURTHER INFORMATION, CONTACT: Patrick Brannen, Division of Data

Collection and Analysis, Office of Planning, Research and Evaluation,

ACF, at (202) 401-5096.

Deaf and hearing-impaired individuals may call the Federal Dual

Party Relay Service at 1-800-877-8339 between 8 a.m. and 7 p.m. Eastern

time.

SUPPLEMENTARY INFORMATION:

Table of Contents

I. The Interim Final Rule and the Paperwork Reduction Act

II. Legislative and Regulatory Background

A. The Personal Responsibility and Work Opportunity

Reconciliation Act

B. Welfare-to-Work Grants

III. Welfare-to-Work Data Collection Requirements

A. Joint DHHS/DOL Information Collection Strategy

B. Section by Section Discussion of the Interim Final Rule

IV. Regulatory Impact Analyses

A. Executive Order 12866

B. Regulatory Flexibility Analysis

C. Paperwork Reduction Act

D. Unfunded Mandates Reform Act of 1995

E. Congressional Review

F. Effective Date and Absence of Notice and Comment

I. The Interim Final Rule and the Paperwork Reduction Act

The Balanced Budget Act of 1997, Pub. L. 105-33, amended title IV-A

of the Social Security Act (the Act) to authorize Welfare-to-Work (WtW)

grants to States and Tribes. The Department of Labor (DOL) and the

Department of Health and Human Services (DHHS) share responsibility for

the implementation of this program. In general, DOL has overall

responsibility for program administration, and DHHS has responsibility

for participant data collection and evaluation of the program.

The Department of Labor issued an interim final rule to implement

the WtW grants program on November 18, 1997 (62 FR 62124). This DHHS

interim final rule implements section 411 of the Act and specifies the

WtW participant data collection and reporting requirements that must be

submitted by those States and Indian tribes administering WtW grants.

We have determined that publication of an interim final rule is

necessary as WtW grants are authorized to be awarded only in FY 1998

and FY 1999. Information collection is required by statute to begin as

soon as States and Tribes begin implementing the program. In addition,

it is critical that information be available in order to conduct the

evaluation and submit the reports to Congress required by statute.

Section 413(j) of the Act requires DHHS to submit an interim report to

Congress in January 1999 and a final report in January 2001. These

reports must contain an evaluation of how the WtW grant funds have been

used, including specific outcome information on participants.

The WtW participant and expenditure data elements in this interim

final rule are designed to provide critical information for the WtW

evaluation and the reports to Congress. These data elements will also

help grantees manage and evaluate their programs. Although DHHS is

funding a national study of the WtW program, little information from

this study will be available for several years. States and Tribes

represent the primary source of information on individual participants

that will enable us to carry out our statutory responsibilities.

For these reasons, we believe an interim final rule is justified.

However, we are sensitive to the issue of reporting

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burden on States and Tribes. We have limited the data elements to those

specified in section 411 of the Act, with a few necessary exceptions.

Although the information to be reported is specified in the statute, it

is not specified in the form of individualized data elements. Thus, a

regulation is necessary to convert the required data into a format

suitable for reporting. We will, however, consider all comments

received in response to this rule in determining what changes are

appropriate before issuing a final rule.

This interim final rule contains information collection activities

that are subject to review and approval by the Office of Management and

Budget (OMB) under the Paperwork Reduction Act of 1995. Under this Act,

no persons are required to respond to a collection of information

unless it displays a valid OMB control number.

As required by the Paperwork Reduction Act, we have submitted these

interim final data collection requirements to OMB for review and

approval and are concurrently using this rule as a vehicle for seeking

comments from the public on these information collection activities.

II. Legislative and Regulatory Background

A. The Personal Responsibility and Work Opportunity Reconciliation Act

The Personal Responsibility and Work Opportunity Reconciliation Act

of 1996 (PRWORA), or the welfare reform law (Pub. L. 104-193),

established the Temporary Assistance for Needy Families (TANF) program

in title IV-A of the Act. TANF is a block grant program designed to

make dramatic reforms in the nation's welfare system.

The TANF provisions substantially changed the nation's welfare

system from one in which cash assistance was provided on an entitlement

basis to a system in which the primary focus is on moving welfare

recipients to work and promoting family responsibility, accountability,

and self-sufficiency. The law limits federal assistance to a 60-month

period of time for most adult recipients of State TANF programs. Such

individuals are expected to become self-sufficient within that

timeframe. (The 60-month time limit is not applicable to recipients

under the Tribal TANF program.)

In support of this objective, the statute established an overall

work participation rate for all families and a work participation rate

for two-parent families that must be met by each State, beginning in

fiscal year 1997 and in each fiscal year thereafter. States that do not

meet the participation requirements face significant financial

penalties. The Secretary is authorized to establish the work

participation rates for Indian tribes. States may provide to

recipients, with TANF, WtW, or other funding, job-related education and

skills training as well as other services to ensure lasting employment

and the achievement of self-sufficiency.

TANF replaced the national welfare program known as Aid to Families

with Dependent Children (AFDC) which provided cash assistance to needy

families on an entitlement basis. It also replaced the related programs

known as the Job Opportunities and Basic Skills Training (JOBS) program

and the Emergency Assistance (EA) program.

The new TANF program went into effect on July 1, 1997, except in

States that elected to submit a complete plan and implement the program

at an earlier date. Indian tribes were also authorized to run their own

TANF programs and a number have elected to do so. We published a Notice

of Proposed Rulemaking to implement the work, penalties, and data

collection provisions of the TANF program in the Federal Register on

November 20, 1997 (62 FR 62124). On July 22, 1998, we published an NPRM

on the Tribal Work and TANF Programs (63 FR 39366).

B. Welfare-to-Work Grants

Following the enactment of PRWORA, the Administration and Congress

were concerned that those welfare recipients who have the least skills,

education, and employment experience, and who live within high poverty

areas, might need additional assistance to obtain lasting jobs and

become self-sufficient.

On August 5, 1997, the President signed the Balanced Budget Act of

1997. This legislation amended title IV-A of the Act to authorize the

Secretary of Labor to make Welfare-to-Work (WtW) grants to States,

Indian tribes, Private Industry Councils (PICs), local governments, and

other private entities to help move hard-to-employ TANF welfare

recipients and certain noncustodial parents into unsubsidized jobs

providing good career potential for achieving economic self-

sufficiency.

Among other responsibilities, DOL is authorized to--

make formula grants to States and Indian tribes;

make competitive grants to a wide range of local entities,

e.g., local governments, Private Industry Councils (PICs), community

development corporations, community action agencies, and other public

and private entities; and

award performance bonuses to those States which most

effectively place hard to employ individuals in lasting employment at

increased earnings.

These activities are described more fully below.

Formula Grants to States

Section 403(a)(5)(A) of the Act authorizes DOL to award 75 percent

of the funds available in each of fiscal years 1998 and 1999 as formula

grants to States. States are required to pass through 85 percent of the

formula grant funds to PICs. PICs (known as workforce development

boards in some areas) oversee and guide job training programs in

geographical jurisdictions called service delivery areas (i.e.,

generally one or more units of local government with a population of

200,000 or more). A State is allowed to retain 15 percent of the money

for WtW projects of its choice. Governors are responsible for

administering formula grant funds and for assuring that they are

coordinated with funds spent under the TANF block grant.

Formula Grants to Indian tribes

Sections 403(a)(5)(F) and 412(a)(3) of the Act authorize DOL to

award $15 million as grants to Indian tribes in each of fiscal years

1998 and 1999.

Competitive grants

Section 403(a)(5)(B) of the Act provides that DOL will distribute

approximately 25 percent of available WtW funds through a competitive

grant process. These funds provide targeted assistance needed to move

hard-to-employ TANF recipients and certain noncustodial parents into

lasting unsubsidized jobs. These grants also will help expand the base

of knowledge about programs which are successful in achieving program

goals.

Eligible competitive grant applicants include PICs; local

governments; and a range of private entities including community

development corporations, community action agencies, community-based

and faith-based organizations, disability community organizations, and

public and private colleges and universities.

Features Which Apply to Both Formula and Competitive Grants

Use of funds: Funds may be used to help move eligible individuals

into jobs by--job creation through public or private sector wage

subsidies; on-the-job training; contracts with public or private

providers of job readiness, job placement, and post-employment

services; job vouchers for similar

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services; community service or work experience; or job retention and

supportive services (if such services are not otherwise available).

Participant eligibility: At least 70 percent of the grant funds

must be spent on TANF recipients or non-custodial parents of minor

children receiving TANF assistance who: face two of three specified

labor market deficiencies and who are long-term welfare recipients or

who face termination from TANF within 12 months. Labor market

deficiencies include a lack of a high school diploma or GED certificate

and low reading or math skills, requiring substance abuse treatment for

employment, and a poor work history.

Up to 30 percent of the grant funds may be spent on individuals who

are ``recent'' recipients of TANF assistance or noncustodial parents

who have characteristics associated with long-term dependence such as

school dropout, teen pregnancy, or poor work history.

Performance Bonuses

Section 403(a)(5)(E) of the Act specifies that DOL will award $100

million in performance bonuses in FY 2000 to those States which most

effectively place hard-to-employ individuals in lasting employment at

increased earnings.

Importance of Coordination

Coordination and cooperation among State/county TANF agencies,

Indian tribes, and the State and local WTW agencies will be a major

factor in the success of this program and of the national welfare

reform initiative. Hard-to-employ welfare recipients constitute a

significant portion of the TANF population, and it is this population

the WtW grants aim to serve.

State workforce development systems will help implement WtW and

assist welfare recipients to secure lasting employment. Key

stakeholders in these systems include the PICs, local governmental

entities, private sector employers, labor organizations, business and

trade associations, education agencies, housing agencies, community

development corporations, transportation agencies, community-based and

faith-based organizations, disability community organizations,

community action agencies, and colleges and universities. Cooperation

among these diverse entities and actors will be critical for both

program and data collection purposes.

III. Welfare-to-Work Data Collection Requirements

A. Joint DOL/DHHS Information Collection Strategy

Because the TANF and the WtW programs are closely related in terms

of statutory provisions, program goals, administrative

responsibilities, and the population being served, DOL and DHHS

established a working group to develop a coordinated implementation

strategy. The DOL interim final rule, published November 18, 1997, was

also coordinated with the Departments of Housing and Urban Development

and Transportation.

As a part of this coordinated effort, DOL and DHHS have developed a

joint WtW information collection strategy. The purpose of the strategy

is to assure an integrated approach to WtW data collection, develop a

common data format to facilitate data transmission and use, minimize

grantee reporting burden, and make the most effective use of Federal

resources.

Under this strategy--

DHHS will issue participant data reporting requirements,

through regulations, applicable to State and Tribal WtW formula grant

programs. The reporting requirements will apply to all WtW participants

in these formula grant programs and will be reported to DHHS by the

State and the Tribe in a format provided by DHHS. The data required to

be reported includes the disaggregated ``TANF'' data in sections

411(a)(1)(A)(i) through (xvii), the disaggregated ``WtW'' data in

section 411(a)(1)(A)(xviii), and the aggregated ``WtW'' data in

sections 411(a)(2) through (4) and (6). (For a discussion of the

specific data elements, see ``What data must States and Tribes file on

individual participants? (Sec. 276.3)'' below.)

DOL will specify participant reporting requirements

applicable to competitive grant programs. Like the requirements for

States and Tribes, the reporting requirements will apply to all

individuals enrolled in the WtW competitive grant program. The data

will be reported to DOL by the grantee unless the State agrees to

compile and transmit the data to DHHS. DHHS and DOL will jointly

develop a common data format and specifications to facilitate this

complementary reporting.

DOL will specify financial reporting requirements for both

formula and competitive grantees.

DOL will also specify additional targeting, eligibility,

and other data elements for both formula and competitive grantees under

its general administrative authority. These additional data elements

will provide data to verify that the eligibility and targeting

requirements in section 403(a)(5)(C)(ii) have been met.

The data elements in this interim final rule will be

consolidated with the data elements specified by DOL into a common

reporting form. DOL and DHHS will publish a Paperwork Reduction Act

Notice on the common reporting form in the Federal Register in the near

future.

DHHS and DOL will issue guidance and facilitate technical

assistance on the WtW data collection strategy, describing the

interface between the population served and the data reporting systems,

emphasizing the need to share information between service delivery

components and levels, and identifying options for State and Tribes in

reporting these data.

B. Section by Section Discussion of the Interim Final Rule

What Does This Part Cover? (Sec. 276.1)

This section specifies the scope and content of part 276, including

what information we will collect from certain States and Tribes on

individuals and families receiving services under WtW grants and the

electronic filing and sampling requirements. Although the WtW data

reporting provisions are a part of the overall data collection and

reporting requirements specified in section 411 of the Act, we have

published them on a temporary basis in a separate part of the

regulations (45 CFR part 276) in order to avoid confusion with the

provisions of the TANF Notice of Proposed Rulemaking that was published

on November 20, 1997. (45 CFR part 275.) The WtW data collection and

reporting requirements set forth in part 276 will be incorporated into

45 CFR part 275 (Data Collection and Reporting Requirements) when the

TANF regulations are finalized and into 45 CFR part 286 (Tribal Data

Collection and Reporting Requirements) when regulations are finalized

for Tribal TANF programs. We have included in this interim regulation

only those provisions which are necessary to implement the WtW

reporting requirements.

What Definitions Apply to This Part? (Sec. 276.2)

Three of the five definitions in this section are commonly used

acronyms such as ACF, TANF, and WtW. The term ``State'' and ``the Act''

are also defined.

For purposes of this regulation, WtW means only those services or

activities provided under a State formula grant

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pursuant to section 403(a)(5)(A) of the Act or under an Indian tribal

formula grant pursuant to section 412(a)(3) of the Act. See discussion

relative to Sec. 276.3.

What Data Must States and Indian Tribes File on Individuals

Participating in the WtW Program? (Sec. 276.3)

This section specifies what WtW participant and expenditure data

States and Indian tribes must collect and report to DHHS.

Section 276.3(a) requires States and Indian tribes receiving a WtW

formula grant to collect monthly, and submit quarterly, information on

all individuals and families participating in the States' or Tribes'

WtW formula grant program. ``All individuals and families participating

in the WtW program'' means those persons who--

1--Currently receive WtW and TANF assistance;

2--Currently receive WtW and formerly received TANF assistance;

3--Currently receive WtW and would be eligible for TANF assistance

except for the time limit on receipt of such assistance; and

4--Currently receive WtW and are non-custodial parents of a child

(children) receiving TANF assistance.

We have taken this approach based on our reading of section 411 of

the Act (data collection and reporting) and our interest in an

inclusive approach to assessing and evaluating this program. As

originally enacted, section 411(a) required States to report data on

participants ``receiving assistance under the State program funded

under this part* * *'', which in the TANF NPRM has been interpreted to

mean ``under the TANF program''. However, as amended by the Balanced

Budget Act, section 411(a) was also intended to require States to

report new data elements for WtW program participants.

Section 411 does not address formula or competitive grants or

grantees per se; it neither specifically includes or excludes them. One

interpretation of section 411 would require reporting of WtW data on

TANF recipients participating in any WtW program regardless of whether

they are receiving services from a formula grantee, a subgrantee, or a

competitive grantee. This interpretation, however, would exclude

information on a significant number of WtW participants, e.g., former

TANF recipients who continue to receive WtW services, non-custodial

parents, and persons who would be eligible to receive TANF assistance

except for the time limit on receipt of such assistance. Clearly,

exclusion of these populations makes a full evaluation of the WtW

grants more difficult and the findings less accurate or complete.

An alternate reading of the ``receiving assistance under the State

program funded under this part* * *'' language in section 411 would

provide for the collection of information on all State formula grant

WtW participants. This interpretation results from the fact that with

the passage of the Balanced Budget Act of 1997, there are now two State

grant programs funded under part IV-A of the Act. We believe the

references to State programs can be read to cover recipients of both

State TANF and WtW assistance. However, this interpretation would not

provide for reporting on all WtW participants, namely those served by

competitive grantees, since these grantees are not part of a State

program funded under part A of the Act.

We have determined that the second approach is a more preferable

reading of the statute since it would allow the collection of

information on all WtW participants in the State and Tribal formula

grant programs and, thus, will yield information most useful to States,

Tribes, and other grantees as well as DOL, DHHS and the Congress. Our

decision to adopt this more inclusive approach forms the basis of the

joint DOL/DHHS information strategy discussed above in which DHHS will,

among other activities, require WtW information from State and Tribal

formula grantees, and DOL will collect data from competitive grantees.

Thus, through this combined DHHS/DOL approach, we will be able to

collect data on all WtW participants while minimizing the burdens on

grantees.

In paragraph (b), we specify that only those Tribes administering

both TANF and WtW formula grants are required to report the information

in part 276. Although a wide range of Indian tribes are eligible to

receive WtW grants, section 412(g) of the Act requires only those

Tribes with an approved tribal assistance plan (TANF) to report the

data required in section 411.

Paragraph (c) of this section specifies the data elements that DHHS

is requiring States to report through this regulation. These data are

only the disaggregated participant information (not the aggregated

data) in the Emergency TANF Data Report (ACF Form 198, issued September

30, 1997, OMB Number 0970-0164, expires September 30, 1998) and the

information in the WtW Data Report specified in this interim final

rule. (As noted above, these DHHS data elements plus the additional

data elements specified by DOL will be collected through the use of a

common reporting form.)

Paragraph (d) of this section specifies the data elements that the

Tribes must report, i.e., only the disaggregated participant

information (not the aggregated data elements) in the Interim Tribal

TANF Data Report (ACF Form 343, issued May 6, 1998, OMB Number 0970-

0176, expires December 31, 1998) and the information in the WtW Data

Report specified in this interim final rule.

Paragraph (e) of this section describes the WtW Data Report. As a

specific resource and reference for this discussion, we have published

three appendices at the end of the regulation text: Appendix A contains

the specific data elements we will collect as well as the instructions

for coding these data; appendix B contains a summary of the applicable

sampling specifications; and appendix C contains a Statutory Reference

Table. These appendices will be published in the Federal Register as a

part of the final rule but will not be codified in the Code of Federal

Regulations.

Data Elements--Appendix A

The WtW Data Report consists of two sections; except for the eight

items discussed below, all elements are required by statute.

Section One consists of 21 disaggregated data elements. It

includes identifying information, such as the individual's Social

Security Number, and data on wages, employment activities, and

terminations.

Section Two consists of 10 aggregated data elements. It

includes information on the total number of participants, families,

noncustodial parents, and the total number of participants and families

terminated. These data are required by sections 411(a)(2) through (4)

and section 411(a)(6).

See the Statutory Reference Table in Appendix C which lists the

specific statutory authority for each data element.

Non-statutory Requirements--Appendix A

A. The following six data elements are not required by statute, but

they are necessary to, and implicit in, the administration of a data

collection system--

1. State FIPS Code

2. Tribal Code

3. Reporting Month

4. Stratum

5. Case Number--TANF

6. Disposition

B. The Social Security Number is readily available. States use

Social

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Security Numbers to carry out the requirements of the Income and

Eligibility Verification System under sections 409 and 1137 of the Act.

States may use this number to share information between agencies. We

would use this information for statistical purposes only, e.g., for

evaluation of the WtW program as required in section 413(j) of the Act

and research as required in section 413(g) of the Act.

C. Section 411(a)(1)(A)(xviii)(III) requires reporting of the wages

paid to any participant in subsidized employment or on-the-job

training. For more accurate data, we have broken ``wages paid'' in two

elements: average hourly wages and average hours of work.

We recognize that requiring States and Tribes to report the

disaggregated Emergency TANF data elements on all WtW participants may

be viewed as burdensome and may appear somewhat duplicative without new

coordination efforts. However, section 411(a)(1) of the Act requires

that all enumerated data elements be reported for affected individuals

and families. Therefore, States and Tribes must report the

disaggregated Emergency TANF data elements in all WtW participants.

In addition, it should be noted that the ``TANF data elements'' in

the Emergency TANF Data Report will be superseded by the reporting

requirements in the TANF final rule. To the extent that these data

elements are revised in the final rule, States and Tribes may need to

amend their reporting systems to meet the modified requirements.

We have not specified how States and Tribes will collect and report

the data specified in this interim final rule which will be a part of

the common reporting form. After further discussion and consultation

with State TANF and workforce agencies, Tribes, PICs, and others, DHHS

and DOL plan to facilitate technical assistance in identifying

effective approaches to linking and merging TANF and WtW data.

Our expectation, however, is that one State or Tribal agency will

be responsible for reporting all of the data to us. Several preliminary

options have been identified:

A State may collect intake and WtW information from the

participant and obtain the TANF information from the TANF program.

How States report data offers an option for reduced

reporting burden. For example, States and Tribes which report universe

data on their TANF recipient population could report universe data on

WtW participants. DHHS would match these data sets at the federal

level.

In the early days of implementing the program, it may be

more feasible and efficient for States and Tribes to obtain both the

TANF and WtW data from the participant.

Must the Data be Filed Electronically? (Section 276.4)

This section requires that State and Tribes submit data

electronically. DHHS will develop and provide a pc-based software

package for State and Tribal use. This will facilitate electronic data

entry and transmission for each quarterly report.

We have included this requirement for the following reasons. OMB

requires Federal agencies to evaluate whether the burden on respondents

can be reduced by the use of automatic, electronic, mechanical, or

other technological collection techniques. DHHS, along with other

federal agencies, has for many years encouraged programs and grantees

to use such non-paperwork approaches to meet data collection

requirements. We believe all State and Tribes administering the WtW

program have electronic reporting capability.

Therefore, we conclude that electronic submission of these data

will not be a burden on States and that requiring electronic submission

of these reports will reduce paperwork and administrative burden, be

less expensive and time-consuming, and be more efficient for both

States and the Federal government.

May States and Tribes Use Sampling? (Section 276.5)

Section 411(a)(1)(B) of the Act permits States and Tribes to meet

the disaggregated data collection and reporting requirements by

submitting data based on the use of a scientifically acceptable

sampling method approved by DHHS. (States and Tribes may not submit

aggregated data based on a sample.)

We have provided a definition of ``scientifically acceptable

sampling method'' in paragraph (b) of this section. This definition

reflects generally acceptable statistical standards for selecting

samples and is consistent with existing ACF statistical policy. (See

appendix B for a summary of the WtW sampling specifications.)

Various options are available to States and Tribes if they choose

to provide data based on sampling. A State (or Tribe) may draw a WtW

sample independently from the TANF sample, or it may choose to use a

combined, stratified TANF-WtW sample in which WtW families are

identified by their individual stratum code, e.g., an integrated

sample. DHHS will approve a State's (Tribe's) sampling plan including

sample sizes, sampling frames, and use of stratified and non-stratified

samples. In addition, States and Tribes may wish to consider the

following:

--If a State (or Tribe) transmits the Emergency TANF Data Report for

its entire caseload, it will not need to re-transmit these data for WtW

families.

--If a State (or Tribe) transmits the Emergency TANF Data Report based

on a separate sample of its monthly caseload, it must report the

disaggregated data from the Emergency TANF Data for all WtW families as

part of its WtW transmission.

--If a State (or Tribe) transmits data based on a combined TANF/WtW

sample design, it will not need to re-transmit the TANF data as it will

be a part of the combined transmission.

Applicability of Other Statutory Provisions

As mentioned earlier, we have addressed in this rule only those

topics specific to WtW and have not included items that were addressed

in the TANF Notice of Proposed Rulemaking, such as when reports are

due, requirements for complete and accurate data, and the penalty on

States for failure to submit timely reports.

Since WtW data collection is not separate from TANF data collection

activity, but is an integral part of such activity, the same statutory

time frames, compliance, and penalty provisions that apply to TANF also

apply to the WtW data collection activity. Currently, we are

considering the issues raised by the comments to the TANF NPRM and will

address them in the final TANF rule. It would be inappropriate for us

to impose policies now on an interim final basis.

Further, the statute in section 409 (a)(2) of the Act generally

provides enough authority to impose any necessary penalties (i.e., for

failure to submit quarterly reports within 45 days after the end of the

quarter) that might be required before the TANF rules are finalized.

(The penalty is taken against the State's family assistance grant.) We

will address these matters in the final WtW rule.

We welcome comments on any provisions of the TANF data collection

sections in the NPRM (part 275) that may be problematic and any

constructive suggestions that would improve the implementation of these

WtW data reporting requirements.

We are currently reviewing the comments on the TANF NPRM and plan

to publish a final rule. After the close of

[[Page 57924]]

the comment period on this interim final rule, we will publish a final

rule, the content of which will be codified in the Code of Federal

Regulations as a part of the TANF regulations. Part 276 will be

vacated.

IV. Regulatory Impact Analyses

A. Executive Order 12866

Executive Order 12866 requires that regulations be drafted to

ensure that they are consistent with the priorities and principles set

forth in the Executive Order. The Department has determined that this

interim final rule is consistent with these priorities and principles.

The Executive Order encourages agencies, as appropriate, to provide

the public with meaningful participation in the regulatory process.

With DOL, we have held consultations with national organizations

representing State and local government and PICs, representatives of

State agencies administering the WtW and the TANF programs, and other.

We have considered their comments and suggestions in preparing this

rule. Although this interim final rule is effective upon publication,

we are providing an opportunity for a comment period of 60 days. We

will consider all comments received in response to this rule in

determining what changes are appropriate before issuing a final rule.

We do not believe that this regulatory action will:

Have an annual effect on the economy of $100 million

dollars or more or any adverse effects on the efficient functioning of

the economy, private market (including productivity, employment, and

competitiveness), health, safety, the natural environment, individuals,

States, Indian tribes, and other entities;

Create a serious inconsistency or otherwise interfere with

an action taken or planned by another agency;

Materially alter the budgetary impact of entitlements,

grants, user fees, or loan programs or the rights and obligations of

recipients thereof; or

Raise novel legal or policy issues arising out of legal

mandates, the President's priorities, or the principles set forth in

Executive Order 12866.

The statute contains specific data collection requirements. The

data elements in the WtW Data Report do not go beyond those explicitly

stated in the statute, except for those necessary for the

administration of a data collection system, the individual's Social

Security Number, and one breakout item. The Social Security Number may

be helpful to States and Tribes in sharing participant data between the

TANF and the WtW programs.

Overall, our assessment of this interim final rule indicates that

it represents the least burdensome approach to the collection of these

data.

B. Regulatory Flexibility Analysis

The Regulatory Flexibility Act (5 U.S.C. Ch. 6) requires the

Federal government to anticipate and reduce the impact of rules and

paperwork requirements on small businesses and other small entities.

Small entities are defined in the Act to include small businesses,

small non-profit organizations, and small governmental entities. This

rule will affect only a maximum of 50 States, the District of Columbia,

certain Indian tribes, and certain territories. Therefore, the

Secretary certifies that this rule will not have a significant impact

on small entities.

C. Paperwork Reduction Act

As required by the Paperwork Reduction Act, we have, under

emergency procedures, submitted these WtW data collection requirements

to OMB for review and approval for an initial 180 day period. We are

concurrently using this interim final rule as a vehicle for seeking

comment from the public on these information collection requirements as

part of the regular OMB review and approval process. This concurrent

review process will assure continuity of data collection and reporting

after expiration of the 180 day approval obtained under emergency

procedures. Affected parties do not have to comply with the information

collection requirements until we publish the control numbers assigned

to the requirements by OMB under the Paperwork Reduction Act of 1995.

This rulemaking requires that States report quarterly, on all WtW

participants, the WtW data elements in this rule and the disaggregated

TANF data elements in the Emergency TANF Data Report (Form ACF-198, OMB

Number 0970-0164, expires September 30, 1998). Indian tribes must also

report quarterly, on all WtW participants, the WtW data elements in

this rule and the disaggregated TANF data elements in the Interim

Tribal TANF Data Report (Form ACF-343, issued May 6, 1998, OMB Number

0970-0176, expires December 31, 1998). In order to facilitate the

review and public comment on the WtW reporting requirements, we have

published the WtW data elements for the quarterly report as appendix A.

The WtW Data Report consists of two sections: one section of 22

disaggregated case-record data elements and one section of 10

aggregated data elements. We need this information collection to meet

the requirements of section 5001(e) of the Balanced Budget Act of 1997,

which amended section 411(a) (Data Collection and Reporting) of the

Social Security Act.

We do not believe the requirement to report the TANF data elements

and the WtW data elements for individuals participating in the WtW

program necessarily creates a duplicate reporting burden. It does,

however, offer an opportunity for coordination between State and local

WtW formula grant agencies and TANF agencies. As a part of the joint

WtW information strategy, DHHS and DOL will issue guidance and

facilitate technical assistance to help States and Tribes meet these

requirements.

To assist grantees in reporting electronically, we will provide a

pc-based software package to facilitate data entry and transmission for

each quarterly report. We welcome comments on how the burden can be

further reduced.

The maximum number of respondents for this data collection are the

50 States of the United States, the District of Columbia, Guam, Puerto

Rico, and the United States Virgin Islands. (Note: Not all States have

currently elected to receive WtW formula grants.) We also expect

approximately seven Indian tribes to operate both a TANF program and a

Welfare-to-Work program and become respondents.

The estimated reporting burden in this rulemaking applies only to

the data elements specified in this regulation. DOL and DHHS will

estimate the total burden for the common reporting form in the

Paperwork Reduction Act Notice to be published in the new future.

In calculating the estimates of the reporting burden, we assumed

that most States (but no Indian tribes), would collect the data by

means of a sample.

The annual burden estimates include any time involved collecting

information, pulling records from files, abstracting information,

returning records to files, assembling any other material necessary to

provide the requested information, coordinating with other agencies,

and transmitting the information.

In developing the estimate of paperwork burden, we consulted with

knowledgeable Federal officials and researched the burden estimates for

similar data collections that OMB has approved or is considering.

[[Page 57925]]

----------------------------------------------------------------------------------------------------------------

Number of Average burden

Instrument or requirement Number of responses per hours per Total burden

respondents respondent response hours

----------------------------------------------------------------------------------------------------------------

Welfare-to-Work Data Report--Sec. 276.3 (e).... 61 4 164 40,048

Disaggregated data from the Emergency TANF Data

Report (ACF-198) and from the Interim Tribal

TANF Report (ACF-343)--Sec. 276.3 (c) and (d). 61 4 248 60,512

----------------------------------------------------------------------------------------------------------------

Estimated Total Annual Burden Hours: 100,560.

The estimate for reporting the disaggregated TANF data from the

Emergency TANF and the Interim Tribal TANF Data Reports (as specified

in Sec. 276.3 (c) and (d)) is more than one-third less than the burden

hours for reporting all data in these reports. Earlier, we estimated an

annual total of 97,416 hours to report the Emergency TANF data; since

we are requiring that States report only the disaggregated TANF data

(not the aggregated data) on WtW participants, we estimate the total

annual burden hours to be 60,512 hours.

We encourage State, Indian tribes, organizations, individuals, and

other parties to submit comments in writing regarding the information

collection requirements to the Administration for Children and

Families, Office of Information Services, Division of Information

Resource Management Services, 370 L'Enfant Promenade SW., Washington,

DC 20447, Attn: ACF Reports Clearance Officer.

To ensure that public comments have maximum effect in developing

the final regulations, we urge that each comment clearly identify the

specific section or sections of the interim final rule or the WtW data

collection form that the comment addresses and follow the same order as

the regulations and forms.

We will consider comments by the public on this collection of

information in:

evaluating whether the collections are necessary for the

proper performance of our functions, including whether the information

will have practical utility;

evaluating the accuracy of our estimate of the burden of

the collections of information, including the validity of the

methodology and assumptions used, and the frequency of collection;

enhancing the quality, usefulness, and clarity of the

information to be collected; and

minimizing the burden of the collection of information on

those who are to respond, including through the use of appropriate

automated, electronic, mechanical, or other technology, e.g., the

electronic submission of responses.

As discussed earlier, in order to expedite the collection of

information contained in this interim final rule, we have concurrently,

on a separate track, requested an initial 180 day approval under OMB's

emergency processing procedures. OMB is required to make a decision on

this emergency request within 15 days.

We encourage States, Indian tribes, organizations, individuals, and

other parties to submit comments in writing regarding the emergency

collection requirements to the Office of Information and Regulatory

Affairs, OMB, Room 3208, New Executive Office Building, 725 17th

Street, Washington, DC 20503, ATTN: Desk Officer for ACF.

D. Unfunded Mandates Reform Act of 1995

Section 202 of the Unfunded Mandates Reform Act of 1995 (Unfunded

Mandates Act) requires that a covered agency prepare a budgetary impact

statement before promulgating a rule that includes any Federal mandate

that may result in the expenditure by State, local, and Tribal

governments, in the aggregate, or by the private sector, of $100

million or more in any one year.

If a covered agency must prepare a budgetary impact statement,

section 205 further requires that it select the most cost-effective and

least burdensome alternative that achieves the objectives of the rule

and is consistent with the statutory requirements. In addition, section

203 requires a plan for informing and advising any small government

that may be significantly or uniquely impacted by the interim final

rule.

We have determined that the interim final rule will not result in

the expenditure by State, local, and Tribal governments, in the

aggregate, or by the private sector, of more than $100 million in any

one year. Accordingly, we have not prepared a budgetary impact

statement, specifically addressed the regulatory alternatives

considered, or prepared a plan for informing and advising any

significantly or uniquely impacted small government.

E. Congressional Review

This interim final rule is not a ``major'' rule as defined in 5

U.S.C., Chapter 8.

F. Effective Data and Absence of Notice and Comment

DOL has awarded WtW grants and State and Indian tribes have begun

implementing these grants. Pursuant to 5 U.S.C. 553(b)(B), we have

determined that the statutory mandate to begin information collection

as soon as States and Tribes begin implementing the grants constitutes

good cause for waiving notice and comment proceedings.

In addition we have determined, pursuant to 5 U.S.C. 553(d)(3),

that the WtW statutory mandate provides good cause for waiving the

customary requirement to delay the effective date of a final rule for

30 days following its publication. The short statutory duration of the

WtW grants program underscores the importance of beginning WtW

information collection at the earliest possible date.

Accordingly, the issuance of a proposed rule, rather than an

interim final rule, or delaying the effective date for 30 days, would

be contrary to the public interest. This interim final rule sets a

comment period to elicit any concerns raised by the rule. We have

limited this comment period to 60 days so that any input is received in

time for us to review it in considering any revisions to Part 276 while

the WtW grants program is still in its early stages of operation.

List of Subjects in 45 CFR Part 276

Administrative practice and procedure, Employment, Manpower

training programs, Penalties, Public assistance programs, Reporting and

recordkeeping requirements, Vocational education.

(Catalogue of Federal Domestic Assistance Programs: 17.253

Employment and Training Assistance--Welfare-to-Work Grants to States

and Local Entities for Hard-to-Employ Welfare Recipient Programs;

93.558 TANF Programs-State Family Assistance Grants, Assistance

Grants to Territories, Matching Grants to Territories, Supplemental

Grants for Population Increases and Contingency Fund; 93.559-Loan

Fund; and 93.595-Welfare Reform Research, Evaluations and National

Studies)

[[Page 57926]]

Dated: June 4, 1998.

Olivia A. Golden,

Assistant Secretary for Children and Families.

Approved: July 28, 1998.

Donna E. Shalala,

Secretary, Department of Health and Human Services.

For the reasons set forth in the preamble, part 276 is added to 45

CFR chapter II as follows:

PART 276--DATA COLLECTION AND REPORTING REQUIREMENTS FOR STATES AND

INDIAN TRIBES UNDER WELFARE-TO-WORK GRANTS

Sec.

276.1 What does this part cover?

276.2 What definitions apply to this part?

276.3 What data must States and Indian Tribes file on individuals

and families participating in the WtW program?

276.4 Must the data be filed electronically?

276.5 May States and Indian tribes use sampling?

Authority: 42 U.S.C. 603 and 611.

Sec. 276.1 What does this part cover?

(a) This part explains what information we will collect from States

and Indian tribes on individuals and families participating in the

Welfare-to-Work (WtW) grants program.

(b) This part also specifies electronic filing and sampling

requirements.

Sec. 276.2 What definitions apply to this part?

The following definitions apply to this part:

ACF means the Administration for Children and Families.

Act means Social Security Act.

State means the 50 States of the United States, the District of

Columbia, the Commonwealth of Puerto Rico, the United States Virgin

Islands, Guam, and American Samoa.

TANF means The Temporary Assistance for Needy Families Program.

WtW program means the Welfare-to-Work grants authorized by sections

403(a)(5)(A) or 412(a)(3) of the Act.

Sec. 276.3 What data must States and Indian tribes file on individuals

and families participating in the WtW program?

(a) Each State that receives a grant under section 403(a)(5)(A)

must collect on a monthly basis, and file on a quarterly basis,

information on all individuals and families participating in the WtW

program.

(b) Each Indian tribe that receives a grant under both section

412(a)(1) and section 412(a)(3) must collect on a monthly basis, and

file on a quarterly basis, information on all individuals and families

participating in the WtW program.

TANF Data Report (TANF-ACF-PI-97-6, issued September 30, 1997, OMB

Number 0970-0164, expires September 30, 1998) and the WtW Data Report.

(d) Indian tribes must file the disaggregated information in the

Interim Tribal TANF Data Report (ACF Form 343, issued May 6, 1998, OMB

Number 0970-0176, expires December 31, 1998) and the WtW Data Report.

(e) The WtW Data Report consists of two sections:

(1) Section One consists of disaggregated data on individuals. It

specifies identifying and demographic data, such as the individual's

Social Security Number and information on employment and terminations.

It also includes total dollar expenditures associated with an

individual's participation in specified work activities.

(2) Section Two consists of aggregated data on families

participating in the WtW program. This section also includes two items

of expenditure data.

Sec. 276.4 Must the data be filed electronically?

Each State and Indian tribe must file the information required in

this part electronically, based on format specifications we will

provide.

Sec. 276.5 May States and Indian tribes use sampling?

(a) Each State and Indian tribe may report the disaggregated data

on all WtW participants or on a sample of participants selected through

the use of a scientifically acceptable sampling method that we have

approved. States and Tribes may not use a sample to generate the

aggregate data.

(b) ``Scientifically acceptable sampling method'' means a

probability sampling method in which every sampling unit in the

population has a known, non-zero chance to be included in the sample,

and our sample size requirements are met.

Note: The following appendices will not appear in the Code of

Federal Regulations.

Appendices

Appendix A--Welfare-to-Work Data Report

Section One: Disaggregated Data Collection for Families and

Individuals Participating in the WtW Grant Program

Section Two: Aggregated Data Collection for Families and Individuals

Participating in the WtW Grant Program

Appendix B--WtW Sampling Specifications

Appendix C--Statutory Reference Table for the Welfare-to-Work Data

Report

Section One: Disaggregated Data Collection For Families and

Individuals Participating in the WtW Grant Program

Section Two: Aggregated Data Collection For Families and Individuals

Participating in the WtW Grant Program

WTW Interim Final Rule Appendix A--

Welfare-to-Work Data Report--Section One Disaggregated Data

Collection for Families and Individuals Participating in the

Welfare-to-Work Grant Program

Instructions and Definitions

General Instruction: Under the statute, States and certain

Indian Tribes are required to collect data on families and

individuals participating in the Welfare-to-Work (WtW) Program.

These data are to be collected on a monthly basis and reported on a

quarterly basis to the Secretary of the Department of Health and

Human Services. (DHHS). Quarterly reports are due 45 days after the

close of the quarter.

The State or Tribe should collect and report data for each data

element, unless explicitly instructed to leave the field blank.

State FIPS Code: Enter your two-digit State code from the

following listing. These codes are the standard codes used by the

National Bureau of Standards. Tribes should enter ``00'' for this

field.

------------------------------------------------------------------------

State Code

------------------------------------------------------------------------

Alabama........................................................ 01

Alaska........................................................ 02

American Samoa................................................. 60

Arizona........................................................ 04

Arkansas....................................................... 05

California..................................................... 06

Colorado....................................................... 08

Connecticut.................................................... 09

Delaware....................................................... 10

Dist. of Columbia.............................................. 11

Florida........................................................ 12

Georgia........................................................ 13

Guam........................................................... 66

Hawaii......................................................... 15

Idaho.......................................................... 16

Illinois....................................................... 17

Indiana........................................................ 18

Iowa........................................................... 19

Kansas......................................................... 20

Kentucky....................................................... 21

Louisiana...................................................... 22

Maine.......................................................... 23

Maryland....................................................... 24

Massachusetts.................................................. 25

Michigan....................................................... 26

Minnesota...................................................... 27

Mississippi.................................................... 28

Missouri....................................................... 29

Montana........................................................ 30

Nebraska....................................................... 31

Nevada......................................................... 32

New Hampshire.................................................. 33

New Jersey..................................................... 34

New Mexico..................................................... 35

New York....................................................... 36

North Carolina................................................. 37

North Dakota................................................... 38

Ohio........................................................... 39

Oklahoma....................................................... 40

Oregon......................................................... 41

Pennsylvania................................................... 42

Puerto Rico.................................................... 72

Rhode Island................................................... 44

South Carolina................................................. 45

[[Page 57927]]

South Dakota................................................... 46

Tennessee...................................................... 47

Texas.......................................................... 48

Utah........................................................... 49

Vermont........................................................ 50

Virgin Islands................................................. 78

Virginia....................................................... 51

Washington..................................................... 53

West Virginia.................................................. 54

Wisconsin...................................................... 55

Wyoming........................................................ 56

------------------------------------------------------------------------

Tribal Code: For Indian Tribes, enter the three-digit Tribal

code that represents your Tribe (See attached appendix for a

complete listing of Tribal Codes.) States should leave this field

blank.

Reporting Month: Enter the four-digit year and two-digit month

code that identifies the year and month for which the data are being

reported.

Stratum: Guidance: States and Tribes may submit data for their

entire caseload or for a sample of families (cases). If a State or

Tribe opts to provide data for its entire caseload, enter the same

stratum code (any two-digit number) for each WtW family. All WtW

families selected in a sample from the same stratum must be assigned

the same stratum code. Valid stratum codes may range from ``00'' to

``99''. States and Tribes with stratified samples should provide the

ACF Regional Office with a listing of the numeric codes utilized to

identify any stratification.

Instruction: Enter the two-digit stratum code.

Case Number--TANF: Enter the number assigned by the State TANF

agency or Tribal TANF grantee to uniquely identify the family

participating in the WtW Programs. If the WtW participant is no

longer a member of a TANF family, use the case number previously

assigned to the TANF family. For a non-custodial parent

participating in the WtW Program, use the TANF case number for the

family that includes his(her) child.

Disposition--WtW: Guidance: A family that did not have any

family member participating in the WtW Program for the reporting

month but was included in the monthly sample frame is ``listed in

error.''

Instruction: Enter one of the following codes for the WtW

family.

1 = Data collection completed

2 = Not subject to data collection/listed in error

Person Level Data

This section allows for coding up to six family members

participating in the WtW Program. If, for the reporting month, a

noncustodial parent is participating in WtW activities funded under

section 403(a)(5)(A) or 412 (a)(3), the noncustodial parent must

also be reported in this section as a member of the related TANF

family.

7. Social Security Number: Enter the participant's nine-digit

Social Security Number in the format nnnnnnnnn.

Employment Data

For participants who are employed during the reporting month,

complete this section.

8. Average Hourly Wages: If the family member is engaged in

subsidized employment or on-the-job training under the WtW Program

or if the family member's participation in the WtW activity was

terminated during the reporting month due to obtaining employment,

enter the average hourly wages paid (e.g., $9.50 per hour) for the

reporting month.

9. Average Hours of Work: If the family member is engaged in

subsidized employment or on-the-job training under the WtW Program,

enter the average hours of work per week for the reporting month.

10. Wage Subsidy: If the family member is engaged in subsidized

employment or on-the-job training under the WtW Program, enter the

total amount of any wage subsidy provided from Federal or State

(Tribal) funds for the reporting month.

Data on Amount Expended by Type of Activity

Enter the total dollar expenditures for the reporting month that

are associated with the individual's participation in each of the

WtW activities listed below. Estimates based on ``Generally Accepted

Accounting Principles'' for cost allocation processes are

acceptable. These costs must include Federal and State expenditures

and are exclusive of administrative costs.

11. Community Service:

12. Work Experience Program:

13. Public Sector Employment Wage Subsidy:

14. Private Sector Employment Wage Subsidy:

15. On-the-Job Training:

16. Job Readiness:

17. Job Placement Services:

18. Post-Employment Services:

19. Job Retention Services:

20. Supportive Services:

Termination Data

If the family member's participation in the WtW activity was

terminated during the reporting month, complete the questions in

this section. Otherwise, leave these data elements blank.

21. Reason for Termination of Participation in Welfare-to-Work

Activity: If the family member's participation in the WtW activity

was terminated during the reporting month, enter the one-digit code

that indicates the reason for termination.

1 = Obtained unsubsidized employment

2 = Obtained subsidized employment

3 = Engaged in another work activity (as defined under Section

407(d) of Act for the TANF Program)

4 = Engaged in other training

5 = Increased wages

9 = Other

Welfare-to-Work Data Report--Section Two Aggregated Data Collection

for Families and Individuals Participating In the Welfare-to-Work

Grant Program

Instructions and Definitions

1. State FIPS Code: Enter your two-digit State code. Tribes

should enter ``00'' for this field.

2. Tribal Code: For Indian Tribes only, enter the three-digit

Tribal code that represents your Tribe. States should leave this

field blank.

3. Calendar Quarter: The four calendar quarters are as follows:

First quarter--January--March

Second quarter--April--June

Third quarter--July--September

Fourth quarter--October--December

Enter the four-digit year and one-digit quarter code (in the

format YYYYQ) that identifies the calendar year and quarter for

which the data are being reported (e.g., second quarter of 1997 is

entered as ``19972''.)

Participating Families

For purposes of completing this report, include all families and

individuals participating in services under the Welfare-to-Work

(WtW) Program. All counts of families and individuals should be

unduplicated monthly totals.

4. Total Number of Families: Enter the number of families that

participated in the State (Tribal) WtW Programs for each month of

the quarter.

A. First Month:

B. Second Month:

C. Third Month:

5. Total Number of Participants: Enter the total number of

participants in the State (Tribal) WtW Program for each month of the

quarter.

A. First Month:

B. Second Month:

C. Third Month:

6. Total Number of Non-Custodial Parents: Enter the total number

of non-custodial parents participating in the State (Tribal) WtW

Programs for each month of the quarter.

A. First Month:

B. Second Month:

C. Third Month:

7. Total Number of Families Terminated: For each month of the

quarter, enter the number of families whose participation in the

State (Tribal) WtW Program was terminated.

A. First Month:

B. Second Month:

C. Third Month:

8. Total Number of Participants Terminated: For each month of

the quarter, enter the total number of participants whose

participation in the State (Tribal) WtW Program was terminated.

A. First Month:

B. Second Month:

C. Third Month:

9. Total Number of Non-Custodial Parents Terminated: Enter the

total number of non-custodial parents whose participation in the

State (Tribal) WtW Program was terminated for each month of the

quarter.

A. First Month:

B. Second Month:

C. Third Month:

Expenditures

10. Total Expenditures: Enter the dollar value of all

expenditures under the State (Tribal) WtW Program for the quarter.

Round the amount of expenditure to the nearest dollar.

11. Administrative Cost: Enter the total dollar value of the WtW

funds that were used

[[Page 57928]]

to cover administrative cost or overhead incurred in the WtW

Programs for the quarter.

Appendix B--WtW Sampling Specifications

Title IV-A of the Social Security Act (Act), as amended by the

Personal Responsibility and Work Opportunity Reconciliation Act of

1996, establishes the Temporary Assistance for Needy Families (TANF)

program, which contains the data collection and reporting

requirements for the State and Indian Tribal TANF Programs. The

statute also gives States and Indian Tribes the authority to use

scientifically acceptable sampling methods to comply with the data

collection and reporting requirements of Section 411(a) of the Act.

The Balanced Budget Act of 1997 amended the TANF program and

established the Welfare-to-Work (WtW) program to help those welfare

recipients with the greatest barriers to employment begin engaging

in work activities and move from welfare assistance to permanent

employment.

As amended, section 411(a) establishes as the WtW data

collection and reporting requirements that all 411 (a) data (i.e.,

both the existing TANF data elements and the newly-added WtW data

elements) must be reported for families and individuals

participating in services funded under the WtW Program.

Listed below are the basic sampling specifications that States

and Tribes must use until issuance of the final regulation. If a

State (Tribe) opts to use sampling procedures and sample sizes, it

must use an acceptable sampling methodology and sufficient large

samples to make estimates over various sub-populations, e.g., the

WtW expenditures by type of WtW service.

12. Sample Methodology

The standard statistical methodologies for sample selection are

methods that conform to principles of probability sampling, e.g.,

for WtW, each family in the population of interest has a known, non-

zero probability of selection into the sample and computational

methods of estimation lead to a unique estimate. Suggested methods

of sample selection include systematic random sampling and simple

random sampling.

13. Sample frame(s)

For the families participating in services under the State

(Tribal) WtW Program (i.e., the active sample), the monthly WtW

sample frame must consist of an unduplicated list of all families

with an individual(s) participating in services under the State

(Tribal) WtW program.

14. Sample Size Requirement

If a State (Tribe) opts to report data for a sample of WtW

families, sample size must be sufficiently large to obtain estimate

with relative high precision. Listed below are the sample size

requirements.

a. The minimum annual required sample size for families

participating in services under the State (Tribal) WtW Program

(i.e., the active WtW sample) is 1600 families. The 1600 families

represents the number of case months for which data is collected and

reported out of the total number of case months for which families

participated in WtW services; (e.g., if a State has an average

monthly WtW caseload of 1,000 families, it has a total of 12,000

case months).

b. The Statute requires States (Tribes) to collect data on a

monthly basis and report data on a quarterly basis. Therefore,

States (Tribes) must construct a sample frame for each month in the

annual sample period and select approximately one-twelfth of the

annual sample size from each monthly sample frame (approximately 133

families are to be selected each month from the above example).

d. Insufficient number of families on listing to meet minimum

sample size requirements:

If a State (Tribe) does not have enough families participating

in services under the WtW Program to meet the required annual sample

size, the State (Tribe) should select 100% of such families.

f. Each State (Tribe) must submit the total unduplicated number

of families participating in services under the State (Tribal) WtW

Program by stratum for each month in the annual sample period. This

data is required for weighting the sample results in order to

produce estimates for the entire caseload.

Appendix C--WTW Interim Final Rule: Statutory Reference Table for the

Welfare-to-Work Data Report--Section One

[Disaggregated Data Collection for Families and Individuals

Participating in the Welfare-to-Work Grant Program]

------------------------------------------------------------------------

Data elements Justification

------------------------------------------------------------------------

1. State FIPS Code........... Implicit in administering data collection

system.

2. Tribal Code............... Implicit in administering data collection

system.

3. Reporting Month........... Implicit in administering data collection

system.

4. Stratum................... Implicit in administering data collection

system.

5. Case Number--TANF......... Implicit in administering data collection

system.

6. Disposition--WtW.......... Implicit in administering data collection

system.

7. Social Security Number.... This information is readily available.

States use Social Security Numbers to

carry out the requirements of IEVS (see

sections 409(a)(4) and 1137 of the Act).

States may use it as the link with TANF

records. We need this information for

statistical purposes, such as evaluation

of the WtW Program as required in

section 413(j) and research as required

in section 413(g) of the Act.

8. Average Hourly Wages...... Section 411(a)(1)(A)(xviii)(III) requires

States to report the wages paid to any

participant in subsidized employment or

on-the-job training. For more accurate

reporting, ``wages paid'' is broken into

average hourly wages and average hours

of work.

9. Average Hours of Work..... Section 411(a)(1)(A)(xviii)(III) requires

States to report the wages paid to any

participant in subsidized employment or

on-the-job training. For more accurate

reporting, ``wages paid'' is broken into

average hourly wages and average hours

of work. Section

411(a)(1)(A)(xviii)(IV).

10. Wage Subsidy............. Required under section

411(a)(1)(A)(xviii)(III).

11. Community Service........ Section 411(a)(1)(A)(xviii) (I) and (II)

requires that States report the total

amount expended during the month for

each participant for each activity