Dislocated Workers:

Expenditures Under Title III of the Job Training Partnership Act

HRD-90-93FS: Published: Feb 23, 1990. Publicly Released: Feb 23, 1990.

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Pursuant to a congressional request, GAO assessed state spending patterns for dislocated worker assistance under title III of the Job Training Partnership Act (JTPA) and the Economic Dislocation and Worker Adjustment Assistance Act (EDWAA), focusing on: (1) state title III spending patterns; (2) participant costs; (3) EDWAA transition expenditures; and (4) the Secretary of Labor's allocation and spending of discretionary funds.

GAO found that: (1) from 1985 through 1987, title III expenditures averaged about $185.6 million per year; (2) in 1988, spending increased from $172.4 million to $246.5 million, or 43 percent, due to the enactment of EDWAA, which limited the amount of funds that could be carried over to the next year; (3) from 1987 through 1988, the cost per participant increased from $940 to $1,200, or 28 percent, due to states' increased spending for dislocated worker assistance; (4) from 1987 to 1988, 39 states increased their participant costs, but the amount varied by state; (5) 11 states spent more than 10 percent of their 1988 allocation for EDWAA transition activities; and (6) some states received a much higher proportion of discretionary funds than the formula allocated to them.

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