1974

1,798,584,000 2,048,584,000 2,546,584,000 2,265,584,000 1975 2,457,100,000 2,908,050,000 1/2,777,450,0001/ 2,852,450,000 1/ 1976 2,394,400,000 2,388,400,000 2,394,400,000 2,388,400,000

1/ Excludes $15,300,000 transferred to the Community Services Administration

67-529 - 76-4

1/ Includes $2,000,000 in new budget authority for activities authorized under the Trade Act of 1974.

2/ Excludes estimated reimbursements of $350,000.

3/ Excludes supplemental budget requests for Fiscal Years 1976 and 1977 proposed for later transmittal. The $67,444,000 is unobligated Fiscal Year 1975 funds available for obligation through September 30, 1975.

4/ Excludes $70,000 of Technical Assistance and Training funds to be transferred to the Bureau of Labor Statistics in Fiscal Year 1977.

This activity provides Federal financial assistance to qualified State and local governmental units called prime sponsors and to Indian tribes who design and operate comprehensive employment and training assistance programs as authorized by title I and II of the Comprehensive Employment and Training Act of 1973, as amended.

Programs and services authorized under title I can include the institutional and on-the-job training, work experience, vocational education, job placement services and transitional public service employment.

Eighty percent of the total funds appropriated for title I is allocated to eligible prime sponsors in accordance with the following formula:

· 50 percent is distributed based on the sponsor's proportionate
share of funds allocated in the previous fiscal year.

⭑ 37.5 percent is distributed on the basis of the number of
unemployed in the sponsor's area compared with the total number
of unemployed in all prime sponsor jurisdictions.

⭑ 12.5 percent is distributed based on the proportion of adults
in low-income families residing in prime sponsor's area.

The remaining twenty percent of title I funds is used as follows:

5 percent is available for grants to Governors for vocational
training services.

Not more than 5 percent is available to encourage consortia
of local governments to act as prime sponsors.

4 percent is for flexible State activities.

6 percent is for the discretionary use of the Secretary of
Labor.

Title II of the Act authorizes programs of transitional public service employment and training in areas which have a rate of unemployment of 6.5 percent or more for three consecutive months.

Eighty percent of the total funds appropriated for title II is allocated to prime sponsors qualified under title I in accordance with the number of unemployed residing in areas of substantial unemployment within their jurisdiction compared to the number of unemployed residing in all such areas, maining twenty percent of the title II funds is distributed by the Secretary at his discretion, taking into account the severity of unemployment within eligible areas.

The re

In 1975, the first full year of program operations under the newlyenacted Comprehensive Employment and Training Act, prime sponsors throughout the country moved rapidly to implement program operations.

In total, 403 States and units of local government received grants to carry out programs under titles I and II.

A total of $1,585,078,000, including $30,490,000 of unobligated 1974 funds was obligated during Fiscal Year 1975 to provide employment and training services under title I. The following table shows the amounts obligated, enrollees served and years of service provided for each program activity.

The program approach described as "Other Activities" may include such activities as the removal of artificial barriers to employment, job restructuring, revision or establishment of merit systems, and development and implementation of affirmative action plans.

The characteristics of the enrollees served under title I of the Act during Fiscal Year 1975 were as follows:

The first full year of operation was characterized by dramatic changes in economic conditions and offered an unusual opportunity to assess local ability to respond to changing needs. A survey of title I planned activities as they appeared in initial grant applications during the first and second quarters of Fiscal Year 1975, before the economic downturn, shows that the planned distribution of resources among program activities generally followed the distribution patterns determined nationally through categorical programs during 1974. As the year progressed and unemployment rates rose, prime sponsors changed their plans for expenditures of title I funds among program components.

The available data seems to indicate a shift away from classroom and onthe-job training programs to work experience programs related to the general scarcity of jobs brought about by the economic conditions. The following table shows the degree to which changes in program mix were made by prime sponsors as economic conditions changed.

Comparison of FY 1975 Title I Planned Expenditures by Program
Activity with FY 1974 Categorical Programs and FY 1975

"Services to clients" in the table above were redistributed among the activities in the 1974 actual data.

Cumulative termination data for title I participants for FY 1975 are shown in the following table. Direct placements include individuals placed in unsubsidized employment after receiving only intake, assessment and/or job referral services under the Act. Indirect placements include persons placed in unsubsidized employment after participating in training, employment or supportive services. Self placements include those individuals who found jobs through their own efforts. Other positive terminations include participants who have not been placed in unsubsidized employment but who are engaged in other activities which increase employability. These four categories constitute positive terminations. Non-positive terminations include those who have terminated the program for various other reasons.