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(CB-97-05) Information regarding the Job Location and Development Program under the Federal Work-Study programs.

DCLPublicationDate: 5/1/97
DCLID: CB-97-5
AwardYear:
Summary: Information regarding the Job Location and Development Program under the Federal Work-Study programs.

May 1997

CB-97-5



SUMMARY: Information regarding the Job Location and
Development Program under the Federal Work-Study programs.

REFERENCE: This letter supplements Chapter 7, Section 6 of the
Federal Student Financial Aid Handbook.

Dear Colleague:

The enclosure to this letter provides additional information in the
form of Questions and Answers on the Job Location and
Development (JLD) Program. The JLD Program along with the
Federal Work-Study (FWS) Program and the Work-Colleges
Program are known collectively as the Federal Work-Study
programs.

With the funding for the FWS Program for the 1997-98 award year
increasing to $830 million, many institutions have expressed an
interest in the JLD Program. The JLD Program offers an excellent
opportunity for institutions to locate and develop off-campus jobs for
currently enrolled students who are FWS and non-FWS eligible. The
Department strongly encourages institutions to use the JLD Program
to expand community service job opportunities for students,
particularly as reading tutors of children.

We appreciate your assistance and cooperation as we work to expand
the Federal Work-Study programs. If you have any questions on the
JLD Program, please contact the Department's SFA Customer
Support Branch. Staff members are available Monday through
Friday between the hours of 9:00 am and 5:00 pm (Eastern Time) at
1-800-433-7327. You may e-mail an inquiry to the Customer
Support Branch at csb@ed.gov or fax an inquiry at
(202) 260-4199.

Sincerely,


Elizabeth M. Hicks
Deputy Assistant Secretary
Student Financial Assistance Programs

Enclosure


Job Location and Development Program


1. QUESTION: What is the Job Location and Development (JLD)
Program?

ANSWER: The JLD Program is one of the Federal Work-Study
programs. An institution is allowed to use part of the Federal funds
it receives under the Federal Work-Study (FWS) Program to
establish or expand a JLD Program to locate and develop off-campus
jobs for currently enrolled students who want jobs, regardless of their
financial need. The JLD Program encourages students to participate
in community service activities.

2. QUESTION: What is the specific dollar limit on the FWS
Federal funds that may be used for the JLD Program?

ANSWER: An institution may use up to the lesser of $50,000 or
10 percent of its total FWS allocation to establish or expand a JLD
Program.

3. QUESTION: Does the JLD Program require institutions to
provide an institutional share?

ANSWER: Yes. When an institution participates in the JLD
Program, the Federal funds may pay up to 80 percent of the
allowable costs. The institution must provide the remaining 20
percent of allowable costs either in cash or in services. The
institution's 20 percent share may be either (1) 20 percent of each
allowable cost, or (2) varying percentages of allowable costs as long
as its total expenditures of institutional funds and/or provision of
services equals at least 20 percent of the total allowable costs for the
JLD Program. The institution must maintain records that indicate the
amount and sources of its share. The fiscal procedures and records
requirements for JLD are the same as those for the FWS Program.

4. QUESTION: Does the JLD Program provide for a waiver of the
institutional share requirement?

ANSWER: No. The JLD institutional share requirement, unlike
the institutional share requirement for FWS earnings, cannot be
waived.

5. QUESTION: What are allowable costs of carrying out the JLD
Program?

ANSWER: Allowable costs of carrying out the JLD Program
include:

- staff wages and salaries (may also include fringe benefits if they
are the same as those paid to other institutional employees in
comparable positions and the fringe benefits are not paid to an FWS
student);

- travel expenses;

- printing and mailing costs;

- telephone charges, including installation of a separate line for
off-campus employers;

- costs for supplies, equipment, and furniture;

- newspaper or other types of advertising; and

- costs for workshops for students and employers.

6. QUESTION: What costs are not allowable under the JLD
Program?

ANSWER: Costs that are not allowable are costs related to
purchasing, constructing, or altering the facilities that house a JLD
project. Indirect administrative costs also are not allowable. One
example of an indirect administrative cost is a portion of the salary of
someone who is not directly involved in the program such as the JLD
director's supervisor. Other examples of indirect administrative costs
are lighting, heating, or custodial costs incurred as a part of the
normal operations of the facility in which the JLD Program is
administered such as the financial aid or placement offices.

7. QUESTION: If an institution is eligible to participate in the FWS
Program, is it automatically qualified for JLD?

ANSWER: Yes. An institution eligible to participate in the FWS
Program is also eligible to participate in the JLD Program.

8. QUESTION: When an institution that is currently participating in
the FWS Program wants to participate in the JLD Program must it
make prior contact with the Department or have its Program
Participation Agreement (PPA) revised?

ANSWER: No. An institution that is currently participating in the
FWS Program does not have to contact the Department for the
purpose of participating in the JLD Program. The fact that the
institution has an executed PPA for the FWS Program means that the
institution is also able to participate in the JLD Program without any
prior contact with the Department or revision to its PPA. The
institution under the PPA agrees to administer the JLD Program
according to the appropriate statutory and regulatory provisions.

9. QUESTION: Is there any information that an institution must
provide to the Department if it participates in the JLD Program?

ANSWER: Yes. An institution that participates in the JLD
Program during an award year must provide information about its
JLD activities on the Fiscal Operations Report and Application to
Participate (FISAP). The institution provides total JLD expenditures,
Federal expenditures for JLD, institutional expenditures for JLD,
number of students for whom jobs were located or developed, and
total earnings for those students.

10. QUESTION: Must an institution under the JLD Program
generate a certain amount of student wages?

ANSWER: Yes. Under the JLD Program, an institution must
locate and develop jobs that generate total student wages exceeding
the total amount of the Federal funds spent under the JLD Program.

11. QUESTION: May an institution participating in FWS enter into
a written agreement with other participating institutions to establish
and operate a JLD Program?

ANSWER: Yes. An institution that is participating in FWS may
enter into a written agreement with other FWS participating
institutions to establish and to operate a JLD Program for its
students. The agreement must designate the administrator of the
program and must specify the terms, conditions, and performance
standards of the program. Each institution that is part of the
agreement retains responsibility for properly disbursing and
accounting for the Federal funds it contributes under the agreement.
For example, each institution must show that its own students have
earned wages that exceed the amount of Federal funds the institution
contributed to locate and develop those jobs.

12. QUESTION: What types of organizations should an institution
contact to locate and develop jobs through the JLD Program?

ANSWER: Jobs located or developed under the JLD Program
may be for either a profit or nonprofit employer.

13. QUESTION: May the JLD Program be used to locate and
develop jobs for FWS students?

ANSWER: Yes. Federal JLD funds are to be used to pay the
institution's costs of establishing and administering the JLD Program
under which jobs are located and developed for FWS and non-FWS
eligible students. However, using JLD funds to find jobs only for
FWS students would not satisfy the statutory requirement to expand
off-campus jobs for currently enrolled students who want jobs,
regardless of their financial need.

14. QUESTION: May JLD Program funds be used to locate and
develop jobs at the institution or at other eligible institutions?

ANSWER: No. The institution cannot use JLD funds to locate
and develop jobs at the institution or at other eligible institutions.
The JLD funds can only be used to locate and develop jobs off-
campus.

15. QUESTION: May JLD funds be used to pay students whose
jobs were located and developed through the program?

ANSWER: No. The JLD funds are not to be used to pay students
whose jobs were located and developed through the JLD Program.

16. QUESTION: May an institution employ FWS and non-FWS
students as staff in the JLD Program?

ANSWER: Yes. An institution may employ FWS and non-FWS
students as staff in the JLD Program. The prohibition against using
JLD funds to locate and develop jobs at any institution does not
include the hiring of students to work as staff for the JLD Program
itself because the JLD staff jobs were not located and developed with
JLD Program funds.

17. QUESTION: May the Federal JLD funds be used to pay the
non-Federal share of the wages earned by FWS students working as
staff in the JLD Program?

ANSWER: No. The use of any funds allocated under the FWS
Program is prohibited from being used to pay the non-Federal share
of FWS compensation to its students. However, since JLD allowable
costs include staff salaries, the institution with its own funds would
pay the non-Federal share of the wages earned by FWS students
working as staff in the JLD Program and count those funds in
meeting the minimum 20 percent institutional share requirement.

18. QUESTION: May the institution under the JLD Program locate
and develop jobs for students to obtain upon graduation?

ANSWER: No. The program locates and develops off-campus
employment opportunities for students during and between periods
of attendance. The program may not be used for the placement of
students in jobs upon graduation.

19. QUESTION: Does the JLD Program encourage locating and
developing jobs for students that provide community services?

ANSWER: Yes. The statement of purpose for the JLD Program
includes the encouragement of participation in community service
activities. Further, the JLD Program description notes that funds are
to be expended to establish or expand a program to locate and
develop jobs, including community service jobs. However, the JLD
Program does not have a specific minimum community service
requirement as does the FWS Program.

20. QUESTION: Does the JLD Program have a requirement similar
to the one for the FWS Program that jobs, to the maximum extent
practicable, complement and reinforce the educational programs or
vocational goals of the students in question?

ANSWER: Yes. Under the JLD Program, the jobs located and
developed must be suitable to the scheduling and other needs of the
students and, to the maximum extent practicable, must complement
and reinforce the educational programs or vocational goals of these
students.

21. QUESTION: May the jobs located and developed under the
JLD Program be full-time?

ANSWER: Yes. The jobs located and developed under the JLD
Program may be either full-time or part-time.

22. QUESTION: May jobs located and developed under the JLD
Program result in the displacement of employed workers?

ANSWER: No. The jobs located and developed under the JLD
Program must not displace employees or impair existing service
contracts.

Last Modified: 04/30/1997