Trade Act of 2009

1. Trade Act of 2009 Reauthorization of the Trade Adjustment Assistance Program Terri Warren Dave Smith

2. Changes to Group Eligibility Numbered Greater than 70,000 New Requirements • Group must manufacture a product or supply a service • Absolute decline in sales or production due to: • imports of a similar product • or • shift of production or service to any foreign country • Workers in public agencies

3. Changes to Group Eligibility New Requirements – Greater than 70,000 • Workers producing component parts • Workers supplying testing, packaging, maintenance, and transportation services to TAA certified companies • Identified by the International Trade Commission

4. greatly expand the number of eligible workers • worker groups already covered under a certification can not reapply • pending petitioners were given the opportunity to withdraw and reapply • downstream or secondarily impacted workers can be certified if they provide services as well as products Changes to Group Eligibility

5. Changes to Training New Requirements – Greater than 70,000 • Allow TAA training prior to separation • Allow part-time training without TRA • Extend the deadline for enrolling in training to qualify for TRA to 26 weeks

6. Changes to Training • National funding for TAA increased from $220,000,000 to $575,000,000 • Pre-layoff training must be for a position other than the worker’s present position

7. Changes to Training • If a TAA training request meets all of the TAA approval criteria, it must be approved • Only the state TWC TAA unit can deny a request for TAA training • Statewide reasonable cost amount will be established

8. Changes to Training • If no remedial/prerequisites training is required, then the maximum length of TAA training is 130 weeks • If 26 or more weeks of remedial/prerequisites training is required, then the maximum length of TAA training is 156

9. Changes to Administration and Service Delivery New Requirements – Greater than 70,000 • Provide workers with entitlement to case management services and designate funds for this purpose • Allow states to waive deadlines for returning service members

10. Changes to Administration and Service Delivery Petitions Numbered Greater Than 70,000 New Requirements • Protect workers from delays caused by administrative appeals • Allow states to use the “good cause” provisions in their laws for all time limitations governing TRA and enrollment in training

11. Changes to Waivers Petitions Numbered Greater Than 70,000 New Requirements • Necessitate enrollment in TAA training or have waiver within 26 weeks of the certification date or separation date • Allow Unemployment Insurance (UI) good cause exception

12. Changes to Waivers Petitions Numbered Greater Than 70,000 New Requirements • Necessitate enrollment in TAA training or have waiver within 26 weeks of the certification date or separation date • Training requirement can only be waived for Basic TRA

13. Changes to Waivers Petitions Numbered Greater Than 70,000 New Requirements • No waiver review is necessary if issued for retirement • No other waivers review for the first 90 days • Workers with post-graduate degrees can be assumed to have marketable skills

14. Changes to Waivers • Good Cause exception can be applied if workers were not sent eligibility notice in a timely manner • In this case, the worker must be enrolled in training or have a waiver within 60 days of eligibility notification

15. Changes to Waivers • The waiver must be entered into TWIST during the quarter it is approved • The purpose of extending the waiver deadline is to allow the worker more time to do job search before making a training decision

16. Workers who receive a waiver should still have a reemployment plan and case management • If the reason for issuing a waiver ceases to exist, the waiver should be revoked. The ensuing ineligibility determination from TRA can be appealed Waivers

17. Trade Act of 2009 All Change that Applies to All Petitions All

18. TAA training options cannot be limited to the WIA Eligible Training Provider List

19. Changes to Job Search and Relocation Petitions numbered greater than 70,000 New Requirements • Job Search pays 100% of allowable costs • Job Search capped at $1,500

20. Changes to Job Search and Relocation Petitions Numbered Greater than 70,000 New Requirements • Relocation pays 100% of allowable costs • Relocation may pay a lump sum payment of $1,500

21. Changes to Income Support (TRA) Petitions numbered greater than 70,000 New Requirements • Deadlines • Later of 26 weeks from certification or separation • Eliminates 210 deadline

22. Changes to Income Support (TRA) New Requirements – Greater than 70,000 • Adds good cause provision that can: • provide an exception to the enrollment date

23. Changes to Income Support (TRA) New Requirements – Greater than 70,000 • Adds good cause provision that can: • allow for an extension (up to 45 days) of the enrollment date due to extenuating circumstances

24. Changes to Income Support (TRA) New Requirements – Greater than 70,000 • Adds good cause provision that can: • allow for a change to the eligibility period of a TRA claim due to the result of an appeal decision

25. Changes to Income Support (TRA) New Requirements – Greater than 70,000 • Adds good cause provision that can: • allow states to apply their “good cause” provision to all time limitation governing TRA and enrollment in training

26. Changes to Income Support (TRA) New Requirements – Greater than 70,000 • Increased weeks of TRA(Additional): • 78 weeks of benefits

27. Changes to Income Support (TRA) New Requirements – Greater than 70,000 • Increased time for payment of TRA (Additional): • can pay over a 91 week period

28. Changes to Income Support (TRA) New Requirements – Greater than 70,000 • Remedial training: • 26 more weeks for perquisite training as well as remedial • 156 weeks including UI entitlement

29. Changes to Income Support (TRA) New Requirements – Greater than 70,000 • Enrolled in training: • Individual must be enrolled in training within 30 days after the date the waiver is terminated

30. Changes to Income Support (TRA) New Requirements – Greater than 70,000 • Pre-separation training: • is allowed • an individual is allowed only one training program per certification one

31. Changes to Income Support (TRA) New Requirements – Greater than 70,000 • Part-time training: • is allowed • but TRA will not pay for part-time training will not pay

32. Changes to Income Support (TRA) New Requirements – Greater than 70,000 • If working while receiving TRA/TRX: • earning will not be deducted from TRA benefits • unless earnings exceed the TRA weekly benefit amount

33. Changes to Income Support (TRA) New Requirements – Greater than 70,000 • Choice of UI versus TRA: • Trade effected workers may elect to receive TRA instead of UI • if second UI benefit year is based on part-time or short-term employment with a lower WBA

34. Changes to Alternative Trade Adjustment Assistance Petitions numbered greater than 70,000 New Requirements • Program: • Reemployment Trade Adjustment • Assistance (RTAA)

35. Changes to Alternative Trade Adjustment Assistance New Requirements – Petitions greater than 70,000 • Age requirement: • Fifty (50) years • RTAA approved: • Does not require a separate certification of group eligibility

36. Changes to Alternative Trade Adjustment Assistance New Requirements – Petitions greater than 70,000 • TRA Participant: • Workers may participate in TAA approved training and receive TAA services and benefits

37. Changes to Alternative Trade Adjustment Assistance New Requirements – Petitions greater than 70,000 • Deadline date to qualify: • Eliminates this requirement

38. Changes to Alternative Trade Adjustment Assistance New Requirements – Petitions greater than 70,000 • Qualified employment: • Requires full-time employment • or • allows part-time employment, if the worker is enrolled in TAA

39. Changes to Alternative Trade Adjustment Assistance New Requirements – Petitions greater than 70,000 • New employer annual wage limit: • Below $55,000

40. Changes to Alternative Trade Adjustment Assistance New Requirements – Petitions greater than 70,000 • Health Care Tax Credit (HCTC): • Participants are eligible for HCTC

41. Changes to Health Care Tax Credit • Health Care Tax Credit (HCTC): • increasing to 80% • tax credit percentage increased from 65% to 80% beginning with April 2009 invoices to monthly HCTC participants

42. Changes to Health Care Tax Credit • TAA recipient definition has changed to include individuals who are: • receiving unemployment compensation, whether or not they meet the TAA enrollment in training requirements • on a break in training that exceeds 30 days during the time frame covered by TRA

43. Changes to Health Care Tax Credit • New COBRA premium subsidies make individuals ineligible for the HCTC • If an individual elects the 65% COBRA Premium Subsidy from their employer ─ a new program established by the economic stimulus bill ─ it will disqualify the individual from receiving the 80% HCTC during that same month

44. Changes to Health Care Tax Credit • COBRA benefits have been extended • The maximum period for COBRA benefits now matches the maximum period for TAA eligibility

45. Changes to Health Care Tax Credit • HCTC Continuation for Family Members • Beginning in January 2010, qualified family members may continue receiving the HCTC for up to 24 months after the primary eligible individual is no longer receiving the HCTC due to certain life events, including divorce, death or enrollment in Medicare

46. Changes to Health Care Tax Credit • Retroactive HCTC payments will soon be available to monthly participants • Beginning in August 2009, newly-enrolled HCTC participants will be able to receive a credit on their HCTC account for qualified health insurance payments they paid while enrolling in the monthly HCTC Program

47. Questions