Can STT use funding from a state/territory grant to administer the regular UI program from the Department of Labor or funding provided or for administration of CARES Act programs to pay for administration of the supplemental lost wages assistance program?

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The COVID-19 incident period ended on May 11, 2023. FEMA will continue to provide funeral assistance until Sept. 30, 2025, to those who have lost loved ones due to this pandemic.

May a state, territory and the District of Columbia use funding from its state/territory grant to administer the regular UI program from the Department of Labor or funding provided under the Reed Act, section 4102 of the Families First Coronavirus Response Act, or for administration of CARES Act programs to pay for administration of the supplemental lost wages assistance program?

No, if a state, territory and the District of Columbia uses Unemployment Insurance (UI) resources that are currently used to support administration of the UI programs (such as the UI IT systems, staff, call-centers, and building costs) to support administration of the supplemental lost wages assistance program, then the state/territory must develop a cost allocation plan. This is necessary to ensure that funding from USDOL-funded UI programs only supports those programs and FEMA funding for the supplemental lost wages assistance program only supports administration of the supplemental lost wages assistance program.

However, the underlying benefit costs and administrative costs for the regular UI program may be used to support the cost share for administrative costs.   

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