1. (a) The purpose of this rule is to interpret Texas Labor Code, §302.062, as enacted in House Bill 1863, 74th Legislature (1995), relating to the allocation of available funds for workforce training and services from the Texas Workforce Commission to workforce areas. It is the intent of the Commission to allocate funds to workforce areas for the purpose of meeting or exceeding statewide performance measures as set forth in the state General Appropriations Act and consistent with the authority reflected in Texas Labor Code Section 302.004. This subchapter sets forth the level required by law to be allocated to workforce areas. The Commission is committed, whenever possible, to allocating an amount of funds available for workforce training and services greater than the minimum level set by law.
2. (b) Funds allocated or reallocated under this subchapter will only be made available to the local boards under the terms of a properly executed contract between a certified local board with an approved plan and the Commission.
3. (c) The allocation formulas described in this subchapter will only be applicable for allocations and executed contracts for a complete state fiscal year. For contract periods of less than a complete state fiscal year, the allocated amounts will be negotiated between the Commission and the Board, based upon the remaining months of the state fiscal year.
4. (d) Subsections (a)-(c) of this section shall apply to all sections contained in this subchapter unless a section specifically states otherwise.
5. (e) Funds available to the Commission that are not otherwise allocated or reallocated under this subchapter, may be used by the Commission for purposes authorized by state and federal laws and regulations.

6. (f) Notwithstanding any other provision of the rules contained in this part, the level of funding allocated to a workforce area may be modified or reallocated by the Commission for one or more of the following reasons:

   1. (1) to ensure full utilization of the funding;
   2. (2) to ensure compliance with State and federal requirements applicable to the State;
   3. (3) to meet the State's federal participation rates;
   4. (4) to respond to caseload changes; or
   5. (5) to respond to unforeseen demographic or economic changes.

Source Note:The provisions of this §800.51 adopted to be effective September 3, 2001, 26 TexReg 6719.