1. (a) For Child Care (excluding unmatched federal Child Care funds that are contingent upon a Board securing local funds), Choices, Welfare-to-Work general revenue funds, and Food Stamp Employment and Training funds provided by the Commission, the Commission may deobligate funds allocated to Boards if a Board fails to meet the following target expenditure levels applicable to the beginning of the year allocations less any deobligated amounts:

   1. (1) by the end of the fourth month following the beginning of the program year, reported expenditure level of at least 25%;
   2. (2) by the end of the eighth month following the beginning of the program year, reported expenditure level of at least 55%; and

   3. (3) by the end of the twelfth month following the beginning of the program year, reported expenditure levels of:

      1. (A) at least 97% for Child Care, unless the workforce area has an allocation of less than $5,000,000, in which case the Board shall expend at least 95% for Child Care;
      2. (B) at least 95% for Choices;
      3. (C) at least 95% for Welfare-to-Work general revenue funds; and
      4. (D) 100% for Food Stamp Employment and Training, unless federal requirements permit a lower amount, in which case the level shall be at least 95%.
2. (b) The Commission may deobligate and reallocate, as provided in §§800.74 and 800.75 of this subchapter, relating to Deobligation of Funds and Reallocation of Funds, any balances not expended by the end of the fourth month of the next program year. The Commission may consider obligated funds in reviewing the Board's compliance with subsection (a) of this section, as well as other factors necessary to evaluate a Board's performance in determining the amount of funds to deobligate and reallocate.

3. (c) For unmatched federal Child Care funds that are contingent upon a Board securing local match funds, a Board shall meet the following performance requirements.

   1. (1) By the end of the fourth month following the beginning of the program year, Boards shall secure donations, transfers and certifications totaling at least 100% of the amount a Board needs to secure in order to access the unmatched federal Child Care funds available to the workforce area at the beginning of the program year.
   2. (2) Throughout the program year and by the end of the twelfth month, Boards shall ensure completion of all donations, transfers and certifications consistent with the contribution schedules and payment plans specified in the local agreements.

4. (d) For WIA formula allocated funds for each category of funding, a Board shall meet the following reported levels for each of the categories of funding:

   1. (1) By the end of the twelfth month following the beginning of a program year, Boards shall obligate at least 80% of the allocation for each category of funding less any amount reserved up to 10% for costs of administration.
   2. (2) By the end of the 24th month following the beginning of a program year, Boards shall expend 100% of the allocation for each category of funding.

Source Note:The provisions of this §800.73 adopted to be effective September 3, 2001, 26 TexReg 6719.