Title 29 › CHAPTER 32 — WORKFORCE INNOVATION AND OPPORTUNITY › SUBCHAPTER I — WORKFORCE DEVELOPMENT ACTIVITIES › Part B — Workforce Investment Activities and Providers › subpart 1 — workforce investment activities and providers › § 3151
Local workforce boards, with the OK of the local elected leader, must create and run a local "one-stop" system that helps people find jobs and training. The local board must make a written agreement (a memorandum of understanding) with required and any approved additional partners, pick or certify who runs the one-stop centers through a competitive process, and watch over how the system works. Required partners come from a set of federal programs such as Wagner‑Peyser employment services, adult education, most vocational rehabilitation, Older Americans Act services, Perkins career and technical education, Trade Act services, Department of Veterans Affairs programs, Community Services Block Grant and HUD employment activities, state unemployment programs, certain education programs, and part A of Title IV of the Social Security Act (unless the Governor says in writing not to include that agency and tells the Secretaries of Labor and Health and Human Services). Other partners can join if the local board and elected official agree. The memorandum must say what services the one-stop will offer, how those services and operating costs will be paid (including cash and in-kind contributions and infrastructure costs), how people will be referred between partners, how the needs of workers, youth, and people with barriers (including people with disabilities) will be met, and how long the agreement lasts and how it will be reviewed at least once every 3 years. One-stop operators must be effective local organizations or consortia (the consortia must include at least three required partners) such as colleges, state employment offices, nonprofits, private businesses, or government agencies. Elementary and regular secondary schools are not eligible to run centers, though some nontraditional secondary and area career schools may be allowed. Operators must report conflicts of interest, not discourage serving people who need long-term help, and follow federal procurement rules. Every local area that gets federal workforce money must have at least one physical one-stop center. The centers must offer career services, access to training and employment activities, partner programs, and Wagner‑Peyser job search and placement services. Services may also be offered at affiliated sites or through electronic access. Wagner‑Peyser staff should be colocated with the centers. States must set objective rules to review one-stop centers at least once every 3 years for effectiveness and accessibility. Centers that meet those rules can get infrastructure funding. Local partners should first agree on how to pay infrastructure costs in the memorandum. If they cannot agree, starting July 1, 2016 the State funding system applies. The Governor will decide how much each partner program must contribute based on how much they use the centers, but those partner payments generally must come from each program’s administrative funds and are capped: programs under WIA formulas and Wagner‑Peyser may not pay more than 3% of their federal funds in the State for a fiscal year; other partner programs may not pay more than 1.5%; vocational rehabilitation programs have a phased cap of 0.75% for the second full program year after July 22, 2014, 1.0% for the third, 1.25% for the fourth, and 1.5% for the fifth and later full program years after that date. The Governor must set an appeal process for partners who disagree with funding decisions. The State board will make a formula to divide any state-level infrastructure funds to local areas based on factors like number of centers, population served, services offered, and center performance. In addition to infrastructure funding, partners must use program funds or noncash resources as agreed in the memorandum to cover other shared costs such as career services, intake, assessments, referrals, and common services.
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Legislative History
Reference
Citation
29 U.S.C. § 3151
Title 29, Labor
Last Updated
Sep 23, 2026
Release point: 119-110