COMMENT DUE DATE:  

July 17, 2017

DATE: 

July 6, 2017

Laura Brown, Adult and Family Services 405-521-4396

Dena Thayer, Programs Administrator, 405-521-4326

Nancy Kelly, Policy Specialist 405-522-6703

RE:  

APA WF 17-17

It is very important that you provide your comments regarding the DRAFT COPY of policy by the comment due date. Comments are directed to *STO.LegalServices.Policy@okdhs.org. 

The proposed policy is  Emergency .  This proposal is subject to Administrative Procedures Act

It is important that you provide your comments regarding the draft copy of policy by the comment due date.Comments are directed to STO.LegalServices.Policy@okdhs.org.The proposed policy is emergency.

SUBJECT:Chapter 10. TEMPORARY ASSISTANCE FOR NEEDY FAMILIES (TANF)

Subchapter 2. Temporary Assistance for Needy Families (TANF) Work Program

OAC 340:10-2-2 Instructions to Staff Only [AMENDED]

OAC 340:10-2-4 [AMENDED]

Subchapter 3. Conditions of Eligibility – Need

Part 3. Income

OAC 340:10-3-31.1. Earned income disregard [AMENDED]

(Reference WF 17-17)

SUMMARY:

Subchapter 2. Temporary Assistance for Needy Families (TANF) Work Program

Oklahoma Administrative Code (OAC) 340:10-2-2 Instructions to staff is revised to: (1) add clarifying information; (2) revise the good cause definition of affordable child care; and (3) update instruction regarding Child Care Subsidy and SoonerCare (Medicaid) eligibility when the Temporary Assistance for Needy Families benefit closes because of a sanction; and (4) add rule citations.

OAC 340:10-2-4 is amended to:(1) remove the Supported Transitional Employment Program (STEP) as a subsidized employment option; (2) update child care rules upon TANF cash assistance closure to align with emergency child care rule changes; and (3) add legal and rule citations.

Subchapter 3. Conditions of Eligibility - Need

Part 3. Income

OAC 340:10-3-31.1 is amended to add: (1) information regarding loss of the earned income disregard period upon job loss when the client does not obtain a new job within 10-calendar days; (2) the worker's responsibility to update the client's employability plan to include the client's place of employment and job hours; (3) information regarding the client's eligibility for child care during the earned income disregard period, upon job loss, and upon TANF closure to align with emergency child care rule changes; (4) information regarding the client's eligibility for Supplemental Nutrition Assistance Program (SNAP) food benefits and SoonerCare (Medicaid) upon TANF closure; and (5) rule citations.

OAC 340:10-3-31.1 Instructions to staff is revised to: (1) update coding instructions when applying an earned income disregard period; (2) add clarifying examples regarding application of the earned income disregard period when the client loses a job.

EMERGENCY APPROVAL:is requested to align with child Care Subsidy emergency rules that must be effective 10-1-2017.

LEGAL AUTHORITY:Director of Human Services; Section 162 and 230.52 of Title 56 of the Oklahoma Statues; Sections 261.2, 262.10, and 261.30 of Part 261 of Title 45 of the Code of Federal Regulations (45 C.F.R. §§ 261.2, 262.10, and 261.30); Section 5(N) of the CCDBG of 2014, P.L. 113-186, and 45 C.F.R. § 98.21.

Rule Impact Statement

To:Programs Administrator

Office of Intergovernmental Relations and Policy

From:Jim Struby,Director

Adult and Family Services

Date:May 26, 2017

Re:Chapter 10. TEMPORARY ASSISTANCE FOR NEEDY FAMILIES (TANF)

Subchapter 2. Temporary Assistance for Needy Families (TANF) Work Program

OAC 340:10-2-4 [AMENDED]

Subchapter 3. Conditions Of Eligibility – Need

Part 3. Income

OAC 340:10-3-31.1. Earned income disregard [AMENDED]

(Reference WF 17-17)

Contact:Laura Brown (405) 521-4396

A.Brief description of the purpose of the proposed rule:

Purpose.

The proposed revisions to Chapter 10 Subchapter 2 amend the rules to:(1) remove the Supported Transitional Employment Program (STEP) as a subsidized employment option; (2) update child care rules upon Temporary Assistance for Needy Families (TANF) cash assistance closure to align with emergency child care rule changes; and (3) add legal and rule citations.

The proposed revisions to Chapter 10, Subchapter 3 amend the rules to add: (1) information regarding loss of the earned income disregard period upon job loss when the client does not obtain a new job within 10-calendar days; (2) the worker's responsibility to update the client's employability plan to include the client's place of employment and job hours; (3) information regarding the client's eligibility for child care during the earned income disregard period, upon job loss, and upon TANF closure to align with emergency child care rule changes; (4) information regarding the client's eligibility for Supplemental Nutrition Assistance Program (SNAP) food benefits and SoonerCare (Medicaid) upon TANF closure; and (5) rule citations.

Strategic Plan Impact.

The proposed amendments achieve DHSgoals by continuously improving systems and processes and improving communication with DHS clients and staff.

Substantive changes.

Subchapter 2. Temporary Assistance for Needy Families (TANF) Work Program

Oklahoma Administrative Code (OAC) 340:10-2-4 is amended to:(1) remove the Supported Transitional Employment Program (STEP) as a subsidized employment option; (2) update child care rules upon TANF cash assistance closure to align with emergency child care rule changes; and (3) add legal and rule citations.

Subchapter 3. Conditions of Eligibility - Need

Part 3. Income

OAC 340:10-3-31.1 is amended to add: (1) information regarding loss of the earned income disregard period upon job loss when the client does not obtain a new job within 10-calendar days; (2) the worker's responsibility to update the client's employability plan to include the client's place of employment and job hours; (3) information regarding the client's eligibility for child care during the earned income disregard period, upon job loss, and upon TANF closure to align with emergency child care rule changes; (4) information regarding the client's eligibility for Supplemental Nutrition Assistance Program (SNAP) food benefits and SoonerCare (Medicaid) upon TANF closure; and (5) rule citations.

Reasons.

The proposed rule to remove STEP as a subsidized employment option is made because the program is no longer in use.

The proposed rule to remove the earned income disregard period when a client loses his or her job and does not obtain a new one within 10-calendar days is made as the purpose of the EID is to maintain steady employment.

The proposed rule to update and add child care information is made to align with Child Care Subsidy emergency rules.Child Care Subsidy emergency rules are made to comply with provisions of the Child Care and Development Block Grant Act (CCDBG) of 2014, Public Law (P.L.) 113-186.

Repercussions.

If the proposed revisions are not implemented, clients and TANF staff may incorrectly apply child care rules.

Legal authority.

Director of Human Services; Section 162 and 230.52 of Title 56 of the Oklahoma Statues; Sections 261.2, 262.10, and 261.30 of Part 261 of Title 45 of the Code of Federal Regulations (45 C.F.R. §§ 261.2, 262.10, and 261.30); Section 5(N) of the CCDBG of 2014, P.L. 113-186, and 45 C.F.R. § 98.21.

Emergency rulemaking approval is requested toalign with Child Care Subsidy emergency rules that must be effective 10-1-2017.

B.A description of the classes of persons who most likely will be affected by the proposed rule, including classes that will bear the costs of the proposed rule, and any information on cost impacts received by the Agency from any private or public entities:The classes of persons most likely to be affected by the proposed rules are households applying for or receiving TANF cash assistance benefits and DHS staff.The affected classes of persons will bear no costs associated with implementation of the rules.

C.A description of the classes of persons who will benefit from the proposed rule:The classes of persons who will benefit are households applying for or receiving TANF and DHS staff.

D.A description of the probable economic impact of the proposed rule upon the affected classes of persons or political subdivisions, including a listing of all fee changes and, whenever possible, a separate justification for each fee change:The revised rules do not have an economic impact on the affected entities.There are no fee changes associated with the revised rules.

E.The probable costs and benefits to the Agency and to any other agency of the implementation and enforcement of the proposed rule, the source of revenue to be used for implementation and enforcement of the proposed rule and any anticipated effect on state revenues, including a projected net loss or gain in such revenues if it can be projected by the Agency:The probable cost to DHS includes the cost of printing and distributing the rules estimated to be less than $20. The revised rules will result in enhanced delivery of services by standardizing DHS processes related to education and training and may decrease DHS TANF Work participation rate errors.Costs associated with Child Care Subsidy rule changes are discussed in the Child Care Subsidy rule impact statement.

F.A determination whether implementation of the proposed rule will have an impact on any political subdivisions or require their cooperation in implementing or enforcing the rule:The proposed rules do not have an economic impact on any political subdivision, nor will the cooperation of any political subdivisions be required in implementation or enforcement of the rules.

G.A determination whether implementation of the proposed rule will have an adverse economic effect on small business as provided by the Oklahoma Small Business Regulatory Flexibility Act:There are no anticipated adverse effects on small business as provided by the Oklahoma Small Business Regulatory Flexibility Act.

H.An explanation of the measures the Agency has taken to minimize compliance costs and a determination whether there are less costly or nonregulatory methods or less intrusive methods for achieving the purpose of the proposed rule:There are no less costly or non-regulatory methods or less intrusive methods for achieving the purpose of the proposed rules.

I.A determination of the effect of the proposed rule on the public health, safety, and environment and, if the proposed rule is designed to reduce significant risks to the public health, safety, and environment, an explanation of the nature of the risk and to what extent the proposed rule will reduce the risk:The proposed Child Care Subsidy rule to not consider a copayment until the child care renewal is due will have a positive impact on children's health and safety as it give clients leaving TANF time to adjust to other increased expenses before being responsible for child care costs.

J.A determination of any detrimental effect on the public health, safety, and environment if the proposed rule is not implemented:If the proposed rule revisions are not implemented TANF staff may incorrectly apply revised Child Care Subsidy rules which could have a detrimental impact on children's health and safety..

K.The date the rule impact statement was prepared and, if modified, the date modified:Prepared on May 26, 2017

SUBCHAPTER 2. TEMPORARY ASSISTANCE FOR NEEDY FAMILIES (TANF) WORK PROGRAM

340:10-2-2. Sanction process [Instructions to staff only]

Revised 6-1-11

(a) Applicability.The sanction process provides for the determination of good cause and the use of penalties for individuals who refuse or fail to participate in assigned work activities.¢ 1

(b) Failure or refusal to participate.It is the responsibility of the worker to make the determination that an individual has refused or failed to participate without good cause in an assigned work activity.

(1) Refusal to participate occurs when an applicant or recipient states orally or in writing that he or she will not participate or continue to participate in work activities.Refusal also occurs when an individual's action or inaction indicates the individual, without good cause for refusing, will not participate in the program.

(2) Failure to participate in the program includes failure to:

(A) assist in the assessment and development of employability plans that includes screening for substance abuse and literacy;

(B) attend orientation, scheduled meetings, or assessments;

(C) maintain a minimum of required hours in scheduled activities;

(D) accept or maintain appropriate employment;

(E) report absences from the work activity to the worker, facility coordinator, or employer;

(F) comply with a substance abuse treatment plan; or

(G) follow the rules of the facility or employer.

(c) Failure to participate without good cause.The worker must contact the individual to determine good cause.¢ 2If it is determined at this contact that good cause does exist, the worker assists the individual with either updating the employability plan or helping the individual resume the activity as soon as possible.¢ 3If it is determined there is not good cause for failure to participate or no contact was completed, the worker closes or denies the cash assistance.¢ 4

(d) Determination of good cause.All good cause situations are temporary in nature.An individual may have good cause for refusing or failing to participate in Temporary Assistance for Needy Families (TANF) Work.The worker determines whether or not good cause exists.¢ 5

(e) Procedure following denial of cash assistance. When an application for cash assistance is denied for failure to participate in the work activity without good cause, a new application must be completed.

(f) Procedures following termination of cash assistance.

(1) When there has been no contact with the individual 30 calendar days after the effective date of closure, the worker makes a home visit to determine the family's circumstances and offers appropriate services, unless the worker's personal safety is in question.¢ 6

(2) Individuals who agree to participate within 60 calendar days of the date of the benefit termination may have their benefit reopened on reconsideration of the administrative action after the individual participates in an agreed upon appropriate activity for a specified length of time.¢ 7If an appropriate activity is not available due to the client's previous behavior, the case remains closed.The effective date of the reopen action is dependent upon the successful participation of the individual in an assigned work activity and the circumstances of the case.¢ 8

(g) TANF hearing.An individual who responds to a written notice of denial or termination of cash assistance as a result of failure or refusal to participate in work activities, and the matter cannot be resolved locally, is assisted in requesting a hearing before a hearing officer in accordance with OAC 340:2-5.¢ 9

(h) Grievances and appeals by employees of Work Experience Program (WEP), Subsidized Employment Program (SEP), and On-the-Job Training (OJT) facilities.Grievances may be filed by employees of facilities where TANF work participants are assigned to WEP, SEP, or OJT, when they believe they have been harmed by the violation of one of the assurances in paragraph (1) of this subsection.

(1) WEP, SEP, or OJT assignments must not result in the filling of any established vacancy which:

(A) results in the displacement of any currently employed worker or position, including partial displacement, such as a reduction in hours or non-overtime work, wages, or employment benefits;

(B) impairs existing contracts for services;

(C) results in the employment or assignment of a participant, or the filling of a position, when any other person is on lay-off from the same organizational unit, or when an employer has terminated any employee or otherwise reduced its work force with the effect of filling the vacancy created by hiring a participant whose wages are subsidized under this program; or

(D) infringes in any way upon promotional opportunities of any currently employed individual.

(2) If an employee or authorized representative wishes to file a grievance for any of the reasons stated in paragraph (1) of this subsection, the request is submitted in writing to the attention of the county director of the county in which the alleged violation occurred.The request:

(A) contains the date of the request, the date of the alleged violation, and a description of the alleged violation including the effect on the employee;

(B) is signed by the employee or authorized representative; and

(C) includes the mailing address and telephone number of the person signing the request.

(3) The worker contacts the individual making the request within ten calendar days from the date of receipt of the request in the local office, and attempts to resolve the grievance on an informal basis.

(A) When the grievance cannot be resolved on an informal basis within the ten calendar days, the case is referred to the county director for review and assistance in resolving the grievance.

(B) If the grievance is not resolved within ten calendar days from the date of referral to the county director, the worker notifies the employee in writing of the:

(i) point(s) still at issue in the grievance; and

(ii) right to request a fair hearing within 30 calendar days of the date of this decision.

(C) The 20-day period allowed for resolution of the grievance is part of the 90-day period allowed for disposition of the appeal if the employee appeals.

INSTRUCTIONS TO STAFF 340:10-2-2

Revised 6-1-1110-1-17

1.(a) The worker ensures persons fully understand their rights and responsibilities and the possible consequence of refusal to participate.

(b) The computer will automatically close closes the Temporary Assistance for Needy Families (TANF) case(s) that reflect benefit when the TANF Work participant has participated less than nine hours of participation for two consecutive months and good cause has was not been determined to exist.

(1) A subject to sanction notice is sent to the participant at the end of the first month of less than nine hours of TANF Work participation.The subject to sanction notice advises informing the participant to contact his or her worker for a good cause determination of good cause.

(2) The TANF case automatically closes on code "52B" at the end of the second month, if when the worker has taken no action does not enter more than nine hours of participation or open a good cause authorization.Supervisory review is required prior to recertification.

2.(a) The preferred contact is a face-to-face interview.The worker attempts to contact the client by telephone to schedule a face-to-face interview in the office or the client's home.

(b) If When the client refuses to schedule a face-to-face interview, the worker gathers as much information as possible over the phone about why the client was unable to meet participation hours.

(c) When the worker is unable to reach the client by telephone to schedule an interview, the worker may use Form 08AD092E, Client Contact and Information Request, to request contact.

(d) Family Assistance/Client Services (FACS) case notes must clearly document the worker's efforts to contact the client and, if when contact is made, the reasons given by the client for failure to participate.

3.The case record and FACS case notes must clearly document when good cause is established and when there is an updated employability plan.

4.(a) FACS case notes The worker:

(1) must clearly document in FACS case notes that a refusal or failure to participate is without good cause.

(1)(2) The worker enters a closure action in the Action Type field in the Fin. Assistance tab of the Eligibility Notebook with a reason code of TANF Work sanction (52A), Refused to Meet TANF Work Requirements (52B), or TANF Extension Failed (29B).;

(2)(3) The codes a TANF Work sanction in the ET&E status field of the Interview Notebook TANF Work tab ET&E status field of the Interview Notebook is coded TANF Work sanction.

(3)(4) Food closes food benefits are closed with the same effective date as the TANF closure when the household receives Simplified Supplemental Nutrition Assistance Program (SSNAP) food benefits in accordance with per Oklahoma Administrative Code OAC 340:50-11.When the household does not receive SSNAP food benefits, the worker enters a change action in the FACS SNAP tab rather than a closure action.The system applies a food benefit income penalty by continuing to count the previous TANF payment standard as income.;

(4)(5) The closes the SoonerCare (Medicaid) benefit is extended for a three-month certification period with the same effective date as the TANF closure.; and

(5)(6) If the case has completes a child care renewal when one is due per OAC 340:40-9-1 or extends the child care benefit for 90-calendar per OAC 340:40-7-8(e)(2) when there is an open child care authorization, the continued need for child care must be addressed.

(6)(b) FSPI is ended using The worker uses the Food Stamp Penalty Update (FSPU) transaction to end the food benefit income penalty when the:

(A) TANF cash assistance is recertified within 60-calendar days of the closure effective date of closure;

(B) person becomes employed; or

(C) person has not complied with TANF Work requirements within 60-calendar days from the effective date of the TANF closure.

5.The worker must document the reason good cause is approved in the Family Assistance/Client Services (FACS) case notes and file any documentation provided by the person in the case record.Examples of good cause are:

(1) appropriate child care for the child(ren) is not available.Appropriate child care is care provided by:

(A) a licensed, contracted child care facility;

(B) an approved in-home caregiver;

(C) a dependable relative who is able and willing to assume responsibility for care and supervision of the child for a part of the day;

(D) a free or low cost facility, such as a pre-school, pre-kindergarten, kindergarten, Head Start, Early Head Start, or tribal child care program; or

(E) informal arrangements made by the parent with a neighbor or friend for occasional care;

(2) the custodial parent caring for a child who has not attained six younger than 6 years of age has because he or she demonstrated an inability to obtain needed child care.This is demonstrated by the unavailability:

(A) of appropriate child care within a reasonable distance from the person's home or work site.A reasonable distance is a distance determined and agreed upon by the parent and the worker and is dependent upon the individual needs of the parent and child(ren);

(B) or unsuitability of informal child care provided by a relative or provided under other arrangements.Unsuitability of informal child care is an arrangement that does not:

(i) afford the child(ren) adequate care and supervision.Supervision of a child means the function of observing, overseeing, and guiding a child;

(ii) encourage social development or stimulate the child(ren)'s mental capabilities; and

(iii) afford the child(ren) a safe and stable environment that provides for learning opportunities; or

(C) of affordable child care.Affordable child care is defined as not exceeding the maximum child care cost as indicated on Oklahoma Department of Human Services OKDHS Appendix C-4, Child Care Eligibility/Co-payment Chart or the OKDHS Appendix C-4-B, Child Care Provider Rate Schedule the availability of licensed and contracted child care;

(3) the illness or incapacity of the participant or any household member who cannot give self-care and for whom special care is unavailable.If When the illness or incapacity of the participant or any household member does not appear temporary, refer to OAC 340:10-2-8(c)(6), Disability Advocacy Program (DAP);

(4) a court-required appearance or incarceration of the participant;

(5) the participant's attendance at parent and teacher conferences;

(6) a family crisis or markedly changed individual or family circumstances;

(7) the unavailability of planned transportation when needed or the inability to arrange for transportation;

(8) the occurrence of inclement weather which prevented the participant, and other persons similarly situated, from traveling to, or participating in, the prescribed activity;

(9) the lack of necessary social services or work activity;

(10) the assignment or job referral does not meet the appropriate work activity criteria as defined in OAC 340:10-2-3(d);

(11) the refusal to accept major medical services even if when such refusal precludes participation in the program;

(12) racial, ethnic, religious, sexual, physical or mental disability, or age discrimination or harassment by an employer or other employees;

(13) a participant is engaged in another work activity that is consistent with the employability plan;

(14) the lack of available treatment in the community for substance abuse or mental health issues affecting the family;

(15) crisis intervention needed due to domestic violence issues; or

(16) pending Supplemental Security Income (SSI) application with legal representation.Refer to OAC 340:10-2-8(c)(6) for instructions regarding DAP.

6.The FACS case notes must document the home visit and describe the family's circumstances or document the reason the home visit was not made.County Worker Activity (CWA) Report 70 is provided for the 30-calendar day follow-up.A contact with The worker also documents in FACS case notes if a Child Welfare may be appropriate prior to or after the home visit was made.

7.A new application is not required.The worker enters the new certification date.This can be a date other than the first day of the month.Action type is certification (1) and reason is "Reopen Cure TANF Work Sanction" (18T).The FSPI must be removed.Refer to using the FSPU Transaction by entering M space FSPU.

8.The FACS case notes and Form 08TW002E, TANF Work/Personal Responsibility Agreement, Section 7, must document any requirement placed on the person prior to the recertification of the case TANF benefit and the agreed upon work plan after certification.

9.For complaints involving situations covered by Fair Labor Standards Act, such as excessive hours or environmental conditions, the human services center (HSC) county director or designee notifies the State Department of Labor.

340:10-2-4. Employment

Revised 9-15-1710-1-17

(a) Applicability.Temporary Assistance for Needy Families (TANF) Work activities are designed to help the participant obtain employment to achieve economic self‑sufficiency per Sections 261.2, 261.10, and 261.30 of Title 45 of the Code of Federal Regulations, 45 C.F.R. §§ 261.2, 261.10, and 261.30.Work allows participants to enhance their self-esteem and to become more independent.Every effort is made to assist participants in securing jobs that provide financial security and opportunities for advancement.The appropriate employment criteria for subsidized and unsubsidized employment are included in (1) through (5) of this subsection.

(1) Appropriate employment may be temporary, permanent, full-time, part-time, or seasonal work, as long as the daily and weekly hours of employment do not exceed those customary to the occupation.

(2) The wage must meet or exceed the federal or state minimum wage laws or the prevailing rate for similar employment, whichever is applicable.The state law applies when federal law does not cover the job.

(3) A participant is not required to accept employment when the position offered is vacant due to a strike, lockout, or other bona fide labor dispute.

(4) A participant is not required to work for an employer when it is contrary to the conditions of membership in the union governing that occupation.Employment not governed by the rules of the union to which the participant belongs may be appropriate.

(5) A participant is not required to accept employment that results in the net loss of income.

(b) Unsubsidized employment.The State Work Incentive Program and any employment for which the employer does not receive reimbursement for any portion of the wages paid are examples of unsubsidized employment.

(1) State Work Incentive Program.The State Work Incentive Program is designed to assist in employing TANF participants into entry level positions in all branches of state government.Oklahoma Department of Human Services (DHS), in cooperation with other state agencies and the Office of Management and Enterprise Services Human Capital Management, coordinates job placements for TANF participants referred to the program on Form 08TW023E, State Work Incentive Referral.¢ 1

(A) Employment of eligible participants may be considered for positions of unclassified status for a two-year period in a full-time or part-time capacity.These positions are not included within any limitation on full-time equivalent employee positions for any agency.

(B) Participants hired under this program are eligible for leave and other benefits available to other state employees, subject to other eligibility requirements, and may be reassigned or promoted while in the program.

(C) Participants hired are exempt from probationary hiring procedures.They may be considered for conversion to permanent classified status after two years of continuous program participation.

(D) Requirements for placing employees in permanent status include:

(i) completing satisfactory performance ratings conducted during employment; and

(ii) having possession of the minimum requirements stated in the job specifications.

(2) Other unsubsidized employment.Unsubsidized employment includes any employment in which a participant is hired by a private or public employer and there is no reimbursement of any portion of the wages paid to the recipient.

(c) Subsidized employment.The Subsidized Employment Program (SEP), and on-the-job training (OJT), and Supported Transitional Employment Program (STEP) are examples of subsidized employment.The employment criteria in (a) of this Section apply.

(1) SEP.SEP is a subsidized employment program through which DHS reimburses employers hiring TANF participants into full-time employment for a portion of their wages for up to four months.Public agencies, nonprofit private agencies, and private employers are eligible to participate.When a state agency expresses an interest in participating in the program, DHS staff informs agency personnel that the subsidized employment reimbursement must not be used by the state agency to claim matching federal funds.When, for any reason in any given month, a SEP participant is paid less than the amount of his or her cash assistance at the time of entry into the program, the SEP participant receives a supplemental TANF benefit.SEP participants are entitled to all benefits the employer makes available to other employees.Participants are assigned based on their employability plan and the availability of appropriate and willing employers.¢ 2

(A) Participant requirements.TANF participants are:

(i) included in the cash assistance unit; and

(ii) available for immediate employment.

(B) Position requirements.Position requirements must include:

(i) full-time employment for a minimum of 35 hours per week;

(iii) the same wages, benefits, and working conditions as provided to other employees performing a substantially equivalent job;

(iv) employer agreement to conform to the Equal Employment Opportunity Commission and fair employment practices, such as nondiscrimination regarding age, race, sex, color, national origin, disability, and in some cases religion or political belief; and

(v) employer assurance the position:

(I) does not displace the employer's current employees, including any involved in a strike or lockout;

(II) does not involve commission sales when at least $10 per hour is not guaranteed; or

(III) is not for casual, intermittent, or seasonal labor.

(C) Recruitment of employers.Designated county staff or the career development specialist (CDS) recruits employers interested in SEP.The employer is asked to notify designated county staff or the CDS of potential positions with job specifications and qualifications in order to match the employer with an appropriate TANF participant referral.Designated county staff or the CDS give Form 08TW011E, Subsidized Employment Program (SEP) Referral to the TANF participant to take to the employer specified on the form.

(i) When explaining SEP to employers, designated county staff or the CDS emphasizes that employers are expected to retain the SEP participant in full-time employment unless there is good cause for the dismissal.Employers who fail to continue the successful SEP participant's employment without good cause are not granted subsequent contracts.Good cause reasons for dismissal occur when:

(I) there is a lay-off due to economic reasons that results in a reduction-in-force;

(II) the employee is frequently absent from work or engages in disruptive or inappropriate behavior; or

(III) the employee is unable to perform at an acceptable skill level.

(ii) Before designated county staff or the CDS writes new or additional contracts with an employer, SEP employees or other employees in lay-off status must be recalled.

(iii) Designated county staff or the CDS has the responsibility for ensuring the employer is complying with the contract.

(D) SEP placements. Designated county staff or the CDS arranges interviews between participants and potential employers.SEP participants may begin employment any time during the month.The employer is informed that reimbursement begins after the participant completes the first 30-calendar days of employment.

(i) Following the employer's agreement to participate and selection of a TANF participant, designated county staff or the CDS negotiates the contract, Form 08TW017E, Subsidized Employment Program (SEP) Contract, with the employer.Negotiation includes the beginning date of employment, the employee's salary, and the employee's planned number of employment hours per week.¢ 3

(ii) Upon receipt of the contract, designated county staff or the CDS reviews it for completeness and, when approved, signs and dates the contract.¢ 4Designated county staff or the CDS delivers the employer's copy of the contract and Form 08TW018E, Subsidized Employment Program (SEP) Invoice, for requesting reimbursement to the employer.

(iii) Designated county staff or the CDS contacts the participant to complete and sign Form 08TW006E, Subsidized Employment Program (SEP) Temporary Assistance for Needy Families (TANF) Participant Agreement.¢ 5

(iv) When a contract is not approved, a letter is mailed by the designated county staff or the CDS to the employer explaining the reason for the disapproval.¢6Designated county staff or the CDS notifies the participant by phone or letter that the contract was not approved.¢ 7

(E) Program procedures.The procedures for programs listed in (i) through (iv) of this subparagraph are used.

(i) TANF cash assistance.Under SEP, eligibility for TANF cash assistance is frozen.During the participation period, the TANF assistance unit cannot be determined ineligible.¢ 8

(ii) Medical benefits.SEP participants whose TANF cash assistance is frozen, continue to be eligible for SoonerCare (Medicaid) benefits unless found ineligible for a reason other than earned income.

(iii) Food benefits.SEP participants whose TANF cash assistance is frozen and who are receiving Simplified Supplemental Nutrition Assistance Program (SSNAP) benefits per Oklahoma Administrative Code (OAC) 340:50-11-20 continue to receive SSNAP benefits without consideration of the SEP income during the participation period as long as household composition remains the same.Once the SEP participation period ends and the TANF benefit closes, the household may be eligible for transitional food benefits per OAC 340:50-11-27.

(iv) Child care.Child care plans must be explored with each SEP participant.During the SEP participation period while the TANF cash assistance is frozen, the child remains predetermined eligible for child care subsidy benefits with a zero family share co-payment copayment per OAC 340:40-7-1.Once the SEP participation period ends and the TANF benefit closes, the worker determines if the participant's child care renewal is due per OAC 340:40-9-1.When the child care renewal is due, the worker considers the participant's earnings and computes the family share copayment per DHS Appendix C-4, Child Care Eligibility/Copayment Chart.When the child care renewal is not due, the participant's family share copayment does not increase until the renewal is due per OAC 340:40-5-1(9).¢ 9

(F) Payment of employers.Employers are eligible for:

(i) one hundred percent reimbursement of the employee's gross wages, capped at a maximum of 40 hours per week at $12 per hour, for the first 30-calendar days of employment.

(I) Employers are eligible to apply for reimbursement 30-calendar days following the date of hire.

(II) Employers file for reimbursement by submitting Form 08TW018E, with proof of the participant's earnings for the last six months attached, directly to Adult and Family Services (AFS) TANF staff.¢ 910

(III) When a business changes ownership, the SEP contract transfers with the business.When change of ownership occurs mid-month, the original owner maintains the right to file a claim for reimbursement for the transfer month.The new owner may claim for subsidized wages for the remaining months of the original SEP agreement;¢ 8

(ii) fifty percent reimbursement of the employee's gross wages, for the following three months, provided the employee remains employed a minimum of 35 hours per week and earning at least $10 per hour.The reimbursement is capped at a maximum of 40 hours per week at $12 per hour; and

(iii) a bonus equal to 100 percent of the unsubsidized portion of wages up to 40 hours per week for the four month subsidized period, provided the SEP employee:

(I) remains employed a minimum of 35 hours per week;

(II) earns a minimum of $10 per hour; and

(III) is retained for a minimum period of six months after the subsidized agreement ends.¢ 1011

(G) Supplemental payments to SEP participants.AFS automatically issues supplemental payments for months in which income shown on Form 08TW018E is less than the amount of the SEP participant's cash assistance prior to entering the program.

(H) SEP contract period completions.At the end of the fourth month of subsidized employment, the worker reviews the participant's continued TANF eligibility.¢ 1112

(I) SEP contract terminations.When the SEP placement ends during the four months of subsidized employment, the worker reviews the participant's continued TANF eligibility.¢ 1213

(2) OJT.OJT is subsidized employment in which a private or public employer hires the participant and, while engaged in productive work, receives training that provides knowledge or skills essential to the full performance of the job.During the OJT period, the employer receives reimbursement for a portion of the wages paid to the employee.

(A) Participants who successfully complete the Work Experience Program, have a recent history of employment, or complete a job readiness activity are the primary candidates for OJT referral.¢ 1314

(B) Income from OJT is considered as any other earned income.¢ 1415

(C) The worker explains the availability of transitional child care per OAC 340:40-7-1 and continued medical benefits per OAC 340:10-3-75 to the participant at the time of entry into OJT.

(3) STEP.STEP is a subsidized employment program that provides comprehensive support services leading to permanent employment placements for TANF participants.These services are contracted with specified vendors who provide temporary, paid work experience to program participants in a supportive work environment.When the participant is accepted into the program, his or her TANF benefit remains active with no cash benefit issued.When eligible, the participant continues to receive other program benefits.¢ 15

(d) Work Opportunity Tax Credit (WOTC).¢ 16The WOTC law permits for-profit employers to take a federal income taxcredit when workers from certain target groups are hired.Workers in these target groups have faced significant barriers to employment.The WOTC is equal to between 25 percent and 40 percent of the first year wages, up to $9000, depending on the number of hours the employee works, and the applicable target group for the person.The main objective of this program is to enable targeted employees to gradually move from economic dependency into self-sufficiency as he or she earns a steady income and become contributing taxpayers, while the participating employers are compensated by reducing their federal income tax liability.

(1) WOTC is available to employers for workers hired from targeted groups.The targeted groups are:

(A) TANF recipients who have received assistance for nine months out of the last 18 months;

(B) qualified veterans.Qualified veterans are persons who received food benefits for at least three consecutive months within the last 15 months preceding the hire date;

(C) qualified ex-felons.Qualified ex-felons are persons who were convicted of a felony and within the last year were either convicted or released from prison;

(D) designated community residents.Designated community residents are persons, who are 18 years of age, but not 40 years of age, on the hiring date and whose principal place of residence is within an Empowerment Zone, Enterprise Community, or a Rural Renewal County, and for those who began work after May 25, 2007.This High-Risk Youth group was renamed "Designated Community Resident" and expanded to include residents of Rural Renewal Counties;¢ 17

(E) vocational rehabilitation recipients.Vocational rehabilitation recipients are persons with a disability who received or are receiving vocational rehabilitation from a rehabilitation agency approved by the state or Department of Veterans Affairs;¢ 18

(F) qualified summer youth employees.Qualified summer youth employees are persons at least 16 years of age, but not 18 years of age, on the hiring date and have a principal residence in an Empowerment Zone, Enterprise Community, or Rural Renewal County hired between May 1 and September 15;

(G) qualified food benefit recipients.Qualified food benefit recipients are persons, who are at least 18 years of age, but not 40 years of age, who are: (i) members of a household that received food benefits for the last six-consecutive months prior to their hiring date; or

(ii) able-bodied adults without dependents no longer eligible for benefits who reside with a household currently receiving food benefits or a household that received food benefits for at least three months out of the last five consecutive months, prior to the hiring date;

(H) qualified recipients of Supplemental Security Income (SSI).Qualified recipients of SSI are persons who received SSI for any month during the 60-calendar days before the hire date;

(I) long-term TANF recipients.Long-term TANF recipients are persons certified by a designated local agency as members of families who received TANF payments for:

(i) at least 18 consecutive months ending on the hiring date;

(ii) a total of at least 18 months, whether consecutive or not, after August 5, 1997, when hired within two years after the date the 18 month total is reached;

(J) Hurricane Katrina employees.Hurricane Katrina employees do not require certification;

(K) unemployed veterans.Unemployed veterans are persons hired after 2008 and before 2011 who:

(i) were discharged or released from active duty in the United States (U.S.) Armed Forces at any time during the five-year period ending on the hiring date; and

(ii) received unemployment compensation under federal or state law for at least four weeks during the one-year period ending on the hiring date; and

(L) disconnected youth.Disconnected youth are persons certified as:

(i) having attained 16 years of age, but not 25 years of age, on the hiring date;

(ii) not regularly attending any secondary, technical, or post-secondary school during the six month period preceding the hiring date;

(iii) not regularly employed during the six month period preceding the hiring date; and

(iv) not readily employable by reason of lacking a sufficient number of basic skills.

(2) Through an agreement with the Oklahoma Employment Security Commission, DHS issues WOTC conditional certification forms for DHS recipients.

(3) U.S. Department of Labor Form ETA-9062, Conditional Certification Work Opportunity Tax Credit, and a letter from the worker stating the number of months the participant received DHS benefits is given to the participant to present to the employer, on or before, the first day of employment.An explanation is given to the participant about the purpose of the form and how the tax credit may help the participant get a job.

(e) Work Experience Program (WEP).The purpose of WEP is to provide job skills and work enhancement to TANF participants enabling them to move toward self-sufficiency and obtain unsubsidized employment following completion of the placement.¢ 19

(1) Benefits.Program benefits for participants include an opportunity to establish a work history and earn a recommendation from an employer.Participants also learn to balance the demands of home and work, gain confidence by performing in a job setting, enhance current job skills, learn marketable skills on-the-job, and determine interest and aptitude for a particular type of work by doing the job.

(2) WEP assignments.WEP assignments are approved for an initial period of 90- calendar days.

(A) No salary is paid.

(B) With respect to injuries incurred during WEP working hours, federal law requires medical coverage be offered under either state workers' compensation law or by DHS.Oklahoma workers' compensation law does not cover WEP participants.Medical coverage is provided by the SoonerCare (Medicaid) Program.¢20

(3) WEP referrals.Participants are referred to WEP slots based on the employability plan.The worker coordinates assignment to a WEP position with the participant.Based on the employability plan, the worker:

(A) determines which facility best meets the participant's needs;

(B) arranges an interview between the facility and the participant; and

(C) notifies the participant of the place, time, and interviewer's name.¢ 21

(4) WEP facilities.Facilities selected for WEP placements must be capable of providing employment and have an apparent intent to hire, or be able to provide quality job skills enhancement.WEP facilities are solicited by designated county staff, the CDS, or a contracted entity who agreed to assist with job development and placement, including WEP.¢ 22 Local job market conditions, opportunities for employment following completion of WEP participation, as well as the ability of the facility to provide the necessary supervision and skills enhancement are criteria used when soliciting a facility.

(A) WEP slots are developed to meet participant employment needs as determined by the employability plan.When a facility agrees to participate in WEP, the facility representative is requested to provide:¢ 23

(i) a written description of the type of activities the participant will be involved in;

(ii) the number of participants the facility can accept;

(iii) the hours of participation; and

(iv) any special requirements, such as uniforms or special equipment.

(B) There are two types of WEP facilities, WEP Non-profit (WEP-NP) and WEP-For-Profit (WEP-FP).

(i) WEP-NP placement is approved for public and private non-profit organizations or businesses.When a participant requires additional skills enhancement, the worker may approve a 60-calendar day extension.Extensions are not granted when the primary purpose is to provide additional help to the facility.The criteria listed in (I) through (VII) of this unit are used as a guide in determining the appropriateness of requesting an extension beyond the initial three-month period.

(I) The participant needs additional time to acquire skills to meet minimum hiring requirements.

(II) The participant demonstrates a willingness to learn, but needs additional time to develop new skills, to compete in the labor market.

(III) The facility agrees to hire the participant, but does not have funds available or a job opening until a specific date.

(IV) The facility has an opening in a different area from where the participant was working and agrees to hire the participant when additional time is granted for additional development of job skills.

(V) The participant showed improvement in all areas, but needs additional socialization skills and improved behavior patterns in a work setting.

(VI) The participant missed more than two weeks due to illness or the illness of a household member.

(VII) There are extenuating circumstances that prevented the participant from receiving full benefit of the job skills enhancement.

(ii) WEP-FP is approved for businesses or entities that operate for profit.Only one WEP-FP placement is allowed per 25 full-time employees in a for-profit business or entity.The criteria in (I) through (II) of this unit must be in effect prior to a WEP-FP placement.

(I) The placement matches the participant's employability plan and the career path chosen by the participant.

(II) The employer committed to hire the participant, on or before, the completion of the three-month placement.

(5) WEP procedures.Upon the county director, designated county staff, or the CDS approval, the worker contacts the WEP facility to complete Form 08TW015E, Work Experience Program – Non-profit Training Agreement, or Form 08TW115E, Work Experience Program – For-Profit Training Agreement.

(A) The worker instructs the facility representative or supervisor on the purpose and use of Form 08TW013E, Time and Progress Report.

(B) It is the participant's responsibility to complete Form 08TW013E and submit it to the worker by the day of the month shown on the form.¢ 24

(C) Approved WEP slots not utilized within a six-month period are reviewed for appropriateness.When the position is no longer feasible, designated county staff or the CDS sends a letter to the facility stating the WEP slot is no longer active and may be re-evaluated at the facility's request.

(6) Non-cooperation by WEP facility.When the worker obtains information the facility is violating the terms and conditions of Forms 08TW015E and/or 08TW115E, or participants are treated unfairly, the county director is informed immediately.The nature of the allegations guides the necessary action that may include:

(A) suspension of subsequent assignments at the facility;

(B) immediate removal of current participants; or

(C) termination of the agreement.

(7) Notification to participant and facility.Ten calendar days prior to the anticipated WEP completion date, or at any time the participant becomes ineligible for WEP, the worker notifies the participant by letter or phone call.The worker notifies the facility by letter or phone call five calendar days prior to the termination.

(8) Changes in placements and subsequent placements.When the facility, worker, and participant determine placement in a different facility is more beneficial, the worker locates a new facility and arranges an interview for the participant.When the participant fails to secure employment following successful completion of WEP, a conference is held with the participant, worker, and supervisor to determine if a second WEP placement might be beneficial.The worker reviews the employability plan prior to allowing a participant to re-enter WEP.Consideration is given to reassignment to job search or another appropriate work activity.In making this decision, consideration must be given to the:

(A) participant's ability to secure and maintain full-time employment;

(B) opportunities for employment in the new field and in the area in which the participant received job skills enhancement;

(C) participant's efforts to secure employment; and

(D) length of time between assignments.

(f) Community Partnership (CP).CP is unpaid employment in which TANF recipients perform work for the direct benefit of the community.A CP may be approved for both public and non-profit agencies and organizations.A CP assignment is limited to projects that serve a useful community purpose and are designed to improve the employability of recipients not otherwise able to obtain employment. All CPs must be approved by AFS TANF staff.Placements in CP require daily supervision.A recipient's training, experience, and skills are considered in making an appropriate CP assignment.¢ 25

(1) Benefits.Participant program benefits include an opportunity to establish the basic skills necessary to obtain employment, such as daily attendance, appropriate attire, and proper behavior in a work environment.Participants also learn to balance the demands of home and work and gain confidence by performing in a job setting.

(2) CP facilities.CP facilities are solicited by designated county staff or the CDS.The ability of the CP to provide the necessary supervision and basic skills training are criteria used when soliciting a partnership.

(A) Training slots are developed to meet the participant's employment needs as determined by the employability plan.

(B) The worker submits Form 08TW019E, Community Partnership (CP) Approval Request, to AFS TANF staff for training facility approval.

(C) When a CP agrees to participate, the facility representative is requested to provide:

(i) a written description of the type of activities in which the participants will be involved;

(ii) the number of participants the CP can accept;

(iii) the hours of participation; and

(iv) any special requirements, such as uniforms or special equipment.

(D) No salary is paid.

(E) When injuries occur during working hours in CP, federal law requires medical coverage be offered under either state workers' compensation law or by DHS.Oklahoma workers' compensation law does not cover CP participants.Medical coverage is provided by the SoonerCare (Medicaid) Program.¢ 26

(3) CP assignments.CP assignments are approved for an initial period of no more than 60-calendar days.When a participant requires additional training, the worker may approve a 30-calendar day extension.The criteria listed in (A) through (F) of this paragraph are used as a guide when determining the appropriateness of an extension request beyond the initial 60-calendar day period, but are not limited to:

(A) the participant needs additional time to acquire skills to meet minimum hiring requirements;

(B) the participant demonstrates a willingness to learn, but needs additional time to develop basic job skills necessary to compete in the labor market;

(C) the CP has an opening in a different area from the one in which the participant was trained;

(D) the participant shows improvement in all areas, but needs additional socialization skills and improved behavior patterns in a work setting;

(E) the participant missed more than two weeks of training due to illness or the illness of a household member; or

(F) extenuating circumstances prevented the participant from receiving the full benefit of the training.

(4) CP referrals.Participants are referred to CP slots based on their employability plan and the availability of CP positions.¢ 27Assignment to a CP position is coordinated between the participant, worker, and the CP.Based on the employability plan, the participant and worker determine:

(A) which CP best meets the participant's needs; and

(B) the location, date, and time to report to the CP.

(5) Procedures.Upon approval by AFS TANF staff, the worker contacts the CP facility to complete Form 08TW020E, Community Partnership (CP) Agreement.

(A) The worker instructs the facility representative or the training supervisor regarding the purpose and use of Form 08TW013E.

(B) It is the participant's responsibility to complete Form 08TW013E and submit it to the worker by the day of the month shown on the form.¢ 24

(6) Non-cooperation by CP.When the worker obtains information that the CP is violating the terms and conditions of Form 08TW020E or participants are treated unfairly, the worker informs the county director, designated county staff, or the CDS immediately.The nature of the allegations guides the necessary action that may include:

(A) suspension of subsequent CP assignments;

(B) immediate removal of the current participants; or

(C) termination of the agreement.

(7) Changes in placements and subsequent placements.Following successful completion of CP training, the worker and participant meet to determine if a second CP placement or other work activity might be beneficial.The worker reviews the employability plan prior to allowing a participant to enter the next work activity.¢ 27When making this decision, consideration is given to:

(A) the participant's ability to secure and maintain employment;

(B) whether the participant needs additional training or placement opportunities to enhance employment skills; or

(C) whether the participant needs any educational opportunities to enhance employment skills.

INSTRUCTIONS TO STAFF 340:10-2-4

Revised 9-15-1710-1-17

1.(a) When another state agency requests a referral for a Temporary Assistance for Needy Families (TANF) participant, designated county staff or the career development specialist (CDS) completes Form 08TW023E, State Work Incentive Referral, for the participant to take to the other state agency.

(b) When designated county staff or the CDS refers the participant to another county office, a referral form is not needed.

(c) Documentation of all referrals and outcomes must be kept in the case record.

2.Subsidized Employment Program (SEP) contracts require Adult and Family Services (AFS), TANF staff approval.

3.When an employer has not previously contracted with the Oklahoma Department of Human Services (DHS), the employer must also complete and sign Form 10CO135E, Vendor Information – Substitute W-9.

4.Designated county staff or the CDS files the original of Form 08TW017E, Subsidized Employment Program (SEP) Contract, and Form 10CO135E, if needed, in the case record and sends a copy to AFS TANF staff.When Form 10CO135E is completed, designated county staff or the CDS must fax the form to Financial Services, Claims at (405) 522-2082.

5.Designated county staff or the CDS gives the original Form 08TW006E, Subsidized Employment Program (SEP) Temporary Assistance for Needy Families (TANF) Participant Agreement, to the participant.

6.Designated county staff or the CDS files a copy of the letter and contract in the participant's case record.

7.Designated county staff or the CDS records the date and means of contact with the participant and the employer in Family Assistance/Client Services (FACS) case notes.

8.(a) Upon receipt of completed Forms 08TW006E and 08TW017E, the designated county staff or the CDS determines if the new SEP employer is on the provider file.

(1) To view provider files, enter P space federal identification (ID) number on the information management system (IMS) network.

(2) When the new SEP employer is not on the provider file, the designated county staff or the CDS enters PU.This transaction brings up a screen the designated staff must complete by entering the type of request as N, the business name, address, telephone number, and the new employer's federal identification (ID) number.

(3) When ownership of the business changes, the new owner information must be on the provider file.

(b) Once the employer is listed on the provider file, designated county staff or the CDS authorizes payment by entering AUWC, space, the participant's case number, and inputting information on the screen per AUW transaction instructions.After the authorization clears, the computer automatically updates the case status to Special Medical, effective the following regular roll.

(c) The worker completes periodic renewals of eligibility per Oklahoma Administrative Code (OAC) 340:65-3-8(b) time frames.

9.When the renewal is not due, the system does not increase the family share copayment and the worker does not decrease the number of units or unit type until renewal.The worker may increase the number of units and unit type when applicable.

10.Upon receipt of Form 08TW018E, Subsidized Employment Program (SEP) Invoice, AFS TANF staff audits the invoice for completeness and compensability, signs it, and processes the claim for reimbursement.

1011.(a) When the employer is eligible for the bonus reimbursement, the SEP authorization remains open until the bonus payment is made to the employer.Once the payment is made, the worker closes the SEP authorization, effective the last day of the 10th month of employment.

(b) When the employer is not eligible for the bonus reimbursement, the SEP authorization remains open until the final SEP payment is made.The worker closes the SEP authorization, effective the last day of the fourth month of the subsidy period.

1112.(a) Designated county staff or the CDS submits the final Form 08TW018E to AFS TANF staff.

(b) When the participant remains eligible for TANF, the worker updates the participant's:

(1) TANF ET&E status field F154 of the TANF Work tab in the FACS Interview Notebook; and

(2) TANF benefit status by resending the benefit (F24), status (F25), and effective date (F26) fields in the Household tab.

(c) When the participant is not eligible for TANF, the worker closes the Financial Assistance section in the FACS Eligibility Notebook using the appropriate reason and updates other benefits sections as needed.

1213.(a) When the participant remains eligible for TANF, the worker updates the participant's:

(1) TANF ET&E status field F154 of the TANF Work tab in the FACS Interview Notebook; and

(2) TANF benefit status by resending the benefit (F24), status (F25), and effective date (F26) fields in the Household tab.

(b) When the participant is not eligible for TANF, the worker closes the TANF benefit for the appropriate reason and updates other benefits sections as appropriate.The worker must determine the client's eligibility for other cash assistance, medical benefits, food benefits, and child care benefits as soon as possible and issue supplements when necessary.

1314.The worker refers participants to on-the-job training (OJT) by completing Form 08TW003E, Interagency Referral and Information.

1415.Refer to OAC 340:10-3-40(12) when the OJT is AmeriCorps Vista.

15.The designated county staff or the CDS makes a referral using Form 08TW003E.When the contracted provider agrees to accept the participant in the program, the contracted provider returns Form 08TW003E to the county office.It is the designated county staff's or the CDS's responsibility to notify AFS TANF staff.

16.The designated county staff or CDS informs the employer of the Work Opportunity Tax Credit (WOTC) availability as it relates to the SEP.WOTC is available for the unsubsidized portion of the wages actually paid.

17.For information about Enterprise Communities, refer to www.ezec.gov.

18.A person participating in a drug or alcohol treatment facility does not qualify.

19.Designated county staff or the CDS avoids placement of trainees with facilities that consistently use Work Experience Program (WEP) participants without providing first option employment.

20.The county director reports injuries to DHS Human Resources Management (HRM) Employee Focused Services on Form 23RS046E, Employee's Report of Job-Related Accidental Injury or Illness.

21.Following the participant's interview with the facility and the facility's acceptance of the participant for training, the worker makes a notation on the copy of Form 08TW002E, TANF Work/Personal Responsibility Agreement, and initiates an authorization.The worker completes Form 08TW014E, Work Experience Program – Nonprofit Participant Agreement, or Form 08TW114E, Work Experience Program – For-Profit Participant Agreement, at this time.The worker mails a copy of Form 08TW014E or Form 08TW114E to the facility as notification of the participant's starting date.

22.A contracted entity may include, but is not limited to the:

(1) Oklahoma Department of Career and Technology Education (ODCTE);

(2) Oklahoma State Regents for Higher Education (OSRHE);

(3) Workforce Investment Act (WIA); or

(4) Oklahoma Employment Security Commission (OESC).

23.The worker forwards the written description to the county director or designee requesting training slot approval.

24.Form 08TW013E, Time and Progress Report, advises the participant to submit pages one and two to the local county office by the 20th of the current month and pages three and four by the fifth of the next month.

25. Examples of Community Partnerships may include:

(1) community outreach and enrichment programs, such as free clinics, the Urban League, community food banks, and clothes closets;

(2) public safety organizations, such as the Oklahoma Department of Environmental Quality, local police or fire departments, Oklahoma Department of Transportation, County Commissioners' offices, and Oklahoma State Department of Health city or county offices;

(3) educational facilities, such as local schools and colleges.Activities at local schools might include janitorial or maintenance work, playground monitors, or cafeteria workers;

(4) animal welfare organizations, such as the Oklahoma Department of Wildlife Conservation, local humane societies, and animal shelters;

(5) child care programs, such as Head Start and licensed after school programs;

(6) agencies responsible for community recreation or beautification of cities, counties, or the state, such as the Oklahoma Tourism and Recreation Department, local parks and recreation programs, or local Young Men's Christian Association (YMCA) programs;

(7) other city, county, or state agencies or entities that provide services to the community;

(8) charitable organizations, such as the United Way, Salvation Army, and Goodwill Industries International Inc.;

(9) charitable organizations or faith based entities that sponsor organized community events, such as Relay for Life, health fairs, and community Thanksgiving or Christmas programs or dinners; and

(10) Office of Faith and Community Engagement Services programs.

26.The county director reports injuries to DHS HRM Employee Focused Services on Form 23RS046E.

27.The worker must update Form 08TW002E.

SUBCHAPTER 3. CONDITIONS OF ELIGIBILITY - NEED

PART 3. INCOME

340:10-3-31.1. Earned income disregard

Issued 9-15-15 Revised 10-1-17

(a) A Temporary Assistance for Needy Families (TANF) recipient may be eligible to receive an earned income disregard (EID) when conditions described in (1) through (3) of this Section are met.When applied, the earned income disregard EID excludes all earned income from consideration against the cash assistance payment for up to three consecutive months.The recipient is eligible for one earned income disregard EID period per rolling 12-month period.¢ 1

(1) Applicants and individuals not included in the cash assistance unit are not eligible for an earned income disregard EID.

(2) The combined monthly earned income of all TANF cash assistance unit members must not exceed $2,064.

(3) Before applying the earned income disregard EID, the worker first subtracts all applicable earned income exemptions per Oklahoma Administrative Code (OAC) 340:10-3-33 from the payment standard to determine if the individual remains eligible for TANF.

(A) Refer to Schedule IX on the Oklahoma Department of Human Services (DHS) Appendix C-1, Schedule of Maximum Income, Resource, and Payment Standards for the TANF payment standard.

(B) When the recipient remains eligible, the assistance unit is not eligible for an earned income disregard (EID) period.

(C) When the client is eligible for an EID period, the worker and client update and sign Form 08TW002E, TANF Work/Personal Responsibility Agreement, to include the client's place of employment andscheduled hours.¢ 1

(b) When child care is needed during the EID period, the child remains predetermined eligible with a zero family share copayment per OAC 340:40-7-1.

(c) When the client loses his or her job during the EID period, the worker removes the earned income and the EID for the next non-advance notice effective date per Appendix B-2, Deadlines for Case Actions.

(1) Unless the client begins new employment within 10-business days of losing the first job, he or she is not eligible for the remainder of the EID period.¢ 2

(2) The worker and client update and sign Form 08TW002E indicating the client's agreed upon TANF work activities.

(3) When child care is open and the client begins participating in a TANF Work activity, the worker adjusts the child care plan hours to meet the needs of the new activity when increased plan hours are needed.Per OAC 40-5-1(3)(D), child care plan hours are not decreased until the child care renewal is due.

(4) When child care is open and the client does not begin participating in a TANF Work activity, child care is extended for 90-calendar days per OAC 340:40-7-8 and OAC 340:40-9-2(f)(4)

(d) When the client remains employed for the entire EID period, an automated process closes the TANF benefit for the next negative action effective date per Appendix B-2.

(1) When Supplemental Nutrition Assistance Program food benefits are open, refer to OAC 340:50-11-27 and DHS Appendix C-3, Maximum Food Benefit Allotments and Standards for Income and Deductions, to determine continued eligibility.

(2) The client remains eligible for SoonerCare (Medicaid) per OAC 340:10-75.

(3) When child care subsidy benefits are open the worker determines if the participant's child care renewal is due per OAC 340:40-9-1.When the child care renewal is:

(A) due, the worker considers the participant's earnings in determining continued eligibility and family share copayment amount per DHS Appendix C-4, Child Care Eligibility/Copayment Chart;; or

(B)not due, the participant's family share copayment does not increase until the renewal is due per OAC 340:40-5-1(9).¢ 3

INSTRUCTIONS TO STAFF 340:10-3-31.1

Issued 9-15-15 Revised 10-1-17

1.(a) When the recipient is eligible for the earned income disregard (EID) period and reports the income timely, the worker:

(1) calculates earned income using the MICAL transaction and inputs and disregards the recipient's gross earnings for three months by entering:

(A) a 'C' in the 'type action taken' block and the next negative action effective date in the 'effective date' block of the Financial Assistance tab of the Family Assistance/Client Services (FACS) system; and

(B) the recipient's gross earnings in the 'earned income' field and in the 'diverted' field of the FACS Income tab or self-employment in the "monthly self-employment income" and "monthly business expenses" fields;

(C) enters the date the job started or the first date the TANF payee and/or spouse received the increased income in "TANF 3E income chg date" field;

(D) enter the first date of the first month that income is disregarded in "TANF 3E eff date" field;

(2) opens a Temporary Assistance for Needy Families (TANF) Work authorization with WF or WP in the 'component' block field, the first day of employment in the 'begin/change date' block field and the first day of the third month in the ' assessment date' block field.From example (a)(2) (d)(2) of this Instruction, the worker enters WF in the 'component' block field, 06-05-2015 in the 'begin/change date' block, and 09-01-2015 in the 'assessment date' block field; and

(3) ensures he or she takes action to remove earnings from the 'diverted' block before negative action deadline in the third month by:

(A) setting an Outlook reminder due date for the first day of the third month;

(B) monitoring WF and WP authorization lines appearing on CWA 34, Authorization Reviews Due This Month, and CWA 35, Authorization Reviews Due Next Month, at the first of each month; and

(C) reviewing the ALLDATA report, TANF RR cases with Open WP WF lines- SO , at the first of each month; and

(4) documents in FACS case notes:

(A) the recipient's employment start date;

(B) the employer's name;

(C) income calculations used to determine eligibility for the earned income disregard EID period; and

(D) the three months included in the earned income disregard EID period.

(b) The worker MUST remove the recipient's earnings from the 'diverted' block and close the TANF benefit before negative action deadline in the third month of income diversion.When closing the TANF benefit, the worker:

(1) uses reason code '03 - excess earnings of caretaker relative';

(2) approves the client for continued medical benefits;

(3) closes or enters a change action in the SNAP tab when food benefits are open per procedures described in OAC 340:50-11-27;

(4) assigns a child care co-payment based on income, family size, and children in care per Appendix C-4, Child Care Eligibility/Co-payment Chart, when child care benefits are open; and

(5) documents the TANF closure action and status of other benefits in FACS case notes.

(c) The worker MUST record TANF participation hours for each month he or she diverts of the income EID period on the ETPAI screen and close the employment authorization at the end of the third diversion month EID period.

(d) The worker closes the employment authorization at the end of the third diversion month.

(e) Examples regarding application of the earned income disregard EID are contained in (1) through (3) of this subsection.

(1) The TANF recipient receives a $292 cash assistance payment for a three person household.The recipient starts working and earns $700 per month.After applying the $240 work related expense and $230 one half remainder earned income exemptions, the recipient remains eligible for a $62 cash assistance payment ($700 - $240 – $230 = $230.$292 - $230 = $62).Since the recipient remains eligible, he or she is not eligible for the earned income disregard EID.

(2) The recipient receives a $292 cash assistance payment for a three-person household.The recipient begins earning $1950 per month on June 5, 2015.After applying the earned income exemptions, $1950 - $240 = $1710 ÷ 2 = $855, the recipient is ineligible for TANF.Since the recipient's earnings are less than $2064 and he or she has not received an earned income disregard within the most recent 12-month period, the recipient's earnings are disregarded for three months.The disregard EID period is July, August, and September 2015.

(A) The recipient loses the job on July 5, 2015, within the first month of the disregard period.The worker removes the earned income for the next effective date.The disregard period ends in September 2015, even though the recipient did not use the earned income disregard EID for two of the three months.

(B) The recipient obtains a new job in September 2015, with monthly earnings of $900.$900 - $240 = $660 ÷ 2 = $330 that exceeds the TANF payment standard of $292 for a three-person household.Because the recipient is not eligible for a new disregard EID period until July 2016, the recipient's TANF benefit closes the next effective date.

(C) The person loses the job, reapplies, and is certified for TANF in January 2016.In May 2016, the client obtains a new job earning $1500.$1500 - $240 = $1260 ÷ 2 = $630.Because the recipient's countable earnings exceed the $292 TANF payment standard and the recipient is not eligible until July 2016, for a new earned income disregard EID period, the recipient's TANF benefit closes the next effective date.

(D) The person applies for TANF in August 2015, continues to earn $1500 per month, and is denied.Because the person is an applicant and not a recipient, he or she is not eligible for an earned income disregard EID.

(3) A TANF recipient receives a $292 cash assistance payment for a three-person household.The recipient obtains a job earning $3,000 per month.The recipient is not eligible for an earned income disregard because he or she earns more than $2,064 per month.

2. When the recipient obtains new employment:

(1) within 10-business days of the loss of the original job and his or her countable earnings are too high to receive a TANF cash assistance payment, but are below the $2,604 maximum, the recipient remains eligible for the EID period;

(2) within 10-business days of the loss of original job and the earnings are above the $2,604 maximum per (b)(2) of this Section, the worker closes the TANF benefit for the next advance-notice effective date per DHS Appendix B-2, Deadlines for Case Actions and determines the recipient's continued eligibility for food benefits, SoonerCare (Medicaid), and child care subsidy benefits per (d) of this Section; or

(3) on the 11th business day following loss of original job, the recipient is no longer eligible for the EID period.The worker closes the TANF benefit for the next advance-notice effective date per DHS Appendix B-2, and determines the recipient's continued eligibility for food benefits, SoonerCare (Medicaid), and child care subsidy benefits per (d) of this Section.

3. When the child care renewal is not due, the system does not increase the family share copayment and the worker does not decrease the number of units or unit type until renewal. The worker may increase the number of units and unit type when applicable.