Funding to Support Ongoing Administration of Certain Coronavirus Aid, Relief, and Economic Security Act Programs - Pandemic Unemployment Assistance

The Funding to Support Ongoing Administration of Certain Coronavirus Aid, Relief, and Economic Security Act Programs - Pandemic Unemployment Assistance is administered by the U.S. Department of Labor through its Employment and Training Administration. This funding opportunity is part of a broader Unemployment Insurance Program Letter that provides administrative funding to State Workforce Agencies to continue managing legacy responsibilities associated with pandemic-era unemployment programs. Although the original CARES Act programs expired in 2021, the Department recognizes that significant administrative work remains, including fraud mitigation, financial reconciliation, and audit compliance. The primary purpose of this grant is to ensure that states can continue performing necessary administrative functions tied to the Pandemic Unemployment Assistance program. These responsibilities include resolving outstanding claims, addressing fraud and improper payments, maintaining and reporting program data, and responding to oversight from federal entities such as the Office of Inspector General and the Government Accountability Office. The funding is intended to stabilize and support the integrity of unemployment insurance systems following the unprecedented strain caused by the COVID-19 pandemic. Funds awarded under this opportunity are restricted to administrative costs directly associated with the ongoing management of the PUA program. Allowable uses include program integrity efforts such as fraud detection and recovery of overpayments, data management and reporting activities, and audit and oversight coordination. States may also propose additional administrative costs not explicitly listed, provided they can justify that such expenses are reasonable, necessary, and allowable under federal cost principles. All costs must comply with federal regulations outlined in 2 CFR Parts 200 and 2900. Eligibility for this funding is limited to State Workforce Agencies, including all U.S. states, the District of Columbia, Puerto Rico, and the Virgin Islands. Each eligible entity may submit only one application per program, and separate applications are required for each CARES Act program funding stream. The application process requires submission of standard federal forms including the SF-424 and SF-424A through Grants.gov, along with a detailed grant application and budget narrative submitted via email to the Department of Labor. Applications must be submitted electronically by the stated deadline, and incomplete or late submissions may result in disqualification. The Department evaluates applications based on the justification of requested funding, alignment with allowable activities, and completeness of required documentation. Award amounts are subject to a federal sequestration reduction, meaning final funding may be lower than requested. The Department may issue awards on a rolling basis during the application period to expedite access to funds. The period of performance for awarded grants begins January 1, 2026, and ends June 30, 2027. During this time, recipients are required to submit quarterly financial and progress reports detailing the use of funds and progress toward administrative goals. These reporting requirements ensure accountability and allow the Department to monitor compliance with funding rules and program objectives. Questions regarding the opportunity may be directed to the designated contact at the Department of Labor via email.

Ensure funding request covers full period of performance and aligns clearly with allowable administrative activities; submit early for faster award consideration