Health Care Tax Credit (HCTC) National Emergency Grants (NEGs)


To provide health insurance coverage assistance and support related services to ?eligible Trade Adjustment Assistance (TAA) recipients? and ?eligible ATAA/RTAA recipients?, as authorized under the Trade Adjustment Assistance Reauthorization Act of 2015 (TAARA 2015), title IV of the Trade Preferences Extension Act of 2015 (Public Law 114-27), which amends Subparagraph (B) of section 35(b)(1) of the Internal Revenue code of 1986.

General information about this opportunity
Last Known Status
Deleted 03/27/2024 (Archived.)
Program Number
Federal Agency/Office
Employment and Training Administration, Department of Labor
Type(s) of Assistance Offered
B - Project Grants
Program Accomplishments
Not applicable.
American Recovery and Reinvestment Act of 2009 (Public Law 111-5), Trade Act of 1974 (Public Law 93-618), as amended; Trade Adjustment Assistance (TAA) Reform Act of 2002 (Public Law 107-210), as reauthorized by the TAA Extension Act of 2011; as reauthorized by the TAA Reauthorization Act of 2015 (Public Law 114-27), Public Law 111-5
Who is eligible to apply/benefit from this assistance?
Applicant Eligibility
Not Applicable.
Beneficiary Eligibility
Not Applicable.
TAA certification
What is the process for applying and being award this assistance?
Pre-Application Procedure
Preapplication coordination is not applicable.
Application Procedure
2 CFR 200, Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards applies to this program. Applications submitted requesting funding for administrative costs must contain four separate and distinct parts: (1) SF-424 "Application for Federal Assistance;" (2) SF-424A Budget Information Form; (3) Budget Narrative; and (4) Project Narrative. It is each state's responsibility to ensure that the funding amount requested is consistent across all parts and sub-parts of the application. A. SF-424, "Application for Federal Assistance" A state must complete the SF-424, "Application for Federal Assistance" OMB Control No. 4040-0004 An SF-424 electronically submitted through constitutes the official signed document. Upon confirmation of an award, the individual signing the SF-424 on behalf of the applicant is considered the Authorized Representative of the applicant. B. Project Budget A state must complete the SF-424A Budget Information Form OMB Control No. 4040-0006. C. Budget Narrative The budget narrative must provide a description of costs associated with each line item on the SF-424A, demonstrating how grant funds will be used. It must also include a description of leveraged resources provided (as applicable) to support grant activities. Note that the SF-424, SF-424A, and budget narrative must include the entire Federal grant amount requested (not just for one year). Do not show leveraged resources on the SF-424 and SF-424A. A state should describe leveraged resources in the budget narrative. The requested Federal grant amount listed on the SF-424, SF-424A, and budget narrative must be the same. The funding amount included on the SF-424 will be considered the official funding amount requested if any inconsistencies are found. D. Project Narrative The Project Narrative must demonstrate the state's capability to implement the grant project in accordance with the provisions of this announcement. It must provide a comprehensive framework and description of all aspects of the proposed project. It must be succinct, self-explanatory, and well-organized so that reviewers can understand the proposed project. Examples of activities for which funding may be requested include (but are not limited to): 1) outreach to notify eligible individuals regarding the availability of the advance credit option of HCTC; 2) process improvements to ensure eligible TAA and ATAA/RTAA recipients are correctly identified; 3) development/implementation of information technology systems related to the requirements this advisory; and 4) HCTC staff training. E. Reporting Each grant recipient is required to submit a ETA 9130, Quarterly Financial Status Report (OMB Control Number 1205-0461) until such time as all funds has been expended or the grant period has expired. Quarterly reports are due 45 days after the end of each calendar year quarter. On the final Financial Status Report, grant recipient must include any sub-award amounts so that applicable final indirect costs may be calculated. The ETA 9130 report must be submitted using the Department's Online Electronic Reporting System. Specific instructions on how to use that system will be provided after award Applications for funding under this project must be submitted through Applications will be accepted on rolling basis as long as funds remain available or until September 30, 2019. To submit the required documents, States must follow the "Apply for Grants" link on, and download the links for the grant application package. States should not follow the "Find Grants" link, as this is not a competitive funding opportunity.
Award Procedure
The Grant Officer issues a Notice of Obligation to the grantee providing the dollar amount, purpose of the funds and the terms and conditions of the grant, based on the information provided in the application.
October 1, 2016 to September 30, 2018 Applications are no longer accepted.
Approval/Disapproval Decision Time
From 15 to 30 days. A decision on an initial application and monetary grant modifications such as requests for incremental funding, are made within 30 working days from receipt of a complete and responsive request.
Not applicable.
Not applicable.
How are proposals selected?
Not applicable.
How may assistance be used?
There is currently only one type of HCTC DWG: infrastructure. Infrastructure DWG funds can be used to help states establish the systems and procedures needed to make healthcare benefits available for eligible individuals. States may request HCTC Infrastructure DWG funds to cover administrative costs for activities related to the transmittal of records of eligible TAA and ATAA/RTAA recipients to the IRS via the Unemployment Insurance (UI) Interstate Connection Network (ICON). Upon receipt of the state workforce agency (SWA’s) information, the IRS determines whether the eligible TAA and ATAA/RTAA recipients are also eligible for HCTC.
What are the requirements after being awarded this opportunity?
Not applicable.
Not applicable.
State requirements are to be in conformity with Federal statutes.
Other Assistance Considerations
Formula and Matching Requirements
Statutory formula is not applicable to this assistance listing.

Matching requirements are not applicable to this assistance listing.

MOE requirements are not applicable to this assistance listing.
Length and Time Phasing of Assistance
HCTC grants were awarded on a rolling basis. The grant period of performance is from (no earlier) than October 1, 2016, through December 29, 2019 or through expenditure of funds, whichever is earlier. Method of awarding/releasing assistance: Lump.
Who do I contact about this opportunity?
Regional or Local Office
Employment and Training Administration regional offices
Headquarters Office
Julie S Baker
Frances Perkins Building, 200 Constitution Avenue, N.W.
Washington, DC 20210 US
Phone: 2026933707
Fax: 2026933584
Website Address
Financial Information
Account Identification
(Project Grants) FY 18$0.00; FY 19 est $0.00; FY 20 est $0.00; FY 17$1,000,000.00; FY 16$1,000,000.00; -
Range and Average of Financial Assistance
Grant amounts awarded in FY 2017 ranged from $45,422 - $500,000. The average was $217,083
Regulations, Guidelines and Literature
Training and Employment Guidance Letter No. 5-15, Change 1, Operating Instructions for Implementing the Amendments to the Trade Act of 1974 Enacted by the Trade Adjustment Assistance Reauthorization Act of 2015 (TAARA 2015) Training and Employment Notice No. 25-15 Reinstatement of the Health Coverage Tax Credit (HCTC) for Eligible Trade Adjustment Assistance (TAA) Recipients and Alternative TAA (ATAA) and Reemployment TAA (RTAA) Recipients UNEMPLOYMENT INSURANCE PROGRAM LETTER No. 01-17 Health Coverage Tax Credit (HCTC) for Eligible Trade Adjustment Assistance (TAA) Recipients and Alternative TAA (ATAA) and Reemployment TAA (RTAA) Recipients
Examples of Funded Projects
Not applicable.


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