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B-163922 1 (1978-02-10)

handle is hein.gao/gaobadfol0001 and id is 1 raw text is: , 3t4 0 THE COMPTROLLER GENERAL DECISION .. -Y . CF THE UNITED STATEE WAS*INGTON. o. C. o2054 rILE: B MATTER DIGEST: -163922 JDATE: Nabruay 10, 1978 OF: Emergency Employment Act of 1971 - Recovery of Grant Funds 1. Department of Labor has no authority to allow payment; in violation of Department regulations establishing 7-day unemployment rule, 29 C.F.R. § 55. 1(q)(1) and 30-day related employment rule, 29 C. F. R. S 55. 7(e). Claim *is returned to Department of Labor for recalculation of amount due to the Government, 2. Although a portion of disallowed grant costs was withheld from subsequent grant funds under section 12(e) of EEA, Pub. L. No. 92-54, 85 Stat. 154, claim is returned to the Department of Labor under 4 C. F. R. S 104. 4 for completion of claims collectton effor ts, including pos- sible setoff from other Government sources, as required by 4 C. F. R. t 102. 3 under Claims Collection Act, 31 U.S.C. § 951, et seq. (1970). This decision responds to a request by the Assistant Secretary of Labor for Administration and Managenent. for this Office to review and determine any liability as well as to take appropriate artion to recover, $131, 783. 71 expended by the State of Rhode Island during fiscal year 1973 and 1974 in victation of program requirements of a Department of Labor grant issued under the Emergency Employment Act of 1971 (EEA) Pub. L. No. 92-54, 85 Stat. 146, superseded by the Comprehensive Employment and Training Act of 1973 (C.hTA), Put. L. No. 93-203, 87 Stat. 850, 29 U.S.C. S 841 e: seq. The Assistant Secretary ha3 provided us with the following state- ment of facts in this matter: The State of Rhode Island was funded as Program Agent under the Emergency Employment Act (PEP, P. L. 92-54, July 12, 1971, 42 USC 4871 et seq.) in the amount of approximately $7, 080, 696 by thre grants running from September 1, 1971, through November 30, 1972. By let- ter of December 19, 1973, to Governor Phillip W. Noel of Rhode Island, Acting Assistant Regional Director for Manpower (ARDM) for Region I, advised that due to vio- lations of the Public Employment Program (PEP) by 36 -1- I. 4- V I

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