ETA Did Not Ensure ARPA Grants Demonstrated Improvements in Access to Unemployment Benefits

Date Issued

Thursday, August 28, 2025

Submitting OIG

Department of Labor OIG

Agencies Reviewed/Investigated

Department of Labor

Report Number

19-25-006-03-315

Report Type

Audit

Special Projects

Pandemic

Agency Wide

Yes

Number of Recommendations

Questioned Costs

$2,827,736

Funds for Better Use

$20,722,490

Report updated under NDAA 5274

External Link

Open Recommendations

This report has 4 open recommendations.

Recommendation Number	Significant Recommendation	Recommended Questioned Costs	Recommended Funds for Better Use
001	Yes	$0	$20,772,490
We recommend the Acting Assistant Secretary for Employment and Training establish a policy that requires evaluation criteria or standards to be used to ensure grant applications include evidence of a specific issue prior to awarding a grant intended to address said issue.
002	Yes	$0	$0
We recommend the Assistant Secretary for Employment and Training develop additional guidance and staff training to improve monitoring of grant recipients, including a focus on reviewing progress reports to ensure reporting complies with requirements and grant recipients are on target to achieve grant goals as identified in the grant agreement.
003	Yes	$2,827,736	$0
We recommend the Assistant Secretary for Employment and Training review $2,827,736 in costs for grant projects that did not achieve project goals and recover funds where appropriate.
004	Yes	$0	$0
We recommend the Acting Assistant Secretary for Employment and Training develop guidance for planning new discretionary grant programs to ensure better coordination, minimize duplication of effort, and promote more efficient use of grant funds.