Although the TWC application uses the term “matching funds”, the required Industry Partner(s) contribution to the TIP is considered “leveraged funds. ”TWC is using WIOA funds which have no matching requirement; thus, any third-party contributions are considered leveraged funds. Leveraged funds must be for costs allowable under the federal Cost Principles in the applicable OMB Circulars (A-87, A122, or A-21).
The Industry Partner must submit periodic narratives on the progress of the TIP and the costs expended during the program. Documentation regarding the leveraged funds expended should be maintained by the Industry Partner and available for audit.
Example: An Industry Partner proposes to provide supportive services (e.g., work boots, gloves, etc.) to the trainees as part of its contribution to the TIP. Participant supportive costs are allowable under Federal Cost Principles and would be an allowable use for leveraged funds.