On April 1, a new employee training grant program for businesses funded with federal American Recovery & Reinvestment Act (ARRA) dollars was launched.

The Web site of the Tennessee Department of Labor and Workforce Development indicates that the Tennessee Economic Recovery Training Grant (TERTG) program is funded by the American Recovery & Reinvestment Act (ARRA).

It is administered by the Workforce Development division of the Tennessee Department of Labor & Workforce Development, along with Local Workforce Investment Area (LWIA) boards and local Career Centers.

Greene County is part of state Local Workforce Investment Area 2 (LWIA), which also includes Claiborne, Cocke, Grainger, Hamblen, Hancock, Hawkins, Jefferson, Sevier and Union Counties.

The administrative entity for LWIA Area 2 is Walters State Community College, according to the state Web site. The Tennessee Career Center at Talbott (near Morristown) also serves the local LWIA, according to the Web site.

"This grant will provide assistance to Tennessee companies who have a need to train incumbent workers in company related, work specific training," the Web site says. "The training should result in a high probability of lay-off avoidance and possible company growth through the economic recovery period."

Randy Harrell, president of the Greene County Partnership, said during a Thursday telephone interview that he was not familiar with the new training grant program.

But Harrell said such a program is needed because many workers displaced during the current economic downturn will need to be retrained for future jobs.

"We're moving toward a knowledge-based economy," he said.

The maximum grant amount to for-profit companies under the new training grant program is $100,000. A 25-percent minimum match is required for grants made through the program, according to the Web site.

The TERTG program is scheduled to run through June 30, 2010, according to state Department of Labor and Workforce Development's Web site.

"Notification of approval must be received prior to start of any training," the Web site says. "Grant applications are subject to a proposal evaluation and approval by the Tennessee Department of Labor & Workforce Development, Office of Employer Services."

The new training grant program is not intended to replace the existing Incumbent Worker Training Grant Program.

"The TERTG is intended to provide training assistance to companies who wish to provide training to their employees during the economic recovery period and need more than the $50,000 cap that Incumbent Worker Training Grant program provides," the Web site notes. "This is not a pilot program and will not be renewed after the ARRA (federal economic stimulus) funding has been expended."

The existing Incumbent Worker Training Program provides grant funding for customized training for existing for-profit businesses, according to the Web site of the Tennessee Department of Labor & Workforce Development.

The Tennessee Department of Labor and Workforce Development, along with specific Local Workforce Investment Areas and local career centers, administer the program.