17.3.1  Approved Uses

17.3.1.1  JALs for Housing
17.3.1.2  JALs for Fines

 

JALs can be used for a variety of reasons to assist applicants in obtaining or maintaining employment.

Acceptable JAL Use Examples*

Expenses enabling transportation to work

  • Driver’s license and related costs

  • Car repairs

  • Car loans

  • Car down payments

  • Public transit passes

Expenses enabling execution of current or prospective job functions

  • Interview clothes

  • Uniforms

  • Professional attire

  • Supplies or tools for work

  • Equipment for remote work

*It is important to note that acceptable JAL uses are not limited to the above examples. W-2 agencies should strive to meet participants’ needs in getting or keeping a job.

 

17.3.1.1  JALs for Housing

JALs may be approved to cover the costs of rent or security deposits to help an applicant keep or get a job. The W-2 agency must review the budget to ensure the applicant can cover existing housing and other expenses and pay off the JAL. (See 17.2.3)

Below are two examples of when issuing a JAL for housing is appropriate.

EXAMPLE 1: Jaya and her children have been living with her mother and working part-time. She lost her job and has received a job offer with Capital Machinery. Jaya needs a JAL for $1,600 to cover her first month’s rent and security deposit so that she can move closer to her job. If she moves, she will be able to take the bus to both her job and her child care provider.

Jaya meets all of the eligibility requirements for a JAL. With her new salary, she is financially able to cover her ongoing housing costs and other expenses and can make the $83 monthly payment to pay off her JAL in 12 months.

The W-2 agency approves Jaya’s JAL and works with her to establish a repayment agreement that includes both cash and in-kind payments.

 

EXAMPLE 2: Ursula is currently employed 30 hours per week at a restaurant. She missed 10 days of work because her daughter had surgery. Because of the missed hours, she was unable to pay her rent and received an eviction notice. Ursula is short on her rent by $400 and needs a JAL to avoid an eviction. If Ursula loses her housing, she will not be able to keep her job.

Ursula meets all of the eligibility requirements for a JAL. With her salary, she is financially able to cover her housing costs and other expenses and can make the $33 monthly payment to pay off her JAL in 12 months.

The W-2 agency approves Ursula’s JAL and works with her to establish a repayment agreement that includes both cash and in-kind payments.

 

17.3.1.2  JALs for Fines

JALs may be approved to cover the payment of fines that, if unpaid, can result or have resulted in the suspension of a person’s driver’s license or the ability to get a driver’s license.

When a JAL is needed to help an applicant pay a fine related to getting their driver’s license, the W-2 agency must:

1.             Help the applicant identify the fines and amounts that prevent them from getting their driver’s license. This may be done with the assistance of DMV or other community agencies.

2.             Verify with the DMV that paying the fine will result in the applicant’s eligibility for driver’s license reinstatement, occupational license, or an initial driver’s license.

3.             Make the JAL check payable to the JAL recipient. If there are several fines owed to more than one court or municipality, only one check will be issued.  However, the sum of the loaned funds for any one individual cannot exceed $1,600 in a 12-month period.

If insurance is required before a license can be issued, JAL funds may be used to cover the cost of required insurance for the first six months of coverage or $500, whichever is less.]

 

 

History: Release 24-10; Release 22-02; Release 12-03.