Individual Development Account Initiative
The Department of Labor will certify IDA programs.
For information, please call Lisa Arends at (860)
State certification is like a ďseal of approvalĒ that is intended to
facilitate program success and to encourage private sector contributions
and other involvement in Certified State IDA Programs.
00-192 (codified as Conn. Gen. Stat. ß31-ww, et. seq.) and its
implementing regulations provide for Individual Development Account
(IDA) program certification. There is no provision in the law for
ďagencyĒ certification. Therefore, a separate request must be submitted
for each proposed or existing IDA program an organization would like
Community-Based Organization (CBO) seeking certification of an existing
or proposed IDA Program must submit its request to the Connecticut
Department of Labor, IDA Program, Welfare-to-Work Unit, 200 Folly Brook
Boulevard, Wethersfield, CT 06109.
The request shall include:
- evidence of the community-based organizationís
exempt status from taxation pursuant to section 501(c)(3) of the
Internal Revenue Code of 1986 or any subsequent corresponding
provisions of the internal revenue code of the United States, as
from time to time amended;
- a plan
outlining the community-based organizationís proposed or
existing IDA program which shall satisfy the requirements of
sections 31-51ddd-1 through 31-51ddd-16, inclusive, of the
Regulations of Connecticut State Agencies;
a description of the
community-based organizationís proposed process of selecting
- a financial budget specifying the costs
of training, counseling, case management, and administration of
the program, provided such budget contains an assurance that no
more than five percent of the total funds received from the IDA
Reserve Fund are to be used for the costs of program
administration and no more than fifteen percent of such total
funds are to be used for the combined costs of training,
counseling, case management and program administration;
- a description of the organizationís
accounting procedures, including whether the community-based
organization participates in Generally Accepted Accounting
- any history the community-based
organization has had in successfully operating individual
development account programs and a detailed description of such
- a description of the manner in which
the community-based organization presently coordinates with
other local organizations;
a description of how the community-based
organization will publicize the program;
description of the community-based organizationís procedures and
timelines for the establishment of the individual development account to
ensure that such establishment is sufficiently expedient to safeguard
the account holderís interest;
- a description of its procedures for
monitoring account holder deposits and matching funds deposits;
- a description of the community-based
organizationís contingency plan in the event the community-based
organization is no longer able to operate the program.
Such contingency plan shall include but not be limited to:
- a requirement of immediate notice
to all account holders and the department; and
- all actions the community-based
organization shall take to ensure the orderly closing of the
The Department of Labor shall review the request for certification
and notify the community-based organization in writing whether the
organizationís request for certification has been approved or
disapproved. Any notice of disapproval shall include the reasons for the
Departmentís determination shall be final.
A community-based organization may resubmit a request for
certification once the basis for the Departmentís denial of
certification has been removed.
The Department of Labor shall review certified state IDA programs on
an annual basis.
- The Department of Labor may conduct site reviews of any individual development account
program at any time for compliance
with applicable statutes, regulations and contracts.
Community-based organizations operating certified state IDA programs
shall provide the Department with full access to any program records
The Department of
Labor may suspend or decertify a community-based organizationís
program for non-compliance with applicable statutes, regulations and
When the Department suspends or decertifies a community-based
organizationís program, the organization may request reconsideration
by the Labor Commissioner of such suspension or decertification.
The Labor Commissionerís decision shall be final.
A community-based organization may request in writing a
reinstatement of the program where a community-based organization has
shown to the satisfaction of the Department that the basis for the
suspension or decertification no longer exists.
organization whose program has been suspended or decertified shall not
participate in the solicitation process until the program has been