PUBLIC LAW 105-220—AUG. 7, 1998 112 STAT. 953 (i) are established by the Secretary for each year and modified by the adjustment methodology of the State (used to account for differences in economic conditions, participgoit characteristics, and combination of services provided from the combination assumed for purposes of the established standards of the Secretary); and (ii)(I) if the area was designated as both a service delivery area and a substate area under the Job Training Partnership Act (as in effect on the day before the date of enactment of this Act)— (aa) relate to job retention and earnings, with respect to activities carried out under part A of title II of such Act (as in effect on such day); or (bb) relate to entry into employment, with respect to activities carried out under title III of such Act (as in effect on such day); (II) if the area was designated only as a service delivery area under such Act (as in effect on such day), relate to the standards described in subclause (I)(aa);or (III) if the area was only designated as a substate area under such Act (as in effect on such day), relate to the standards described in subclause (I)(bb). (E) SUSTAINED THE FISCAL INTEGRITY.—In this paragraph, the term "sustained the fiscal integrity", used with respect to funds used by a service delivery area or local area, means that the Secretary has not made a final determination during any of the last 3 years for which data are available, prior to the date of the designation request involved, that either the grant recipient or the administrative entity of the area misexpended the funds due to willful disregard of the requirements of the Act involved, gross negligence, or failure to observe accepted standards of administration. (4) DESIGNATION ON RECOMMENDATION OF STATE BOARD. — The Grovernor may approve a request from any unit of general local government (including a combination of such units) for designation (including temporary designation) as a local area if the State board determines, taking into account the factors described in clauses (i) through (v) of paragraph (1)(B), and recommends to the Governor, that such area should be so designated. (5) APPEALS. —^A unit of general local government (including a combination of such units) or grant recipient that requests but is not granted designation of an area as a local area under paragraph (2) or (3) may submit an appeal to the State board under an appeal process established in the State plan. If the appeal does not result in such a designation, the Secretary, after receiving a request for review from the unit or grant recipient and on determining that the unit or grant recipient was not accorded procedural rights under the appeal process established in the State plan or that the area meets the requirements of paragraph (2) or (3), as appropriate, may require that the area be designated as a local area under such paragraph.
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