Approval Process

Three Phases of Trade Adjustment Assistance

NETAAC provides timely, cost-effective, and useful services for each individual manufacturing firm. A successful project is one that contributes significantly to improved profitability and makes a firm more competitive in the marketplace against imports. First, a firm must be deemed eligible for entrance into the TAA for Firms program. Eligibility is received after the firm supplies NETAAC with preliminary data for the analysis of qualification levels. Once a determination is made that the firm is eligible, NETAAC works closely with the manufacturer to guide them through each phase. The following is a basic overview of the three phases of the program:

 

 

PHASE 1: Certification

Documentation and Research
The firm, working with NETAAC, must demonstrate a decline in sales or production and a decline in employment as a direct result of competition from imported products. Additionally, the firm must demonstrate that U.S. customers have reduced or declined purchases from the firm in favor of buying imported items. This is accomplished by the firm supplying specific documentation to NETAAC. NETAAC, in turn, will do all the research, prove the findings and prepare all the documentation for submission. NETAAC, at no cost to the firm, assists in obtaining certification from the U.S. Department of Commerce. The length of this phase fluctuates, depending on the firm's ability to supply the needed data to NETAAC personnel. The timeframe for approval is typically 40 days, once the documentation has been submitted to Washington.

PHASE 2: Initial Assistance

Assessment Plan
Once a firm is declared certified, NETAAC professionals meet with the firm's management in order to conduct a thorough audit of all facets of the firm’s operations. Findings are analyzed to provide an accurate view of the firm’s strengths and weaknesses.

Next, NETAAC works with the firm to design strategies that will increase profitability. These strategies may involve specialized projects in areas that qualify for assistance and can include (but are not limited to) marketing, export assistance, product development, plant layout, worker incentives, cost systems, the preparation of business plans, and financial restructuring.

NETAAC then compiles these analysis findings and strategy recommendations into a formal Adjustment Proposal that is then submitted to the Department of Commerce for funding approval. The Department of Commerce makes a decision regarding the proposal within a few weeks. Costs for completing Phase 2 are shared between NETAAC and the certified firm, with NETAAC paying 75% and the firm paying just 25%.

PHASE 3: Implementation Assistance

Program Deployment
After the Department of Commerce has approved the Adjustment Proposal, funds are allocated to pay for a percentage of the projects depending on the total amount being granted.

• NETAAC pays 75% of grants totaling up to $30,000
• NETAAC pays 50% of grants totaling over $30,000 up to $150,000

NETAAC and the firm then choose consultants to implement defined projects. NETAAC has an extensive database of consultants with specific areas of expertise that are made available to all clients.

 

New England Trade Adjustment Assistance Center, Inc. (NETAAC)
71 Faulkner St., N. Billerica, MA 01862