Administer the state?S unemployment insurance program activities

The Department of Labor Employment and Training Administration awarded the Colorado Department of Labor and Employment $35.733 million on October 1, 2025, under the Unemployment Insurance formula grant program (CFDA 17.225) to administer the state's unemployment insurance program activities through December 31, 2028.

The funding covers operational costs of Colorado's unemployment insurance program, including administrative workload, claims processing capability, operation of claimant systems, staffing levels, and overhead costs. The recipient does not intend to subaward funds. Performance outcomes focus on maintaining or improving timeliness and quality of claims processing, effective handling of improper payments, and the state's ability to identify fraudulent claims and reduce improper payment rates. Intended beneficiaries are unemployment compensation claimants. Work is performed in Colorado.

Purpose

The purpose of this grant is to administer the state?S unemployment insurance program activities.

Activities

Funding provided to the state is for costs incurred for the operation of their unemployment insurance program. This includes the state?S unemployment insurance administrative workload and their ability to process claims. This also includes the operation of the state?S claimant systems as well as staffing levels and overhead costs.

Expected outcomes

The state is able to maintain or improve levels of performance regarding the timeliness and quality of processing unemployment insurance claims, as well as effectively handling improper payments. The state?S ability to identify fraudulent claims and reduce improper payment rates is maintained or improved.

Intended beneficiaries

Unemployment compensation claimants.

Subrecipient activities

The recipient does not intend to subaward funds.