H.R. 3736 (103rd): Workforce Education Act of 1994

103rd Congress, 1993–1994. Text as of Jan 26, 1994 (Introduced).

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HR 3736 IH

103d CONGRESS

2d Session

H. R. 3736

To provide incentives for job apprenticeship programs, enhance educational opportunities, and study the feasibility of consolidating the administration of all Federal dislocated worker programs.

IN THE HOUSE OF REPRESENTATIVES

January 26, 1994

Mr. ANDREWS of Texas introduced the following bill; which was referred jointly to the Committees on Education and Labor, Ways and Means, and Post Office and Civil Service


A BILL

To provide incentives for job apprenticeship programs, enhance educational opportunities, and study the feasibility of consolidating the administration of all Federal dislocated worker programs.

    Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ‘Workforce Education Act of 1994’.

TITLE I--TARGETED JOBS CREDIT FOR SCHOOL-TO-WORK PROGRAMS

SEC. 101. TARGETED JOBS CREDIT FOR PARTICIPANTS IN APPROVED SCHOOL-TO-WORK PROGRAMS.

    (a) IN GENERAL- Subparagraph (I) of section 51(d)(1) of the Internal Revenue Code of 1986 (defining members of targeted group) is amended to read as follows:

        ‘(I) a qualified participant in an approved school-to-work program, or’.

    (b) QUALIFIED PARTICIPANT IN AN APPROVED SCHOOL-TO-WORK PROGRAM- Paragraph (10) of section 51(d) of such Code is amended to read as follows:

      ‘(10) QUALIFIED PARTICIPANT IN AN APPROVED SCHOOL-TO-WORK PROGRAM DEFINED-

        ‘(A) IN GENERAL- Except as otherwise provided in this paragraph, the term ‘qualified participant in an approved school-to-work program’ means any individual who is certified under an approved school-to-work program as--

          ‘(i) having attained age 16 but not having attained age 23, and

          ‘(ii) being enrolled in and making satisfactory progress in completing such approved school-to-work program.

        ‘(B) LIMITATION ON NUMBER OF PARTICIPANTS-

          ‘(i) IN GENERAL- Any individual who begins work for the employer during any calendar year shall not be treated as a qualified participant in an approved school-to-work program unless the individual is certified under such program as an eligible participant with respect to such calendar year.

          ‘(ii) LIMITATION ON CERTIFICATIONS- The aggregate number of individuals certified under an approved school-to-work program as eligible participants with respect to any calendar year shall not exceed the portion of the national school-to-work program limitation for such calendar year allocated under subsection (m) to such program.

        ‘(C) APPROVED SCHOOL-TO-WORK PROGRAM- The term ‘approved school-to-work program’ means any program which--

          ‘(i) is a planned program of structured job training designed to integrate academic instruction provided by an educational institution and work-based learning provided by an employer, and

          ‘(ii) is approved by the Secretary of Labor acting through the Bureau of Job Apprenticeship.

        ‘(D) WAGES- In the case of remuneration attributable to services performed while the individual meets the requirements of subparagraph (A), wages, and unemployment insurance wages, shall be determined without regard to section 3306(c)(10)(C).

        ‘(E) Cross reference-

‘For special rules and limitations applicable to credit for qualified participants in approved school-to-work programs, see subsections (l) and (m).’

    (c) SPECIAL RULES AND OVERALL LIMITATIONS- Section 51 of such Code is amended by adding at the end thereof the following new subsections:

    ‘(l) SPECIAL RULES FOR CREDIT FOR APPROVED SCHOOL-TO-WORK PROGRAM PARTICIPANTS-

      ‘(1) TERMINATION NOT APPLICABLE- Paragraph (4) of subsection (c) shall not apply in the case of any qualified participant in an approved school-to-work program.

      ‘(2) CREDIT NOT LIMITED TO FIRST YEAR WAGES- The credit determined under subsection (a) with respect to any qualified participant in an approved school-to-work program shall be equal to 40 percent of the lesser of--

        ‘(A) the wages paid or incurred by the employer during such taxable year to such qualified participant, or

        ‘(B) $6,000 reduced by the amount of wages taken into account by the employer for any prior taxable year with respect to such qualified participant.

      ‘(3) EARLY TERMINATION OF EMPLOYMENT-

        ‘(A) IN GENERAL- If the employment of any qualified participant in an approved school-to-work program is terminated by the taxpayer before the day 1 year after the day on which such qualified participant began work for the employer--

          ‘(i) no wages with respect to such participant shall be taken into account under this section for the taxable year in which such employment is terminated, and

          ‘(ii) the tax under this chapter for the taxable year in which such employment is terminated shall be increased by the aggregate credits (if any) allowed under section 38 for prior taxable years by reason of wages taken into account with respect to such qualified participant.

        ‘(B) CERTAIN EXCEPTIONS AND OTHER RULES MADE APPLICABLE- Rules similar to the rules of paragraphs (2), (3), and (4) of section 45A(d) shall apply for purposes of subparagraph (A).

    ‘(m) OVERALL LIMITATION ON APPROVED SCHOOL-TO-WORK PROGRAM PARTICIPANTS-

      ‘(1) IN GENERAL- For purposes of subsection (d)(10), the national school-to-work program limitation--

        ‘(A) for calendar year 1995 is 100,000,

        ‘(B) for calendar year 1996 is 150,000,

        ‘(C) for calendar year 1997 is 175,000, and

        ‘(D) for calendar year 1998 and any subsequent calendar year is 200,000.

      ‘(2) ALLOCATION TO STATES- The national school-to-work program limitation for any calendar year shall be allocated among the States in proportion to the number of their eligible participants that are estimated to be served in approved school-to-work programs for that year. Such estimates shall be published by the Secretary of Labor acting through the Bureau of Job Apprenticeship before the beginning of the calendar year to which the allocation applies.

      ‘(3) ALLOCATION TO APPROVED SCHOOL-TO-WORK PROGRAMS- The portion of the national school-to-work program limitation for any calendar year which is allocated to any State shall be allocated among the approved school-to-work programs in such State in such manner as the Secretary of Labor acting through the Bureau of Job Apprenticeship shall prescribe.’

    (d) EFFECTIVE DATE- The amendments made by this section shall apply in the case of individuals who begin work for the employer after December 31, 1994.

TITLE II--AUTHORIZATION OF APPROPRIATIONS FOR THE NATIONAL AND COMMUNITY SERVICE ACT OF 1990

SEC. 201. AUTHORIZATION OF APPROPRIATIONS FOR THE NATIONAL SERVICE TRUST PROGRAM, NATIONAL SERVICE EDUCATIONAL AWARDS, AND QUALITY AND INNOVATION ACTIVITIES.

    Section 501(a)(2)(A) of the National and Community Service Act of 1990 (42 U.S.C. 12681(a)(2)(A)) is amended by striking ‘$500,000,000 for fiscal year 1995, and $700,000,000 for fiscal year 1996’ and inserting ‘$1,000,000,000 for fiscal year 1995, $1,400,000,000 for fiscal year 1996, and $3,000,000,000 for each of the fiscal years 1997 through 1999’.

SEC. 202. AUTHORIZATION OF APPROPRIATIONS FOR CIVILIAN COMMUNITY CORPS DEMONSTRATION PROGRAM.

    Section 501(a)(3) of the National and Community Service Act of 1990 (42 U.S.C. 12681(a)(3)) is amended by striking ‘through 1996’ and inserting ‘through 1999’.

SEC. 203. AUTHORIZATION OF APPROPRIATIONS FOR ADMINISTRATION OF THE NATIONAL AND COMMUNITY SERVICE ACT OF 1990.

    Section 501(a)(4)(A) of the National and Community Service Act of 1990 (42 U.S.C. 12681(a)(4)(A)) is amended by striking ‘$60,000,000 for fiscal year 1995, and $70,000,000 for fiscal year 1996’ and inserting ‘$80,000,000 for fiscal year 1995, $90,000,000 for fiscal year 1996, and $100,000,000 for each of the fiscal years 1997 through 1999’.

TITLE III--STUDY AND REPORT RELATING TO CONSOLIDATION OF FEDERAL DISLOCATED WORKER PROGRAMS

SEC. 301. STUDY.

    (a) IN GENERAL- The Secretary of Labor shall conduct a study on the feasibility of consolidating the administration of the Federal dislocated worker programs described in subsection (b) into a single comprehensive program, the goals of which are--

      (1) to speed up the process of determining the eligibility of individuals for training and related services under such programs;

      (2) to give such individuals increased flexibility in how they receive and use such training and related services; and

      (3) to reduce the overlap in administration among such programs and to provide more efficient service under such programs by establishing local common points of access for such training and related services.

    (b) FEDERAL DISLOCATED WORKER PROGRAMS- The Federal dislocated worker programs described in this subsection are--

      (1) programs under title III of the Job Training Partnership Act (29 U.S.C. 1651 et seq.), including--

        (A) the defense conversion adjustment program under section 325 of such Act (29 U.S.C. 1662d);

        (B) the defense diversification program under section 325A of such Act (29 U.S.C. 1662d-1); and

        (C) the clean air employment transition assistance program under section 326 of such Act (29 U.S.C. 1662e); and

      (2) the trade adjustment assistance program under chapter 2 of title II of the Trade Act of 1974 (19 U.S.C. 2271 et seq.).

SEC. 302. REPORT.

    Not later than 1 year after the date of the enactment of this Act, the Secretary of Labor shall submit to the Congress a report containing--

      (1) the results of the study carried out under section 301; and

      (2) if appropriate, recommendations for legislation to achieve the consolidation of the administration of the Federal dislocated worker programs described in such section.

TITLE IV--FINANCING PROVISIONS

SEC. 401. REQUIRING CERTAIN AGENCIES TO PREFUND GOVERNMENT HEALTH BENEFITS CONTRIBUTIONS FOR THEIR ANNUITANTS.

    (a) DEFINITIONS- For the purpose of this section--

      (1) the term ‘agency’ means any agency or other instrumentality within the executive branch of the Government, the receipts and disbursements of which are not generally included in the totals of the budget of the United States Government submitted by the President;

      (2) the term ‘health benefits plan’ means, with respect to an agency, a health benefits plan, established by or under Federal law, in which employees or annuitants of such agency may participate;

      (3) the term ‘health-benefits coverage’ means coverage under a health benefits plan’;

      (4) an individual shall be considered to be an ‘annuitant of an agency’ if such individual is entitled to an annuity, under a retirement system established by or under Federal law, by virtue of--

        (A) such individual’s service with, and separation from, such agency; or

        (B) being the survivor of an annuitant under subparagraph (A) or of an individual who died while employed by such agency; and

      (5) the term ‘Office’ means the Office of Personnel Management.

    (b) PREFUNDING REQUIREMENT-

      (1) IN GENERAL- Effective as of October 1, 1994, each agency (or February 1, 1995, in the case of the agency with the greatest number of employees, as determined by the Office) shall be required to prepay the Government contributions which are or will be required in connection with providing health-benefits coverage for annuitants of such agency.

      (2) REGULATIONS- The Office shall prescribe such regulations as may be necessary to carry out this section. The regulations shall be designed to ensure at least the following:

        (A) Amounts paid by each agency shall be sufficient to cover the amounts which would otherwise be payable by such agency (on a ‘pay-as-you-go’ basis), on or after the applicable effective date under paragraph (1), on behalf of--

          (i) individuals who are annuitants of the agency as of such effective date; and

          (ii) individuals who are employed by the agency as of such effective date, or who become employed by the agency after such effective date, after such individuals have become annuitants of the agency (including their survivors).

        (B)(i) For purposes of determining any amounts payable by an agency--

          (I) this section shall be treated as if it had taken effect at the beginning of the 20-year period which ends on the effective date applicable under paragraph (1) with respect to such agency; and

          (II) in addition to any amounts payable under subparagraph (A), each agency shall also be responsible for paying any amounts for which it would have been responsible, with respect to the 20-year period described in subclause (I), in connection with any individuals who are annuitants or employees of the agency as of the applicable effective date under paragraph (1).

        (ii) Any amounts payable under this subparagraph for periods preceding the applicable effective date under paragraph (1) shall be payable in equal installments over the 20-year period beginning on such effective date.

    (c) FASB STANDARDS- Regulations under subsection (b) shall be in conformance with the provisions of standard 106 of the Financial Accounting Standards Board, issued in December 1990.

    (d) CLARIFICATION- Nothing in this section shall be considered to permit or require duplicative payments on behalf of any individuals.

    (e) DRAFT LEGISLATION- The Office shall prepare and submit to Congress any draft legislation which may be necessary in order to carry out this section.

SEC. 402. RESCISSION OF FUNDS FOR TRAVEL ACCOUNTS.

    (a) IN GENERAL- Of the funds made available in any appropriations Act for fiscal year 1994 to any executive department or agency, or any entity in the legislative branch, for purposes of official travel, 15 percent is rescinded. The Director of the Office of Management and Budget shall allocate such rescission among the appropriate accounts, and shall submit to the Congress a report setting forth such allocation.

    (b) EXCEPTIONS- Subsection (a) shall not apply to--

      (1) the Department of Defense, the Department of Justice, the Department of State, the Department of the Treasury, the Department of Veterans Affairs, or any agency or office within any such department; or

      (2) the Office of Personnel Management in carrying out its responsibilities under the Voting Rights Act of 1965.