H.R. 1901 (112th): Saving America’s Youth: the Youth Employment Act of 2011

112th Congress, 2011–2013. Text as of May 13, 2011 (Introduced).

Status & Summary | PDF | Source: GPO

I

112th CONGRESS

1st Session

H. R. 1901

IN THE HOUSE OF REPRESENTATIVES

May 13, 2011

(for himself, Ms. Jackson Lee of Texas, Ms. Fudge, Ms. Norton, Mr. Ellison, Mr. Towns, Mr. Davis of Illinois, Mr. Hastings of Florida, and Mr. Frank of Massachusetts) introduced the following bill; which was referred to the Committee on Education and the Workforce, and in addition to the Committees on Ways and Means, Natural Resources, and Oversight and Government Reform, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned

A BILL

To create and encourage the creation of jobs for youth, and for other purposes.

1.

Short title; table of contents

(a)

Short title

This Act may be referred to as Saving America’s Youth: the Youth Employment Act of 2011 or SAY YEA.

(b)

Table of contents

The table of contents of this Act is as follows:

Sec. 1. Short title; table of contents.

Title I—Programs for the employment of youth and other workers

Sec. 101. Definition of disconnected youth.

Sec. 102. New programs for employment of disconnected youth and other workers.

Sec. 103. National public service employment program.

Sec. 104. Authorization of appropriations.

Title II—Tax incentives for the employment of youth and other workers

Sec. 201. Extension of work opportunity tax credit.

Sec. 202. Expansion of eligibility for work opportunity tax credit.

Sec. 203. Extension of empowerment zone designations.

Sec. 204. Disconnected youth employment credit.

Title III—Preference for youth employment in Federal jobs and in the performance of Federal contracts

Sec. 301. Preference for hiring youth park and forestry workers.

Sec. 302. Preference for Federal contracts with employers offering youth apprenticeships.

I

Programs for the employment of youth and other workers

101.

Definition of disconnected youth

Subtitle D of title I of the Workforce Investment Act of 1998 (29 U.S.C. 2911 et seq.) is amended by inserting before section 166 the following new section:

165.

Definition of disconnected youth

For purposes of this subtitle, the term disconnected youth has the meaning given such term by section 51(d)(14)(B)(ii) of the Internal Revenue Code of 1986, except that subclause (I) of such section shall be applied by substituting 22 for 25.

.

102.

New programs for employment of disconnected youth and other workers

Subtitle D of title I of the Workforce Investment Act of 1998 (29 U.S.C. 2911 et seq.) is amended by inserting after section 173A the following new sections:

173B.

Summer jobs for disconnected youth

(a)

In general

The Secretary shall allot to States the amount appropriated under section 174(d) for the implementation of programs to create summer employment opportunities for disconnected youth.

(b)

Allotment

An allotment under this section shall be made on the basis of the relative number of individuals who satisfy the certification criteria for disconnected youth in each State, compared to the total number of such individuals in all States.

173C.

State employment programs

(a)

In general

The Secretary shall establish a program to award grants to States to carry out an employment program to which the following requirements apply:

(1)

Payments to employers

The State shall make payments to eligible employers for the partial reimbursement of wages paid by such employers to each employee hired or rehired under paragraph (2)(A).

(2)

Eligibility for payments

An employer shall be eligible for payments under the employment program if—

(A)

the employer hires a new employee, or rehires a former employee, after the date of enactment of this section; and

(B)

the employer is a small business concern (as defined in section 3(a)(1) of the Small Business Act (15 U.S.C. 632(a)(1))) or a medium-sized business concern.

(3)

Priority for payments

The State shall give priority for payments under paragraph (1) to an eligible employer if the employee hired or rehired under paragraph (2)(A) is a disconnected youth.

(b)

Maximum grant

A grant awarded to a State under subsection (a) shall not exceed $100,000,000.

173D.

On-the-job training for disconnected youth

(a)

In general

The Secretary shall, in accordance with subsection (c), make allotments and grants to States to carry out eligible on-the-job training programs for disconnected youth.

(b)

Eligible on-the-Job training program

(1)

In general

For purposes of this section, an eligible on-the-job training program is an on-the-job training program under which an employer is eligible to receive, for each disconnected youth who is employed and is provided on-the-job training by the employer on or after the date of enactment of this section, a payment of—

(A)

25 percent of the total amount in paragraph (2), after the disconnected youth has been continuously employed by the employer for a period of 30 days; and

(B)

75 percent of the total amount in paragraph (2), after the disconnected youth has been continuously employed by the employer for a period of 6 months.

(2)

Limitation

The total amount an employer receives for each disconnected youth under a program for on-the-job training shall not exceed $4,000.

(3)

Covered employers

Under an eligible on-the-job training program, an employer that receives a payment under paragraph (1) may include—

(A)

a faith-based organization;

(B)

a public sector organization; or

(C)

a private employer.

(c)

Allotments and grants for programs for on-the-Job training

(1)

Allotment among States

(A)

In general

In making allotments and grants to States under subsection (a), the Secretary shall apply rules similar to the rules of subparagraphs (B) and (C) of section 127(b)(1), except that—

(i)

references in such subparagraphs (B) and (C) to youth activities and statewide enforcement activities shall be treated as references to eligible programs for on-the-job training; and

(ii)

references in such subparagraph (C) to disadvantaged youth shall be treated as references to individuals who satisfy the certification criteria for disconnected youth.

(B)

Reallotment of unused amounts

Allotments and grants made to States under subsection (a) may be reallotted. For purposes of the preceding sentence, rules similar to the rules of subsection (c) of section 127 shall apply, except that references in paragraph (1) of such subsection—

(i)

to such section, shall be treated as references to subsection (a) of this section; and

(ii)

to youth activities and statewide enforcement activities, shall be treated as references to eligible programs for on-the-job training.

(2)

Within State allocation

(A)

In general

Allotments and grants made to States under subsection (a) shall be allocated by the States to local areas to carry out programs for on-the-job training. For purposes of the preceding sentence, rules similar to the rules of paragraphs (2) and (3) of section 128(b) shall apply, except that references in such paragraphs to disadvantaged youth shall be considered to be references to individuals who satisfy the certification criteria for disconnected youth.

(B)

Reallocation of unused amounts

States may reallocate allotments and grants allocated under subparagraph (A). For purposes of the preceding sentence, rules similar to the rules of section 128(c) shall apply, except that—

(i)

references to paragraphs (2)(A) or (3) of section 128(b) shall be treated as references to subparagraph (A) of this paragraph; and

(ii)

references to youth activities shall be treated as references to eligible programs for on-the-job training.

.

103.

National public service employment program

Subtitle D of title I of the Workforce Investment Act of 1998 (29 U.S.C. 2911 et seq.) is amended by inserting after section 173D (as added by section 102 of this Act) the following new section:

173E.

National public service employment program

(a)

In general

The President shall establish a public service employment program to employ individuals to carry out works of a public nature in connection with—

(1)

parks;

(2)

roads; and

(3)

education, including—

(A)

schools; and

(B)

after-school programs.

(b)

Priority

Priority for jobs under this section shall be given to—

(1)

disconnected youth;

(2)

low-income individuals; and

(3)

the long-term unemployed.

(c)

Operation

To operate the program established under subsection (a), the President may utilize existing Federal departments and agencies, including the Department of Labor, the Department of Defense, the National Guard Bureau, the Department of Interior, the Department of Agriculture, the Army Corps of Engineers, the Department of Transportation, the Department of Energy, the Environmental Protection Agency, and Federal governmental corporations.

.

104.

Authorization of appropriations

Section 174 of the Workforce Investment Act of 1998 (29 U.S.C. 2919) is amended by adding at the end the following new subsections:

(d)

Summer jobs for disconnected youth

There is authorized to be appropriated to the Secretary, in addition to any other amount authorized to be appropriated by this Act, $2,000,000,000 to carry out section 173B.

(e)

State employment programs

There is authorized to be appropriated to the Secretary, in addition to any other amount authorized to be appropriated by this Act, $1,000,000,000 to carry out section 173C.

(f)

On-the-Job training for disconnected youth

There is authorized to be appropriated to the Secretary, in addition to any other amount authorized to be appropriated by this Act, $500,000,000 to carry out section 173D.

(g)

National public service employment program

There is authorized to be appropriated to the President $3,000,000,000 to carry out section 173E.

.

II

Tax incentives for the employment of youth and other workers

201.

Extension of work opportunity tax credit

Subparagraph (B) of section 51(c)(4) of the Internal Revenue Code of 1986 is amended by striking December 31, 2011 and inserting December 31, 2016.

202.

Expansion of eligibility for work opportunity tax credit

(a)

Disconnected youth and veterans hired after 2010

Paragraph (14) of section 51(d) of the Internal Revenue Code of 1986 is amended—

(1)

in the header by striking hired in 2009 or 2010; and

(2)

in subparagraph (A) by striking during 2009 or 2010 and inserting after December 31, 2008.

(b)

Qualified Title I–B youth services recipients

(1)

Member of targeted group

Paragraph (1) of section 51(d) of such Code is amended by striking or at the end of subparagraph (H), by striking the period and adding , or at the end of subparagraph (I), and by adding at the end the following new subparagraph:

(J)

a qualified Title I–B youth services recipient.

.

(2)

Qualified Title I–B youth services recipient defined

Subsection (d) of section 51 of such Code is amended by adding at the end the following new paragraph:

(15)

Qualified Title I–B youth services recipient

The term qualified Title I–B youth services recipient means any individual who is a participant (as defined in section 101(34) of the Workforce Investment Act of 1998 (29 U.S.C. 2801(34))) who is receiving services under chapter 4 of subtitle B of title I of such Act.

.

(c)

Qualified ex-Offenders

Subsection (d) of section 51 of such Code is amended—

(1)

in subparagraph (C) of paragraph (1) by striking qualified ex-felon and inserting qualified ex-offender; and

(2)

by amending paragraph (4) to read as follows:

(4)

Qualified ex-offender

The term qualified ex-offender means any individual who is certified by the designated local agency as having been convicted of a felony or a misdemeanor under any statute of the United States or any State, and—

(A)

as having a hiring date which is not more than 3 years after the last date on which such individual was so convicted or was released from prison,

(B)

as being on parole or on probation for such conviction, or

(C)

as receiving transitional services for reintegration into the community after being released from prison.

.

(d)

Increase in allowable wage bases

Section 51 of such Code is amended—

(1)

in paragraph (3) of subsection (b) by striking $6,000 per year ($12,000 per year and inserting $12,000 per year ($24,000 per year;

(2)

in clause (ii) of subsection (d)(7)(B) by striking substituting $3,000 for $6,000 and inserting substituting $6,000 for $12,000;

(3)

in subsection (e)—

(A)

in subparagraph (B) of paragraph (1) by striking $10,000 and inserting $20,000;

(B)

in subparagraph (A) of paragraph (3) by striking substituting $10,000 for $6,000 and inserting substituting $20,000 for $12,000; and

(C)

in subparagraph (B) of paragraph (3) by striking substituting $833.33 for $500 and inserting substituting 1,666.66 for $1,000; and

(4)

in paragraph (1) of subsection (h)—

(A)

in subparagraph (A) by striking $6,000 and inserting $12,000; and

(B)

in subparagraph (B) by striking $500 and inserting $1,000.

(e)

Effective date

The amendments made by this section shall apply with respect to individuals who begin work for an employer after the date of enactment of this Act.

203.

Extension of empowerment zone designations

(a)

Extension of empowerment zone designations

Subparagraph (A) of section 1391(d)(1) of the Internal Revenue Code of 1986 is amended to read as follows:

(A)

in the case of an enterprise community, the close of the 10th calendar year beginning on or after such date of designation,

.

(b)

Effective date

The amendment made by subsection (a) shall take effect as if included in the amendments made by section 753 of the Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010 (Public Law 111–312).

204.

Disconnected youth employment credit

(a)

In general

Subpart D of part IV of subchapter A of chapter 1 of the Internal Revenue Code of 1986 is amended by adding at the end the following new section:

45S.

Disconnected youth employment credit

(a)

Amount of credit

For purposes of section 38, the amount of the disconnected youth employment credit determined under this section with respect to any employer for any taxable year is an amount equal to the lesser of—

(1)

the wages (as defined in subsection (c) of section 51) paid or incurred by an employer for services performed by an employee while such employee is a qualified employee, and

(2)

$3,000.

(b)

Qualified employee

For purposes of this section, the term qualified employee means an any employee of an employer if the employee—

(1)

is a disconnected youth (as defined in clause (ii) of section 51(d)(14)(B), except that subclause (I) of such clause shall be applied by substituting 22 for 25), and

(2)

begins work for the employer after the date of enactment of this section.

(c)

Termination

This section shall not apply to taxable years beginning after December 31, 2013.

.

(b)

Inclusion in current year business credit

Section 38(b) of such Code is amended by striking plus and inserting a comma at the end of paragraph (35), by striking the period and inserting , plus at the end of paragraph (36), and by adding at the end the following new paragraph:

(37)

the disconnected youth employment credit determined under section 45S.

.

(c)

Table of sections

The table of sections for subpart D of part IV of subchapter A of chapter 1 of such Code is amended by adding after the item relating to section 45Q the following new item:

Sec. 45S. Disconnected youth employment credit.

.

(d)

Effective date

The amendments made by this section shall apply to taxable years beginning after December 31, 2011.

III

Preference for youth employment in Federal jobs and in the performance of Federal contracts

301.

Preference for hiring youth park and forestry workers

The Secretary of the Interior shall give preference to individuals that have attained age 16 but not age 22 for jobs that provide services that are determined by the Secretary to be integral to the operations of Federal public lands and parks.

302.

Preference for Federal contracts with employers offering youth apprenticeships

(a)

In general

Notwithstanding title III of the Federal Property and Administrative Services Act of 1949 (41 U.S.C. 251 et seq.), in evaluating a bid or proposal for a contract for the procurement of goods or services, a contracting officer of an executive agency may give preference to an employer for a contract for the procurement of goods or services by the Federal Government if the head of the executive agency determines that—

(1)

the employer will employ, in a program of apprenticeship and in the performance of the contract, individuals who—

(A)

are disconnected youth (as defined in section 51(d)(14)(B)(ii) of the Internal Revenue Code of 1986, except that subclause (I) of such section shall be applied by substituting 22 for 25) on the date on which the contract is entered into; and

(B)

are domiciled in communities with high unemployment; and

(2)

the funds made available for such contract are appropriated for fiscal year 2012 under the authority of a law enacted to create jobs in the area of—

(A)

infrastructure;

(B)

transportation; or

(C)

green energy.

(b)

Minimum requirement

At least 5 percent of the total amount of funds appropriated under the authority of a law described under subsection (a)(2) shall be reserved for contracts with respect to which employers are given preference under subsection (a).