H. R. 5805
IN THE HOUSE OF REPRESENTATIVES
May 17, 2012
Mrs. Capps introduced the following bill; which was referred to the Committee on Education and the Workforce
To direct the Secretary of Labor to establish alternate guidelines for measuring the progress of State and local performance for entrepreneurial training services under the Workforce Investment Act of 1998.
This Act may be cited as the
Entrepreneurial Training Improvement
Act of 2012.
Congress finds the following:
Entrepreneurship represents an important part of the economic recovery. According to the 2012 Kauffman Index of Entrepreneurial Activity, adults in the United States created an average of 543,000 new businesses each month in 2011, among the highest levels of entrepreneurship in the last 16 years.
Of the estimated 27.5 million small businesses in the United States, 21.4 million had no employees in 2008 according to Small Business Administration Office of Advocacy.
According to a
January 2010 report entitled
Think Entrepreneurs: A Call to
Action prepared by the Consortium for Entrepreneurship Education for
the Department of Labor, Employment and Training Administration,
Entrepreneurship is not well established in Federal and statewide policy
and execution strategies. The report continues to state that Workforce
Investment Board staff
lacks information and training about
self-employment as a career option, including accessibility to resources,
technical assistance, outreach efforts, available partnerships, assessment
processes, and coordination of available funding options and that
Boards report that
self-employment outcomes are hard to document for
[Department of Labor] regulations; self-employment does not fit into current
methods for measuring performance.
In Training and
Employment Guidance Letter No. 12–10, issued November 15, 2010, the Employment
and Training Administration noted that
Certain types of employment,
particularly self-employment, are generally not covered by State [unemployment
insurance] wage records, and the system has noted this as a challenge in
providing entrepreneurship training. However, supplemental data options for
some performance measures, combined with performance target negotiations, offer
flexibility to accommodate entrepreneurship training within the workforce
There are many existing supplemental data sources and authorities that can be used to better measure the success of an entrepreneurial training program.
All reasonable effort should be made by the Secretary of Labor to reduce regulatory barriers and disincentives that discourage local Workforce Investment Boards from offering entrepreneurial training programs.
Not later than 9 months after the date of enactment of this Act, the Secretary of Labor shall establish alternate guidelines for measuring the progress of State and local performance for entrepreneurial training services, as authorized in section 134 subsection (d)(4)(D)(vi) of the Workforce Investment Act of 1998 (29 U.S.C. 2864(d)(4)(D)(vi)), and provide the State and local Workforce Investment Boards with specific guidance on successful approaches to collecting performance information on entrepreneurial self employment.
In determining the alternate guidelines, the Secretary shall consider utilizing existing authorities granted under the Workforce Investment Act of 1998, including a State’s waiver authority, as authorized in section 189(i)(4) of such Act (29 U.S.C. 2939(i)(4)).
Not later than 12 months after publication of the final rule, the Secretary shall issue a report on the progress of Workforce Investment Boards in implementing new entrepreneurial training programs and any ongoing challenges to offering entrepreneurial training programs, with recommendations to Congress on how best to address those challenges.