H.R. 798: Workforce Investment Act of 2013

113th Congress, 2013–2015. Text as of Feb 15, 2013 (Introduced).

Status & Summary | PDF | Source: GPO and Cato Institute Deepbills

I

113th CONGRESS

1st Session

H. R. 798

IN THE HOUSE OF REPRESENTATIVES

February 15, 2013

(for himself, Mr. Hinojosa, and Mr. George Miller of California) introduced the following bill; which was referred to the Committee on Education and the Workforce

A BILL

To reauthorize the Workforce Investment Act of 1998 to strengthen the United States workforce investment system through innovation in, and alignment and improvement of, employment, training, and education programs, and to promote national economic growth, and for other purposes.

1.

Short title and table of contents

(a)

Short title

This Act may be cited as the Workforce Investment Act of 2013 .

(b)

Table of contents

The table of contents for this Act is as follows:

Sec. 1. Short title and table of contents.

Sec. 2. Purposes and principles.

Title I—Workforce Investment Systems

Subtitle A—Definitions

Sec. 101. Definitions.

Subtitle B—Statewide and Local Workforce Investment Systems

Sec. 111. State workforce investment boards and requirements for State plans.

Sec. 112. State unified plan.

Sec. 113. Local workforce investment areas and boards.

Sec. 114. Additional one-stop programs and activities.

Sec. 115. Providers of training services.

Sec. 116. Youth activities.

Sec. 117. Adult and dislocated worker training activities.

Sec. 118. Unified performance accountability system.

Sec. 119. Authorization of funding for one-stop infrastructure.

Subtitle C—Job Corps

Sec. 131. Purposes.

Sec. 132. Definitions.

Sec. 133. Individuals eligible for the Job Corps.

Sec. 134. Recruitment, screening, selection, and assignment of enrollees.

Sec. 135. Enrollment.

Sec. 136. Job Corps centers.

Sec. 137. Program activities.

Sec. 138. Support.

Sec. 139. Community participation.

Sec. 140. Industry councils.

Sec. 141. Experimental, research, and demonstration projects and College Corps program.

Sec. 142. Technical amendment.

Sec. 143. Performance accountability and management.

Sec. 144. Authorization of appropriations.

Subtitle D—National Programs

Sec. 151. Native American programs.

Sec. 152. Migrant and seasonal farmworker programs.

Sec. 153. Veterans workforce investment programs.

Sec. 154. Repeal.

Sec. 155. Technical assistance.

Sec. 156. Innovation projects.

Sec. 157. Workforce and youth innovation and best practices grants.

Sec. 158. Evaluations.

Sec. 159. National dislocated worker grants.

Sec. 160. Youthbuild program.

Sec. 161. Authorization of appropriations.

Sec. 162. Transition grants to States.

Sec. 163. Interagency agreement.

Subtitle E—Administration

Sec. 171. Requirements and restrictions.

Sec. 172. Fiscal controls or sanctions.

Sec. 173. Reports, recordkeeping, investigations.

Sec. 174. Administrative provisions.

Sec. 175. Repeals.

Sec. 176. General program requirements.

Sec. 177. Office of Disability Employment Policy.

Sec. 178. Independent evaluation of the efficiency and effectiveness of the Federal Workforce Investment System.

Subtitle F—Community College to Career Fund

Sec. 181. Community College to Career Fund.

Title II—Adult Education and Literacy

Sec. 201. Purposes, definitions, and miscellaneous provisions.

Sec. 202. Amendments to subtitle A.

Sec. 203. Amendments to subtitle B.

Sec. 204. Amendments to subtitle C.

Sec. 205. Amendments to subtitle D.

Title III—Amendments to the Wagner-Peyser Act

Sec. 301. Employment service offices.

Sec. 302. Definitions.

Sec. 303. Federal and State employment service offices.

Sec. 304. Allotment of sums.

Sec. 305. Use of sums.

Sec. 306. State plan.

Sec. 307. Performance accountability measures.

Sec. 308. Pilot projects.

Sec. 309. Labor market information system.

Title IV—Amendments to the Rehabilitation Act of 1973

Subtitle A—Introductory Provisions

Sec. 401. References.

Sec. 402. Findings, purpose, policy.

Sec. 403. Rehabilitation Services Administration.

Sec. 404. Definitions.

Sec. 405. Administration of the Act.

Sec. 406. Reports.

Sec. 407. Evaluation.

Sec. 408. Carryover.

Sec. 409. Traditionally underserved populations.

Subtitle B—Vocational rehabilitation services

Sec. 411. Declaration of policy; authorization of appropriations.

Sec. 412. State plans.

Sec. 413. Eligibility and individualized plan for employment.

Sec. 414. Vocational rehabilitation services.

Sec. 415. State Rehabilitation Council.

Sec. 416. Performance accountability measures.

Sec. 417. Monitoring and review.

Sec. 418. Training and services for employers.

Sec. 419. State allotments.

Sec. 420. Client Assistance Program.

Sec. 421. Technical assistance for quality services.

Sec. 422. Pre-employment transition services.

Sec. 423. American Indian vocational rehabilitation services.

Subtitle C—Research and Training

Sec. 431. Purpose.

Sec. 432. Authorization of appropriations.

Sec. 433. National Institute on Disability and Rehabilitation Research.

Sec. 434. Interagency Committee.

Sec. 435. Research and other covered activities.

Sec. 436. Rehabilitation Research Advisory Council.

Sec. 437. Definition of covered school.

Subtitle D—Professional Development and Special Projects and Demonstration

Sec. 441. Training.

Sec. 442. Demonstration and training programs.

Sec. 443. Migrant and seasonal farmworkers.

Sec. 444. Recreational programs.

Subtitle E—National Council on Disability

Sec. 451. Report.

Sec. 452. Authorization of appropriations.

Subtitle F—Rights and advocacy

Sec. 456. Board and Council.

Sec. 457. Protection and advocacy of individual rights.

Sec. 458. Standards for accessible medical diagnostic equipment.

Subtitle G—Employment Opportunities for Individuals With Disabilities

Sec. 461. Projects with industry.

Sec. 462. Authorization of appropriations.

Sec. 463. Supported employment services.

Subtitle H—Independent Living Services and Centers for Independent Living

Chapter 1—General provisions

Sec. 471. Purpose.

Sec. 472. Independent Living Administration.

Sec. 473. Definitions.

Sec. 474. State plan.

Sec. 475. Statewide Independent Living Council.

Sec. 476. Responsibilities of the ILA Director.

Chapter 2—Independent living services

Sec. 477. Administration.

Chapter 3—Centers for independent living

Sec. 481. Program authorization.

Sec. 482. Centers.

Sec. 483. Standards and assurances.

Sec. 484. Authorization of appropriations.

Chapter 4—Independent Living Services for Older Individuals who are Blind

Sec. 486. Independent living services for older individuals who are blind.

Sec. 487. Program of grants.

Sec. 488. Independent living services for older individuals who are blind authorization of appropriations.

Subtitle I—Increasing employment opportunities for individuals with disabilities

Sec. 491. Disability employment.

Sec. 492. Table of contents.

2.

Purposes and principles

The purposes of this Act include the following:

(1)

To increase economic growth by improving the education and skills of American workers.

(2)

To ensure middle class prosperity through strong investment in talent and workforce development.

(3)

To prepare the unemployed, the underemployed, and those most disadvantaged with skills to match up with employer needs.

(4)

To provide individuals streamlined access to in-demand skills training and employment services by aligning education, training and workforce investment programs.

(5)

To strengthen engagement with employers in in-demand industries and all sectors to meet the needs of employers.

(6)

To improve the competitiveness and dynamism of the Nation’s future workforce by investing in college and career-ready pathways for young adults.

(7)

To ensure accountability and efficiency through system performance measures that incentivize continuous improvement in services for workers and employers.

(8)

To encourage private sector partnerships connecting employers, labor unions, community colleges, workforce boards and related stakeholders to develop workforce skills that meet employer needs, including career pathways, recognized postsecondary credentials, and regional planning.

I

Workforce Investment Systems

A

Definitions

101.

Definitions

Section 101 is amended—

(1)

by striking paragraph (24) and by redesignating—

(A)

paragraphs (52) and (53) as paragraphs (60) and (61), respectively;

(B)

paragraphs (40) through (51) as paragraphs (47) through (58), respectively;

(C)

paragraphs (25) through (39) as paragraphs (31) through (45), respectively;

(D)

paragraphs (18) through (23) as paragraphs (25) through (30), respectively;

(E)

paragraph (17) as paragraph (22);

(F)

paragraphs (12) through (16) as paragraphs (16) through (20), respectively;

(G)

paragraphs (8) through (11), as paragraphs (11) through (14), respectively; and

(H)

paragraphs (5) through (7) as paragraphs (6) through (8), respectively;

(2)

by inserting after paragraph (4) the following:

(5)

Career pathway

(A)

In general

The term career pathway means a sequence of education, training, and other supportive services, clearly articulated from one level of instruction to the next, that are designed to prepare individuals to meet a set of career-related objectives as referenced in subparagraph (C).

(B)

Services

The services referred to in subparagraph (A) shall be—

(i)

aligned with the skill needs of industries in the State or regional economy involved;

(ii)

designed to increase an individual’s educational and skill attainment, and improve the individual’s employment outcomes and ability to meet career-related objectives, by—

(I)

preparing individuals for the full range of secondary or postsecondary education options, including apprenticeships registered under the Act of August 16, 1937 (commonly known as the National Apprenticeship Act ; 50 Stat. 664, chapter 663; 29 U.S.C. 50 et seq. ) (referred to individually in this Act as an apprenticeship, except in section 273);

(II)

including supportive services and counseling to support individuals in achieving their education and career goals;

(III)

including, as appropriate for an individual, education offered concurrently with and in the context of workforce preparation activities and training for a specific occupation or occupational cluster; and

(IV)

when participants are adults, organizing courses to meet adult participants’ needs including flexible scheduling, multiple entry and exit points (that may correspond with work and stackable credentials), giving credit for learning toward credentials and adopting other strategies that accelerate the educational and career advancement of the participant to the extent practicable; and

(iii)

at a minimum, provided through the alignment of core programs authorized under this Act with postsecondary education and training programs, consistent with descriptions included in the State and local plans.

(C)

Objectives

The objectives referred to in subparagraph (A) include—

(i)

enabling an individual to attain a secondary school diploma or its recognized equivalent, and at least 1 recognized postsecondary credential; and

(ii)

helping a worker enter or advance within a specific occupation or occupational cluster.

;

(3)

by inserting after paragraph (8) (as so redesignated), the following:

(9)

Core program

The term core programs means—

(A)

chapter 4 and 5 of subtitle B of title I (relating to youth workforce investment activities and adult and dislocated worker employment and training activities);

(B)

title II (relating to adult education and literacy activities);

(C)

sections 1 through 13 of the Wagner-Peyser Act ( 29 U.S.C. 49 et seq. ) (relating to employment services); and

(D)

title I of the Rehabilitation Act of 1973 ( 29 U.S.C. 701 et seq. ), other than section 112 or part C of that title (29 U.S.C. 732, 741) (relating to vocational rehabilitation services).

(10)

Costs of Infrastructure

The term costs of infrastructure, used with respect to a one-stop center, means the nonpersonnel costs that are necessary for the operation of the one-stop center, including the rental costs of the facilities, the costs of utilities and maintenance, equipment (including assessment-related products and adaptive technology for individuals with disabilities), and technology to facilitate access to the one-stop center.

;

(4)

by inserting after paragraph (14) (as so redesignated), the following:

(15)

Economic self-sufficiency

The term economic self-sufficiency means, with respect to a worker, earning a wage sufficient to support a family adequately and, over time, to save for emergency expenses and adequate retirement income, based on factors such as—

(A)

family size;

(B)

the cost of living in the worker’s community; and

(C)

other factors that may vary by region.

;

(5)

by inserting after paragraph (20) (as so redesignated), the following:

(21)

In-demand industry sector or occupation

(A)

In general

The term in-demand industry sector or occupation means—

(i)

an industry sector that—

(I)

has a substantial current or forecasted impact on the regional economy overall, including attracting, expanding or retaining businesses or jobs (including, at a minimum, jobs that lead to economic self-sufficiency and opportunities for advancement) in the region;

(II)

contributes to the growth of other supporting businesses, or the growth of other industry sectors within the region;

(III)

provides workers with jobs that have competitive, family-sustaining wages and benefits; and

(IV)

includes occupations that provide opportunities for career advancement; or

(ii)

an occupation that—

(I)

has a significant presence in an industry sector;

(II)

has a shortage of available skilled workers;

(III)

pays competitive, family-sustaining wages and benefits that enable workers to achieve economic self-sufficiency, or can reasonably be expected to lead to a position with such wages and benefits;

(IV)

provides opportunities for career advancement; and

(V)

has a significant impact in a region’s economy.

(B)

Determination

The determination of whether an industry sector or occupation is an in-demand industry sector or occupation under this paragraph shall be made using national, State, or regional labor market information.

;

(6)

by inserting after paragraph (22) (as so redesignated), the following:

(23)

Individual with barriers to employment

The term individual with barriers to employment means an individual with any characteristic that substantially limits an individual’s ability to obtain employment, including indicators of poor work history, lack of work experience or access to employment in nontraditional occupations, long-term unemployment, lack of educational or occupational skills attainment, dislocation from high-wage and high-benefit employment, low levels of literacy or English proficiency, disability status, homelessness, ex-offender status, or receipt of welfare.

(24)

Industry or sector partnership

The term industry or sector partnership means a workforce collaborative that—

(A)

organizes key stakeholders in an industry cluster into a working group that focuses on the workforce needs of the industry cluster and that includes, at the appropriate stage of development of the partnership—

(i)

representatives of multiple businesses or other employers in the industry cluster, including small and medium-sized employers when practicable;

(ii)

representatives of a recognized State labor organization or central labor council, a union representing employees in the industry or sector and another labor representative, as appropriate;

(iii)

1 or more representatives of an institution of higher education with, or another provider of, education or training programs that support the industry cluster, including career and technical education providers; and

(iv)

the State workforce agency providing labor market information and employment services under the Wagner-Peyser Act; and

(B)

may include representatives of—

(i)

State or local government;

(ii)

State or local economic development agencies;

(iii)

State boards or local boards, as appropriate;

(iv)

any local board that has established through its local plan a concentration of an industry cluster within its area;

(v)

business or trade associations;

(vi)

nonprofit organizations, community-based organizations, or intermediaries;

(vii)

philanthropic organizations; and

(viii)

other organizations, as determined to be necessary by the members comprising the industry or sector partnership.

;

(7)

in paragraph (36) (as so redesignated), by striking as appropriate to the occupation for which the participant is being trained and inserting to a period not in excess of that generally required for acquisition of skills needed for the position with a particular occupation and;

(8)

by inserting after paragraph (44) (as so redesignated), the following:

(45)

Recognized postsecondary credential

The term recognized postsecondary credential means a credential awarded by a training provider or educational institution based on completion of all requirements for a program of study, including coursework or tests or other performance evaluations. The term includes an industry-recognized certificate, a certificate of completion of an apprenticeship, or an associate or baccalaureate degree.

; and

(9)

by inserting after paragraph (57) (as so redesignated), the following:

(58)

Workplace learning advisor

The term workplace learning advisor means an individual employed by an organization who has the knowledge and skill necessary to advise other employees of that organization about the education, skill development, job training, career counseling services, and credentials, including services provided through the workforce investment system, required to progress toward career goals of such employees in order to meet employer requirements related to job openings and career advancements that support economic self-sufficiency.

.

B

Statewide and Local Workforce Investment Systems

111.

State workforce investment boards and requirements for State plans

(a)

Size and functions of the State boards

Section 111 is amended—

(1)

in subsection (b)

(A)

in paragraph (1)(C)

(i)

by amending clause (i)(I), by striking including and inserting shall include; and

(ii)

by amending clause (vi) to read as follows:

(vi)
(I)

lead State officials with primary responsibility for the program and activities that are described in section 121(b)(2)(B)(1) (i) through (iv); and

(II)

the State agency officials responsible for economic development;

; and

(B)

by adding at the end the following:

(4)

Worker representation

Not less than 20 percent of the Board shall be comprised of representatives of the workforce within the State, and—

(A)

shall include representatives described in clause (iii) of section 117(b)(2)(A);

(B)

may include representatives of community-based organizations that have demonstrated experience and expertise in addressing the employment needs of individuals with barriers to employment, including organizations that provide or support competitive, integrated employment for individuals with disabilities; and

(C)

may include representatives of organizations that have demonstrated experience and expertise in addressing the employment, training, or education needs of eligible youth, including representatives of organizations that serve out-of-school youth.

.

(2)

in subsection (d)

(A)

in paragraph (8), by striking ; and and inserting a semicolon;

(B)

in paragraph (9), by striking the period and inserting a semicolon; and

(C)

by adding at the end the following:

(10)

promotion in the development of guidance on career pathways by aligning workforce investment programs for the purpose of providing individuals with barriers to employment, including low-skilled adults and youth, with the employment, training, education, and supportive services the individuals need to attain the necessary credentials to secure and advance in employment;

(11)

promotion in the development of sector initiatives such as industry or sector partnerships relating to in-demand industry sectors and occupations;

(12)

provision of guidance on the alignment and delivery of services between the local boards, one-stop operator, and State entities carrying out relevant State-administered programs;

(13)

provision of technical assistance to local boards, one-stop partners, one-stop operators, and providers, as appropriate, in local areas concerning planning and delivering services; and

(14)

staff training and education across programs supported under workforce investment systems in local areas.

.

(b)

Required content of State plans

Section 112 is amended—

(1)

in subsection (a), by striking a single State plan (referred to in this title as the State plan) and inserting a single State plan (referred to in this title as the State plan) that shall include the State plans of all core program and;

(2)

in subsection (b)

(A)

in paragraph (4)

(i)

in subparagraph (C), by striking ; and and inserting a semicolon; and

(ii)

by adding at the end the following new subparagraphs:

(E)

the State’s strategic vision and goals for preparing an educated and skilled workforce (including preparing youth and individuals with barriers to employment) and for meeting the skilled workforce needs of employers, including goals relating to performance accountability measures based on primary indicators of performance described in section 136(b)(2), in order to support economic growth and economic self-sufficiency; and

(F)

a strategy not inconsistent with the program requirements of the core programs for aligning the core programs, as well as other resources available to the State, to achieve the strategic vision and goals described in subparagraph (E), including how the State will meet performance accountability measures based on the system-wide indicators described in section 136(b)(2)(A) in order to support program alignment.

;

(B)

in paragraph (8)(A)

(i)

in clauses (ix) and (x), respectively, by striking ; and and inserting a semicolon; and

(ii)

by adding at the end the following:

(xi)

apprenticeship programs registered under the National Apprenticeship Act (50 Stat. 664, chapter 663; 29 U.S.C. 50 et seq.);

(xii)

State labor certification activities for employment-based immigration programs authorized under the Immigration and Nationality Act; and

(xiii)

employment, training, and literacy services carried out by public libraries.

;

(C)

in paragraph (12)(B), by inserting before the semicolon the following: , and, after consultation with the local boards, specifying the minimum amount of Federal assistance under section 133(b) (2) and (3) provided to each local area that is to be spent on training;

(D)

in paragraph (17)(B), by striking ; and and inserting a semicolon;

(E)

in paragraph (18)(D), by striking the period and inserting a semicolon; and

(F)

by adding at the end the following:

(19)

a process for providing guidance to local areas and conducting oversight to ensure implementation of priority of service for adult employment and training activities; in accordance with section 134(d)(4)(E);

(20)

a description of how the State will develop and implement career pathways and career and technical education by aligning workforce investment programs for the purpose of providing individuals, including low-skill adults and youth, with the employment, training, education, and supportive services the individuals need to attain the necessary credentials to secure and advance in employment;

(21)

an objective assessment of the needs of individuals in the State or outlying area for adult education and literacy activities, including individuals with barriers to employment;

(22)

a description of how the eligible agency will develop program strategies for populations that include, at a minimum—

(A)

low-income students;

(B)

individuals with disabilities;

(C)

single parents and displaced homemakers; and

(D)

individuals with multiple barriers to educational enhancement, including individuals with limited English proficiency; and

(23)

a description of how the adult education and literacy activities that will be carried out with any funds received under this subtitle will be integrated with other adult education, career development, and employment and training activities in the State or outlying area served by the eligible agency.

; and

(3)

in subsection (c), by striking Secretary of and inserting appropriate Secretary of each core program.

112.

State unified plan

The Workforce Investment Act of 1998 is further amended—

(1)

by striking section 501; and

(2)

by inserting after section 112 the following:

113.

State unified plan

(a)

Purpose

The purpose of the State unified plan required by this section is to align education, training, and workforce development programs in support of a comprehensive workforce investment system.

(b)

Definition of Appropriate Secretary

In this section, the term appropriate Secretary means the head of the Federal agency who exercises administrative authority over an activity or program described in subsection (c).

(c)

State Unified Plan

(1)

In general

A State shall develop and submit to the appropriate Secretaries a State unified plan for the core programs and may develop and submit one or more of the program and activities described in paragraph (2) in lieu of submitting two or more plans, for the programs and activities and the core programs.

(2)

Programs

The programs and activities referred to in paragraph (1) are as follows:

(A)

Career and technical education programs at the secondary and postsecondary level authorized under the Carl D. Perkins Career and Technical Education Act of 2006 ( 20 U.S.C. 2301 et seq. ).

(B)

Programs authorized under part A of title IV of the Social Security Act (42 U.S.C. 601 et seq.).

(C)

Programs authorized under section 6(d)(4) of the Food and Nutrition Act of 2008 (7 U.S.C. 2015(d)(4)).

(D)

Work programs authorized under section 6(o) of the Food and Nutrition Act of 2008 (7 U.S.C. 2015(o)).

(E)

Activities authorized under chapter 2 of title II of the Trade Act of 1974 (19 U.S.C. 2271 et seq.).

(F)

Activities authorized under chapter 41 of title 38, United States Code.

(G)

Programs authorized under State unemployment compensation laws (in accordance with applicable Federal law).

(H)

Programs authorized under title V of the Older Americans Act of 1965 (42 U.S.C. 3056 et seq.).

(I)

Employment and training activities carried out by the Department of Housing and Urban Development.

(J)

Employment and training activities carried out under the Community Services Block Grant Act ( 42 U.S.C. 9901 et seq. ).

(K)

Programs authorized under section 212 of the Second Chance Act of 2007 (42 U.S.C. 17532).

(d)

Requirements

(1)

In general

The portion of a unified plan covering the core programs shall be subject to the requirements of section 112 and to the additional requirements contained in the authorizing statute of the core program, if any. The portion of such plan covering a program or activity described in subsection (b)(2) shall be subject to the requirements, if any, applicable to a plan or application for assistance for that program or activity.

(2)

Additional submission not required

A State that submits a State unified plan covering an activity or program described in subsection (b) that is approved under subsection (d) shall not be required to submit any other plan or application in order to receive Federal funds to carry out the activity or program.

(3)

Coordination

A State unified plan shall include—

(A)

a description of the methods used for joint planning and coordination of the programs and activities included in the unified plan; and

(B)

an assurance that the methods included an opportunity for the entities responsible for planning or administering such programs and activities to review and comment on all portions of the unified plan.

(e)

Approval by the Appropriate Secretaries

(1)

Jurisdiction

The appropriate Secretary shall have the authority to approve the portion of the State unified plan relating to the activity or program over which the appropriate Secretary exercises administrative authority. On the approval of the appropriate Secretary, the portion of the plan relating to the activity or program shall be implemented by the State pursuant to the applicable portion of the State unified plan.

(2)

Approval of core programs

No portion of the plan relating to a core program shall be implemented until the appropriate Secretary approves the corresponding portions of the plan for all core programs. Other core programs may continue in operation while new plan provisions are revised or are awaiting approval.

(3)

Timing of approval

(A)

In general

Except as provided in subparagraphs (B) and (C), a portion of the State unified plan covering the core programs or a program or activity described in subsection (a)(2) shall be considered to be approved by the appropriate Secretary at the end of the 90-day period beginning on the day the plan is submitted.

(B)

Plan approved by 3 or more appropriate Secretaries

If an appropriate Secretary other than the Secretary of Labor or the Secretary of Education has authority to approve a portion of a unified plan, that portion of the unified plan shall be considered to be approved by the appropriate Secretary at the end of the 90-day period beginning on the day the plan is submitted.

(C)

Disapproval

The portion shall not be considered to be approved if the appropriate Secretary makes a written determination, during the 90-day period, that the portion is not consistent with the requirements of the Federal law authorizing or applicable to the program or activity involved, including the criteria for approval of a plan or application, if any, under such law, or the plan is not consistent with the requirements of this section.

(4)

Local jurisdiction

The appropriate local board shall approve the portion of the State unified plan relating to the activity or program over which the appropriate local board exercises administrative authority. On the approval of the appropriate local board, the portion of the plan relating to the activity or program shall be implemented by the State pursuant to the applicable portion of the State unified plan.

.

113.

Local workforce investment areas and boards

(a)

Planning process for different types of regions

Section 116(c)(1) is amended—

(1)

by striking As part of and inserting:

(A)

As part of

;

(2)

by striking may each place it appears and inserting shall; and

(3)

by adding at the end the following:

(B)

Planning for cooperative initiatives and arrangements

In the regions comprised of 2 or more local areas, the State shall, in consultation with local boards, require regional planning, and service delivery, by local boards in those regions. For the purpose of administrative efficiency, the State shall require the local boards in a planning region to participate in a regional planning process for cooperative initiatives and arrangements that result in—

(i)

the establishment and implementation of regional service strategies and activities, including service delivery cooperative arrangements and regional approaches to address the employment and training needs of the region, including strategies that meet the need of individuals with barriers to employment;

(ii)

as appropriate, the development and implementation of initiatives involving in-demand industry sectors or occupations;

(iii)

the collection and analysis of regional labor market data (in conjunction with the State); and

(iv)

the establishment of administrative and infrastructural cost sharing, as appropriate.

(C)

Regional plans

The State, after consultation with the local boards and chief elected officials for the planning region, shall require the local boards and officials to collaborate in order to prepare, submit, and obtain approval of a single regional plan. Such plan shall include a description of the cooperative initiatives and arrangements developed pursuant to clause (iii) and incorporate local plans for each of the local areas in the planning region, which shall contain strategies that are consistent and aligned with each other.

.

(b)

Composition of the board and inclusion of public libraries

Section 117(b)(2)(A)(iv) is amended by striking individuals with disabilities and and inserting public libraries, individuals with disabilities, and.

(c)

Worker representation

Section 117(b) is further amended by adding at the end the following:

(5)

Worker representation

Not less than 20 percent of the Board shall be comprised of representatives of the workforce within the local area, and—

(A)

shall include representatives described in clause (iii) of paragraph (2)(A);

(B)

may include representatives of community-based organizations that have demonstrated experience and expertise in addressing the employment needs of individuals with barriers to employment, including organizations that provide or support competitive, integrated employment for individuals with disabilities; and

(C)

may include representatives of organizations that have demonstrated experience and expertise in addressing the employment, training, or education needs of eligible youth, including representatives of organizations that serve out-of-school youth.

.

(d)

Required functions of the local boards

Section 117(d) is amended—

(1)

in the matter preceding paragraph (1), by striking The functions and inserting Consistent with section 118, the functions;

(2)

by amending paragraph (1) to read as follows:

(1)

Local plan

The local board, in partnership with the chief elected official for the local area involved, shall develop and submit a local plan to the Governor that meets the requirements in section 118. If the local area is part of a planning region that includes other local areas, the local board shall collaborate with the other local boards and chief elected officials from such other local areas in the development and submission of the local plan as described in section 116(c)(1)(A).

; and

(3)

in paragraph (3)(B)(i)

(A)

in subclause (II), by inserting or the local board after entity;

(B)

in subclause (III), by inserting adult education, literacy and employment services after workforce investment activities;

(C)

in subclause (III)(ii), by adding at the end the following: which staff, including staff of a one-stop center, report to and are responsible to the local board and not the chief elected official;

(4)

in paragraph (4) by striking with respect through in local area and inserting in its local area over the core programs as described in this Act;

(5)

in paragraph (8)

(A)

in the paragraph heading, by striking connecting and inserting convening ;

(B)

by striking connecting and inserting convening; and

(C)

by adding at the end the following: and to link youth, dislocated workers and others to opportunities for employment, internships, registered apprenticeships, or work-based learning; and

(6)

by adding at the end the following new paragraphs:

(9)

Career pathways development

The local board, in consultation with the State board and with representatives of secondary, postsecondary, career and technical education, and adult education programs, shall lead efforts in the local area to develop and implement career pathways within the local area by aligning the employment, training, education, and supportive services that are needed by adults and youth, particularly individuals with barriers to employment.

(10)

Workforce research and regional labor market analysis

In order to assist in the development and implementation of the local plan, the local board shall coordinate with the State public employment services under the Wagner-Peyser Act (29 U.S.C. 49 et seq.) to—

(A)

utilize analyses of the economic conditions in the region, the needed knowledge and skills for the region, the workforce in the region, and workforce development activities (including education and training) in the region described in section 118(b)(1), and regularly update such information;

(B)

assist the Governor in developing the statewide labor market information system described in section 15(e) of the Wagner-Peyser Act ( 29 U.S.C. 49l–2(e) ), specifically in the collection, analysis, and utilization of labor market information for the region; and

(C)

assemble and utilize such other research, data collection, and analysis related to the workforce needs of the regional economy as the board, after receiving input from a wide array of stakeholders, determines to be necessary to carry out its functions.

(11)

Proven and promising practices

The local board shall lead efforts in the local area to—

(A)

identify and promote proven and promising strategies and initiatives for meeting the needs of employers, and workers and job seekers (including individuals with barriers to employment) in the local workforce investment system, including providing physical and programmatic accessibility, in accordance with section 288 and applicable provisions of the Americans with Disabilities Act of 1990 (42 U.S.C. 12101 et seq.) and section 504 of the Rehabilitation Act of 1973 (29 U.S.C. 794), to the one-stop delivery system; and

(B)

identify and disseminate information, in coordination with the Department of Labor and the State board, on proven and promising practices carried out in other local areas for meeting such needs.

(12)

Technology

The local board shall develop strategies for using technology to maximize the accessibility and effectiveness of the local workforce investment system for employers, and workers and job seekers, by—

(A)

facilitating connections among the reporting systems of the one-stop partner programs to support a comprehensive workforce investment system in the local area;

(B)

facilitating access to services provided throughout the one-stop delivery system involved, including facilitating the access in remote areas;

(C)

identifying strategies for better meeting the needs of individuals with barriers to employment, including strategies that augment traditional service delivery and technologies that increase access to services and programs of the one-stop delivery system for individuals with disabilities and other barriers to employment; and

(D)

leveraging resources and capacity within the local workforce investment system, including resources and capacity for services for individuals with barriers to employment.

(13)

Advertising

The local board shall plan for advertising one-stop services throughout the local area.

(14)

Transition

The local board shall develop strategies to ensure that services provided in the local area are coordinated with and meet the transition goals and services developed for children with disabilities under section 614(d)(1)(A)(i)(VIII) of the Individuals with Disabilities Education Act.

(15)

Literacy

The local board shall ensure that one-stop operators in the local area develop and implement policies to ensure that the literacy and English language skills of an adult or eligible youth are not barriers to accessing services, including training services, that are available to assist individuals obtain and maintain employment.

(16)

Sector initiatives

The local board shall develop and expand sector initiatives in the local area or region which may include the convening of industry or sector partnerships relating to in-demand industry sectors and occupations.

.

(e)

Contents of the local plan

Section 118(b) is amended—

(1)

in paragraph (1), by striking an identification of— and inserting based on a labor market study and input solicited from local businesses, an identification of—

(2)

by redesignating paragraphs (7) through (10) as paragraphs (8) through (11), respectively, and by inserting after paragraph (6) the following:

(7)

a description of how the local board will coordinate workforce investment activities carried out in the local area with apprenticeship programs registered under the National Apprenticeship Act (50 Stat. 664, chapter 663; 29 U.S.C. 50 et seq.);

; and

(3)

by adding at the end the following:

(12)

a description of the procedure or process for implementing a priority of service for adult employment and training activities in accordance with section 134(d)(4)(E); and

(13)

a description of how the local board will coordinate workforce investment activities carried out in the local area with employment, training, and literacy services carried out by public libraries.

.

114.

Additional one-stop programs and activities

Section 121 is amended—

(1)

in subsection (b)

(A)

in paragraph (1)(B)

(i)

in clause (xi), by striking ; and and inserting a semicolon;

(ii)

in clause (xii), by striking the period and inserting a semicolon; and

(iii)

by adding at the end the following:

(xiii)

programs authorized under section 212 of the Second Chance Act of 2007 (42 U.S.C. 17532); and

(A)

Determination by the Governor

(i)

In general

An entity that carries out a program referred to in subparagraph (B)(xiv) shall be included in the one-stop partners for the local area, as a required partner, for purposes of this Act and the other core program provisions that are not part of this Act, unless the Governor provides the notification described in clause (ii).

(ii)

Notification

The notification referred to in clause (i) is a notification that—

(I)

is made in writing of a determination by the Governor not to include such entity in the one-stop partners described in clause (i); and

(II)

is provided to the Secretary and the Secretary of Health and Human Services.

; and

(B)

in paragraph (2)(B), by striking clause (i) and redesignating clauses (ii) through (v) as clauses (i) through (iv), respectively; and

(2)

in subsection (e)

(A)

by striking If a one-stop and inserting:

(1)

Existing systems

If a one-stop

; and

(B)

by adding at the end the following:

(2)

Collocation of Wagner-Peyser services

Consistent with section 3(d) of the Wagner-Peyser Act ( 29 U.S.C. 49b(d) ), and in order to improve service delivery, avoid duplication of services, and enhance coordination of services, the employment service offices in each State and the one-stop centers established under this title shall be collocated to the extent practicable.

(3)

Use of common one-stop delivery system identifier

Each one-stop delivery system shall include in the identification of products, programs, activities, services, facilities, and related property and materials, a common one-stop delivery identifier. The identifier shall be developed by the Secretary of Labor, in consultation with heads of other appropriate departments and agencies, and representatives of State boards and local boards and of other stakeholders in the one-stop delivery system, not later than the beginning of the second full program year after the date of enactment of this Act. Such common identifier may consist of a logo, phrase, or other identifier that informs users of the one-stop delivery system that such product, programs, activities, services, facilities, property, or materials are being provided through such system. Nothing in this paragraph shall be construed to prohibit one-stop partners, States, or local areas from having additional identifiers.

.

115.

Providers of training services

Section 122 is amended—

(1)

in subsection (a)

(A)

in paragraph (2)

(i)

in subparagraph (A)(ii), by striking or certificate and inserting recognized postsecondary credential; and

(ii)

in subparagraph (C), by inserting , which may include joint labor-management organizations, sector partnerships, and eligible providers of adult education and literacy activities under title II if such activities are provided in combination with occupational skills training before the period; and

(B)

by adding at the end the following:

(3)

Inclusion on list of eligible providers

A private provider described in subparagraph (C) of paragraph (2) shall comply with the criteria, information requirements, and procedures established under this section to be included on the list of eligible training services described in paragraph (3). A public provider described in subparagraph (A) and a provider described in subparagraph (B) of paragraph (2) shall be included and maintained on the list of eligible providers of training services described in subsection (d) for so long as they comply with the requirements of this section and for so long as a provider described in subparagraph (B) remains registered as described in such subparagraph.

;

(2)

in subsection (d)(1)(A) is amended by adding at the end the following:

(iii)

information on the performance of the provider with respect to the performance accountability measures described in section 136 for such participants (taking into consideration the characteristics of the population served and relevant economic conditions), and information specifying the percentage of such participants who entered unsubsidized employment in an occupation related to the program, to the extent practicable; and

(iv)

information on secondary or postsecondary diploma or its recognized equivalent, or recognized postsecondary credentials received by such participants; and

;

(3)

in subsection (e), by inserting after the first sentence the following: The list of providers shall also be based on the identified labor market needs of employers in the local area based on input solicited from local business and identified in the local plan pursuant to section 118(b)(1).; and

(4)

in subsection (h)

(A)

in the subsection heading, by striking or customized training and inserting incumbent worker training, customized training, and other training exceptions ; and

(B)

in paragraph (1), by striking or customized training and inserting incumbent worker training, customized training, internships, and paid or unpaid work experience opportunities, or transitional employment.

116.

Youth activities

(a)

Definition of disadvantaged youth and State allotments

Section 127 is amended—

(1)

by amending subsection (a) to read as follows:

(a)

In general

The Secretary shall use the amount appropriated under section 137(a) for a fiscal year to make allotments and grants in accordance with subparagraphs (A) and (B) of subsection (b)(1) and make funds available for use under section 166 (relating to Native American programs).

;

(2)

in subsection (b)

(A)

in paragraph (1), by striking subparagraph (A) and redesignating subparagraphs (B) and (C) as subparagraphs (A) and (B), respectively; and

(B)

in paragraph (2) by amending subparagraph (C) to read as follows:

(C)

Disadvantaged youth

Subject to paragraph (3), the term disadvantaged youth means an individual who—

(i)

is age 16 through 24; and

(ii)

received an income, or is a member of a family that received a total family income, that, in relation to family size, does not exceed 150 percent of the poverty line.

; and

(3)

in subsection (c), by amending paragraph (2) to read as follows:

(2)

Amount

The amount available for reallotment for a program year is equal to the amount by which the unobligated balance from State allotments to the State at the end of the program year prior to the program year for which the determination is made, exceeds 10 percent of the total amount of funds available to the State for that prior program year, consisting of the State allotment to the State for such prior program year (including amounts from State allotments to the State, for all program years before that prior program year) that remained available.

.

(b)

Within State allocations

Section 128(c)(2) is amended to read as follows:

(2)

Amount

(A)

In general

The amount available for allocation for a program year is equal to the amount by which the balance that is unobligated and unencumbered for training services at the end of the program year prior to the program year for which the determination is made, exceeds 10 percent of the total amount of funds available to the local area for that prior program year, consisting of the local allocation to the local area for such prior program year (including amounts from local allocations to the local area, for all program years before that prior program year) that remained available.

(B)

Balance of funds

For purposes of this paragraph, the balance that is unobligated and unencumbered for training services is the amount that is the difference between—

(i)

the total amount of funds available to the local area under this section for that prior program year consisting of the local allocation to the local area for such prior program year (including amounts from local allocations to the local area for all program years before that prior program year) that remained available; and

(ii)

the amount, from that total amount of available funds, that is obligated or encumbered (in accordance with generally accepted accounting principles) for training services during such prior program year, except that for purposes of this paragraph the amount included as encumbered for raining services shall not exceed 10 percent of the total amount of available funds described in clause (i).

.

(c)

Required statewide youth activities

Section 129(b)(2) is amended—

(1)

in subparagraph (C)

(A)

by inserting , or that fail to meet local performance accountability measures, after concentrations of eligible youth; and

(B)

by striking the period at the end and inserting ; and; and

(2)

by adding at the end the following new subparagraph:

(D)

providing technical assistance to, as appropriate, local boards, one-stop operators, and eligible providers, including support for the training or staff in evidence-based practices for serving eligible youth (including joint training) and facilitating remote access to services provided through the one-stop delivery system.

.

(d)

Local elements and requirements

Section 129(c) is amended—

(1)

in paragraph (1)

(A)

in subparagraph (B), by striking shall identify an and inserting shall identify career pathways that include education and employment goals; and

(B)

in subparagraph (C)

(i)

in clause (i), by striking , in appropriate cases;

(ii)

in clause (ii), by striking strong linkages between academic and occupational learning and inserting activities leading to the attainment of a secondary school diploma or its recognized equivalent, or a recognized postsecondary credential; and

(iii)

in clause (iv)

(I)

by inserting employers, including small employers, and in-demand occupations after effective connections to; and

(II)

by striking subclauses (I) and (II);

(2)

in paragraph (2)

(A)

by striking subparagraph (C) and redesignating subparagraphs (D) through (J) as subparagraphs (C) through (I), respectively;

(B)

in subparagraph (C) (as so redesignated)—

(i)

by striking work experiences as appropriate, and inserting work experiences that include academic, area career and technical education or occupational education to ensure youth are college and career ready,; and

(ii)

after including internships, by inserting summer employment, pre-apprenticeships programs, on-the-job training,;

(C)

in subparagraph (E) (as so redesignated), by inserting such as youth service and conservation corps, after include community service;

(D)

in subparagraph (F) (as so redesignated), by inserting , financial literacy education, and entrepreneurial skills training after supportive services; and

(E)

in subparagraph (I) (as so redesignated), after which, by inserting shall include career counseling and career exploration services, as appropriate, and;

(3)

in paragraph (3)(C), by inserting and family members, mentors, after parents; and

(4)

by amending paragraph (4)(A) to read as follows:

(A)

In general

For any program year, not less than 60 percent of the funds described in paragraph (1) shall be used to provide youth workforce investment activities for out-of-school youth.

.

117.

Adult and dislocated worker training activities

(a)

Definition of disadvantaged adult

Section 132(b)(1)(v)(IV) is amended by striking does not exceed and all that follow and inserting 150 percent of the poverty line..

(b)

Reallotment

Section 132(c)(2) is amended to read as follows:

(2)

Amount

The amount available for reallotment for a program year is equal to the amount by which the unobligated balance from State allotments to the State at the end of the program year prior to the program year for which the determination is made, exceeds 10 percent of the total amount of funds available to the State for that prior program year, consisting of the State allotment to the State for such prior program year (including amounts from State allotments to the State, for all program years before that prior program year) that remained available.

.

(c)

Transfer authority

Section 133(b)(4) is amended by striking 20 percent both places it appears and inserting 30 percent.

(d)

within State Reallocation

Section 133(c) 2 is amended to read as follows:

(2)

Amount

(A)

In general

The amount available for allocation for a program year is equal to the amount by which the balance that is unobligated and unencumbered for training services at the end of the program year prior to the program year for which the determination is made, exceeds 10 percent of the total amount of funds available to the local area for that prior program year, consisting of the local allocation to the local area for such prior program year (including amounts from local allocations to the local area, for all program years before that prior program year) that remained available.

(B)

Balance of funds

For purposes of this paragraph, the balance that is unobligated and unencumbered for training services is the amount that is the difference between—

(i)

the total amount of funds available to the local area under this section for that prior program year consisting of the local allocation to the local area for such prior program year (including amounts from local allocations to the local area for all program years before that prior program year) that remained available; and

(ii)

the amount, from that total amount of available funds, that is obligated or encumbered (in accordance with generally accepted accounting principles) for training services during such prior program year, except that for purposes of this paragraph the amount included as encumbered for raining services shall not exceed 10 percent of the total amount of available funds described in clause (i).

.

(e)

Use of unobligated rapid-Response funds

Section 134(a)(2) is amended—

(1)

in subparagraph (A)

(A)

by redesignating clauses (i) and (ii) as subclauses (I) and (II), respectively;

(B)

by striking A State shall use and inserting:

(i)

In general

A State shall use

; and

(C)

by adding at the end the following:

(ii)

Use of unobligated funds

Funds reserved by a Governor under section 133(a)(2) to carry out this subparagraph that remain unobligated after the first program year for which such funds were allotted may be used by the Governor to carry out statewide activities authorized under subparagraph (B) or paragraph (3)(A), in addition to activities under this subparagraph.

; and

(2)

in subparagraph (B)

(A)

in clause (v), by striking ; and and inserting a semicolon;

(B)

in clause (vi), by striking the period and inserting ; and; and

(C)

by adding at the end the following new clause:

(vii)

developing, implementing, and using layoff aversion strategies in collaboration with appropriate economic development and private sector entities, for implementation of strategies that may include early identification of firms at risk of layoffs, use of feasability studies to assess the needs of and options for at-risk firms and the delivery of employment, training, economic development, investment and financial restructuring activities to address identified risk factors.

.

(f)

Shared services

Section 134(d)(1)(B) is amended—

(1)

by striking A portion and inserting the following:

(i)

In general

A portion

; and

(2)

by adding at the end the following:

(ii)

Additional costs of one-stop

Subject to the memorandum of understanding described in section 121(c) for the one-stop delivery system involved, in addition to the funds provided for one-stop infrastructure described in section 137(d), a portion of funds made available under Federal law authorizing the programs described in section 121(b) and administered by one-stop partners, or the noncash resources available under such programs, shall be used to pay the additional costs relating to the operation of the one-stop delivery system that are not paid from the funds provided under section 137(d), as determined in accordance with clause (iv), to the extent not inconsistent with the Federal law involved. Such costs shall include the costs of the provision of core services described in section 134(d)(2) applicable to each program and may include common costs that are not paid from the funds provided under section 137(d).

(iii)

Shared services

Costs of shared services may include costs of services that are authorized for and may be commonly provided through the one-stop partner programs to any individuals, such as initial intake, assessment of needs, appraisal of basic skills, identification of appropriate services to meet such needs, referrals to other one-stop partners, and other similar services.

(iv)

determination and guidance

The method for determining the appropriate portion of funds and noncash resources to be provided by the one-stop partner for each program for a one-stop center shall be determined as part of the development of the memorandum or understanding under subsection (c) for the one-stop center and shall be stated in the memorandum. The State board shall provide guidance to facilitate the determination, for purposes of the memorandum of understanding, of an appropriate allocation of the funds and noncash resources in local areas.

.

(g)

Training services

Section 134(d)(4) is amended—

(1)

in subparagraph (B), by adding at the end the following:

(iii)

Rule of construction

Nothing in this paragraph shall be construed to require an individual to receive core or intensive services under paragraphs (2) or (3), respectively, prior to receiving training services under this paragraph.

;

(2)

in subparagraph (D)

(A)

in clause (ix), by striking ; and and inserting a semicolon; and

(B)

by adding at the end the following:

(x)

education, training, and skill upgrading for individuals to work and maintain proficiency as workplace learning advisors in programs sponsored by employers or joint labor-management partnerships.

;

(3)

in subparagraph (E)

(A)

by striking In the event through priority and inserting With respect to funds allocated to a local area for adult employment and training activities, priority;

(B)

by inserting individuals with barriers to employment after public assistance and other; and

(C)

by striking making determination related to and inserting implementing;

(4)

by striking subparagraph (G) and inserting the following:

(G)

Use of individual training accounts

(i)

In general

Except as provided in clause (ii), training services provided under this paragraph shall be provided through the use of individual training accounts in accordance with this paragraph, and shall be provided to eligible individuals through the one-stop delivery system.

(ii)

Training contracts

Training services authorized under this paragraph may be provided pursuant to a contract for services in lieu of an individual training account if—

(I)

the requirements of subparagraph (F) are met;

(II)

such services are on-the-job training, registered apprenticeships, customized training, incumbent worker training, entrpreneurial skills training, or transitional employment;

(III)

the local board determines there are an insufficient number of eligible providers of training services in the local area involved (such as in a rural area) to accomplish the purposes of a system of individual training accounts;

(IV)

the local board determines that there is a training services program of demonstrated effectiveness offered in the local area by a community-based organization or another private organization to serve individuals with barriers to employment; or

(V)

the local board determines that it would be most appropriate to award a contract to an institution of higher education or other eligible provider of training services, including area career and technical education centers in order to facilitate the training of multiple individuals in in-demand industry sectors or occupations and that such contract does not limit customer choice.

(iii)

Linkage to occupations in demand

Training services provided under this paragraph shall be directly linked to an in-demand industry sector or occupation in the local area or region, or in another area to which an adult or dislocated worker receiving such services is willing to relocate, except that a local board may approve training services for occupations determined by the local board to be in sectors of the economy that have a high potential for sustained demand or growth in the local area.

(iv)

Rule of construction

Nothing in this paragraph shall be construed to preclude the combined use of individual training accounts and contracts in the provision of training services, including arrangements that allow individuals receiving individual training accounts to obtain training services that are contracted for under clause (ii).

; and

(5)

by adding at the end the following:

(H)

Reimbursement for on-the-job training

(i)

Reimbursement level

For purposes of the provision of on-the-job training under this paragraph, the Governor or local board involved may increase the amount of the reimbursement described in section 101(31) to an amount of up to 75 percent of the wage rate of a participant for a program carried out under this chapter, if, respectively—

(I)

the Governor approves the increase with respect to a program carried out with funds reserved by the State under that chapter, taking into account the factors described in clause (ii); or

(II)

the local board approves the increase with respect to a program carried out with funds allocated to a local area under such chapter, taking into account those factors.

(ii)

Factors

For purposes of clause (i), the Governor or local board, respectively, shall take into account factors consisting of—

(I)

the characteristics of the participants;

(II)

the size and resources of the employer;

(III)

the likely employment opportunities available to workers who complete an on-the-job training program; and

(IV)

such other factors as the Governor or local board, respectively, may determine to be appropriate, which may include the number of employees participating in the training, wage and benefit levels of those employees (at present and anticipated upon completion of the training), relation of the training to the competitiveness of a participant, and other employer-provided training and advancement opportunities.

.

(h)

Incumbent worker training programs and transitional jobs

Section 134(e) is amended—

(1)

in paragraph (1)

(A)

in subparagraph (A), by striking ; and and inserting a semicolon;

(B)

in subparagraph (B), by striking the period at the end and inserting ; and; and

(C)

by adding at the end the following:

(C)

work support activities designed to assist low-wage workers in retaining and enhancing employment, such as the provision of activities described in this section during nontraditional hours and the provision of child care while such activities are being provided.

; and

(2)

by adding at the end the following new paragraphs:

(4)

Incumbent worker training programs

(A)

In general

(i)

Standard reservation of funds

Except as provided in clause (ii), the local board may reserve and use not more than 15 percent of the funds allocated to the local area involved under section 133(b) to pay for the Federal share of the cost of providing training through a training program for incumbent workers, carried out in accordance with this paragraph.

(ii)

Increased reservation of funds

If the local board determines that there is sufficient evidence that use of the funds reserved under clause (i) led to employee retention by and contributed to creation of new jobs with employers that participated in incumbent worker training programs, the local board may reserve and use not more than a total of 20 percent of such funds to pay for the Federal share of such costs.

(iii)

Determination of eligibility

For the purpose of determining the eligibility of an employer to receive funding under clause (i), the local board shall take into account factors consisting of—

(I)

the characteristics of the participants in the program;

(II)

the relationship of the training to the competitiveness of a participant and the employer; and

(III)

such other factors as the local board may determine to be appropriate, which may include the number of employees participating in the training, the wage and benefit levels of those employees (at present and anticipated upon completion of the training), and the existence of other training and advancement opportunities provided by the employer.

(iv)

Statewide impact

The Governor or State board involved may make recommendations to the local board for providing incumbent worker training that has statewide impact.

(B)

Training activities

The training program for incumbent workers carried out under this paragraph shall be carried out by the local board in conjunction with the employers or groups of employers of such workers, or a labor-management partnership, including joint registered apprenticeship programs, for the purpose of assisting such workers in obtaining the skills necessary to retain employment or avert layoffs.

(C)

Employer payment of non-Federal share

Employers participating in the program carried out under this paragraph shall be required to pay for the non-Federal share of the cost of providing the training to incumbent workers of the employers.

(D)

Non-Federal share

(i)

Factors

Subject to clause (ii), the local board shall establish the non-Federal share of such cost (taking into consideration such other factors as the number of employees participating in the training, the wage and benefit levels of the employees (at the beginning and anticipated upon completion of the training), the relationship of the training to the competitiveness of the employer and employees, and the availability of other employer-provided training and advancement opportunities).

(ii)

Limits

The non-Federal share shall not be less than—

(I)

10 percent of the cost for employers with not more than 50 employees;

(II)

25 percent of the cost, for employers with more than 50 employees but not more than 100 employees; and

(III)

50 percent of the cost, for employers with more than 100 employees.

(iii)

Calculation of employer share

The non-Federal share provided by an employer participating in the program may include the amount of the wages paid by the employer to a worker while the worker is attending a training program under this paragraph.

(E)

Worker protections

If an incumbent worker training program is proposed for an employer whose workers are covered by a collective bargaining agreement, the union representing those workers will be consulted regarding the incumbent worker training program and concur prior to the start of the program.

(5)

Transitional jobs

The local board may use not more than 15 percent of the funds allocated to the local area involved under section 133(b) to provide transitional jobs under subsection (c)(4) that—

(A)

are time-limited work experiences in integrated settings that are subsidized and are in the public, private, or nonprofit sectors for individuals with barriers to employment who are chronically unemployed, have no employment experience or have an inconsistent work history;

(B)

are combined with comprehensive employment and supportive services;

(C)

are designed to assist the individuals described in subparagraph (A) to establish a work history, demonstrate success in the workplace, and develop the skills that lead to entry into and retention in unsubsidized employment; and

(D)

assist in placement or hiring to an unsubsidized job.

.

118.

Unified performance accountability system

Section 136 is amended to read as follows:

136.

Unified performance accountability system

(a)

Purpose

The purpose of this section is to establish shared performance accountability measures that apply across the core programs to assess the effectiveness of States and local areas in achieving positive outcomes for individuals served by those programs.

(b)

State unified performance accountability measures

(1)

In general

For each State, the unified performance accountability measures for the core programs shall consist of—

(A)
(i)

the primary indicators of performance described in paragraph (2)(A); and

(ii)

the additional indicators of performance (if any) identified by the State under paragraph (2)(B); and

(B)

A State adjusted level of performance for each indicator described in subparagraph (A).

(2)

Indicators of performance

(A)

Primary indicators of performance

(i)

In general

The State primary indicators of performance for activities provided under the adult and dislocated worker programs authorized under chapter 6 of subtitle B of title I, the program of adult education and literacy activities authorized under title II, the employment services program authorized under sections 1 through 13 of the Wagner-Peyser Act (29 U.S.C. 49 et seq.) (except that subclauses (IV) and (V) shall not apply to such program), and the program authorized under title I of the Rehabilitation Act of 1973 (29 U.S.C. 720 et seq.), other than section 112 or part C of that title (29 U.S.C. 732, 741), shall consist of—

(I)

the percentage and number of program participants who are in unsubsidized employment during the second quarter after exit from the program;

(II)

the percentage and number of program participants who are in unsubsidized employment during the fourth quarter after exit from the program;

(III)

the median earnings of program participants who are in unsubsidized employment during the second quarter after exit from the program compared to the median earnings of such participants prior to the training;

(IV)

the percentage of program participants who obtain a recognized postsecondary credential, including in a registered apprenticeship or on-the-job training program, or a secondary school diploma or its recognized equivalent (subject to clause (iii)), during participation in or within 1 year after exit from the program;

(V)

the percentage of program participants who, during a program year, are in an education or training program, including a registered apprenticeship or on-the-job training program, that leads to a recognized postsecondary credential or a secondary school diploma or its recognized equivalent, or employment and who are achieving measurable basic skill gains toward such a credential or employment; and

(VI)

the indicators of effectiveness in serving employers established pursuant to clause (iv).

(ii)

Primary indicators of performance for eligible youth

The primary indicators of performance for the youth program authorized under chapter 4 of this subtitle shall consist of—

(I)

the percentage and number of program participants who are in education or training activities, or in unsubsidized employment during the second quarter after exit from the program;

(II)

the percentage and number of program participants who are in education or training activities, or in unsubsidized employment, during the fourth quarter after exit from the program;

(III)

the median earnings of program participants who are in unsubsidized employment during the second quarter after exit from the program compared to the median earnings of such participants prior to the training;

(IV)

the percentage of program participants who obtain a recognized postsecondary credential described in clause (i)(IV), or a secondary school diploma or its recognized equivalent subject to clause (iii) during participation in or within 1 year after exit from the program;

(V)

the percentage of program participants who, during a program year, are in an education or training program that leads to a recognized postsecondary credential or a secondary school diploma or its recognized equivalent, or employment and who are achieving measurable basic skill gains toward such a secondary credential or employment; and

(VI)

the indicators of effectiveness in serving employers established pursuant to clause (iv).

(iii)

Indicator relating to credential

For purposes of clause (i)(IV) or (ii)(IV), program participants who obtain a secondary school diploma or its recognized equivalent shall be included in the percentage counted as meeting the criterion under such clause only if such participants, in addition to obtaining such diploma or its recognized equivalent, have obtained or retained employment, have been removed from public assistance, or are in an education or training program leading to a recognized postsecondary credential described in clause (i)(IV) within 1 year after exit from the program.

(iv)

Indicator for services to employers

Prior to the commencement of the second full program year after the date of enactment of this Act, for purposes of clauses (i)(VI) and (ii)(V), the Secretary of Labor and the Secretary of Education after consultation with the representatives described in subsection (h)(2), shall jointly develop and establish, for purposes of this subparagraph, 1 or more primary indicators of performance that indicate the effectiveness of the core programs in serving employers.

(B)

Additional indicators

A State may identify in the State plan additional performance accountability indicators.

(3)

Levels of performance

(A)

State adjusted levels of performance for primary indicators

(i)

In general

For each State submitting a State plan, there shall be established, in accordance with this subparagraph, levels of performance for each of the corresponding primary indicators of performance described in paragraph (2) for each of the programs described in clause (ii).

(ii)

Included programs

The programs included under clause (i) are—

(I)

the youth program authorized under chapter 4 of this subtitle;

(II)

the adult program authorized under chapter 5 of this subtitle;

(III)

the dislocated worker program authorized under chapter 5 of this subtitle;

(IV)

the program of adult education and literacy activities authorized under title II;

(V)

the employment services program authorized under sections 1 through 13 of the Wagner-Peyser Act ( 29 U.S.C. 49 et seq. ); and

(VI)

the program authorized under title I of the Rehabilitation Act of 1973 (29 U.S.C. 720 et seq.), other than section 112 or part C of that title (29 U.S.C. 732, 741).

(iii)

Identification of State plan

Each State shall identify, in the State plan, expected levels of performance for each of the corresponding primary indicators of performance for each of the programs described in clause (ii) for the first 2 program years covered by the State plan.

(iv)

Agreement of State adjusted levels of performance

(I)

First 2 years

The State shall reach agreement with the Secretary of Labor and the Secretary of Education on levels of performance for each indicator described in clause (iii) for each of the programs described in clause (ii) for each of the first 2 program years covered by the State plan. In reaching the agreement, the State and Secretaries shall take into account the levels identified in the State plan under clause (iii) and the factors described in clause (v). The levels agreed to shall be considered to be the State adjusted levels of performance for the State for such program years and shall be incorporated into the State plan prior to the approval of such plan.

(II)

Third and fourth year

The State and the Secretaries shall reach agreement, prior to the third program year covered by the State plan, on levels of performance for each indicator described in clause (iii) for each of the programs described in clause (ii) for each of the third and fourth program years covered by the State plan. In reaching the agreement, the State and Secretaries shall take into account the factors described in clause (v). The levels agreed to shall be considered to be the State adjusted levels of performance for the State for such program years and shall be incorporated into the State plan as a modification to the plan.

(v)

Factors

In reaching the agreements described in clause (iv), the State and Secretaries shall—

(I)

take into account how the levels involved compare with the State adjusted levels of performance established for other States;

(II)

ensure that the levels involved are adjusted, using the objective statistical model established by the Secretaries pursuant to clause (viii), based on the difference among States in economic conditions (including differences in unemployment rates and job losses or gains in particular industries) and the characteristics of participants when the participants entered the program involved, including indicators of poor work history, lack of work experience, lack of educational or occupational skills attainment, dislocation from high-wage and high-benefit employment, low levels of literacy or English proficiency, disability status, homelessness, ex-offender status, and welfare dependency;

(III)

take into account the extent to which the levels involved promote continuous improvement in performance accountability on the performance accountability measures by such State and ensure optimal return on the investment of Federal funds; and

(IV)

take into account the extent to which the levels involved will assist the State in meeting the goals described in clause (vi).

(vi)

Goals

In order to promote enhanced performance outcomes and to facilitate the process of reaching agreements with the States under clause (iv), the Secretary of labor and the Secretary of Education shall establish performance goals for the core programs, in accordance with the Government Performance and Results Act of 1993 and in consultation with States and other appropriate parties. Such goals shall be long-term goals for the adjusted levels of performance to be achieved by each of the programs described in clause (ii) regarding the corresponding primary indicators of performance described in paragraph (2)(A).

(vii)

Revisions based on economic conditions and individuals served during the program year

The Secretary of Labor and the Secretary of Education shall, in accordance with the objective statistical model developed pursuant to clause (viii), revise the State adjusted levels of performance applicable for each of the programs described in clause (ii), for a program year and a State, to reflect the economic conditions and characteristics of participants (as described in clause (v)(II)) in that program during such program year in a such State.

(viii)

Statistical adjustment model

The Secretary of Labor and the Secretary of Education, after consultation with the representatives described in subsection (h)(2), shall develop and disseminate an objective statistical model that will be used to make the adjustments in the State adjusted levels of performance for economic conditions and characteristics of participants under clauses (v) and (vii).

(B)

Levels of performance for additional indicators

The State may identify, in the State plan, State levels of performance for each of the additional indicators identified under paragraph (2)(B). Such levels shall be considered to be State adjusted levels of performance for purposes of this section.

(c)

Local performance accountability measures

(1)

In general

For each local area in a State designated under section 116, the local performance accountability measures for each of the program described in subclauses (I) through (III) of subsection (b)(3)(A)(ii) shall consist of—

(A)
(i)

the primary indicators of performance described in subsection (b)(2)(A) that are applicable to such programs; and

(ii)

additional indicators of performance, if any, identified by the State for such programs under subsection (b)(2)(B); and

(B)

the local level of performance for each indicator described in subparagraph (A).

(2)

Local level of performance

The local board, the chief elected official, and the Governor shall negotiate and reach agreement on local levels of performance based on the State adjusted levels of performance established under subsection (b)(3)(A).

(3)

Adjustment factors

In negotiating the local levels of performance, the local board, the chief elected official, and the Governor shall make adjustments for the expected economic conditions and the expected characteristics of participants to be served in the local area, using the statistical adjustment model developed pursuant to subsection (b)(3)(A)(viii). In addition, the negotiated local levels of performance applicable to a program year shall be revised to reflect the economic conditions experienced and the characteristics of the populations served in the local area during such program year using the statistical adjustment model.

(d)

Performance accountability reports

(1)

In general

Not later than 6 months after the date of enactment of the Workforce Investment Act of 2012, the Secretary of Labor and the Secretary of Education shall jointly develop a template for performance reports that shall be used by States, local boards, and eligible providers of training services under section 122 to report on outcomes achieved by the core programs, and to report on quantifiable benchmarks established in the State plan as described in section 112 or the State unified plan described in section 113 that demonstrate annual improvement with respect to each of the system-wide performance indicators established under subsection (j)(2) of this section.

(2)

Contents of State performance reports

The performance report for a State shall include, subject to paragraph (5)(C)

(A)

information specifying the levels of performance achieved with respect to the primary indicators of performance described in subsection (b)(2)(A) for each of the programs described in subsection (b)(3)(A)(ii) and the State adjusted levels of performance with respect to such indicators for each program;

(B)

information specifying the levels of performance achieved with respect to the primary indicators of performance described in subsection (b)(2)(A) for each of the programs described in subsection (b)(3)(A)(ii) with respect to individuals with barriers to employment, disaggregated by each subpopulation of such individuals;

(C)

the total number of participants served by each type of service of the programs described in subsection (b)(3)(A)(ii), and the types of core, intensive, and training services provided;

(D)

the number of individuals with barriers to employment served by each type of service by each of the programs described in subsection (b)(3)(A)(ii), disaggregated by each subpopulation of such individuals;

(E)

the number of participants who are enrolled in more than 1 of the programs described in subsection (b)(3)(A)(ii); and

(F)

other information that facilitates comparisons of programs with programs in other States.

(3)

Contents of local area performance reports

The performance reports for a local area shall include, subject to paragraph (5)(C)

(A)

information specifying the levels of performance achieved with respect to the primary indicators of performance described in subsection (b)(2)(A) for each of the programs described in subclauses (I) through (III) of subsection (b)(3)(A)(ii), and the local adjusted levels of performance with respect to such indicators for each program;

(B)

information specifying the levels of performance achieved with respect to the primary indicators of performance described in subsection (b)(2)(A) for each of the programs described in subclauses (I) through (III) of subsection (b)(3)(A)(ii) with respect to individuals with barriers to employment, disaggregated by each subpopulation of such individuals;

(C)

the total number of participants served by each of the programs described in subclauses (I) through (III) of subsection (b)(3)(A)(ii), and the types of core, intensive, and training services provided;

(D)

the number of individuals with barriers to employment served by each of the programs described in subclauses (I) through (III) of subsection (b)(3)(A)(ii), disaggregated by each subpopulation of such individuals;

(E)

the number of participants who are enrolled in any of the programs described in subclauses (I) through (III) of subsection (b)(3)(A)(ii) who are enrolled in more than 1 program described in subsection (b)(3)(A)(ii); and

(F)

other information that facilitates comparisons of programs with programs in other local areas (or planning regions, as appropriate).

(4)

Contents of eligible training providers performance reports

The performance report for an eligible provider of training services under section 122 shall include, subject to paragraph (5)(C), with respect to each program of training services, including core, intensive, and training services, of such provider—

(A)

information specifying the levels of performance achieved with respect to the primary indicators of performance described in subclauses (I) through (IV) of subsection (b)(2)(A)(i) with respect to participants served under the adult and dislocated worker programs under chapter 5 of this subtitle; and

(B)

the number of participants served under each of the adult and dislocated worker programs under chapter 5 of this subtitle and the number of individuals with barriers to employment served under each of such programs, disaggregated by each subpopulation of such individuals.

(5)

Publication

(A)

State performance reports

The Secretary of Labor and the Secretary of Education shall annually make publically available, including by electronic means, the performance reports for States and local areas containing the information described in paragraph (2).

(B)

Local area and eligible training provider performance reports

The State shall make publically available, including by electronic means, the performance reports for the local areas containing the information described in paragraph (3) and the performance reports for eligible providers of training services containing the information described in paragraph (4).

(C)

Rules for reporting of data

The disaggregation of data under this subsection shall not be required when the number of participants in a category is insufficient to yield statistically reliable information or when the results would reveal personally identifiable information about an individual participant.

(e)

Evaluation of State programs

(1)

In general

Using funds authorized under a core program and made available to carry out this section, the State, in coordination with local boards in the State and the State agencies responsible for the administration of the core programs, shall conduct ongoing evaluations of activities carried out in the State under such programs and in accordance with the State unified plan. The State, local boards, and State agencies shall conduct the evaluations in order to promote, establish, implement, and utilize methods for continuously improving core program activities in order to achieve high-level performance within, and high-level outcomes from, the workforce investment system. To the maximum extent practicable, the State shall coordinate the valuations with the evaluations provided for the Secretary of Labor and Secretary of Education under section 172, section 343(b)(3)(E), section 10(b) of the Wagner-Peyser Act ( 29 U.S.C. 49i(b) ), and sections 12(a)(5), 14, and 107 of the Rehabilitation Act of 1973 ( 29 U.S.C. 709(a)(5) , 711, 727) (applied with respect to programs carried out under title I of that Act).

(2)

Design

The evaluations conducted under this subsection shall be designed in conjunction with the State board, State agencies responsible for the administration of the core programs, and local boards and shall include analysis of customer feedback and outcome and process measures in the statewide workforce investment system. The evaluations may include the use of control groups.

(3)

Results

The State shall periodically prepare, submit to the State board and local boards in the State, and make available to the public, including by electronic means, reports containing the results of evaluations conducted under this subsection, to promote the efficiency and effectiveness of the workforce investment system.

(f)

Sanctions for State failure To meet State performance accountability measures

(1)

States

(A)

Technical assistance

If a State fails to meet the State adjusted levels of performance relating to indicators described in subsection (b)(2)(A) for a program for any program year, the Secretary of Labor and the Secretary of Education shall, upon request, provide technical assistance, including assistance in the development of a performance improvement plan.

(B)

Reduction in amount of grant

If such failure continues for a second consecutive year, or if a State fails to submit a report under subsection (d) for any program year, the Secretary of Labor or the Secretary of Education, as appropriate, may reduce by not more than 5 percent, the amount of the allotment that would (in the absence of this paragraph) be payable to the State under such program for the immediately succeeding program year. Such penalty shall be based on the degree of failure to meet State adjusted levels of performance.

(2)

Funds resulting from reduced allotments

The Secretary of Labor or the Secretary of Education, as appropriate, shall use any amount retained, as a result of a reduction in an allotment to a State made under paragraph (1)(B), to provide technical assistance to the States the Secretaries determine to be appropriate to improve the performance of their core programs.

(g)

Sanctions for local area failure To meet local performance accountability measures

(1)

Technical assistance

If a local area fails to meet local performance accountability measures established under subsection (c) for the youth, adult, or dislocated worker program authorized under chapter 2 or 3 of subtitle B of title I for a program described in subsection (d)(2)(A) for any program year, the Governor, or upon request by the Governor, the Secretary of Labor, shall provide technical assistance, which may include assistance in the development of a performance improvement plan, or the development of a modified local plan or regional plan.

(2)

Corrective actions

(A)

In general

If such failure continues for a second consecutive year, the Governor shall take corrective actions, which may include development of a reorganization plan through which the Governor may—

(i)

require the appointment and certification of a new local board, consistent with the criteria established under section 117(b)(1);

(ii)

prohibit the use of eligible providers and one-stop partners identified as achieving a poor level of performance;

(iii)

redesignate the local area in accordance with section 116; or

(iv)

take such other actions as the Governor determines are appropriate.

(B)

Appeal by local area

(i)

Appeal to governor

The local board and chief elected official for a local area that is subject to a reorganization plan under subparagraph (A) may, not later than 30 days after receiving notice of the reorganization plan, appeal to the Governor to rescind or revise such plan. In such case, the Governor shall make a final decision not later than 30 days after the receipt of the appeal.

(ii)

subsequent action

The local board and chief elected official for a local area may, not later than 30 days after receiving a decision from the Governor pursuant to clause (i), appeal such decision to the Secretary of Labor. In such case, the Secretary shall make a final decision not later than 30 days after the receipt of the appeal.

(C)

Effective date

The decision made by the Governor under subparagraph (B)(i) shall become effective at the time the Governor issues the decision pursuant to such clause. Such decision shall remain effective unless the Secretary of Labor rescinds or revises such plan pursuant to subparagraph (B)(ii).

(h)

Definitions of indicators of performance

(1)

In general

In order to ensure nationwide comparability of performance data, the Secretary of Labor and the Secretary of Education, after consultation with representatives described in paragraph (2), shall issue definitions for the indicators described in this section.

(2)

Representatives

The representatives referred to in paragraph (1) are representatives of States and political subdivisions, business and industry, employees, eligible providers of activities carried out through the core programs, educators, researchers, participants, the lead State agency officials with responsibility for the programs carried out through the core programs, individuals with expertise in service individuals with barriers to employment, and other interested parties.

(i)

Fiscal and management accountability information systems

(1)

Wage records

In measuring the progress of the State across all core programs as identified in section 136(b)(2)(A) on State and local performance accountability measures, a State shall utilize quarterly wage records, consistent with State law. The Secretary of Labor shall make arrangements, consistent with State law, to ensure that the wage records of any State are available to any other State to the extent that such wage records are required by the State in carrying out the State plan of the State or completing the annual report described in subsection (d).

(2)

Confidentiality

In carrying out the requirements of this Act, the State shall comply with section 444 of the General Education Provisions Act (20 U.S.C. 1232g).

(j)

System-Wide improvements

(1)

Purpose

The purpose of this subsection is to establish system-wide improvements across all programs to enhance data collection, ensure accountability and increase administrative efficiencies in employment and training programs that will expand the capacity and improve the performance of the workforce system.

(2)

Development and implementation

(A)

In general

The Secretary of Labor and the Secretary of Education, after consultation with the representatives described in subsection (h)(2), shall develop system-wide performance measures across the one-stop partner programs described in section 121(b) to measure the collective effectiveness of the workforce investment system in aligning and coordinating the core programs and other one-stop partner programs, employers as a meaningful system partner to address businesses and other employer immediate and long-term skilled workforce needs in in-demand, high-growth, and other occupations important to a State, regional, or local economy, expanding access to education and training for participants (including participants with barriers to employment), and establishing or strengthening credential attainment and measurement strategies. Not later than the beginning of the third program year, the Secretary of Labor and the Secretary of Education after consultation with the representatives described in subsection (h)(2), shall develop system-wide performance accountability measures.

(B)

Benchmarks

Not later than the beginning of the third program year, each State shall include in the State plan described in section 112 or the State unified plan described in section 113 quantifiable benchmarks that demonstrate annual improvement with respect to each of the system-wide performance indicators established under this section.

(C)

Requirements

For each State, the system-wide performance accountability measures shall consist of—

(i)

the indicators of performance described in paragraph (3) (A) through (D);

(ii)

any other indicators established by the Secretary of Labor and the Secretary of Education in consultation with the representatives described in subsection (h)(2); and

(iii)

a State adjusted level of performance for each indicator described in paragraph (3).

(3)

Indicators of performance

The indicators of system-wide performance shall be measured from baseline data collected in the first year after the date of enactment of this subsection and shall consist of the following:

(A)

Indicators of effectiveness in engaging employers as a system partner

The State indicators of effectiveness in serving employers shall at a minimum consist of—

(i)

the number and percentage of employers in the State using one-stops;

(ii)

the total number of returning employers in the State using one-stops and one-stop partner program services, including training;

(iii)

the number of training modules created for specific employers or groups of employers; and

(iv)

the size of each employer in the State using one-stops and one-stop partner programs services.

(B)

Indicators of expanded access to training services

The State indicators of expanded access to training services shall at a minimum consist of—

(i)

the number and percentage of participants who received training or education services under a one-stop partner program;

(ii)

the number and percentage of participants and youth with barriers to employment who received services from a one-stop partner program resulting in entry into an education and training program that leads to employment or a recognized postsecondary credential;

(iii)

the total number and percentage of participants concurrently enrolled in two or more core programs, or in at least one other one-stop partner program;

(iv)

the number and percentage of participants engaged in career pathways; and

(v)

the total number and percentage of participants who are enrolled and whose training is co-funded by Pell grants or other sources of financial aid.

(C)

Indicators of credential attainment and measurement

The State indicators of credential attainment and measurement shall at a minimum consist of the total number and percentage of recognized postsecondary credentials earned during the program year by, or awarded to, participants of programs described in section 136(b)(3)(A)(i).

(D)

Additional indicators

A State may identify in a State plan additional system-wide performance accountability indicators.

(4)

Levels of performance

(A)

State adjusted levels of performance for system-wide performance accountability indicators

(i)

In general

For each State submitting a State plan under section 112 or section 113, there shall be established, in accordance with this paragraph, levels of performance for each of the system-wide performance accountability indicators that shall measure aggregate performance for the programs referred to in section 121(b)(1)(B), and which may include data from programs referred to in section 121(b)(2)(B).

(ii)

Identification in State plan

Prior to the third program year after enactment of this Act, each State shall identify, in the State plan, expected levels of performance for each of the corresponding system-wide performance accountability indicators under subsection (j)(2) for each of the third and fourth program years covered by the State plan.

(iii)

Agreement on State adjusted levels of performance

The State shall reach agreement with the Secretary of Labor and the Secretary of Education on levels of performance for each indicator under subsection (j)(2) for each of the third and fourth program years covered by the State plan. In reaching the agreement, the State and Secretaries shall take into account the levels identified in the State plan under clause (ii), and may take into account the factors described in subsection (c)(3)(A)(v).

(B)

Levels of performance for additional indicators

The State may identify, in the State plan, State levels of performance for each of the additional indicators identified under subsection (j)(2)(E). Such levels shall be considered the State adjusted levels of performance for purposes of this section.

(C)

Failure to meet system-wide performance accountability measures

If a State fails to meet State adjusted levels of performance relating to indicators described in paragraph (3) for any program year the Secretary of Labor and the Secretary of Education shall, upon request, provide technical assistance, including assistance in the development of a performance improvement plan.

(5)

Reports

Not later than 1 year after the date of the enactment of the Workforce Investment Act of 2012, the Secretary of Labor shall report to the Committee on Education and the Workforce on the indicators described in paragraph (2) of this section and provide recommendations to the Committee on improving coordination and increasing efficiencies in one-stop partner programs.

.

119.

Authorization of funding for one-stop infrastructure

Section 137 is amended by adding at the end the following:

(d)

One-Stop infrastructure

(1)

Authorization of Appropriations

In addition to the funds authorized under subsections (a), (b), and (c), there is authorized to be appropriated an additional amount equal to 3 percent of the total of amounts appropriated under such subsections, for costs of infrastructure including rental costs and other expenses associated with establishing and maintaining one-stop centers in accordance with section 121.

(2)

Allotment

The Secretary shall allot the funds appropriated pursuant to paragraph (1) for each fiscal year among the States as follows:

(A)

Two-thirds of such sums shall be allotted on the basis of the relative number of individuals in the civilian labor force in each State as compared to the total number of such individuals in all States.

(B)

One-third of such sums shall be allotted on the basis of the relative number of unemployed individuals in each State as compared to the total number of such individuals in all States.

For purposes of this paragraph, the number of individuals in the civilian labor force and the number of unemployed individuals shall be based on data for the most recent calendar year available, as determined by the Secretary.

.

C

Job Corps

131.

Purposes

Section 141(1) is amended to read as follows:

(1)

to maintain a national Job Corps program, carried out in partnership with States and communities, to—

(A)

assist eligible youth to connect to the labor force by providing them with intensive social, academic, career and technical education, and service-learning opportunities, in primarily residential centers, in order for such youth to obtain secondary school diplomas or recognized postsecondary credentials leading to—

(i)

successful careers, in in-demand industry sectors or occupations or the Armed Forces, that will result in economic self-sufficiency and opportunities for advancement; or

(ii)

enrollment in postsecondary education; and

(B)

support responsible citizenship;

.

132.

Definitions

Section 142 is amended—

(1)

in paragraph (2)

(A)

by striking customer service;

(B)

by striking intake and inserting assessment; and

(C)

by striking a Jobs Corps center and inserting support the purposes of the Jobs Corps ;

(2)

in paragraph (4), by striking before completing the requirements and all that follows and inserting prior to becoming a graduate.;

(3)

in paragraph (5), by striking has completed the requirements and all that follows and inserting the following: who, as a result of participation in the Job Corps program, has received a secondary school diploma or recognized equivalent or completed the requirements of a career and technical education and training program that prepares individuals for employment leading to economic self-sufficiency or entrance into postsecondary education or training.; and

(4)

in paragraph (9), by striking area served by a regional office of the Employment and Training Administration and inserting defined by the Secretary .

133.

Individuals eligible for the Job Corps

Section 144 is amended by adding at the end the following:

(4)

Special rule for veterans

Notwithstanding the requirement of paragraph (2), a veteran of the Armed Forces shall be eligible to become an enrollee under this section if the individual—

(A)

meets the requirements of paragraphs (1) and (3); and

(B)

does not meet the requirement of paragraph (2) because the military income earned by such individual within the 6-month period prior to the individual’s application for Job Corps prevents the individual from meeting such requirement.

.

134.

Recruitment, screening, selection, and assignment of enrollees

Section 145 is amended—

(1)

in subsection (a)(2)

(A)

in subparagraph (C)(i), by striking vocational and inserting career and technical education and training; and

(B)

By amending subparagraph (E) to read as follows:

(E)

assure appropriate representation of enrollees from urban areas and from rural areas.

;

(2)

in subsection (a)(3)

(A)

in subparagraph (B), by striking ; and and inserting a semicolon;

(B)

in subparagraph (C), by striking the period and inserting ; and; and

(C)

by adding at the end the following:

(D)

child welfare agencies that are responsible for children in foster care and children eligible for assistance under section 477 of the Social Security Act (42 U.S.C. 677).

;

(3)

in subsection (b)(1)(B), by inserting and agrees to such rules after failure to observe the rules;

(4)

in subsection (c)

(A)

in paragraph (1) in the matter preceding subparagraph (A), by striking an assignment and inserting a;

(B)

in paragraph (2), in the matter preceding subparagraph (A), by striking the Secretary shall, every 2 years, analyze, for the Job Corps center— and inserting every 2 years the Secretary, in consultation with operators of Job Corps centers, shall analyze relevant factors relating to each Job Corps center, including—;

(C)

in subparagraph (B), by striking ; and and inserting a semicolon;

(D)

in subparagraph (C)

(i)

by inserting the education, training, and supportive after including; and

(ii)

by adding and after the semicolon; and

(E)

by adding at the end the following:

(D)

the performance of the Job Corps center relating to the expected levels of performance for the indicators described in section 159(c)(1), and whether any actions have been taken with respect to such center pursuant to paragraphs (2) and (3) of section 159(f).

; and

(5)

in subsection (d)

(A)

in paragraph (1)

(i)

in the matter preceding subparagraph (A), by striking is closest to the home of the enrollee, except that the and inserting offers the type of career and technical education and training selected by the individual and, among the centers that offer such education and training, is closest to the home of the individual. The; and

(ii)

by striking subparagraph (A) and redesignating subparagraphs (B) and (C) as subparagraphs (A) and (B), respectively; and

(B)

in paragraph (2), by striking to the home of and inserting to the home of that offers the career and technical education and training desired by .

135.

Enrollment

Section 146(b) is amended—

(1)

in paragraph (1), by striking or; and

(2)

by redesignating paragraph (2) as paragraph (4) and inserting after paragraph (1) the following:

(2)

in the case of an individual with a disability who would reasonably be expected to meet the standards for a Job Corps graduate, as defined under section 142(5), if allowed to participate in the Job Corps for not more than 1 additional year;

(3)

in the case of an individual who participates in national service, as authorized by a Civilian Conservation Center program, who would be granted an enrollment extension in the Job Corps for the amount of time equal to the period of national service; or

.

136.

Job Corps centers

Section 147 is amended—

(1)

in subsection (a)

(A)

in paragraph (1)

(i)

in subparagraph (A), by striking vocational both places it appears and inserting career and technical; and

(ii)

in subparagraph (B), by inserting , or other entity with the necessary capacity, after local entity; and

(B)

in paragraph (2)

(i)

in subparagraph (A), by striking subsections (c) and (d) of section 303 of the Federal Property and Administrative Services Act of 1949 (41 U.S.C. 253) and inserting subsections (a) and (b) of section 3304 of title 41, United States Code,; and

(ii)

in subparagraph (B)(i)

(I)

in subclause (II), by striking vocational and inserting career and technical education and;

(II)

in subclause (III), by striking is familiar with the surrounding communities, and inserting demonstrates relationships with the surrounding communities, employers, labor organizations, workforce boards,; and

(III)

by amending subclause (IV) to read as follows:

(IV)

the performance of the entity, if any, relating to operating or providing activities described in this subtitle to a Job Corps center, including the entity's demonstrated effectiveness in assisting individuals in achieving the primary indicators of performance for eligible youth described in section 136(b)(2)(A)(ii).

; and

(2)

by amending subsection (c) to read as follows:

(c)

Civilian conservation centers

(1)

In general

The Job Corps centers may include Civilian Conservation Centers, operated under an agreement between the Secretary of Labor and the Secretary of Agriculture, that are located primarily in rural areas. Such centers shall provide, in addition to academics, career and technical education and training, and workforce preparation skills training, programs of work experience to conserve, develop, or manage public natural resources or public recreational areas or to develop community projects in the public interest.

(2)

Assistance during disasters

Enrollees in Civilian Conservation Centers may provide assistance in addressing national, State, and local disasters, consistent with current child labor laws and regulations. The Secretary of Agriculture shall ensure that with respect to the provision of such assistance the enrollees are properly trained, equipped, supervised, and dispatched consistent with standards for the conservation and rehabilitation of wildlife established under the Fish and Wildlife Coordination Act (16 U.S.C. 661 et seq.).

(3)

National liaison

The Secretary of Agriculture shall designate a Job Corps National Liaison to support the agreement under this section between the Departments of Labor and Agriculture.

.

137.

Program activities

Section 148 is amended—

(1)

by amending subsection (a) to read as follows:

(a)

Activities provided by job corps centers

(1)

In general

Each Job Corps center shall provide enrollees with an intensive, organized, and supervised program of education, including English language acquisition programs, career and technical education and training, work experience, work-based learning, recreational activities, physical rehabilitation and development, and counseling, which may include information about financial literacy. Each Job Corps center shall provide enrollees assigned to the center with access to core services described in section 134(c)(2) and the intensive services described in section 134(c)(3).

(2)

Relationship to opportunities

(A)

In general

The activities provided under this subsection shall be targeted to helping enrollees, on completion of their enrollment—

(i)

secure and maintain meaningful unsubsidized employment;

(ii)

enroll in and complete secondary education or postsecondary education or training programs, including other suitable career and technical education and training, and registered apprenticeship programs; or

(iii)

satisfy Armed Forces requirements.

(3)

Link to employment opportunities

The career and technical education and training provided shall be linked to the employment opportunities in the local area in which the enrollee intends to seek employment after graduation.

;

(2)

in subsection (b)

(A)

in the subsection heading, by striking Education and Vocational and inserting Academic and Career and Technical Education and ;

(B)

by striking education and vocational and inserting career and technical education;

(C)

by striking vocational educational and inserting career and technical educational; and

(D)

by striking or technical institutes and inserting technical institutes, or national service providers;

(3)

in subsection (c)

(A)

by amending paragraph (2) to read as follows:

(2)

Benefits

During the period of participation in an advanced career training program, an enrollee shall be eligible for full Job Corps benefits, or a monthly stipend equal to the average value of the residential support, food, allowances, and other benefits provided to enrollees assigned to residential Job Corps centers.

; and

(B)

in paragraph (3), by striking Each year, and inserting The Secretary shall develop standards by which; and

(4)

by amending subsection (d) to read as follows:

(d)

Graduate services

In order to promote the retention of graduates in employment or postsecondary education, the Secretary shall arrange for the provision of job placement and support services to graduates for up to 12 months after the date of graduation. One-stop partners, may support the provision of these services, including services from the State vocational rehabilitation agency to supplement job placement and job development efforts for Job Corps graduates who are individuals with disabilities.

.

138.

Support

Section 150(b) is amended—

(1)

in the subsection heading, by striking Readjustment allowances and inserting Transition allowances and support ;

(2)

in paragraph (1)

(A)

in the paragraph heading, by striking graduates and inserting allowances for graduates ;

(B)

in the first sentence, by striking readjustment and inserting transition; and

(C)

by striking the second and third sentences, and inserting the following: The transition allowance shall be incentive-based to reflect a graduate’s completion of academic, career and technical education or training, and attainment of recognized postsecondary credentials.; and

(3)

by amending paragraph (2) to read as follows:

(2)

Transition support for former enrollees

The Secretary may arrange for the provision of 3 months of employment services for former enrollees.

.

139.

Community participation

Section 153 is amended—

(1)

by amending subsections (a) and (b) to read as follows:

(a)

Business and community participation

The director of each Job Corps center shall ensure the establishment and development of the business and community networks described in subsection (b) in order to enhance the effectiveness of such centers. At centers where a national training contractor provides career and technical education training, and has direct and long-standing linkages to registered apprenticeship programs or affiliated national employer groups, the national training contractor shall have the lead in maintaining networks with the programs described in clauses (ii) and (iii) of subsections (b)(1)(C).

(b)

Networks

The activities carried out by each Job Corps center under this section shall include—

(1)

establishing and developing relationships and networks with—

(A)

local and distant employers, to the extent practicable, in coordination with other Federal and non-Federal programs that conduct similar outreach to employers;

(B)

applicable one-stop centers and applicable local boards, for the purpose of providing—

(i)

information to, and referral of, potential enrollees; and

(ii)

job opportunities for Job Corps graduates; and

(C)
(i)

youth programs;

(ii)

registered apprenticeship programs, labor-management organizations and local labor organizations;

(iii)

employers and contractors that support national training contractor programs; and

(iv)

community-based organizations, non-profit organizations, and intermediaries providing workforce development-related services; and

(2)

establishing and developing relationships with members of the community in which the Job Corps center is located, informing members of the community about the projects of the Job Corps center and changes in the rules, procedures, or activities of the center that may affect the community, and planning events of mutual interest to the community and the Job Corps center.

; and

(2)

in subsection (c)

(A)

by striking Liaison for and inserting director of a; and

(B)

by striking establish and develop and inserting ensure the establishment and development of.

140.

Industry councils

Section 154 is amended—

(1)

in subsection (a), by striking after consultation with the Liaison; and

(2)

in subsection (b)

(A)

in paragraph (1)(A)(ii), by striking area and inserting areas in which enrollees will be seeking employment;

(B)

by adding after paragraph (2) the following:

(3)

Employers outside of local area

The industry council for a Job Corps center may include, or otherwise provide for consultation with, employers from outside the local area who are likely to hire a significant number of enrollees from the Job Corps center.

(4)

Special rule for single State local areas

In the case of a single State local area designated under section 116(b), the industry council shall include a representative of the State Board.

; and

(C)

in subsection (c), by striking vocational each place it appears and inserting career and technical education and.

141.

Experimental, research, and demonstration projects and College Corps program

(a)

Miscellaneous amendments

Section 156 is amended—

(1)

by striking The Secretary and inserting (a) In general.—The Secretary;

(2)

by striking program and may waive and inserting program. The Secretary may waive; and

(3)

by inserting before the period the following: if the Secretary informs the Committee on Health, Education, Labor, and Pensions of the Senate and the Committee on Education and the Workforce of the House of Representatives, in writing, not less than 90 days in advance of issuing such waiver..

(b)

College Corps

Section 156 is further amended by adding at the end the following new subsection:

(b)

College Corps

(1)

Establishment

The Secretary of Labor and the Secretary of Education shall jointly establish a demonstration project under this section to be known as the College Corps that provide at-risk youth intensive education and skills training in order to prepare such youth for college and for high-skilled employment that can only be achieved with a college degree.

(2)

Selection of sites

The Secretary of Labor and the Secretary of Education shall jointly select sites to participate, on a competitive basis, from among underperforming Jobs Corps centers in areas with low levels of college attainment.

(3)

Eligible operators

The Secretary shall select College Corps center operators on a competitive basis from among nonprofit organizations with prior success operating high-performing, college and career-ready education residential programs for at-risk young people.

(4)

Administration projects

(A)

In general

The Secretary shall administer the College Corps sites in collaboration with the Secretary of Education with the development of an interagency agreement that identifies the duties and responsibilities of the Departments under these projects.

(B)

Partnerships

As part of the interagency agreement, the Secretary of Education will be responsible for partnering with a State or local education agency for the purposes of granting a high school diploma that adheres to college and career ready standards and accessing State and local education dollars.

(C)

Deadline

A grant, contract, or cooperative agreement to operate at least one center shall be awarded to an eligible operative within 1 year from enactment.

(5)

Eligible participants

Individuals eligible to participate in College Corps projects under this subsection shall be low-income youth who are in 6th or 7th grade at the time they begin participation who meet at least two of the following criteria:

(A)

Have a record of suspensions, office referrals, or chronic truancy.

(B)

Have failed to achieve proficiency on State assessment in mathematics, reading, or both.

(C)

Live in a household that is headed by a single parent or non-custodial parent.

(D)

Is homeless or is a foster child.

(E)

Live in a household that is public housing or receives public housing assistance.

(F)

Have an immediate family member who is or has been incarcerated.

.

142.

Technical amendment

Section 158(c)(1) is amended by striking title II of the Federal Property and Administrative Services Act of 1949 ( 40 U.S.C. 481 et seq. ) and inserting chapter 5 of title 40, United States Code,.

143.

Performance accountability and management

Section 159 is amended—

(1)

in the section heading, by striking management information and inserting Performance accountability and management ; and

(2)

by striking subsections (c) through (f), redesignating subsection (g) as subsection (j), and inserting after subsection (b) the following:

(c)

Information on indicators of performance

(1)

Levels of performance and indicators

The Secretary shall annually establish expected levels of performance for Job Corps centers and the Job Corps program relating to each of the primary indicators of performance for eligible youth activities described in section 136(b)(2)(A)(ii).

(2)

Performance of recruiters

The Secretary shall also establish performance indicators, and expected performance levels on the performance indicators, for recruitment service providers serving the Job Corps program. The performance indicators shall relate to the number of enrollees recruited, compared to the established goals for such recruitment, and the number of enrollees who remain committed to the program for 90 days after enrollment.

(3)

Performance of career transition service providers

The Secretary also shall establish performance indicators, and expected levels of performance for such indicators, for local and national career transition service provides serving the Job Corps program. The performance indicators shall include the number of graduates and former enrollees—

(A)

who entered an unsubsidized employment related to the training they received at Job Corps and their average wage; and

(B)

who entered other types of unsubsidized employment, the military, postsecondary education, or advanced training programs, including registered apprenticeship programs, and their average wage, if applicable.

(4)

Report

The Secretary shall collect, and annually submit to the Committee on Health, Education, Labor, and Pensions of the Senate and the Committee on Education and the Workforce of the House of Representatives, a report containing—

(A)

information on the performance of each Job Corps center, and the Job Corps program, on the performance indicators described in paragraph (1), as compared to the expected level of performance established under such paragraph for each performance accountability measure; and

(B)

information on the performance of the service providers described in paragraph (2) on the performance indicators established under such paragraph, as compared to the expected performance levels for the performance indicators.

(d)

Additional information

(1)

In general

The Secretary shall also collect, and submit in the report described in subsection (c), information on the performance of each Job Corps center, and the Job Corps program, regarding—

(A)

the number of enrollees entering and completing by field of education or training;

(B)

demographic information on the enrollees served, including age, race, gender, and education and income level;

(C)

the number of graduates who entered the Armed Forces;

(D)

the number of graduates who entered unsubsidized employment related to the career and technical education and training received through the Job Corps program and the number who entered unsubsidized employment not related to the education and training received;

(E)

the starting hourly wages of graduates and whether they receive other forms of compensation and benefits;

(F)

the number and percentage of former enrollees, including the number dismissed under the zero tolerance policy described in section 152(b); and

(G)

any additional information required by the Secretary.

(2)

Rules for reporting of data

The disaggregation of data under this subsection shall not be required when the number of individuals in a category is insufficient to yield statistically reliable information or when the results would reveal personally identifiable information about an individual.

(e)

Methods

The Secretary shall collect the information described in subsections (c) and (d), using methods described in section 136(i)(2) and consistent with State law, by entering into agreements with the States to access such data for Job Corps enrollees, former enrollees, and graduates.

(f)

Performance assessments and improvements

(1)

Assessments

The Secretary shall conduct an annual assessment of the performance of each Job Corps center. Based on the assessment, the Secretary shall take measures to continuously improve the performance of the Job Corps program.

(2)

Performance improvement

With respect to a Job Corps center that fails to meet the expected levels of performance relating to the primary indicators of performance specified in subsection (c)(1), the Secretary shall develop and implement a performance improvement plan. Such a plan shall require action to be taken during a one-year period, including—

(A)

providing technical assistance to the center;

(B)

changing the career and technical education and training offered at the center;

(C)

changing the management staff of the center;

(D)

replacing the operator of the center;

(E)

reducing the capacity of the center;

(F)

relocating the center; or

(G)

closing the center.

(3)

Additional performance improvement

In addition to the performance improvement plans required under paragraph (2), the Secretary may develop and implement additional performance improvement plans. Such a plan shall require improvements, including the actions described in such paragraph, for a Job Corps center that fails to meet criteria established by the Secretary other than the expected levels of performance described in such paragraph.

(4)

Civilian conservation centers

With respect to a Civilian Conservation Center that fails to meet the expected levels of performance relating to the primary indicators of performance specified in subsection (c)(1), or fails to improve performance as described in paragraph (2), the Secretary, in consultation with the Secretary of Agriculture, may select an entity to operate a Civilian Conservation Center on a competitive basis, in accordance with the requirements of section 147(a)(2)(B).

(g)

Participant health and safety

The Secretary shall require that an entity that has entered into a contract with a Job Corps operator to provide work-based learning activities for any Job Corps enrollee under this subtitle shall comply with the Occupational Safety and Health Act of 1970 ( 20 U.S.C. 651 et seq. ) or, as appropriate, under the corresponding State Occupational Safety and Health Act of 1970 requirements in the State in which such activities occur.

(h)

Buildings and facilities

The Secretary shall collect, and submit in the report described in subsection (c), information regarding the state of Job Corps buildings and facilities. Such report shall include—

(1)

a review of requested construction, rehabilitation, and acquisition projects, by each Job Corps center; and

(2)

a review of new facilities under construction.

(i)

National and community service

The Secretary shall include in the report described in subsection (c) available information regarding the national and community service activities of enrollees, particularly those enrollees at Civilian Conservation Centers.

.

144.

Authorization of appropriations

Section 161 is amended by striking fiscal years 1999 through 2003 and inserting fiscal years 2013 through 2017.

D

National Programs

151.

Native American programs

Section 166 is amended—

(1)

in subsection (a)(1)(B), by inserting and to equip them with the entrepreneurial skills necessary for successful self-employment after workforce;

(2)

in subsection (c)(2), by adding at the end the following: The Secretary may exercise the waiver authority of the preceding sentence not more than once during any 4-year period with respect to any single recipient.;

(3)

in subsection (d)

(A)

in paragraph (1)(B)

(i)

by inserting Alaska Natives after Indians;

(ii)

by striking unsubsidized; and

(iii)

by inserting leading to self-sufficiency and the development of the academic, occupational, and literacy skills of such individuals before the period; and

(B)

in paragraph (2)

(i)

in subparagraph (A)(i), by inserting , including training on entrepreneurial skills before the semicolon; and

(ii)

in subparagraph (A)(ii), by inserting Alaska Native after Indian;

(4)

in subsection (e)

(A)

in paragraph (3)

(i)

by striking unsubsidized; and

(ii)

by inserting leading to self-sufficiency before the semicolon; and

(B)

in paragraph (5)

(i)

by inserting accountability after performance; and

(ii)

by inserting , which shall include the primary indicators of performance described in section 136(b)(2)(A) and expected levels of performance for such indicators, in accordance with subsection (h) before the period;

(5)

by redesignating subsections (h) through (j) as subsections (i) through (k), respectively, and inserting after subsection (g) the following new subsection:

(h)

Performance Accountability Measures

(1)

Additional performance indicators and standards

(A)

Development of indicators and standards

The Secretary, in consultation with the Native American Employment and Training Council, shall develop a set of performance indicators and standards that is in addition to the primary indicators of performance described in section 136(b)(2)(A) and that shall be applicable to programs under this section.

(B)

Special considerations

Such performance indicators and standards shall take into account—

(i)

the purpose of this section as described in subsection (a)(1);

(ii)

the needs of the groups served by this section, including the differences in needs among such groups in various geographic service areas; and

(iii)

the economic circumstances of the communities served, including differences in circumstances among various geographic service areas.

(C)

Agreement on adjusted levels of performance

The Secretary and the entity described in subsection (c) shall reach agreement on the levels of performance for each of the primary indicators of performance described in section 136(b)(2)(A), taking into account economic conditions, characteristics of the individuals served, and other appropriate factors and using, to the extent practicable, the statistical adjustment model under section 136(b)(3)(A)(viii). The levels agreed to shall be the adjusted levels of performance and shall be incorporated in the program plan.

;

(6)

in subsection (i) (as so redesignated)—

(A)

in paragraph (2)(A)

(i)

by striking performance measures and inserting regulations relating to the performance accountability measures; and

(ii)

by striking such subsection, taking into account the economic circumstances of such entities and inserting this section; and

(B)

in paragraph (4)(A), by inserting and to provide the advice described in subparagraph (C) before the period; and

(7)

in subsection (k) (as so redesignated)—

(A)

in paragraph (1) by striking American Samoans who reside in Hawaii for the co-location of federally funded and State-funded and inserting the Cook Inlet Tribal Council, Incorporated, and the University of Hawaii at Maui, for the unique populations who reside in Alaska or Hawaii, respectively, to improve job training and; and

(B)

in paragraph (2), by striking fiscal year 1999 and inserting each of fiscal years 2013 through 2017.

152.

Migrant and seasonal farmworker programs

Section 167 is amended—

(1)

in subsection (b)

(A)

by inserting and deliver after administer; and

(B)

by inserting workforce investment after including youth;

(2)

in subsection (c)

(A)

in paragraph (2)

(i)

in subparagraph (A)

(I)

by striking identify and inserting describe the population to be served and identify; and

(II)

by inserting , including upgraded employment in agriculture before the semicolon;

(ii)

in subparagraph (B), by striking ; and and inserting a semicolon;

(iii)

in subparagraph (C)

(I)

by striking indicators of performance and inserting performance accountability measures; and

(II)

by inserting , which shall include the expected levels of performance for the primary indicators of performance described in section 136(b)(2)(A) before the semicolon; and

(iv)

by inserting after subparagraph (C) the following new subparagraphs:

(D)

describe the availability and accessibility of local resources such as supportive services, services provided through one-stop delivery systems, and education and training services, and how the resources can be made available to the population to be served; and

(E)

describe the plan for providing services under this section, including strategies and systems for outreach, career planning, assessment, and delivery through one-stop delivery systems.

;

(B)

by redesignating paragraphs (3) and (4) as paragraphs (4) and (5), respectively, and inserting after paragraph (2) the following new paragraph:

(3)

Agreement on adjusted levels of performance

The Secretary and the entity described in subsection (b) shall reach agreement on the levels of performance for each of the primary indicators of performance described in section 136(b)(2)(A), taking into account economic conditions, characteristics of the individuals served, and other appropriate factors, and using, to the extent practicable the statistical adjustment model under section 136(b)(3)(A)(viii). The levels agreed to shall be the adjusted levels of performance and shall be incorporated in the program plan.

; and

(C)

in paragraph (5)(B) (as so redesignated)—

(i)

by striking grant or contract the first place it appears and inserting grant, contract, or agreement;

(ii)

by striking under the terms of the grant agreement or contract;

(iii)

by striking requirement and inserting requirements;

(iv)

by striking plan described in paragraph (1) and inserting program plan; and

(v)

by striking grant or contract the second place it appears and inserting period of the grant, contract, or agreement;

(3)

by amending subsection (d) to read as follows:

(d)

Authorized activities

Funds made available under this section and section 127 shall be used to carry out workforce investment activities (including youth workforce investment activities) and provide related assistance for eligible migrant and seasonal farmworkers, which may include—

(1)

outreach, employment, training, educational assistance, literacy assistance, English language and literacy instruction, pesticide and worker safety training, housing (including permanent housing), supportive services, and school dropout prevention activities;

(2)

followup services for those individuals placed in employment;

(3)

self-employment and related business or micro-enterprise development education as needed by eligible individuals as identified pursuant to the plan required by subsection (c);

(4)

customized career and technical education in occupations that will lead to higher wages, enhanced benefits, and long-term employment in agriculture or another area; and

(5)

technical assistance to improve coordination of services and implement best practices relating to service delivery through one-stop delivery systems.

;

(4)

by amending subsection (f) to read as follows:

(f)

Regulations

The Secretary shall establish regulations to carry out this section, including regulations relating to how economic and demographic barriers to employment of eligible migrant and seasonal farmworkers should be considered and included in the negotiations leading to the adjusted levels of performance described in subsection (c).

;

(5)

in subsection (g), by striking (enacted by the Single Audit Act of 1984); and

(6)

by amending subsection (h) and deleting subsection (i) to read as follows:

(h)

Funding allocation

From the funds appropriated and made available to carry out this section, the Secretary may reserve not more than 1 percent for national purposes, such as providing technical assistance to eligible entities.

.

153.

Veterans workforce investment programs

Section 168 is amended—

(1)

in subsection (a)(3)(A), by inserting , including services provided by one-stop operators and one-stop partners before the semicolon;

(2)

in subsection (b)(2)(A), by inserting accountability after performance; and

(3)

by adding at the end of subsection (b) the following new paragraph:

(3)

Performance accountability measures

In carrying out the responsibilities relating to performance accountability measures described in paragraph (2)(A), the Assistant Secretary for Veterans’ Employment and Training shall, for each grant or contract under this section providing education, training, or employment services to veterans, include among such measures the primary indicators of performance described in section 136(b)(2)(A)(i) and adjusted levels of performance for each such indicator that are agreed to by the Assistant Secretary and the recipient of the grant or contract.

.

154.

Repeal

Section 169 is repealed.

155.

Technical assistance

Section 170 is amended by adding at the end the following new subsection:

(c)

Promising and proven practices coordination

Consistent with the identification and dissemination of promising and proven practices under subtitle B of title I, the Secretary shall—

(1)

establish a system through which States and local areas share information regarding promising and proven practices with regard to the operation of workforce investment activities under this Act;

(2)

evaluate and disseminate information regarding such promising and proven practices and identify knowledge gaps; and

(3)

commission research under section 170(c) to address knowledge gaps identified under paragraph (2).

.

156.

Innovation projects

Section 171 is amended—

(1)

in the section heading, by striking Demonstration, pilot, Multiservice, research and multistate projects and inserting Innovation projects ;

(2)

by amending subsections (b) and (c) to read as follows:

(b)

Innovation projects

(1)

In general

The Secretary shall, through grants or contracts, carry out demonstration and pilot projects that are consistent with the priorities specified in the plan published under subsection (a) and that are for the purposes of developing and implementing techniques and approaches, and demonstrating the effectiveness of specialized methods, in addressing employment and training needs. Such projects shall—

(A)

include the provision of direct services to individuals;

(B)

be subject to measures of performance that include the primary indicators of performance described in section 136(b)(2)(A) as well as other appropriate indicators; and

(C)

include an evaluation component as appropriate to the program design.

(2)

Types of projects

Such projects may include—

(A)

projects that assist employers in connecting with the workforce investment system established under this Act in order to facilitate the recruitment, employment, and retention of workers for jobs with career pathways and to provide information to such system on skills and high-growth occupations;

(B)

projects that focus on opportunities for employment in industries and sectors of industries that are experiencing, or are likely to experience, high rates of growth, including health care and advanced manufacturing sectors, and have jobs with wages and benefits leading to economic self-sufficiency;

(C)

projects that focus on local partnerships of industry, labor, community colleges, area career and technical education centers community-based organizations, and economic development organizations, to promote opportunities for dislocated workers and long-term unemployed to receive training and related services for employment and access to career ladders in high-demand sectors;

(D)

projects to determine the feasibility of, and potential means to replicate, measuring the compensation, including the wages, benefits, and other incentives provided by an employer, received by program participants by using data other than or in addition to data available through wage records, for potential use as a performance indicator;

(E)

projects to develop and implement promising or proven approaches and technologies, including the use of distance education and activities to increase the digital literacy of older individuals, in order to deliver employment related, work-based training services and recognized postsecondary credentials;

(F)

projects that provide retention grants, which grants shall—

(i)

be provided to job training and apprenticeship programs that have demonstrated expertise in serving low-income individuals and that offer instruction, assessment, and professional coaching, for each low-income individual who is retained in such employment with such employer for a period of 1 year; and

(ii)

be provided taking into account the economic benefit received by the Federal Government from the employment and retention of the individual, including the economic benefit from tax revenue and decreased public subsidies;

(G)

projects utilizing a pay-for-performance approach for providers of education, training, and employment services to individuals with barriers to employment, including services targeted to addressing the specific challenges and conditions that have created barriers for participants in programs under this Act;

(H)

projects that provide comprehensive education and training services, and support services, in coordination with local boards, for populations in targeted high poverty areas where the greatest barriers to employment exist, including ex-offenders, out-of-school youth, and public assistance recipient populations; and

(I)

projects that seek to replicate exemplary youth programs that have demonstrated effectiveness in 2 or more noncontiguous local areas in preparing youth for success in the workforce.

(3)

Conditions

(A)

Competitive awards

Grants or contracts awarded for carrying out demonstration and pilot projects under this subsection shall be awarded on a competitive basis and in accordance with generally applicable Federal requirements.

(B)

Time limits

The Secretary shall establish appropriate time limits for carrying out demonstration and pilot projects under this subsection.

; and

(3)

in subsection (e)(7), by striking (Public Law 109–58) and inserting (42 U.S.C. 15852).

157.

Workforce and youth innovation and best practices grants

The Workforce Investment Act of 1998 is further amended by inserting after section 171 the following new sections:

171A.

Workforce innovation and best practices grants

(a)

Purpose

It is the purpose of this section to—

(1)

promote the development of comprehensive workforce investment systems at the State, regional, and local levels that reflect the alignment of strategies and activities across the core programs and, where appropriate, across other workforce development, education, economic development, and human services programs, to provide effective, high quality, and client-centered services to job seekers and workers, youth, and employers;

(2)

promote innovation and to improve, replicate, and expand models and service delivery strategies of demonstrated effectiveness in meeting the education, training, and employment needs of job seekers and workers, and youth, including such individuals with barriers to employment, and employers; and

(3)

establish and improve programs for youth that provide access to career pathways that include the attainment of a recognized postsecondary credential or employment that leads to economic self-sufficiency.

(b)

Program authorized

From amounts appropriated to carry out this section, the Secretary of Labor and the Secretary of Education, in accordance with section 176, shall—

(1)

for the first program year that begins after the date of enactment of the Workforce Investment Act of 2013 , award transition grants in accordance with section 175; and

(2)

with funds not awarded for transition grants under paragraph (1) for the first program years that begins after the date of enactment of the Workforce Investment Act of 2013 , and for subsequent years, award workforce innovation and best practices grants to eligible entities in accordance with subsection (c).

(c)

Workforce innovation and best practices grants to eligible entities

(1)

In general

From funds described in subsection (b)(1), the Secretary of Labor and the Secretary of Education shall award workforce innovation and replication grants on a competitive basis to eligible entities in accordance with paragraph (2) to be used for the purposes set forth in subsection (a).

(2)

Eligible entities

(A)

In general

To be eligible to receive a grant under this subsection, a State partnership or regional entity shall meet the requirements of this paragraph, submit an application in accordance with subsection (e), and be in partnership with one or more of the following:

(i)

A nonprofit organization with relevant expertise, including a community-based organization.

(ii)

An institution of higher education, including a community college.

(iii)

A joint labor-management partnership.

(B)

State partnership

For a State partnership to be eligible for funding under this subsection, a Governor of a State shall—

(i)

submit the application in partnership with the State board and with 1 or more regional entities in the State described in subparagraph (C); and

(ii)

demonstrate that the State has—

(I)

aligned the core programs;

(II)

made significant progress towards aligning the core programs with other workforce investment programs; and

(III)

achieved the alignments described in subclauses (I) and (II) consistent with the State plan.

(C)

Regional entities

To be identified as a regional entity and to be eligible for funding under this subsection, a local board for a local area that is aligned with a region, or all of the local boards for local areas that comprise a planning region under section 116(c), shall demonstrate that—

(i)

the application has been developed in consultation with the State and is not duplicative of other applications under this subsection submitted by a State partnership; and

(ii)

the local board, or all of the local boards for the planning region, has—

(I)

worked with the core programs to achieve alignment of such programs in the region;

(II)

made significant progress towards aligning the core programs with other workforce investment programs in the region; and

(III)

achieved the alignments described in subclauses (I) and (II) consistent with the State plan.

(d)

Types of Grants authorized

(1)

In general

From amounts appropriated to carry out this section, the Secretary of Labor and the Secretary of Education shall award eligible entities one or more of the following:

(A)

Planning grant

The Secretary of Labor and the Secretary of Education may award a planning grant under this section, not to exceed a total of $250,000 for a 1-year period, to an eligible entity that—

(i)

is preparing to establish an innovative workforce investment project; and

(ii)

has not received a grant under this section.

(B)

Innovation grant

The Secretaries may award an innovation grant under this section, not to exceed a total of $3,000,000 for a 2-year period to an eligible entity that—

(i)

has already received a planning grant under this section; or

(ii)

has already established an innovative workforce investment project.

(C)

Sustainability grant

The Secretaries may award a sustainability grant, not to exceed a total of $2,000,000 for a 2-year period or $5,000,000 for a 5-year period, to an eligible entity that—

(i)

has established an innovative workforce investment project that has demonstrated measurable improvements as measured by the performance measures set forth in section 136; and

(ii)

seeks to expand or replicate that project on the State, local, or regional level.

(2)

Federal and non-Federal share

The Federal share for the grants described in paragraph (1) shall be—

(A)

for a planning grant described in paragraph (1)(A), 100 percent;

(B)

for an innovation grant described in paragraph (1)(B)

(i)

90 percent of the costs of the activities carried out under the grant, in the first year of the grant;

(ii)

80 percent of such costs in the second year of the grant; and

(iii)

70 percent of such costs in the third year of the grant; and

(C)

for a sustainability grant described in paragraph (1)(C)

(i)

for an eligible entity that receives a 2-year grant—

(I)

not more than 50 percent of the costs of the activities carried out under the grant, in the first year of the grant; and

(II)

not more than 30 percent of such costs in the second year of the grant; and

(ii)

for an eligible entity that receives a 5-year grant—

(I)

not more than 70 percent of the costs of the activities carried out under the grant, in the first year of the grant;

(II)

not more than 60 percent of such costs in the second year of the grant;

(III)

not more than 50 percent of such costs in the third year of the grant;

(IV)

not more than 40 percent of such costs in the fourth year of the grant; and

(V)

not more than 30 percent of such costs in the fifth year of the grant.

(3)

Non-Federal share

The non-Federal share of an innovation or sustainability grant under this section may be in cash or in-kind, and may come from State, local, philanthropic, private, or other resources.

(4)

Financial hardship waiver

The Secretary of Labor and the Secretary of Education may waive or reduce the matching share of an eligible entity that has submitted an application under this subsection if such entity demonstrates a need for such waiver or reduction due to financial hardship as defined by the Secretary of Labor and the Secretary of Education.

(5)

Fiscal agent

Each eligible entity that is a State consortia or partnership receiving a grant under this subsection shall designate an entity in the partnership as the fiscal agent for purposes of this grant.

(6)

Supplement not supplant

Federal funds awarded under this section shall be used to supplement, not supplant non-Federal resources that would be used to support activities carried out as part of the innovative workforce investment project.

(7)

Grant period

(A)

Planning grants

Grants awarded under paragraph (1)(A) shall be made for a period of not longer than 1 year.

(B)

Innovation grant

Grants awarded under paragraph (1)(B) shall be made for a period of no longer than 3 years.

(C)

Sustainability grant

Grants awarded under paragraph (1)(C) shall be made for a period of no longer than 5 years.

(e)

Application

An eligible entity seeking a grant under this section shall submit an application to the Secretary of Labor and the Secretary of Education at such time, in such manner, and containing such information as the Secretary of Labor and the Secretary of Education may require. An application submitted under this paragraph may include the following:

(1)

A description of the eligible entity, evidence of the eligible entity’s capacity to carry out activities in support of the strategic objectives identified in the application under paragraph (4), and, if the eligible entity is a partnership, a description of the expected participation and responsibilities of each of the partners.

(2)

A description of the industry or targeted industry cluster that will be served through the project, including a description of how the skilled workforce needs of small- and medium-sized employers connected with that industry or industries will be addressed.

(3)

A description of the target worker populations to be served through the project, including a description of target worker populations with significant barriers to employment and a description of strategies that will be used to help overcome such barriers.

(4)

A description of the strategic objectives that the eligible entity seeks to achieve through the funded project for—

(A)

implementing career pathways strategies, which may include—

(i)

providing clear linkages between remedial, academic and occupational programs within educational institutions, and articulation of credits across institutions;

(ii)

designing curricula in terms of competencies required for education and career advancement, and, where possible, tied to industry skill standards, certifications or licensing requirements including those developed by industry or sector partnerships;

(iii)

offering programs at times and places (including workplaces) convenient for working adults and structured in small modules or chunks, each leading to recognized credential;

(iv)

allowing flexibility to enter and exit education as participants’ circumstances permit;

(v)

providing support services, including career assessment and counseling, case management, child care, transportation, financial aid and job placement;

(vi)

creating bridge programs for educationally disadvantaged youths and adults that teach basic skills such as office communication, math and problem solving in the context of training for advancement to better jobs and postsecondary training; and

(vii)

aligning both public and private funding sources, such as the Carl D. Perkins Career and Technical Education Act, Workforce Investment Act, Adult Education and Family Literacy Act, Temporary Assistance to Needy Families, State and Federal financial aid, and employer tuition reimbursement;

(B)

implementing industry or sector partnerships, which may include—

(i)

recruiting key stakeholders in the targeted industry cluster, such as multiple businesses and employers, labor organizations, local boards, and education and training providers, and regularly convening the stakeholders in a collaborative structure that supports the sharing of information, ideas, and challenges common to the targeted industry cluster;

(ii)

identifying the training needs of multiple businesses, especially skill gaps critical to competitiveness and innovation in the targeted industry cluster;

(iii)

facilitating economies of scale by aggregating training and education needs of multiple employers;

(iv)

helping postsecondary educational institutions, training institutions, apprenticeship programs, area career and technical education centers, and all other training programs authorized under this Act, align curricula, entrance requirements and programs to industry demand and nationally portable, recognized postsecondary credentials (or, if not available for the targeted industry, other credentials, as determined appropriate by the Secretary), particularly for higher skill, high-priority occupations validated by the industry;

(v)

ensuring that the State agency carrying out the State program under the Wagner-Peyser Act (29 U.S.C. 49 et seq.), including staff of the agency that provide services under such Act, shall inform recipients of unemployment insurance of the job and training opportunities that may result from the implementation of this grant;

(vi)

informing and collaborating with organizations such as youth councils, business-education partnerships, apprenticeship programs, secondary schools, and postsecondary educational institutions, and with parents and career counselors, for the purpose of addressing the challenges of connecting disadvantaged adults and disadvantaged youth as defined in section in this Act to careers;

(vii)

helping companies identify, and work together to address, common organizational and human resource challenges, such as—

(I)

recruiting new workers;

(II)

implementing effective workplace practices;

(III)

retraining dislocated and incumbent workers;

(IV)

implementing a high-performance work organization;

(V)

recruiting and retaining women in nontraditional occupation;

(VI)

adopting new technologies; and

(VII)

fostering experiential and contextualized on-the-job learning;

(viii)

developing and strengthening career ladders within and across companies, in order to enable dislocated, incumbent and entry-level workers to improve skills and advance to higher-wage jobs;

(ix)

improving job quality through improving wages, benefits, and working conditions;

(x)

helping partner companies, industry or sector partnerships to attract potential employees from a diverse job seeker base, including individuals with barriers to employment (such as job seekers who are low income, youth, older workers, and individuals who have completed a term of imprisonment), by identifying such barriers through analysis of the existing labor market and implementing strategies to help such workers overcome such barriers; and

(xi)

strengthening connections among businesses in the targeted industry cluster, leading to cooperation beyond workforce issues that will improve competitiveness and job quality, such as joint purchasing, market research, or centers for technology and innovation; and

(C)

implementing credential attainment and measurement strategies, which may include—

(i)

establishing a cross agency committee (such as the State workforce investment board, a legislative task force, a P–20 Council, or some other agreed upon group) that is specifically focused on low and middle skill education and training outcomes to measure credential attainment through the State’s workforce investment and training programs, by—

(I)

tracking, counting, measuring and public reporting credential attainment rates for all programs providing education and training beyond a high school diploma but less than a 4-year degree;

(II)

measuring the result of workforce training programs leading to an recognized postsecondary credential, certificate of degree;

(III)

establishing statewide policies, goals, and guidelines for the collection of credential outcome data for all employment and training programs and related programs and services within the State;

(IV)

engaging other related departments and agencies that may have data or are involved in activities related to workforce development and job training;

(V)

establishing standards and data collection infrastructure to assess the number of industry-recognized middle skill credentials or certificates produced through Federal or State programs, and their relation to labor market needs;

(VI)

setting credential attainment goals in high demand industry sector then monitor and measure progress over time; and

(VII)

providing an annual assessment and report to the Governor and Legislature about the type of credential outcomes produced by programs and provide recommendations to better align efforts across agencies to meet employer demand;

(ii)

ensuring the collection of credential outcome data from a range of public workforce and education programs to ensure State agencies and programs are increasing the number of workers with the skills and credentials needed to fill the projected demand for middle and high skilled jobs;

(iii)

using the data in order to assess workforce system outcomes, establish credential attainment goals, measure progress, and hold agencies accountable to increase the skills of the workforce; and

(iv)

developing a comprehensive workforce system report that provides individual agency outcomes and statewide representation of the credential attainment outcomes of the State’s workforce investment system.

(5)

A description of a pay-for-performance approach for providers of education, training, and employment services to individuals with barriers to employment, including services targeted to addressing the specific challenges and conditions that have created barriers for participants in programs under this Act.

(f)

Award basis

(1)

Geographic distribution

The Secretary of Labor and the Secretary of Education shall award competitive grants under this section in a manner to ensure geographic diversity.

(2)

Priorities

In awarding grants under this section, the Secretaries shall give priority to eligible entities that—

(A)

provide evidence of past or current investments in workforce innovation projects that incorporate one or more of the priority strategies;

(B)

focus on addressing the skill needs of multiple employers, including small- and medium-sized businesses; or

(C)

target services to low-income individuals, low-skill individuals, long-term unemployed, and other populations with barriers to employment.

(g)

Activities

(1)

In general

An eligible entity receiving a grant under this section shall carry out the activities necessary to meet the strategic objectives, including planning activities if applicable, described in the entity’s application in a manner that—

(A)

integrates services and funding sources in a way that enhances the effectiveness of the activities; and

(B)

uses grant funds awarded under this section efficiently.

(2)

Administrative costs

An eligible entity may retain a portion of a grant awarded under this section for a fiscal year to carry out the administration of this section in an amount not to exceed 5 percent of the grant amount.

(h)

Evaluation and progress reports

(1)

In general

Not later than 1 year after receiving a grant under this section, and annually thereafter during the grant period, an eligible entity shall report to the Secretary of Labor and the Secretary of Education, and to the Governor of the State that the eligible entity serves, on the spending and activities funded pursuant to a grant under this section, including an evaluation of the progress the eligible entity has made toward the strategic objectives identified in the application and measure the progress using the performance accountability measures identified in the application.

(2)

Public availability

The Secretary shall transmit such reports to the Congress and make such reports available to the public.

(i)

Administration by the Secretaries

(1)

Administrative costs

The Secretaries may jointly retain a total of not more than 3 percent of the funds appropriated to carry out this section for each fiscal year to administer this section, including technical assistance and evaluation activities.

(2)

Technical assistance and oversight

The Secretaries shall provide technical assistance and oversight to assist the eligible entities in applying for and administering grants awarded under this section, including technical assistance and through the collection and dissemination of information on best practices.

(3)

Performance accountability measures

The Secretaries shall issue a range of performance measures, with quantifiable benchmarks, and methodologies that eligible entities may use to evaluate the effectiveness of each type of activity in making progress toward the strategic objectives described in the application. Such measures shall consider the benefits of the innovative workforce development projects and its activities for workers, firms, industries, and communities.

(4)

Dissemination

The Secretaries shall—

(A)

coordinate the annual review of each eligible entity receiving a grant under this section and produce an overview report that, at a minimum, includes each funded project and best practices identified;

(B)

make resource materials, including all reports published and all data collected under this section, available on the Internet; and

(C)

conduct conferences and seminars to—

(i)

disseminate information on best practices developed by eligible entities receiving a grant under this section; and

(ii)

provide information to interested stakeholders.

(5)

Report to Congress

Not later than 24 months after the date of enactment of the Workforce Investment Act of 2013 and on an annual basis thereafter, the Secretaries shall transmit a report to Congress on the grant program established by this section. The report shall include a description of—

(A)

the eligible entities receiving funding;

(B)

the spending and activities carried out by the eligible entities;

(C)

how the eligible entities were selected to receive funding under this section; and

(D)

an assessment of the results achieved by the grant program including findings from the annual reviews conducted under subsection (i).

171B.

Youth Innovation and best practices grants

(a)

Program authorized

(1)

In general

The Secretary of Labor and the Secretary of Education, shall—

(A)

for the first program year that begins after the date of enactment of the Workforce Investment Act of 2012, award transition grants in accordance with section 176; and

(B)

with funds not awarded for transition grants under paragraph (1) for the first program year that begins after the date of enactment of the Workforce Investment Act of 2012, and with the funds reserved for each program year thereafter, award youth innovation and replication grants to eligible entities described in subsection (c) for the purposes described in subsection (b).

(b)

Authorization and purpose of grants

(1)

In general

From funds appropriated pursuant to section 174, the Secretary of Labor and the Secretary of Education shall award youth innovation and replication grants on a competitive basis to eligible entities described in subsection (c).

(2)

Use of funds

The grants awarded under this section shall be used to support the demonstration of innovative new strategies and activities, or the replication and expansion of effective evidence-based strategies and activities that are designed to substantially improve education and employment outcomes for eligible youth, including preparation for post secondary education and training and for careers. Such strategies and activities shall include—

(A)

establishing career pathways in in-demand industry sectors and occupations for eligible youth, in collaboration with other Federal, State, and local programs, and public and private entities;

(B)

developing and implementing a comprehensive strategy, for an area of high poverty, that provides education and training programs, resources, and other activities that prepare youth for postsecondary education and training and for employment that leads to economic self-sufficiency;

(C)

developing and implementing strategies and activities that provide opportunities for youth with disabilities to receive education, training, and employment services that lead to a recognized postsecondary credential or integrated, competitive employment, including through incorporating elements of the individualized education program and related services under the Individuals with Disabilities in Education Act;

(D)

developing and implementing evidence-based strategies and activities, such as—

(i)

education offered concurrently and contextually with workforce preparation and training for a specific occupation or occupational cluster;

(ii)

career academies;

(iii)

dropout prevention and recovery strategies;

(iv)

paid or unpaid work experience, including summer employment opportunities and employment opportunities available throughout the school year, combined with academic learning leading to a recognized postsecondary credential;

(v)

innovative programs for youth facing multiple barriers to employment that arrange for the provision of or provide supportive services combined with education, training, including preparation for postsecondary education and training, or employment activities; or

(vi)

to include youth service and conservation corps programs in which a project undertaken is credited as qualifying experience for higher education, job training, or careers in public service; or

(E)

other evidence-based strategies or activities designed to improve the education and employment outcomes for youth.

(c)

Eligible entities and application

(1)

Eligible entities

An entity eligible to receive a grant under this section shall include—

(A)
(i)

the Governor of a State in coordination with the State board and with a local board for a local area that is aligned with a region, or with all boards for local areas that comprise a planning region, under section 116(c); or

(ii)

a local board for a local area that is aligned with a region, or all local boards for local areas that comprise a planning region, under section 116(c), in consultation with the standing committee on youth associated with the local board; and

(B)

one or more of the following:

(i)

A State education agency.

(ii)

A local education agency.

(iii)

A nonprofit organization with expertise serving eligible youth, including a community-based organization, youth corps, or an intermediary.

(iv)

An institution of higher education, including a community college and an area career and technical education center.

(v)

A joint labor-management partnership.

(2)

Application

To receive a grant under this subsection, an eligible entity shall submit an application to the Secretary of Labor and the Secretary of Education at such time, in such manner, and containing such information, consistent with this paragraph, as the Secretaries may require. Each such application shall describe the innovation and replication strategies and activities that the eligible entity will carry out to strengthen the workforce investment system in the State or region in order to substantially improve education and employment outcomes for youth, such as youth with disabilities, served by such system, and may include—

(A)

a description of the region in the State or the State, as applicable, that will be the focus of grant activities, including analyses of economic conditions, skill needs, the workforce, and the workforce development services (including the strengths and weaknesses of such services and the capacity to provide such services) that are relevant to the proposed strategies and activities that would be carried out under the grant;

(B)

a description of the youth populations to be served, including individuals with barriers to employment who are youth, and the skill needs of those populations;

(C)

a description of the promising strategies and activities the eligible entity is proposing to demonstrate, or the evidence-based strategies and activities that the eligible entity is proposing to expand or replicate;

(D)

a description of how the eligible entity will meaningfully involve youth in the design and implementation of the proposed strategies and activities;

(E)

a description of how, in carrying out such strategies and activities, the eligible entity will—

(i)

collaborate to leverage resources among strategic partners to achieve the purposes of the grant, and to provide the matching share described in subsection (d)(2); and

(ii)

ensure the sustainability of the programs and activities supported by the grant after grant funds are no longer available;

(F)

a description of how the strategies and activities will be aligned with the State plan and the local plans in the region of the State that will be the focus of grant activities;

(G)

a description of the outcomes, including outcomes for the performance accountability measures based on indicators of performance described in section 136(b)(2)(A)(ii), to be achieved by the proposed strategies and activities; and

(H)

a description of how the eligible entity will—

(i)

use technology;

(ii)

collect data;

(iii)

made data publicly available; and

(iv)

use technology and date to improve program delivery, activities, and administration.

(d)

Matching funds requirements

(1)

Innovation fund share

The amount of the share of the funds provided under this section shall be not greater than 50 percent of the cost of the programs and activities that are carried out under the grant.

(2)

Matching share

(A)

In general

(i)

Amount

The amount of the matching share under this subsection for a program year may not be less than 50 percent of the costs of the programs and activities that are carried out under the grant.

(ii)

In cash or kind

The matching share may be in cash or in kind (fairly evaluated).

(iii)

Sources

Not more than 50 percent of the matching share required under this subsection may be provided from Federal resources, of which not less than 50 percent shall be provided from Federal resources from the partner programs identified in the application other than resources provided under the core programs. Non-Federal sources for the matching share may include State resources, local resources, contributions from private organizations, or a combination of such resources and contributions.

(B)

Financial hardship waiver

The Secretary of Labor and the Secretary of Education may waive or reduce the matching share of an eligible entity that has submitted an application under this subsection if such entity demonstrates a need for such waiver or reduction due to extreme financial hardship as defined by the Secretary of Labor and the Secretary of Education.

(C)

Supplement not supplant

The Federal and matching share required by this subsection shall be used to supplement and not supplant other Federal and State funds used to carry out activities described in this subsection.

(e)

Grant period

Grants awarded under this subsection shall be awarded for periods of not more than 3 years in duration and may not be renewed.

(f)

Reporting

The Secretary of Labor and the Secretary of Education are authorized to establish appropriate reporting requirements for grantees under this subsection.

(g)

Technical assistance and evaluation

For each program year for which funds are available to carry out this section, the Secretary of Labor and the Secretary of Education may reserve a total of not more than 3 percent of the amount available to carry out this subsection to provide technical assistance to applicants and grantees under this subsection and to evaluate projects carried out under this subsection. The Secretaries shall ensure that the results of the evaluations are publicly available, including through electronic means.

.

158.

Evaluations

Section 172 is amended—

(1)

in subsection (a)(2), by inserting accountability after performance;

(2)

in subsection (c)

(A)

by striking as least and inserting at least; and

(B)

by striking 2005 and inserting 2016;

(3)

in subsection (e), by striking Labor and Human Resources and inserting Health, Education, Labor, and Pensions ; and

(4)

by redesignating subsection (f) as subsection (g) and inserting after subsection (e) the following new subsection:

(f)

Publication of reports

If an entity that enters into a contract or other arrangement with the Secretary to conduct an evaluation of a program or activity under this section requests permission from the Secretary to publish a report resulting from the evaluation, such entity may publish the report unless the Secretary denies the request during the 90-day period beginning on the date the Secretary receives such request.

.

159.

National dislocated worker grants

Section 173 is amended—

(1)

in the section heading, by striking emergency and inserting dislocated worker ;

(2)

by striking subsection (b) and redesignating subsection (a) as subsection (b), and inserting before such redesignated subsection the following new subsection:

(a)

Definitions

In this section—

(1)

the term emergency or disaster means—

(A)

an emergency or a major disaster, as defined in paragraphs (1) and (2), respectively, of section 102 of the Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5122 (1) and (2)); or

(B)

an emergency or disaster situation of national significance that could result in a potentially large loss of employment, as declared or otherwise recognized by the chief official of a Federal agency with authority for or jurisdiction over the Federal response to the emergency or disaster situation; and

(2)

the term disaster area means an area that has suffered or in which has occurred an emergency or disaster.

;

(3)

in subsection (b) (as so redesignated)—

(A)

by striking paragraph (4) and redesignating paragraphs (1) through (3) and (4) as subparagraphs (A) through (C), respectively, and moving such subparagraphs (as so redesignated) 2 ems to the right;

(B)

in the matter preceding subparagraph (A) (as so redesignated)—

(i)

by striking The Secretary and inserting:

(1)

Grants

The Secretary

; and

(ii)

by striking emergency grants in a timely manner and inserting dislocated worker grants;

(C)

in subparagraph (A) (as so redesignated), by striking subsection (c) and inserting subsection (c)(1)(B) ;

(D)

in subsection (B) (as so redesignated), by striking an area that has suffered and all that follows and insert a disaster area, to provide disaster relief employment in the disaster area;

(E)

in subparagraph (C) (as so redesignated), by striking paragraphs (1) and (2) and inserting subparagraphs (A) and (B); and

(F)

by inserting after subparagraph (C) the following:

(D)

to provide additional assistance to a State board or local board serving an area where—

(i)

a higher-than-average demand for employment and training activities for dislocated members of the Armed Forces, spouses described in section 101(14)(E), or members of the Armed Forces described in subsection (c)(2)(A)(iv), exceeds State and local resources for providing such activities; and

(ii)

such activities are to be carried out in partnership with the Department of Defense and Department of Veterans Affairs transition assistance programs; and

(E)

from funds appropriated under section 174(c), to a State or entity described in subsection (c)(1)(B) to carry out—

(i)

subsection (e), including providing assistance to eligible individuals; and

(ii)

subsection (f), including providing assistance to eligible individuals.

(2)

Decisions and obligations

The Secretary shall issue a final decision on a complete application for a national dislocated worker grant under this subsection not later than 45 calendar days after receipt of the application.

;

(4)

in subsection (c)

(A)

in paragraph (1)(A), by striking subsection (a)(1) and inserting subsection (b)(1)(B); and

(B)

in paragraph (2)

(i)

in the matter preceding subparagraph (A), by striking emergency and inserting dislocated worker; and

(ii)

in subparagraph (C), by striking emergency and inserting dislocated worker;

(5)

in subsection (d)

(A)

by striking subsection (a)(2) each place it appears and inserting subsection (b)(1)(B);

(B)

in paragraph (1)(A)

(i)

by inserting , in coordination with the Administrator of the Federal Emergency Management Agency, as applicable, after shall be used; and

(ii)

by striking structures and inserting public structures;

(C)

in paragraph (2), by inserting emergency or after consequence of the;

(D)

in paragraph (3)

(i)

by striking No individual and inserting:

(A)

In general

Except as provided in subparagraph (B), no individual

;

(ii)

by striking natural disaster and inserting emergency or disaster; and

(iii)

by adding at the end the following new subparagraph:

(B)

Extension

At the request of a State, the Secretary may extend such employment, related to recovery from a single emergency or disaster involving the State, for not more than an additional 6 months.

; and

(E)

by adding at the end the following new paragraphs:

(4)

Use of available funds

Funds made available under subsection (b)(1)(B) shall be available to assist workers described in paragraph (2) who are affected by an emergency or disaster, including workers who have relocated from an area in which an emergency or disaster has been declared or otherwise recognized, as appropriate. Under conditions determined by the Secretary and following notification to the Secretary, a State may use such funds, that are appropriated for any fiscal year and available for expenditure under any grant awarded to the State under this section, to provide any assistance authorized under this subsection. Funds used pursuant to the authority provided under this paragraph shall be subject to the liability and reimbursement requirements described in paragraph (5).

(5)

Liability and reimbursement

Nothing in this Act shall be construed to relieve liability, by a responsible party that is liable under Federal law, for any costs incurred by the United States under subsection (b)(1)(B) or this subsection, including the responsibility to provide reimbursement for such costs to the United States.

;

(6)

by striking subsection (e) and redesignating subsections (f) and (g) as subsections (e) and (f), respectively;

(7)

in subsection (e) (as so redesignated)—

(A)

by striking paragraph (4)(A) of subsection (a) each place it appears and inserting subsection (b)(1)(E)(i) ;

(B)

in paragraph (1)

(i)

in subparagraph (A), by striking clauses (i) through (v) and inserting clauses (i) through (iv);

(ii)

in subparagraph (B)(iii), by striking enactment of this clause and inserting enactment of the American Recovery and Reinvestment Act of 2009 (Public Law 111–5, 123 Stat. 115) ; and

(iii)

in subparagraph (C), by striking subsection (g) and inserting subsection (f);

(C)

in paragraph (2), by striking subsection (g) and inserting subsection (f);

(D)

in paragraph (3)(A)(i), by striking not later than and inserting notwithstanding subsection (b)(2), not later than; and

(E)

in paragraph (7)(A)

(i)

in clause (i), by striking section 4980B and inserting section 4980B(f)(4); and

(ii)

in clause (ii)(I), by striking clause (i), (ii), or (vi) of paragraph (2)(A)) and inserting subparagraph (A), (B), or (F) of section 35(e)(1) of such Code); and

(8)

in subsection (f), (as so redesignated)—

(A)

by striking paragraph (4)(A) of subsection (a) each place it appears and inserting subsection (b)(1)(E)(i);

(B)

in paragraph (1), by striking subsection (f)(1)(A) and inserting subsection (e)(1)(A); and

(C)

in paragraph (4)

(i)

in subparagraph (A)

(I)

in the matter preceding clause (i), by striking this subsection and inserting subsection (b)(1)(E)(ii); and

(II)

in clause (i), by striking not later than and inserting notwithstanding subsection (b)(2), not later than; and

(ii)

in subparagraph (B), by striking 174(c)(1)(B) and inserting subsection (b)(1)(E)(ii).

160.

Youthbuild program

Section 173A is amended—

(1)

in subsection (a)

(A)

in paragraph (3), by striking ; and and inserting a semicolon;

(B)

in paragraph (4), by striking the period and inserting ; and; and

(C)

by inserting after paragraph (4) the following new paragraph:

(5)

to improve the quality and energy efficiency of community and other nonprofit and public facilities, including those facilities that are used to serve homeless and low-income families.

;

(2)

in subsection (b)

(A)

by striking paragraph (8) and redesignating paragraphs (9) through (13) as paragraphs (8) through (12), respectively;

(B)

in paragraph (11) (as so redesignated), by striking means housing provided and all that follows and inserting has the meaning given the term in section 401(29) of the McKinney-Vento Homeless Assistance Act (42 U.S.C. 11360(29)).; and

(C)

in paragraph (12) (as so redesignated), by striking or construction and inserting construction, or energy efficiency enhancement;

(3)

in subsection (c)

(A)

in paragraph (2)

(i)

in subparagraph (A)(i), by striking or construction and inserting construction, or energy efficiency enhancement;

(ii)

in subparagraph (A)(iv)

(I)

in subclause (II), by striking individuals with limited English proficiency and inserting participants who are English language learners; and

(II)

in subclause (III), by striking General Education Development (GED) credential, or other State-recognized equivalent (including recognized alternative standard and inserting or its recognized equivalent including recognized certificates of attendance or similar documents;

(iii)

in subparagraph (A)(vii)

(I)

by striking supportive services; and

(II)

by inserting or training after postsecondary education;

(iv)

in subparagraph (B), by striking or construction and inserting construction, or energy efficiency enhancement;

(v)

in subparagraph (C)

(I)

by striking or construction and inserting construction, or energy efficiency enhancement; and

(II)

by striking 10 percent and inserting 15 percent; and

(vi)

in subparagraph (D), by inserting , including recruitment and selection of participants,;

(B)

in paragraph (3)(B)

(i)

in clause (i), by inserting construction and after opportunities in;

(ii)

in clauses (iii) and (vi), by striking or construction each place it appears and inserting construction, or energy efficiency enhancement;

(iii)

in clause (x), by striking vocational education and inserting career and technical education and training;

(iv)

in clause (xii)

(I)

by striking results and inserting levels;

(II)

by striking common and inserting primary; and

(III)

by striking youth and lifelong learning, as identified by the Secretary and inserting eligible youth described in section 136(b)(2)(A)(ii) ;

(v)

in clause (xvi)

(I)

in subclause (II), by inserting energy efficiency enhancement after construction; and

(II)

in subclause (III), by striking vocational education and inserting career and technical education and training; and

(vi)

in clause (xvii)(I), by inserting energy efficiency enhancement after construction; and

(C)

in paragraph (4)

(i)

in subparagraph (C)

(I)

by inserting community and after which the housing and; and

(II)

by striking or construction each place it appears and inserting construction, or energy efficiency enhancement; and

(ii)

in subparagraph (J)

(I)

in clause (ii), by inserting energy efficiency enhancement after construction; and

(II)

in clause (iii), by striking vocational education and inserting career and technical education and training;

(4)

in subsection (d), by striking or construction each place it appears and inserting construction, or energy efficiency enhancement;

(5)

in subsection (e)(1)

(A)

in subparagraph (A)(iii), by inserting , or an individual who was a school dropout and has subsequently re-enrolled before the period; and

(B)

in amending subparagraph (B)(i) to read as follows:

(i)

are basic skills deficient, despite attainment of a secondary school diploma or its recognized equivalent (including recognized certificates of attendance or similar documents for individuals with disabilities); or

;

(6)

in subsection (f)(2)

(A)

in subparagraph (A), by inserting , or to support pilot and demonstration projects or program evaluations with recipients of grants under subsection (c) as directed by the Secretary, including pilot or demonstration projects that create new career tracks for Youthbuild participants in areas such as health care and manufacturing before the period; and

(B)

in subparagraph (B), by striking shall reserve and inserting shall reserve not less than 3 percent and not more than;

(7)

in subsection (g), by striking postsecondary educational institutions and inserting institutions of higher education; and

(8)

by amending subsection (h) to read as follows:

(h)

Authorization of appropriations

There are authorized to be appropriated for each of fiscal years 2013 through 2017 such sums as may be necessary to carry out this section .

.

161.

Authorization of appropriations

Subsections (a) and (b) of section 174 are amended to read as follows:

(a)

Native American programs; migrant and seasonal farmworker programs; veterans’ workforce investment programs

(1)

In general

Subject to paragraph (2), there are authorized to be appropriated to carry out sections 166 through 168 such sums as may be necessary for each of the fiscal years 2013 through 2017.

(2)

Reservations

Of the amount appropriated pursuant to the authorization of appropriations under paragraph (1) for a fiscal year, the Secretary shall—

(A)

reserve not less than $55,000,000 for carrying out section 166;

(B)

reserve not less than $70,000,000 for carrying out section 167; and

(C)

reserve not less than $7,300,000 for carrying out section 168.

(b)

Technical assistance; innovation grants

There are authorized to be appropriated to carry out sections 169 through 171 such sums as may be necessary for each of the fiscal years 2013 through 2017.

.

162.

Transition grants to States

Subtitle D is further amended by adding at the end the following:

175.

Transition Grants to States

(a)

In general

For the program year described in section 171A, from the funds allocated for awards described in section 171A and section 171B, the Secretary of Labor and the Secretary of Education shall award, on a competitive basis, transition grants to States. The Secretaries, to the extent practicable and consistent with the purposes of the transition grants under this section, shall award transition grants in a manner that maximizes the number of States benefitting from such grants.

(b)

Application

To be eligible to receive a grant under this section, the Governor of a State, in coordination with the State board and in consultation with the local boards, shall submit an application to the Secretary of Labor and the Secretary of Education, at such time, in a such manner, and containing such information, consistent with this subsection, as the Secretaries may require, including—

(1)

a description of how the grant funds will be used to carry out the transition activities described in subsection (d);

(2)

a description of the process by which the State will award funds to local areas in accordance with subsection (d)(2); and

(3)

assurances that all the entities carrying out core programs in the State will participate in the activities.

(c)

Grant period

Grants awarded under this subsection shall be awarded for periods of not more than 2 years in duration and may not be renewed.

(d)

Use of funds

A State that receives a grant under this section—

(1)

may reserve not more than 40 percent of the grant funds for transition activities to assist in the development of the State plan under section 112 or 113; and

(2)

shall use not less than 60 percent of the grant funds to award subgrants to local areas for transition activities to assist in the development local and regional plans under section 116(c) and 118, with a priority in making such awards to local areas most in need of resources to make the transition to meeting the requirements of the Workforce Investment Act of 2012.

(e)

Limitations

No State may—

(1)

receive more than 1 grant under this section; and

(2)

receive a grant under this section concurrently with a grant under section 171A or 171B for the first program year that commences after the date of enactment of the Workforce Investment Act of 2011.

.

163.

Interagency agreement

Subtitle D is further amended by adding after section 175 (as added by section 112) the following:

176.

Interagency agreement

(a)

In general

The Secretary of Education and the Secretary of Labor shall jointly develop policies for the administration of this subtitle in accordance with such terms as the Secretaries shall set forth in an interagency agreement. Such interagency agreement, at a minimum, shall include a description of the respective roles and responsibilities of the Secretaries in carrying out this subtitle (both jointly and separately), including—

(1)

how the funds available under this subtitle will be obligated and disbursed and compliance with applicable laws (including regulations) will be ensured, as well as how the grantees will be selected and monitored, and a peer review process for selection of grantees that includes program practitioners and national experts will be carried out;

(2)

how evaluations and research will be conducted on the effectiveness of grants awarded under this subtitle in addressing the education and employment needs of job seekers and workers, youth, and employers;

(3)

how technical assistance will be provided to applicants and grant recipients;

(4)

how information will be disseminated, including through electronic means, on best practices and effective strategies and service delivery models for activities carried out under this subtitle; and

(5)

how policies and processes critical to the successful achievement of the education, training, and employment goals of this subtitle will be established.

(b)

Transfer authority

The Secretary of Labor and the Secretary of Education shall have the authority to transfer funds between the Department of Labor and the Department of Education to carry out this subtitle in accordance with the agreement described in subsection (a).

(c)

Reports

The Secretary of Labor and the Secretary of Education shall jointly develop and submit a biennial report to the Committee on Health, Education, Labor, and Pensions of the Senate and the Committee on Education and Workforce of the House of Representatives, describing—

(1)

actions the Departments have taken to—

(A)

assess the effectiveness of the projects carried out under this subtitle; and

(B)

facilitate the coordination of the programs carried out through the grants awarded with other education, employment and training programs;

(2)

barriers that impede effectiveness of projects carried out under this subtitle;

(3)

the best practices and effective strategies and service delivery models that the Departments have identified pursuant to this subtitle and actions the Departments have taken to promptly disseminate information, including through electronic means, on such best practices, service delivery models, and effective strategies; and

(4)

the actions the Departments have taken to leverage resources provided under Federal law other than this subtitle and non-Federal resources, to improve the workforce investment system nationwide, including in States, regions, and local areas that have not received funds under this subtitle.

.

E

Administration

171.

Requirements and restrictions

Section 181 is amended—

(1)

in subsection (a), by amending subparagraph (B) of paragraph (1) to read as follows:

(B)

Rule of construction

The reference in subparagraph (A) to section 6(a)(1) of the Fair Labor Standards Act of 1938 ( 29 U.S.C. 206(a)(1) ) shall not be applicable for individuals in territorial jurisdictions in which section 6 of the Fair Labor Standards Act of 1938 (29 U.S.C. 206) does not apply.

;

(2)

in subsection (b)(1) by striking investment and inserting development;

(3)

in subsection (c)(1), by inserting or allocation after an allotment;

(4)

in subsection (d)(2)

(A)

by striking employment and training activity and inserting employment or training activity;

(B)

by inserting incumbent worker training, transitional employment, after on-the-job training,; and

(C)

in paragraph (3), by inserting (or that has provided funding to an entity that has violated such paragraph) after violated such paragraph;

(5)

in subsection (e)

(A)

by inserting to carry out an activity after No funds available;

(B)

by striking and similar activities and inserting or similar activities; and

(C)

by striking title. No funds available under subtitle B and inserting or under subtitle C. No funds received to carry out an activity under subtitle B or C; and

(6)

in subsection (f), by inserting or subtitle C after subtitle B both places it appears.

172.

Fiscal controls or sanctions

Section 184 is amended—

(1)

in subsection (a)

(A)

in paragraph (2)

(i)

in subparagraph (A), by striking the appropriate circulars and inserting appropriate circulars or rules; and

(ii)

in subparagraph (B)(ii), by striking administration of youth activities and inserting:

(iii)

administration of youth workforce investment activities.

; and

(B)

in paragraphs (5)(A), (6)(C), and (7) (A) and (B), by inserting with the requirements afer compliance each place it appears;

(2)

in subsection (b)(1)(B)(v), by inserting with the provision after compliance;

(3)

in subsection (c)

(A)

in paragraph (2)

(i)

by striking made available and inserting received;

(ii)

by striking offset repayment and inserting require payment by offsetting the amount; and

(iii)

by inserting under this title after may be entitled; and

(B)

in paragraph (4), by inserting (subsequent to the program year for which the determination was made) after allocations; and

(4)

in subsection (d)(1), by striking paragraphs (2) and (3) of.

173.

Reports, recordkeeping, investigations

Section 185(c) is amended—

(1)

in paragraph (2), by striking ; and and inserting a semicolon;

(2)

in paragraph (3), by striking the period and inserting ; and; and

(3)

by adding at the end the following new paragraph:

(4)

shall, to the extent practicable, submit or make available (including through electronic means) any reports, records, plans, or any other data that are required to be submitted or made available, respectively, under this title.

.

174.

Administrative provisions

Section 189 is amended—

(1)

in subsection (a), by striking section 204 of the Intergovernmental Cooperation Act of 1968 and inserting section 6504 of title 31, United States Code ;

(2)

in subsection (g), by amending paragraph (2) to read as follows:

(2)

Availability

(A)

In general

Funds obligated for any program year for a program or activity funded under subtitle B may be expended by each State receiving such funds during that program year and the 2 succeeding program years. Funds received by local areas from States under subtitle B during a program year may be expended during that program year and the succeeding program year.

(B)

Certain national activities

(i)

In general

Funds obligated for any program year for any program or activity carried out under section 170 or 171 shall remain available until expended.

(ii)

Incremental funding basis

A contract or arrangement entered into under the authority of section 170(c) (relating to research projects, studies and reports, and multistate projects) or section 171 (relating to evaluations), including a long-term, nonseverable services contract, may be funded on an incremental basis with annual appropriations or other available funds.

(C)

Special rule

No amount of the funds obligated for a program year for a program or activity funded under this title shall be deobligated on account of a rate of expenditure that is consistent with a State plan, an operating plan described in section 151, or a plan, grant agreement, contract, application, or other agreement described in subtitle D, as appropriate.

; and

(3)

in subsection (i)

(A)

in paragraph (3), by inserting accountability after performance; and

(B)

in paragraph (4)

(i)

in subparagraph (A)(i)

(I)

by inserting the funding of infrastructure costs for one-stop centers, after functions of local areas and local boards; and

(II)

by inserting , and other requirements relating to the basic purposes of this title before the period;

(ii)

in subparagraph (B)

(I)

in the matter preceding clause (i), by striking investment and inserting development; and

(II)

in clause (v), by striking an opportunity to comment on such request has been provided to the local board and inserting , in the case of a waiver for a local area, an opportunity to comment on such request has been provided to the local board for the local area for which the waiver is requested;

(iii)

in subparagraph (C), by inserting for which the waiver was requested after ensure that the local area; and

(iv)

by adding at the end the following new subparagraph:

(D)

Expedited determination regarding provision of waivers

If the Secretary has approved a waiver of statutory or regulatory requirements for a State or local area pursuant to this subsection, the Secretary shall expedite the determination regarding the provision of that waiver, for another State or local area.

.

175.

Repeals

The Act is further amended by striking section 190, and redesignating sections 191 through 195 as sections 190 through 194, respectively.

176.

General program requirements

Section 194 (as redesignated by section 185) is amended by adding at the end the following new paragraphs:

(14)

Funds provided under this title shall not be used to establish or operate a stand-alone fee-for-service enterprise in a situation in which a private sector employment agency (as defined in section 701 of the Civil Rights Act of 1964 (42 U.S.C. 2000e)) is providing full access to similar or related services in such a manner as to fully meet the identified need. For purposes of this paragraph, such an enterprise does not include a one-stop delivery system described in section 121(e).

(15)
(A)

None of the funds available under this title shall be used by a recipient or subrecipient of such funds to pay the salary and bonuses of an individual, either as direct costs or indirect costs, at a rate in excess of the annual rate of basic pay prescribed for level II of the Executive Schedule under section 5313 of title 5, United States Code.

(B)

The limitation described in subparagraph (A) shall not apply to vendors providing goods and services as defined in Office of Management and Budget Circular A–133.

(C)

In a case in which a State is a recipient of such funds, the State may establish a lower limit than is provided in subparagraph (A) for salaries and bonuses of those receiving salaries and bonuses from a subrecipient of such funds, taking into account factors including the relative cost of living in the State, the compensation levels for comparable State or local government employees, and the size of the organizations that administer the Federal programs involved.

.

177.

Office of Disability Employment Policy

Subtitle E is further amended by adding at the end the following:

195.

Office of Disability Employment Policy

(a)

Purpose

The purpose of this section is to establish an Office of Disability Employment Policy

(1)

to help develop and support national policies and practices that will increase employment and economic advancement opportunities for all individuals with disabilities; and

(2)

to ensure that such individuals are fully integrated into the 21st century workforce.

(b)

Office

There is established within the Department of Labor an Office of Disability Employment Policy (referred to in this section as the Office). Except as otherwise specifically provided in this Act, such Office shall be the principal entity carrying out the functions described in this section.

(c)

Assistant secretary

(1)

In general

The Office shall be headed by an Assistant Secretary of Disability Employment Policy (referred to in this title as the Assistant Secretary) appointed by the President by and with the advice and consent of the Senate. Except as otherwise specifically provided in this Act, the Assistant Secretary shall be the principal officer carrying out the functions described in this section.

(2)

Experience

The Assistant Secretary shall be an individual with substantial experience in, and a thorough knowledge of, disability employment policy, training and educational opportunities for individuals with disabilities (including youth with disabilities), public benefit programs for individuals with disabilities, job development, and the barriers that may limit employment and economic advancement opportunities of individuals with disabilities.

(3)

Goals and direction

In carrying out the functions of the Office, the Assistant Secretary shall be guided by the goals of achieving equal opportunity, full participation, economic self-sufficiency, and independent living for all individuals with disabilities, to the greatest extent possible. In the performance of the functions of the Office, the Assistant Secretary shall be directly responsible to the Secretary of Labor.

(d)

Functions

The Assistant Secretary shall provide national leadership, and encourage interagency collaboration, on increasing employment and training opportunities for individuals with disabilities through the development of policies and initiatives (taking into account relevant information from other Federal agencies and including the awarding of grants as appropriate) that—

(1)

eliminate barriers to the employment and training of individuals with disabilities;

(2)

advance opportunities for employment, and identify strategies that increase employment opportunities in the private sector, for individuals with disabilities, including recruitment, retention, and promotion of such individuals;

(3)

identify and remove disincentives that limit or prevent the full employment of individuals with disabilities who are receiving benefits through Federal or State programs such as medical assistance under a State Medicaid program under title XIX of the Social Security Act ( 42 U.S.C. 1396 et seq. ), disability insurance benefits under title II of the Social Security Act ( 42 U.S.C. 401 et seq. ), or supplemental security income benefits under title XVI of the Social Security Act ( 42 U.S.C. 1381 et seq. );

(4)

advise and assist the Department of Labor and other Federal agencies in the development of policies and practices that increase employment opportunities in the Federal Government for individuals with disabilities, including outreach to and recruitment, retention, and promotion of such individuals;

(5)

assist youth with disabilities, including such youth who are out-of-school youth, in successfully transitioning into the workforce;

(6)

increase access for individuals with disabilities seeking employment, education, and training services from a one-stop delivery system described in section 221(e) of the Workforce Investment Act of 2012, and other public and private providers of such services and supports;

(7)

increase coordination of activities between State vocational rehabilitation programs and the workforce development systems (as defined in section 101 of such Act), including the one-stop centers (as defined in such section 101), including assisting individuals with disabilities in maximizing the services available through such programs, systems, and centers;

(8)

leverage available public and system resources to address individual and systematic employment barriers for individuals with disabilities, and assist such individuals in navigating the process of coordinating their public benefits, including health care;

(9)

increase employment opportunities for individuals with significant disabilities in competitive integrated employment; and

(10)

meet other objectives, as specified by the Secretary of Labor, that will increase employment and training opportunities for individuals with disabilities.

(e)

Report

For each fiscal year, beginning with the first full fiscal year following the date of enactment of the Workforce Investment Act of 2013, the Secretary of Labor shall prepare a report and submit the report to the Committee on Education and the Workforce of the House of Representatives and the Committee on Health, Education, Labor, and Pensions of the Senate, not later than 90 days after the end of that fiscal year. The report shall summarize the Office’s progress in—

(1)

meeting the general objectives specified in paragraphs (1) and (2) of subsection (a);

(2)

meeting each of the 4 goals specified in subsection (c)(3); and

(3)

developing the specific policies and initiatives specified in subsection (d).

(f)

Authorization of appropriations

There are authorized to be appropriated to carry out this section such sums as may be necessary for each of fiscal years 2013 through 2017.

.

178.

Independent evaluation of the efficiency and effectiveness of the Federal Workforce Investment System

(a)

Definitions

In this section—

(1)

the term Federal job training program means any federally funded employment and training program; and

(2)

the term individual with barriers to employment has the meaning given such term in section 101(23) of the Workforce Investment Act of 2013.

(b)

Evaluation by the Government Accountability Office

(1)

Evaluation

The Comptroller General shall conduct an evaluation of the operations of federally funded job training programs in order to evaluate their efficiency and effectiveness in providing job training services to eligible participants, particularly individuals with barriers to employment. The evaluation shall consider—

(A)

the findings of the January 2011 report of the Government Accountability Office entitled Multiple Employment and Training Programs: Providing Information, Co-locating Services and Consolidating Administrative Structures could Promote Efficiencies (GAO–11–92);

(B)

whether programs need to be enhanced in order to more effectively provide needed services;

(C)

whether programs are effectively aligned to provide needed services to different eligible populations; and

(D)

whether any programs provide duplicative services to their participants and, if so, why.

(2)

Consultation and recommendations

The Comptroller General shall consult with the States, local workforce investment boards, businesses, labor organizations, workforce advocates and community organizations, and relevant education-related organizations in preparing its evaluation and may make any recommendations to improve the efficiency and effectiveness of training programs and attain needed levels of services and accessibility of services.

(3)

Submission of Plan

Not later than 12 months after the date of enactment of this Act, the Comptroller General shall submit the evaluation and any plan for improvement to the appropriate committees of Congress.

F

Community College to Career Fund

181.

Community College to Career Fund

Title I is further amended by adding at the end the following:

F

Community College to Career Fund

199.

Community College and Industry Partnerships Program

(a)

Grants authorized

From funds appropriated under section 199D(1), the Secretary of Labor and the Secretary of Education, in accordance with the interagency agreement described in section 199E, shall award competitive grants to eligible entities described in subsection (b) for the purpose of developing, offering, improving or providing educational or career training programs for workers.

(b)

Eligible entity

(1)

In general

Entities eligible for a grant under this section are any of the following (or a consortium of any of the following) in partnership with employers or an association of employers—

(A)

a junior or community college (as defined in section 312(f) of the Higher Education Act of 1965 (20 U.S.C. 1085(f)));

(B)

a four-year public institution of higher education (as defined in section 101 of the Higher Education Act of 1965) that offers two-year degrees, will use funds provided under this section for activities at the certificate and associate degree levels, and is not reasonably close, as determined by the Secretaries, to a community college;

(C)

a tribal college or university (as defined in section 316(b) of the Higher Education Act); or

(D)

at the discretion of the Secretaries, a private, not-for-profit, two-year institution of higher education in Puerto Rico, Guam, the United States Virgin Islands, American Samoa, the Commonwealth of the Northern Mariana Islands, the Republic of the Marshall Islands, the Federated States of Micronesia, or the Republic of Palau.

(2)

Additional Partnerships

In addition to partnering with employers or an association of employers, the eligible entities described in paragraph (1) may partner with any of the organizations described in subparagraphs (A) through (D). Any such partnership shall collaborate with, and may include, the State or local workforce investment board.

(A)

An adult education provider or institution of higher education (as defined in section 101 of the Higher Education Act of 1965).

(B)

A community-based organization.

(C)

A joint-labor management partnership.

(D)

Any other organization that the Secretaries considers appropriate.

(c)

Application

An eligible entity seeking a grant under this section shall submit a grant proposal to the Secretaries at such time and containing such information as the Secretaries determine is required, including a detailed description of—

(1)

the specific project for which the grant proposal is submitted, including the manner in which the grant will be used to develop, offer, improve, or provide an educational or career training program;

(2)

the extent to which the project will meet the educational or career training needs of workers in the area served by the eligible entity;

(3)

the extent to which the project will meet the needs of employers in the region for skilled workers in in-demand industry sectors and occupations;

(4)

the extent to which the project submitted fits within any overall strategic plan developed by an eligible entity; and

(5)

any previous experience of the eligible entity in providing educational or career training programs, the absence of which shall not automatically disqualify an eligible institution from receiving a grant under this section.

(d)

Criteria for award

(1)

In general

Grants under this section shall be awarded based on criteria established by the Secretaries, that include the following:

(A)

A determination of the merits of the grant proposal submitted by the eligible entity to develop, offer, improve, or provide educational or career training programs to be made available to workers.

(B)

An assessment of the likely employment opportunities available in the region to individuals who complete an educational or career training program that the eligible entity proposes to develop, offer, improve, or provide.

(C)

An assessment of prior demand for training programs by individuals eligible for training served by the eligible entity as well as availability and capacity of existing training programs to meet future demand for training programs.

(2)

Priority

The Secretaries shall give priority to eligible entities that—

(A)

include a partnership with a business or industry or sector partnership that—

(i)

pays a portion of the costs of such programs; or

(ii)

agrees to hire individuals who have completed a particular postsecondary degree, certificate, or credential resulting from the training program of the eligible entity;

(B)

enter into a partnership with a labor organization or labor-management training program that provides technical expertise for occupationally specific education necessary for a recognized postsecondary credential leading to a skill occupation in an in-demand industry sector;

(C)

are focused on serving individuals with barriers to employment, low-income, non-traditional students as defined in section 803(j) of the Higher Education Act (20 U.S.C. 11561(c)(j)), students who are dislocated workers, students who are veterans, or students who are long-term unemployed;

(D)

are community colleges serving areas with high unemployment rates, including rural areas; and

(E)

are eligible entities that include an institution of higher education eligible for assistance under title III or V of the Higher Education Act of 1965.

(e)

Use of funds

Grants awarded under this section shall be used for one or more of the following:

(1)

The development, offering, improvement, or provision of academic programs or training programs, that provide relevant job training for skilled occupations that will meet the needs of employers in in-demand industries sectors, and which may include registered apprenticeship programs, on-the-job training programs, and programs that support employers in upgrading the skills of their workforce.

(2)

The development and implementation of policies and programs to expand opportunities for students to earn a recognized postsecondary credential or degree in in-demand industry sectors and occupations, including by—

(A)

facilitating the transfer of academic credits between institutions of higher education, including the transfer of academic credits for courses in the same field of study;

(B)

expanding articulation agreements and policies that guarantee transfer between such institutions, including through common course numbering and general core curriculum; and

(C)

developing or enhancing student support services programs.

(3)

The creation of workforce programs that provide a sequence of education and occupational training that leads to a recognized postsecondary credential or degree, including programs that—

(A)

blend basic skills and occupational training;

(B)

facilitate means of transitioning from non-credit occupational, basic skills, or developmental coursework to for-credit coursework within and across institutions;

(C)

build or enhance linkages including the development of dual enrollment programs and early college high schools between secondary education or adult education programs (including programs established under the Carl D. Perkins Career and Technical Education Act of 2006 and title II of this Act);

(D)

implement other innovative programs designed to increase the provision of training for students, including students who are veteran members of the National Guard or Reserves, to enter skilled occupations in in-demand industry sectors; and

(E)

support paid internships that will allow students to simultaneously earn credit for work-based learning and gain relevant employment experience in an in-demand industry sector or occupation, which shall include opportunities that transition individuals into employment.

(4)

The support of regional or national in-demand industry sectors to develop skills consortia that will identify pressing workforce needs and develop solutions such as—

(A)

standardizing industry certifications;

(B)

developing new training technologies; and

(C)

collaborating with industry employers to define and describe how specific skills lead to particular jobs and career opportunities.

199A.

Pay-for-Performance and Pay-for-Success Job Training projects

(a)

Award grants authorized

From funds appropriated under section 199D(2), the Secretary of Labor and the Secretary of Education, in accordance with the interagency agreement described in section 199E, shall award grants on a competitive basis to eligible entities described in subsection (b) who meet specific performance outcomes and criteria established by the Secretaries under subsection (c). Projects funded by grants under this section shall be referred to as either Pay-for-Performance or Pay-for-Success projects, as set forth in subsection (b).

(b)

Eligible entity

To be eligible to receive a grant under this section an entity shall be a State or local organization (which may be a local workforce organization) in partnership with entities such as community colleges and other training providers who—

(1)

in the case of Pay-for-Performance projects, agree to be reimbursed primarily on the basis of achievement of specified performance outcomes and criteria agreed upon by the Secretaries under subsection (c); or

(2)

in the case of Pay-for-Success projects, include partnerships with investors, such as philanthropic organizations that provide funding for a specific project or projects to address a clear and measurable job training need in the community or region and agree to be reimbursed under the grant only if the project or projects meet specified performance outcomes and criteria agreed to by the Secretaries under subsection (c).

(c)

Performance outcomes and criteria

Not later than 6 months after the date of the enactment of this subtitle, the Secretary of Labor and the Secretary of Education shall establish and publish specific performance measures for the initial qualification of eligible entities to receive a grant under this section. At a minimum, to receive an award an eligible entity shall—

(1)

identify a particular program area and client population that is not achieving optimal outcomes;

(2)

provide evidence that the proposed strategy would achieve better results;

(3)

clearly articulate and quantify the improved outcomes of such new approach;

(4)

for Pay-for-Success projects, specify a monetary value that would need to paid to obtain such results and explain the basis for such value;

(5)

identify data that would be required to evaluate whether outcomes are being achieved for a target population and a comparison group;

(6)

identify estimated savings that would result from the improved outcomes, including to other programs or units of government;

(7)

demonstrate the capacity to collect required data, track outcomes, and validate those outcomes; and

(8)

any other criteria the Secretaries may require.

(d)

Period of availability for pay-for-Success projects

Funds appropriated to carry out Pay-for-Success projects pursuant to section 199D(2) shall, upon obligation, remain available for disbursement until expended, notwithstanding section 1552 of title 31, United States Code, and, if later deobligated, in whole or in part, be available until expended for additional Pay-for-Success grants under this section.

199B.

Bring Jobs Back to America grants

(a)

Grants authorized

From funds appropriated under section 199D(3), the Secretary of Labor and the Secretary of Education, in accordance with the interagency agreement described in section 199E, shall award grants to State or local governments for job training and recruiting activities that can quickly provided businesses with skilled workers in order to encourage businesses to remain in or relocate to areas served by such governments. The Secretaries shall coordinate with the Secretary of Commerce in carrying out this section.

(b)

Purpose and use of funds

Grants awarded under this section may be used by a State or local government to issue subgrants to eligible entities as designated by the Secretaries, including those described in section 199(b), to assist such eligible entities in providing training necessary to provide skilled workers for businesses that have relocated or are considering relocating operations outside the United States, and may instead relocate to the areas served by such governments.

(c)

Application

A State or local government seeking a grant under the program established under subsection (a) shall submit an application to the Secretaries in such manner and containing such information as the Secretaries may require. At a minimum, each application shall include—

(1)

a description of the eligible entity or entities the State or local government proposes to assist in providing job training or recruiting activities;

(2)

a description of the proposed or existing business facility, including the number of jobs relating to such facility and the average wage or salary of those jobs; and

(3)

a description of any other resources that the State has committed to assisting such business in locating such facility, including tax incentives provided, bonding authority exercised, and land granted.

(d)

Criteria

The Secretaries shall award grants to State and local governments that—

(1)

the Secretaries determine are most likely to succeed with a grant under the program in assisting an eligible entity in providing the training necessary to cause a business or businesses to remain in or relocate to areas served by such governments;

(2)

will fund training programs that will result in the greatest number and quality of jobs;

(3)

have committed State or other resources, to the extent of their ability as determined by the Secretaries, to assist a business or businesses to remain in or relocate to areas served by such governments; and

(4)

have met such other criteria as the Secretaries consider appropriate, including criteria relating to marketing plans, benefits to ongoing regional or State strategies for economic development and job growth.

199C.

Grants for Entrepreneur and Small Business startup training

(a)

Grants authorized

From funds appropriated under section 199D(4), the Secretary of Labor and the Secretary of Education, in accordance with the interagency agreement described in section 199E, shall award competitive grants to eligible entities described in subsection (b) to provide training in starting a small business and entrepreneurship. The Secretaries shall coordinate with the Administrator of the Small Business Administration in carrying out this section including in the development of criteria and selection of proposals.

(b)

Eligible entity

(1)

In general

Entities eligible for a grant under this section are any of the following (or a consortium of any of the following) in partnership with at least one local or regional economic development entity described in paragraph (2)

(A)

a junior or community college (as defined in section 312(f) of the Higher Education Act of 1965 (20 U.S.C. 1085(f)));

(B)

a four-year public institution of higher education (as defined in section 101 of the Higher Education Act of 1965) that offers two-year degrees, will use funds provided under this section for activities at the certificate and associate degree levels, and is not reasonably close, as determined by the Secretaries, to a community college;

(C)

a tribal college or university (as defined in section 316(b) of the Higher Education Act); or

(D)

at the discretion of the Secretaries, a private, not-for-profit, two-year institution of higher education in Puerto Rico, Guam, the United States Virgin Islands, American Samoa, the Commonwealth of the Northern Mariana Islands, the Republic of the Marshall Islands, the Federated States of Micronesia, or the Republic of Palau.

(2)

Additional Partnerships

Local or regional economic development entities described in this paragraph are the following:

(A)

Small business development centers.

(B)

Women’s business centers.

(C)

Regional innovation clusters.

(D)

Local accelerators or incubators.

(E)

State or local economic development agencies.

(c)

Application

An eligible entity seeking a grant under this section shall submit a grant proposal in such manner and containing such information as the Secretaries and the Small Business Administrator shall require. Such information shall include the manner in which entrepreneurship training and education will be provided, the role of partners in such an arrangement, and the manner in which the proposal will integrate and partner with local economic development resources.

(d)

Use of funds

Grants awarded under this section shall be used to provide training in entrepreneurship and starting a small business, including through online courses, intensive seminars, and comprehensive courses.

199D.

Authorization of Appropriations

(a)

In general

There is authorized to be appropriated $8,000,000,000 to carry out this subtitle , of which $4,000,000,000 is authorized to be appropriated to the Secretary of Labor and $4,000,000,000 is authorized to be appropriated to the Secretary of Education. Such amounts shall be used to carry out the programs authorized by this subtitle as follows:

(1)

$7,000,000,000 is authorized for the program established by section 199;

(2)

$500,000,000 is authorized for the program established by section 199A;

(3)

$250,000,000 is authorized for the program established by section 199B;

(4)

$250,000,000 is authorized for the program established by section 199C; and

(5)

Not more than 5 percent of the amounts authorized under paragraphs (1) through (4) may be used by the Secretaries to administer each respective program, including providing technical assistance and carrying out evaluations.

(b)

Period of availability

Except as provided in section 199A(d), the funds appropriated pursuant to subsection (a) shall be available for Federal obligation for the fiscal year for which the funds are appropriated and the succeeding 2 fiscal years.

199E.

Interagency agreement

(a)

In general

The Secretary of Labor and the Secretary of Education shall jointly develop policies for the administration of this subtitle in accordance with such terms as the Secretaries shall set forth in an interagency agreement. Such interagency agreement, at a minimum, shall include a description of the respective roles and responsibilities of the Secretaries in carrying out this subtitle (both jointly and separately), including—

(1)

how the funds available under this subtitle will be obligated and disbursed and compliance with applicable laws (including regulations) will be ensured, as well as how the grantees will be selected and monitored;

(2)

how evaluations and research will be conducted on the effectiveness of grants awarded under this subtitle in addressing the education and employment needs of workers, and employers;

(3)

how technical assistance will be provided to applicants and grant recipients;

(4)

how information will be disseminated, including through electronic means, on best practices and effective strategies and service delivery models for activities carried out under this subtitle; and

(5)

how policies and processes critical to the successful achievement of the education, training, and employment goals of this subtitle will be established.

(b)

Transfer authority

The Secretary of Labor and the Secretary of Education shall have the authority to transfer funds between the Department of Labor and the Department of Education to carry out this subtitle in accordance with the agreement described in subsection (a). The Secretary of Labor and the Secretary of Education shall have the ability to transfer funds to the Secretary of Commerce and the Administrator of the Small Business Administration to carry out sections 199B and 199C, respectively.

(c)

Reports

The Secretary of Labor and the Secretary of Education shall jointly develop and submit a biennial report to the Committee on Health, Education, Labor, and Pensions of the Senate and the Committee on Education and the Workforce of the House of Representatives, describing the activities carried out under this subtitle and the outcomes of such activities.

.

II

Adult Education and Literacy

201.

Purposes, definitions, and miscellaneous provisions

(a)

Purpose

Section 202 is amended to read as follows:

202.

Purpose

It is the purpose of this title to create a partnership among the Federal Government, States, and localities to provide, on a voluntary basis, adult education and literacy activities, in order to—

(1)

assist adults to become literate and obtain the knowledge and skills necessary for employment and economic self-sufficiency;

(2)

assist adults who are parents to obtain the education and skills that—

(A)

are necessary to becoming full partners in the educational development of their children; and

(B)

lead to sustainable improvements in the economic opportunities for their family;

(3)

assist adults in attaining a secondary school diploma or its equivalent and in the transition to and success in postsecondary education and training, including through career pathways;

(4)

assist immigrants and other individuals who are English language learners in improving their reading, writing, speaking, and comprehension skills in English;

(5)

assist immigrants in acquiring an understanding of the American system of government and the responsibilities of citizenship;

(6)

assist States in expanding a 21st century delivery system for adult education, literacy, and workplace skills services that meet the needs of adults at all skill levels;

(7)

assist adults in developing technology literacy; and

(8)

enable more adults to complete adult education and enter and succeed in postsecondary education and employment.

.

(b)

Definitions

Section 203 is amended—

(1)

by amending paragraph (1) to read as follows:

(1)

Adult education

The term adult education means academic instruction and services below the postsecondary level that increase an individual’s ability to—

(A)

read, write, and speak in English and perform mathematics or other activities necessary for the attainment of a secondary school diploma or its recognized equivalent;

(B)

transition to and success in postsecondary education and training; or

(C)

obtain employment.

;

(2)

in paragraph (2), by striking activities described in section 231(b) and inserting programs, activities, and services that include adult education, literacy, workplace adult education and literacy activities, family literacy activities, English language acquisition activities, workforce preparation activities, or integrated education and training;

(3)

by striking paragraphs (3), (8), (9), (10), (13), (14), and (17) and redesignating paragraphs (4), (7), (11), (12), (15), (16), and (18) as paragraphs (3), (9), (10), (11), (13), (14), and (15), respectively;

(4)

in paragraph (3) (as so redesignated), by inserting activities after literacy;

(5)

by inserting after paragraph (3) (as so redesignated) the following:

(4)

Eligible individual

The term eligible individual means an individual—

(A)

who has attained 16 years of age;

(B)

who is not enrolled or required to be enrolled in secondary school under State law; and

(C)

who—

(i)

is unable to compute or solve problems, or read, write, or speak English at a level necessary to function on the job, in the individuals’ family, or in society;

(ii)

does not have a secondary school diploma or its recognized equivalent, and has not achieved an equivalent level of education; or

(iii)

is an English language learner.

;

(6)

in paragraph (5)

(A)

by striking means— and inserting means an organization that has demonstrated effectiveness in providing adult education and literacy activities that may include—;

(B)

in subparagraphs (B) and (C), by striking of demonstrated effectiveness both places it appears;

(C)

in subparagraph (H), by striking literacy services and all that follows and inserting adult education and literacy activities to eligible individuals;;

(D)

in subparagraph (I), by striking the period at the end and inserting ; and; and

(E)

by adding at the end the following:

(J)

a partnership between an employer and an entity described in any of subparagraphs (A) through (I).

;

(7)

by amending paragraph (6) to read as follows:

(6)

English language acquisition program

The term English language acquisition program means a program of instruction—

(A)

designed to help eligible individuals who are English language learners achieve competence in reading, writing, speaking, and comprehension of the English language;

(B)

that may lead to—

(i)

attainment of a secondary school diploma or its recognized equivalent;

(ii)

transition to success in postsecondary education and training; and

(iii)

employment or career advancement; and

(C)

that such programs may be sequential, integrated, or concurrent in nature.

;

(8)

by inserting after paragraph (6) the following:

(7)

English language learner

The term English language learner when used with respect to an eligible individual, means an eligible individual who has limited ability in reading, writing, speaking, or comprehending the English language, and—

(A)

whose native language is a language other than English; or

(B)

who lives in a family or community environment where a language other than English is the dominant language.

(8)

High quality literacy instruction

The term high quality literacy instruction means developmentally appropriate, explicit, and systematic instruction that provides students with—

(A)

early development and grade-level mastery of oral language skills, both listening and speaking, phonological awareness, using a wide vocabulary, conventional forms of grammar, and academic language;

(B)

the ability to read regularly spelled words and high-frequency irregularly spelled words and to decode regularly spelled unfamiliar words accurately, using phonemic awareness, print awareness, alphabet knowledge, and knowledge of English spelling patterns;

(C)

the ability to read texts accurately, fluently, and with comprehension, relying on knowledge of the vocabulary in those texts and of the background information that the students possess;

(D)

the ability to read with a purpose and the capacity to differentiate purposes and to select and apply comprehension strategies appropriate to achieving the purpose;

(E)

an understanding of, and ability to adapt to, the varying demands of different genres, formats, and types of texts across the core content areas in order to comprehend texts of appropriate levels of complexity and content, including texts necessary for mastery of grade-level standards;

(F)

the ability to effectively access, critically evaluate, and appropriately synthesize information from a variety of sources and formats;

(G)

the development and maintenance of a motivation to read and write, as reflected in habits of reading and writing regularly and or discussing one’s reading and writing with others; and

(H)

the ability to write clearly, accurately, and quickly so as to communicate ideas and deepen comprehension, in ways that fit purpose, audience, occasion, discipline, and format; adhere to conventions of spelling and punctuation; and benefit from revision so as to improve clarity, coherence, logical development, and the precise use of language.

;

(9)

in paragraph (9)

(A)

in the paragraph heading, by striking Services and inserting Activities ;

(B)

in the matter preceding subparagraph (A)

(i)

by striking services both places it appears and inserting activities; and

(ii)

by striking changes in a family and inserting improvements in the economic prospects for a family and that better enable parents to support their children’s learning needs;

(C)

by striking subparagraph (C) and redesignating subparagraphs (A) and (B) as subparagraphs (B) and (C), respectively; and

(D)

by inserting before subparagraph (B) (as so redesignated) the following:

(A)

Parent adult education and literacy activities that lead to readiness for the attainment of a secondary school diploma or its recognized equivalent postsecondary education or training, employment, career advancement, and economic self-sufficiency.

;

(10)

by inserting after paragraph (10) (as so redesignated) the following:

(11)

Integrated education and training

The term integrated education and training means services that provide adult education and literacy activities contextually and concurrently with workforce preparation activities and workforce training for a specific occupation or occupational cluster. Such services may include offering adult education services concurrent with credit-bearing postsecondary education and training, including through co-instruction.

(12)

Integrated English literacy and civics education

The term integrated English literacy and civics education means an integrated program of educational services for immigrant and other limited English proficient adults, including immigrant professionals with degrees and credentials in their native countries, that enables them to achieve competency in the English language and acquire the basic and more advanced skills needed to function effectively as parents, workers, and citizens. Such programs shall include instruction in literacy and English language acquisition and instruction on the rights and responsibilities of citizenship and civic participation, and may include workforce training.

;

(11)

by amending paragraph (15) (as so redesignated) to read as follows:

(15)

Workplace adult education and literacy activities

The term workplace adult education and literacy activities means adult education and literacy activities offered by an eligible provider in collaboration with an employer or employee organization at a workplace or an off-site location that is designed to improve the productivity of the workforce.

; and

(12)

by adding at the end the following:

(16)

Workforce preparation activities

The term workforce preparation activities means activities, programs, or services designed to help an individual acquire a combination of basic academic skills, critical thinking skills, and self-management skills, including competencies in utilizing resources, using information, working with others, understanding systems, working with technology, and skills necessary for successful transition into and completion of postsecondary education or training, or employment.

.

(c)

Home schools

Section 204 is amended—

(1)

by inserting whether a home school is treated as a home school or a private school under State law, after home schools,; and

(2)

by striking an English literacy program and all that follows and inserting adult education and literacy activities..

(d)

Rule of construction

Title II is further amended by redesignating section 205 as section 206 and inserting after section 204 the following:

205.

Rule of construction regarding postsecondary transition and concurrent enrollment activities

Nothing in this title shall be construed to prohibit or discourage the use of funds provided under this title for adult education and literacy activities that help eligible individuals transition to and succeed in postsecondary education, including credit-bearing coursework, and training or employment, or for concurrent enrollment activities.

.

(e)

Authorization of Appropriations

Section 206 (as so redesignated) is amended—

(1)

by inserting $1,100,000,000 for fiscal year 2013 and after to carry out this title; and

(2)

by striking of the fiscal years 1999 through 2003 and inserting succeeding fiscal year .

(f)

Technical amendment

Title II is further amended—

(1)

by striking subtitle B;

(2)

by striking the subtitle A designation; and

(3)

by redesignating chapters 1 through 4 as subtitles A through D, respectively.

202.

Amendments to subtitle A

(a)

Reservation of funds, eligible agencies, allotments

Section 211 is amended—

(1)

by amending subsection (a) to read as follows:

(a)

Reservation of funds

From the sum appropriated under section 206 for a fiscal year, the Secretary

(1)

shall reserve $250,000,000 to carry out section 242(c)(1)(E);

(2)

shall reserve 1.5 percent to carry out the remainder of section 242, except that the amount so reserved shall not exceed $15,000,000;

(3)

shall reserve 1.5 percent to carry out section 243, except that the amount so reserved shall not exceed $12,000,000; and

(4)

shall reserve 12 percent of the amount that remains after reserving funds under paragraphs (1) and (2) to carry out section 244.

;

(2)

in subsection (b)

(A)

by striking section 205 and inserting section 206 ; and

(B)

by striking section 224 and inserting section 112 or a State unified plan approved under section 113 ; and

(3)

in subsection (c)

(A)

in paragraph (1)

(i)

by striking section 205 and inserting section 206 ;

(ii)

by striking section 224 and inserting section 112 or a State unified plan approved under section 113 ;

(iii)

in subparagraph (A)

(I)

by striking $100,000 and inserting $250,000; and

(II)

by inserting except as provided in subsection (e) after outlying area; and

(iv)

in subparagraph (B), by striking $250,000 and inserting $350,000; and

(B)

in paragraph (2), by striking section 205 and inserting section 206;

(4)

by amending subsection (f) to read as follows:

(f)

Hold-Harmless provisions

(1)

In general

Notwithstanding subsection (c), for fiscal year 2011 and each succeeding fiscal year, no eligible agency shall receive an allotment under this section that is less than 90 percent of the allotment the eligible agency received for the preceding fiscal year under this section.

(2)

100 Percent allotment

Notwithstanding paragraph (1) of subsection (e), for a fiscal year for which an eligible agency receives only an initial allotment under subsection (c)(1) (and no additional allotment under subsection (c)(2)) the eligible agency shall receive an allotment under this section that is equal to 100 percent of the initial allotment under subsection (c)(1).

(3)

Ratable reduction

If for any fiscal year the amount available for allotment under this title is insufficient to satisfy the provisions of paragraphs (1) and (2), the Secretary shall ratably reduce the payments to all eligible agencies, as necessary.

; and

(5)

by adding at the end the following:

(h)

Study and report

(1)

Study

The Comptroller General of the United States shall conduct a study concerning the formula described in this section and, in conducting the study, shall, at a minimum—

(A)

examine whether the formula results in a distribution of funds that sufficiently targets the entire population of individuals eligible for adult education and literacy activities under this title;

(B)

examine whether the data used to count qualified adults, for purposes of the formula, accurately identify the population of individuals eligible for the activities; and

(C)

develop recommendations, as necessary, for improving the formula so that the formula results in a distribution of funds that better serves that population and the data used to count qualified adults accurately measure that population.

(2)

Report

Not later than 3 years after the date of enactment of the Workforce Investment Act of 2013 , the Comptroller General shall submit to the Committee on Health, Education, Labor, and Pensions of the Senate and the Committee on Education and the Workforce of the House of Representatives a report containing the results of the study described in paragraph (1).

.

(b)

Performance accountability system

Section 212 is amended to read as follows:

212.

Performance accountability system

Programs and activities authorized in this title are subject to the performance accountability provisions described in section 136. Additional indicators shall include the following:

(1)

Demonstrated improvements in literacy skill levels in reading, writing, and speaking the English language, numeracy, English language acquisition, and other literacy skills.

(2)

Receipt of a secondary school diploma or its equivalent.

(3)

Attainment of an industry-recognized workforce readiness credential or other recognized postsecondary credential, the attainment of which requires skills below the postsecondary level.

(4)

Placement in, retention in, or completion of a postsecondary education or training program.

.

203.

Amendments to subtitle B

(a)

State administration

Section 221 is amended—

(1)

in paragraph (1), by striking submission, and implementation of the State plan and inserting implementation, and monitoring of the relevant components of the State unified plan in section 112 or the State unified plan in section 113 .

(b)

State distribution and matching requirement

Section 222 is amended—

(1)

in subsection (a)

(A)

in the matter preceding paragraph (1), by striking this subtitle and inserting section 211(b) ;

(B)

in paragraph (1)

(i)

by striking 82.5 percent and inserting 80 percent;

(ii)

by striking 10 percent and inserting not less than 10 percent; and

(iii)

by striking of the 82.5 percent;

(C)

in paragraph (2), by striking 12.5 percent and inserting 15 percent; and

(D)

in paragraph (3), by striking $65,000 and inserting $75,000; and

(2)

in subsection (b)(1), by striking equal to— and inserting that is not less than—.

(c)

State leadership activities

Section 223 is amended by amending subsection (a) to read as follows:

(a)

Activities

(1)

Required

Each eligible agency shall use funds made available under section 222(a)(2) and from other funds available to the State for such purposes, for the following adult education and literacy activities to develop or enhance the adult education system of the State or outlying area:

(A)

The alignment of adult education and literacy activities with other core programs and one-stop partners, including eligible providers, to implement the strategy identified in the unified State plan under section 112 or the State unified plan under section 113, including the development of career pathways to provide access to employment and training services for individuals in adult education and literacy activities.

(B)

The establishment or operation of high-quality professional development programs to improve the instruction provided pursuant to local activities required under section 231(b), including instruction incorporating the essential components of reading, writing, and numeracy instruction and instruction for English language learners as such components relate to adults, instruction related to the specific needs of adult learners, instruction provided by volunteers or by personnel of a State or outlying area, and dissemination of information about models and promising practices related to such programs.

(C)

The provision of technical assistance to eligible providers of adult education and literacy activities, including technical assistance in—

(i)

the development and dissemination of instructional and programmatic practices based on available evidence-based research, where appropriate, in reading, writing, speaking, mathematics, English language acquisition programs, distance education, and staff training;

(ii)

the role of eligible providers as a one-stop partner in providing access to employment, education, and training services;

(iii)

the use of technology, including for staff training, to eligible providers, especially the use of technology to improve system efficiencies;

(iv)

the development of content and models for career pathways, including integrated education and training, career bridge programs or instruction, and postsecondary transition activities; and

(v)

the acquisition and implementation of technology tools, applications, and other resources that will—

(I)

help in enhancing or redesigning adult education, literacy, and workplace skills curricula to improve technology literacy for adult learners;

(II)

facilitate assessments for data analysis to enable individualized instruction; and

(III)

be employed in professional development activities.

(D)

The monitoring and evaluation of the quality of, and the improvement in, adult education and literacy activities and the dissemination of information about models and proven or promising practices within the State.

(E)

The assessment of the quality of the adult education teacher workforce in the State, which shall include taking actions to improve that quality, including by establishing a requirement that all paid professionals have at least a bachelor’s degree and that volunteers be required to be supervised or supported by a paid professional with a bachelor’s degree, and through such actions as working in partnership with colleges and universities to improve the quality of adult education teacher preparation and increase access to high-quality preparation programs.

(F)

The development of rigorous content standards and aligned assessments for their adult education programs that reflect accepted standards for college- and career-readiness that are aligned with the college- and career-ready standards the State develops and implements in compliance with section 14006(d)(4) of the American Recovery and Reinvestment Act of 2009.

(2)

Permissible activities

Each eligible agency may use funds made available under section 222(a)(2) for 1 or more of the following adult education and literacy activities:

(A)

The support of State or regional networks of literacy resource centers.

(B)

The development and implementation of technology applications, including online and on-air educational digital content, translation technology, or distance education, including professional development to support the use of instructional technology.

(C)

The development and dissemination of curricula, including curricula incorporating the essential components of reading instruction as such components relate to adults.

(D)

The dissemination of content and models for integrated education and training and career pathways, including the provision of technical assistance to eligible providers in the State administering such programs.

(E)

The provision of assistance to eligible providers in developing and implementing programs that achieve the objectives of this title and in measuring the progress of those programs in achieving such objectives, including meeting the State adjusted levels of performance described in section 136(b)(3).

(F)

The provision of assistance to eligible providers in the development of new data management systems required by the performance accountability system described in section 136(b).

(G)

The development and implementation of a system to assist in the transition from adult education to postsecondary education, including linkages with postsecondary educational institutions or institutions of higher education.

(H)

The integration of literacy and English language instruction with occupational skill training, including promoting linkages with employers.

(I)

Activities to promote workplace adult education and literacy activities.

(J)

Activities to promote and complement local outreach initiatives described in section 243(b)(3)(G).

(K)

In cooperation with efforts funded under sections 242 and 243, development and piloting of—

(i)

promising and proven assessment tools and strategies that—

(I)

are based on evidence-based research, where available and appropriate; and

(II)

identify the needs and capture the gains of students at all levels, with particular emphasis on—

(aa)

students at the lowest achievement level;

(bb)

students who are English language learners; and

(cc)

adults with learning disabilities;

(ii)

strategies for improving teacher quality and retention;

(iii)

assistance in converting evidence-based research into practice; and

(iv)

strategies in the use of technology, including online and on-air educational digital content to improve technology literacy for adult learners.

(L)

The development and implementation of programs and services to meet the needs of adult learners with learning disabilities who are English language learners.

(M)

Family literacy activities that promote adult education and help parents become their child’s first teacher.

(N)

Support for recruitment and outreach for instructors, students, and employers.

(O)

Other activities of statewide significance that promote the purpose of this title.

(3)

Digital learning

Each eligible agency may reserve up to 10 percent of the funds made available under section (222)(a)(2) for grants to an entity that owns and operates a television public broadcast station, as defined in section 397(6) of the Communications Act of 1934 ( 47 U.S.C. 397(6) ) (including a partnership of such entities), in partnership with an eligible agency, State Board described in section 111, or institution of higher education to develop, disseminate, and provide online and on-air education and training services for adults, including:

(A)

the development, training and use of innovative, high-quality tools, products, and educational digital content and services for—

(i)

adult education and literacy, GED preparation, workforce training, and related outreach (including community and family) services;

(ii)

professional development; and

(iii)

English language education and services for non-English speakers;

(B)

the development and implementation of technology applications, including online and on-air education digital content, translation technology, or distance education, including professional development to support the use of instructional technology; and

(C)

developing and piloting strategies in the use of technology through online and on-air educational digital content, including to improve technology literacy for adult learners.

.

(d)

State plan

Section 224 is amended to read as follows:

224.

State Plan

Each State desiring to receive funds under this title for any fiscal year shall submit and have approved by the Secretary and the Secretary of Labor a State plan in accordance with section 112 or a State unified plan in accordance with section 113.

.

(e)

Programs for corrections education and other institutionalized individuals

Section 225 is amended—

(1)

in subsection (b)

(A)

in paragraph (1), by striking basic education and inserting adult education and literacy activities;

(B)

in paragraph (2), by striking education programs and inserting education,; and

(C)

by striking paragraphs (3) and (4) and inserting the following:

(3)

secondary school credit;

(4)

integrated education and training;

(5)

career pathways;

(6)

concurrent enrollment;

(7)

postsecondary correctional education linked to employment;

(8)

peer tutoring; and

(9)

transition to re-entry initiatives and other post-release services with the goal of reducing recidivism.

; and

(2)

by striking subsection (d) and inserting the following:

(d)

Report

In addition to any report required under section 136, each eligible agency that receives assistance provided under this section shall annually prepare and submit to the Secretary a report on the progress, as described in section 136, of the eligible agency with respect to the programs and activities carried out under this section, including the rate of recidivism for the criminal offenders served.

(e)

Definitions

In this section:

(1)

Correctional institution

The term correctional institution means any—

(A)

prison;

(B)

jail;

(C)

reformatory;

(D)

work farm;

(E)

detention center; or

(F)

halfway house, community-based rehabilitation center, or any other similar institution designed for the confinement or rehabilitation of criminal offenders.

(2)

Criminal offender

The term criminal offender means any individual who is charged with or convicted of any criminal offense.

.

204.

Amendments to subtitle C

(a)

Grants and contracts for eligible providers

Section 231 is amended—

(1)

in subsection (b), by striking one or more programs that provide and all that follows and inserting programs that provide adult education and literacy activities, programs that provide such activities concurrently with postsecondary education or training or employment activities, and credit-bearing postsecondary coursework.;

(2)

in