Sec. 113. Use of funds for employment and training activities
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Section 134 is amended— by amending subsection
(a)to read as follows: Funds reserved by a Governor for a State as described in section 133(a)(1)— shall be used to carry out the statewide employment and training activities described in paragraph (2); and may be used to carry out any of the statewide employment and training activities described in paragraph (3). Funds reserved by a Governor for a State as described in section 133(a)(2) shall be used to carry out the statewide rapid response activities described in paragraph (4). Funds reserved by a Governor for a State as described in section 133(a)(3) shall be used to carry out the Statewide Grants for Individuals with Barriers to Employment competition described in paragraph (5). A State shall use funds reserved as described in section 133(a)(1) to carry out statewide employment and training activities, which shall include— disseminating the State list of eligible providers of training described in section 122(d), information identifying eligible providers of on-the-job training and customized training described in section 122(i), and performance information and program cost information described in section 122(b)(2); supporting the provision of work ready services described in subsection (c)(2) in the one-stop delivery system; implementing strategies and services that will be used in the State to assist at-risk youth and out-of-school youth in acquiring the education and skills, recognized postsecondary credentials, and employment experience to succeed in the labor market; conducting evaluations under section 136(e) of activities authorized under this chapter in coordination with evaluations carried out by the Secretary under section 172; providing technical assistance to local areas that fail to meet local performance measures; operating a fiscal and management accountability system under section 136(f); and carrying out monitoring and oversight of activities carried out under this chapter. A State may use funds reserved as described in section 133(a)(1) to carry out statewide employment and training activities which may include— implementing innovative programs and strategies designed to meet the needs of all employers in the State, including small employers, which may include incumbent worker training programs, sectoral and industry cluster strategies and partnerships, career ladder programs, micro-enterprise and entrepreneurial training and support programs, utilization of effective business intermediaries, activities to improve linkages between the one-stop delivery system in the State and all employers (including small employers) in the State, and other business services and strategies that better engage employers in workforce investment activities and make the workforce investment system more relevant to the needs of State and local businesses, consistent with the objectives of this title; providing incentive grants to local areas for regional cooperation among local boards (including local boards in a designated region as described in section 116(c)), for local coordination of activities carried out under this Act, and for exemplary performance by local areas on the local performance measures; developing strategies for effectively integrating programs and services among one-stop partners; carrying out activities to facilitate remote access to services provided through a one-stop delivery system, including facilitating access through the use of technology; incorporating pay-for-performance contracting strategies as an element in funding activities under this section; carrying out the State option under subsection (f)(8); and carrying out other activities authorized under this section that the State determines to be necessary to assist local areas in carrying out activities described in subsection
(c)or
(d)through the statewide workforce investment system. A State shall use funds reserved as described in section 133(a)(2) to carry out statewide rapid response activities, which shall include— provision of rapid response activities, carried out in local areas by the State or by an entity designated by the State, working in conjunction with the local boards and the chief elected officials in the local areas; and provision of additional assistance to local areas that experience disasters, mass layoffs or plant closings, or other events that precipitate substantial increases in the number of unemployed individuals, carried out in local areas by the State or by an entity designated by the State, working in conjunction with the local boards and the chief elected officials in the local areas. Of the funds reserved as described in section 133(a)(3), the Governor of a State— may reserve up to 5 percent to provide technical assistance to, and conduct evaluations as described in section 136(e), of the programs and activities carried out under this paragraph; and using the remainder, shall award grants on a competitive basis to eligible entities described in subparagraph
(B)to carry out employment and training programs authorized under this paragraph for individuals with barriers to employment that meet specific performance outcomes and criteria established by the Governor. For purposes of this paragraph, the term eligible entity means an entity that— is a— local board or a consortium of local boards; nonprofit entity, for-profit entity, or a consortium of nonprofit or for-profit entities; or consortium of the entities described in subclauses
(I)and (II); has a demonstrated record of placing individuals into unsubsidized employment and serving hard to serve individuals; and agrees to be reimbursed primarily on the basis of achievement of specified performance outcomes and criteria established by the Governor. A grant under this paragraph shall be awarded for a period of 1 year. A Governor of a State may renew, for up to 4 additional 1-year periods, a grant awarded under this paragraph. To be eligible to participate in activities under this paragraph, an individual shall be a low-income individual age 16 or older or a member of a low-income family. An eligible entity receiving a grant under this paragraph shall use such funds for activities that are designed to assist eligible participants in obtaining employment and acquiring the education and skills necessary to succeed in the labor market. To be eligible to receive a grant under this paragraph, an eligible entity shall submit an application to a State at such time, in such manner, and containing such information as the State may require, including— a description of how the strategies and activities will be aligned with the State plan submitted under section 112 and the local plan submitted under section 118 with respect to the areas of the State that will be the focus of grant activities under this paragraph; a description of the educational and skills training programs and activities the eligible entity will provide to eligible participants under this paragraph; how the eligible entity will collaborate with State and local workforce investment systems established under this title in the provision of such programs and activities; a description of the programs of demonstrated effectiveness on which the provision of such educational and skills training programs and activities are based, and a description of how such programs and activities will improve the education and skills training for eligible participants; a description of the populations to be served and the skill needs of those populations, and the manner in which eligible participants will be recruited and selected as participants; a description of the private, public, local, and State resources that will be leveraged, in addition to the grant funds provided for the programs and activities under this paragraph, and how the entity will ensure the sustainability of such programs and activities after grant funds are no longer available; a description of the extent of the involvement of employers in such programs and activities; a description of the levels of performance the eligible entity expects to achieve with respect to the indicators of performance for all individuals specified in section in 136(b)(2); a detailed budget and a description of the system of fiscal controls, and auditing and accountability procedures that will be used to ensure fiscal soundness for the programs and activities provided under this paragraph; and any other criteria the Governor may require. ; by amending subsection
(b)to read as follows: Funds allocated to a local area under section 133(b)— shall be used to carry out employment and training activities described in subsection (c); and may be used to carry out employment and training activities described in subsection (d). ; by striking subsection (c); by redesignating subsections
(d)and (e), as subsections
(c)and (d), respectively; in subsection
(c)(as so redesignated)— by amending paragraph
(1)to read as follows: Funds allocated to a local area under section 133(b) shall be used— to establish a one-stop delivery system as described in section 121(e); to provide the work ready services described in paragraph
(2)through the one-stop delivery system in accordance with such paragraph; and to provide training services described in paragraph
(4)in accordance with such paragraph. ; in paragraph (2)— in the heading, by striking and inserting Core services ; Work ready services in the matter preceding subparagraph (A)— by striking (1)(A) and inserting (1)(B) ; by striking core services and inserting work ready services ; and by striking who are adults or dislocated workers ; by redesignating subparagraph
(K)as subparagraph (V); by redesignating subparagraphs
(B)through
(J)as subparagraphs
(C)through (K), respectively; by inserting after subparagraph
(A)the following: assistance in obtaining eligibility determinations under the other one-stop partner programs through activities, where appropriate and consistent with the authorizing statute of the one-stop partner program, such as assisting in the submission of applications, the provision of information on the results of such applications, and the provision of intake services and information; ; by amending subparagraph (E), as so redesignated, to read as follows: labor exchange services, including— job search and placement assistance, and where appropriate, career counseling; appropriate recruitment services for employers, including small employers, in the local area, which may include services described in this subsection, including information and referral to specialized business services not traditionally offered through the one-stop delivery system; and reemployment services provided to unemployment claimants, including claimants identified as in need of such services under the worker profiling system established under section 303(j) of the Social Security Act (42 U.S.C. 503(j)); ; in subparagraph (F), as so redesignated, by striking employment statistics and inserting workforce and labor market ; in subparagraph (G), as so redesignated, by striking and eligible providers of youth activities described in section 123, ; in subparagraph (H), as so redesignated, by inserting under section 136 after local performance measures ; in subparagraph (J), as so redesignated, by inserting and the administration of the work test for the unemployment compensation system after compensation ; by amending subparagraph (K), as so redesignated, to read as follows: assistance in establishing eligibility for programs of financial aid assistance for training and education programs that are not funded under this Act and are available in the local area; ; and by inserting the following new subparagraphs after subparagraph (K), as so redesignated: the provision of information from official publications of the Internal Revenue Service regarding Federal tax credits available to individuals relating to education, job training and employment; comprehensive and specialized assessments of the skill levels and service needs of workers, which may include— diagnostic testing and use of other assessment tools; and in-depth interviewing and evaluation to identify employment barriers and appropriate employment goals; development of an individual employment plan, to identify the employment goals, appropriate achievement objectives, and appropriate combination of services for the participant; group counseling; individual counseling and career planning; case management; short-term pre-career services, including development of learning skills, communications skills, interviewing skills, punctuality, personal maintenance skills, and professional conduct, to prepare individuals for unsubsidized employment or training; internships and work experience; literacy activities relating to basic work readiness, information and communication technology literacy activities, and financial literacy activities, if such activities are not available to participants in the local area under programs administered under the Adult Education and Family Literacy Act (20 U.S.C. 2901 et seq.); out-of-area job search assistance and relocation assistance; and ; and by amending paragraph
(3)to read as follows: The work ready services described in paragraph
(2)shall be provided through the one-stop delivery system and may be provided through contracts with public, private for-profit, and private nonprofit service providers, approved by the local board. ; in paragraph (4)— by amending subparagraph
(A)to read as follows: Funds described in paragraph (1)(C) shall be used to provide training services to individuals who— after an interview, evaluation, or assessment, and case management, have been determined by a one-stop operator or one-stop partner, as appropriate, to— be in need of training services to obtain or retain employment; and have the skills and qualifications to successfully participate in the selected program of training services; select programs of training services that are directly linked to the employment opportunities in the local area involved or in another area in which the individual receiving such services are willing to commute or relocate; and who meet the requirements of subparagraph (B); ; and in subparagraph (B)(i), by striking Except and inserting Notwithstanding section 479B of the Higher Education Act of 1965 ( ; 20 U.S.C. 1087uu ) and except by amending subparagraph
(D)to read as follows: Training services authorized under this paragraph may include— occupational skills training; on-the-job training; skill upgrading and retraining; entrepreneurial training; education activities leading to a regular secondary school diploma or its recognized equivalent in combination with, concurrently or subsequently, occupational skills training; adult education and literacy activities provided in conjunction with other training authorized under this subparagraph; workplace training combined with related instruction; occupational skills training that incorporates English language acquisition; customized training conducted with a commitment by an employer or group of employers to employ an individual upon successful completion of the training; and training programs operated by the private sector. ; by striking subparagraph
(E)and redesignating subparagraphs
(F)and
(G)as subparagraphs
(E)and (F), respectively; and in subparagraph
(E)(as so redesignated)— in clause (ii)— in the matter preceding subclause (I), by striking subsection
(c)and inserting section 121 ; in subclause (I), by striking section 122(e) and inserting section 122(d) and by striking section 122(h) and inserting section 122(i) ; and in subclause (II), by striking subsections
(e)and
(h)and inserting subsection
(i); and by striking clause
(iii)and inserting the following: An individual who seeks training services and who is eligible pursuant to subparagraph (A), may, in consultation with a case manager, select an eligible provider of training services from the list or identifying information for providers described in clause (ii)(I). Upon such selection, the one-stop operator involved shall, to the extent practicable, refer such individual to the eligible provider of training services, and arrange for payment for such services through a career enhancement account. Each local board may, through one-stop centers, coordinate career enhancement accounts with other Federal, State, local, or private job training programs or sources to assist the individual in obtaining training services. Each local board may, through one-stop centers, assist individuals receiving career enhancement accounts in obtaining funds (in addition to the funds provided under this section) from other programs and sources that will assist the individual in obtaining training services. ; and in subparagraph
(F)(as so redesignated)— in the subparagraph heading, by striking and inserting individual training accounts ; career enhancement accounts in clause
(i)by striking individual training accounts and inserting career enhancement accounts ; in clause (ii)— by striking an individual training account and inserting a career enhancement account ; by striking subparagraph
(F)and inserting subparagraph
(E); in subclause (II), by striking individual training accounts and inserting career enhancement accounts ; in subclause
(II)by striking or after the semicolon; in subclause
(III)by striking the period and inserting ; or ; and by adding at the end the following: the local board determines that it would be most appropriate to award a contract to an institution of higher education in order to facilitate the training of multiple individuals in in-demand sectors or occupations, if such contract does not limit customer choice. ; in clause (iii), by striking adult or dislocated worker and inserting individual ; and in clause (iv)— by redesignating subclause
(IV)as subclause
(V)and inserting after subclause
(III)the following: Individuals with disabilities. ; in subsection
(d)(as so redesignated)— by amending paragraph
(1)to read as follows: Funds allocated to a local area under section 133(b)(2) may be used to provide, through the one-stop delivery system— customized screening and referral of qualified participants in training services to employers; customized employment-related services to employers on a fee-for-service basis; customer supports, including transportation and childcare, to navigate among multiple services and activities for special participant populations that face multiple barriers to employment, including individuals with disabilities; employment and training assistance provided in coordination with child support enforcement activities of the State agency carrying out subtitle D of title IV of the Social Security Act ( 42 U.S.C. 651 et seq. ); incorporating pay-for-performance contracting strategies as an element in funding activities under this section; activities to facilitate remote access to services provided through a one-stop delivery system, including facilitating access through the use of technology; and activities to carry out business services and strategies that meet the workforce investment needs of local area employers, as determined by the local board, consistent with the local plan under section 118. . by striking paragraphs
(2)and (3); and by adding at the end the following: The local board may use funds allocated to a local area under section 133(b)(2) to carry out incumbent worker training programs in accordance with this paragraph. The training programs for incumbent workers under this paragraph shall be carried out by the local area in conjunction with the employers of such workers for the purpose of assisting such workers in obtaining the skills necessary to retain employment and avert layoffs. Employers participating in programs under this paragraph shall be required to pay a proportion of the costs of providing the training to the incumbent workers of the employers. The local board shall establish the required portion of such costs, which may include in-kind contributions. The wages paid by an employer to a worker while they are attending training may be included as part of the required payment of the employer. ; and by adding at the end the following: In providing employment and training activities authorized under this section, the State and local board shall give priority to placing participants in jobs in the private sector. Subject to paragraph (8), a local board shall hire and employ one or more veteran employment specialist to carry out employment, training, and placement services under this subsection in the local area served by the local board. A veteran employment specialist in a local area shall— conduct outreach to employers in the local area to assist veterans, including disabled veterans, in gaining employment, including— conducting seminars for employers; and in conjunction with employers, conducting job search workshops, and establishing job search groups; and facilitate employment, training, supportive, and placement services furnished to veterans, including disabled and homeless veterans, in the local area. Subject to paragraph (8), a local board shall, to the maximum extent practicable, employ veterans or individuals with expertise in serving veterans to carry out the services described in paragraph
(2)in the local area served by the local board. In hiring an individual to serve as a veteran employment specialist, a local board shall give preference to veterans and other individuals in the following order: To service-connected disabled veterans. If no veteran described in subparagraph
(A)is available, to veterans. If no veteran described in subparagraph
(A)or
(B)is available, to any member of the Armed Forces transitioning out of military service. If no veteran described in subparagraph (A), (B), or
(C)is available, to any spouse of a veteran or a spouse of a member of the Armed Forces transitioning out of military service. If no veteran described in subparagraph (A), (B), or
(C)is available and no spouse described in paragraph
(D)is available, to any other individuals with expertise in serving veterans. Each veteran employment specialist shall be administratively responsible to the manager of the one-stop delivery center in the local area and shall provide, at a minimum, quarterly reports to the manager of such center and to the Director for Veterans’ Employment and Training for the State on the performance and compliance by the specialist with Federal law and regulations with respect to the— principal duties and special services for veterans described in paragraph (2); and hiring preferences described in paragraph
(3)for veterans and individuals with expertise in serving veterans. Each State shall submit to the Secretary an annual report on the qualifications used by the local board in making hiring determinations for a veteran employment specialist and the salary structure under which such specialist is compensated. The Secretary shall submit to the Committee on Education and the Workforce and the Committee on Veterans’ Affairs of the House of Representatives and the Committee on Health, Education, Labor, and Pensions and the Committee on Veterans’ Affairs of the Senate an annual report summarizing the reports submitted under subparagraph (B), including summaries of outcomes achieved by participating veterans disaggregated by local areas. A part-time veteran employment specialist shall perform the functions of a veteran employment specialist under this subsection on a halftime basis. Each veteran employment specialist described in paragraph
(2)shall satisfactorily complete training provided by the National Veterans' Employment and Training Institute during the three-year period that begins on the date on which the employee is so assigned. A full-time veteran employment specialist shall perform only duties related to the employment, training, supportive, and placement services under this subsection, and shall not perform other non-veteran-related duties if such duties detract from the specialist’s ability to perform the specialist's duties related to employment, training, and placement services under this subsection. At the request of a local board, a State may assume the duties assigned to the local board under paragraphs
(1)and (3), including the hiring and employment of one or more veteran employment specialist for placement in the local area served by the local board. .
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Sec. 113
Use of funds for employment and training activities
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