Sec. 5. Skills-based sector grants
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Subtitle D of title I of the Workforce Innovation and Opportunity Act is amended by inserting after section 171 ( 29 U.S.C. 3226 ) the following: In this section, the term sector partnership has the meaning given the term industry or sector partnership in section 3. The Secretary shall award grants, on a competitive basis, to Governors of States to enable the Governors to award subgrants to sector partnerships or labor-management partnerships for the Federal share of carrying out the activities described in subsection (e), in order to promote collaborative planning, resource alignment, and skills-based training and hiring across multiple employers for a range of workers.
Each subgrant awarded under this section to a sector partnership or labor-management partnership shall be in an amount of not more than $1,000,000 and for a period of 3 years. A Governor desiring to receive a grant under this section shall submit an application at such time, in such manner, and containing such information as the Secretary may require, including information describing how a sector partnership or labor-management partnership, in carrying out the activities under the subgrant, will— align the activities with career pathways and expand access to career pathway opportunities for workers within the industry or sector involved; and improve compensation and other employment benefits for workers within the industry or sector involved.
In awarding subgrants under this section, a Governor shall give priority to sector partnerships or labor-management partnerships that— demonstrate that the sector partnership or labor-management partnership will prepare the local workforce for employment in growing, in-demand industry sectors or occupations; and target low-income individuals. A sector partnership or labor-management partnership receiving a subgrant under this section shall use the grant funds to carry out one or more of the following activities:
Identifying the training needs of multiple businesses in the targeted industry, including— needs for skills critical to competitiveness and innovation in the industry; needs of the apprenticeship programs or other work-based learning programs supported by the grant; and needs for the usage of career pathways. Developing and improving training programs that provide skills-based training for the industry cluster. Conducting outreach to Upskill Account-eligible individuals to encourage enrollment in training programs.
Establishing a pathway navigator program to assist workers in assessing training options and career pathways. Assisting employers in implementing skills-based hiring practices. Collecting data on the benefits to employers of using skills-based hiring. Carrying out other activities to support both industry engagement in, and worker access to and success in, training programs and employment. The Federal share of a subgrant under this section shall be— in the first year of the subgrant, 90 percent of the costs of grant activities described in this section; in the second year, 80 percent of such costs; and in the third year, 70 percent of such costs.
The non-Federal share of a subgrant under this section may be in cash or in-kind, and may come from State, local, philanthropic, private, or other sources. The Secretary shall prepare and submit to Congress a report on the geographic distribution (including distribution to urban, suburban, and rural areas) of grants and subgrants awarded under this section. . Section 172 of such Act ( 29 U.S.C. 3227 ) is amended— by redesignating subsections
(e)and
(f)as subsections
(f)and (g), respectively; and by inserting after subsection
(d)the following: There are authorized to be appropriated to carry out section 171A such sums as may be necessary for fiscal year 2020 and each subsequent fiscal year. . The table of contents of such Act is amended by inserting after the item relating to section 171 the following: Sec. 171A. Skills-based sector grants. .
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