US Codex
Bill
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Promoting Apprenticeships for Credentials and Employment Act

H.R. 5533 · 113th Congress · Sep 18, 2014 · Lineage

A BILL

To promote apprenticeships for credentials and employment, and for other purposes.

1. Short title and table of contents

(a)
Short title— This Act may be cited as the “Promoting Apprenticeships for Credentials and Employment Act” or the “PACE Act”.
(b)
Table of contents— The table of contents for this Act is as follows:

2. Findings and purposes

(a)
Findings— Congress finds the following:
(1)
A highly skilled workforce is necessary to compete in the global economy, support economic growth, and maintain the standard of living of the United States.
(2)
The registered apprenticeship program model is a longstanding, on-the-job training and education model that prepares workers for the skill demands of particular occupations and employers while, at the same time, providing the workers with recognized, portable credentials, and wages while in training.
(3)
The registered apprenticeship program model has been successful in skilled trade industries, including construction and manufacturing, as well as service industries, such as health care, and holds great potential for expansion into other industries.
(4)
Registered apprenticeship programs are an essential element of an effective workforce development system and help individuals attain a recognized postsecondary credential, contributing to their personal economic sustainability.
(5)
According to a report from the Georgetown University Center on Education and the Workforce, by 2018, the United States will face a shortage of workers with recognized postsecondary credentials—shortages of 3,000,000 workers with degrees and 4,700,000 workers with certificates.
(6)
According to a 2012 report from the Annie E. Casey Foundation, youth employment in the United States has reached the lowest point since World War II. More than 6,000,000 young people ages 16 through 24 are disconnected from school and work.
(7)
A 2012 evaluation of registered apprenticeship programs in 10 States by Mathematica Policy Research found that—
(A)
individuals who completed registered apprenticeship programs earned over $240,000 more over their careers than individuals not participating in such apprenticeship programs;
(B)
the estimated social benefits of registered apprenticeship programs exceeded their costs by more than $49,000; and
(C)
the tax return on every Federal Government dollar invested in registered apprenticeship programs was $27.
(8)
An evaluation in Washington State found the following:
(A)
Registered apprenticeship programs have been among the most effective workforce development programs, with the highest impact and the greatest return on investment of any such program.
(B)
For each individual who completes a registered apprenticeship program, over the individual's career, there is a 90-to-1 return on investment, for a total net benefit of just over $300,000 for that career.
(C)
The general public also receives a lifetime return on investment of 23-to-1, or around $80,000, for each person completing a registered apprenticeship program.
(b)
Purposes— The purposes of this Act are—
(1)
to increase the number of highly skilled workers in the United States, particularly in in-demand industry sectors and occupations;
(2)
to increase the attainment of recognized postsecondary credentials by participants;
(3)
to increase awareness about the value of the registered apprenticeship program model as an effective earn-and-learn model for students, workers, and employers;
(4)
to support the development of registered apprenticeship programs with employers, joint labor management partnerships, and other program sponsors, that offer jobs that lead to economic self-sufficiency;
(5)
to support the development and expansion of pre-apprenticeship programs that lead to success in a registered apprenticeship program; and
(6)
to support a closer alignment between registered apprenticeship programs, the workforce development system, and postsecondary education.

3. Definitions

In this Act:
(1)
Administrator— The term Administrator means the Administrator of the Office of Apprenticeship appointed under section 101(a).
(2)
Career pathway— The term career pathway means a combination of rigorous and high-quality education, training, and other services that—
(A)
aligns with the skill needs of industries in the economy of the State or regional economy involved;
(B)
prepares an individual to be successful in any of a 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”);
(C)
includes counseling to support an individual in achieving the individual’s education and career goals;
(D)
includes, as appropriate, education offered concurrently with and in the same context as workforce preparation activities and training for a specific occupation or occupational cluster;
(E)
organizes education, training, and other services to meet the particular needs of an individual in a manner that accelerates the educational and career advancement of the individual to the extent practicable;
(F)
enables an individual to attain a secondary school diploma or its recognized equivalent, and at least 1 recognized postsecondary credential; and
(G)
helps an individual enter or advance within a specific occupation or occupational cluster.
(3)
Educational service agency— The term educational service agency—
(A)
has the meaning given the term in section 9101 of the Elementary and Secondary Education Act of 1965 (20 U.S.C. 7801); and
(B)
includes a consortium of those agencies.
(4)
High school— The term high school means a nonprofit institutional day or residential school that—
(A)
provides secondary education, as determined under State law;
(B)
grants a diploma, as defined by the State; and
(C)
includes, at least, grade 12.
(5)
In-demand industry sector or occupation—
(A)
In general— The term in-demand industry sector or occupation means—
(i)
an industry sector that has a substantial current or potential impact (including through jobs that lead to economic self-sufficiency and opportunities for advancement) on the State, regional, or local economy, as appropriate, and that contributes to the growth or stability of other supporting businesses, or the growth of other industry sectors; or
(ii)
an occupation that currently has or is projected to have a number of positions (including positions that lead to economic self-sufficiency and opportunities for advancement) in an industry sector so as to have a significant impact on the State, regional, or local economy, as appropriate.
(B)
Determination— The determination of whether an industry sector or occupation is in-demand under this paragraph shall be made by the State board or local board, as appropriate, using State and regional business and labor market projections, including the use of labor market information.
(6)
National apprenticeship system— The term national apprenticeship system means the collective group of registered apprenticeship programs and pre-apprenticeship programs in the Nation (including the rules and regulations governing the 2 types of programs).
(7)
Postsecondary educational institution— The term postsecondary educational institution has the meaning given the term in section 101 of the Workforce Investment Act of 1998 (29 U.S.C. 2801).
(8)
Pre-apprenticeship program— The term pre-apprenticeship program means a program or set of strategies that—
(A)
is designed to prepare individuals to enter and succeed in a registered apprenticeship program;
(B)
is carried out by an entity that has a documented partnership with at least 1 sponsor of a registered apprenticeship program; and
(C)
includes each of the following elements:
(i)
Training (including a curriculum for the training), aligned with industry standards and approved by the documented partnership, that will prepare individuals by teaching the skills and competencies needed to enter one or more registered apprenticeship programs.
(ii)
Provision of hands-on training and theoretical education to individuals in a simulated laboratory experience or volunteer opportunity that—
(I)
accurately simulates the industry and occupational conditions of the registered apprenticeship program described in subparagraph (B);
(II)
is carried out in a manner that includes proper observation of supervision and safety protocols; and
(III)
is carried out in a manner that does not displace a paid employee.
(iii)
A formal agreement with a sponsor of a registered apprenticeship program that would enable participants who successfully complete the pre-apprenticeship program to enter directly into the registered apprenticeship program (if a place in the program is available), and includes agreements concerning earning credit for skills and competencies acquired during the pre-apprenticeship program.
(9)
Recognized postsecondary credential— The term recognized postsecondary credential means a credential consisting of an industry-recognized certificate or certification, a certificate of completion of an apprenticeship, a license recognized by the State involved or Federal Government, or an associate or baccalaureate degree.
(10)
Registered apprenticeship program— The term registered apprenticeship program means a program 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.).
(11)
Secretary— Except as provided in section 102 or as otherwise modified, the term Secretary means the Secretary of Labor, acting through the Administrator.
(12)
Sponsor— The term sponsor means—
(A)
with respect to a registered apprenticeship program, an employer, joint labor management partnership, trade association, labor organization, or other entity that administers the registered apprenticeship program; and
(B)
with respect to a pre-apprenticeship program, an entity that administers the pre-apprenticeship program.