H.R. 803 — what changed

removed Except as otherwise provided, this Act and the amendments made by this Act shall be effective with respect to fiscal year 2014 and succeeding fiscal years.

removed Section 112 (29 U.S.C. 2822)—

removed “(4) information describing—

removed “(A) the economic conditions in the State;

removed “(B) the immediate and long-term skilled workforce needs of in-demand industries, small businesses, and other occupations important to the State economy;

removed “(C) the knowledge and skills of the workforce in the State; and

removed “(D) workforce development activities (including education and training) in the State;”

removed “(7) a description of the State criteria for determining the eligibility of training providers in accordance with section 122, including how the State will take into account the performance of providers and whether the training programs relate to occupations that are in-demand;”

removed “(8)

removed “(A) a description of the procedures that will be taken by the State to assure coordination of, and avoid duplication among, the programs and activities identified under section 501(b)(2); and

removed “(B) a description of common data collection and reporting processes used for the programs and activities described in subparagraph (A), which are carried out by one-stop partners, including—

removed “(i) assurances that such processes use quarterly wage records for performance measures described in section 136(b)(2)(A) that are applicable to such programs or activities; or

removed “(ii) if such wage records are not being used for the performance measures, an identification of the barriers to using such wage records and a description of how the State will address such barriers within one year of the approval of the plan;”

removed “(iv) how the State will serve the employment and training needs of dislocated workers (including displaced homemakers), low-income individuals (including recipients of public assistance such as supplemental nutrition assistance program benefits pursuant to the Food and Nutrition Act of 2008 (7 U.S.C. 2011 et seq.)), long-term unemployed individuals (including individuals who have exhausted entitlement to State and Federal unemployment compensation), English learners, homeless individuals, individuals training for nontraditional employment, youth (including out-of-school youth and at-risk youth), older workers, ex-offenders, migrant and seasonal farmworkers, refugee and entrants, veterans (including disabled and homeless veterans), and Native Americans; and”

removed “(v) how the State will—

removed “(I) consistent with section 188 and Executive Order No. 13217 (42 U.S.C. 12131 note), serve the employment and training needs of individuals with disabilities; and

removed “(II) consistent with sections 504 and 508 of the Rehabilitation Act of 1973, include the provision of outreach, intake, assessments, and service delivery, the development of performance measures, the training of staff, and other aspects of accessibility to programs and services under this subtitle;”

removed “(17) a description of the strategies and services that will be used in the State—

removed “(A) to more fully engage employers, including small businesses and employers in in-demand industries and occupations important to the State economy;

removed “(B) to meet the needs of employers in the State; and

removed “(C) to better coordinate workforce development programs with economic development activities;

removed “(18) a description of how the State board will convene (or help to convene) industry or sector partnerships that lead to collaborative planning, resource alignment, and training efforts across multiple firms for a range of workers employed or potentially employed by a targeted industry cluster—

removed “(A) to encourage industry growth and competitiveness and to improve worker training, retention, and advancement in targeted industry clusters;

removed “(B) to address the immediate and long-term skilled workforce needs of in-demand industries and other occupations important to the State economy, and

removed “(C) to address critical skill gaps within and across industries;

removed “(19) a description of how the State will utilize technology to facilitate access to services in remote areas, which may be used throughout the State;

removed “(20) a description of the State strategy and assistance to be provided for encouraging regional cooperation within the State and across State borders, as appropriate;

removed “(21) a description of the actions that will be taken by the State to foster communication, coordination, and partnerships with non-profit organizations (including public libraries, community, faith-based, and philanthropic organizations) that provide employment-related, training, and complementary services, to enhance the quality and comprehensiveness of services available to participants under this title;

removed “(22) a description of the process and methodology for determining—

removed “(A) one-stop partner program contributions for the cost of the infrastructure of one-stop centers under section 121(h)(1); and

removed “(B) the formula for allocating such infrastructure funds to local areas under section 121(h)(3);

removed “(23) a description of the 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, credentials (including recognized postsecondary credentials and industry-recognized credentials), and employment experience to succeed in the labor market, including—

removed “(A) training and internships in in-demand industries or occupations important to the State and local economy;

removed “(B) dropout recovery activities that are designed to lead to the attainment of a regular secondary school diploma or its recognized equivalent, or other State recognized equivalent (including recognized alternative standards for individuals with disabilities); and

removed “(C) activities combining remediation of academic skills, work readiness training, and work experience, and including linkages to postsecondary education and training and career-ladder employment; and

removed “(24) a description of—

removed “(A) how the State will furnish employment, training, including training in advanced manufacturing, supportive, and placement services to veterans, including disabled and homeless veterans;

removed “(B) the strategies and services that will be used in the State to assist and expedite reintegration of homeless veterans into the labor force; and

removed “(C) the veteran population to be served in the State.”

removed Section 116 (29 U.S.C. 2831) is amended—

removed “(1) In general

removed “(A) Process—In order to receive an allotment under section 132, a State, through the State board, shall establish a process to designate local workforce investment areas within the State. Such process shall—

removed “(i) support the statewide workforce investment system developed under section 111(d)(2) that will meet the workforce needs of the State and its local areas;

removed “(ii) include prior consultation with chief elected officials;

removed “(iii) consider comments received through the public comment process as described in section 112(b)(9); and

removed “(iv) require the submission of an approved application under subparagraph (B).

removed “(B) Application—To be designated as a local area under this paragraph, a local or regional board (or consortiums of local or regional boards) shall submit an application to a State board at such time, in such manner, and containing such information as the State board may require, including—

removed “(i) a description of the local area, including the population that will be served by the local area, and the education and training needs of its employers and workers;

removed “(ii) a description of how the local area is consistent or aligned with—

removed “(I) service delivery areas;

removed “(II) labor market areas; and

removed “(III) economic development regions;

removed “(iii) a description of the eligible providers of education and training, including postsecondary educational institutions such as community colleges, located in the local area available to meet the needs of the local workforce;

removed “(iv) a description of the distance that individuals will need to travel to receive services provided in such local area; and

removed “(v) any other criteria that the State board may require.

removed “(C) Priority—In designating local areas under this paragraph, a State board shall give priority consideration to applicants demonstrating that a designation as a local area under this paragraph will result in the reduction of overlapping service delivery areas, local market areas, or economic development regions.

removed “(D) Alignment with local plan—A State may designate an applicant as a local area under this paragraph for a period not to exceed 3 years.”

removed “(2) Technical assistance—The Secretary shall, if requested by the Governor of a State, provide the State with technical assistance in making the determinations required under paragraph (1). The Secretary shall not issue regulations governing determinations to be made under paragraph (1).”

removed “(b) Single states—Consistent with subsection (a), the State board of a State may designate the State as a single State local area for the purposes of this title.”

removed Section 122 (29 U.S.C. 2842) is amended to read as follows:

removed “122. Identification of eligible providers of training services

removed “(a) Eligibility

removed “(1) In general—The Governor, after consultation with the State board, shall establish criteria and procedures regarding the eligibility of providers of training services described in section 134(c)(4) to receive funds provided under section 133(b) for the provision of such training services.

removed “(2) Providers—Subject to the provisions of this section, to be eligible to receive the funds provided under section 133(b) for the provision of training services, the provider shall be—

removed “(A) a postsecondary educational institution that—

removed “(i) is eligible to receive Federal funds under title IV of the Higher Education Act of 1965 (20 U.S.C. 1070 et seq.); and

removed “(ii) provides a program that leads to a recognized postsecondary credential;

removed “(B) an entity that carries out programs 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.); or

removed “(C) another public or private provider of a program of training services.

removed “(3) Inclusion in list of eligible providers—A provider described in subparagraph (A) or (C) of paragraph (2) shall comply with the criteria and procedures established under this section to be included on the list of eligible providers of training services described in subsection (d). A provider described in paragraph (2)(B) shall be included on the list of eligible providers of training services described in subsection (d) for so long as the provider remains certified by the Secretary of Labor to carry out the programs described in paragraph (2)(B).

removed “(b) Criteria

removed “(1) In general—The criteria established pursuant to subsection (a) shall take into account—

removed “(A) the performance of providers of training services with respect to the performance measures described in section 136 and other matters for which information is required under paragraph (2) and other appropriate measures of performance outcomes for those participants receiving training services under this subtitle;

removed “(B) whether the training programs of such providers relate to occupations that are in demand;

removed “(C) the need to ensure access to training services throughout the State, including in rural areas;

removed “(D) the ability of providers to offer programs that lead to a recognized postsecondary credential;

removed “(E) the information such providers are required to report to State agencies with respect to other Federal and State programs (other than the program carried out under this subtitle), including one-stop partner programs; and

removed “(F) such other factors as the Governor determines are appropriate.

removed “(2) Information—The criteria established by the Governor shall require that a provider of training services submit appropriate, accurate, and timely information to the State for purposes of carrying out subsection (d), with respect to participants receiving training services under this subtitle in the applicable program, including—

removed “(A) information on recognized postsecondary credentials received by such participants;

removed “(B) information on costs of attendance for such participants;

removed “(C) information on the program completion rate for such participants; and

removed “(D) information on the performance of the provider with respect to the performance measures described in section 136 for such participants.

removed “(3) Renewal—The criteria established by the Governor shall also provide for a review every 3 years and renewal of eligibility under this section for providers of training services.

removed “(4) Local criteria—A local board in the State may establish criteria in addition to the criteria established by the Governor, or may require higher levels of performance than required under the criteria established by the Governor, for purposes of determining the eligibility of providers of training services to receive funds described in subsection (a) to provide the services in the local area involved.

removed “(5) Limitation—In carrying out the requirements of this subsection, no personally identifiable information regarding a student, including Social Security number, student identification number, or other identifier, may be disclosed without the prior written consent of the parent or eligible student in compliance with section 444 of the General Education Provisions Act (20 U.S.C. 1232g).

removed “(c) Procedures—The procedures established under subsection (a) shall—

removed “(1) identify—

removed “(A) the application process for a provider of training services to become eligible to receive funds under section 133(b) for the provision of training services; and

removed “(B) the respective roles of the State and local areas in receiving and reviewing applications and in making determinations of eligibility based on the criteria established under this section; and

removed “(2) establish a process for a provider of training services to appeal a denial or termination of eligibility under this section that includes an opportunity for a hearing and prescribes appropriate time limits to ensure prompt resolution of the appeal.

removed “(d) Information To assist participants in choosing providers—In order to facilitate and assist participants under chapter 5 in choosing providers of training services, the Governor shall ensure that an appropriate list or lists of providers determined eligible under this section in the State, including information provided under subsection (b)(2) with respect to such providers, is provided to the local boards in the State and is made available to such participants and to members of the public through the one-stop delivery system in the State.

removed “(e) Enforcement

removed “(1) In general—The criteria and procedures established under this section shall provide the following:

removed “(A) Intentionally supplying inaccurate information—Upon a determination, by an individual or entity specified in the criteria or procedures, that a provider of training services, or individual providing information on behalf of the provider, intentionally supplied inaccurate information under this section, the eligibility of such provider to receive funds under chapter 5 shall be terminated for a period of time that is not less than 2 years.

removed “(B) Substantial violations—Upon a determination, by an individual or entity specified in the criteria or procedures, that a provider of training services substantially violated any requirement under this title, the eligibility of such provider to receive funds under the program involved shall be terminated for a period of time that is not less than 10 years.

removed “(C) Repayment—A provider of training services whose eligibility is terminated under subparagraph (A) or (B) shall be liable for the repayment of funds received under chapter 5 during a period of noncompliance described in such subparagraph.

removed “(2) Construction—Paragraph (1) shall be construed to provide remedies and penalties that supplement, but do not supplant, other civil and criminal remedies and penalties.

removed “(f) Agreements with other states—States may enter into agreements, on a reciprocal basis, to permit eligible providers of training services to accept career enhancement accounts provided in another State.

removed “(g) Recommendations—In developing the criteria, procedures, and information required under this section, the Governor shall solicit and take into consideration the recommendations of local boards and providers of training services within the State.

removed “(h) Opportunity To submit comments—During the development of the criteria, procedures, requirements for information, and the list of eligible providers required under this section, the Governor shall provide an opportunity for interested members of the public to submit comments regarding such criteria, procedures, and information.

removed “(i) On-the-Job training or customized training exception

removed “(1) In general—Providers of on-the-job training or customized training shall not be subject to the requirements of subsections (a) through (d).

removed “(2) Collection and dissemination of information—A one-stop operator in a local area shall collect such performance information from on-the-job training and customized training providers as the Governor may require, determine whether the providers meet such performance criteria as the Governor may require, and disseminate information identifying providers that meet the criteria as eligible providers, and the performance information, through the one-stop delivery system. Providers determined to meet the criteria shall be considered to be identified as eligible providers of training services.”

removed Chapter 5 of subtitle B of title I is amended—

removed Section 133 is amended—

removed “(a) Reservations for Statewide workforce investment activities

removed “(1) Statewide employment and training activities—The Governor of a State shall reserve up to 15 percent of the total amount allotted to the State under section 132(b)(2) for a fiscal year to carry out the statewide activities described in section 134(a).

removed “(2) Statewide rapid response activities—Of the amount reserved under paragraph (1) for a fiscal year, the Governor of the State shall reserve not more than 25 percent for statewide rapid response activities described in section 134(a)(4).

removed “(3) Statewide grants for individuals with barriers to employment—Of the amount reserved under paragraph (1) for a fiscal year, the Governor of a State shall reserve 15 percent to carry out statewide activities described in section 134(a)(5).

removed “(4) State administrative cost limit—Not more than 5 percent of the funds reserved under paragraph (1) may be used by the Governor of a State for administrative costs of carrying out the statewide activities described in section 134(a).”

removed “(b) Within state allocation

removed “(1) Methods—The Governor, acting in accordance with the State plan, and after consulting with chief elected officials in the local areas, shall—

removed “(A) allocate the funds that are allotted to the State for employment and training activities and not reserved under subsection (a), in accordance with paragraph (2)(A); and

removed “(B) award the funds that are reserved by the State under subsection (a)(3) through competitive grants to eligible entities, in accordance with section 134(a)(1)(C).

removed “(2) Formula allocations for the workforce investment fund

removed “(A) Allocation—In allocating the funds described in paragraph (1)(A) to local areas, a State shall allocate—

removed “(i) 25 percent on the basis described in section 132(b)(2)(B)(i);

removed “(ii) 25 percent on the basis described in section 132(b)(2)(B)(ii);

removed “(iii) 25 percent on the basis described in section 132(b)(2)(B)(iii); and

removed “(iv) 25 percent on the basis described in section 132(b)(2)(B)(iv).

removed “(B) Minimum and maximum percentages

removed “(i) Minimum percentage—The State shall ensure that no local area shall receive an allocation under this paragraph for—

removed “(I) each of fiscal years 2014 through 2016, that is less than 100 percent of the allocation percentage of the local area for fiscal year 2012; and

removed “(II) fiscal year 2017 and each succeeding fiscal year, that is less than 90 percent of the allocation percentage of the local area for the preceding fiscal year.

removed “(ii) Maximum percentage—Subject to clause (i), the State shall ensure that no local area shall receive an allocation for a fiscal year under this paragraph for—

removed “(I) each of fiscal years 2014 through 2016, that is more than 130 percent of the allocation percentage of the local area for fiscal year 2012; and

removed “(II) fiscal year 2017 and each succeeding fiscal year, that is more than 130 percentage of the allocation percentage of the local area for the preceding fiscal year.

removed “(C) Definitions—For the purpose of the formula specified in this paragraph, the term allocation percentage—

removed “(i) used with respect to fiscal year 2012, means the percentage of the amounts allocated to local areas under title I of this Act, title V of the Older Americans Act of 1965 (42 U.S.C. 3056 et seq.), the Women in Apprenticeship and Nontraditional Occupations Act (29 U.S.C. 2501 et seq.), sections 4103A and 4104 of title 38, United States Code, and sections 1 through 14 of the Wagner-Peyser Act (29 U.S.C. 49 et seq.), as such provisions were in effect for fiscal year 2012, that is received under such provisions by the local area involved for fiscal year 2012; and

removed “(ii) used with respect to fiscal year 2016 or a succeeding fiscal year, means the percentage of the amounts allocated to local areas for the fiscal year under this paragraph that is received under this paragraph by the local area involved for the fiscal year.”

removed “(1) In general—The Governor, may in accordance with this subsection, reallocate to eligible local areas within the State amounts that are allocated under subsection (b) for employment and training activities and that are available for reallocation.”

removed “(3) Reallocations—In making reallocations to eligible local areas of amounts available pursuant to paragraph (2) for a program year, the Governor shall allocate to each eligible local area within the State an amount based on the relative amount allocated to such local area under subsection (b)(2) for such activities for such prior program year, as compared to the total amount allocated to all eligible local areas in the State under subsection (b)(2) for such activities for such prior program year.”

removed “(d) Local administrative cost limit—Of the amounts allocated to a local area under this section for a fiscal year, not more than 10 percent of the amount may be used by the local board involved for the administrative costs of carrying out local workforce investment activities in the local area under this chapter.”

removed Section 134 is amended—

removed “(a) Statewide Employment and Training Activities

removed “(1) In general

removed “(A) Distribution of statewide activities—Funds reserved by a Governor for a State as described in section 133(a)(1)—

removed “(i) shall be used to carry out the statewide employment and training activities described in paragraph (2); and

removed “(ii) may be used to carry out any of the statewide employment and training activities described in paragraph (3).

removed “(B) Statewide rapid response activities—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).

removed “(C) Statewide grants for individuals with barriers to employment—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).

removed “(2) Required Statewide employment and training activities—A State shall use funds reserved as described in section 133(a)(1) to carry out statewide employment and training activities, which shall include—

removed “(A) 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);

removed “(B) supporting the provision of work ready services described in subsection (c)(2) in the one-stop delivery system;

removed “(C) 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;

removed “(D) conducting evaluations under section 136(e) of activities authorized under this chapter in coordination with evaluations carried out by the Secretary under section 172;

removed “(E) providing technical assistance to local areas that fail to meet local performance measures;

removed “(F) operating a fiscal and management accountability system under section 136(f); and

removed “(G) carrying out monitoring and oversight of activities carried out under this chapter.

removed “(3) Allowable statewide employment and training activities—A State may use funds reserved as described in section 133(a)(1) to carry out statewide employment and training activities which may include—

removed “(A) 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;

removed “(B) 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;

removed “(C) developing strategies for effectively integrating programs and services among one-stop partners;

removed “(D) carrying out activities to facilitate remote access to services provided through a one-stop delivery system, including facilitating access through the use of technology;

removed “(E) incorporating pay-for-performance contracting strategies as an element in funding activities under this section and providing technical support to local areas and eligible providers in order to carry out such strategy, which may provide assistance with data collection and data entry requirements;

removed “(F) carrying out the State option under subsection (f)(8); and

removed “(G) 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.

removed “(4) Statewide rapid response activities—A State shall use funds reserved as described in section 133(a)(2) to carry out statewide rapid response activities, which shall include—

removed “(A) 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

removed “(B) 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.

removed “(5) Statewide grants for individuals with barriers to employment

removed “(A) In general—Of the funds reserved as described in section 133(a)(3), the Governor of a State—

removed “(i) 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

removed “(ii) 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.

removed “(B) Eligible entity defined—For purposes of this paragraph, the term eligible entity means an entity that—

removed “(i) is a—

removed “(I) local board or a consortium of local boards;

removed “(II) nonprofit entity, for-profit entity, or a consortium of nonprofit or for-profit entities; or

removed “(III) consortium of the entities described in subclauses (I) and (II);

removed “(ii) has a demonstrated record of placing individuals into unsubsidized employment and serving hard to serve individuals; and

removed “(iii) agrees to be reimbursed primarily on the basis of achievement of specified performance outcomes and criteria established by the Governor.

removed “(C) Grant period

removed “(i) In general—A grant under this paragraph shall be awarded for a period of 1 year.

removed “(ii) Grant renewal—A Governor of a State may renew, for up to 4 additional 1-year periods, a grant awarded under this paragraph.

removed “(D) Eligible Participants—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.

removed “(E) Use of Funds—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.

removed “(F) Applications—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—

removed “(i) 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;

removed “(ii) a description of the educational and skills training programs and activities the eligible entity will provide to eligible participants under this paragraph;

removed “(iii) 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;

removed “(iv) 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;

removed “(v) 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;

removed “(vi) 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;

removed “(vii) a description of the extent of the involvement of employers in such programs and activities;

removed “(viii) 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);

removed “(ix) 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

removed “(x) any other criteria the Governor may require.”

removed “(b) Local employment and training activities—Funds allocated to a local area under section 133(b)—

removed “(1) shall be used to carry out employment and training activities described in subsection (c); and

removed “(2) may be used to carry out employment and training activities described in subsection (d).”

removed “(1) In general—Funds allocated to a local area under section 133(b) shall be used—

removed “(A) to establish a one-stop delivery system as described in section 121(e);

removed “(B) to provide the work ready services described in paragraph (2) through the one-stop delivery system in accordance with such paragraph; and

removed “(C) to provide training services described in paragraph (4) in accordance with such paragraph.”

removed “(B) 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;”

removed “(E) labor exchange services, including—

removed “(i) job search and placement assistance, and where appropriate, career counseling;

removed “(ii) 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

removed “(iii) 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));”

removed “(K) 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;”

removed “(L) 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;

removed “(M) comprehensive and specialized assessments of the skill levels and service needs of workers, which may include—

removed “(i) diagnostic testing and use of other assessment tools; and

removed “(ii) in-depth interviewing and evaluation to identify employment barriers and appropriate employment goals;

removed “(N) development of an individual employment plan, to identify the employment goals, appropriate achievement objectives, and appropriate combination of services for the participant;

removed “(O) group counseling;

removed “(P) individual counseling and career planning;

removed “(Q) case management;

removed “(R) 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;

removed “(S) internships and work experience;

removed “(T) 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.);

removed “(U) out-of-area job search assistance and relocation assistance; and”

removed “(3) Delivery of services—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.”

removed “(A) In general—Funds described in paragraph (1)(C) shall be used to provide training services to individuals who—

removed “(i) after an interview, evaluation, or assessment, and case management, have been determined by a one-stop operator or one-stop partner, as appropriate, to—

removed “(I) be in need of training services to obtain or retain employment; and

removed “(II) have the skills and qualifications to successfully participate in the selected program of training services;

removed “(ii) 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

removed “(iii) who meet the requirements of subparagraph (B).”

removed “(D) Training services—Training services authorized under this paragraph may include—

removed “(i) occupational skills training;

removed “(ii) on-the-job training;

removed “(iii) skill upgrading and retraining;

removed “(iv) entrepreneurial training;

removed “(v) education activities leading to a regular secondary school diploma or its recognized equivalent in combination with, concurrently or subsequently, occupational skills training;

removed “(vi) adult education and literacy activities provided in conjunction with other training authorized under this subparagraph;

removed “(vii) workplace training combined with related instruction;

removed “(viii) occupational skills training that incorporates English language acquisition;

removed “(ix) customized training conducted with a commitment by an employer or group of employers to employ an individual upon successful completion of the training; and

removed “(x) training programs operated by the private sector.”

removed “(iii) Career enhancement accounts—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.

removed “(iv) Coordination—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.

removed “(v) Assistance—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.”

removed “(IV) the local board determines that it would be most appropriate to award a contract to a postsecondary educational institution that has been identified as a priority eligible provider under section 117(d)(5)(B) in order to facilitate the training of multiple individuals in in-demand sectors or occupations, such contract may be used to enable the expansion of programs provided by a priority eligible provider, and such contract does not limit customer choice.”

removed “(IV) Individuals with disabilities.”

removed “(1) Discretionary one-stop delivery activities

removed “(A) In general—Funds allocated to a local area under section 133(b)(2) may be used to provide, through the one-stop delivery system—

removed “(i) customized screening and referral of qualified participants in training services to employers;

removed “(ii) customized employment-related services to employers on a fee-for-service basis;

removed “(iii) 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;

removed “(iv) 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.);

removed “(v) incorporating pay-for-performance contract strategies as an element in funding activities under this section;

removed “(vi) activities to facilitate remote access to services provided through a one-stop delivery system, including facilitating access through the use of technology; and

removed “(vii) 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.”

removed “(2) Incumbent worker training programs

removed “(A) In general—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.

removed “(B) Training activities—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.

removed “(C) Employer match required

removed “(i) In general—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.

removed “(ii) Calculation of match—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.”

removed “(e) Priority for Placement in Private Sector Jobs—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.

removed “(f) Veteran employment specialist

removed “(1) In general—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.

removed “(2) Principal duties—A veteran employment specialist in a local area shall—

removed “(A) conduct outreach to employers in the local area to assist veterans, including disabled veterans, in gaining employment, including—

removed “(i) conducting seminars for employers; and

removed “(ii) in conjunction with employers, conducting job search workshops, and establishing job search groups; and

removed “(B) facilitate employment, training, supportive, and placement services furnished to veterans, including disabled and homeless veterans, in the local area.

removed “(3) Hiring preference for veterans and individuals with expertise in serving veterans—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:

removed “(A) To service-connected disabled veterans.

removed “(B) If no veteran described in subparagraph (A) is available, to veterans.

removed “(C) If no veteran described in subparagraph (A) or (B) is available, to any member of the Armed Forces transitioning out of military service.

removed “(D) 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.

removed “(E) 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.

removed “(4) Administration and reporting

removed “(A) In general—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—

removed “(i) principal duties and special services for veterans described in paragraph (2); and

removed “(ii) hiring preferences described in paragraph (3) for veterans and individuals with expertise in serving veterans.

removed “(B) Report to Secretary—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.

removed “(C) Report to Congress—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.

removed “(5) Part-time employees—A part-time veteran employment specialist shall perform the functions of a veteran employment specialist under this subsection on a halftime basis.

removed “(6) Training requirements—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.

removed “(7) Specialist’s duties—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.

removed “(8) State option—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.”

removed Section 136 (29 U.S.C. 2871) is amended—

removed “(1) In general—For each State, the State performance measures shall consist of—

removed “(A)

removed “(i) the core indicators of performance described in paragraph (2)(A); and

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

removed “(B) a State adjusted level of performance for each indicator described in subparagraph (A).

removed “(2) Indicators of performance

removed “(A) Core indicators of performance

removed “(i) In general—The core indicators of performance for the program of employment and training activities authorized under sections 132(a)(2) and 134, the program of adult education and literacy activities authorized under title II, 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 the following indicators of performance, each disaggregated by the populations identified in the State and local plans:

removed “(I) The percentage and number of program participants who are in unsubsidized employment during the second full calendar quarter after exit from the program.

removed “(II) The percentage and number of program participants who are in unsubsidized employment during the fourth full calendar quarter after exit from the program.

removed “(III) The median earnings of program participants who are in unsubsidized employment during the second full calendar quarter after exit from the program compared to the median earnings of such participants prior to the training received under such program.

removed “(IV) The percentage and number of program participants who obtain a recognized postsecondary credential, a registered apprenticeship, an industry-recognized credential, or a regular secondary school diploma or its recognized equivalent (subject to clause (ii)), during participation in or within 1 year after exit from program.

removed “(V) The percentage and number of program participants who, during a program year—

removed “(aa) are in an education or training program that leads to a recognized postsecondary credential, a registered apprenticeship or on-the-job training program, an industry-recognized credential, a regular secondary school diploma or its recognized equivalent, or unsubsidized employment; and

removed “(bb) are achieving measurable basic skill gains toward such a credential or employment.

removed “(VI) The percentage and number of program participants who obtain unsubsidized employment in the field relating to the training services described in section 134(c)(4) that such participants received.

removed “(ii) Indicator relating to credential—For purposes of clause (i)(IV), program participants who obtain a regular 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, within 1 year after exit from the program, obtained or retained employment, have been removed from public assistance, or are in an education or training program leading to a recognized postsecondary credential.

removed “(B) Additional indicators—A State may identify in the State plan additional indicators for workforce investment activities authorized under this subtitle.”

removed “(3) Determinations—In determining such local levels of performance, the local board, the chief elected official, and the Governor shall ensure such levels are adjusted based on the specific economic characteristics (such as unemployment rates and job losses or gains in particular industries), demographic characteristics, or other characteristics of the population to be served in the local area.”

removed “(C) with respect to each local area in the State—

removed “(i) the number of individuals who received work ready services described under section 134(c)(2) and the number of individuals who received training services described under section 134(c)(4) during the most recent program year and fiscal year, and the preceding 5 program years, where the individuals received the training, disaggregated by the type of entity that provided the training, and the amount of funds spent on each type of service;

removed “(ii) the number of individuals who successfully exited out of work ready services described under section 134(c)(2) and the number of individuals who exited out of training services described under section 134(c)(4) during the most recent program year and fiscal year, and the preceding 5 program years, and where the individuals received the training, disaggregated by the type of entity that provided the training; and

removed “(iii) the average cost per participant of those individuals who received work ready services described under section 134(c)(2) and the average cost per participant of those individuals who received training services described under section 134(c)(4) during the most recent program year and fiscal year, and the preceding 5 program years, and where the individuals received the training, disaggregated by the type of entity that provided the training; and

removed “(D) the amount of funds spent on training services and discretionary one-stop delivery activities, disaggregated by the populations identified in the State and local plans.”

removed “(4) Data validation—In preparing the reports described in this subsection, each State shall establish procedures, consistent with guidelines issued by the Secretary, to ensure the information contained in the report is valid and reliable.

removed “(5) State and local policies

removed “(A) State policies—Each State that receives an allotment under section 132 shall maintain a central repository of policies related to access, eligibility, availability of services, and other matters and plans approved by the State board and make such repository available to the public, including by electronic means.

removed “(B) Local policies—Each local area that receives an allotment under section 133 shall maintain a central repository of policies related to access, eligibility, availability of services, and other matters and plans approved by the local board and make such repository available to the public, including by electronic means.”

removed “(2) Funds resulting from reduced allotments—The Secretary shall return to the Treasury the amount retained, as a result of a reduction in an allotment to a State made under paragraph (1)(B).”

removed “(A) In general—If such failure continues for a second consecutive year, the Governor shall take corrective actions, including the development of a reorganization plan. Such plan shall—”

removed “(B) Reduction in the amount of grant—If such failure continues for a third consecutive year, the Governor of a State shall reduce the amount of the grant that would (in the absence of this subparagraph) be payable to the local area under such program for the program year after such third consecutive year. Such penalty shall be based on the degree of failure to meet local levels of performance.”

removed “(j) Use of core indicators for other programs—In addition to the programs carried out under chapter 5, and consistent with the requirements of the applicable authorizing laws, the Secretary shall use the core indicators of performance described in subsection (b)(2)(A) to assess the effectiveness of the programs described under section 121(b)(1)(B) that are carried out by the Secretary.

removed “(k) Establishing pay-for-Performance incentives

removed “(1) In general—At the discretion of the Governor of a State, a State may establish an incentive system for local boards to implement pay-for-performance contract strategies for the delivery of employment and training services in the local areas served by the local boards.

removed “(2) Implementation—A State that establishes a pay-for-performance incentive system shall reserve not more than 10 percent of the total amount allotted to the State under section 132(b)(2) for a fiscal year to provide funds to local areas in the State whose local boards have implemented a pay-for-performance contract strategy.

removed “(3) Evaluations—A State described in paragraph (2) shall use funds reserved by the State under section 133(a)(1) to evaluate the return on investment of pay-for-performance contract strategies implemented by local boards in the State.”

removed Section 137 (29 U.S.C. 2872) is amended to read as follows:

removed “137. Authorization of appropriations

removed “There are authorized to be appropriated to carry out the activities described in section 132, $6,245,318,000 for fiscal year 2014 and each of the 6 succeeding fiscal years.”

removed Section 142 (29 U.S.C. 2882) is amended—

removed Section 144 (29 U.S.C. 2884) is amended—

removed “(1) not less than age 16 and not more than age 24 on the date of enrollment;”

removed Section 145 (29 U.S.C. 2885) is amended—

removed “(B) organizations that have a demonstrated record of effectiveness in placing at-risk youth into employment.”

removed “(C) the individual has passed a background check conducted in accordance with procedures established by the Secretary, which shall include—

removed “(i) a search of the State criminal registry or repository in the State where the individual resides and each State where the individual previously resided;

removed “(ii) a search of State-based child abuse and neglect registries and databases in the State where the individual resides and each State where the individual previously resided;

removed “(iii) a search of the National Crime Information Center;

removed “(iv) a Federal Bureau of Investigation fingerprint check using the Integrated Automated Fingerprint Identification System; and

removed “(v) a search of the National Sex Offender Registry established under the Adam Walsh Child Protection and Safety Act of 2006 (42 U.S.C. 16901 et seq.).”

removed “(3) Individuals convicted of a crime—An individual shall be ineligible for enrollment if the individual—

removed “(A) makes a false statement in connection with the criminal background check described in paragraph (1)(C);

removed “(B) is registered or is required to be registered on a State sex offender registry or the National Sex Offender Registry established under the Adam Walsh Child Protection and Safety Act of 2006 (42 U.S.C. 16901 et seq.); or

removed “(C) has been convicted of a felony consisting of—

removed “(i) homicide;

removed “(ii) child abuse or neglect;

removed “(iii) a crime against children, including child pornography;

removed “(iv) a crime involving rape or sexual assault; or

removed “(v) physical assault, battery, or a drug-related offense, committed within the past 5 years.”

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

removed Section 147 (29 U.S.C. 2887) is amended—

removed “(II) the ability of the entity to offer career and technical education and training that the workforce council proposes under section 154(c);”

removed “(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 and secondary indicators of performance described in paragraphs (1) and (2) of section 159(c); and”

removed “(V) the ability of the entity to demonstrate a record of successfully assisting at-risk youth to connect to the workforce, including by providing them with intensive academic, and career and technical education and training.”

removed “(c) Civilian conservation centers

removed “(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 adhere to all the provisions of this subtitle, and shall provide, in addition to education, career and technical education and training, and workforce preparation skills training described in section 148, 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.

removed “(2) Selection process—The Secretary shall select an entity that submits an application under subsection (d) to operate a Civilian Conservation Center on a competitive basis, as provided in subsection (a).”

removed “(d) Application—To be eligible to operate a Job Corps center under this subtitle, an entity shall submit an application to the Secretary at such time, in such manner, and containing such information as the Secretary may require, including—

removed “(1) a description of the program activities that will be offered at the center, including how the career and technical education and training reflect State and local employment opportunities, including in in-demand industries;

removed “(2) a description of the counseling, placement, and support activities that will be offered at the center, including a description of the strategies and procedures the entity will use to place graduates into unsubsidized employment upon completion of the program;

removed “(3) a description of the demonstrated record of effectiveness that the entity has in placing at-risk youth into employment, including past performance of operating a Job Corps center under this subtitle;

removed “(4) a description of the relationships that the entity has developed with State and local workforce boards, employers, State and local educational agencies, and the surrounding communities in an effort to promote a comprehensive statewide workforce investment system;

removed “(5) a description of the strong fiscal controls the entity has in place to ensure proper accounting of Federal funds, and a description of how the entity will meet the requirements of section 159(a);

removed “(6) a description of the strategies and policies the entity will utilize to reduce participant costs;

removed “(7) a description of the steps taken to control costs in accordance with section 159(a)(3);

removed “(8) a detailed budget of the activities that will be supported using funds under this subtitle;

removed “(9) a detailed budget of the activities that will be supported using funds from non-Federal resources;

removed “(10) an assurance the entity will comply with the administrative cost limitation included in section 151(c);

removed “(11) an assurance the entity is licensed to operate in the State in which the center is located; and

removed “(12) an assurance the entity will comply with and meet basic health and safety codes, including those measures described in section 152(b).

removed “(e) Length of agreement—The agreement described in subsection (a)(1)(A) shall be for not longer than a 2-year period. The Secretary may renew the agreement for 3 one-year periods if the entity meets the requirements of subsection (f).

removed “(f) Renewal

removed “(1) In general—Subject to paragraph (2), the Secretary may renew the terms of an agreement described in subsection (a)(1)(A) for an entity to operate a Job Corps center if the center meets or exceeds each of the indicators of performance described in section 159(c)(1).

removed “(2) Recompetition

removed “(A) In general—Notwithstanding paragraph (1), the Secretary shall not renew the terms of the agreement for an entity to operate a Job Corps center if such center is ranked in the bottom quintile of centers described in section 159(f)(2) for any program year. Such entity may submit a new application under subsection (d) only if such center has shown significant improvement on the indicators of performance described in section 159(c)(1) over the last program year.

removed “(B) Violations—The Secretary shall not select an entity to operate a Job Corps center if such entity or such center has been found to have a systemic or substantial material failure that involves—

removed “(i) a threat to the health, safety, or civil rights of program participants or staff;

removed “(ii) the misuse of funds received under this subtitle;

removed “(iii) loss of legal status or financial viability, loss of permits, debarment from receiving Federal grants or contracts, or the improper use of Federal funds;

removed “(iv) failure to meet any other Federal or State requirement that the entity has shown an unwillingness or inability to correct, after notice from the Secretary, within the period specified; or

removed “(v) an unresolved area of noncompliance.

removed “(g) Current grantees—Not later than 60 days after the date of enactment of the SKILLS Act and notwithstanding any previous grant award or renewals of such award under this subtitle, the Secretary shall require all entities operating a Job Corps center under this subtitle to submit an application under subsection (d) to carry out the requirements of this section.”