[Congressional Bills 105th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3853 Referred in Senate (RFS)]

  2d Session
                               H. R. 3853


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             June 24, 1998

  Received; read twice and referred to the Committee on Small Business

_______________________________________________________________________

                                 AN ACT


 
                To promote drug-free workplace programs.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Drug-Free Workplace Act of 1998''.

SEC. 2. FINDINGS; PURPOSES.

    (a) Findings.--Congress finds that--
            (1) 74 percent of adults who use illegal drugs are 
        employed;
            (2) small business concerns employ over 50 percent of the 
        Nation's workforce;
            (3) in over 88 percent of families with children under the 
        age of 18, at least 1 parent is employed; and
            (4) employees who use and abuse addictive substances 
        increase costs for businesses and risk the health and safety of 
        all employees because--
                            (A) absenteeism is 66 percent higher among 
                        drug users than nondrug users;
                            (B) health benefit utilization is 300 
                        percent higher among drug users than nondrug 
                        users;
                            (C) 47 percent of workplace accidents are 
                        drug-related;
                            (D) disciplinary actions are 90 percent 
                        higher among drug users than nondrug users; and
                            (E) employee turnover is significantly 
                        higher among drug users than nondrug users.
    (b) Purposes.--The purposes of this Act are to--
            (1) educate small business concerns about the advantages of 
        a drug-free workplace;
            (2) provide financial incentives and technical assistance 
        to enable small business concerns to create a drug-free 
        workplace; and
            (3) assist working parents in keeping their children drug-
        free.

SEC. 3. SENSE OF THE CONGRESS.

    It is the sense of the Congress that--
            (1) businesses should adopt drug-free workplace programs; 
        and
            (2) States should consider incentives to encourage 
        businesses to adopt drug-free workplace programs. Financial 
        incentives may include--
                    (A) a reduction in workers' compensation premiums;
                    (B) a reduction in unemployment insurance premiums; 
                and
                    (C) tax deductions in an amount equal to the amount 
                of expenditures for employee assistance programs, 
                treatment, or drug testing.
        Other incentives may include adoption of liability limitation 
        as recommended by the President's Commission on Model State 
        Drug Laws.

SEC. 4. DRUG-FREE WORKPLACE DEMONSTRATION PROGRAM.

    The Small Business Act (15 U.S.C. 636 et seq.) is amended by--
            (1) redesignating sections 31 and 32 as sections 32 and 33, 
        respectively; and
            (2) inserting the following new section:

``SEC. 31. DRUG-FREE WORKPLACE DEMONSTRATION PROGRAM.

    ``(a) Establishment.--There is established a drug-free workplace 
demonstration program, under which the Administration may make grants, 
cooperative agreements, or contracts to eligible intermediaries for the 
purpose of providing financial and technical assistance to small 
business concerns seeking to start a drug-free workplace program.
    ``(b) Eligibility for Participation.--An intermediary shall be 
eligible to receive a grant, cooperative agreement, or contract under 
subsection (a) if it meets the following criteria:
            ``(1) It is an organization described in section 501(c)(3) 
        or 501(c)(6) of the Internal Revenue Code of 1986 that is 
        exempt from tax under section 5(a) of such Act, a program of 
        such organization, or provides services to such organization.
            ``(2) Its purpose is to develop comprehensive drug-free 
        workplace programs or to supply drug-free workplace services, 
        or provide other forms of assistance and services to small 
        businesses.
            ``(3) It has at least 2 years of experience in drug-free 
        workplace programs or in providing assistance and services to 
        small business concerns.
            ``(4) It has a drug-free workplace policy in effect.
    ``(c) Requirements for Program.--Any drug-free workplace program 
developed as a result of this section shall include--
            ``(1) a written policy, including a clear statement of 
        expectations for workplace behavior, prohibitions against 
        substances in the workplace, and the consequences of violating 
        such expectations and prohibitions;
            ``(2) training for at least 2 hours for employees;
            ``(3) additional training for employees who are parents;
            ``(4) employee drug testing by a drug testing laboratory 
        certified by the Substance Abuse and Mental Health Services 
        Administration, or approved by the Department of Health and 
        Human Services under the Clinical Laboratories Improvements Act 
        of 1967 (42 U.S.C. 263a), or the College of American 
        Pathologists, and each positive result shall be reviewed by a 
        Licensed Medical Review Officer;
            ``(5) employee access to an employee assistance program, 
        including assessment, referral, and short-term problem 
        resolution; and
            ``(6) continuing alcohol and drug abuse prevention program.
    ``(d) Evaluation and Coordination.--The Small Business 
Administrator, in coordination with the Secretary of Labor, the 
Secretary of Health and Human Services, and the Director of the Office 
of National Drug Control Policy, shall evaluate drug-free workplace 
programs established as a result of this section and shall submit a 
report of findings to the Congress not later than 1 year after the date 
of the enactment of this section.
    ``(e) Eligible Intermediary.--Any eligible intermediary shall be 
located in a state, the District of Columbia, or the territories.
    ``(f) Definition of Employee.--For purposes of this section, the 
term `employee' includes--
            ``(1) supervisors;
            ``(2) managers;
            ``(3) officers active in management of the business; and
            ``(4) owners active in management of the business.
    ``(g) Construction.--Nothing in this section shall be construed to 
require an employer who attends a program offered by an intermediary to 
contract for any services offered as part of a drug-free workplace 
program.
    ``(h) Authorization.--There are authorized to be appropriated to 
carry out the provisions of this section, $10,000,000 for fiscal year 
1999 and such sums may remain available until expended.''.

SEC. 5. SMALL BUSINESS DEVELOPMENT CENTERS.

    Section 21(c)(3) of the Small Business Act (15 U.S.C. 648(c)(3)) is 
amended--
            (1) in subparagraph (R) by striking ``and'';
            (2) in subparagraph (S) by striking the period and 
        inserting ``; and''; and
            (3) by inserting after subparagraph (S) the following new 
        subparagraph:
            ``(T) providing information and assistance to small 
        business concerns with respect to developing drug-free 
        workplace programs.''.

SEC. 6. CONTRACT AUTHORITY.

    The Small Business Administrator may contract with and compensate 
government and private agencies or persons for services related to 
carrying out the provisions of this Act.

SEC. 7. COLLECTION OF DATA AND STUDY.

    (a) Collection and Study.--The Small Business Administrator shall 
collect data and conduct a study on--
            (1) drug use in the workplace among employees of small 
        business concerns;
            (2) costs to small business concerns associated with 
        illegal drug use by employees; and
            (3) a need for assistance in the small business community 
        to develop drug prevention programs.
    (b) Report.--Not later than 6 months after the date of the 
enactment of this Act, the Small Business Administrator shall submit a 
report containing findings and conclusions of the study to the chairmen 
and ranking members of the Small Business Committees of the House and 
Senate.

            Passed the House of Representatives June 23, 1998.

            Attest:

                                                ROBIN H. CARLE,

                                                                 Clerk.