[Congressional Bills 105th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4733 Introduced in House (IH)]

  2d Session
                                H. R. 4733

  To amend the Trade Act of 1974 to consolidate and enhance the trade 
  adjustment assistance and NAFTA transitional adjustment assistance 
            programs under that Act, and for other purposes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                            October 8, 1998

Mr. Matsui (for himself and Mr. Bonior) introduced the following bill; 
         which was referred to the Committee on Ways and Means

_______________________________________________________________________

                                 A BILL


 
  To amend the Trade Act of 1974 to consolidate and enhance the trade 
  adjustment assistance and NAFTA transitional adjustment assistance 
            programs under that Act, and for other purposes.

    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 ``Trade Adjustment Assistance Reform 
Act of 1998''.

SEC. 2. AUTHORIZATION OF CONSOLIDATED TRADE ADJUSTMENT ASSISTANCE.

    (a) Authorization of Appropriations.--Section 245 of the Trade Act 
of 1974 (19 U.S.C. 2317) is amended to read as follows:

``SEC. 245. AUTHORIZATION OF APPROPRIATIONS.

    ``There are authorized to be appropriated to the Department of 
Labor for each of the fiscal years 1999 through 2003 such sums as may 
be necessary to carry out the purposes of this chapter.''.
    (b) Repeal of NAFTA Transitional Adjustment Assistance Program.--
            (1) In general.--Subchapter D of chapter 2 of title II of 
        such Act (19 U.S.C. 2331) is hereby repealed.
            (2) Conforming amendments.--(A) Section 249A of such Act 
        (19 U.S.C. 2322) is hereby repealed.
            (B) The table of contents of such Act is amended--
                    (i) by striking the item relating to section 249A; 
                and
                    (ii) by striking the items relating to subchapter D 
                of chapter 2 of title II.
    (c) Termination.--Section 285(c) of such Act (19 U.S.C. 2271 note) 
is amended to read as follows:
    ``(c) No assistance, vouchers, allowances, or other payments may be 
provided under chapter 2, and no technical assistance may be provided 
under chapter 3, after September 30, 2003.''.

SEC. 3. FILING OF PETITIONS AND PROVISION OF RAPID RESPONSE ASSISTANCE; 
              EXPEDITED REVIEW OF PETITIONS BY SECRETARY OF LABOR.

    (a) Filing of Petitions and Provision of Rapid Response 
Assistance.--Section 221(a) of the Trade Act of 1974 (19 U.S.C. 
2271(a)) is amended to read as follows:
    ``(a)(1) A petition for certification of eligibility to apply for 
adjustment assistance for a group of workers under this chapter may be 
filed with the Governor of the State in which such workers' firm or 
subdivision is located by the following:
            ``(A) The group of workers (including workers in an 
        agricultural firm or subdivision of any agricultural firm).
            ``(B) The certified or recognized union or other duly 
        authorized representative of such workers.
            ``(C) Employers of such workers, one-stop career centers, 
        or State employment agencies, on behalf of such workers.
    ``(2) Upon receipt of a petition filed under paragraph (1), the 
Governor--
            ``(A) shall immediately transmit the petition to the 
        Secretary of Labor (hereinafter in this chapter referred to as 
        the `Secretary');
            ``(B) shall ensure that rapid response assistance and basic 
        readjustment services authorized under other Federal laws are 
        made available to the workers covered by the petition to the 
        extent authorized under such laws; and
            ``(C) shall assist the Secretary in the review of the 
        petition by verifying such information and providing such other 
        assistance as the Secretary may request.
    ``(3) Upon receipt of the petition, the Secretary shall promptly 
publish notice in the Federal Register that the Secretary has received 
the petition and initiated an investigation.''.
    (b) Expedited Review of Petitions by Secretary of Labor.--Section 
223(a) of such Act (19 U.S.C. 2273(a)) is amended in the first sentence 
by striking ``60 days'' and inserting ``40 days''.

SEC. 4. ADDITION OF SHIFT IN PRODUCTION AS BASIS FOR ELIGIBILITY FOR 
              TRADE ADJUSTMENT ASSISTANCE.

    Section 222(a) of the Trade Act of 1974 (19 U.S.C. 2272(a)) is 
amended to read as follows:
    ``(a) A group of workers (including workers in any agricultural 
firm or subdivision of an agricultural firm) shall be certified by the 
Secretary as eligible to apply for adjustment assistance under this 
chapter pursuant to a petition filed under section 221 if the Secretary 
determines that--
            ``(1) a significant number or proportion of the workers in 
        such workers' firm or an appropriate subdivision of the firm 
        have become totally or partially separated, or are threatened 
        to become totally or partially separated; and
            ``(2)(A)(i) the sales or production, or both, of such firm 
        or subdivision have decreased absolutely;
            ``(ii) imports of articles like or directly competitive 
        with articles produced by such firm or subdivision have 
        increased; and
            ``(iii) the increase in imports under clause (ii) 
        contributed importantly to such workers' separation or threat 
        of separation and to the decline in the sales or production of 
        such firm or subdivision; or
            ``(B) there has been a shift in production by such workers' 
        firm or subdivision to a foreign country of articles like or 
        directly competitive with articles which are produced by such 
        firm or subdivision.''.

SEC. 5. INFORMATION ON CERTAIN CERTIFICATIONS.

    Section 223 of the Trade Act of 1974 (19 U.S.C. 2273) is amended by 
adding at the end the following subsection:
    ``(e) The Secretary shall collect and maintain information--
            ``(1) identifying the countries to which firms have shifted 
        production resulting in certifications under section 
        222(a)(2)(B), including the number of such certifications 
        relating to each country; and
            ``(2) to the extent feasible, identifying the countries 
        from which imports of articles have resulted in certifications 
        under section 222(a)(2)(A), including the number of such 
        certifications relating to each country.''.

SEC. 6. ENROLLMENT IN TRAINING REQUIREMENT.

    Section 231(a)(5)(A) of the Trade Act of 1974 (19 U.S.C. 
2291(a)(5)(A)) is amended--
            (1) by inserting ``(i)'' after ``(A)'';
            (2) by adding ``and'' after the comma at the end; and
            (3) by adding at the end the following:
                    ``(ii) the enrollment required under clause (i) 
                occurs no later than the latest of--
                            ``(I) the last day of the 16th week after 
                        the worker's most recent total separation from 
                        adversely affected employment which meets the 
                        requirements of paragraphs (1) and (2);
                            ``(II) the last day of the 8th week after 
                        the week in which the Secretary issues a 
                        certification covering the worker; or
                            ``(III) 45 days after the later of the 
                        dates specified in subclause (I) or (II), if 
                        the Secretary determines there are extenuating 
                        circumstances that justify an extension in the 
                        enrollment period;''.

SEC. 7. WAIVERS OF TRAINING REQUIREMENTS.

    (a) In General.--Section 231(c) of the Trade Act of 1974 (19 U.S.C. 
2291(c)) is amended to read as follows:
    ``(c)(1) The Secretary may issue a written statement to a worker 
waiving the enrollment in training requirement of subsection (a)(5)(A) 
if the Secretary determines that such training requirement is not 
feasible or appropriate for the worker, as indicated by 1 or more of 
the following:
            ``(A) The worker has been notified that the worker will be 
        recalled by the firm from which the qualifying separation 
        occurred.
            ``(B) The worker has marketable skills as determined 
        pursuant to an assessment of the worker, which may include the 
        profiling system under section 303(j) of the Social Security 
        Act (42 U.S.C. 503(j)), carried out in accordance with 
        guidelines issued by the Secretary.
            ``(C) The worker is within 2 years of meeting all 
        requirements for entitlement to old-age insurance benefits 
        under title II of the Social Security Act (42 U.S.C. 401 et 
        seq.) (except for application therefor).
            ``(D) The worker is unable to participate in training due 
        to health of the worker, except that a waiver under this 
        subparagraph shall not be construed to exempt a worker from 
        requirements relating to the availability for work, active 
        search for work, or refusal to accept work under Federal or 
        State unemployment compensation laws.
            ``(E) The first available enrollment date for the approved 
        training of the worker is within 45 days after the date of the 
        determination made under this paragraph, or, if later, there 
        are extenuating circumstances for the delay in enrollment, as 
        determined pursuant to guidelines issued by the Secretary.
            ``(F) There are insufficient funds available for training 
        under this chapter, taking into account the limitation under 
        section 236(a)(2)(A).
            ``(G) The duration of training appropriate for the 
        individual to obtain suitable employment exceeds the 
        individual's maximum entitlement to basic and additional trade 
        readjustment allowances and, in addition, financial support 
        available through other Federal or State programs, including 
        title III of the Job Training Partnership Act (29 U.S.C. 1651 
        et seq.) or chapter 5 of subtitle B of title I of the Workforce 
        Investment Act of 1998, that would enable the individual to 
        complete a suitable training program cannot be assured.
    ``(2) The Secretary shall specify the duration of the waiver under 
paragraph (1) and shall periodically review the waiver to determine 
whether the basis for issuing the waiver remains applicable. If at any 
time the Secretary determines such basis is no longer applicable to the 
worker, the Secretary shall revoke the waiver.
    ``(3) Pursuant to the agreement under section 239, the Secretary 
may authorize the State or State agency to carry out activities 
described in paragraph (1) (except for the determination under 
subparagraphs (F) and (G) of paragraph (1)). Such agreement shall 
include a requirement that the State or State agency submit to the 
Secretary the written statements provided pursuant to paragraph (1) and 
a statement of the reasons for the waiver.
    ``(4) The Secretary shall submit an annual report to the Committee 
on Finance of the Senate and the Committee on Ways and Means of the 
House of Representatives identifying the number of workers who received 
waivers and the average duration of such waivers issued under this 
subsection during the preceding year.''.
    (b) Conforming Amendment.--Section 231(a)(5)(C) of such Act (19 
U.S.C. 2291(a)(5)(C)) is amended by striking ``certified''.

SEC. 8. PROVISION OF TRADE READJUSTMENT ALLOWANCES DURING BREAKS IN 
              TRAINING.

    Section 233(f) of the Trade Act of 1974 (19 U.S.C. 2293(f)) is 
amended in the matter preceding paragraph (1) by striking ``14 days'' 
and inserting ``30 days''.

SEC. 9. INCREASE IN ANNUAL TOTAL AMOUNT OF PAYMENTS FOR TRAINING.

    Section 236(a)(2)(A) of the Trade Act of 1974 (19 U.S.C. 
2296(a)(2)(A)) is amended by striking ``$80,000,000'' and inserting 
``$150,000,000''.

SEC. 10. ELIMINATION OF QUARTERLY REPORT.

    Section 236(d) of the Trade Act of 1974 (19 U.S.C. 2296(d)) is 
amended by striking the last sentence of such subsection.

SEC. 11. COORDINATION WITH ONE-STOP CAREER CENTERS, THE JOB TRAINING 
              PARTNERSHIP ACT, AND THE WORKFORCE INVESTMENT ACT OF 
              1998.

    (a) Coordination With One-Stops.--Section 235 of the Trade Act of 
1974 (19 U.S.C. 2295) is amended by inserting ``, including the 
services provided through one-stop career centers'' before the period 
at the end of the first sentence.
    (b) Coordination With Job Training Partnership Act and Workforce 
Investment Act of 1998.--Section 239(e) such Act (19 U.S.C. 2311(e)) is 
amended--
            (1) in the first sentence, by inserting after ``Job 
        Training Partnership Act'' the following: ``or under provisions 
        relating to dislocated worker employment and training 
        activities under chapter 5 of subtitle B of title I of the 
        Workforce Investment Act of 1998, as the case may be,''; and
            (2) by inserting after the first sentence the following: 
        ``Such coordination shall include common reporting systems and 
        elements, including common elements relating to participant 
        data and performance outcomes (including employment, retention 
        of employment, and wages).''.

SEC. 12. SUPPORTIVE SERVICES.

    (a) In General.--Part II of subchapter B of chapter 2 of title II 
of the Trade Act of 1974 (19 U.S.C. 2295 et seq.) is amended by adding 
at the end the following:

``SEC. 238A. SUPPORTIVE SERVICES.

    ``(a) Application.--Any adversely affected worker covered by a 
certification under subchapter A of this chapter may file an 
application with the Secretary for the provision of supportive 
services, including transportation, child and dependent care, and other 
similar services.
    ``(b) Conditions.--The Secretary may approve an application filed 
under subsection (a) and provide supportive services to an adversely 
affected worker only if the Secretary determines that--
            ``(1) the provision of such services is necessary to enable 
        the worker to participate in or complete training; and
            ``(2) the provision of such services is consistent with the 
        provision of supportive services to participants under the 
        employment and training assistance for dislocated workers 
        program under title III of the Job Training Partnership Act (29 
        U.S.C. 1651 et seq.), as in effect on the date of the enactment 
        of the Trade Adjustment Assistance Reform Act of 1998, or under 
        the provisions relating to dislocated worker employment and 
        training activities under chapter 5 of subtitle B of title I of 
        the Workforce Investment Act of 1998, as the case may be.''.
    (b) Conforming Amendment.--The table of contents of such Act is 
amended by inserting after the item relating to section 238 the 
following:

``Sec. 238A. Supportive services.''.

SEC. 13. ADDITIONAL CONFORMING AMENDMENTS.

    (a) Section 225.--Section 225(b) of the Trade Act of 1974 (19 
U.S.C. 2275(b)) is amended in each of paragraphs (1) and (2) by 
striking ``or subchapter D''.
    (b) Section 240.--Section 240(a) of such Act (19 U.S.C. 2312(a)) is 
amended by striking ``subchapter B of''.

SEC. 14. AVAILABILITY OF CONTINGENCY FUNDS.

    Section 245 of the Trade Act of 1974 (19 U.S.C. 2317), as amended 
by this Act, is further amended--
            (1) by striking ``There are authorized'' and inserting 
        ``(a) In General.--There are authorized''; and
            (2) by adding at the end the following:
    ``(b) Contingency Funds.--Subject to the limitation contained in 
section 236(a)(2), if in any fiscal year the funds available to carry 
out the programs under this chapter are exhausted, there shall be made 
available from funds in the Treasury not otherwise appropriated amounts 
sufficient to carry out such programs for the remainder of the fiscal 
year.''.

SEC. 15. REAUTHORIZATION OF ADJUSTMENT ASSISTANCE FOR FIRMS.

    Section 256(b) of the Trade Act of 1974 (19 U.S.C. 2346(b)) is 
amended by striking ``and 1998'' and inserting ``1998, and 1999 through 
2003''.

SEC. 16. PRESIDENTIAL COMMISSION ON WORKERS AND ECONOMIC CHANGE IN THE 
              NEW ECONOMY.

    (a) Establishment.--There is established a commission to be known 
as the ``Presidential Commission on Workers and Economic Change in the 
New Economy'' (in this section referred to as the ``Commission'').
    (b) Duties.--
            (1) Study.--The Commission shall conduct a thorough study 
        of matters relating to economic dislocation and worker 
        adjustment to such dislocations.
            (2) Conduct of study.--In carrying out the study under 
        paragraph (1), the Commission shall examine--
                    (A) the impact of trade, technology, and the 
                changing nature of work organizations on workers and 
                the economy, including worker dislocations resulting 
                from these factors;
                    (B) the effectiveness of existing education and job 
                training programs at the Federal level in assisting 
                workers in adjusting to economic change, including the 
                adequacy of the design of such programs and resources 
                devoted to such programs;
                    (C) the strategies for providing workplace 
                education and training to assist workers in acquiring 
                new skills;
                    (D) the role of public-private partnerships in 
                implementing worker education and training; and
                    (E) the role of income support and economic 
                security programs in facilitating worker adjustment in 
                rapidly changing economic circumstances.
    (c) Membership.--The Commission shall be composed of 15 members 
appointed by the President. The members of the Commission shall include 
individuals who are--
            (1) Members of Congress;
            (2) workforce development professionals;
            (3) educators;
            (4) heads of appropriate State agencies;
            (5) business leaders; and
            (6) representatives of labor organizations who are 
        nominated by a national labor federation.
    (d) Powers and Personnel.--The Commission shall have such general 
powers and authority with respect to personnel matters in the same 
manner and to the same extent as the general powers and authority with 
respect to personnel matters provided to the Twenty-First Century 
Workforce Commission under sections 336 and 337 of the Workforce 
Investment Act of 1998.
    (e) Report.--Not later than 18 months after the first meeting of 
the Commission, the Commission shall prepare and submit to the 
President and the Congress a report that contains--
            (1) a detailed statement of the findings and conclusions of 
        the Commission relating to the study carried out under 
        subsection (b);
            (2) a compendium of best practices and policies carried out 
        by employers and public-private partnerships in providing 
        workers with the education and training needed to effectively 
        adjust to economic change; and
            (3) any recommendations relating to legislative and 
        administrative actions that the Commission determines to be 
        appropriate.
    (f) Authorization of Appropriations.--There are authorized to be 
appropriated to carry out this section such sums as may be necessary 
for fiscal year 1999.

SEC. 17. EFFECTIVE DATE; TRANSITION PROVISION.

    (a) Effective Date.--This Act, and the amendments made by this Act, 
shall take effect on the date of the enactment of this Act.
    (b) Transition.--The Secretary of Labor is authorized to establish 
such rules as the Secretary determines to be appropriate to provide for 
an orderly transition from the provisions of law amended or repealed by 
this Act.
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