[Congressional Record Volume 160, Number 8 (Tuesday, January 14, 2014)]
[Senate]
[Pages S329-S333]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




                           TEXT OF AMENDMENTS

  SA 2649. Mr. COBURN (for himself, Mr. Tester, Mr. Udall of Colorado, 
Mr. Begich, Mr. McCain, Ms. Ayotte, Mr. Burr, and Mr. Toomey) submitted 
an amendment intended to be proposed by him to the bill S. 1845, to 
provide for the extension of certain unemployment benefits, and for 
other purposes; which was ordered to lie on the table; as follows:

       At the end of the matter proposed to be inserted, insert 
     the following:

     SEC. 10. ENDING UNEMPLOYMENT PAYMENTS TO JOBLESS MILLIONAIRES 
                   AND BILLIONAIRES.

       (a) Prohibition.--Notwithstanding any other provision of 
     law, no Federal funds may

[[Page S330]]

     be used to make payments of unemployment compensation 
     (including such compensation under the Federal-State Extended 
     Compensation Act of 1970 and the emergency unemployment 
     compensation program under title IV of the Supplemental 
     Appropriations Act, 2008) to an individual whose adjusted 
     gross income in the preceding year was equal to or greater 
     than $1,000,000.
       (b) Compliance.--Unemployment Insurance applications shall 
     include a form or procedure for an individual applicant to 
     certify the individual's adjusted gross income was not equal 
     to or greater than $1,000,000 in the preceding year.
       (c) Audits.--The certifications required by subsection (b) 
     shall be auditable by the U.S. Department of Labor or the 
     U.S. Government Accountability Office.
       (d) Status of Applicants.--It is the duty of the states to 
     verify the residency, employment, legal, and income status of 
     applicants for Unemployment Insurance and no Federal funds 
     may be expended for purposes of determining an individual's 
     eligibility under this Act.
       (e) Effective Date.--The prohibition under subsection (a) 
     shall apply to weeks of unemployment beginning on or after 
     the date of the enactment of this Act.
                                 ______
                                 
  SA 2650. Mr. PORTMAN submitted an amendment intended to be proposed 
to amendment SA 2631 proposed by Mr. Reid (for Mr. Reed) to the bill S. 
1845, to provide for the extension of certain unemployment benefits, 
and for other purposes; which was ordered to lie on the table; as 
follows:

       Add at the end the following:

                    TITLE II--WORKFORCE DEVELOPMENT

     SEC. 201. SHORT TITLE.

       This title may be cited as the ``Careers through 
     Responsive, Efficient, and Effective Retraining Act.''.

     SEC. 202. STEERING FEDERAL TRAINING DOLLARS TOWARD SKILLS 
                   NEEDED BY INDUSTRY.

       (a) Definitions.--Section 101 of the Workforce Investment 
     Act of 1998 (29 U.S.C. 2801) is amended by adding at the end 
     the following:
       ``(54) Credential.--
       ``(A) Industry-recognized.--The term `industry-recognized', 
     used with respect to a credential, means a credential that is 
     sought or accepted by employers within the industry sector 
     involved as recognized, preferred, or required for 
     recruitment, screening, hiring, or advancement. If a 
     credential is not yet available for a certain skill that is 
     so sought or accepted, completion of an industry-recognized 
     training program shall be considered to be an industry-
     recognized credential, for the purposes of this paragraph.
       ``(B) Nationally portable.--The term `nationally portable,' 
     used with respect to credential, means a credential that is 
     sought or accepted as described in subparagraph (A) across 
     multiple States.
       ``(C) Regionally relevant.--The term `regionally relevant,' 
     used with respect to a credential, means a credential that is 
     determined by the Governor and the head of the State 
     workforce agency to be sought or accepted as described in 
     subparagraph (A) in that State and neighboring States.
       ``(55) State workforce agency.--The term `State workforce 
     agency' means the lead State agency with responsibility for 
     workforce investment activities carried out under subtitle 
     B.''.
       (b) Youth Activities.--Section 129(c)(1)(C) of the 
     Workforce Investment Act of 1998 (29 U.S.C. 2854(c)(1)(C)) is 
     amended--
       (1) by redesignating clauses (ii) through (iv) as clauses 
     (iii) through (v), respectively; and
       (2) inserting after clause (i) the following:
       ``(ii) training, with priority consideration given, after 
     consultation with the Governor and the head of the State 
     workforce agency and beginning not later than 6 months after 
     the date of enactment of the Careers through Responsive, 
     Efficient, and Effective Retraining Act, to programs that 
     lead to an industry-recognized, nationally portable, and 
     regionally relevant credential, if the local board determines 
     that such programs are available and appropriate;''.
       (c) General Employment and Training Activities.--Section 
     134(d)(4)(F) of the Workforce Investment Act of 1998 (29 
     U.S.C. 2864(d)(4)(F)) is amended by adding at the end the 
     following:
       ``(iv) Priority for programs that provide an industry-
     recognized, nationally portable, and regionally relevant 
     credential.--In selecting and approving programs of training 
     services under this section, a one-stop operator and 
     employees of a one-stop center referred to in subsection (c) 
     shall, after consultation with the Governor and the head of 
     the State workforce agency and beginning not later than 6 
     months after the date of enactment of the Careers through 
     Responsive, Efficient, and Effective Retraining Act, give 
     priority consideration to programs (approved by the 
     appropriate State agency and local board in conjunction with 
     section 122) that lead to an industry-recognized, nationally 
     portable, and regionally relevant credential.
       ``(v) Rule of construction.--Nothing in clause (iv) or 
     section 129(c)(1)(C) shall be construed to require an entity 
     with responsibility for selecting or approving a workforce 
     investment activities program to select a program that leads 
     to a credential specified in clause (iv).''.
       (d) State Administration.--
       (1) General employment and training activities.--Section 
     122(b)(2)(D) of the Workforce Investment Act of 1998 (29 
     U.S.C. 2842(b)(2)(D)) is amended--
       (A) in clause (ii), by striking ``and'' at the end;
       (B) in clause (iii), by striking the period and inserting 
     ``; and''; and
       (C) by adding at the end the following:
       ``(iv) in the case of a provider of a program of training 
     services that leads to an industry-recognized, nationally 
     portable, and regionally relevant credential, that the 
     program leading to the credential meets such quality criteria 
     (which may be accreditation by a State-recognized, third 
     party accrediting agency) as the Governor (in consultation 
     with representatives of the relevant industry sectors and 
     labor groups) shall establish not later than 6 months after 
     the date of enactment of the Careers through Responsive, 
     Efficient, and Effective Retraining Act.''.
       (2) Youth activities.--Section 123 of the Workforce 
     Investment Act of 1998 (29 U.S.C. 2843) is amended by 
     inserting ``(including such quality criteria (which may be 
     accreditation by a State-recognized, third party accrediting 
     agency) as the Governor (in consultation with representatives 
     of the relevant industry sectors and labor groups) shall 
     establish not later than 6 months after the date of enactment 
     of the Careers through Responsive, Efficient, and Effective 
     Retraining Act for a training program that leads to an 
     industry-recognized, nationally portable, and regionally 
     relevant credential)'' after ``plan''.
       (e) Report on Industry-recognized Credentials.--Section 122 
     of the Workforce Investment Act of 1998 (29 U.S.C. 2842) is 
     amended by adding at the end the following:
       ``(j) Report on Industry-recognized Credentials.--
       ``(1) Data collection.--Each State shall submit to the 
     Secretary data on programs determined, under section 
     129(c)(1)(C) or 134(d)(4)(F)(iv), to lead to industry-
     recognized and regionally relevant credentials, and on the 
     need of that State for such credentials.
       ``(2) Report.--Based on data provided by the States under 
     paragraph (1), the Secretary shall annually compile the data 
     and prepare a report identifying industry-recognized 
     credentials that are regionally relevant or nationally 
     portable. The report shall include information on the needs 
     of each State and of the Nation for such credentials.
       ``(3) Availability.--The Secretary shall make the report 
     available and easily searchable on a website.
       ``(4) Rule of construction.--Nothing in this subsection 
     shall be construed as an official endorsement of a credential 
     by the Department of Labor.''.

     SEC. 203. ESTABLISHING INCENTIVES FOR ACCOUNTABILITY.

       (a) Program.--Subtitle B of title I of the Workforce 
     Investment Act of 1998 is amended by inserting after section 
     112 (29 U.S.C. 2822) the following:

     ``SEC. 112A. PAY FOR PERFORMANCE PILOT PROGRAM.

       ``(a) Establishment.--
       ``(1) In general.--Not later than 1 year after the date of 
     enactment of the Careers through Responsive, Efficient, and 
     Effective Retraining Act, the Secretary of Labor shall 
     establish a Pay for Performance pilot program. The Secretary 
     shall select not fewer than 5 States, including at least 1 
     rural State and at least 1 non-rural State, to participate in 
     the pilot program by carrying out a Pay for Performance State 
     program.
       ``(2) Voluntary nature of program.--Nothing in this 
     subtitle shall be construed to require a State to participate 
     in the pilot program without the State's consent.
       ``(3) Definition.--In this subsection, the term `rural 
     State' means a State that has a population density of 52 or 
     fewer persons per square mile, or a State in which the 
     largest county has fewer than 150,000 people, as determined 
     on the basis of the most recent decennial census of 
     population conducted pursuant to section 141 of title 13, 
     United States Code.
       ``(b) Submission of Plans.--To be eligible to participate 
     in the pilot program, a State shall submit to the Secretary 
     and obtain approval of a Pay for Performance plan described 
     in section 112(e) as a supplement to the State plan described 
     in section 112. The State shall submit the supplement in 
     accordance with such process as the Secretary may specify 
     after consultation with States.
       ``(c) Implementation.--
       ``(1) In general.--In a State that carries out a Pay for 
     Performance State program, the State shall reserve and the 
     local areas shall use the amount described in paragraph (2) 
     to provide a portion of the training services authorized 
     under section 134(d)(4) (referred to in this section as 
     `training services') under the State's Pay for Performance 
     plan, in addition to the other requirements of this Act.
       ``(2) Amount.--The amount reserved under paragraph (1) 
     shall be--
       ``(A) a portion of not more than 25 percent, as determined 
     by the State, of the funds available to be allocated under 
     section 133(b) within the State, and estimated by the State 
     to be available for training services, for the fiscal year 
     involved; and
       ``(B) a portion of not more than 17.5 percent, as 
     determined by the State, of the grant funds awarded under 
     section 211(b) for the State (which portion shall be taken 
     from

[[Page S331]]

     the funds described in paragraphs (2) and (3) of section 
     222(a)) for the fiscal year involved.
       ``(d) Training and Technical Assistance.--The Secretary 
     shall provide, by grant or contract, training and technical 
     assistance to States, and local areas in States, carrying out 
     a Pay for Performance State program.
       ``(e) State Reports.--Each State carrying out a Pay for 
     Performance State program shall annually prepare and submit 
     to the Secretary a report regarding the performance of the 
     State on the outcome measures described in section 
     112(e)(2)(C).
       ``(f) Evaluations.--
       ``(1) In general.--Not later than 1 year after the 
     conclusion of the transition period described in section 
     112(e)(2)(H), the Secretary shall enter into an arrangement 
     for an entity to carry out an independent evaluation of Pay 
     for Performance State programs carried out under this 
     subtitle.
       ``(2) Contents.--For each Pay for Performance State 
     program, the entity shall evaluate the program design and 
     performance on the outcome measures, evaluate (wherever 
     possible) the level of satisfaction with the program among 
     employers and employees benefiting from the program, and 
     estimate public returns on investment, including such returns 
     as reduced dependence on public assistance, reduced 
     unemployment, and increased tax revenue paid by participants 
     exiting the program for employment.
       ``(3) Report.--The entity shall prepare a report containing 
     the results of the evaluation, and submit the report to the 
     Secretary, not later than 18 months after the conclusion of 
     the transition period.
       ``(g) Report to Congress.--Not later than 3 months after 
     the submission of the report described in subsection (f)(3), 
     the Secretary shall prepare and submit to Congress a report 
     that contains the results of the evaluations described in 
     subsection (f) and recommendations. The recommendation shall 
     include the Secretary's opinions concerning whether the pilot 
     program should be continued and whether the pay for 
     performance model should be expanded within this Act, and 
     related considerations.
       ``(h) Performance.--
       ``(1) In general.--Except as provided in paragraph (2), 
     section 136 of this Act shall not apply to a State, or a 
     local area in a State, with respect to activities carried out 
     through a Pay for Performance State program.
       ``(2) Fiscal and management accountability information 
     systems.--Section 136(f)(1) shall apply with respect to 
     reporting and monitoring of the use of funds under this 
     section for activities described in paragraph (1).''.
       (b) Pay for Performance Plan.--Section 112 of the Workforce 
     Investment Act of 1998 (29 U.S.C. 2822) is amended by adding 
     at the end the following:
       ``(e) Pay for Performance Plans.--
       ``(1) In general.--For a State seeking to carry out a Pay 
     for Performance State program (referred to in this subsection 
     as a `State program') under the pilot program described in 
     section 112A, the State plan shall include a plan supplement, 
     consisting of a Pay for Performance plan developed by the 
     State and local areas in the State.
       ``(2) Contents.--The Pay for Performance plan shall, with 
     respect to the State program--
       ``(A) provide for technical support to local areas and 
     providers in order to carry out a pay for performance model, 
     which shall at a minimum provide assistance with data 
     collection and data entry requirements;
       ``(B) specify target populations who are eligible to 
     receive training services authorized under section 134(d)(4) 
     (referred to in this subsection as `training services') 
     through the State program, with appropriate consideration of 
     and participation targets for special participant populations 
     that face multiple barriers to employment, as defined in 
     section 134(d)(4)(G)(iv);
       ``(C) specify employment placement, employment retention, 
     and earnings outcome measures and timetables for each target 
     population;
       ``(D) provide for curricula in terms of competencies 
     required for education and career advancement that are, where 
     feasible, tied to industry-recognized credentials and related 
     standards (where the quality of the program leading to the 
     credential or standard is recognized by the State or local 
     area involved), or State licensing requirements;
       ``(E) describe how the State or local areas will provide 
     information to participants in the State program about 
     appropriate support services, where feasible, including 
     career assessment and counseling, case management, child 
     care, transportation, financial aid, and job placement 
     services;
       ``(F) specify a fixed amount that, except as provided in 
     subparagraph (H), local areas in the State will pay to 
     providers of training services in the State program, for each 
     eligible participant who achieves the applicable outcome 
     measures or is an excepted participant described in 
     subparagraph (G)(i), according to the timetables described in 
     subparagraph (C), which amount--
       ``(i) shall represent 115 percent of the historical cost of 
     providing training services to a participant under this 
     subtitle, as established by the State or local area involved; 
     and
       ``(ii) may vary by target population;
       ``(G) provide assurances that--
       ``(i) no funds reserved for the State program will be paid 
     to a provider for a participant who does not achieve the 
     outcome measures according to the timetables, except for a 
     participant who does not achieve the outcome measures through 
     no fault of the provider, as determined by the Governor in 
     consultation with the head of the State board, relevant local 
     boards, and at least 1 representative of the State's 
     providers of training services; and
       ``(ii) each local area in the State will reallocate funds 
     not paid to a provider, because the achievement described in 
     clause (i) did not occur, for further activities under the 
     State program in the local area; and
       ``(H) specify a transition period of not more than 1 year 
     during which the reserved funds may be paid to providers of 
     training services based on the previous year's performance on 
     the core indicators of performance described in 
     136(b)(2)(A)(i), in order to enable the providers to begin to 
     provide services under the State program and adjust to a pay 
     for performance model, including adjusting by--
       ``(i) developing partnerships with local employers; and
       ``(ii) seeking financial support and volunteer services 
     from private sector sources.
       ``(3) Approval.--In determining whether to approve the plan 
     supplement, the Secretary shall consider the quality of the 
     data system the State will use to track performance on 
     outcome measures in carrying out a Pay for Performance 
     plan.''.
       (c) Conforming Amendments.--
       (1) Use of funds.--Section 211(b)(2) of the Workforce 
     Investment Act of 1998 (20 U.S.C. 9211(b)(2)) is amended by 
     inserting ``or training services in accordance with section 
     112A(c)'' before the period at the end.
       (2) Funding.--Section 223(a) of the Workforce Investment 
     Act of 1998 (20 U.S.C. 9223(a)) is amended--
       (A) by redesignating paragraph (8) as paragraph (12), and 
     moving that paragraph to the end of that section 223(a); and
       (B) by inserting after paragraph (7) the following:
       ``(8) Providing training services in accordance with 
     section 112A(c).''.

     SEC. 204. PROVIDING A JOB TRAINING REORGANIZATION PLAN FOR 
                   THE FEDERAL WORKFORCE INVESTMENT SYSTEM.

       (a) Definitions.--In this section:
       (1) Federal job training program.--The term ``Federal job 
     training program'' means any federally funded employment and 
     training program, including the programs identified in the 
     Government Accountability Office report.
       (2) Government accountability office report.--The term 
     ``Government Accountability Office report'' means the January 
     2011 report of the Government Accountability Office entitled 
     ``Multiple Employee and Training Programs: Providing 
     Information on Colocating Services and Consolidating 
     Administrative Structures Could Promote Efficiencies'' (GAO-
     11-92).
       (3) Individual with a barrier to employment.--The term 
     ``individual with a barrier to employment'' means a job 
     seeker who--
       (A) is economically disadvantaged;
       (B) has limited English proficiency;
       (C) requires remedial education;
       (D) is an older worker;
       (E) is an individual who has completed a sentence for a 
     criminal offense; or
       (F) has another barrier to employment, as defined by the 
     Director of the Office of Management and Budget.
       (b) Reorganization Plan.--
       (1) Preparation.--The Director of the Office of Management 
     and Budget (referred to in this section as the ``Director'') 
     shall prepare a plan to reorganize Federal job training 
     programs to increase their efficiency, integration, and 
     alignment. The plan shall include a proposal to decrease the 
     number of Federal job training programs without decreasing 
     services or accessibility to services for eligible job 
     training participants, including individuals with barriers to 
     employment. In preparing the plan, the Director shall 
     demonstrate that the Director considered the findings of the 
     Government Accountability Office report, and input from the 
     States, heads of the affected Federal departments and 
     agencies, local workforce investment boards, businesses, 
     workforce advocates and community organizations, labor 
     organizations, and relevant education-related organizations.
       (2) Submission.--Not later than 12 months after the date of 
     enactment of this Act, the Director shall submit the 
     reorganization plan to the appropriate committees of 
     Congress.

     SEC. 205. USING THE NATIONAL DIRECTORY OF NEW HIRES 
                   INFORMATION TO ASSIST IN ADMINISTRATION OF 
                   WORKFORCE INVESTMENT ACT OF 1998 PROGRAMS.

       Section 453(j) of the Social Security Act (42 U.S.C. 
     653(j)) is amended by adding at the end the following:
       ``(12) Information comparisons and disclosure to assist in 
     administration of workforce investment act programs.--
       ``(A) In general.--If, for purposes of administering a 
     program of workforce investment activities carried out under 
     subtitle B of title I of the Workforce Investment Act of 
     1998, a State agency responsible for the administration of 
     such program transmits to the Secretary the names and social 
     security account numbers of individuals, the Secretary shall 
     disclose to such State agency information on such individuals 
     and their employers maintained in the National Directory of 
     New Hires, subject to this paragraph.

[[Page S332]]

       ``(B) Condition on disclosure by the secretary.--The 
     Secretary shall make a disclosure under subparagraph (A) only 
     to the extent that the Secretary determines that the 
     disclosure would not interfere with the effective operation 
     of the program under this part.
       ``(C) Use and disclosure of information by state 
     agencies.--
       ``(i) In general.--A State agency may not use or disclose 
     information provided under this paragraph except for purposes 
     of administering a program referred to in subparagraph (A) 
     (including measuring performance under section 136 of the 
     Workforce Investment Act of 1998 and preparing reports under 
     subsection (d) of such section, subject to this paragraph).
       ``(ii) Information security.--The State agency shall have 
     in effect data security and control policies that the 
     Secretary finds adequate to ensure the security of 
     information obtained under this paragraph and to ensure that 
     access to such information is restricted to authorized 
     persons for purposes of authorized uses and disclosures.
       ``(iii) Penalty for misuse of information.--An officer or 
     employee of the State agency who fails to comply with this 
     subparagraph shall be subject to the sanctions under 
     subsection (l)(2) to the same extent as if such officer or 
     employee was an officer or employee of the United States.
       ``(D) Procedural requirements.--State agencies requesting 
     information under this paragraph shall adhere to uniform 
     procedures established by the Secretary governing information 
     requests and data matching under this paragraph.
       ``(E) Waiver of requirement to reimburse costs.--
     Notwithstanding subsection (k)(3), a State agency shall not 
     be required to reimburse the Secretary for the costs incurred 
     by the Secretary in furnishing information requested under 
     this paragraph to the State agency.''.
                                 ______
                                 
  SA 2651. Mr. HELLER (for himself, Ms. Collins, Ms. Ayotte, Mr. Coats, 
Ms. Murkowski, Mr. Portman, Mr. Isakson, and Mr. Hoeven) submitted an 
amendment intended to be proposed by him to the bill S. 1845, to 
provide for the extension of certain unemployment benefits, and for 
other purposes; which was ordered to lie on the table; as follows:

       Strike section 2 and insert the following:

     SEC. 2. EXTENSION AND MODIFICATION OF EMERGENCY UNEMPLOYMENT 
                   COMPENSATION PROGRAM.

       (a) Extension.--Section 4007(a)(2) of the Supplemental 
     Appropriations Act, 2008 (Public Law 110-252; 26 U.S.C. 3304 
     note) is amended by striking ``January 1, 2014'' and 
     inserting ``April 1, 2014''.
       (b) Modifications Relating to Weeks of Emergency 
     Unemployment Compensation.--
       (1) Number of weeks in first tier beginning after december 
     28, 2013.--Section 4002(b) of such Act is amended--
       (A) by redesignating paragraph (3) as paragraph (4);
       (B) in paragraph (2)--
       (i) in the heading, by inserting ``, and weeks ending 
     before december 30, 2013'' after ``2012''; and
       (ii) in the matter preceding subparagraph (A), by inserting 
     ``, and before December 30, 2013'' after ``2012''; and
       (C) by inserting after paragraph (2) the following:
       ``(3) Special rule relating to amounts established in an 
     account as of a week ending after december 29, 2013.--
     Notwithstanding any provision of paragraph (1), in the case 
     of any account established as of a week ending after December 
     29, 2013--
       ``(A) paragraph (1)(A) shall be applied by substituting `24 
     percent' for `80 percent'; and
       ``(B) paragraph (1)(B) shall be applied by substituting `6 
     times' for `20 times'.''.
       (2) Number of weeks in second tier beginning after december 
     28, 2013.--Section 4002(c) of such Act is amended by adding 
     at the end the following:
       ``(5) Special rule relating to amounts added to an account 
     as of a week ending after december 29, 2013.--Notwithstanding 
     any provision of paragraph (1), if augmentation under this 
     subsection occurs as of a week ending after December 29, 
     2013--
       ``(A) paragraph (1)(A) shall be applied by substituting `24 
     percent' for `54 percent'; and
       ``(B) paragraph (1)(B) shall be applied by substituting `6 
     times' for `14 times'.''.
       (c) Funding.--Section 4004(e)(1) of the Supplemental 
     Appropriations Act, 2008 (Public Law 110-252; 26 U.S.C. 3304 
     note) is amended--
       (1) in subparagraph (I), by striking ``and'' at the end;
       (2) in subparagraph (J), by inserting ``and'' at the end; 
     and
       (3) by inserting after subparagraph (J) the following:
       ``(K) the amendments made by subsections (a) and (b) of 
     section 2 of the Emergency Unemployment Compensation 
     Extension Act;''.
       (d) Effective Date.--The amendments made by this section 
     shall take effect as if included in the enactment of the 
     American Taxpayer Relief Act of 2012 (Public Law 112-240).

     SEC. 2A. REPEAL OF REDUCTIONS MADE BY BIPARTISAN BUDGET ACT 
                   OF 2013.

       Section 403 of the Bipartisan Budget Act of 2013 (Public 
     Law 113-67) is repealed as of the date of the enactment of 
     such Act.

     SEC. 2B. REDUCTION IN BENEFITS BASED ON RECEIPT OF 
                   UNEMPLOYMENT COMPENSATION.

       (a) In General.--Title II of the Social Security Act (42 
     U.S.C. 401 et seq.) is amended by inserting after section 224 
     the following new section:


 ``reduction in benefits based on receipt of unemployment compensation

       ``Sec. 224A  (a)(1) If for any month prior to the month in 
     which an individual attains retirement age (as defined in 
     section 216(l)(1))--
       ``(A) such individual is entitled to benefits under section 
     223, and
       ``(B) such individual is entitled for such month to 
     unemployment compensation,

     the total of the individual's benefits under section 223 for 
     such month and of any benefits under section 202 for such 
     month based on the individual's wages and self-employment 
     income shall be reduced (but not below zero) by the total 
     amount of unemployment compensation received by such 
     individual for such month.
       ``(2) The reduction of benefits under paragraph (1) shall 
     also apply to any past-due benefits under section 223 for any 
     month in which the individual was entitled to--
       ``(A) benefits under such section, and
       ``(B) unemployment compensation.
       ``(3) The reduction of benefits under paragraph (1) shall 
     not apply to any benefits under section 223 for any month, or 
     any benefits under section 202 for such month based on the 
     individual's wages and self-employment income for such month, 
     if the individual is entitled for such month to unemployment 
     compensation following a period of trial work (as described 
     in section 222(c)(1), participation in the Ticket to Work and 
     Self-Sufficiency Program established under section 1148, or 
     participation in any other program that is designed to 
     encourage an individual entitled to benefits under section 
     223 or 202 to work.
       ``(b) If any unemployment compensation is payable to an 
     individual on other than a monthly basis (including a benefit 
     payable as a lump sum to the extent that it is a commutation 
     of, or a substitute for, such periodic compensation), the 
     reduction under this section shall be made at such time or 
     times and in such amounts as the Commissioner of Social 
     Security (referred to in this section as the `Commissioner') 
     determines will approximate as nearly as practicable the 
     reduction prescribed by subsection (a).
       ``(c) Reduction of benefits under this section shall be 
     made after any applicable reductions under section 203(a) and 
     section 224, but before any other applicable deductions under 
     section 203.
       ``(d)(1) Subject to paragraph (2), if the Commissioner 
     determines that an individual may be eligible for 
     unemployment compensation which would give rise to a 
     reduction of benefits under this section, the Commissioner 
     may require, as a condition of certification for payment of 
     any benefits under section 223 to any individual for any 
     month and of any benefits under section 202 for such month 
     based on such individual's wages and self-employment income, 
     that such individual certify--
       ``(A) whether the individual has filed or intends to file 
     any claim for unemployment compensation, and
       ``(B) if the individual has filed a claim, whether there 
     has been a decision on such claim.
       ``(2) For purposes of paragraph (1), the Commissioner may, 
     in the absence of evidence to the contrary, rely upon a 
     certification by the individual that the individual has not 
     filed and does not intend to file such a claim, or that the 
     individual has so filed and no final decision thereon has 
     been made, in certifying benefits for payment pursuant to 
     section 205(i).
       ``(e) Whenever a reduction in total benefits based on an 
     individual's wages and self-employment income is made under 
     this section for any month, each benefit, except the 
     disability insurance benefit, shall first be proportionately 
     decreased, and any excess of such reduction over the sum of 
     all such benefits other than the disability insurance benefit 
     shall then be applied to such disability insurance benefit.
       ``(f)(1) Notwithstanding any other provision of law, the 
     head of any Federal agency shall provide such information 
     within its possession as the Commissioner may require for 
     purposes of making a timely determination of the amount of 
     the reduction, if any, required by this section in benefits 
     payable under this title, or verifying other information 
     necessary in carrying out the provisions of this section.
       ``(2) The Commissioner is authorized to enter into 
     agreements with States, political subdivisions, and other 
     organizations that administer unemployment compensation, in 
     order to obtain such information as the Commissioner may 
     require to carry out the provisions of this section.
       ``(g) For purposes of this section, the term `unemployment 
     compensation' has the meaning given that term in section 
     85(b) of the Internal Revenue Code of 1986, and the total 
     amount of unemployment compensation to which an individual is 
     entitled shall be determined prior to any applicable 
     reduction under State law based on the receipt of benefits 
     under section 202 or 223.''.
       (b) Conforming Amendment.--Section 224(a) of the Social 
     Security Act (42 U.S.C. 424a(a)) is amended, in the matter 
     preceding paragraph (1), by striking ``the age of 65'' and 
     inserting ``retirement age (as defined in section 
     216(l)(1))''.
       (c) Effective Date.--The amendments made by subsections (a) 
     and (b) shall apply

[[Page S333]]

     to benefits payable for months beginning on or after the date 
     that is 12 months after the date of enactment of this 
     section.

     SEC. 2C. REDUCTION OF NONMEDICARE, NONDEFENSE DIRECT 
                   SPENDING.

       Section 251A of the Balanced Budget and Emergency Deficit 
     Control Act of 1985 (2 U.S.C. 901a) is amended by adding at 
     the end the following:
       ``(11) Additional reduction of nonmedicare, nondefense 
     direct spending.--
       ``(A) In general.--For each of fiscal years 2015 through 
     2023, in addition to the reduction in direct spending under 
     paragraph (6), on the date specified in paragraph (2), OMB 
     shall prepare and the President shall order a sequestration, 
     effective upon issuance, reducing the spending described in 
     subparagraph (B) by the uniform percentage necessary to 
     reduce such spending for the fiscal year by $1,333,000,000.
       ``(B) Spending covered.--The spending described in this 
     subparagraph is spending that is--
       ``(i) nonexempt direct spending;
       ``(ii) not spending for the Medicare programs specified in 
     section 256(d); and
       ``(iii) within the revised nonsecurity category.''.

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