[Congressional Record (Bound Edition), Volume 149 (2003), Part 2]
[Extensions of Remarks]
[Page 2174]
[From the U.S. Government Publishing Office, www.gpo.gov]




                       BACK TO WORK INCENTIVE ACT

                                 ______
                                 

                     HON. HOWARD P. ``BUCK'' McKEON

                             of california

                    in the house of representatives

                      Wednesday, January 29, 2003

  Mr. McKEON. Mr. Speaker, I rise to join my colleague, Mr. Porter of 
Nevada, in support of the Back to Work Incentive Act, which would enact 
President Bush's plan for Personal Re-employment Accounts (PRAs). This 
new benefit is an important component of the President's economic 
growth package, designed to help unemployed workers find a job quickly.
  As the President discussed last month, Back to Work accounts will 
allow the One Stop Career Center system, where the unemployed already 
seek assistance in obtaining employment, to offer an important new 
benefit to unemployed workers, in addition to an array of employment 
services these centers already provide.
  States will be able to target this flexible new benefit to unemployed 
individuals who are most in need of help by offering each individual a 
re-employment account of up to $3,000. With these Back to Work 
accounts, unemployed workers may purchase training, supportive services 
(such as child care and transportation), and intensive services (such 
as employment counseling and case management).
  Recipients will be able to keep the balance of the account as a cash 
reemployment bonus if they become reemployed within 13 weeks. Because 
account recipients can keep the balance of their accounts when they 
become reemployed quickly and stay employed, PRAs create an incentive 
to get off unemployment benefits and return to work quickly. The more 
quickly a job is obtained, the larger the reemployment bonus will be.
  Of equal importance, the proposal authorizes $3.6 billion for states 
to set up Personal Reemployment Accounts to aid unemployed workers who 
need the most help getting back to work. This additional support is 
intended to augment the funding provided under the Workforce Investment 
Act, which authorizes the federal government's primary programs for 
helping our nation's workers gain the skills they need to succeed in 
today's workforce.
  These new Back to Work accounts and the job training services 
administered under the Workforce Investment Act are--both--essential in 
helping displaced workers and assisting adult workers in areas of the 
country facing skill shortages that will enhance the 21st century 
workforce.
  As this proposal moves forward, it is my hope that we will meet the 
President's objectives of getting the economy back on its feet and 
workers back on the job.
  At the same time, I look forward to working to ensure that the system 
established under the Workforce Investment Act, in particular, the 
business-led local boards, have an appropriate role in the 
administration of these accounts.
  But make no mistake about it.
  Personal Reemployment Accounts represent a new, innovative approach 
to help unemployed Americans find a job by giving the unemployed more 
control over their employment search and access to training and 
services.
  In the next few months, the House Education and the Workforce 
Committee will begin the process of reauthorizing the Workforce 
Investment Act, where we will focus on improving the system to help 
achieve the original vision of the law when it was enacted in 1998, 
which was to create a seamless workforce development system for workers 
and employers.
  Over the past year and a half, the workforce development system 
funded under the Workforce Investment Act has adequately met the 
training and employment needs of our nation's employers and employees. 
States and local areas have created comprehensive services and 
effective one-stop delivery systems with streamlined access to training 
programs. In addition, core, intensive and training services provided 
under the law have been invaluable in assisting adult workers in areas 
of the country facing skill shortages. Such continued assistance is 
essential for enhancing the 21st Century workforce during this downturn 
in the economy.
  I look forward to working with President Bush and my colleagues on 
the House Education and the Workforce Committee on both pieces of 
legislation to continue to strengthen our workforce development system 
to aid those Americans most in need of help getting back to work.

                          ____________________