[Congressional Record (Bound Edition), Volume 160 (2014), Part 4]
[Senate]
[Pages 5187-5292]
[From the U.S. Government Publishing Office, www.gpo.gov]




                           TEXT OF AMENDMENTS

  SA 2885. Mr. BLUNT (for himself, Mr. McConnell, Mr. Inhofe, Mr. 
Thune, Mr. Cornyn, and Mr. Cruz) submitted an amendment intended to be 
proposed by him to the bill H.R. 3979, to amend the Internal Revenue 
Code of 1986 to ensure that emergency services volunteers are not taken 
into account as employees under the shared responsibility requirements 
contained in the Patient Protection and Affordable Care Act; which was 
ordered to lie on the table; as follows:

       At the appropriate place, insert the following:

     SEC. ___. POINT OF ORDER AGAINST LEGISLATION THAT WOULD 
                   CREATE A TAX OR FEE ON CARBON EMISSIONS.

       (a) Point of Order.--It shall not be in order in the Senate 
     to consider any bill, joint resolution, motion, amendment, or 
     conference report that includes a Federal tax or fee imposed 
     on carbon emissions from any product or entity that is a 
     direct or indirect source of the emissions.
       (b) Waiver and Appeal.--
       (1) Waiver.--Subsection (a) may be waived or suspended in 
     the Senate only by an affirmative vote of three-fifths of the 
     Members, duly chosen and sworn.
       (2) Appeal.--An affirmative vote of three-fifths of the 
     Members of the Senate, duly chosen and sworn, shall be 
     required to sustain an appeal of the ruling of the Chair on a 
     point of order raised under subsection (a).
                                 ______
                                 
  SA 2886. Mr. SCOTT submitted an amendment intended to be proposed by 
him to the bill H.R. 3979, to amend the Internal Revenue Code of 1986 
to ensure that emergency services volunteers are not taken into account 
as employees under the shared responsibility requirements contained in 
the Patient Protection and Affordable Care Act; which was ordered to 
lie on the table; as follows:

       At the appropriate place, insert the following:

     SEC. __. MODIFICATION OF DEFINITION OF FULL-TIME EMPLOYEE.

       (a) Full-time Equivalents.--Paragraph (2)(E) of section 
     4980H(c) of the Internal Revenue Code of 1986 is amended by 
     striking ``by 120'' and inserting ``by 174''.
       (b) Full-time Employees.--Paragraph (4)(A) of section 
     4980H(c) of the Internal Revenue Code of 1986 is amended by 
     striking ``30 hours'' and inserting ``40 hours''.
                                 ______
                                 
  SA 2887. Mr. COBURN submitted an amendment intended to be proposed to 
amendment SA 2874 proposed by Mr. Reid (for Mr. Reed (for himself, Mr. 
Heller, Mr. Merkley, Ms. Collins, Mr. Booker, Mr. Portman, Mr. Brown, 
Ms. Murkowski, Mr. Durbin, and Mr. Kirk)) to the bill H.R. 3979, to 
amend the Internal Revenue Code of 1986 to ensure that emergency 
services volunteers are not taken into account as employees under the 
shared responsibility requirements contained in the Patient Protection 
and Affordable Care Act; which was ordered to lie on the table; as 
follows:

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

     SEC. __. PROHIBITING FEDERAL PAYMENTS TO STATES FOR 
                   UNEMPLOYMENT COMPENSATION ADMINISTRATION WITH 
                   RESPECT TO COSTS FOR OFFICE FURNISHINGS AND 
                   MURALS, PORTRAITS, AND OTHER ARTWORK.

       (a) In General.--Section 302 of the Social Security Act (42 
     U.S.C. 501) is amended by adding at the end the following new 
     subsection:
       ``(d) No portion of the cost of office furnishings or 
     murals, portraits, or other artwork shall be treated as being 
     a cost for the proper and efficient administration of the 
     State unemployment compensation law.''.
       (b) Effective Date.--The amendment made by subsection (a) 
     shall apply to costs incurred on or after the date of the 
     enactment of this Act.
                                 ______
                                 
  SA 2888. Mr. COBURN (for himself, Mr. Flake, Mr. King, and Mr. 
Manchin) submitted an amendment intended to be proposed to amendment SA 
2874 proposed by Mr. Reid (for Mr. Reed (for himself, Mr. Heller, Mr. 
Merkley, Ms. Collins, Mr. Booker, Mr. Portman, Mr. Brown, Ms. 
Murkowski, Mr. Durbin, and Mr. Kirk)) to the bill H.R. 3979, to amend 
the Internal Revenue Code of 1986 to ensure that emergency services 
volunteers are not taken into account as employees under the shared 
responsibility requirements contained in the Patient Protection and 
Affordable Care Act; which was ordered to lie on the table; as follows:

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

[[Page 5188]]



     SEC. __. PROHIBITION ON PAYMENT OF 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:


 ``prohibition on payment of benefits based on receipt of unemployment 
                              compensation

       ``Sec. 224A. (a) If for any month prior to the month in 
     which an individual attains retirement age (as defined in 
     section 216(l)(1))--
       ``(1) such individual is entitled to benefits under section 
     223, and
       ``(2) 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 subsections (b) through 
     (h) of section 202 for such month based on the individual's 
     wages and self-employment income shall be reduced to zero.
       ``(b)(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 under this section 
     for reduction of 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.
       ``(3) Any determination by the Commissioner pursuant to 
     this section shall be subject to the requirements described 
     in section 205(b)(1), including provision of reasonable 
     notice and opportunity for a hearing.
       ``(c) 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.''.
       (b) Effective Date.--The amendment made by subsection (a) 
     shall apply to benefits payable for months beginning after 
     180 days after the date of enactment of this Act.
                                 ______
                                 
  SA 2889. Mr. SCOTT submitted an amendment intended to be proposed by 
him to the bill H.R. 3979, to amend the Internal Revenue Code of 1986 
to ensure that emergency services volunteers are not taken into account 
as employees under the shared responsibility requirements contained in 
the Patient Protection and Affordable Care Act; which was ordered to 
lie on the table; as follows:

       At the appropriate place, insert the following:

    TITLE __--SUPPORTING KNOWLEDGE AND INVESTING IN LIFELONG SKILLS

     SEC. __01. SHORT TITLE.

       This title may be cited as the ``Supporting Knowledge and 
     Investing in Lifelong Skills Act'' or the ``SKILLS Act''.

     SEC. __02. REFERENCES.

       Except as otherwise expressly provided, wherever in this 
     title an amendment or repeal is expressed in terms of an 
     amendment to, or repeal of, a section or other provision, the 
     amendment or repeal shall be considered to be made to a 
     section or other provision of the Workforce Investment Act of 
     1998 (29 U.S.C. 2801 et seq.).

     SEC. __03. APPLICATION TO FISCAL YEARS.

       Except as otherwise provided, this title and the amendments 
     made by this title shall apply with respect to fiscal year 
     2015 and succeeding fiscal years.

     Subtitle A--Amendments to the Workforce Investment Act of 1998

              CHAPTER 1--WORKFORCE INVESTMENT DEFINITIONS

     SEC. __06. DEFINITIONS.

       Section 101 (29 U.S.C. 2801) is amended--
       (1) by striking paragraph (2) and inserting the following:
       ``(2) Adult education and family literacy education 
     activities.--The term `adult education and family literacy 
     education activities' has the meaning given the term in 
     section 203.'';
       (2) by striking paragraphs (13) and (24);
       (3) by redesignating paragraphs (1) through (12) as 
     paragraphs (3) through (14), and paragraphs (14) through (23) 
     as paragraphs (15) through (24), respectively;
       (4) by striking paragraphs (52) and (53);
       (5) by inserting after ``In this title:'' the following new 
     paragraphs:
       ``(1) Accrued expenditures.--The term `accrued 
     expenditures' means--
       ``(A) charges incurred by recipients of funds under this 
     title for a given period requiring the provision of funds for 
     goods or other tangible property received;
       ``(B) charges incurred for services performed by employees, 
     contractors, subgrantees, subcontractors, and other payees; 
     and
       ``(C) other amounts becoming owed, under programs assisted 
     under this title, for which no current services or 
     performance is required, such as amounts for annuities, 
     insurance claims, and other benefit payments.
       ``(2) Administrative costs.--The term `administrative 
     costs' means expenditures incurred by State boards and local 
     boards, direct recipients (including State grant recipients 
     under subtitle B and recipients of awards under subtitles C 
     and D), local grant recipients, local fiscal agents or local 
     grant subrecipients, and one-stop operators in the 
     performance of administrative functions and in carrying out 
     activities under this title that are not related to the 
     direct provision of workforce investment activities 
     (including services to participants and employers). Such 
     costs include both personnel and non-personnel expenditures 
     and both direct and indirect expenditures.'';
       (6) in paragraph (3) (as so redesignated), by striking 
     ``Except in sections 127 and 132, the'' and inserting 
     ``The'';
       (7) by amending paragraph (5) (as so redesignated) to read 
     as follows:
       ``(5) Area career and technical education school.--The term 
     `area career and technical education school' has the meaning 
     given the term in section 3(3) of the Carl D. Perkins Career 
     and Technical Education Act of 2006 (20 U.S.C. 2302(3)).'';
       (8) in paragraph (6) (as so redesignated), by inserting 
     ``(or such other level as the Governor may establish)'' after 
     ``8th grade level'';
       (9) in paragraph (10)(C) (as so redesignated), by striking 
     ``not less than 50 percent of the cost of the training'' and 
     inserting ``a significant portion of the cost of training, as 
     determined by the local board involved (or, in the case of an 
     employer in multiple local areas in the State, as determined 
     by the Governor), taking into account the size of the 
     employer and such other factors as the local board or 
     Governor, respectively, determines to be appropriate'';
       (10) in paragraph (11) (as so redesignated)--
       (A) in subparagraph (A)(ii)(II), by striking ``section 
     134(c)'' and inserting ``section 121(e)'';
       (B) in subparagraph (B)(iii)--
       (i) by striking ``134(d)(4)'' and inserting ``134(c)(4)''; 
     and
       (ii) by striking ``intensive services described in section 
     134(d)(3)'' and inserting ``work ready services described in 
     section 134(c)(2)'';
       (C) in subparagraph (C), by striking ``or'' after the 
     semicolon;
       (D) in subparagraph (D), by striking the period and 
     inserting ``; or''; and
       (E) by adding at the end the following:
       ``(E)(i) is the spouse of a member of the Armed Forces on 
     active duty for a period of more than 30 days (as defined in 
     section 101(d)(2) of title 10, United States Code) who has 
     experienced a loss of employment as a direct result of 
     relocation to accommodate a permanent change in duty station 
     of such member; or
       ``(ii) is the spouse of a member of the Armed Forces on 
     active duty (as defined in section 101(d)(1) of title 10, 
     United States Code) who meets the criteria described in 
     paragraph (12)(B).'';
       (11) in paragraph (12)(A) (as redesignated)--
       (A) by striking ``and'' after the semicolon and inserting 
     ``or'';
       (B) by striking ``(A)'' and inserting ``(A)(i)''; and
       (C) by adding at the end the following:
       ``(ii) is the spouse of a member of the Armed Forces on 
     active duty for a period of more than 30 days (as defined in 
     section 101(d)(2) of title 10, United States Code) whose 
     family income is significantly reduced because of a 
     deployment (as defined in section 991(b) of title 10, United 
     States Code, or pursuant to paragraph (4) of such section), a 
     call or order to active duty pursuant to a provision of law 
     referred to in section 101(a)(13)(B) of title 10, United 
     States Code, a permanent change of station, or the service-
     connected (as defined in section 101(16) of title 38, United 
     States Code) death or disability of the member; and'';
       (12) in paragraph (13) (as so redesignated), by inserting 
     ``or regional'' after ``local'' each place it appears;
       (13) in paragraph (14) (as so redesignated)--
       (A) in subparagraph (A), by striking ``section 122(e)(3)'' 
     and inserting ``section 122'';
       (B) by striking subparagraph (B), and inserting the 
     following:
       ``(B) work ready services, means a provider who is 
     identified or awarded a contract as described in section 
     117(d)(5)(C); or'';
       (C) by striking subparagraph (C); and
       (D) by redesignating subparagraph (D) as subparagraph (C);
       (14) in paragraph (15) (as so redesignated), by striking 
     ``adult or dislocated worker'' and inserting ``individual'';
       (15) in paragraph (20), by striking ``The'' and inserting 
     ``Subject to section 116(a)(1)(E), the'';
       (16) in paragraph (25)--
       (A) in subparagraph (B), by striking ``higher of--'' and 
     all that follows through clause (ii) and inserting ``poverty 
     line for an equivalent period;'';
       (B) by redesignating subparagraphs (D) through (F) as 
     subparagraphs (E) through (G), respectively; and
       (C) by inserting after subparagraph (C) the following:
       ``(D) receives or is eligible to receive a free or reduced 
     price lunch under the Richard B. Russell National School 
     Lunch Act (42 U.S.C. 1751 et seq.);'';
       (17) in paragraph (32), by striking ``the Republic of the 
     Marshall Islands, the Federated States of Micronesia,'';
       (18) by amending paragraph (33) to read as follows:

[[Page 5189]]

       ``(33) Out-of-school youth.--The term `out-of-school youth' 
     means--
       ``(A) an at-risk youth who is a school dropout; or
       ``(B) an at-risk youth who has received a secondary school 
     diploma or its recognized equivalent but is basic skills 
     deficient, unemployed, or underemployed.'';
       (19) in paragraph (38), by striking ``134(a)(1)(A)'' and 
     inserting ``134(a)(1)(B)'';
       (20) in paragraph (41), by striking ``, and the term means 
     such Secretary for purposes of section 503'';
       (21) in paragraph (43), by striking ``clause (iii) or (v) 
     of section 136(b)(3)(A)'' and inserting ``section 
     136(b)(3)(A)(iii)'';
       (22) by amending paragraph (49) to read as follows:
       ``(49) Veteran.--The term `veteran' has the same meaning 
     given the term in section 2108(1) of title 5, United States 
     Code.'';
       (23) by amending paragraph (50) to read as follows:
       ``(50) Career and technical education.--The term `career 
     and technical education' has the meaning given the term in 
     section 3 of the Carl D. Perkins Career and Technical 
     Education Act of 2006 (20 U.S.C. 2302).'';
       (24) in paragraph (51), by striking ``, and a youth 
     activity''; and
       (25) by adding at the end the following:
       ``(52) At-risk youth.--Except as provided in subtitle C, 
     the term `at-risk youth' means an individual who--
       ``(A) is not less than age 16 and not more than age 24;
       ``(B) is a low-income individual; and
       ``(C) is an individual who is one or more of the following:
       ``(i) A secondary school dropout.
       ``(ii) A youth in foster care (including youth aging out of 
     foster care).
       ``(iii) A youth offender.
       ``(iv) A youth who is an individual with a disability.
       ``(v) A migrant youth.
       ``(53) Industry or sector partnership.--The term `industry 
     or sector partnership' means a partnership of--
       ``(A) a State board or local board; and
       ``(B) one or more industry or sector organizations, and 
     other entities, that have the capability to help the State 
     board or local board determine the immediate and long-term 
     skilled workforce needs of in-demand industries or sectors 
     and other occupations important to the State or local 
     economy, respectively.
       ``(54) Industry-recognized credential.--The term `industry-
     recognized credential' means a credential that is sought or 
     accepted by companies within the industry sector involved, 
     across multiple States, as recognized, preferred, or required 
     for recruitment, screening, or hiring and is awarded for 
     completion of a program listed or identified under subsection 
     (d) or (i) of section 122, for the local area involved.
       ``(55) Pay-for-performance contract strategy.--The term 
     `pay-for-performance contract strategy' means a strategy in 
     which a pay-for-performance contract to provide a program of 
     employment and training activities incorporates provisions 
     regarding--
       ``(A) the core indicators of performance described in 
     subclauses (I) through (IV) and (VI) of section 
     136(b)(2)(A)(i);
       ``(B) a fixed amount that will be paid to an eligible 
     provider of such employment and training activities for each 
     program participant who, within a defined timetable, achieves 
     the agreed-to levels of performance based upon the core 
     indicators of performance described in subparagraph (A), and 
     may include a bonus payment to such provider, which may be 
     used to expand the capacity of such provider;
       ``(C) the ability for an eligible provider to recoup the 
     costs of providing the activities for a program participant 
     who has not achieved those levels, but for whom the provider 
     is able to demonstrate that such participant gained specific 
     competencies required for education and career advancement 
     that are, where feasible, tied to industry-recognized 
     credentials and related standards, or State licensing 
     requirements; and
       ``(D) the ability for an eligible provider that does not 
     meet the requirements under section 122(a)(2) to participate 
     in such pay-for-performance contract and to not be required 
     to report on the performance and cost information required 
     under section 122(d).
       ``(56) Recognized postsecondary credential.--The term 
     `recognized postsecondary credential' means a credential 
     awarded by a provider of training services or postsecondary 
     educational institution based on completion of all 
     requirements for a program of study, including coursework or 
     tests or other performance evaluations. The term means an 
     industry-recognized credential, a certificate of completion 
     of a registered apprenticeship program, or an associate or 
     baccalaureate degree from an institution described in section 
     122(a)(2)(A)(i).
       ``(57) Registered apprenticeship program.--The term 
     `registered apprenticeship program' means a program described 
     in section 122(a)(2)(B).''.

      CHAPTER 2--STATEWIDE AND LOCAL WORKFORCE INVESTMENT SYSTEMS

     SEC. __11. PURPOSE.

       Section 106 (29 U.S.C. 2811) is amended by adding at the 
     end the following: ``It is also the purpose of this subtitle 
     to provide workforce investment activities in a manner that 
     enhances employer engagement, promotes customer choices in 
     the selection of training services, and ensures 
     accountability in the use of taxpayer funds.''.

     SEC. __12. STATE WORKFORCE INVESTMENT BOARDS.

       Section 111 (29 U.S.C. 2821) is amended--
       (1) in subsection (b)--
       (A) in paragraph (1)--
       (i) by striking subparagraph (B);
       (ii) by redesignating subparagraph (C) as subparagraph (B); 
     and
       (iii) in subparagraph (B) (as so redesignated)--

       (I) by amending clause (i)(I), by striking ``section 
     117(b)(2)(A)(i)'' and inserting ``section 117(b)(2)(A)'';
       (II) by amending clause (i)(II) to read as follows:
       ``(II) represent businesses, including large and small 
     businesses, each of which has immediate and long-term 
     employment opportunities in an in-demand industry or other 
     occupation important to the State economy; and'';
       (III) by striking clause (iii) and inserting the following:

       ``(iii) a State agency official responsible for economic 
     development; and'';

       (IV) by striking clauses (iv) through (vi);
       (V) by amending clause (vii) to read as follows:

       ``(vii) such other representatives and State agency 
     officials as the Governor may designate, including--

       ``(I) members of the State legislature;
       ``(II) representatives of individuals and organizations 
     that have experience with respect to youth activities;
       ``(III) representatives of individuals and organizations 
     that have experience and expertise in the delivery of 
     workforce investment activities, including chief executive 
     officers of community colleges and community-based 
     organizations within the State;
       ``(IV) representatives of the lead State agency officials 
     with responsibility for the programs and activities that are 
     described in section 121(b) and carried out by one-stop 
     partners; or
       ``(V) representatives of veterans service organizations.''; 
     and
       (VI) by redesignating clause (vii) (as so amended) as 
     clause (iv); and

       (B) by amending paragraph (3) to read as follows:
       ``(3) Majority.--A \2/3\ majority of the members of the 
     board shall be representatives described in paragraph 
     (1)(B)(i).'';
       (2) in subsection (c), by striking ``(b)(1)(C)(i)'' and 
     inserting ``(b)(1)(B)(i)'';
       (3) by amending subsection (d) to read as follows:
       ``(d) Functions.--The State board shall assist the Governor 
     of the State as follows:
       ``(1) State plan.--Consistent with section 112, the State 
     board shall develop a State plan.
       ``(2) Statewide workforce development system.--The State 
     board shall review and develop statewide policies and 
     programs in the State in a manner that supports a 
     comprehensive statewide workforce development system that 
     will result in meeting the workforce needs of the State and 
     its local areas. Such review shall include determining 
     whether the State should consolidate additional amounts for 
     additional activities or programs into the Workforce 
     Investment Fund in accordance with section 501(e).
       ``(3) Workforce and labor market information system.--The 
     State board shall develop a statewide workforce and labor 
     market information system described in section 15(e) of the 
     Wagner-Peyser Act (29 U.S.C. 49l-2(e)), which may include 
     using information collected under Federal law other than this 
     Act by the State economic development entity or a related 
     entity in developing such system.
       ``(4) Employer engagement.--The State board shall develop 
     strategies, across local areas, that meet the needs of 
     employers and support economic growth in the State by 
     enhancing communication, coordination, and collaboration 
     among employers, economic development entities, and service 
     providers.
       ``(5) Designation of local areas.--The State board shall 
     designate local areas as required under section 116.
       ``(6) One-stop delivery system.--The State board shall 
     identify and disseminate information on best practices for 
     effective operation of one-stop centers, including use of 
     innovative business outreach, partnerships, and service 
     delivery strategies.
       ``(7) Program oversight.--The State board shall conduct the 
     following program oversight:
       ``(A) Reviewing and approving local plans under section 
     118.
       ``(B) Ensuring the appropriate use and management of the 
     funds provided for State employment and training activities 
     authorized under section 134.
       ``(C) Preparing an annual report to the Secretary described 
     in section 136(d).
       ``(8) Development of performance measures.--The State board 
     shall develop and ensure continuous improvement of 
     comprehensive State performance measures, including State 
     adjusted levels of performance, as described under section 
     136(b).'';
       (4) by striking subsection (e) and redesignating subsection 
     (f) as subsection (e);

[[Page 5190]]

       (5) in subsection (e) (as so redesignated), by inserting 
     ``or participate in any action taken'' after ``vote'';
       (6) by inserting after subsection (e) (as so redesignated), 
     the following:
       ``(f) Staff.--The State board may employ staff to assist in 
     carrying out the functions described in subsection (d).''; 
     and
       (7) in subsection (g), by inserting ``electronic means 
     and'' after ``on a regular basis through''.

     SEC. __13. STATE PLAN.

       Section 112 (29 U.S.C. 2822)--
       (1) in subsection (a)--
       (A) by striking ``127 or''; and
       (B) by striking ``5-year strategy'' and inserting ``3-year 
     strategy'';
       (2) in subsection (b)--
       (A) by amending paragraph (4) to read as follows:
       ``(4) information describing--
       ``(A) the economic conditions in the State;
       ``(B) the immediate and long-term skilled workforce needs 
     of in-demand industries, small businesses, and other 
     occupations important to the State economy;
       ``(C) the knowledge and skills of the workforce in the 
     State; and
       ``(D) workforce development activities (including education 
     and training) in the State;'';
       (B) by amending paragraph (7) to read as follows:
       ``(7) a description of the State criteria for determining 
     the eligibility of training services providers in accordance 
     with section 122, including how the State will take into 
     account the performance of providers and whether the training 
     services relate to in-demand industries and other occupations 
     important to the State economy;'';
       (C) by amending paragraph (8) to read as follows:
       ``(8)(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
       ``(B) a description of and an assurance regarding 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--
       ``(i) an assurance 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
       ``(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 1 year of the approval of 
     the plan;'';
       (D) in paragraph (9), by striking ``, including comment by 
     representatives of businesses and representatives of labor 
     organizations,'';
       (E) in paragraph (11), by striking ``under sections 127 and 
     132'' and inserting ``under section 132'';
       (F) by striking paragraph (12);
       (G) by redesignating paragraphs (13) through (18) as 
     paragraphs (12) through (17), respectively;
       (H) in paragraph (12) (as so redesignated), by striking 
     ``111(f)'' and inserting ``111(e)'';
       (I) in paragraph (13) (as so redesignated), by striking 
     ``134(c)'' and inserting ``121(e)'';
       (J) in paragraph (14) (as so redesignated), by striking 
     ``116(a)(5)'' and inserting ``116(a)(3)'';
       (K) in paragraph (16) (as so redesignated)--
       (i) in subparagraph (A)--

       (I) in clause (ii)--

       (aa) by striking ``to dislocated workers''; and
       (bb) by inserting ``and additional assistance'' after 
     ``rapid response activities'';

       (II) in clause (iii), by striking ``134(d)(4)'' and 
     inserting ``134(c)(4)'';
       (III) by striking ``and'' at the end of clause (iii);
       (IV) by amending clause (iv) to read as follows:

       ``(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 
     Federal and State 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, refugees and entrants, 
     veterans (including disabled and homeless veterans), and 
     Native Americans; and''; and

       (V) by adding at the end the following new clause:

       ``(v) how the State will--

       ``(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
       ``(II) consistent with sections 504 and 508 of the 
     Rehabilitation Act of 1973 (29 U.S.C. 794, 794d), include the 
     provision of outreach, intake, assessments, and service 
     delivery, the development of performance measures, the 
     training of staff, and other aspects of accessibility for 
     individuals with disabilities to programs and services under 
     this subtitle;''; and

       (ii) in subparagraph (B), by striking ``to the extent 
     practicable'' and inserting ``in accordance with the 
     requirements of the Jobs for Veterans Act (Public Law 107-
     288) and the amendments made by such Act''; and
       (L) by striking paragraph (17) (as so redesignated) and 
     inserting the following:
       ``(17) a description of the strategies and services that 
     will be used in the State--
       ``(A) to more fully engage employers, including small 
     businesses and employers in in-demand industries and 
     occupations important to the State economy;
       ``(B) to meet the needs of employers in the State; and
       ``(C) to better coordinate workforce development programs 
     with economic development activities;
       ``(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 a targeted cluster of multiple firms 
     for a range of workers employed or potentially employed by 
     the industry or sector--
       ``(A) to encourage industry growth and competitiveness and 
     to improve worker training, retention, and advancement in the 
     industry or sector;
       ``(B) to address the immediate and long-term skilled 
     workforce needs of in-demand industries, small businesses, 
     and other occupations important to the State economy; and
       ``(C) to address critical skill gaps within and across 
     industries and sectors;
       ``(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;
       ``(20) a description of the State strategy and assistance 
     to be provided by the State for encouraging regional 
     cooperation within the State and across State borders, as 
     appropriate;
       ``(21) a description of the actions that will be taken by 
     the State to foster communication, coordination, and 
     partnerships with nonprofit 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;
       ``(22) a description of the process and methodology for 
     determining--
       ``(A) one-stop partner program contributions for the costs 
     of infrastructure of one-stop centers under section 
     121(h)(1); and
       ``(B) the formula for allocating such infrastructure funds 
     to local areas under section 121(h)(3);
       ``(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, 
     such as industry-recognized credentials), and employment 
     experience to succeed in the labor market, including--
       ``(A) training and internships in in-demand industries or 
     occupations important to the State and local economy;
       ``(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
       ``(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
       ``(24) a description of--
       ``(A) how the State will furnish employment, training, 
     including training in advanced manufacturing, supportive, and 
     placement services to veterans, including disabled and 
     homeless veterans;
       ``(B) the strategies and services that will be used in the 
     State to assist in and expedite reintegration of homeless 
     veterans into the labor force; and
       ``(C) the veterans population to be served in the State.'';
       (3) in subsection (c), by striking ``period, that--'' and 
     all that follows through paragraph (2) and inserting 
     ``period, that the plan is inconsistent with the provisions 
     of this title.''; and
       (4) in subsection (d), by striking ``5-year'' and inserting 
     ``3-year''.

     SEC. __14. LOCAL WORKFORCE INVESTMENT AREAS.

       Section 116 (29 U.S.C. 2831) is amended--
       (1) in subsection (a)--
       (A) by amending paragraph (1) to read as follows:
       ``(1) In general.--
       ``(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--
       ``(i) support the statewide workforce development system 
     developed under section 111(d)(2), enabling the system to 
     meet the workforce needs of the State and its local areas;

[[Page 5191]]

       ``(ii) include consultation, prior to the designation, with 
     chief elected officials;
       ``(iii) include consideration of comments received on the 
     designation through the public comment process as described 
     in section 112(b)(9); and
       ``(iv) require the submission of an application for 
     approval under subparagraph (B).
       ``(B) Application.--To obtain designation of a local area 
     under this paragraph, a local or regional board (or consortia 
     of local or regional boards) seeking to take responsibility 
     for the area under this Act 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--
       ``(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;
       ``(ii) a description of how the local area is consistent or 
     aligned with--

       ``(I) service delivery areas (as determined by the State);
       ``(II) labor market areas; and
       ``(III) economic development regions;

       ``(iii) a description of the eligible providers of 
     education and training, including postsecondary educational 
     institutions such as community colleges, located in the local 
     area and available to meet the needs of the local workforce;
       ``(iv) a description of the distance that individuals will 
     need to travel to receive services provided in such local 
     area; and
       ``(v) any other criteria that the State board may require.
       ``(C) Priority.--In designating local areas under this 
     paragraph, a State board shall give priority consideration to 
     an area proposed by an applicant 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.
       ``(D) Alignment with local plan.--A State may designate an 
     area proposed by an applicant as a local area under this 
     paragraph for a period not to exceed 3 years.
       ``(E) References.--For purposes of this Act, a reference to 
     a local area--
       ``(i) used with respect to a geographic area, refers to an 
     area designated under this paragraph; and
       ``(ii) used with respect to an entity, refers to the 
     applicant.'';
       (B) by amending paragraph (2) to read as follows:
       ``(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).'';
       (C) by striking paragraph (3);
       (D) by striking paragraph (4);
       (E) by redesignating paragraph (5) as paragraph (3); and
       (F) in paragraph (3) (as so redesignated), by striking 
     ``(2) or (3)'' both places it appears and inserting ``(1)'';
       (2) by amending subsection (b) to read as follows:
       ``(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.''; and
       (3) in subsection (c)--
       (A) in paragraph (1), by adding at the end the following: 
     ``The State may require the local boards for the designated 
     region to prepare a single regional plan that incorporates 
     the elements of the local plan under section 118 and that is 
     submitted and approved in lieu of separate local plans under 
     such section.''; and
       (B) in paragraph (2), by striking ``employment statistics'' 
     and inserting ``workforce and labor market information''.

     SEC. __15. LOCAL WORKFORCE INVESTMENT BOARDS.

       Section 117 (29 U.S.C. 2832) is amended--
       (1) in subsection (b)--
       (A) in paragraph (2)--
       (i) in subparagraph (A)--

       (I) by striking ``include--'' and all that follows through 
     ``representatives'' and inserting ``include 
     representatives'';
       (II) by striking clauses (ii) through (vi);
       (III) by redesignating subclauses (I) through (III) as 
     clauses (i) through (iii), respectively (and by moving the 
     margins of such clauses 2 ems to the left);
       (IV) by striking clause (ii) (as so redesignated) and 
     inserting the following:

       ``(ii) represent businesses, including large and small 
     businesses, each of which has immediate and long-term 
     employment opportunities in an in-demand industry or other 
     occupation important to the local economy; and''; and

       (V) by striking the semicolon at the end of clause (iii) 
     (as so redesignated) and inserting ``; and''; and

       (ii) by amending subparagraph (B) to read as follows:
       ``(B) may include such other individuals or representatives 
     of entities as the chief elected official in the local area 
     may determine to be appropriate, including--
       ``(i) the superintendent or other employee of the local 
     educational agency who has primary responsibility for 
     secondary education, the presidents or chief executive 
     officers of postsecondary educational institutions (including 
     a community college, where such an entity exists), or 
     administrators of local entities providing adult education 
     and family literacy education activities;
       ``(ii) representatives of community-based organizations 
     (including organizations representing individuals with 
     disabilities and veterans, for a local area in which such 
     organizations are present); or
       ``(iii) representatives of veterans service 
     organizations.'';
       (B) in paragraph (4)--
       (i) by striking ``A majority'' and inserting ``A \2/3\ 
     majority''; and
       (ii) by striking ``(2)(A)(i)'' and inserting ``(2)(A)''; 
     and
       (C) in paragraph (5), by striking ``(2)(A)(i)'' and 
     inserting ``(2)(A)'';
       (2) in subsection (c)--
       (A) in paragraph (1), by striking subparagraph (C); and
       (B) in paragraph (3)(A)(ii), by striking ``paragraphs (1) 
     through (7)'' and inserting ``paragraphs (1) through (8)'';
       (3) by amending subsection (d) to read as follows:
       ``(d) Functions of Local Board.--The functions of the local 
     board shall include the following:
       ``(1) Local plan.--Consistent with section 118, each local 
     board, in partnership with the chief elected official for the 
     local area involved, shall develop and submit a local plan to 
     the Governor.
       ``(2) Workforce research and regional labor market 
     analysis.--
       ``(A) In general.--The local board shall--
       ``(i) conduct, and regularly update, an analysis of--

       ``(I) the economic conditions in the local area;
       ``(II) the immediate and long-term skilled workforce needs 
     of in-demand industries and other occupations important to 
     the local economy;
       ``(III) the knowledge and skills of the workforce in the 
     local area; and
       ``(IV) workforce development activities (including 
     education and training) in the local area; and

       ``(ii) assist the Governor in developing the statewide 
     workforce and labor market information system described in 
     section 15(e) of the Wagner-Peyser Act (29 U.S.C. 49l-2(e)).
       ``(B) Existing analysis.--In carrying out requirements of 
     subparagraph (A)(i), a local board shall use an existing 
     analysis, if any, by the local economic development entity or 
     related entity.
       ``(3) Employer engagement.--The local board shall meet the 
     needs of employers and support economic growth in the local 
     area by enhancing communication, coordination, and 
     collaboration among employers, economic development entities, 
     and service providers.
       ``(4) Budget and administration.--
       ``(A) Budget.--
       ``(i) In general.--The local board shall develop a budget 
     for the activities of the local board in the local area, 
     consistent with the requirements of this subsection.
       ``(ii) Training reservation.--In developing a budget under 
     clause (i), the local board shall reserve a percentage of 
     funds to carry out the activities specified in section 
     134(c)(4). The local board shall use the analysis conducted 
     under paragraph (2)(A)(i) to determine the appropriate 
     percentage of funds to reserve under this clause.
       ``(B) Administration.--
       ``(i) Grant recipient.--The chief elected official in a 
     local area shall serve as the local grant recipient for, and 
     shall be liable for any misuse of, the grant funds allocated 
     to the local area under section 133, unless the chief elected 
     official reaches an agreement with the Governor for the 
     Governor to act as the local grant recipient and bear such 
     liability.
       ``(ii) Designation.--In order to assist in administration 
     of the grant funds, the chief elected official or the 
     Governor, where the Governor serves as the local grant 
     recipient for a local area, may designate an entity to serve 
     as a local grant subrecipient for such funds or as a local 
     fiscal agent. Such designation shall not relieve the chief 
     elected official or the Governor of the liability for any 
     misuse of grant funds as described in clause (i).
       ``(iii) Disbursal.--The local grant recipient or an entity 
     designated under clause (ii) shall disburse the grant funds 
     for workforce investment activities at the direction of the 
     local board, pursuant to the requirements of this title. The 
     local grant recipient or entity designated under clause (ii) 
     shall disburse the funds immediately on receiving such 
     direction from the local board.
       ``(C) Staff.--The local board may employ staff to assist in 
     carrying out the functions described in this subsection.
       ``(D) Grants and donations.--The local board may solicit 
     and accept grants and donations from sources other than 
     Federal funds made available under this Act.
       ``(5) Selection of operators and providers.--
       ``(A) Selection of one-stop operators.--Consistent with 
     section 121(d), the local board, with the agreement of the 
     chief elected official--
       ``(i) shall designate or certify one-stop operators as 
     described in section 121(d)(2)(A); and

[[Page 5192]]

       ``(ii) may terminate for cause the eligibility of such 
     operators.
       ``(B) Identification of eligible training service 
     providers.--Consistent with this subtitle, the local board 
     shall identify eligible providers of training services 
     described in section 134(c)(4) in the local area, annually 
     review the outcomes of such eligible providers using the 
     criteria under section 122(b)(2), and designate such eligible 
     providers in the local area who have demonstrated the highest 
     level of success with respect to such criteria as priority 
     eligible providers for the program year following the review.
       ``(C) Identification of eligible providers of work ready 
     services.--If the one-stop operator does not provide the 
     services described in section 134(c)(2) in the local area, 
     the local board shall identify eligible providers of such 
     services in the local area by awarding contracts.
       ``(6) Program oversight.--The local board, in partnership 
     with the chief elected official, shall be responsible for--
       ``(A) ensuring the appropriate use and management of the 
     funds provided for local employment and training activities 
     authorized under section 134(b); and
       ``(B) conducting oversight of the one-stop delivery system, 
     in the local area, authorized under section 121.
       ``(7) Negotiation of local performance measures.--The local 
     board, the chief elected official, and the Governor shall 
     negotiate and reach agreement on local performance measures 
     as described in section 136(c).
       ``(8) Technology improvements.--The local board shall 
     develop strategies for technology improvements to facilitate 
     access to services authorized under this subtitle and carried 
     out in the local area, including access in remote areas.'';
       (4) in subsection (e)--
       (A) by inserting ``electronic means and'' after ``regular 
     basis through''; and
       (B) by striking ``and the award of grants or contracts to 
     eligible providers of youth activities,'';
       (5) in subsection (f)--
       (A) in paragraph (1)(A), by striking ``section 134(d)(4)'' 
     and inserting ``section 134(c)(4)''; and
       (B) by striking paragraph (2) and inserting the following:
       ``(2) Work ready services; designation or certification as 
     one-stop operators.--A local board may provide work ready 
     services described in section 134(c)(2) through a one-stop 
     delivery system described in section 121 or be designated or 
     certified as a one-stop operator only with the agreement of 
     the chief elected official and the Governor.'';
       (6) in subsection (g)(1), by inserting ``or participate in 
     any action taken'' after ``vote''; and
       (7) by striking subsections (h) and (i).

     SEC. __16. LOCAL PLAN.

       Section 118 (29 U.S.C. 2833) is amended--
       (1) in subsection (a), by striking ``5-year'' and inserting 
     ``3-year'';
       (2) by amending subsection (b) to read as follows:
       ``(b) Contents.--The local plan shall include--
       ``(1) a description of the analysis of the local area's 
     economic and workforce conditions conducted under subclauses 
     (I) through (IV) of section 117(d)(2)(A)(i), and an assurance 
     that the local board will use such analysis to carry out the 
     activities under this subtitle;
       ``(2) a description of the one-stop delivery system in the 
     local area, including--
       ``(A) a description of how the local board will ensure--
       ``(i) the continuous improvement of eligible providers of 
     services through the system; and
       ``(ii) that such providers meet the employment needs of 
     local businesses and participants; and
       ``(B) a description of how the local board will facilitate 
     access to services described in section 117(d)(8) and 
     provided through the one-stop delivery system consistent with 
     section 117(d)(8);
       ``(3) a description of the strategies and services that 
     will be used in the local area--
       ``(A) to more fully engage employers, including small 
     businesses and employers in in-demand industries and 
     occupations important to the local economy;
       ``(B) to meet the needs of employers in the local area;
       ``(C) to better coordinate workforce development programs 
     with economic development activities; and
       ``(D) to better coordinate workforce development programs 
     with employment, training, and literacy services carried out 
     by nonprofit organizations, including public libraries, as 
     appropriate;
       ``(4) a description of how the local 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 or sector--
       ``(A) to encourage industry growth and competitiveness and 
     to improve worker training, retention, and advancement in the 
     targeted industry or sector;
       ``(B) to address the immediate and long-term skilled 
     workforce needs of in-demand industries, small businesses, 
     and other occupations important to the local economy; and
       ``(C) to address critical skill gaps within and across 
     industries and sectors;
       ``(5) a description of how the funds reserved under section 
     117(d)(4)(A)(ii) will be used to carry out activities 
     described in section 134(c)(4);
       ``(6) a description of how the local board will coordinate 
     workforce investment activities carried out in the local area 
     with statewide workforce investment activities, as 
     appropriate;
       ``(7) a description of how the local area will--
       ``(A) coordinate activities with the local area's 
     disability community, and with transition services (as 
     defined under section 602 of the Individuals with 
     Disabilities Education Act (20 U.S.C. 1401)) provided under 
     that Act by local educational agencies serving such local 
     area, to make available comprehensive, high-quality services 
     to individuals with disabilities;
       ``(B) 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, with a focus 
     on employment that fosters independence and integration into 
     the workplace; and
       ``(C) consistent with sections 504 and 508 of the 
     Rehabilitation Act of 1973 (29 U.S.C. 794, 794d), include the 
     provision of outreach, intake, assessments, and service 
     delivery, the development of performance measures, the 
     training of staff, and other aspects of accessibility for 
     individuals with disabilities to programs and services under 
     this subtitle;
       ``(8) a description of the local levels of performance 
     negotiated with the Governor and chief elected official 
     pursuant to section 136(c), to be--
       ``(A) used to measure the performance of the local area; 
     and
       ``(B) used by the local board for measuring performance of 
     the local fiscal agent (where appropriate), eligible 
     providers, and the one-stop delivery system, in the local 
     area;
       ``(9) a description of the process used by the local board, 
     consistent with subsection (c), to provide an opportunity for 
     public comment prior to submission of the plan;
       ``(10) a description of how the local area 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 Federal and 
     State 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, refugees and entrants, veterans (including 
     disabled veterans and homeless veterans), and Native 
     Americans;
       ``(11) an identification of the entity responsible for the 
     disbursal of grant funds described in section 
     117(d)(4)(B)(iii), as determined by the chief elected 
     official or the Governor under such section;
       ``(12) a description of the strategies and services that 
     will be used in the local area to assist at-risk youth and 
     out-of-school youth in acquiring the education and skills, 
     credentials (including recognized postsecondary credentials, 
     such as industry-recognized credentials), and employment 
     experience to succeed in the labor market, including--
       ``(A) training and internships in in-demand industries or 
     occupations important to the local economy;
       ``(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
       ``(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;
       ``(13) a description of--
       ``(A) how the local area will furnish employment, training, 
     including training in advanced manufacturing, supportive, and 
     placement services to veterans, including disabled and 
     homeless veterans;
       ``(B) the strategies and services that will be used in the 
     local area to assist in and expedite reintegration of 
     homeless veterans into the labor force; and
       ``(C) the veteran population to be served in the local 
     area;
       ``(14) a description of--
       ``(A) the duties assigned to the veteran employment 
     specialist consistent with the requirements of section 
     134(f);
       ``(B) the manner in which the veteran employment specialist 
     is integrated into the one-stop career system described in 
     section 121;
       ``(C) the date on which the veteran employment specialist 
     was assigned; and
       ``(D) whether the veteran employment specialist has 
     satisfactorily completed related training by the National 
     Veterans' Employment and Training Services Institute; and
       ``(15) such other information as the Governor may 
     require.''; and

[[Page 5193]]

       (3) in subsection (c)--
       (A) in paragraph (1), by striking ``such means'' and 
     inserting ``electronic means and such means''; and
       (B) in paragraph (2), by striking ``, including 
     representatives of business and representatives of labor 
     organizations,''.

     SEC. __17. ESTABLISHMENT OF ONE-STOP DELIVERY SYSTEM.

       Section 121 (29 U.S.C. 2841) is amended--
       (1) in subsection (b)--
       (A) by striking subparagraph (A) of paragraph (1) and 
     inserting the following:
       ``(A) Roles and responsibilities of one-stop partners.--
     Each entity that carries out a program or activities 
     described in subparagraph (B) shall--
       ``(i) provide access through a one-stop delivery system to 
     the program or activities carried out by the entity, 
     including making the work ready services described in section 
     134(c)(2) that are applicable to the program or activities of 
     the entity available at one-stop centers (in addition to any 
     other appropriate locations);
       ``(ii) use a portion of the funds available to the program 
     or activities of the entity to maintain the one-stop delivery 
     system, including payment of the costs of infrastructure of 
     one-stop centers in accordance with subsection (h);
       ``(iii) enter into a local memorandum of understanding with 
     the local board, relating to the operation of the one-stop 
     delivery system, that meets the requirements of subsection 
     (c); and
       ``(iv) participate in the operation of the one-stop 
     delivery system consistent with the terms of the memorandum 
     of understanding, the requirements of this title, and the 
     requirements of the Federal laws authorizing the program or 
     activities carried out by the entity.'';
       (B) in paragraph (1)(B)--
       (i) by striking clauses (ii), (v), and (vi);
       (ii) by redesignating clauses (iii) and (iv) as clauses 
     (ii) and (iii), respectively;
       (iii) by redesignating clauses (vii) through (xii) as 
     clauses (iv) through (ix), respectively;
       (iv) in clause (ii), as so redesignated, by striking 
     ``adult education and literacy activities'' and inserting 
     ``adult education and family literacy education activities''
       (v) in clause (viii), as so redesignated, by striking 
     ``and'' at the end;
       (vi) in clause (ix), as so redesignated, by striking the 
     period and inserting ``; and''; and
       (vii) by adding at the end the following:
       ``(x) subject to subparagraph (C), programs authorized 
     under part A of title IV of the Social Security Act (42 
     U.S.C. 601 et seq.).'';
       (C) by inserting after paragraph (1)(B) the following:
       ``(C) Determination by the governor.--Each entity carrying 
     out a program described in subparagraph (B)(x) shall be 
     considered to be a one-stop partner under this title and 
     carry out the required partner activities described in 
     subparagraph (A) unless the Governor of the State in which 
     the local area is located provides the Secretary and 
     Secretary of Health and Human Services written notice of a 
     determination by the Governor that such an entity shall not 
     be considered to be such a partner and shall not carry out 
     such required partner activities.''; and
       (D) in paragraph (2)--
       (i) in subparagraph (A)(i), by striking ``section 
     134(d)(2)'' and inserting ``section 134(c)(2)''; and
       (ii) in subparagraph (B)--

       (I) by striking clauses (i), (ii), and (v);
       (II) in clause (iv), by striking ``and'' at the end;
       (III) by redesignating clauses (iii) and (iv) as clauses 
     (i) and (ii), respectively; and
       (IV) by adding at the end the following:

       ``(iii) employment and training programs administered by 
     the Commissioner of the Social Security Administration;
       ``(iv) employment and training programs carried out by the 
     Administrator of the Small Business Administration;
       ``(v) employment, training, and literacy services carried 
     out by public libraries; and
       ``(vi) other appropriate Federal, State, or local programs, 
     including programs in the private sector.'';
       (2) in subsection (c)(2), by amending subparagraph (A) to 
     read as follows:
       ``(A) provisions describing--
       ``(i) the services to be provided through the one-stop 
     delivery system consistent with the requirements of this 
     section, including the manner in which the services will be 
     coordinated through such system;
       ``(ii) how the costs of such services and the operating 
     costs of such system will be funded, through cash and in-kind 
     contributions, to provide a stable and equitable funding 
     stream for ongoing one-stop system operations, including the 
     funding of the costs of infrastructure of one-stop centers in 
     accordance with subsection (h);
       ``(iii) methods of referral of individuals between the one-
     stop operator and the one-stop partners for appropriate 
     services and activities, including referrals for training for 
     nontraditional employment; and
       ``(iv) the duration of the memorandum of understanding and 
     the procedures for amending the memorandum during the term of 
     the memorandum, and assurances that such memorandum shall be 
     reviewed not less than once every 3-year period to ensure 
     appropriate funding and delivery of services under the 
     memorandum; and'';
       (3) in subsection (d)--
       (A) in the heading for paragraph (1), by striking 
     ``Designation and certification'' and inserting ``Local 
     designation and certification'';
       (B) in paragraph (2)--
       (i) by striking ``section 134(c)'' and inserting 
     ``subsection (e)'';
       (ii) by amending subparagraph (A) to read as follows:
       ``(A) shall be designated or certified as a one-stop 
     operator through a competitive process; and''; and
       (iii) in subparagraph (B), by striking clause (ii) and 
     redesignating clauses (iii) through (vi) as clauses (ii) 
     through (v), respectively; and
       (C) in paragraph (3), by striking ``vocational'' and 
     inserting ``career and technical'';
       (4) by amending subsection (e) to read as follows:
       ``(e) Establishment of One-Stop Delivery System.--
       ``(1) In general.--There shall be established in a State 
     that receives an allotment under section 132(b) a one-stop 
     delivery system, which shall--
       ``(A) provide the work ready services described in section 
     134(c)(2);
       ``(B) provide access to training services as described in 
     paragraph (4) of section 134(c), including serving as the 
     point of access to career enhancement accounts for training 
     services to participants in accordance with paragraph (4)(F) 
     of such section;
       ``(C) provide access to the activities carried out under 
     section 134(d), if any;
       ``(D) provide access to programs and activities carried out 
     by one-stop partners that are described in subsection (b); 
     and
       ``(E) provide access to the data and information described 
     in subparagraphs (A) and (B) of section 15(a)(1) of the 
     Wagner-Peyser Act (29 U.S.C. 49l-2(a)(1)).
       ``(2) One-stop delivery.--At a minimum, the one-stop 
     delivery system--
       ``(A) shall make each of the programs, services, and 
     activities described in paragraph (1) accessible at not less 
     than one physical center in each local area of the State; and
       ``(B) may also make programs, services, and activities 
     described in paragraph (1) available--
       ``(i) through a network of affiliated sites that can 
     provide one or more of the programs, services, and activities 
     to individuals; and
       ``(ii) through a network of eligible one-stop partners--

       ``(I) in which each partner provides one or more of the 
     programs, services, and activities to such individuals and is 
     accessible at an affiliated site that consists of a physical 
     location or an electronically- or technologically-linked 
     access point; and
       ``(II) that assures individuals that information on the 
     availability of the work ready services will be available 
     regardless of where the individuals initially enter the 
     statewide workforce investment system, including information 
     made available through an access point described in subclause 
     (I).

       ``(3) Specialized centers.--The centers and sites described 
     in paragraph (2) may have a specialization in addressing 
     special needs.''; and
       (5) by adding at the end the following:
       ``(g) Certification of One-Stop Centers.--
       ``(1) In general.--
       ``(A) In general.--The State board shall establish 
     objective procedures and criteria for certifying, at least 
     once every 3 years, one-stop centers for the purpose of 
     awarding the one-stop infrastructure funding described in 
     subsection (h).
       ``(B) Criteria.--The criteria for certification of a one-
     stop center under this subsection shall include--
       ``(i) meeting the expected levels of performance for each 
     of the corresponding core indicators of performance as 
     outlined in the State plan under section 112;
       ``(ii) meeting minimum standards relating to the scope and 
     degree of service integration achieved by the center, 
     involving the programs provided by the one-stop partners; and
       ``(iii) meeting minimum standards relating to how the 
     center ensures that eligible providers meet the employment 
     needs of local employers and participants.
       ``(C) Effect of certification.--One-stop centers certified 
     under this subsection shall be eligible to receive the 
     infrastructure funding authorized under subsection (h).
       ``(2) Local boards.--Consistent with the criteria developed 
     by the State, the local board may develop, for certification 
     referred to in paragraph (1)(A), additional criteria or 
     higher standards on the criteria referred to in paragraph 
     (1)(B) to respond to local labor market and demographic 
     conditions and trends.
       ``(h) One-Stop Infrastructure Funding.--
       ``(1) Partner contributions.--
       ``(A) Provision of funds.--Notwithstanding any other 
     provision of law, as determined under subparagraph (B), a 
     portion of the Federal funds provided to the State

[[Page 5194]]

     and areas within the State under the Federal laws authorizing 
     the one-stop partner programs described in subsection 
     (b)(1)(B) and participating additional partner programs 
     described in subsection (b)(2)(B), for a fiscal year shall be 
     provided to the Governor by such partners to carry out this 
     subsection.
       ``(B) Determination of governor.--
       ``(i) In general.--Subject to subparagraph (C), the 
     Governor, in consultation with the State board, shall 
     determine the portion of funds to be provided under 
     subparagraph (A) by each one-stop partner and in making such 
     determination shall consider the proportionate use of the 
     one-stop centers in the State by each such partner, the costs 
     of administration for purposes not related to one-stop 
     centers for each such partner, and other relevant factors 
     described in paragraph (3).
       ``(ii) Special rule.--In those States where the State 
     constitution places policy-making authority that is 
     independent of the authority of the Governor in an entity or 
     official with respect to the funds provided for adult 
     education and family literacy education activities authorized 
     under title II and for postsecondary career and technical 
     education activities authorized under the Carl D. Perkins 
     Career and Technical Education Act of 2006 (20 U.S.C. 2301 et 
     seq.), the determination described in clause (i) with respect 
     to the corresponding 2 programs shall be made by the Governor 
     with the appropriate entity or official with such independent 
     policy-making authority.
       ``(iii) Appeal by one-stop partners.--The Governor shall 
     establish a procedure for the one-stop partner administering 
     a program described in subsection (b) and subparagraph (A) to 
     appeal a determination regarding the portion of funds to be 
     provided under this paragraph on the basis that such 
     determination is inconsistent with the requirements described 
     in the State plan for the program or with the requirements of 
     this paragraph. Such procedure shall ensure prompt resolution 
     of the appeal.
       ``(C) Limitations.--
       ``(i) Provision from administrative funds.--The funds 
     provided under this paragraph by a one-stop partner shall be 
     provided only from funds available for the costs of 
     administration under the program administered by such 
     partner, and shall be subject to the limitations with respect 
     to the portion of funds under such program that may be used 
     for administration.
       ``(ii) Federal direct spending programs.--

       ``(I) In general.--A program that provides Federal direct 
     spending under section 250(c)(8) of the Balanced Budget and 
     Emergency Deficit Control Act of 1985 (2 U.S.C. 900(c)(8)) 
     shall not, for purposes of this paragraph, be required to 
     provide more than the maximum amount determined under 
     subclause (II).
       ``(II) Maximum amount.--The maximum amount for the program 
     is the amount that bears the same relationship to the costs 
     referred to in paragraph (2) for the State as the use of the 
     one-stop centers by such program bears to the use of such 
     centers by all one-stop partner programs in the State.

       ``(2) Allocation by governor.--From the funds provided 
     under paragraph (1), the Governor shall allocate funds to 
     local areas in accordance with the formula established under 
     paragraph (3) for the purposes of assisting in paying the 
     costs of infrastructure of one-stop centers certified under 
     subsection (g).
       ``(3) Allocation formula.--The State board shall develop a 
     formula to be used by the Governor to allocate the funds 
     provided under paragraph (1) to local areas. The formula 
     shall include such factors as the State board determines are 
     appropriate, which may include factors such as the number of 
     centers in a local area that have been certified, the 
     population served by such centers, and the performance of 
     such centers.
       ``(4) Costs of infrastructure.--For purposes of this 
     subsection, the term `costs of infrastructure' means the 
     nonpersonnel costs that are necessary for the general 
     operation of a one-stop center, including the rental costs of 
     the facilities involved, and the costs of utilities and 
     maintenance, and equipment (including assistive technology 
     for individuals with disabilities).
       ``(i) Other Funds.--
       ``(1) In general.--In addition to the funds provided under 
     subsection (h), a portion of funds made available under 
     Federal law authorizing the one-stop partner programs 
     described in subsection (b)(1)(B) and participating 
     additional partner programs described in subsection 
     (b)(2)(B), or the noncash resources available under such 2 
     types of programs, shall be used to pay the costs relating to 
     the operation of the one-stop delivery system that are not 
     paid for from the funds provided under subsection (h), to the 
     extent not inconsistent with the Federal law involved. Such 
     portion shall be used to pay for costs including--
       ``(A) costs of infrastructure (as defined in subsection 
     (h)) that are in excess of the funds provided under 
     subsection (h);
       ``(B) common costs that are in addition to the costs of 
     infrastructure (as so defined); and
       ``(C) the costs of the provision of work ready services 
     applicable to each program.
       ``(2) Determination and standards.--The method for 
     determining the appropriate portion of funds and noncash 
     resources to be provided by each program under paragraph (1) 
     shall be determined as part of the memorandum of 
     understanding under subsection (c). The State board shall 
     provide standards to facilitate the determination of 
     appropriate allocation of the funds and noncash resources to 
     local areas.''.

     SEC. __18. IDENTIFICATION OF ELIGIBLE PROVIDERS OF TRAINING 
                   SERVICES.

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

     ``SEC. 122. IDENTIFICATION OF ELIGIBLE PROVIDERS OF TRAINING 
                   SERVICES.

       ``(a) Eligibility.--
       ``(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 and be included on the list of eligible providers of 
     training services described in subsection (d).
       ``(2) Providers.--Subject to the provisions of this 
     section, to be eligible to receive the funds and be included 
     on the list, the provider shall be--
       ``(A) a postsecondary educational institution that--
       ``(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
       ``(ii) provides a program that leads to a recognized 
     postsecondary credential;
       ``(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
       ``(C) another public or private provider of a program of 
     training services.
       ``(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 subsection to be eligible to receive the funds and be 
     included on the list. A provider described in paragraph 
     (2)(B) shall be eligible to receive the funds and be included 
     on the list with respect to programs described in paragraph 
     (2)(B) for so long as the provider remains certified by the 
     Secretary of Labor to carry out the programs.
       ``(b) Criteria.--
       ``(1) In general.--The criteria established by the Governor 
     pursuant to subsection (a) shall take into account--
       ``(A) the performance of providers of training services 
     with respect to the performance measures described in section 
     136, measures for 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;
       ``(B) whether the training programs of such providers 
     relate to in-demand industries or occupations important to 
     the local economy;
       ``(C) the need to ensure access to training services 
     throughout the State, including in rural areas;
       ``(D) the ability of the providers to offer programs that 
     lead to a recognized postsecondary credential, and the 
     quality of such programs;
       ``(E) the performance of the providers as reflected in 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
       ``(F) such other factors as the Governor determines are 
     appropriate.
       ``(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--
       ``(A) information on recognized postsecondary credentials 
     received by such participants;
       ``(B) information on costs of attendance for such 
     participants;
       ``(C) information on the program completion rate for such 
     participants; and
       ``(D) information on the performance of the provider with 
     respect to the performance measures described in section 136 
     for such participants.
       ``(3) Renewal.--The criteria established by the Governor 
     shall also provide for a review on the criteria every 3 years 
     and renewal of eligibility under this section for providers 
     of training services.
       ``(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 on the criteria established by the Governor, 
     for purposes of determining the eligibility of providers of 
     training services under this section in the local area 
     involved.
       ``(5) Limitation.--In carrying out the requirements of this 
     subsection, no entity may disclose personally identifiable 
     information regarding a student, including a Social Security 
     number, student identification number, or other identifier, 
     without the prior written consent of the parent or student in 
     compliance with section 444 of the General Education 
     Provisions Act (20 U.S.C. 1232g).

[[Page 5195]]

       ``(c) Procedures.--The procedures established under 
     subsection (a) shall--
       ``(1) identify--
       ``(A) the application process for a provider of training 
     services to become eligible under this section; and
       ``(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
       ``(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.
       ``(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 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.
       ``(e) Enforcement.--
       ``(1) In general.--The procedures established under this 
     section shall provide the following:
       ``(A) Intentionally supplying inaccurate information.--Upon 
     a determination, by an individual or entity specified in the 
     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 under this section 
     shall be terminated for a period of time that is not less 
     than 2 years.
       ``(B) Substantial violations.--Upon a determination, by an 
     individual or entity specified in the procedures, that a 
     provider of training services substantially violated any 
     requirement under this title, the eligibility of such 
     provider under this section shall be terminated for a period 
     of time that is not less than 10 years.
       ``(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. For purposes of subparagraph (A), that period 
     shall be considered to be the period beginning on the date on 
     which the inaccurate information described in subparagraph 
     (A) was supplied, and ending on the date of the termination 
     described in subparagraph (A).
       ``(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.
       ``(f) Agreements With Other States.--A State may enter into 
     an agreement with another State, on a reciprocal basis, to 
     permit eligible providers of training services to accept 
     career enhancement accounts provided in the other State.
       ``(g) Recommendations.--In developing the criteria 
     (including requirements for related information) and 
     procedures 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.
       ``(h) Opportunity To Submit Comments.--During the 
     development of the criteria and procedures, 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 list.
       ``(i) On-the-Job Training or Customized Training 
     Exception.--
       ``(1) In general.--Providers of on-the-job training or 
     customized training shall not be subject to the requirements 
     of subsections (a) through (d).
       ``(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 under this section, 
     to be providers of the training services involved.''.

     SEC. __19. GENERAL AUTHORIZATION.

       Chapter 5 of subtitle B of title I is amended--
       (1) by striking the heading for chapter 5 and inserting the 
     following: ``EMPLOYMENT AND TRAINING ACTIVITIES''; and
       (2) in section 131 (29 U.S.C. 2861)--
       (A) by striking ``paragraphs (1)(B) and (2)(B) of''; and
       (B) by striking ``adults, and dislocated workers,'' and 
     inserting ``individuals''.

     SEC. __20. STATE ALLOTMENTS.

       Section 132 (29 U.S.C. 2862) is amended--
       (1) by amending subsection (a) to read as follows:
       ``(a) In General.--The Secretary shall--
       ``(1) reserve \1/2\ of 1 percent of the total amount 
     appropriated under section 137 for a fiscal year, of which--
       ``(A) 50 percent shall be used to provide technical 
     assistance under section 170; and
       ``(B) 50 percent shall be used for evaluations under 
     section 172;
       ``(2) reserve 1 percent of the total amount appropriated 
     under section 137 for a fiscal year to make grants to, and 
     enter into contracts or cooperative agreements with Indian 
     tribes, tribal organizations, Alaska Native entities, Indian-
     controlled organizations serving Indians, or Native Hawaiian 
     organizations to carry out employment and training 
     activities;
       ``(3) reserve not more than 25 percent of the total amount 
     appropriated under section 137 for a fiscal year to carry out 
     the Jobs Corps program under subtitle C;
       ``(4) reserve not more than 3.5 percent of the total amount 
     appropriated under section 137 for a fiscal year to--
       ``(A) make grants to State boards or local boards to 
     provide employment and training assistance to workers 
     affected by major economic dislocations, such as plant 
     closures, mass layoffs, or closures and realignments of 
     military installations; and
       ``(B) provide assistance to Governors of States with an 
     area that has suffered an emergency or a major disaster (as 
     such terms are defined in paragraphs (1) and (2), 
     respectively, of section 102 of the Robert T. Stafford 
     Disaster Relief and Emergency Assistance Act (42 U.S.C. 
     5122)) to provide disaster relief employment in the area; and
       ``(5) from the remaining amount appropriated under section 
     137 for a fiscal year (after reserving funds under paragraphs 
     (1) through (4)), make allotments in accordance with 
     subsection (b) of this section.''; and
       (2) by amending subsection (b) to read as follows:
       ``(b) Workforce Investment Fund.--
       ``(1) Reservation for outlying areas.--
       ``(A) In general.--From the amount made available under 
     subsection (a)(5) for a fiscal year, the Secretary shall 
     reserve not more than \1/4\ of 1 percent to provide 
     assistance to the outlying areas.
       ``(B) Restriction.--The Republic of Palau shall cease to be 
     eligible to receive funding under this paragraph upon 
     entering into an agreement for extension of United States 
     educational assistance under the Compact of Free Association 
     (approved by the Compact of Free Association Amendments Act 
     of 2003 (Public Law 108-188) after the date of enactment of 
     the SKILLS Act.
       ``(2) States.--
       ``(A) In general.--After determining the amount to be 
     reserved under paragraph (1), the Secretary shall allot the 
     remainder of the amount referred to in subsection (a)(5) for 
     a fiscal year to the States pursuant to subparagraph (B) for 
     employment and training activities and statewide workforce 
     investment activities.
       ``(B) Formula.--Subject to subparagraphs (C) and (D), of 
     the remainder--
       ``(i) 25 percent shall be allotted on the basis of the 
     relative number of unemployed individuals in areas of 
     substantial unemployment in each State, compared to the total 
     number of unemployed individuals in areas of substantial 
     unemployment in all States;
       ``(ii) 25 percent shall be allotted on the basis of the 
     relative number of individuals in the civilian labor force in 
     each State, compared to the total number of such individuals 
     in all States;
       ``(iii) 25 percent shall be allotted on the basis of the 
     relative number of individuals in each State who have been 
     unemployed for 15 weeks or more, compared to the total number 
     of individuals in all States who have been unemployed for 15 
     weeks or more; and
       ``(iv) 25 percent shall be allotted on the basis of the 
     relative number of disadvantaged youth in each State, 
     compared to the total number of disadvantaged youth in all 
     States.
       ``(C) Minimum and maximum percentages.--
       ``(i) Minimum percentage.--The Secretary shall ensure that 
     no State shall receive an allotment under this paragraph 
     for--

       ``(I) each of fiscal years 2015 through 2017, that is less 
     than 100 percent of the allotment percentage of the State for 
     fiscal year 2013; and
       ``(II) fiscal year 2018 and each succeeding fiscal year, 
     that is less than 90 percent of the allotment percentage of 
     the State for the fiscal year preceding the fiscal year 
     involved.

       ``(ii) Maximum percentage.--Subject to clause (i), the 
     Secretary shall ensure that no State shall receive an 
     allotment under this paragraph for--

       ``(I) each of fiscal years 2015 through 2017, that is more 
     than 130 percent of the allotment percentage of the State for 
     fiscal year 2013; and
       ``(II) fiscal year 2018 and each succeeding fiscal year, 
     that is more than 130 percent of the allotment percentage of 
     the State for the fiscal year preceding the fiscal year 
     involved.

       ``(D) Small state minimum allotment.--Subject to 
     subparagraph (C), the Secretary shall ensure that no State 
     shall receive an allotment under this paragraph for a fiscal 
     year that is less than \1/5\ of 1 percent of the remainder 
     described in subparagraph (A) for the fiscal year.
       ``(E) Definitions.--For the purpose of the formula 
     specified in this paragraph:

[[Page 5196]]

       ``(i) Allotment percentage.--The term `allotment 
     percentage'--

       ``(I) used with respect to fiscal year 2013, means the 
     percentage of the amounts allotted to States 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 
     2013, that is received under such provisions by the State 
     involved for fiscal year 2013; and
       ``(II) used with respect to fiscal year 2017 or a 
     succeeding fiscal year, means the percentage of the amounts 
     allotted to States under this paragraph for the fiscal year, 
     that is received under this paragraph by the State involved 
     for the fiscal year.

       ``(ii) Area of substantial unemployment.--The term `area of 
     substantial unemployment' means any area that is of 
     sufficient size and scope to sustain a program of workforce 
     investment activities carried out under this subtitle and 
     that has an average rate of unemployment of at least 7 
     percent for the most recent 12 months, as determined by the 
     Secretary. For purposes of this clause, determinations of 
     areas of substantial unemployment shall be made once each 
     fiscal year.
       ``(iii) Disadvantaged youth.--The term `disadvantaged 
     youth' means an individual who is not less than age 16 and 
     not more than age 24 who receives an income, or is a member 
     of a family that receives a total family income, that in 
     relation to family size, does not exceed the higher of--

       ``(I) the poverty line; or
       ``(II) 70 percent of the lower living standard income 
     level.

       ``(iv) Individual.--The term `individual' means an 
     individual who is age 16 or older.''.

     SEC. __21. WITHIN STATE ALLOCATIONS.

       Section 133 (29 U.S.C. 2863) is amended--
       (1) by amending subsection (a) to read as follows:
       ``(a) Reservations for Statewide Workforce Investment 
     Activities.--
       ``(1) Statewide employment and training activities.--The 
     Governor of a State shall reserve not more than 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).
       ``(2) Statewide rapid response activities and additional 
     assistance.--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 and 
     additional assistance described in section 134(a)(4).
       ``(3) Statewide grants for individuals with barriers to 
     employment.--Of the amount reserved under paragraph (1) for a 
     fiscal year, the Governor of the State shall reserve 15 
     percent to carry out statewide activities described in 
     section 134(a)(5).
       ``(4) State administrative cost limit.--Not more than 5 
     percent of the funds reserved under paragraph (1) may be used 
     by the Governor of the State for administrative costs of 
     carrying out the statewide activities described in section 
     134(a).'';
       (2) by amending subsection (b) to read as follows:
       ``(b) Within State Allocation.--
       ``(1) Methods.--The Governor, acting in accordance with the 
     State plan, and after consulting with chief elected officials 
     in the local areas in the State, shall--
       ``(A) allocate the funds that are allotted to the State 
     under section 132(b)(2) and not reserved under subsection 
     (a), in accordance with paragraph (2)(A); and
       ``(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).
       ``(2) Formula allocations for the workforce investment 
     fund.--
       ``(A) Allocation.--In allocating the funds described in 
     paragraph (1)(A) to local areas, a State shall allocate--
       ``(i) 25 percent on the basis described in section 
     132(b)(2)(B)(i);
       ``(ii) 25 percent on the basis described in section 
     132(b)(2)(B)(ii);
       ``(iii) 25 percent on the basis described in section 
     132(b)(2)(B)(iii); and
       ``(iv) 25 percent on the basis described in section 
     132(b)(2)(B)(iv),

     except that a reference in a section specified in any of 
     clauses (i) through (iv) to `each State' shall be considered 
     to refer to each local area, and to `all States' shall be 
     considered to refer to all local areas.
       ``(B) Minimum and maximum percentages.--
       ``(i) Minimum percentage.--The State shall ensure that no 
     local area shall receive an allocation under this paragraph 
     for--

       ``(I) each of fiscal years 2015 through 2017, that is less 
     than 100 percent of the allocation percentage of the local 
     area for fiscal year 2013; and
       ``(II) fiscal year 2018 and each succeeding fiscal year, 
     that is less than 90 percent of the allocation percentage of 
     the local area for the fiscal year preceding the fiscal year 
     involved.

       ``(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--

       ``(I) each of fiscal years 2015 through 2017, that is more 
     than 130 percent of the allocation percentage of the local 
     area for fiscal year 2013; and
       ``(II) fiscal year 2018 and each succeeding fiscal year, 
     that is more than 130 percentage of the allocation percentage 
     of the local area for the fiscal year preceding the fiscal 
     year involved.

       ``(C) Definitions.--For the purpose of the formula 
     specified in this paragraph, the term `allocation 
     percentage'--
       ``(i) used with respect to fiscal year 2013, 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 
     2013, that is received under such provisions by the local 
     area involved for fiscal year 2013; and
       ``(ii) used with respect to fiscal year 2017 or a 
     succeeding fiscal year, means the percentage of the amounts 
     allocated to local areas under this paragraph for the fiscal 
     year, that is received under this paragraph by the local area 
     involved for the fiscal year.'';
       (3) in subsection (c)--
       (A) by amending paragraph (1) to read as follows:
       ``(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.'';
       (B) in paragraph (2), by striking ``paragraph (2)(A) or (3) 
     of subsection (b) for such activities'' and inserting 
     ``subsection (b) for such activities'';
       (C) by amending paragraph (3) to read as follows:
       ``(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.''; and
       (D) in paragraph (4), by striking ``paragraph (2)(A) or (3) 
     of''; and
       (4) by adding at the end the following new subsection:
       ``(d) Local Administrative Cost Limit.--Of the amount 
     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.''.

     SEC. __22. USE OF FUNDS FOR EMPLOYMENT AND TRAINING 
                   ACTIVITIES.

       Section 134 (29 U.S.C. 2864) is amended--
       (1) by amending subsection (a) to read as follows:
       ``(a) Statewide Employment and Training Activities.--
       ``(1) In general.--
       ``(A) Distribution of statewide activities.--Funds reserved 
     by a Governor for a State as described in section 133(a)(1) 
     and not reserved under paragraph (2) or (3) of section 
     133(a)--
       ``(i) shall be used to carry out the statewide employment 
     and training activities described in paragraph (2); and
       ``(ii) may be used to carry out any of the statewide 
     employment and training activities described in paragraph 
     (3).
       ``(B) Statewide rapid response activities and additional 
     assistance.--Funds reserved by a Governor for a State as 
     described in section 133(a)(2) shall be used to provide the 
     statewide rapid response activities and additional assistance 
     described in paragraph (4).
       ``(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 award 
     statewide grants for individuals with barriers to employment 
     on a competitive basis, and carry out other activities, as 
     described in paragraph (5).
       ``(2) Required statewide employment and training 
     activities.--A State shall use funds referred to in paragraph 
     (1)(A) to carry out statewide employment and training 
     activities, which shall include--
       ``(A) disseminating the State list of eligible providers of 
     training services 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);
       ``(B) supporting the provision of work ready services 
     described in subsection (c)(2) in the one-stop delivery 
     system;
       ``(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;

[[Page 5197]]

       ``(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;
       ``(E) providing technical assistance to local areas that 
     fail to meet local performance measures;
       ``(F) operating a fiscal and management accountability 
     system under section 136(f); and
       ``(G) carrying out monitoring and oversight of activities 
     carried out under this chapter.
       ``(3) Allowable statewide employment and training 
     activities.--A State may use funds referred to in paragraph 
     (1)(A) to carry out statewide employment and training 
     activities which may include--
       ``(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 partnership initiatives, 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;
       ``(B) providing incentive grants to local areas--
       ``(i) for regional cooperation among local boards 
     (including local boards in a designated region as described 
     in section 116(c));
       ``(ii) for local coordination of activities carried out 
     under this Act; and
       ``(iii) for exemplary performance by local areas on the 
     local performance measures;
       ``(C) developing strategies for effectively integrating 
     programs and services among one-stop partners;
       ``(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;
       ``(E) incorporating pay-for-performance contract 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 a strategy, which may 
     involve providing assistance with data collection and data 
     entry requirements;
       ``(F) carrying out the State option under subsection 
     (f)(8); and
       ``(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.
       ``(4) Statewide rapid response activities and additional 
     assistance.--A State shall use funds reserved as described in 
     section 133(a)(2)--
       ``(A) to carry out statewide rapid response activities, 
     which shall include 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
       ``(B) to provide 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.
       ``(5) Statewide grants for individuals with barriers to 
     employment.--
       ``(A) In general.--Of the funds reserved as described in 
     section 133(a)(3), the Governor of a State--
       ``(i) may reserve up to 5 percent to provide technical 
     assistance for, and conduct evaluations as described in 
     section 136(e) of, the programs carried out under this 
     paragraph; and
       ``(ii) using the remainder, shall award grants on a 
     competitive basis to eligible entities (that meet specific 
     performance outcomes and criteria established by the 
     Governor) described in subparagraph (B) to carry out 
     employment and training programs authorized under this 
     paragraph for individuals with barriers to employment.
       ``(B) Eligible entity defined.--For purposes of this 
     paragraph, the term `eligible entity' means an entity that--
       ``(i) is a--

       ``(I) local board or a consortium of local boards;
       ``(II) nonprofit entity, for-profit entity, or a consortium 
     of nonprofit or for-profit entities; or
       ``(III) consortium of the entities described in subclauses 
     (I) and (II);

       ``(ii) has a demonstrated record of placing individuals 
     into unsubsidized employment and serving hard-to-serve 
     individuals; and
       ``(iii) agrees to be reimbursed primarily on the basis of 
     meeting specified performance outcomes and criteria 
     established by the Governor.
       ``(C) Grant period.--
       ``(i) In general.--A grant under this paragraph shall be 
     awarded for a period of 1 year.
       ``(ii) Grant renewal.--A Governor of a State may renew, for 
     up to 4 additional 1-year periods, a grant awarded under this 
     paragraph.
       ``(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.
       ``(E) Use of funds.--An eligible entity receiving a grant 
     under this paragraph shall use the grant funds for programs 
     of activities that are designed to assist eligible 
     participants in obtaining employment and acquiring the 
     education and skills necessary to succeed in the labor 
     market. To be eligible to receive a grant under this 
     paragraph for an employment and training program, 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--
       ``(i) a description of how the strategies and activities of 
     the program will be aligned with the State plan submitted 
     under section 112 and the local plan submitted under section 
     118, with respect to the area of the State that will be the 
     focus of the program under this paragraph;
       ``(ii) a description of the educational and skills training 
     programs and activities the eligible entity will provide to 
     eligible participants under this paragraph;
       ``(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;
       ``(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 
     education and skills training for eligible participants;
       ``(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;
       ``(vi) a description of the private, public, local, and 
     State resources that will be leveraged, with the grant funds 
     provided, for the program under this paragraph, and how the 
     entity will ensure the sustainability of such program after 
     grant funds are no longer available;
       ``(vii) a description of the extent of the involvement of 
     employers in such program;
       ``(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 136(b)(2);
       ``(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 program 
     provided under this paragraph; and
       ``(x) any other criteria the Governor may require.'';
       (2) by amending subsection (b) to read as follows:
       ``(b) Local Employment and Training Activities.--Funds 
     allocated to a local area under section 133(b)--
       ``(1) shall be used to carry out employment and training 
     activities described in subsection (c); and
       ``(2) may be used to carry out employment and training 
     activities described in subsection (d).'';
       (3) by striking subsection (c);
       (4) by redesignating subsections (d) and (e), as 
     subsections (c) and (d), respectively;
       (5) in subsection (c) (as so redesignated)--
       (A) by amending paragraph (1) to read as follows:
       ``(1) In general.--Funds allocated to a local area under 
     section 133(b) shall be used--
       ``(A) to establish a one-stop delivery system as described 
     in section 121(e);
       ``(B) to provide the work ready services described in 
     paragraph (2) through the one-stop delivery system in 
     accordance with such paragraph; and
       ``(C) to provide training services described in paragraph 
     (4) in accordance with such paragraph.'';
       (B) in paragraph (2)--
       (i) in the heading, by striking ``Core services'' and 
     inserting ``Work ready services'';
       (ii) in the matter preceding subparagraph (A)--

       (I) by striking ``(1)(A)'' and inserting ``(1)'';
       (II) by striking ``core services'' and inserting ``work 
     ready services''; and
       (III) by striking ``who are adults or dislocated workers'';

       (iii) by redesignating subparagraph (K) as subparagraph 
     (V);
       (iv) by redesignating subparagraphs (B) through (J) as 
     subparagraphs (C) through (K), respectively;
       (v) by inserting after subparagraph (A) the following:
       ``(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 involved, such as assisting 
     in--
       ``(i) the submission of applications;
       ``(ii) the provision of information on the results of such 
     applications; and

[[Page 5198]]

       ``(iii) the provision of intake services and 
     information;'';
       (vi) by amending subparagraph (E), as so redesignated, to 
     read as follows:
       ``(E) labor exchange services, including--
       ``(i) job search and placement assistance, and where 
     appropriate, career counseling;
       ``(ii) appropriate recruitment services for employers, 
     including small employers, in the local area, which may 
     include services described in this subsection, including 
     provision of information and referral to specialized business 
     services not traditionally offered through the one-stop 
     delivery system; and
       ``(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));'';
       (vii) in subparagraph (F), as so redesignated, by striking 
     ``employment statistics'' and inserting ``workforce and labor 
     market'';
       (viii) in subparagraph (G), as so redesignated, by striking 
     ``and eligible providers of youth activities described in 
     section 123,'';
       (ix) in subparagraph (H), as so redesignated, by inserting 
     ``under section 136'' after ``local performance measures'';
       (x) in subparagraph (J), as so redesignated, by inserting 
     ``and information regarding the administration of the work 
     test for the unemployment compensation system'' after 
     ``compensation'';
       (xi) by amending subparagraph (K), as so redesignated, to 
     read as follows:
       ``(K) assistance in establishing eligibility for programs 
     of financial aid assistance for education and training 
     programs that are not funded under this Act and are available 
     in the local area;''; and
       (xii) by inserting the following new subparagraphs after 
     subparagraph (K), as so redesignated:
       ``(L) the provision of information from official 
     publications of the Internal Revenue Service regarding 
     Federal tax credits, available to participants in employment 
     and training activities, and relating to education, job 
     training, and employment;
       ``(M) comprehensive and specialized assessments of the 
     skill levels and service needs of workers, which may 
     include--
       ``(i) diagnostic testing and use of other assessment tools; 
     and
       ``(ii) in-depth interviewing and evaluation to identify 
     employment barriers and appropriate employment goals;
       ``(N) development of an individual employment plan, to 
     identify the employment goals, appropriate achievement 
     objectives, and appropriate combination of services for the 
     participant;
       ``(O) group counseling;
       ``(P) individual counseling and career planning;
       ``(Q) case management;
       ``(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;
       ``(S) internships and work experience;
       ``(T) literacy activities relating to basic work readiness, 
     information and communication technology literacy activities, 
     and financial literacy activities, if the activities involved 
     are not available to participants in the local area under 
     programs administered under the Adult Education and Family 
     Literacy Act (20 U.S.C. 9201 et seq.);
       ``(U) out-of-area job search assistance and relocation 
     assistance; and'';
       (C) by amending paragraph (3) to read as follows:
       ``(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.''; and
       (D) in paragraph (4)--
       (i) by amending subparagraph (A) to read as follows:
       ``(A) In general.--Funds described in paragraph (1)(C) 
     shall be used to provide training services to individuals 
     who--
       ``(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--

       ``(I) be in need of training services to obtain or retain 
     employment; and
       ``(II) have the skills and qualifications to successfully 
     participate in the selected program of training services;

       ``(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
       ``(iii) who meet the requirements of subparagraph (B).'';
       (ii) in subparagraph (B)(i), by striking ``Except'' and 
     inserting ``Notwithstanding section 479B of the Higher 
     Education Act of 1965 (20 U.S.C. 1087uu) and except'';
       (iii) by amending subparagraph (D) to read as follows:
       ``(D) Training services.--Training services authorized 
     under this paragraph may include--
       ``(i) occupational skills training;
       ``(ii) on-the-job training;
       ``(iii) skill upgrading and retraining;
       ``(iv) entrepreneurial training;
       ``(v) education activities leading to a regular secondary 
     school diploma or its recognized equivalent in combination 
     with, concurrently or subsequently, occupational skills 
     training;
       ``(vi) adult education and family literacy education 
     activities provided in conjunction with other training 
     services authorized under this subparagraph;
       ``(vii) workplace training combined with related 
     instruction;
       ``(viii) occupational skills training that incorporates 
     English language acquisition;
       ``(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
       ``(x) training programs operated by the private sector.'';
       (iv) by striking subparagraph (E) and redesignating 
     subparagraphs (F) and (G) as subparagraphs (E) and (F), 
     respectively;
       (v) in subparagraph (E) (as so redesignated)--

       (I) in clause (ii)--

       (aa) in the matter preceding subclause (I), by striking 
     ``subsection (c)'' and inserting ``section 121'';
       (bb) in subclause (I), by striking ``section 122(e)'' and 
     inserting ``section 122(d)'' and by striking ``section 
     122(h)'' and inserting ``section 122(i)''; and
       (cc) in subclause (II), by striking ``subsections (e) and 
     (h)'' and inserting ``subsections (d) and (i)''; and

       (II) by striking clause (iii) and inserting the following:

       ``(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.
       ``(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 from (notwithstanding any provision of this title) 
     eligible providers for those programs and sources.
       ``(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.''; and
       (vi) in subparagraph (F) (as so redesignated)--

       (I) in the subparagraph heading, by striking ``individual 
     training accounts'' and inserting ``career enhancement 
     accounts'';
       (II) in clause (i), by striking ``individual training 
     accounts'' and inserting ``career enhancement accounts'';
       (III) in clause (ii)--

       (aa) by striking ``an individual training account'' and 
     inserting ``a career enhancement account'';
       (bb) by striking ``subparagraph (F)'' and inserting 
     ``subparagraph (E)'';
       (cc) in subclause (II), by striking ``individual training 
     accounts'' and inserting ``career enhancement accounts'';
       (dd) in subclause (II), by striking ``or'' after the 
     semicolon;
       (ee) in subclause (III), by striking the period and 
     inserting ``; or''; and
       (ff) by adding at the end the following:

       ``(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 industries or occupations important to the State or 
     local economy, that such contract may be used to enable the 
     expansion of programs provided by a priority eligible 
     provider, and that such contract does not limit customer 
     choice.'';
       (IV) in clause (iii), by striking ``adult or dislocated 
     worker'' and inserting ``individual''; and
       (V) in clause (iv)--

       (aa) by redesignating subclause (IV) as subclause (V); and
       (bb) by inserting after subclause (III) the following:

       ``(IV) Individuals with disabilities.'';

       (6) in subsection (d) (as so redesignated)--
       (A) by amending paragraph (1) to read as follows:
       ``(1) Discretionary one-stop delivery activities.--
       ``(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--
       ``(i) customized screening and referral of qualified 
     participants in training services to employers;
       ``(ii) customized employment-related services to employers 
     on a fee-for-service basis;
       ``(iii) customer supports, including transportation and 
     child care, to navigate among

[[Page 5199]]

     multiple services and activities for special participant 
     populations that face multiple barriers to employment, 
     including individuals with disabilities;
       ``(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.);
       ``(v) incorporation of pay-for-performance contract 
     strategies as an element in funding activities under this 
     section;
       ``(vi) activities to facilitate remote access to services 
     provided through a one-stop delivery system, including 
     facilitating access through the use of technology; and
       ``(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.'';
       (B) by striking paragraphs (2) and (3); and
       (C) by adding at the end the following:
       ``(2) Incumbent worker training programs.--
       ``(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.
       ``(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.
       ``(C) Employer match required.--
       ``(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 payment toward such costs, which may include in-kind 
     contributions.
       ``(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.''; and
       (7) by adding at the end the following:
       ``(e) Priority for Placement in Private Sector Jobs.--In 
     providing employment and training activities authorized under 
     this section, the State board and local board shall give 
     priority to placing participants in jobs in the private 
     sector.
       ``(f) Veteran Employment Specialist.--
       ``(1) In general.--Subject to paragraph (8), a local board 
     shall hire and employ one or more veteran employment 
     specialists to carry out employment, training, supportive, 
     and placement services under this subsection in the local 
     area served by the local board.
       ``(2) Principal duties.--A veteran employment specialist in 
     a local area shall--
       ``(A) conduct outreach to employers in the local area to 
     assist veterans, including disabled veterans, in gaining 
     employment, including--
       ``(i) conducting seminars for employers; and
       ``(ii) in conjunction with employers, conducting job search 
     workshops, and establishing job search groups; and
       ``(B) facilitate the furnishing of employment, training, 
     supportive, and placement services to veterans, including 
     disabled and homeless veterans, in the local area.
       ``(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:
       ``(A) To service-connected disabled veterans.
       ``(B) If no veteran described in subparagraph (A) is 
     available, to veterans.
       ``(C) If no veteran described in subparagraph (A) or (B) is 
     available, to any member of the Armed Forces transitioning 
     out of military service.
       ``(D) If no veteran or member 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.
       ``(E) If no veteran or member 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.
       ``(4) Administration and reporting.--
       ``(A) In general.--Each veteran employment specialist shall 
     be administratively responsible to the one-stop operator of 
     the one-stop center in the local area and shall provide, at a 
     minimum, quarterly reports to the one-stop operator of such 
     center and to the Assistant Secretary for Veterans' 
     Employment and Training for the State on the specialist's 
     performance, and compliance by the specialist with Federal 
     law (including regulations), with respect to the--
       ``(i) principal duties (including facilitating the 
     furnishing of services) for veterans described in paragraph 
     (2); and
       ``(ii) hiring preferences described in paragraph (3) for 
     veterans and other individuals.
       ``(B) Report to secretary.--Each State shall submit to the 
     Secretary an annual report on the qualifications used by each 
     local board in the State in making hiring determinations for 
     a veteran employment specialist and the salary structure 
     under which such specialist is compensated.
       ``(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), and including summaries of outcomes 
     achieved by participating veterans, disaggregated by local 
     areas.
       ``(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.
       ``(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 3-year period 
     that begins on the date on which the employee is so assigned.
       ``(7) Specialist's duties.--A full-time veteran employment 
     specialist shall perform only duties related to 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, supportive, and placement services under this 
     subsection.
       ``(8) State option.--At the request of a local board, a 
     State may opt to assume the duties assigned to the local 
     board under paragraphs (1) and (3), including the hiring and 
     employment of one or more veteran employment specialists for 
     placement in the local area served by the local board.''.

     SEC. __23. PERFORMANCE ACCOUNTABILITY SYSTEM.

       Section 136 (29 U.S.C. 2871) is amended--
       (1) in subsection (b)--
       (A) by amending paragraphs (1) and (2) to read as follows:
       ``(1) In general.--For each State, the State performance 
     measures shall consist of--
       ``(A)(i) the core indicators of performance described in 
     paragraph (2)(A); and
       ``(ii) additional indicators of performance (if any) 
     identified by the State under paragraph (2)(B); and
       ``(B) a State adjusted level of performance for each 
     indicator described in subparagraph (A).
       ``(2) Indicators of performance.--
       ``(A) Core indicators of performance.--
       ``(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 family literacy education 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 (with performance determined in the aggregate and 
     as disaggregated by the populations identified in the State 
     and local plan in each case):

       ``(I) The percentage and number of program participants who 
     are in unsubsidized employment during the second full 
     calendar quarter after exit from the program.
       ``(II) The percentage and number of program participants 
     who are in unsubsidized employment during the fourth full 
     calendar quarter after exit from the program.
       ``(III) The difference in 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 
     participation in such program.
       ``(IV) The percentage and number of program participants 
     who obtain a recognized postsecondary credential (such as an 
     industry-recognized credential or a certificate from a 
     registered apprenticeship program), or a regular secondary 
     school diploma or its recognized equivalent (subject to 
     clause (ii)), during participation in or within 1 year after 
     exit from the program.
       ``(V) The percentage and number of program participants 
     who, during a program year--

       ``(aa) are in an education or training program that leads 
     to a recognized postsecondary credential (such as an 
     industry-recognized credential or a certificate from a 
     registered apprenticeship program), a certificate from an on-
     the-job training program, a regular secondary school diploma 
     or its recognized equivalent, or unsubsidized employment; and
       ``(bb) are achieving measurable basic skill gains toward 
     such a credential, certificate, diploma, or employment.

       ``(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.

[[Page 5200]]

       ``(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), within 1 year after exit from the program, have 
     obtained or retained employment, have been removed from 
     public assistance, or have begun an education or training 
     program leading to a recognized postsecondary credential.
       ``(B) Additional indicators.--A State may identify in the 
     State plan additional indicators for workforce investment 
     activities authorized under this subtitle.''; and
       (B) in paragraph (3)--
       (i) in subparagraph (A)--

       (I) in the heading, by striking ``and customer satisfaction 
     indicator'';
       (II) in clause (i), by striking ``and the customer 
     satisfaction indicator described in paragraph (2)(B)'';
       (III) in clause (ii), by striking ``and the customer 
     satisfaction indicator of performance, for the first 3'' and 
     inserting ``, for all 3'';
       (IV) in clause (iii)--

       (aa) in the heading, by striking ``for first 3 years''; and
       (bb) by striking ``and the customer satisfaction indicator 
     of performance, for the first 3 program years'' and inserting 
     ``for all 3 program years'';

       (V) in clause (iv)--

       (aa) by striking ``or (v)'';
       (bb) by striking subclause (I) and redesignating subclauses 
     (II) and (III) as subclauses (I) and (II), respectively; and
       (cc) in subclause (I) (as so redesignated)--
       (AA) by inserting ``, such as unemployment rates and job 
     losses or gains in particular industries'' after ``economic 
     conditions''; and
       (BB) by inserting ``, such as indicators of poor work 
     experience, dislocation from high-wage employment, low levels 
     of literacy or English proficiency, disability status 
     (including disability status among veterans), and welfare 
     dependency,'' after ``program'';

       (VI) by striking clause (v) and redesignating clause (vi) 
     as clause (v); and
       (VII) in clause (v) (as so redesignated)--

       (aa) by striking ``described in clause (iv)(II)'' and 
     inserting ``described in clause (iv)(I)''; and
       (bb) by striking ``or (v)''; and
       (ii) in subparagraph (B), by striking ``paragraph (2)(C)'' 
     and inserting ``paragraph (2)(B)'';
       (2) in subsection (c)--
       (A) by amending clause (i) of paragraph (1)(A) to read as 
     follows:
       ``(i) the core indicators of performance described in 
     subsection (b)(2)(A) for activities described in such 
     subsection, other than statewide workforce investment 
     activities; and'';
       (B) in clause (ii) of paragraph (1)(A), by striking 
     ``(b)(2)(C)'' and inserting ``(b)(2)(B)''; and
       (C) by amending paragraph (3) to read as follows:
       ``(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 conditions (such as unemployment rates 
     and job losses or gains in particular industries), or 
     demographic characteristics or other characteristics of the 
     population to be served, in the local area.'';
       (3) in subsection (d)--
       (A) in paragraph (1)--
       (i) by striking ``127 or'';
       (ii) by striking ``and the customer satisfaction 
     indicator'' each place it appears; and
       (iii) in the last sentence, by inserting before the period 
     the following: ``, and on the amount and percentage of the 
     State's annual allotment under section 132 the State spends 
     on administrative costs and on the amount and percentage of 
     its annual allocation under section 133 each local area in 
     the State spends on administrative costs'';
       (B) in paragraph (2)--
       (i) by striking subparagraphs (A), (B), and (D);
       (ii) by redesignating subparagraph (C) as subparagraph (A);
       (iii) by redesignating subparagraph (E) as subparagraph 
     (B);
       (iv) in subparagraph (B), as so redesignated--

       (I) by striking ``(excluding participants who received only 
     self-service and informational activities)''; and
       (II) by striking ``and'' at the end;

       (v) by striking subparagraph (F); and
       (vi) by adding at the end the following:
       ``(C) with respect to each local area in the State--
       ``(i) the number of individuals who received work ready 
     services described in section 134(c)(2) and the number of 
     individuals who received training services described in 
     section 134(c)(4), during the most recent program year and 
     fiscal year, and the preceding 5 program years, disaggregated 
     (for individuals who received work ready services) by the 
     type of entity that provided the work ready services and 
     disaggregated (for individuals who received training 
     services) by the type of entity that provided the training 
     services, and the amount of funds spent on each of the 2 
     types of services during the most recent program year and 
     fiscal year, and the preceding 5 fiscal years;
       ``(ii) the number of individuals who successfully exited 
     out of work ready services described in section 134(c)(2) and 
     the number of individuals who exited out of training services 
     described in section 134(c)(4), during the most recent 
     program year and fiscal year, and the preceding 5 program 
     years, disaggregated (for individuals who received work ready 
     services) by the type of entity that provided the work ready 
     services and disaggregated (for individuals who received 
     training services) by the type of entity that provided the 
     training services; and
       ``(iii) the average cost per participant of those 
     individuals who received work ready services described in 
     section 134(c)(2) and the average cost per participant of 
     those individuals who received training services described in 
     section 134(c)(4), during the most recent program year and 
     fiscal year, and the preceding 5 program years, disaggregated 
     (for individuals who received work ready services) by the 
     type of entity that provided the work ready services and 
     disaggregated (for individuals who received training 
     services) by the type of entity that provided the training 
     services; and
       ``(D) the amount of funds spent on training services and 
     discretionary activities described in section 134(d), 
     disaggregated by the populations identified under section 
     112(b)(16)(A)(iv) and section 118(b)(10).'';
       (C) in paragraph (3)(A), by striking ``through 
     publication'' and inserting ``through electronic means''; and
       (D) by adding at the end the following:
       ``(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 reports is valid and 
     reliable.
       ``(5) State and local policies.--
       ``(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.
       ``(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.'';
       (4) in subsection (g)--
       (A) in paragraph (1)--
       (i) in subparagraph (A), by striking ``or (B)''; and
       (ii) in subparagraph (B), by striking ``may reduce by not 
     more than 5 percent,'' and inserting ``shall reduce''; and
       (B) by striking paragraph (2) and inserting the following:
       ``(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).'';
       (5) in subsection (h)--
       (A) in paragraph (1), by striking ``or (B)''; and
       (B) in paragraph (2)--
       (i) in subparagraph (A), by amending the matter preceding 
     clause (i) to read as follows:
       ``(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--'';
       (ii) by redesignating subparagraphs (B) and (C) as 
     subparagraphs (C) and (D), respectively;
       (iii) by inserting after subparagraph (A), the following:
       ``(B) Reduction in the amount of grant.--If such failure 
     continues for a third consecutive year, the Governor 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.'';
       (iv) in subparagraph (C)(i) (as so redesignated), by 
     striking ``a reorganization plan under subparagraph (A) may, 
     not later than 30 days after receiving notice of the 
     reorganization plan, appeal to the Governor to rescind or 
     revise such plan'' and inserting ``corrective action under 
     subparagraph (A) or (B) may, not later than 30 days after 
     receiving notice of the action, appeal to the Governor to 
     rescind or revise such action''; and
       (v) in subparagraph (D) (as so redesignated), by striking 
     ``subparagraph (B)'' each place it appears and inserting 
     ``subparagraph (C)'';
       (6) in subsection (i)--
       (A) in paragraph (1)--
       (i) in subparagraph (B), by striking ``subsection 
     (b)(2)(C)'' and inserting ``subsection (b)(2)(B)''; and
       (ii) in subparagraph (C), by striking ``(b)(3)(A)(vi)'' and 
     inserting ``(b)(3)(A)(v)'';
       (B) in paragraph (2), by striking ``the activities 
     described in section 502 concerning''; and

[[Page 5201]]

       (C) in paragraph (3), by striking ``described in paragraph 
     (1) and in the activities described in section 502'' and 
     inserting ``and activities described in this subsection''; 
     and
       (7) by adding at the end the following new subsections:
       ``(j) Use of Core Indicators for Other Programs.--
     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 in section 
     121(b)(1)(B) (in addition to the programs carried out under 
     chapter 5) that are carried out by the Secretary.
       ``(k) Establishing Pay-for-Performance Incentives.--
       ``(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 activities in the 
     local areas served by the local boards.
       ``(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.
       ``(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.''.

     SEC. __24. AUTHORIZATION OF APPROPRIATIONS.

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

     ``SEC. 137. AUTHORIZATION OF APPROPRIATIONS.

       ``There are authorized to be appropriated to carry out the 
     activities described in section 132, $5,945,639,000 for 
     fiscal year 2015 and each of the 6 succeeding fiscal 
     years.''.

                          CHAPTER 3--JOB CORPS

     SEC. __26. JOB CORPS PURPOSES.

       Paragraph (1) of section 141 (29 U.S.C. 2881(1)) is amended 
     to read as follows:
       ``(1) to maintain a national Job Corps program for at-risk 
     youth, carried out in partnership with States and 
     communities, to assist eligible youth to connect to the 
     workforce by providing them with intensive academic, career 
     and technical education, and service-learning opportunities, 
     in residential and nonresidential centers, in order for such 
     youth to obtain regular secondary school diplomas and 
     recognized postsecondary credentials leading to successful 
     careers in in-demand industries that will result in 
     opportunities for advancement;''.

     SEC. __27. JOB CORPS DEFINITIONS.

       Section 142 (29 U.S.C. 2882) is amended--
       (1) in paragraph (2)--
       (A) in the paragraph heading, by striking ``Applicable one-
     stop'' and inserting ``One-stop'';
       (B) by striking ``applicable'';
       (C) by striking ``customer service''; and
       (D) by striking ``intake'' and inserting ``assessment'';
       (2) in paragraph (4), by striking ``before completing the 
     requirements'' and all that follows and inserting ``prior to 
     becoming a graduate.''; and
       (3) in paragraph (5), by striking ``has completed the 
     requirements'' and all that follows and inserting the 
     following: ``who, as a result of participation in the Job 
     Corps program, has received a regular secondary school 
     diploma, completed the requirements of a career and technical 
     education and training program, or received, or is making 
     satisfactory progress (as defined under section 484(c) of the 
     Higher Education Act of 1965 (20 U.S.C. 1091(c))) toward 
     receiving, a recognized postsecondary credential (including 
     an industry-recognized credential) that prepares individuals 
     for employment leading to economic self-sufficiency.''.

     SEC. __28. INDIVIDUALS ELIGIBLE FOR THE JOB CORPS.

       Section 144 (29 U.S.C. 2884) is amended--
       (1) by amending paragraph (1) to read as follows:
       ``(1) not less than age 16 and not more than age 24 on the 
     date of enrollment;'';
       (2) in paragraph (3)(B), by inserting ``secondary'' before 
     ``school''; and
       (3) in paragraph (3)(E), by striking ``vocational'' and 
     inserting ``career and technical education and''.

     SEC. __29. RECRUITMENT, SCREENING, SELECTION, AND ASSIGNMENT 
                   OF ENROLLEES.

       Section 145 (29 U.S.C. 2885) is amended--
       (1) in subsection (a)--
       (A) in paragraph (2)(C)(i) by striking ``vocational'' and 
     inserting ``career and technical education and training''; 
     and
       (B) in paragraph (3)--
       (i) by striking ``To the extent practicable, the'' and 
     inserting ``The'';
       (ii) in subparagraph (A)--

       (I) by striking ``applicable''; and
       (II) by inserting ``and'' after the semicolon;

       (iii) by striking subparagraphs (B) and (C); and
       (iv) by adding at the end the following:
       ``(B) organizations that have a demonstrated record of 
     effectiveness in placing at-risk youth into employment.'';
       (2) in subsection (b)--
       (A) in paragraph (1)--
       (i) in subparagraph (B), by inserting ``and agrees to such 
     rules'' after ``failure to observe the rules''; and
       (ii) by amending subparagraph (C) to read as follows:
       ``(C) the individual has passed a background check 
     conducted in accordance with procedures established by the 
     Secretary, which shall include--
       ``(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;
       ``(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;
       ``(iii) a search of the National Crime Information Center;
       ``(iv) a Federal Bureau of Investigation fingerprint check 
     using the Integrated Automated Fingerprint Identification 
     System; and
       ``(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.).''; and
       (B) by adding at the end the following new paragraph:
       ``(3) Individuals convicted of a crime.--An individual 
     shall be ineligible for enrollment if the individual--
       ``(A) makes a false statement in connection with the 
     criminal background check described in paragraph (1)(C);
       ``(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
       ``(C) has been convicted of a felony consisting of--
       ``(i) homicide;
       ``(ii) child abuse or neglect;
       ``(iii) a crime against children, including child 
     pornography;
       ``(iv) a crime involving rape or sexual assault; or
       ``(v) physical assault, battery, or a drug-related offense, 
     committed within the past 5 years.'';
       (3) in subsection (c)--
       (A) in paragraph (1)--
       (i) by striking ``2 years'' and inserting ``year''; and
       (ii) by striking ``an assignment'' and inserting ``a''; and
       (B) in paragraph (2)--
       (i) in the matter preceding subparagraph (A), by striking 
     ``, every 2 years,'';
       (ii) in subparagraph (B), by striking ``and'' at the end;
       (iii) in subparagraph (C)--

       (I) by inserting ``the education and training'' after 
     ``including''; and
       (II) by striking the period at the end and inserting ``; 
     and''; and

       (iv) by adding at the end the following:
       ``(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).''; and
       (4) in subsection (d)--
       (A) in paragraph (1)--
       (i) in the matter preceding subparagraph (A), by striking 
     ``is closest to the home of the enrollee, except that the'' 
     and inserting ``offers the type of career and technical 
     education and training selected by the individual and, among 
     the centers that offer such education and training, is 
     closest to the home of the individual. The'';
       (ii) by striking subparagraph (A); and
       (iii) by redesignating subparagraphs (B) and (C) as 
     subparagraphs (A) and (B), respectively; and
       (B) in paragraph (2), by inserting ``that offers the career 
     and technical education and training desired by'' after 
     ``home of the enrollee''.

     SEC. __30. JOB CORPS CENTERS.

       Section 147 (29 U.S.C. 2887) is amended--
       (1) in subsection (a)--
       (A) in paragraph (1)(A), by striking ``vocational'' both 
     places it appears and inserting ``career and technical''; and
       (B) in paragraph (2)--
       (i) in subparagraph (A)--

       (I) by striking ``subsections (c) and (d) of section 303 of 
     the Federal Property and Administrative Services Act of 1949 
     (41 U.S.C. 253)'' and inserting ``subsections (a) and (b) of 
     section 3304 of title 41, United States Code''; and
       (II) by striking ``industry council'' and inserting 
     ``workforce council'';

       (ii) in subparagraph (B)(i)--

       (I) by amending subclause (II) to read as follows:
       ``(II) the ability of the entity to offer career and 
     technical education and training that the workforce council 
     proposes under section 154(c);'';
       (II) in subclause (III), by striking ``is familiar with the 
     surrounding communities, applicable'' and inserting 
     ``demonstrates relationships with the surrounding 
     communities, employers, workforce boards,'' and by striking 
     ``and'' at the end;

[[Page 5202]]

       (III) by amending subclause (IV) to read as follows:
       ``(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''; and
       (IV) by adding at the end the following new subclause:
       ``(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.''; 
     and

       (iii) in subparagraph (B)(ii)--

       (I) by striking ``, as appropriate''; and
       (II) by striking ``through (IV)'' and inserting ``through 
     (V)'';

       (2) in subsection (b), by striking ``In any year, no more 
     than 20 percent of the individuals enrolled in the Job Corps 
     may be nonresidential participants in the Job Corps.'';
       (3) by amending subsection (c) to read as follows:
       ``(c) Civilian Conservation Centers.--
       ``(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.
       ``(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).''; and
       (4) by striking subsection (d) and inserting the following:
       ``(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--
       ``(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;
       ``(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;
       ``(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;
       ``(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;
       ``(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);
       ``(6) a description of the strategies and policies the 
     entity will utilize to reduce participant costs;
       ``(7) a description of the steps taken to control costs in 
     accordance with section 159(a)(3);
       ``(8) a detailed budget of the activities that will be 
     supported using funds under this subtitle;
       ``(9) a detailed budget of the activities that will be 
     supported using funds from non-Federal resources;
       ``(10) an assurance the entity will comply with the 
     administrative cost limitation included in section 151(c);
       ``(11) an assurance the entity is licensed to operate in 
     the State in which the center is located; and
       ``(12) an assurance the entity will comply with and meet 
     basic health and safety codes, including those measures 
     described in section 152(b).
       ``(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 1-year 
     periods if the entity meets the requirements of subsection 
     (f).
       ``(f) Renewal.--
       ``(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).
       ``(2) Recompetition.--
       ``(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.
       ``(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--
       ``(i) a threat to the health, safety, or civil rights of 
     program participants or staff;
       ``(ii) the misuse of funds received under this subtitle;
       ``(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;
       ``(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
       ``(v) an unresolved area of noncompliance.
       ``(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.''.

     SEC. __31. PROGRAM ACTIVITIES.

       Section 148 (29 U.S.C. 2888) is amended--
       (1) by amending subsection (a) to read as follows:
       ``(a) Activities Provided Through Job Corps Centers.--
       ``(1) In general.--Each Job Corps center shall provide 
     enrollees with an intensive, well-organized, and supervised 
     program of education, career and technical education and 
     training, work experience, recreational activities, physical 
     rehabilitation and development, and counseling. Each Job 
     Corps center shall provide enrollees assigned to the center 
     with access to work ready services described in section 
     134(c)(2).
       ``(2) Relationship to opportunities.--
       ``(A) In general.--The activities provided under this 
     subsection shall be targeted to helping enrollees, on 
     completion of their enrollment--
       ``(i) secure and maintain meaningful unsubsidized 
     employment;
       ``(ii) complete secondary education and obtain a regular 
     secondary school diploma;
       ``(iii) enroll in and complete postsecondary education or 
     training programs, including obtaining recognized 
     postsecondary credentials (such as industry-recognized 
     credentials and certificates from registered apprenticeship 
     programs); or
       ``(iv) satisfy Armed Forces requirements.
       ``(B) Link to employment opportunities.--The career and 
     technical education and training provided shall be linked to 
     the employment opportunities in in-demand industries in the 
     State in which the Job Corps center is located.'';
       (2) in subsection (b)--
       (A) in the subsection heading, by striking ``Education and 
     Vocational'' and inserting ``Academic and Career and 
     Technical Education and'';
       (B) by striking ``may'' after ``The Secretary'' and 
     inserting ``shall''; and
       (C) by striking ``vocational'' each place it appears and 
     inserting ``career and technical''; and
       (3) by amending paragraph (3) of subsection (c) to read as 
     follows:
       ``(3) Demonstration.--Each year, any operator seeking to 
     enroll additional enrollees in an advanced career training 
     program shall demonstrate, before the operator may carry out 
     such additional enrollment, that--
       ``(A) participants in such program have achieved a 
     satisfactory rate of completion and placement in training-
     related jobs; and
       ``(B) such operator has met or exceeded the indicators of 
     performance described in paragraphs (1) and (2) of section 
     159(c) for the previous year.''.

     SEC. __32. COUNSELING AND JOB PLACEMENT.

       Section 149 (29 U.S.C. 2889) is amended--
       (1) in subsection (a), by striking ``vocational'' and 
     inserting ``career and technical education and'';
       (2) in subsection (b)--
       (A) by striking ``make every effort to arrange to''; and
       (B) by striking ``to assist'' and inserting ``assist''; and
       (3) by striking subsection (d).

     SEC. __33. SUPPORT.

       Subsection (b) of section 150 (29 U.S.C. 2890) is amended 
     to read as follows:
       ``(b) Transition Allowances and Support for Graduates.--The 
     Secretary shall arrange for a transition allowance to be paid 
     to graduates. The transition allowance shall be incentive-
     based to reflect a graduate's completion of academic, career 
     and technical education or training, and attainment of a 
     recognized postsecondary credential, including an industry-
     recognized credential.''.

     SEC. __34. OPERATIONS.

       Section 151 (29 U.S.C. 2891) is amended--
       (1) in the header, by striking ``operating plan.'' and 
     inserting ``operations.'';
       (2) in subsection (a), by striking ``In General.--'' and 
     inserting ``Operating Plan.--'';

[[Page 5203]]

       (3) by striking subsection (b) and redesignating subsection 
     (c) as subsection (b);
       (4) by amending subsection (b) (as so redesignated)--
       (A) in the heading by inserting ``of Operating Plan'' after 
     ``Availability''; and
       (B) by striking ``subsections (a) and (b)'' and inserting 
     ``subsection (a)''; and
       (5) by adding at the end the following new subsection:
       ``(c) Administrative Costs.--Not more than 10 percent of 
     the funds allotted under section 147 to an entity selected to 
     operate a Job Corps center may be used by the entity for 
     administrative costs under this subtitle.''.

     SEC. __35. COMMUNITY PARTICIPATION.

       Section 153 (29 U.S.C. 2893) is amended to read as follows:

     ``SEC. 153. COMMUNITY PARTICIPATION.

       ``The director of each Job Corps center shall encourage and 
     cooperate in activities to establish a mutually beneficial 
     relationship between Job Corps centers in the State and 
     nearby communities. Such activities may include the use of 
     any local workforce development boards established under 
     section 117 to provide a mechanism for joint discussion of 
     common problems and for planning programs of mutual 
     interest.''.

     SEC. __36. WORKFORCE COUNCILS.

       Section 154 (29 U.S.C. 2894) is amended to read as follows:

     ``SEC. 154. WORKFORCE COUNCILS.

       ``(a) In General.--Each Job Corps center shall have a 
     workforce council appointed by the Governor of the State in 
     which the Job Corps center is located.
       ``(b) Workforce Council Composition.--
       ``(1) In general.--A workforce council shall be comprised 
     of--
       ``(A) business members of the State board described in 
     section 111(b)(1)(B)(i);
       ``(B) business members of the local boards described in 
     section 117(b)(2)(A) located in the State;
       ``(C) a representative of the State board described in 
     section 111(f); and
       ``(D) such other representatives and State agency officials 
     as the Governor may designate.
       ``(2) Majority.--A \2/3\ majority of the members of the 
     workforce council shall be representatives described in 
     paragraph (1)(A).
       ``(c) Responsibilities.--The responsibilities of the 
     workforce council shall be--
       ``(1) to review all the relevant labor market information, 
     including related information in the State plan described in 
     section 112, to--
       ``(A) determine the in-demand industries in the State in 
     which enrollees intend to seek employment after graduation;
       ``(B) determine the skills and education that are necessary 
     to obtain the employment opportunities described in 
     subparagraph (A); and
       ``(C) determine the type or types of career and technical 
     education and training that will be implemented at the center 
     to enable the enrollees to obtain the employment 
     opportunities; and
       ``(2) to meet at least once a year to reevaluate the labor 
     market information, and other relevant information, to 
     determine any necessary changes in the career and technical 
     education and training provided at the center.''.

     SEC. __37. TECHNICAL ASSISTANCE.

       Section 156 (29 U.S.C. 2896) is amended to read as follows:

     ``SEC. 156. TECHNICAL ASSISTANCE TO CENTERS.

       ``(a) In General.--From the funds reserved under section 
     132(a)(3), the Secretary shall provide, directly or through 
     grants, contracts, or other agreements or arrangements as the 
     Secretary considers appropriate, technical assistance and 
     training for the Job Corps program for the purposes of 
     improving program quality.
       ``(b) Activities.--In providing training and technical 
     assistance and for allocating resources for such assistance, 
     the Secretary shall--
       ``(1) assist entities, including those entities not 
     currently operating a Job Corps center, in developing the 
     application described in section 147(d);
       ``(2) assist Job Corps centers and programs in correcting 
     deficiencies and violations under this subtitle;
       ``(3) assist Job Corps centers and programs in meeting or 
     exceeding the indicators of performance described in 
     paragraphs (1) and (2) of section 159(c); and
       ``(4) assist Job Corps centers and programs in the 
     development of sound management practices, including 
     financial management procedures.''.

     SEC. __38. SPECIAL PROVISIONS.

       Section 158(c)(1) (29 U.S.C. 2989(c)(1)) is amended by 
     striking ``title II of the Federal Property and 
     Administrative Services Act of 1949 (40 U.S.C. 481 et seq.)'' 
     and inserting ``chapter 5 of title 40, United States Code,''.

     SEC. __39. PERFORMANCE ACCOUNTABILITY MANAGEMENT.

       Section 159 (29 U.S.C. 2899) is amended--
       (1) in the section heading, by striking ``management 
     information'' and inserting ``performance accountability and 
     management'';
       (2) in subsection (a)(3), by inserting before the period at 
     the end the following: ``, or operating costs for such 
     centers result in a budgetary shortfall'';
       (3) by striking subsections (c) through (g); and
       (4) by inserting after subsection (b) the following:
       ``(c) Indicators of Performance.--
       ``(1) Primary indicators.--The annual primary indicators of 
     performance for Job Corps centers shall include--
       ``(A) the percentage and number of enrollees who graduate 
     from the Job Corps center;
       ``(B) the percentage and number of graduates who entered 
     unsubsidized employment related to the career and technical 
     education and training received through the Job Corps center, 
     except that such calculation shall not include enrollment in 
     education, the military, or volunteer service;
       ``(C) the percentage and number of graduates who obtained a 
     recognized postsecondary credential, including an industry-
     recognized credential or a certificate from a registered 
     apprenticeship program; and
       ``(D) the cost per successful performance outcome, which is 
     calculated by comparing the number of graduates who were 
     placed in unsubsidized employment or obtained a recognized 
     postsecondary credential, including an industry-recognized 
     credential, to total program costs, including all operations, 
     construction, and administration costs at each Job Corps 
     center.
       ``(2) Secondary indicators.--The annual secondary 
     indicators of performance for Job Corps centers shall 
     include--
       ``(A) the percentage and number of graduates who entered 
     unsubsidized employment not related to the career and 
     technical education and training received through the Job 
     Corps center;
       ``(B) the percentage and number of graduates who entered 
     into postsecondary education;
       ``(C) the percentage and number of graduates who entered 
     into the military;
       ``(D) the average wage of graduates who are in unsubsidized 
     employment--
       ``(i) on the first day of employment; and
       ``(ii) 6 months after the first day;
       ``(E) the number and percentage of graduates who entered 
     unsubsidized employment and were retained in the unsubsidized 
     employment--
       ``(i) 6 months after the first day of employment; and
       ``(ii) 12 months after the first day of employment;
       ``(F) the percentage and number of enrollees compared to 
     the percentage and number of enrollees the Secretary has 
     established as targets in section 145(c)(1);
       ``(G) the cost per training slot, which is calculated by 
     comparing the program's maximum number of enrollees that can 
     be enrolled in a Job Corps center at any given time during 
     the program year to the number of enrollees in the same 
     program year; and
       ``(H) the number and percentage of former enrollees, 
     including the number dismissed under the zero tolerance 
     policy described in section 152(b).
       ``(3) Indicators of performance for recruiters.--The annual 
     indicators of performance for recruiters shall include the 
     measurements described in subparagraph (A) of paragraph (1) 
     and subparagraphs (F), (G), and (H) of paragraph (2).
       ``(4) Indicators of performance of career transition 
     service providers.--The annual indicators of performance of 
     career transition service providers shall include the 
     measurements described in subparagraphs (B) and (C) of 
     paragraph (1) and subparagraphs, (B), (C), (D), and (E) of 
     paragraph (2).
       ``(d) Additional Information.--The Secretary shall collect, 
     and submit in the report described in subsection (f), 
     information on the performance of each Job Corps center, and 
     the Job Corps program, regarding--
       ``(1) the number and percentage of former enrollees who 
     obtained a regular secondary school diploma;
       ``(2) the number and percentage of former enrollees who 
     entered unsubsidized employment;
       ``(3) the number and percentage of former enrollees who 
     obtained a recognized postsecondary credential, including an 
     industry-recognized credential;
       ``(4) the number and percentage of former enrollees who 
     entered into military service; and
       ``(5) any additional information required by the Secretary.
       ``(e) Methods.--The Secretary shall collect the information 
     described in subsections (c) and (d), using methods described 
     in section 136(f)(2) and consistent with State law, by 
     entering into agreements with the States to access such data 
     for Job Corps enrollees, former enrollees, and graduates.
       ``(f) Transparency and Accountability.--
       ``(1) Report.--The Secretary shall collect and annually 
     submit to the Committee on Education and the Workforce of the 
     House of Representatives and the Committee on Health, 
     Education, Labor and Pensions of the Senate, and make 
     available to the public by electronic means, a report 
     containing--
       ``(A) information on the performance of each Job Corps 
     center, and the Job Corps program, on the performance 
     indicators described in paragraphs (1) and (2) of subsection 
     (c);
       ``(B) a comparison of each Job Corps center, by rank, on 
     the performance indicators described in paragraphs (1) and 
     (2) of subsection (c);

[[Page 5204]]

       ``(C) a comparison of each Job Corps center, by rank, on 
     the average performance of all primary indicators described 
     in paragraph (1) of subsection (c);
       ``(D) information on the performance of the service 
     providers described in paragraphs (3) and (4) of subsection 
     (c) on the performance indicators established under such 
     paragraphs; and
       ``(E) a comparison of each service provider, by rank, on 
     the performance of all service providers described in 
     paragraphs (3) and (4) of subsection (c) on the performance 
     indicators established under such paragraphs.
       ``(2) Assessment.--The Secretary shall conduct an annual 
     assessment of the performance of each Job Corps center which 
     shall include information on the Job Corps centers that--
       ``(A) are ranked in the bottom 10 percent on the 
     performance indicator described in paragraph (1)(C); or
       ``(B) have failed a safety and health code review described 
     in subsection (g).
       ``(3) Performance improvement.--With respect to a Job Corps 
     center that is identified under paragraph (2) or reports less 
     than 50 percent on the performance indicators described in 
     subparagraph (A), (B), or (C) of subsection (c)(1), the 
     Secretary shall develop and implement a 1 year performance 
     improvement plan. Such a plan shall require action 
     including--
       ``(A) providing technical assistance to the center;
       ``(B) changing the management staff of the center;
       ``(C) replacing the operator of the center;
       ``(D) reducing the capacity of the center; or
       ``(E) closing the center.
       ``(4) Closure of job corps centers.--Job Corps centers that 
     have been identified under paragraph (2) for more than 4 
     consecutive years shall be closed. The Secretary shall 
     ensure--
       ``(A) that the proposed decision to close the center is 
     announced in advance to the general public through 
     publication in the Federal Register and other appropriate 
     means; and
       ``(B) the establishment of a reasonable comment period, not 
     to exceed 30 days, for interested individuals to submit 
     written comments to the Secretary.
       ``(g) Participant Health and Safety.--The Secretary shall 
     enter into an agreement with the General Services 
     Administration or the appropriate State agency responsible 
     for inspecting public buildings and safeguarding the health 
     of disadvantaged students, to conduct an in-person review of 
     the physical condition and health-related activities of each 
     Job Corps center annually. Such review shall include a 
     passing rate of occupancy under Federal and State 
     ordinances.''.

                      CHAPTER 4--NATIONAL PROGRAMS

     SEC. __41. TECHNICAL ASSISTANCE.

       Section 170 (29 U.S.C. 2915) is amended--
       (1) by striking subsection (b);
       (2) by striking:
       ``(a) General Technical Assistance.--'';
       (3) by redesignating paragraphs (1), (2), and (3) as 
     subsections (a), (b), and (c) respectively, and moving such 
     subsections 2 ems to the left, and conforming the casing 
     style of the headings of such subsections to the casing style 
     of the heading of subsection (d), as added by paragraph (7) 
     of this section;
       (4) in subsection (a) (as so redesignated)--
       (A) by inserting ``the training of staff providing rapid 
     response services and additional assistance, the training of 
     other staff of recipients of funds under this title, 
     assistance regarding accounting and program operation 
     practices (when such assistance would not be duplicative to 
     assistance provided by the State), technical assistance to 
     States that do not meet State performance measures described 
     in section 136,'' after ``localities,''; and
       (B) by striking ``from carrying out activities'' and all 
     that follows up to the period and inserting ``to implement 
     the amendments made by the SKILLS Act'';
       (5) in subsection (b) (as so redesignated)--
       (A) by striking ``paragraph (1)'' and inserting 
     ``subsection (a)'';
       (B) by striking ``, or recipient of financial assistance 
     under any of sections 166 through 169,''; and
       (C) by striking ``or grant recipient'';
       (6) in subsection (c) (as so redesignated), by striking 
     ``paragraph (1)'' and inserting ``subsection (a)''; and
       (7) by inserting, after subsection (c) (as so 
     redesignated), the following:
       ``(d) Best Practices Coordination.--The Secretary shall--
       ``(1) establish a system through which States may share 
     information regarding best practices with regard to the 
     operation of workforce investment activities under this Act; 
     and
       ``(2) evaluate and disseminate information regarding best 
     practices and identify knowledge gaps.''.

     SEC. __42. EVALUATIONS.

       Section 172 (29 U.S.C. 2917) is amended--
       (1) in subsection (a), by striking ``the Secretary shall 
     provide for the continuing evaluation of the programs and 
     activities, including those programs and activities carried 
     out under section 171'' and inserting ``the Secretary, 
     through grants, contracts, or cooperative agreements, shall 
     conduct, at least once every 5 years, an independent 
     evaluation of the programs and activities funded under this 
     Act'';
       (2) by amending subsection (a)(4) to read as follows:
       ``(4) the impact of receiving services and not receiving 
     services under such programs and activities on the community, 
     businesses, and individuals;'';
       (3) by amending subsection (c) to read as follows:
       ``(c) Techniques.--Evaluations conducted under this section 
     shall utilize appropriate and rigorous methodology and 
     research designs, including the use of control groups chosen 
     by scientific random assignment methodologies, quasi-
     experimental methods, impact analysis and the use of 
     administrative data. The Secretary shall conduct an impact 
     analysis, as described in subsection (a)(4), of the formula 
     grant program under subtitle B not later than 2016, and 
     thereafter shall conduct such an analysis not less than once 
     every 4 years.'';
       (4) in subsection (e), by striking ``the Committee on Labor 
     and Human Resources of the Senate'' and inserting ``the 
     Committee on Health, Education, Labor, and Pensions of the 
     Senate'';
       (5) by redesignating subsection (f) as subsection (g) and 
     inserting after subsection (e) the following:
       ``(f) Reduction of Amounts Authorized To Be Appropriated 
     for Late Reporting.--If a report required to be transmitted 
     to Congress under this section is not transmitted on or 
     before the time period specified for that report, amounts 
     authorized to be appropriated under this title shall be 
     reduced by 10 percent for the fiscal year that begins after 
     the date on which the final report required under this 
     section is required to be transmitted and reduced by an 
     additional 10 percent each subsequent fiscal year until each 
     such report is transmitted to Congress.''; and
       (6) by adding at the end, the following:
       ``(h) Public Availability.--The results of the evaluations 
     conducted under this section shall be made publicly 
     available, including by posting such results on the 
     Department's website.''.

                       CHAPTER 5--ADMINISTRATION

     SEC. __46. REQUIREMENTS AND RESTRICTIONS.

       Section 181 (29 U.S.C. 2931) is amended--
       (1) in subsection (b)(6), by striking ``, including 
     representatives of businesses and of labor organizations,'';
       (2) in subsection (c)(2)(A), in the matter preceding clause 
     (i), by striking ``shall'' and inserting ``may'';
       (3) in subsection (e)--
       (A) by striking ``training for'' and inserting ``the entry 
     into employment, retention in employment, or increases in 
     earnings of''; and
       (B) by striking ``subtitle B'' and inserting ``this Act'';
       (4) in subsection (f)(4), by striking ``134(a)(3)(B)'' and 
     inserting ``133(a)(4)''; and
       (5) by adding at the end the following:
       ``(g) Salary and Bonus Limitation.--
       ``(1) In general.--No funds provided under this title shall 
     be used by a recipient or subrecipient of such funds to pay 
     the salary and bonuses of an individual, either as direct 
     costs or indirect costs, at a rate in excess of the rate 
     prescribed in level II of the Executive Schedule under 
     section 5315 of title 5, United States Code.
       ``(2) Vendors.--The limitation described in paragraph (1) 
     shall not apply to vendors providing goods and services as 
     defined in OMB Circular A-133.
       ``(3) Lower limit.--In a case in which a State is a 
     recipient of such funds, the State may establish a lower 
     limit than is provided in paragraph (1) for salaries and 
     bonuses of those receiving salaries and bonuses from a 
     subrecipient of such funds, taking into account factors 
     including the relative cost of living in the State, the 
     compensation levels for comparable State or local government 
     employees, and the size of the organizations that administer 
     the Federal programs involved.
       ``(h) General Authority.--
       ``(1) In general.--The Employment and Training 
     Administration of the Department of Labor (referred to in 
     this Act as the `Administration') shall administer all 
     programs authorized under title I and the Wagner-Peyser Act 
     (29 U.S.C. 49 et seq.). The Administration shall be headed by 
     an Assistant Secretary appointed by the President by and with 
     the advice and consent of the Senate. Except for title II and 
     the Rehabilitation Act of 1973 (29 U.S.C. 701 et seq.), the 
     Administration shall be the principal agency, and the 
     Assistant Secretary shall be the principal officer, of such 
     Department for carrying out this Act.
       ``(2) Qualifications.--The Assistant Secretary shall be an 
     individual with substantial experience in workforce 
     development and in workforce development management. The 
     Assistant Secretary shall also, to the maximum extent 
     possible, possess knowledge and have worked in or with the 
     State or local workforce investment system or have been a 
     member of the business community.
       ``(3) Functions.--In the performance of the functions of 
     the office, the Assistant Secretary shall be directly 
     responsible to the Secretary or the Deputy Secretary of 
     Labor, as determined by the Secretary. The functions of the 
     Assistant Secretary shall not be

[[Page 5205]]

     delegated to any officer not directly responsible, both with 
     respect to program operation and administration, to the 
     Assistant Secretary. Any reference in this Act to duties to 
     be carried out by the Assistant Secretary shall be considered 
     to be a reference to duties to be carried out by the 
     Secretary acting through the Assistant Secretary.''.

     SEC. __47. PROMPT ALLOCATION OF FUNDS.

       Section 182 (29 U.S.C. 2932) is amended--
       (1) in subsection (c)--
       (A) by striking ``127 or''; and
       (B) by striking ``, except that'' and all that follows and 
     inserting a period; and
       (2) in subsection (e)--
       (A) by striking ``sections 128 and 133'' and inserting 
     ``section 133''; and
       (B) by striking ``127 or''.

     SEC. __48. FISCAL CONTROLS; SANCTIONS.

       Section 184(a)(2) (29 U.S.C. 2934(a)(2)) is amended--
       (1) by striking ``(A)'' and all that follows through 
     ``Each'' and inserting ``Each''; and
       (2) by striking subparagraph (B).

     SEC. __49. REPORTS TO CONGRESS.

       Section 185 (29 U.S.C. 2935) is amended--
       (1) in subsection (c)--
       (A) in paragraph (2), by striking ``and'' after the 
     semicolon;
       (B) in paragraph (3), by striking the period and inserting 
     ``; and''; and
       (C) by adding at the end the following:
       ``(4) shall have the option to submit or disseminate 
     electronically any reports, records, plans, or other data 
     that are required to be collected or disseminated under this 
     title.''; and
       (2) in subsection (e)(2), by inserting ``and the Secretary 
     shall submit to the Committee on Education and the Workforce 
     of the House of Representatives and the Committee on Health, 
     Education, Labor, and Pensions of the Senate,'' after 
     ``Secretary,''.

     SEC. __50. ADMINISTRATIVE PROVISIONS.

       Section 189 (29 U.S.C. 2939) is amended--
       (1) in subsection (g)--
       (A) by amending paragraph (1) to read as follows:
       ``(1) In general.--Appropriations for any fiscal year for 
     programs and activities carried out under this title shall be 
     available for obligation only on the basis of a program year. 
     The program year shall begin on October 1 in the fiscal year 
     for which the appropriation is made.''; and
       (B) in paragraph (2)--
       (i) in the first sentence, by striking ``each State'' and 
     inserting ``each recipient (except as otherwise provided in 
     this paragraph)''; and
       (ii) in the second sentence, by striking ``171 or'';
       (2) in subsection (i)--
       (A) by striking paragraphs (2) and (3);
       (B) by redesignating paragraph (4) as paragraph (2);
       (C) by amending paragraph (2)(A), as so redesignated--
       (i) in clause (i), by striking ``; and'' and inserting a 
     period at the end;
       (ii) by striking ``requirements of subparagraph (B)'' and 
     all that follows through ``any of the statutory or regulatory 
     requirements of subtitle B'' and inserting ``requirements of 
     subparagraph (B) or (D), any of the statutory or regulatory 
     requirements of subtitle B''; and
       (iii) by striking clause (ii); and
       (D) by adding at the end the following:
       ``(D) Expedited process for extending approved waivers to 
     additional states.--The Secretary may establish an expedited 
     procedure for the purpose of extending to additional States 
     the waiver of statutory or regulatory requirements that have 
     been approved for a State pursuant to a request under 
     subparagraph (B), in lieu of requiring the additional States 
     to meet the requirements of subparagraphs (B) and (C). Such 
     procedure shall ensure that the extension of such a waiver to 
     additional States is accompanied by appropriate conditions 
     relating to the implementation of such waiver.
       ``(E) External conditions.--The Secretary shall not require 
     or impose new or additional requirements, that are not 
     specified under this Act, on a State in exchange for 
     providing a waiver to the State or a local area in the State 
     under this paragraph.''.

     SEC. __51. STATE LEGISLATIVE AUTHORITY.

       Section 191(a) (29 U.S.C. 2941(a)) is amended--
       (1) by striking ``consistent with the provisions of this 
     title'' and inserting ``consistent with State law and the 
     provisions of this title''; and
       (2) by striking ``consistent with the terms and conditions 
     required under this title'' and inserting ``consistent with 
     State law and the terms and conditions required under this 
     title''.

     SEC. __52. GENERAL PROGRAM REQUIREMENTS.

       Section 195 (29 U.S.C. 2945) is amended--
       (1) in paragraph (7), by inserting at the end the 
     following:
       ``(D) Funds received under a program by a public or private 
     nonprofit entity that are not described in subparagraph (B), 
     such as funds privately raised from philanthropic 
     foundations, businesses, or other private entities, shall not 
     be considered to be income under this title and shall not be 
     subject to the requirements of this paragraph.'';
       (2) by striking paragraph (9);
       (3) by redesignating paragraphs (10) through (13) as 
     paragraphs (9) through (12), respectively; and
       (4) by adding at the end the following new paragraphs:
       ``(13) Funds provided under this title shall not be used to 
     establish or operate stand-alone fee-for-service enterprises 
     that compete with private sector employment agencies within 
     the meaning of section 701(c) of the Civil Rights Act of 1964 
     (42 U.S.C. 2000e(c)), except that for purposes of this 
     paragraph, such an enterprise does not include a one-stop 
     center.
       ``(14) Any report required to be submitted to Congress, or 
     to a Committee of Congress, under this title shall be 
     submitted to both the chairmen and ranking minority members 
     of the Committee on Education and the Workforce of the House 
     of Representatives and the Committee on Health, Education, 
     Labor, and Pensions of the Senate.''.

     SEC. __53. FEDERAL AGENCY STAFF AND RESTRICTIONS ON POLITICAL 
                   AND LOBBYING ACTIVITIES.

       Subtitle E of title I (29 U.S.C. 2931 et seq.) is amended 
     by adding at the end the following new sections:

     ``SEC. 196. FEDERAL AGENCY STAFF.

       ``The Director of the Office of Management and Budget 
     shall--
       ``(1) not later than 60 days after the date of the 
     enactment of the SKILLS Act--
       ``(A) identify the number of Federal government employees 
     who, on the day before the date of enactment of the SKILLS 
     Act, worked on or administered each of the programs and 
     activities that were authorized under this Act or were 
     authorized under a provision listed in section __71 of the 
     SKILLS Act; and
       ``(B) identify the number of full-time equivalent employees 
     who on the day before that date of enactment, worked on or 
     administered each of the programs and activities described in 
     subparagraph (A), on functions for which the authorizing 
     provision has been repealed, or for which an amount has been 
     consolidated (if such employee is in a duplicate position), 
     on or after such date of enactment;
       ``(2) not later than 90 after such date of enactment, 
     publish the information described in paragraph (1) on the 
     Office of Management and Budget website; and
       ``(3) not later than 1 year after such date of enactment--
       ``(A) reduce the workforce of the Federal Government by the 
     number of full-time equivalent employees identified under 
     paragraph (1)(B); and
       ``(B) submit to Congress a report on how the Director 
     carried out the requirements of subparagraph (A).

     ``SEC. 197. RESTRICTIONS ON LOBBYING AND POLITICAL 
                   ACTIVITIES.

       ``(a) Lobbying Restrictions.--
       ``(1) Publicity restrictions.--
       ``(A) In general.--Subject to subparagraph (B), no funds 
     provided under this Act shall be used or proposed for use, 
     for--
       ``(i) publicity or propaganda purposes; or
       ``(ii) the preparation, distribution, or use of any kit, 
     pamphlet, booklet, publication, electronic communication, 
     radio, television, or video presentation designed to support 
     or defeat the enactment of legislation before the Congress or 
     any State or local legislature or legislative body.
       ``(B) Exception.--Subparagraph (A) shall not apply to--
       ``(i) normal and recognized executive-legislative 
     relationships;
       ``(ii) the preparation, distribution, or use of the 
     materials described in subparagraph (A)(ii) in presentation 
     to the Congress or any State or local legislature or 
     legislative body (except that this subparagraph does not 
     apply with respect to such preparation, distribution, or use 
     in presentation to the executive branch of any State or local 
     government); or
       ``(iii) such preparation, distribution, or use of such 
     materials, that are designed to support or defeat any 
     proposed or pending regulation, administrative action, or 
     order issued by the executive branch of any State or local 
     government.
       ``(2) Salary payment restriction.--No funds provided under 
     this Act shall be used, or proposed for use, to pay the 
     salary or expenses of any grant or contract recipient, or 
     agent acting for such recipient, related to any activity 
     designed to influence the enactment or issuance of 
     legislation, appropriations, regulations, administrative 
     action, or an Executive order proposed or pending before the 
     Congress or any State government, or a State or local 
     legislature or legislative body, other than for normal and 
     recognized executive-legislative relationships or 
     participation by an agency or officer of a State, local, or 
     tribal government in policymaking and administrative 
     processes within the executive branch of that government.
       ``(b) Political Restrictions.--
       ``(1) In general.--No funds received by a participant of a 
     program or activity under this Act shall be used for--
       ``(A) any partisan or nonpartisan political activity or any 
     other political activity associated with a candidate, or 
     contending faction or group, in an election for public or 
     party office; or
       ``(B) any activity to provide voters with transportation to 
     the polls or similar assistance in connection with any such 
     election.

[[Page 5206]]

       ``(2) Restriction on voter registration activities.--No 
     funds under this Act shall be used to conduct voter 
     registration activities.
       ``(3) Definition.--For the purposes of this subsection, the 
     term `participant' includes any State, local area, or 
     government, nonprofit, or for-profit entity receiving funds 
     under this Act.''.

                     CHAPTER 6--STATE UNIFIED PLAN

     SEC. __56. STATE UNIFIED PLAN.

       Section 501 (20 U.S.C. 9271) is amended--
       (1) by amending subsection (a) to read as follows:
       ``(a) General Authority.--The Secretary shall receive and 
     approve State unified plans developed and submitted in 
     accordance with this section.'';
       (2) by amending subsection (b) to read as follows:
       ``(b) State Unified Plan.--
       ``(1) In general.--A State may develop and submit to the 
     Secretary a State unified plan for 2 or more of the 
     activities or programs set forth in paragraph (2). The State 
     unified plan shall cover one or more of the activities or 
     programs set forth in subparagraphs (A) and (B) of paragraph 
     (2) and shall cover one or more of the activities or programs 
     set forth in subparagraphs (C) through (N) of paragraph (2).
       ``(2) Activities and programs.--For purposes of paragraph 
     (1), the term `activity or program' means any 1 of the 
     following 14 activities or programs:
       ``(A) Activities and programs authorized under title I.
       ``(B) Activities and programs authorized under title II.
       ``(C) Programs authorized under title I of the 
     Rehabilitation Act of 1973 (29 U.S.C. 710 et seq.).
       ``(D) Secondary career and technical education programs 
     authorized under the Carl D. Perkins Career and Technical 
     Education Act of 2006 (20 U.S.C. 2301 et seq.).
       ``(E) Postsecondary career and technical education programs 
     authorized under the Carl D. Perkins Career and Technical 
     Education Act of 2006.
       ``(F) Activities and programs authorized under title II of 
     the Trade Act of 1974 (19 U.S.C. 2251 et seq.).
       ``(G) Programs and activities authorized 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.).
       ``(H) Programs authorized under the Community Services 
     Block Grant Act (42 U.S.C. 9901 et seq.).
       ``(I) Programs authorized under part A of title IV of the 
     Social Security Act (42 U.S.C. 601 et seq.).
       ``(J) Programs authorized under State unemployment 
     compensation laws (in accordance with applicable Federal 
     law).
       ``(K) Work programs authorized under section 6(o) of the 
     Food and Nutrition Act of 1977 (7 U.S.C. 2015(o)).
       ``(L) Activities and programs authorized under title I of 
     the Housing and Community Development Act of 1974 (42 U.S.C. 
     5301 et seq.).
       ``(M) Activities and programs authorized under the Public 
     Works and Economic Development Act of 1965 (42 U.S.C. 3121 et 
     seq.).
       ``(N) Activities authorized under chapter 41 of title 38, 
     United States Code.'';
       (3) by amending subsection (d) to read as follows:
       ``(d) Approval.--
       ``(1) Jurisdiction.--In approving a State unified plan 
     under this section, the Secretary shall--
       ``(A) submit the portion of the State unified plan covering 
     an activity or program described in subsection (b)(2) to the 
     head of the Federal agency who exercises administrative 
     authority over the activity or program for the approval of 
     such portion by such Federal agency head; or
       ``(B) coordinate approval of the portion of the State 
     unified plan covering an activity or program described in 
     subsection (b)(2) with the head of the Federal agency who 
     exercises administrative authority over the activity or 
     program.
       ``(2) Timeline.--A State unified plan shall be considered 
     to be approved by the Secretary at the end of the 90-day 
     period beginning on the day the Secretary receives the plan, 
     unless the Secretary makes a written determination, during 
     the 90-day period, that details how the plan is not 
     consistent with the requirements of the Federal statute 
     authorizing an activity or program described in subsection 
     (b)(2) and covered under the plan or how the plan is not 
     consistent with the requirements of subsection (c)(3).
       ``(3) Scope of portion.--For purposes of paragraph (1), the 
     portion of the State unified plan covering an activity or 
     program shall be considered to include the plan described in 
     subsection (c)(3) and any proposal described in subsection 
     (e)(2), as that part and proposal relate to the activity or 
     program.''; and
       (4) by adding at the end the following:
       ``(e) Additional Employment and Training Funds.--
       ``(1) Purpose.--It is the purpose of this subsection to 
     reduce inefficiencies in the administration of federally 
     funded State and local employment and training programs.
       ``(2) In general.--In developing a State unified plan for 
     the activities or programs described in subsection (b)(2), 
     and subject to paragraph (4) and to the State plan approval 
     process under subsection (d), a State may propose to 
     consolidate the amount, in whole or part, provided for the 
     activities or programs covered by the plan into the Workforce 
     Investment Fund under section 132(b) to improve the 
     administration of State and local employment and training 
     programs.
       ``(3) Requirements.--A State that has a State unified plan 
     approved under subsection (d) with a proposal for 
     consolidation under paragraph (2), and that is carrying out 
     such consolidation, shall--
       ``(A) in providing an activity or program for which an 
     amount is consolidated into the Workforce Investment Fund--
       ``(i) continue to meet the program requirements, 
     limitations, and prohibitions of any Federal statute 
     authorizing the activity or program; and
       ``(ii) meet the intent and purpose for the activity or 
     program; and
       ``(B) continue to make reservations and allotments under 
     subsections (a) and (b) of section 133.
       ``(4) Exceptions.--A State may not consolidate an amount 
     under paragraph (2) that is allocated to the State under--
       ``(A) the Carl D. Perkins Career and Technical Education 
     Act of 2006 (20 U.S.C. 2301 et seq.); or
       ``(B) title I of the Rehabilitation Act of 1973 (29 U.S.C. 
     710 et seq.).''.

       Subtitle B--Adult Education and Family Literacy Education

     SEC. __61. AMENDMENT.

       Title II (20 U.S.C. 9201 et seq.) is amended to read as 
     follows:

       ``TITLE II--ADULT EDUCATION AND FAMILY LITERACY EDUCATION

     ``SEC. 201. SHORT TITLE.

       ``This title may be cited as the `Adult Education and 
     Family Literacy Education Act'.

     ``SEC. 202. PURPOSE.

       ``It is the purpose of this title to provide instructional 
     opportunities for adults seeking to improve their literacy 
     skills, including their basic reading, writing, speaking, and 
     mathematics skills, and support States and local communities 
     in providing, on a voluntary basis, adult education and 
     family literacy education programs, in order to--
       ``(1) increase the literacy of adults, including the basic 
     reading, writing, speaking, and mathematics skills, to a 
     level of proficiency necessary for adults to obtain 
     employment and self-sufficiency and to successfully advance 
     in the workforce;
       ``(2) assist adults in the completion of a secondary school 
     education (or its equivalent) and the transition to a 
     postsecondary educational institution;
       ``(3) assist adults who are parents to enable them to 
     support the educational development of their children and 
     make informed choices regarding their children's education 
     including, through instruction in basic reading, writing, 
     speaking, and mathematics skills; and
       ``(4) assist adults who are not proficient in English in 
     improving their reading, writing, speaking, listening, 
     comprehension, and mathematics skills.

     ``SEC. 203. DEFINITIONS.

       ``In this title:
       ``(1) Adult education and family literacy education 
     programs.--The term `adult education and family literacy 
     education programs' means a sequence of academic instruction 
     and educational services below the postsecondary level that 
     increase an individual's ability to read, write, and speak 
     English and perform mathematical computations leading to a 
     level of proficiency equivalent to at least a secondary 
     school completion that is provided for individuals--
       ``(A) who are at least 16 years of age;
       ``(B) who are not enrolled or required to be enrolled in 
     secondary school under State law; and
       ``(C) who--
       ``(i) lack sufficient mastery of basic reading, writing, 
     speaking, and mathematics skills to enable the individuals to 
     function effectively in society;
       ``(ii) do not have a secondary school diploma or its 
     equivalent and have not achieved an equivalent level of 
     education; or
       ``(iii) are English learners.
       ``(2) Eligible agency.--The term `eligible agency'--
       ``(A) means the primary entity or agency in a State or an 
     outlying area responsible for administering or supervising 
     policy for adult education and family literacy education 
     programs in the State or outlying area, respectively, 
     consistent with the law of the State or outlying area, 
     respectively; and
       ``(B) may be the State educational agency, the State agency 
     responsible for administering workforce investment 
     activities, or the State agency responsible for administering 
     community or technical colleges.
       ``(3) Eligible provider.--The term `eligible provider' 
     means an organization of demonstrated effectiveness that is--
       ``(A) a local educational agency;
       ``(B) a community-based or faith-based organization;
       ``(C) a volunteer literacy organization;
       ``(D) an institution of higher education;

[[Page 5207]]

       ``(E) a public or private educational agency;
       ``(F) a library;
       ``(G) a public housing authority;
       ``(H) an institution that is not described in any of 
     subparagraphs (A) through (G) and has the ability to provide 
     adult education, basic skills, and family literacy education 
     programs to adults and families; or
       ``(I) a consortium of the agencies, organizations, 
     institutions, libraries, or authorities described in any of 
     subparagraphs (A) through (H).
       ``(4) English language acquisition program.--The term 
     `English language acquisition program' means a program of 
     instruction--
       ``(A) designed to help English learners achieve competence 
     in reading, writing, speaking, and comprehension of the 
     English language; and
       ``(B) that may lead to--
       ``(i) attainment of a secondary school diploma or its 
     recognized equivalent;
       ``(ii) transition to success in postsecondary education and 
     training; and
       ``(iii) employment or career advancement.
       ``(5) Family literacy education program.--The term `family 
     literacy education program' means an educational program 
     that--
       ``(A) assists parents and students, on a voluntary basis, 
     in achieving the purpose of this title as described in 
     section 202; and
       ``(B) is of sufficient intensity in terms of hours and of 
     sufficient quality to make sustainable changes in a family, 
     is evidence-based, and, for the purpose of substantially 
     increasing the ability of parents and children to read, 
     write, and speak English, integrates--
       ``(i) interactive literacy activities between parents and 
     their children;
       ``(ii) training for parents regarding how to be the primary 
     teacher for their children and full partners in the education 
     of their children;
       ``(iii) parent literacy training that leads to economic 
     self-sufficiency; and
       ``(iv) an age-appropriate education to prepare children for 
     success in school and life experiences.
       ``(6) Governor.--The term `Governor' means the chief 
     executive officer of a State or outlying area.
       ``(7) Individual with a disability.--
       ``(A) In general.--The term `individual with a disability' 
     means an individual with any disability (as defined in 
     section 3 of the Americans with Disabilities Act of 1990).
       ``(B) Individuals with disabilities.--The term `individuals 
     with disabilities' means more than one individual with a 
     disability.
       ``(8) English learner.--The term `English learner' means an 
     adult or out-of-school youth who has limited ability in 
     reading, writing, speaking, or understanding the English 
     language, and--
       ``(A) whose native language is a language other than 
     English; or
       ``(B) who lives in a family or community environment where 
     a language other than English is the dominant language.
       ``(9) Integrated education and training.--The term 
     `integrated education and training' means services that 
     provide adult education and literacy activities contextually 
     and concurrently with workforce preparation activities and 
     workforce training for a specific occupation or occupational 
     cluster. Such services may include offering adult education 
     services concurrent with postsecondary education and 
     training, including through co-instruction.
       ``(10) Institution of higher education.--The term 
     `institution of higher education' has the meaning given the 
     term in section 101 of the Higher Education Act of 1965.
       ``(11) Literacy.--The term `literacy' means an individual's 
     ability to read, write, and speak in English, compute, and 
     solve problems at a level of proficiency necessary to obtain 
     employment and to successfully make the transition to 
     postsecondary education.
       ``(12) Local educational agency.--The term `local 
     educational agency' has the meaning given the term in section 
     9101 of the Elementary and Secondary Education Act of 1965.
       ``(13) Outlying area.--The term `outlying area' has the 
     meaning given the term in section 101 of this Act.
       ``(14) Postsecondary educational institution.--The term 
     `postsecondary educational institution' means--
       ``(A) an institution of higher education that provides not 
     less than a 2-year program of instruction that is acceptable 
     for credit toward a bachelor's degree;
       ``(B) a tribally controlled community college; or
       ``(C) a nonprofit educational institution offering 
     certificate or apprenticeship programs at the postsecondary 
     level.
       ``(15) Secretary.--The term `Secretary' means the Secretary 
     of Education.
       ``(16) State.--The term `State' means each of the several 
     States of the United States, the District of Columbia, and 
     the Commonwealth of Puerto Rico.
       ``(17) State educational agency.--The term `State 
     educational agency' has the meaning given the term in section 
     9101 of the Elementary and Secondary Education Act of 1965.
       ``(18) Workplace literacy program.--The term `workplace 
     literacy program' means an educational program that is 
     offered in collaboration between eligible providers and 
     employers or employee organizations for the purpose of 
     improving the productivity of the workforce through the 
     improvement of reading, writing, speaking, and mathematics 
     skills.

     ``SEC. 204. HOME SCHOOLS.

       ``Nothing in this title shall be construed to affect home 
     schools, whether or not a home school is treated as a home 
     school or a private school under State law, or to compel a 
     parent engaged in home schooling to participate in adult 
     education and family literacy education activities under this 
     title.

     ``SEC. 205. AUTHORIZATION OF APPROPRIATIONS.

       ``There are authorized to be appropriated to carry out this 
     title, $606,294,933 for fiscal year 2015 and for each of the 
     6 succeeding fiscal years.

                    ``Subtitle A--Federal Provisions

     ``SEC. 211. RESERVATION OF FUNDS; GRANTS TO ELIGIBLE 
                   AGENCIES; ALLOTMENTS.

       ``(a) Reservation of Funds.--From the sums appropriated 
     under section 205 for a fiscal year, the Secretary shall 
     reserve 2.0 percent to carry out section 242.
       ``(b) Grants to Eligible Agencies.--
       ``(1) In general.--From the sums appropriated under section 
     205 and not reserved under subsection (a) for a fiscal year, 
     the Secretary shall award a grant to each eligible agency 
     having a State plan approved under section 224 in an amount 
     equal to the sum of the initial allotment under subsection 
     (c)(1) and the additional allotment under subsection (c)(2) 
     for the eligible agency for the fiscal year, subject to 
     subsections (f) and (g).
       ``(2) Purpose of grants.--The Secretary may award a grant 
     under paragraph (1) only if the eligible agency involved 
     agrees to expend the grant in accordance with the provisions 
     of this title.
       ``(c) Allotments.--
       ``(1) Initial allotments.--From the sums appropriated under 
     section 205 and not reserved under subsection (a) for a 
     fiscal year, the Secretary shall allot to each eligible 
     agency having a State plan approved under section 224--
       ``(A) $100,000, in the case of an eligible agency serving 
     an outlying area; and
       ``(B) $250,000, in the case of any other eligible agency.
       ``(2) Additional allotments.--From the sums appropriated 
     under section 205, not reserved under subsection (a), and not 
     allotted under paragraph (1), for a fiscal year, the 
     Secretary shall allot to each eligible agency that receives 
     an initial allotment under paragraph (1) an additional amount 
     that bears the same relationship to such sums as the number 
     of qualifying adults in the State or outlying area served by 
     the eligible agency bears to the number of such adults in all 
     States and outlying areas.
       ``(d) Qualifying Adult.--For the purpose of subsection 
     (c)(2), the term `qualifying adult' means an adult who--
       ``(1) is at least 16 years of age;
       ``(2) is beyond the age of compulsory school attendance 
     under the law of the State or outlying area;
       ``(3) does not have a secondary school diploma or its 
     recognized equivalent; and
       ``(4) is not enrolled in secondary school.
       ``(e) Special Rule.--
       ``(1) In general.--From amounts made available under 
     subsection (c) for the Republic of Palau, the Secretary shall 
     award grants to Guam, American Samoa, the Commonwealth of the 
     Northern Mariana Islands, or the Republic of Palau to carry 
     out activities described in this title in accordance with the 
     provisions of this title as determined by the Secretary.
       ``(2) Termination of eligibility.--Notwithstanding any 
     other provision of law, the Republic of Palau shall be 
     eligible to receive a grant under this title until an 
     agreement for the extension of United States education 
     assistance under the Compact of Free Association for the 
     Republic of Palau becomes effective.
       ``(f) Hold-Harmless Provisions.--
       ``(1) In general.--Notwithstanding subsection (c) and 
     subject to paragraph (2), for--
       ``(A) fiscal year 2015, no eligible agency shall receive an 
     allotment under this title that is less than 90 percent of 
     the allotment the eligible agency received for fiscal year 
     2012 under this title; and
       ``(B) fiscal year 2016 and each succeeding fiscal year, no 
     eligible agency shall receive an allotment under this title 
     that is less than 90 percent of the allotment the eligible 
     agency received for the preceding fiscal year under this 
     title.
       ``(2) Ratable reduction.--If, for any fiscal year the 
     amount available for allotment under this title is 
     insufficient to satisfy the provisions of paragraph (1), the 
     Secretary shall ratable reduce the payments to all eligible 
     agencies, as necessary.
       ``(g) Reallotment.--The portion of any eligible agency's 
     allotment under this title for a fiscal year that the 
     Secretary determines will not be required for the period such 
     allotment is available for carrying out activities under this 
     title, shall be available for reallotment from time to time, 
     on such dates during such period as the Secretary shall fix, 
     to other eligible agencies in proportion to the original 
     allotments to such agencies under this title for such year.

[[Page 5208]]



     ``SEC. 212. PERFORMANCE ACCOUNTABILITY SYSTEM.

       ``Programs and activities authorized under this title are 
     subject to the performance accountability provisions 
     described in paragraphs (2)(A) and (3) of section 136(b) and 
     may, at a State's discretion, include additional indicators 
     identified in the State plan approved under section 224.

                     ``Subtitle B--State Provisions

     ``SEC. 221. STATE ADMINISTRATION.

       ``Each eligible agency shall be responsible for the 
     following activities under this title:
       ``(1) The development, submission, implementation, and 
     monitoring of the State plan.
       ``(2) Consultation with other appropriate agencies, groups, 
     and individuals that are involved in, or interested in, the 
     development and implementation of activities assisted under 
     this title.
       ``(3) Coordination and avoidance of duplication with other 
     Federal and State education, training, corrections, public 
     housing, and social service programs.

     ``SEC. 222. STATE DISTRIBUTION OF FUNDS; MATCHING 
                   REQUIREMENT.

       ``(a) State Distribution of Funds.--Each eligible agency 
     receiving a grant under this title for a fiscal year--
       ``(1) shall use not less than 82.5 percent of the grant 
     funds to award grants and contracts under section 231 and to 
     carry out section 225, of which not more than 10 percent of 
     such amount shall be available to carry out section 225;
       ``(2) shall use not more than 12.5 percent of the grant 
     funds to carry out State leadership activities under section 
     223; and
       ``(3) shall use not more than 5 percent of the grant funds, 
     or $65,000, whichever is greater, for the administrative 
     expenses of the eligible agency.
       ``(b) Matching Requirement.--
       ``(1) In general.--In order to receive a grant from the 
     Secretary under section 211(b), each eligible agency shall 
     provide, for the costs to be incurred by the eligible agency 
     in carrying out the adult education and family literacy 
     education programs for which the grant is awarded, a non-
     Federal contribution in an amount that is not less than--
       ``(A) in the case of an eligible agency serving an outlying 
     area, 12 percent of the total amount of funds expended for 
     adult education and family literacy education programs in the 
     outlying area, except that the Secretary may decrease the 
     amount of funds required under this subparagraph for an 
     eligible agency; and
       ``(B) in the case of an eligible agency serving a State, 25 
     percent of the total amount of funds expended for adult 
     education and family literacy education programs in the 
     State.
       ``(2) Non-federal contribution.--An eligible agency's non-
     Federal contribution required under paragraph (1) may be 
     provided in cash or in kind, fairly evaluated, and shall 
     include only non-Federal funds that are used for adult 
     education and family literacy education programs in a manner 
     that is consistent with the purpose of this title.

     ``SEC. 223. STATE LEADERSHIP ACTIVITIES.

       ``(a) In General.--Each eligible agency may use funds made 
     available under section 222(a)(2) for any of the following 
     adult education and family literacy education programs:
       ``(1) The establishment or operation of professional 
     development programs to improve the quality of instruction 
     provided pursuant to local activities required under section 
     231(b).
       ``(2) The provision of technical assistance to eligible 
     providers of adult education and family literacy education 
     programs, including for the development and dissemination of 
     evidence based research instructional practices in reading, 
     writing, speaking, mathematics, and English language 
     acquisition programs.
       ``(3) The provision of assistance to eligible providers in 
     developing, implementing, and reporting measurable progress 
     in achieving the objectives of this title.
       ``(4) The monitoring and evaluation of the quality of, and 
     the improvement in, adult education and literacy activities.
       ``(5) The provision of technology assistance, including 
     staff training, to eligible providers of adult education and 
     family literacy education programs, including distance 
     education activities, to enable the eligible providers to 
     improve the quality of such activities.
       ``(6) The development and implementation of technology 
     applications or distance education, including professional 
     development to support the use of instructional technology.
       ``(7) Coordination with other public programs, including 
     programs under title I of this Act, and other welfare-to-
     work, workforce development, and job training programs.
       ``(8) Coordination with existing support services, such as 
     transportation, child care, and other assistance designed to 
     increase rates of enrollment in, and successful completion 
     of, adult education and family literacy education programs, 
     for adults enrolled in such activities.
       ``(9) The development and implementation of a system to 
     assist in the transition from adult basic education to 
     postsecondary education.
       ``(10) Activities to promote workplace literacy programs.
       ``(11) Other activities of statewide significance, 
     including assisting eligible providers in achieving progress 
     in improving the skill levels of adults who participate in 
     programs under this title.
       ``(12) Integration of literacy, instructional, and 
     occupational skill training and promotion of linkages with 
     employees.
       ``(b) Coordination.--In carrying out this section, eligible 
     agencies shall coordinate where possible, and avoid 
     duplicating efforts, in order to maximize the impact of the 
     activities described in subsection (a).
       ``(c) State-Imposed Requirements.--Whenever a State or 
     outlying area implements any rule or policy relating to the 
     administration or operation of a program authorized under 
     this title that has the effect of imposing a requirement that 
     is not imposed under Federal law (including any rule or 
     policy based on a State or outlying area interpretation of a 
     Federal statute, regulation, or guideline), the State or 
     outlying area shall identify, to eligible providers, the rule 
     or policy as being imposed by the State or outlying area.

     ``SEC. 224. STATE PLAN.

       ``(a) 3-Year Plans.--
       ``(1) In general.--Each eligible agency desiring a grant 
     under this title for any fiscal year shall submit to, or have 
     on file with, the Secretary a 3-year State plan.
       ``(2) State unified plan.--The eligible agency may submit 
     the State plan as part of a State unified plan described in 
     section 501.
       ``(b) Plan Contents.--The eligible agency shall include in 
     the State plan or any revisions to the State plan--
       ``(1) an objective assessment of the needs of individuals 
     in the State or outlying area for adult education and family 
     literacy education programs, including individuals most in 
     need or hardest to serve;
       ``(2) a description of the adult education and family 
     literacy education programs that will be carried out with 
     funds received under this title;
       ``(3) an assurance that the funds received under this title 
     will not be expended for any purpose other than for 
     activities under this title;
       ``(4) a description of how the eligible agency will 
     annually evaluate and measure the effectiveness and 
     improvement of the adult education and family literacy 
     education programs funded under this title using the 
     indicators of performance described in section 136, including 
     how the eligible agency will conduct such annual evaluations 
     and measures for each grant received under this title;
       ``(5) a description of how the eligible agency will fund 
     local activities in accordance with the measurable goals 
     described in section 231(d);
       ``(6) an assurance that the eligible agency will expend the 
     funds under this title only in a manner consistent with 
     fiscal requirements in section 241;
       ``(7) a description of the process that will be used for 
     public participation and comment with respect to the State 
     plan, which--
       ``(A) shall include consultation with the State workforce 
     investment board, the State board responsible for 
     administering community or technical colleges, the Governor, 
     the State educational agency, the State board or agency 
     responsible for administering block grants for temporary 
     assistance to needy families under title IV of the Social 
     Security Act, the State council on disabilities, the State 
     vocational rehabilitation agency, and other State agencies 
     that promote the improvement of adult education and family 
     literacy education programs, and direct providers of such 
     programs; and
       ``(B) may include consultation with the State agency on 
     higher education, institutions responsible for professional 
     development of adult education and family literacy education 
     programs instructors, representatives of business and 
     industry, refugee assistance programs, and faith-based 
     organizations;
       ``(8) a description of the eligible agency's strategies for 
     serving populations that include, at a minimum--
       ``(A) low-income individuals;
       ``(B) individuals with disabilities;
       ``(C) the unemployed;
       ``(D) the underemployed; and
       ``(E) individuals with multiple barriers to educational 
     enhancement, including English learners;
       ``(9) a description of how the adult education and family 
     literacy education programs that will be carried out with any 
     funds received under this title will be integrated with other 
     adult education, career development, and employment and 
     training activities in the State or outlying area served by 
     the eligible agency;
       ``(10) a description of the steps the eligible agency will 
     take to ensure direct and equitable access, as required in 
     section 231(c)(1), including--
       ``(A) how the State will build the capacity of community-
     based and faith-based organizations to provide adult 
     education and family literacy education programs; and
       ``(B) how the State will increase the participation of 
     business and industry in adult education and family literacy 
     education programs;
       ``(11) an assessment of the adequacy of the system of the 
     State or outlying area to ensure teacher quality and a 
     description of how

[[Page 5209]]

     the State or outlying area will use funds received under this 
     subtitle to improve teacher quality, including evidence-based 
     professional development to improve instruction; and
       ``(12) a description of how the eligible agency will 
     consult with any State agency responsible for postsecondary 
     education to develop adult education that prepares students 
     to enter postsecondary education without the need for 
     remediation upon completion of secondary school equivalency 
     programs.
       ``(c) Plan Revisions.--When changes in conditions or other 
     factors require substantial revisions to an approved State 
     plan, the eligible agency shall submit the revisions of the 
     State plan to the Secretary.
       ``(d) Consultation.--The eligible agency shall--
       ``(1) submit the State plan, and any revisions to the State 
     plan, to the Governor, the chief State school officer, or the 
     State officer responsible for administering community or 
     technical colleges, or outlying area for review and comment; 
     and
       ``(2) ensure that any comments regarding the State plan by 
     the Governor, the chief State school officer, or the State 
     officer responsible for administering community or technical 
     colleges, and any revision to the State plan, are submitted 
     to the Secretary.
       ``(e) Plan Approval.--The Secretary shall--
       ``(1) approve a State plan within 90 days after receiving 
     the plan unless the Secretary makes a written determination 
     within 30 days after receiving the plan that the plan does 
     not meet the requirements of this section or is inconsistent 
     with specific provisions of this subtitle; and
       ``(2) not finally disapprove of a State plan before 
     offering the eligible agency the opportunity, prior to the 
     expiration of the 30-day period beginning on the date on 
     which the eligible agency received the written determination 
     described in paragraph (1), to review the plan and providing 
     technical assistance in order to assist the eligible agency 
     in meeting the requirements of this subtitle.

     ``SEC. 225. PROGRAMS FOR CORRECTIONS EDUCATION AND OTHER 
                   INSTITUTIONALIZED INDIVIDUALS.

       ``(a) Program Authorized.--From funds made available under 
     section 222(a)(1) for a fiscal year, each eligible agency 
     shall carry out corrections education and education for other 
     institutionalized individuals.
       ``(b) Uses of Funds.--The funds described in subsection (a) 
     shall be used for the cost of educational programs for 
     criminal offenders in correctional institutions and for other 
     institutionalized individuals, including academic programs 
     for--
       ``(1) basic skills education;
       ``(2) special education programs as determined by the 
     eligible agency;
       ``(3) reading, writing, speaking, and mathematics programs;
       ``(4) secondary school credit or diploma programs or their 
     recognized equivalent; and
       ``(5) integrated education and training.
       ``(c) Priority.--Each eligible agency that is using 
     assistance provided under this section to carry out a program 
     for criminal offenders within a correctional institution 
     shall give priority to serving individuals who are likely to 
     leave the correctional institution within 5 years of 
     participation in the program.
       ``(d) Definitions.--In this section:
       ``(1) Correctional institution.--The term `correctional 
     institution' means any--
       ``(A) prison;
       ``(B) jail;
       ``(C) reformatory;
       ``(D) work farm;
       ``(E) detention center; or
       ``(F) halfway house, community-based rehabilitation center, 
     or any other similar institution designed for the confinement 
     or rehabilitation of criminal offenders.
       ``(2) Criminal offender.--The term `criminal offender' 
     means any individual who is charged with, or convicted of, 
     any criminal offense.

                     ``Subtitle C--Local Provisions

     ``SEC. 231. GRANTS AND CONTRACTS FOR ELIGIBLE PROVIDERS.

       ``(a) Grants and Contracts.--From grant funds made 
     available under section 222(a)(1), each eligible agency shall 
     award multi-year grants or contracts, on a competitive basis, 
     to eligible providers within the State or outlying area that 
     meet the conditions and requirements of this title to enable 
     the eligible providers to develop, implement, and improve 
     adult education and family literacy education programs within 
     the State.
       ``(b) Local Activities.--The eligible agency shall require 
     eligible providers receiving a grant or contract under 
     subsection (a) to establish or operate--
       ``(1) programs that provide adult education and literacy 
     activities;
       ``(2) programs that provide integrated education and 
     training activities; or
       ``(3) credit-bearing postsecondary coursework.
       ``(c) Direct and Equitable Access; Same Process.--Each 
     eligible agency receiving funds under this title shall ensure 
     that--
       ``(1) all eligible providers have direct and equitable 
     access to apply for grants or contracts under this section; 
     and
       ``(2) the same grant or contract announcement process and 
     application process is used for all eligible providers in the 
     State or outlying area.
       ``(d) Measurable Goals.--The eligible agency shall require 
     eligible providers receiving a grant or contract under 
     subsection (a) to demonstrate--
       ``(1) the eligible provider's measurable goals for 
     participant outcomes to be achieved annually on the core 
     indicators of performance described in section 136(b)(2)(A);
       ``(2) the past effectiveness of the eligible provider in 
     improving the basic academic skills of adults and, for 
     eligible providers receiving grants in the prior year, the 
     success of the eligible provider receiving funding under this 
     title in exceeding its performance goals in the prior year;
       ``(3) the commitment of the eligible provider to serve 
     individuals in the community who are the most in need of 
     basic academic skills instruction services, including 
     individuals with disabilities and individuals who are low-
     income or have minimal reading, writing, speaking, and 
     mathematics skills, or are English learners;
       ``(4) the program is of sufficient intensity and quality 
     for participants to achieve substantial learning gains;
       ``(5) educational practices are evidence-based;
       ``(6) the activities of the eligible provider effectively 
     employ advances in technology, and delivery systems including 
     distance education;
       ``(7) the activities provide instruction in real-life 
     contexts, including integrated education and training when 
     appropriate, to ensure that an individual has the skills 
     needed to compete in the workplace and exercise the rights 
     and responsibilities of citizenship;
       ``(8) the activities are staffed by well-trained 
     instructors, counselors, and administrators who meet minimum 
     qualifications established by the State;
       ``(9) the activities are coordinated with other available 
     resources in the community, such as through strong links with 
     elementary schools and secondary schools, postsecondary 
     educational institutions, local workforce investment boards, 
     one-stop centers, job training programs, community-based and 
     faith-based organizations, and social service agencies;
       ``(10) the activities offer flexible schedules and support 
     services (such as child care and transportation) that are 
     necessary to enable individuals, including individuals with 
     disabilities or other special needs, to attend and complete 
     programs;
       ``(11) the activities include a high-quality information 
     management system that has the capacity to report measurable 
     participant outcomes (consistent with section 136) and to 
     monitor program performance;
       ``(12) the local communities have a demonstrated need for 
     additional English language acquisition programs, and 
     integrated education and training programs;
       ``(13) the capacity of the eligible provider to produce 
     valid information on performance results, including 
     enrollments and measurable participant outcomes;
       ``(14) adult education and family literacy education 
     programs offer rigorous reading, writing, speaking, and 
     mathematics content that are evidence based; and
       ``(15) applications of technology, and services to be 
     provided by the eligible providers, are of sufficient 
     intensity and duration to increase the amount and quality of 
     learning and lead to measurable learning gains within 
     specified time periods.
       ``(e) Special Rule.--Eligible providers may use grant funds 
     under this title to serve children participating in family 
     literacy programs assisted under this part, provided that 
     other sources of funds available to provide similar services 
     for such children are used first.

     ``SEC. 232. LOCAL APPLICATION.

       ``Each eligible provider desiring a grant or contract under 
     this title shall submit an application to the eligible agency 
     containing such information and assurances as the eligible 
     agency may require, including--
       ``(1) a description of how funds awarded under this title 
     will be spent consistent with the requirements of this title;
       ``(2) a description of any cooperative arrangements the 
     eligible provider has with other agencies, institutions, or 
     organizations for the delivery of adult education and family 
     literacy education programs; and
       ``(3) each of the demonstrations required by section 
     231(d).

     ``SEC. 233. LOCAL ADMINISTRATIVE COST LIMITS.

       ``(a) In General.--Subject to subsection (b), of the amount 
     that is made available under this title to an eligible 
     provider--
       ``(1) at least 95 percent shall be expended for carrying 
     out adult education and family literacy education programs; 
     and
       ``(2) the remaining amount shall be used for planning, 
     administration, personnel and professional development, 
     development of measurable goals in reading, writing, 
     speaking, and mathematics, and interagency coordination.
       ``(b) Special Rule.--In cases where the cost limits 
     described in subsection (a) are too restrictive to allow for 
     adequate planning, administration, personnel development, and 
     interagency coordination, the eligible provider may negotiate 
     with the eligible agency in order to determine an adequate 
     level of funds to be used for noninstructional purposes.

[[Page 5210]]



                    ``Subtitle D--General Provisions

     ``SEC. 241. ADMINISTRATIVE PROVISIONS.

       ``Funds made available for adult education and family 
     literacy education programs under this title shall supplement 
     and not supplant other State or local public funds expended 
     for adult education and family literacy education programs.

     ``SEC. 242. NATIONAL ACTIVITIES.

       ``The Secretary shall establish and carry out a program of 
     national activities that may include the following:
       ``(1) Providing technical assistance to eligible entities, 
     on request, to--
       ``(A) improve their fiscal management, research-based 
     instruction, and reporting requirements to carry out the 
     requirements of this title;
       ``(B) improve its performance on the core indicators of 
     performance described in section 136;
       ``(C) provide adult education professional development; and
       ``(D) use distance education and improve the application of 
     technology in the classroom, including instruction in English 
     language acquisition for English learners.
       ``(2) Providing for the conduct of research on national 
     literacy basic skill acquisition levels among adults, 
     including the number of adult English learners functioning at 
     different levels of reading proficiency.
       ``(3) Improving the coordination, efficiency, and 
     effectiveness of adult education and workforce development 
     services at the national, State, and local levels.
       ``(4) Determining how participation in adult education, 
     English language acquisition, and family literacy education 
     programs prepares individuals for entry into and success in 
     postsecondary education and employment, and in the case of 
     prison-based services, the effect on recidivism.
       ``(5) Evaluating how different types of providers, 
     including community and faith-based organizations or private 
     for-profit agencies measurably improve the skills of 
     participants in adult education, English language 
     acquisition, and family literacy education programs.
       ``(6) Identifying model integrated basic and workplace 
     skills education programs, including programs for English 
     learners coordinated literacy and employment services, and 
     effective strategies for serving adults with disabilities.
       ``(7) Initiating other activities designed to improve the 
     measurable quality and effectiveness of adult education, 
     English language acquisition, and family literacy education 
     programs nationwide.''.

            Subtitle C--Amendments to the Wagner-Peyser Act

     SEC. __66. AMENDMENTS TO THE WAGNER-PEYSER ACT.

       Section 15 of the Wagner-Peyser Act (29 U.S.C. 49l-2) is 
     amended to read as follows:

     ``SEC. 15. WORKFORCE AND LABOR MARKET INFORMATION SYSTEM.

       ``(a) System Content.--
       ``(1) In general.--The Secretary of Labor (referred to in 
     this section as the `Secretary'), in accordance with the 
     provisions of this section, shall oversee the development, 
     maintenance, and continuous improvement of a nationwide 
     workforce and labor market information system that includes--
       ``(A) statistical data from cooperative statistical survey 
     and projection programs and data from administrative 
     reporting systems that, taken together, enumerate, estimate, 
     and project employment opportunities and conditions at 
     national, State, and local levels in a timely manner, 
     including statistics on--
       ``(i) employment and unemployment status of national, 
     State, and local populations, including self-employed, part-
     time, and seasonal workers;
       ``(ii) industrial distribution of occupations, as well as 
     current and projected employment opportunities, wages, 
     benefits (where data is available), and skill trends by 
     occupation and industry, with particular attention paid to 
     State and local conditions;
       ``(iii) the incidence of, industrial and geographical 
     location of, and number of workers displaced by, permanent 
     layoffs and plant closings; and
       ``(iv) employment and earnings information maintained in a 
     longitudinal manner to be used for research and program 
     evaluation;
       ``(B) information on State and local employment 
     opportunities, and other appropriate statistical data related 
     to labor market dynamics, which--
       ``(i) shall be current and comprehensive;
       ``(ii) shall meet the needs identified through the 
     consultations described in subparagraphs (C) and (D) of 
     subsection (e)(1); and
       ``(iii) shall meet the needs for the information identified 
     in section 121(e)(1)(E) of the Workforce Investment Act of 
     1998 (29 U.S.C. 2841(e)(1)(E));
       ``(C) technical standards (which the Secretary shall 
     publish annually) for data and information described in 
     subparagraphs (A) and (B) that, at a minimum, meet the 
     criteria of chapter 35 of title 44, United States Code;
       ``(D) procedures to ensure compatibility and additivity of 
     the data and information described in subparagraphs (A) and 
     (B) from national, State, and local levels;
       ``(E) procedures to support standardization and aggregation 
     of data from administrative reporting systems described in 
     subparagraph (A) of employment-related programs;
       ``(F) analysis of data and information described in 
     subparagraphs (A) and (B) for uses such as--
       ``(i) national, State, and local policymaking;
       ``(ii) implementation of Federal policies (including 
     allocation formulas);
       ``(iii) program planning and evaluation; and
       ``(iv) researching labor market dynamics;
       ``(G) wide dissemination of such data, information, and 
     analysis in a user-friendly manner and voluntary technical 
     standards for dissemination mechanisms; and
       ``(H) programs of--
       ``(i) training for effective data dissemination;
       ``(ii) research and demonstration; and
       ``(iii) programs and technical assistance.
       ``(2) Information to be confidential.--
       ``(A) In general.--No officer or employee of the Federal 
     Government or agent of the Federal Government may--
       ``(i) use any submission that is furnished for exclusively 
     statistical purposes under the provisions of this section for 
     any purpose other than the statistical purposes for which the 
     submission is furnished;
       ``(ii) disclose to the public any publication or media 
     transmittal of the data contained in the submission described 
     in clause (i) that permits information concerning an 
     individual subject to be reasonably inferred by either direct 
     or indirect means; or
       ``(iii) permit anyone other than a sworn officer, employee, 
     or agent of any Federal department or agency, or a contractor 
     (including an employee of a contractor) of such department or 
     agency, to examine an individual submission described in 
     clause (i),

     without the consent of the individual, agency, or other 
     person who is the subject of the submission or provides that 
     submission.
       ``(B) Immunity from legal process.--Any submission 
     (including any data derived from the submission) that is 
     collected and retained by a Federal department or agency, or 
     an officer, employee, agent, or contractor of such a 
     department or agency, for exclusively statistical purposes 
     under this section shall be immune from the legal process and 
     shall not, without the consent of the individual, agency, or 
     other person who is the subject of the submission or provides 
     that submission, be admitted as evidence or used for any 
     purpose in any action, suit, or other judicial or 
     administrative proceeding.
       ``(C) Rule of construction.--Nothing in this section shall 
     be construed to provide immunity from the legal process for 
     such submission (including any data derived from the 
     submission) if the submission is in the possession of any 
     person, agency, or entity other than the Federal Government 
     or an officer, employee, agent, or contractor of the Federal 
     Government, or if the submission is independently collected, 
     retained, or produced for purposes other than the purposes of 
     this Act.
       ``(b) System Responsibilities.--
       ``(1) In general.--The workforce and labor market 
     information system described in subsection (a) shall be 
     planned, administered, overseen, and evaluated through a 
     cooperative governance structure involving the Federal 
     Government and States.
       ``(2) Duties.--The Secretary, with respect to data 
     collection, analysis, and dissemination of workforce and 
     labor market information for the system, shall carry out the 
     following duties:
       ``(A) Assign responsibilities within the Department of 
     Labor for elements of the workforce and labor market 
     information system described in subsection (a) to ensure that 
     all statistical and administrative data collected is 
     consistent with appropriate Bureau of Labor Statistics 
     standards and definitions.
       ``(B) Actively seek the cooperation of other Federal 
     agencies to establish and maintain mechanisms for ensuring 
     complementarity and nonduplication in the development and 
     operation of statistical and administrative data collection 
     activities.
       ``(C) Eliminate gaps and duplication in statistical 
     undertakings, with the systemization of wage surveys as an 
     early priority.
       ``(D) In collaboration with the Bureau of Labor Statistics 
     and States, develop and maintain the elements of the 
     workforce and labor market information system described in 
     subsection (a), including the development of consistent 
     procedures and definitions for use by the States in 
     collecting the data and information described in 
     subparagraphs (A) and (B) of subsection (a)(1).
       ``(E) Establish procedures for the system to ensure that--
       ``(i) such data and information are timely;
       ``(ii) paperwork and reporting for the system are reduced 
     to a minimum; and
       ``(iii) States and localities are fully involved in the 
     development and continuous improvement of the system at all 
     levels.
       ``(c) National Electronic Tools To Provide Services.--The 
     Secretary is authorized to assist in the development of 
     national electronic tools that may be used to facilitate the 
     delivery of work ready services described in section 
     134(c)(2) of the Workforce Investment Act of 1998 (29 U.S.C. 
     2864(c)(2)) and to

[[Page 5211]]

     provide workforce and labor market information to individuals 
     through the one-stop delivery systems described in section 
     121 and through other appropriate delivery systems.
       ``(d) Coordination With the States.--
       ``(1) In general.--The Secretary, working through the 
     Bureau of Labor Statistics and the Employment and Training 
     Administration, shall regularly consult with representatives 
     of State agencies carrying out workforce information 
     activities regarding strategies for improving the workforce 
     and labor market information system.
       ``(2) Formal consultations.--At least twice each year, the 
     Secretary, working through the Bureau of Labor Statistics, 
     shall conduct formal consultations regarding programs carried 
     out by the Bureau of Labor Statistics with representatives of 
     each of the Federal regions of the Bureau of Labor 
     Statistics, elected (pursuant to a process established by the 
     Secretary) from the State directors affiliated with State 
     agencies that perform the duties described in subsection 
     (e)(1).
       ``(e) State Responsibilities.--
       ``(1) In general.--In order to receive Federal financial 
     assistance under this section, the Governor of a State 
     shall--
       ``(A) be responsible for the management of the portions of 
     the workforce and labor market information system described 
     in subsection (a) that comprise a statewide workforce and 
     labor market information system;
       ``(B) establish a process for the oversight of such system;
       ``(C) consult with State and local employers, participants, 
     and local workforce investment boards about the labor market 
     relevance of the data to be collected and disseminated 
     through the statewide workforce and labor market information 
     system;
       ``(D) consult with State educational agencies and local 
     educational agencies concerning the provision of workforce 
     and labor market information in order to meet the needs of 
     secondary school and postsecondary school students who seek 
     such information;
       ``(E) collect and disseminate for the system, on behalf of 
     the State and localities in the State, the information and 
     data described in subparagraphs (A) and (B) of subsection 
     (a)(1);
       ``(F) maintain and continuously improve the statewide 
     workforce and labor market information system in accordance 
     with this section;
       ``(G) perform contract and grant responsibilities for data 
     collection, analysis, and dissemination for such system;
       ``(H) conduct such other data collection, analysis, and 
     dissemination activities as will ensure an effective 
     statewide workforce and labor market information system;
       ``(I) actively seek the participation of other State and 
     local agencies in data collection, analysis, and 
     dissemination activities in order to ensure complementarity, 
     compatibility, and usefulness of data;
       ``(J) participate in the development of, and submit to the 
     Secretary, an annual plan to carry out the requirements and 
     authorities of this subsection; and
       ``(K) utilize the quarterly records described in section 
     136(f)(2) of the Workforce Investment Act of 1998 (29 U.S.C. 
     2871(f)(2)) to assist the State and other States in measuring 
     State progress on State performance measures.
       ``(2) Rule of construction.--Nothing in this section shall 
     be construed as limiting the ability of a Governor to conduct 
     additional data collection, analysis, and dissemination 
     activities with State funds or with Federal funds from 
     sources other than this section.
       ``(f) Nonduplication Requirement.--None of the functions 
     and activities carried out pursuant to this section shall 
     duplicate the functions and activities carried out under the 
     Carl D. Perkins Career and Technical Education Act of 2006 
     (20 U.S.C. 2301 et seq.).
       ``(g) Authorization of Appropriations.--There are 
     authorized to be appropriated to carry out this section 
     $60,153,000 for fiscal year 2015 and each of the 6 succeeding 
     fiscal years.''.

             Subtitle D--Repeals and Conforming Amendments

     SEC. __71. REPEALS.

       The following provisions are repealed:
       (1) Chapter 4 of subtitle B of title I, and sections 123, 
     155, 166, 167, 168, 169, 171, 173, 173A, 174, 192, 194, 502, 
     503, and 506 of the Workforce Investment Act of 1998, as in 
     effect on the day before the date of enactment of the SKILLS 
     Act.
       (2) Title V of the Older Americans Act of 1965 (42 U.S.C. 
     3056 et seq.).
       (3) Sections 1 through 14 of the Wagner-Peyser Act (29 
     U.S.C. 49 et seq.).
       (4) The Twenty-First Century Workforce Commission Act (29 
     U.S.C. 2701 note).
       (5) Public Law 91-378, 16 U.S.C. 1701 et seq. (popularly 
     known as the ``Youth Conservation Corps Act of 1970'').
       (6) Section 821 of the Higher Education Amendments of 1998 
     (20 U.S.C. 1151).
       (7) The Women in Apprenticeship and Nontraditional 
     Occupations Act (29 U.S.C. 2501 et seq.).
       (8) Sections 4103A and 4104 of title 38, United States 
     Code.

     SEC. __72. AMENDMENTS TO OTHER LAWS.

       (a) Amendments to the Food and Nutrition Act of 2008.--
       (1) Definition.--Section 3(t) of the Food and Nutrition Act 
     of 2008 (7 U.S.C. 2012(t)) is amended--
       (A) by striking ``means (1) the agency'' and inserting the 
     following: ``means--
       ``(A) the agency'';
       (B) by striking ``programs, and (2) the tribal'' and 
     inserting the following: ``programs;
       ``(B) the tribal''; and
       (C) by striking ``this Act.'' and inserting the following: 
     ``this Act; and
       ``(C) in the context of employment and training activities 
     under section 6(d)(4), a State board as defined in section 
     101 of the Workforce Investment Act of 1998 (29 U.S.C. 
     2801).''.
       (2) Eligible households.--Section 5 of the Food and 
     Nutrition Act of 2008 (7 U.S.C. 2014) is amended--
       (A) in subsection (d)(14) by striking ``section 
     6(d)(4)(I)'' and inserting ``section 6(d)(4)(C)'', and
       (B) in subsection (g)(3), in the first sentence, by 
     striking ``constitutes adequate participation in an 
     employment and training program under section 6(d)'' and 
     inserting ``allows the individual to participate in 
     employment and training activities under section 6(d)(4)''.
       (3) Eligibility disqualifications.--Section 6(d)(4) of the 
     Food and Nutrition Act of 2008 (7 U.S.C. 2015(d)(4)) is 
     amended to read as follows:
       ``(D) Employment and training.--
       ``(i) Implementation.--Each State agency shall provide 
     employment and training services authorized under section 134 
     of the Workforce Investment Act of 1998 (29 U.S.C. 2864) to 
     eligible members of households participating in the 
     supplemental nutrition assistance program in gaining skills, 
     training, work, or experience that will increase their 
     ability to obtain regular employment.
       ``(ii) Statewide workforce development system.--Consistent 
     with subparagraph (A), employment and training services shall 
     be provided through the statewide workforce development 
     system, including the one-stop delivery system authorized by 
     the Workforce Investment Act of 1998 (29 U.S.C. 2801 et 
     seq.).
       ``(iii) Reimbursements.--

       ``(I) Actual costs.--The State agency shall provide 
     payments or reimbursement to participants served under this 
     paragraph for--

       ``(aa) the actual costs of transportation and other actual 
     costs (other than dependent care costs) that are reasonably 
     necessary and directly related to the individual 
     participating in employment and training activities; and
       ``(bb) the actual costs of such dependent care expenses as 
     are determined by the State agency to be necessary for the 
     individual to participate in employment and training 
     activities (other than an individual who is the caretaker 
     relative of a dependent in a family receiving benefits under 
     part A of title IV of the Social Security Act (42 U.S.C. 601 
     et seq.) in a local area where an employment, training, or 
     education program under title IV of that Act is in 
     operation), except that no such payment or reimbursement 
     shall exceed the applicable local market rate.

       ``(II) Service contracts and vouchers.--In lieu of 
     providing reimbursements or payments for dependent care 
     expenses under clause (i), a State agency may, at the option 
     of the State agency, arrange for dependent care through 
     providers by the use of purchase of service contracts or 
     vouchers or by providing vouchers to the household.
       ``(III) Value of reimbursements.--The value of any 
     dependent care services provided for or arranged under clause 
     (ii), or any amount received as a payment or reimbursement 
     under clause (i), shall--

       ``(aa) not be treated as income for the purposes of any 
     other Federal or federally assisted program that bases 
     eligibility for, or the amount of benefits on, need; and
       ``(bb) not be claimed as an employment-related expense for 
     the purposes of the credit provided under section 21 of the 
     Internal Revenue Code of 1986 (26 U.S.C. 21).''.
       (4) Administration.--Section 11(e)(19) of the Food and 
     Nutrition Act of 2008 (7 U.S.C. 2020(e)(11) is amended to 
     read as follows:
       ``(S) the plans of the State agency for providing 
     employment and training services under section 6(d)(4);''.
       (5) Administrative cost-sharing and quality control.--
     Section 16(h) of the Food and Nutrition Act of 2008 (7 U.S.C. 
     2025(h)) is amended--
       (A) in paragraph (1)--
       (i) in subparagraph (A), by striking ``carry out employment 
     and training programs'' and inserting ``provide employment 
     and training services to eligible households under section 
     6(d)(4)''; and
       (ii) in subparagraph (D), by striking ``operating an 
     employment and training program'' and inserting ``providing 
     employment and training services consistent with section 
     6(d)(4)'';
       (B) in paragraph (3)--
       (i) by striking ``participation in an employment and 
     training program'' and inserting ``the individual 
     participating in employment and training activities''; and
       (ii) by striking ``section 6(d)(4)(I)(i)(II)'' and 
     inserting ``section 6(d)(4)(C)(i)(II)'';
       (C) in paragraph (4), by striking ``for operating an 
     employment and training program''

[[Page 5212]]

     and inserting ``to provide employment and training 
     services''; and
       (D) by striking paragraph (5) and inserting the following:
       ``(E) Monitoring.--
       ``(i) In general.--The Secretary, in conjunction with the 
     Secretary of Labor, shall monitor each State agency 
     responsible for administering employment and training 
     services under section 6(d)(4) to ensure funds are being 
     spent effectively and efficiently.
       ``(ii) Accountability.--Each program of employment and 
     training receiving funds under section 6(d)(4) shall be 
     subject to the requirements of the performance accountability 
     system, including having to meet the State performance 
     measures described in section 136 of the Workforce Investment 
     Act (29 U.S.C. 2871).''.
       (6) Research, demonstration, and evaluations.--Section 17 
     of the Food and Nutrition Act of 2008 (7 U.S.C. 2026) is 
     amended--
       (A) in subsection (b)--
       (i) in paragraph (1)(B)(iv)(III)(dd), by striking ``, 
     (4)(F)(i), or (4)(K)'' and inserting ``or (4)''; and
       (ii) by striking paragraph (3); and
       (B) in subsection (g), in the first sentence in the matter 
     preceding paragraph (1)--
       (i) by striking ``programs established'' and inserting 
     ``activities provided to eligible households''; and
       (ii) by inserting ``, in conjunction with the Secretary of 
     Labor,'' after ``Secretary''.
       (7) Minnesota family investment project.--Section 22(b)(4) 
     of the Food and Nutrition Act of 2008 (7 U.S.C. 2031(b)(4)) 
     is amended by striking ``equivalent to those offered under 
     the employment and training program''.
       (b) Amendments to Section 412 of the Immigration and 
     Nationality Act.--
       (1) Conditions and considerations.--Section 412(a) of the 
     Immigration and Nationality Act (8 U.S.C. 1522(a)) is 
     amended--
       (A) in paragraph (1)--
       (i) in subparagraph (A)(i), by striking ``make available 
     sufficient resources for employment training and placement'' 
     and inserting ``provide refugees with the opportunity to 
     access employment and training services, including job 
     placement,''; and
       (ii) in subparagraph (B)(ii), by striking ``services;'' and 
     inserting ``services provided through the Workforce 
     Investment Act of 1998 (29 U.S.C. 2801 et seq.);'';
       (B) in paragraph (2)(C)(iii)(II), by inserting ``and 
     training'' after ``employment'';
       (C) in paragraph (6)(A)(ii)--
       (i) by striking ``insure'' and inserting ``ensure'';
       (ii) by inserting ``and training'' after ``employment''; 
     and
       (iii) by inserting after ``available'' the following: 
     ``through the one-stop delivery system under section 121 of 
     the Workforce Investment Act of 1998 (29 U.S.C. 2841)''; and
       (D) in paragraph (9), by inserting ``the Secretary of 
     Labor,'' after ``Education,''.
       (2) Program of initial resettlement.--Section 412(b)(2) of 
     such Act (8 U.S.C. 1522(b)(2)) is amended--
       (A) by striking ``orientation, instruction'' and inserting 
     ``orientation and instruction''; and
       (B) by striking ``, and job training for refugees, and such 
     other education and training of refugees, as facilitates'' 
     and inserting ``for refugees to facilitate''.
       (3) Project grants and contracts for services for 
     refugees.--Section 412(c) of such Act (8 U.S.C. 1522(c)) is 
     amended--
       (A) in paragraph (1)--
       (i) in subparagraph (A)(i), by inserting ``and training'' 
     after ``employment''; and
       (ii) by striking subparagraph (C);
       (B) in paragraph (2)(B), by striking ``paragraph--'' and 
     all that follows through ``in a manner'' and inserting 
     ``paragraph in a manner''; and
       (C) by adding at the end the following:
       ``(C) In carrying out this section, the Director shall 
     ensure that employment and training services are provided 
     through the statewide workforce development system, as 
     appropriate, authorized by the Workforce Investment Act of 
     1998 (29 U.S.C. 2801 et seq.). Such action may include--
       ``(i) making employment and training activities described 
     in section 134 of such Act (29 U.S.C. 2864) available to 
     refugees; and
       ``(ii) providing refugees with access to a one-stop 
     delivery system established under section 121 of such Act (29 
     U.S.C. 2841).''.
       (4) Cash assistance and medical assistance to refugees.--
     Section 412(e) of such Act (8 U.S.C. 1522(e)) is amended--
       (A) in paragraph (2)(A)(i), by inserting ``and training'' 
     after ``providing employment''; and
       (B) in paragraph (3), by striking ``The'' and inserting 
     ``Consistent with subsection (c)(3), the''.
       (c) Amendments Relating to the Second Chance Act of 2007.--
       (1) Federal prisoner reentry initiative.--Section 231 of 
     the Second Chance Act of 2007 (42 U.S.C. 17541) is amended--
       (A) in subsection (a)(1)(E)--
       (i) by inserting ``the Department of Labor and'' before 
     ``other Federal agencies''; and
       (ii) by inserting ``State and local workforce investment 
     boards,'' after ``community-based organizations,'';
       (B) in subsection (c)--
       (i) in paragraph (2), by striking at the end ``and'';
       (ii) in paragraph (3), by striking at the end the period 
     and inserting ``; and''; and
       (iii) by adding at the end the following new paragraph:
       ``(D) to coordinate reentry programs with the employment 
     and training services provided through the statewide 
     workforce investment system under subtitle B of title I of 
     the Workforce Investment Act of 1998 (29 U.S.C. 2811 et 
     seq.).''; and
       (C) in subsection (d), by adding at the end the following 
     new paragraph:
       ``(F) Interaction with the workforce investment system.--
       ``(i) In general.--In carrying out this section, the 
     Director shall ensure that employment and training services, 
     including such employment and services offered through 
     reentry programs, are provided, as appropriate, through the 
     statewide workforce investment system under subtitle B of 
     title I of the Workforce Investment Act of 1998 (29 U.S.C. 
     2811 et seq.), which may include--

       ``(I) making employment and training services available to 
     prisoners prior to and immediately following the release of 
     such prisoners; or
       ``(II) providing prisoners with access by remote means to a 
     one-stop delivery system under section 121 of the Workforce 
     Investment Act of 1998 (29 U.S.C. 2841) in the State in which 
     the prison involved is located.

       ``(ii) Service defined.--In this paragraph, the term 
     `employment and training services' means those services 
     described in section 134 of the Workforce Investment Act of 
     1998 (29 U.S.C. 2864) offered by the Bureau of Prisons, 
     including--

       ``(I) the skills assessment described in subsection 
     (a)(1)(A);
       ``(II) the skills development plan described in subsection 
     (a)(1)(B); and
       ``(III) the enhancement, development, and implementation of 
     reentry and skills development programs.''.

       (2) Duties of the bureau of prisons.--Section 4042(a) of 
     title 18, United States Code, is amended--
       (A) by redesignating subparagraphs (D) and (E), as added by 
     section 231(d)(1)(C) of the Second Chance Act of 2007 (Public 
     Law 110-199; 122 Stat. 685), as paragraphs (6) and (7), 
     respectively, and adjusting the margin accordingly;
       (B) in paragraph (6), as so redesignated, by redesignating 
     clauses (i) and (ii) as subparagraphs (A) and (B), 
     respectively, and adjusting the margin accordingly;
       (C) in paragraph (7), as so redesignated--
       (i) in clause (ii), by striking ``Employment'' and 
     inserting ``Employment and training services (as defined in 
     paragraph (6) of section 231(d) of the Second Chance Act of 
     2007), including basic skills attainment, consistent with 
     such paragraph''; and
       (ii) by striking clause (iii); and
       (D) by redesignating clauses (i), (ii), (iv), (v), (vi), 
     and (vii) as subparagraphs (A), (B), (C), (D), (E), and (F), 
     respectively, and adjusting the margin accordingly.
       (d) Amendments to the Omnibus Crime Control and Safe 
     Streets Act of 1968.--Section 2976 of the Omnibus Crime 
     Control and Safe Streets Act of 1968 (42 U.S.C. 3797w) is 
     amended--
       (1) in subsection (b)--
       (A) in paragraph (1), by striking ``vocational'' and 
     inserting ``career and technical education (as defined in 
     section 3 of the Carl D. Perkins Career and Technical 
     Education Act of 2006 (20 U.S.C. 2302)) and training'';
       (B) by redesignating paragraphs (4), (5), (6), and (7) as 
     paragraphs (5), (6), (7), and (8), respectively; and
       (C) by inserting after paragraph (3) the following new 
     paragraph:
       ``(D) coordinating employment and training services 
     provided through the statewide workforce investment system 
     under subtitle B of title I of the Workforce Investment Act 
     of 1998 (29 U.S.C. 2811 et seq.), including a one-stop 
     delivery system under section 121 of such Act (29 U.S.C. 
     2841), for offenders upon release from prison, jail, or a 
     juvenile facility, as appropriate;'';
       (2) in subsection (d)(2), by inserting ``, including local 
     workforce investment boards established under section 117 of 
     the Workforce Investment Act of 1998 (29 U.S.C. 2832),'' 
     after ``nonprofit organizations'';
       (3) in subsection (e)--
       (A) in paragraph (3), by striking ``victims services, and 
     employment services'' and inserting ``and victim services'';
       (B) by redesignating paragraphs (4) and (5) as paragraphs 
     (5) and (6), respectively; and
       (C) by inserting after paragraph (3) the following new 
     paragraph:
       ``(D) provides employment and training services through the 
     statewide workforce investment system under subtitle B of 
     title I of the Workforce Investment Act of 1998 (29 U.S.C. 
     2811 et seq.), including a one-stop delivery system under 
     section 121 of such Act (29 U.S.C. 2841);''; and
       (4) in subsection (k)--
       (A) in paragraph (1)(A), by inserting ``, in accordance 
     with paragraph (2)'' after ``under this section'';
       (B) by redesignating paragraphs (2) and (3) as paragraphs 
     (3) and (4), respectively; and
       (C) by inserting after paragraph (1) the following new 
     paragraph:
       ``(B) Employment and training.--The Attorney General shall 
     require each grantee under this section to measure the core 
     indicators of performance as described in section

[[Page 5213]]

     136(b)(2)(A) of the Workforce Investment Act of 1998 (29 
     U.S.C. 2871(b)(2)(A)) with respect to the program of such 
     grantee funded with a grant under this section.''.
       (e) Conforming Amendments to Title 38, United States 
     Code.--Title 38, United States Code, is amended--
       (1) in section 3672(d)(1), by striking ``disabled veterans' 
     outreach program specialists under section 4103A'' and 
     inserting ``veteran employment specialists appointed under 
     section 134(f) of the Workforce Investment Act of 1998'';
       (2) in the table of sections at the beginning of chapter 
     41, by striking the items relating to sections 4103A and 
     4104;
       (3) in section 4102A--
       (A) in subsection (b)--
       (i) by striking paragraphs (5), (6), and (7); and
       (ii) by redesignating paragraph (8) as paragraph (5);
       (B) by striking subsections (c) and (h);
       (C) by redesignating subsections (d), (e), (f), and (g) as 
     subsections (c), (d), (e), and (f); and
       (D) in subsection (e)(1) (as so redesignated)--
       (i) by striking ``, including disabled veterans' outreach 
     program specialists and local veterans' employment 
     representatives providing employment, training, and placement 
     services under this chapter in a State''; and
       (ii) by striking ``for purposes of subsection (c)'';
       (4) in section 4104A--
       (A) in subsection (b)(1), by striking subparagraph (A) and 
     inserting the following:
       ``(i) the appropriate veteran employment specialist (in 
     carrying out the functions described in section 134(f) of the 
     Workforce Investment Act of 1998);''; and
       (B) in subsection (c)(1), by striking subparagraph (A) and 
     inserting the following:
       ``(i) collaborate with the appropriate veteran employment 
     specialist (as described in section 134(f)) and the 
     appropriate State boards and local boards (as such terms are 
     defined in section 101 of the Workforce Investment Act of 
     1998 (29 U.S.C. 2801));'';
       (5) in section 4109--
       (A) in subsection (a), by striking ``disabled veterans' 
     outreach program specialists and local veterans' employment 
     representative'' and inserting ``veteran employment 
     specialists appointed under section 134(f) of the Workforce 
     Investment Act of 1998''; and
       (B) in subsection (d)(1), by striking ``disabled veterans' 
     outreach program specialists and local veterans' employment 
     representatives'' and inserting ``veteran employment 
     specialists appointed under section 134(f) of the Workforce 
     Investment Act of 1998''; and
       (6) in section 4112(d)--
       (A) in paragraph (1), by striking ``disabled veterans' 
     outreach program specialist'' and inserting ``veteran 
     employment specialist appointed under section 134(f) of the 
     Workforce Investment Act of 1998''; and
       (B) by striking paragraph (2) and redesignating paragraph 
     (3) as paragraph (2).
       (f) Comprehensive Environmental Response, Compensation, and 
     Liability Act of 1980.--Section 104(k)(6)(A) of the 
     Comprehensive Environmental Response, Compensation, and 
     Liability Act of 1980 (42 U.S.C. 9604(k)(6)(A)) is amended by 
     striking ``training, research, and'' and inserting ``research 
     and''.

     SEC. __73. CONFORMING AMENDMENT TO TABLE OF CONTENTS.

       The table of contents in section 1(b) is amended to read as 
     follows:
       ``(b) Table of Contents.--The table of contents for this 
     Act is as follows:
``Sec. 1. Short title; table of contents.

                ``TITLE I--WORKFORCE INVESTMENT SYSTEMS

             ``Subtitle A--Workforce Investment Definitions

``Sec. 101. Definitions.

     ``Subtitle B--Statewide and Local Workforce Investment Systems

``Sec. 106. Purpose.

                     ``Chapter 1--State Provisions

``Sec. 111. State workforce investment boards.
``Sec. 112. State plan.

                     ``Chapter 2--Local Provisions

``Sec. 116. Local workforce investment areas.
``Sec. 117. Local workforce investment boards.
``Sec. 118. Local plan.

         ``Chapter 3--Workforce Investment Activities Providers

``Sec. 121. Establishment of one-stop delivery systems.
``Sec. 122. Identification of eligible providers of training services.

            ``Chapter 5--Employment and Training Activities

``Sec. 131. General authorization.
``Sec. 132. State allotments.
``Sec. 133. Within State allocations.
``Sec. 134. Use of funds for employment and training activities.

                    ``Chapter 6--General Provisions

``Sec. 136. Performance accountability system.
``Sec. 137. Authorization of appropriations.

                        ``Subtitle C--Job Corps

``Sec. 141. Purposes.
``Sec. 142. Definitions.
``Sec. 143. Establishment.
``Sec. 144. Individuals eligible for the Job Corps.
``Sec. 145. Recruitment, screening, selection, and assignment of 
              enrollees.
``Sec. 146. Enrollment.
``Sec. 147. Job Corps centers.
``Sec. 148. Program activities.
``Sec. 149. Counseling and job placement.
``Sec. 150. Support.
``Sec. 151. Operations.
``Sec. 152. Standards of conduct.
``Sec. 153. Community participation.
``Sec. 154. Workforce councils.
``Sec. 156. Technical assistance to centers.
``Sec. 157. Application of provisions of Federal law.
``Sec. 158. Special provisions.
``Sec. 159. Performance accountability and management.
``Sec. 160. General provisions.
``Sec. 161. Authorization of appropriations.

                    ``Subtitle D--National Programs

``Sec. 170. Technical assistance.
``Sec. 172. Evaluations.

                      ``Subtitle E--Administration

``Sec. 181. Requirements and restrictions.
``Sec. 182. Prompt allocation of funds.
``Sec. 183. Monitoring.
``Sec. 184. Fiscal controls; sanctions.
``Sec. 185. Reports; recordkeeping; investigations.
``Sec. 186. Administrative adjudication.
``Sec. 187. Judicial review.
``Sec. 188. Nondiscrimination.
``Sec. 189. Administrative provisions.
``Sec. 190. References.
``Sec. 191. State legislative authority.
``Sec. 193. Transfer of Federal equity in State employment security 
              real property to the States.
``Sec. 195. General program requirements.
``Sec. 196. Federal agency staff.
``Sec. 197. Restrictions on lobbying and political activities.

            ``Subtitle F--Repeals and Conforming Amendments

``Sec. 199. Repeals.
``Sec. 199A. Conforming amendments.

       ``TITLE II--ADULT EDUCATION AND FAMILY LITERACY EDUCATION

``Sec. 201. Short title.
``Sec. 202. Purpose.
``Sec. 203. Definitions.
``Sec. 204. Home schools.
``Sec. 205. Authorization of appropriations.

                    ``Subtitle A--Federal Provisions

``Sec. 211. Reservation of funds; grants to eligible agencies; 
              allotments.
``Sec. 212. Performance accountability system.

                     ``Subtitle B--State Provisions

``Sec. 221. State administration.
``Sec. 222. State distribution of funds; matching requirement.
``Sec. 223. State leadership activities.
``Sec. 224. State plan.
``Sec. 225. Programs for corrections education and other 
              institutionalized individuals.

                     ``Subtitle C--Local Provisions

``Sec. 231. Grants and contracts for eligible providers.
``Sec. 232. Local application.
``Sec. 233. Local administrative cost limits.

                    ``Subtitle D--General Provisions

``Sec. 241. Administrative provisions.
``Sec. 242. National activities.

          ``TITLE III--WORKFORCE INVESTMENT-RELATED ACTIVITIES

                    ``Subtitle A--Wagner-Peyser Act

``Sec. 301. Definitions.
``Sec. 302. Functions.
``Sec. 303. Designation of State agencies.
``Sec. 304. Appropriations.
``Sec. 305. Disposition of allotted funds.
``Sec. 306. State plans.
``Sec. 307. Repeal of Federal advisory council.
``Sec. 308. Regulations.
``Sec. 309. Employment statistics.
``Sec. 310. Technical amendments.
``Sec. 311. Effective date.

               ``Subtitle B--Linkages With Other Programs

``Sec. 321. Trade Act of 1974.
``Sec. 322. Veterans' employment programs.
``Sec. 323. Older Americans Act of 1965.

``Subtitle D--Application of Civil Rights and Labor-Management Laws to 
                      the Smithsonian Institution

``Sec. 341. Application of civil rights and labor-management laws to 
              the Smithsonian Institution.

           ``TITLE IV--REHABILITATION ACT AMENDMENTS OF 1998

``Sec. 401. Short title.
``Sec. 402. Title.
``Sec. 403. General provisions.
``Sec. 404. Vocational rehabilitation services.
``Sec. 405. Research and training.
``Sec. 406. Professional development and special projects and 
              demonstrations.
``Sec. 407. National Council on Disability.
``Sec. 408. Rights and advocacy.
``Sec. 409. Employment opportunities for individuals with disabilities.

[[Page 5214]]

``Sec. 410. Independent living services and centers for independent 
              living.
``Sec. 411. Repeal.
``Sec. 412. Helen Keller National Center Act.
``Sec. 413. President's Committee on Employment of People With 
              Disabilities.
``Sec. 414. Conforming amendments.

                     ``TITLE V--GENERAL PROVISIONS

``Sec. 501. State unified plan.
``Sec. 504. Privacy.
``Sec. 505. Buy-American requirements.
``Sec. 507. Effective date.''.

        Subtitle E--Amendments to the Rehabilitation Act of 1973

     SEC. __76. FINDINGS.

       Section 2(a) of the Rehabilitation Act of 1973 (29 U.S.C. 
     701(a)) is amended--
       (1) in paragraph (5), by striking ``and'' at the end;
       (2) in paragraph (6), by striking the period and inserting 
     ``; and''; and
       (3) by adding at the end the following:
       ``(7) there is a substantial need to improve and expand 
     services for students with disabilities under this Act.''.

     SEC. __77. REHABILITATION SERVICES ADMINISTRATION.

       (a) Rehabilitation Services Administration.--The 
     Rehabilitation Act of 1973 (29 U.S.C. 701 et seq.) is 
     amended--
       (1) in section 3(a) (29 U.S.C. 702(a))--
       (A) by striking ``Office of the Secretary'' and inserting 
     ``Department of Education'';
       (B) by striking ``President by and with the advice and 
     consent of the Senate'' and inserting ``Secretary''; and
       (C) by striking ``, and the Commissioner shall be the 
     principal officer,'';
       (2) by striking ``Commissioner'' each place it appears 
     (except in section 21) and inserting ``Director'';
       (3) in section 12(c) (29 U.S.C. 709(c)), by striking 
     ``Commissioner's'' and inserting ``Director's'';
       (4) in section 21 (29 U.S.C. 718)--
       (A) in subsection (b)(1)--
       (i) by striking ``Commissioner'' the first place it appears 
     and inserting ``Director of the Rehabilitation Services 
     Administration'';
       (ii) by striking ``(referred to in this subsection as the 
     `Director')''; and
       (iii) by striking ``The Commissioner and the Director'' and 
     inserting ``Both such Directors''; and
       (B) by striking ``the Commissioner and the Director'' each 
     place it appears and inserting ``both such Directors'';
       (5) in the heading for subparagraph (B) of section 
     100(d)(2) (29 U.S.C. 720(d)(2)), by striking ``commissioner'' 
     and inserting ``director'';
       (6) in section 401(a)(1) (29 U.S.C. 781(a)(1)), by 
     inserting ``of the National Institute on Disability and 
     Rehabilitation Research'' after ``Director'';
       (7) in the heading for section 706 (29 U.S.C. 796d-1), by 
     striking ``commissioner'' and inserting ``director''; and
       (8) in the heading for paragraph (3) of section 723(a) (29 
     U.S.C. 796f-2(a)), by striking ``commissioner'' and inserting 
     ``director''.
       (b) Effective Date; Application.--The amendments made by 
     subsection (a) shall--
       (1) take effect on the date of the enactment of this Act; 
     and
       (2) apply with respect to the appointments of Directors of 
     the Rehabilitation Services Administration made on or after 
     the date of enactment of this Act, and the Directors so 
     appointed.

     SEC. __78. DEFINITIONS.

       Section 7 of the Rehabilitation Act of 1973 (29 U.S.C. 705) 
     is amended--
       (1) by redesignating paragraphs (35) through (39) as 
     paragraphs (36) through (40), respectively;
       (2) in subparagraph (A)(ii) of paragraph (36) (as 
     redesignated by paragraph (1)), by striking ``paragraph 
     (36)(C)'' and inserting ``paragraph (37)(C)''; and
       (3) by inserting after paragraph (34) the following:
       ``(35)(A) The term `student with a disability' means an 
     individual with a disability who--
       ``(i) is not younger than 16 and not older than 21;
       ``(ii) has been determined to be eligible under section 
     102(a) for assistance under this title; and
       ``(iii)(I) is eligible for, and is receiving, special 
     education under part B of the Individuals with Disabilities 
     Education Act (20 U.S.C. 1411 et seq.); or
       ``(II) is an individual with a disability, for purposes of 
     section 504.
       ``(B) The term `students with disabilities' means more than 
     1 student with a disability.''.

     SEC. __79. CARRYOVER.

       Section 19(a)(1) of the Rehabilitation Act of 1973 (29 
     U.S.C. 716(a)(1)) is amended by striking ``part B of title 
     VI,''.

     SEC. __80. TRADITIONALLY UNDERSERVED POPULATIONS.

       Section 21 of the Rehabilitation Act of 1973 (29 U.S.C. 
     718) is amended, in paragraphs (1) and (2)(A) of subsection 
     (b), and in subsection (c), by striking ``VI,''.

     SEC. __81. STATE PLAN.

       Section 101(a) of the Rehabilitation Act of 1973 (29 U.S.C. 
     721(a)) is amended--
       (1) in paragraph (10)--
       (A) in subparagraph (B), by striking ``on the eligible 
     individuals'' and all that follows and inserting ``of 
     information necessary to assess the State's performance on 
     the core indicators of performance described in section 
     136(b)(2)(A) of the Workforce Investment Act of 1998 (29 
     U.S.C. 2871(b)(2)(A)).''; and
       (B) in subparagraph (E)(ii), by striking ``, to the extent 
     the measures are applicable to individuals with 
     disabilities'';
       (2) in paragraph (11)--
       (A) in subparagraph (D)(i), by inserting before the 
     semicolon the following: ``, which may be provided using 
     alternative means of meeting participation (such as 
     participation through video conferences and conference 
     calls)''; and
       (B) by adding at the end the following:
       ``(G) Coordination with assistive technology programs.--The 
     State plan shall include an assurance that the designated 
     State unit and the lead agency or implementing entity 
     responsible for carrying out duties under the Assistive 
     Technology Act of 1998 (29 U.S.C. 3001 et seq.) have 
     developed working relationships and coordinate their 
     activities.'';
       (3) in paragraph (15)--
       (A) in subparagraph (A)--
       (i) in clause (i)--

       (I) in subclause (II), by striking ``and'' at the end;
       (II) in subclause (III), by adding ``and'' at the end; and
       (III) by adding at the end the following:
       ``(IV) students with disabilities, including their need for 
     transition services;'';

       (ii) by redesignating clauses (ii) and (iii) as clauses 
     (iii) and (iv), respectively; and
       (iii) by inserting after clause (i) the following:
       ``(ii) include an assessment of the transition services 
     provided under this Act, and coordinated with transition 
     services provided under the Individuals with Disabilities 
     Education Act (20 U.S.C. 1400 et seq.), about the extent to 
     which those 2 types of services meet the needs of individuals 
     with disabilities;'';
       (B) in subparagraph (B)(ii), by striking ``and under part B 
     of title VI''; and
       (C) in subparagraph (D)--
       (i) by redesignating clauses (iii), (iv), and (v) as 
     clauses (iv), (v), and (vi), respectively;
       (ii) by inserting after clause (ii) the following:
       ``(iii) the methods to be used to improve and expand 
     vocational rehabilitation services for students with 
     disabilities, including the coordination of services designed 
     to facilitate the transition of such students from the 
     receipt of educational services in school to the receipt of 
     vocational rehabilitation services under this title or to 
     postsecondary education or employment;''; and
       (iii) in clause (v), as redesignated by clause (i) of this 
     subparagraph, by striking ``evaluation standards'' and 
     inserting ``performance standards'';
       (4) in paragraph (22)--
       (A) in the paragraph heading, by striking ``state plan 
     supplement'';
       (B) by striking ``carrying out part B of title VI, 
     including''; and
       (C) by striking ``that part to supplement funds made 
     available under part B of'';
       (5) in paragraph (24)--
       (A) in the paragraph heading, by striking ``contracts'' and 
     inserting ``grants''; and
       (B) in subparagraph (A)--
       (i) in the subparagraph heading, by striking ``Contracts'' 
     and inserting ``Grants''; and
       (ii) by striking ``part A of title VI'' and inserting 
     ``section 109A''; and
       (6) by adding at the end the following:
       ``(25) Collaboration with industry.--The State plan shall 
     describe how the designated State agency will carry out the 
     provisions of section 109A, including--
       ``(A) the criteria such agency will use to award grants 
     under such section; and
       ``(B) how the activities carried out under such grants will 
     be coordinated with other services provided under this title.
       ``(26) Services for students with disabilities.--The State 
     plan shall provide an assurance satisfactory to the Secretary 
     that the State--
       ``(A) has developed and implemented strategies to address 
     the needs identified in the assessments described in 
     paragraph (15), and achieve the goals and priorities 
     identified by the State in that paragraph, to improve and 
     expand vocational rehabilitation services for students with 
     disabilities on a statewide basis in accordance with 
     paragraph (15); and
       ``(B) from funds reserved under section 110A, shall carry 
     out programs or activities designed to improve and expand 
     vocational rehabilitation services for students with 
     disabilities that--
       ``(i) facilitate the transition of students with 
     disabilities from the receipt of educational services in 
     school, to the receipt of vocational rehabilitation services 
     under this title, including, at a minimum, those services 
     specified in the interagency agreement required in paragraph 
     (11)(D);
       ``(ii) improve the achievement of post-school goals of 
     students with disabilities, including improving the 
     achievement through participation (as appropriate when career 
     goals are discussed) in meetings regarding individualized 
     education programs developed under section 614 of the 
     Individuals with Disabilities Education Act (20 U.S.C. 1414);
       ``(iii) provide career guidance, career exploration 
     services, job search skills and

[[Page 5215]]

     strategies, and technical assistance to students with 
     disabilities;
       ``(iv) support the provision of training and technical 
     assistance to State and local educational agencies and 
     designated State agency personnel responsible for the 
     planning and provision of services to students with 
     disabilities; and
       ``(v) support outreach activities to students with 
     disabilities who are eligible for, and need, services under 
     this title.''.

     SEC. __82. SCOPE OF SERVICES.

       Section 103 of the Rehabilitation Act of 1973 (29 U.S.C. 
     723) is amended--
       (1) in subsection (a), by striking paragraph (15) and 
     inserting the following:
       ``(15) transition services for students with disabilities, 
     that facilitate the achievement of the employment outcome 
     identified in the individualized plan for employment 
     involved, including services described in clauses (i) through 
     (iii) of section 101(a)(26)(B);'';
       (2) in subsection (b), by striking paragraph (6) and 
     inserting the following:
       ``(6)(A)(i) Consultation and technical assistance services 
     to assist State and local educational agencies in planning 
     for the transition of students with disabilities from school 
     to post-school activities, including employment.
       ``(ii) Training and technical assistance described in 
     section 101(a)(26)(B)(iv).
       ``(B) Services for groups of individuals with disabilities 
     who meet the requirements of clauses (i) and (iii) of section 
     7(35)(A), including services described in clauses (i), (ii), 
     (iii), and (v) of section 101(a)(26)(B), to assist in the 
     transition from school to post-school activities.''; and
       (3) in subsection (b), by inserting at the end the 
     following:
       ``(7) The establishment, development, or improvement of 
     assistive technology demonstration, loan, reutilization, or 
     financing programs in coordination with activities authorized 
     under the Assistive Technology Act of 1998 (29 U.S.C. 3001 et 
     seq.) to promote access to assistive technology for 
     individuals with disabilities and employers.''.

     SEC. __83. STANDARDS AND INDICATORS.

       (a) In General.--Section 106 of the Rehabilitation Act of 
     1973 (29 U.S.C. 726) is amended--
       (1) in the section heading, by striking ``evaluation 
     standards'' and inserting ``performance standards'';
       (2) by striking subsection (a) and inserting the following:
       ``(a) Standards and Indicators.--The performance standards 
     and indicators for the vocational rehabilitation program 
     carried out under this title--
       ``(1) shall be subject to paragraphs (2)(A) and (3) of 
     section 136(b) of the Workforce Investment Act of 1998 (29 
     U.S.C. 2871(b)); and
       ``(2) may, at a State's discretion, include additional 
     indicators identified in the State plan submitted under 
     section 101.''; and
       (3) in subsection (b)(2)(B), by striking clause (i) and 
     inserting the following:
       ``(i) on a biannual basis, review the program improvement 
     efforts of the State and, if the State has not improved its 
     performance to acceptable levels, as determined by the 
     Director, direct the State to make revisions to the plan to 
     improve performance; and''.
       (b) Conforming Amendments.--Section 107 of the 
     Rehabilitation Act of 1973 (29 U.S.C. 727) is amended--
       (1) in subsections (a)(1)(B) and (b)(2), by striking 
     ``evaluation standards'' and inserting ``performance 
     standards''; and
       (2) in subsection (c)(1)(B), by striking ``an evaluation 
     standard'' and inserting ``a performance standard''.

     SEC. __84. EXPENDITURE OF CERTAIN AMOUNTS.

       Section 108(a) of the Rehabilitation Act of 1973 (29 U.S.C. 
     728(a)) is amended by striking ``under part B of title VI, 
     or''.

     SEC. __85. COLLABORATION WITH INDUSTRY.

       The Rehabilitation Act of 1973 is amended by inserting 
     after section 109 (29 U.S.C. 728a) the following:

     ``SEC. 109A. COLLABORATION WITH INDUSTRY.

       ``(a) Eligible Entity Defined.--For the purposes of this 
     section, the term `eligible entity' means a for-profit 
     business, alone or in partnership with one or more of the 
     following:
       ``(1) Community rehabilitation program providers.
       ``(2) Indian tribes.
       ``(3) Tribal organizations.
       ``(b) Authority.--A State shall use not less than one-half 
     of one percent of the payment the State receives under 
     section 111 for a fiscal year to award grants to eligible 
     entities to pay for the Federal share of the cost of carrying 
     out collaborative programs, to create practical job and 
     career readiness and training programs, and to provide job 
     placements and career advancement.
       ``(c) Awards.--Grants under this section shall--
       ``(1) be awarded for a period not to exceed 5 years; and
       ``(2) be awarded competitively.
       ``(d) Application.--To receive a grant under this section, 
     an eligible entity shall submit an application to a 
     designated State agency at such time, in such manner, and 
     containing such information as such agency shall require. 
     Such application shall include, at a minimum--
       ``(1) a plan for evaluating the effectiveness of the 
     collaborative program;
       ``(2) a plan for collecting and reporting the data and 
     information described under subparagraphs (A) through (C) of 
     section 101(a)(10), as determined appropriate by the 
     designated State agency; and
       ``(3) a plan for providing for the non-Federal share of the 
     costs of the program.
       ``(e) Activities.--An eligible entity receiving a grant 
     under this section shall use the grant funds to carry out a 
     program that provides one or more of the following:
       ``(1) Job development, job placement, and career 
     advancement services for individuals with disabilities.
       ``(2) Training in realistic work settings in order to 
     prepare individuals with disabilities for employment and 
     career advancement in the competitive market.
       ``(3) Providing individuals with disabilities with such 
     support services as may be required in order to maintain the 
     employment and career advancement for which the individuals 
     have received training.
       ``(f) Eligibility for Services.--An individual shall be 
     eligible for services provided under a program under this 
     section if the individual is determined under section 
     102(a)(1) to be eligible for assistance under this title.
       ``(g) Federal Share.--The Federal share for a program under 
     this section shall not exceed 80 percent of the costs of the 
     program.''.

     SEC. __86. RESERVATION FOR EXPANDED TRANSITION SERVICES.

       The Rehabilitation Act of 1973 is amended by inserting 
     after section 110 (29 U.S.C. 730) the following:

     ``SEC. 110A. RESERVATION FOR EXPANDED TRANSITION SERVICES.

       ``Each State shall reserve not less than 10 percent of the 
     funds allotted to the State under section 110(a) to carry out 
     programs or activities under sections 101(a)(26)(B) and 
     103(b)(6).''.

     SEC. __87. CLIENT ASSISTANCE PROGRAM.

       Section 112(e)(1) of the Rehabilitation Act of 1973 (29 
     U.S.C. 732(e)(1)) is amended by redesignating subparagraph 
     (D) as subparagraph (E) and inserting after subparagraph (C) 
     the following:
       ``(D) The Secretary shall make grants to the protection and 
     advocacy system serving the American Indian Consortium under 
     the Developmental Disabilities and Bill of Rights Act of 2000 
     (42 U.S.C. 15001 et seq.) to provide services in accordance 
     with this section, as determined by the Secretary. The amount 
     of such grants shall be the same as the amount provided to 
     territories under this subsection.''.

     SEC. __88. RESEARCH.

       Section 204(a)(2)(A) of the Rehabilitation Act of 1973 (29 
     U.S.C. 764(a)(2)(A)) is amended by striking ``VI,''.

     SEC. __89. TITLE III AMENDMENTS.

       Title III of the Rehabilitation Act of 1973 (29 U.S.C. 771 
     et seq.) is amended--
       (1) in section 301(a) (21 U.S.C. 771(a))--
       (A) in paragraph (2), by inserting ``and'' at the end;
       (B) by striking paragraphs (3) and (4); and
       (C) by redesignating paragraph (5) as paragraph (3);
       (2) in section 302 (29 U.S.C. 772)--
       (A) in subsection (g)--
       (i) in the heading, by striking ``and In-Service 
     Training''; and
       (ii) by striking paragraph (3); and
       (B) in subsection (h), by striking ``section 306'' and 
     inserting ``section 304'';
       (3) in section 303 (29 U.S.C. 773)--
       (A) in subsection (b)(1), by striking ``section 306'' and 
     inserting ``section 304''; and
       (B) in subsection (c)--
       (i) in paragraph (4)--

       (I) by amending subparagraph (A)(ii) to read as follows:

       ``(ii) to coordinate activities and work closely with the 
     parent training and information centers established pursuant 
     to section 671 of the Individuals with Disabilities Education 
     Act (20 U.S.C. 1471), the community parent resource centers 
     established pursuant to section 672 of such Act (29 U.S.C. 
     1472), and the eligible entities receiving awards under 
     section 673 of such Act (20 U.S.C. 1473); and''; and

       (II) in subparagraph (C), by inserting ``, and demonstrate 
     the capacity for serving,'' after ``serve''; and

       (ii) by adding at the end the following:
       ``(8) Reservation.--From the amount appropriated to carry 
     out this subsection for a fiscal year, 20 percent of such 
     amount or $500,000, whichever is less, shall be reserved to 
     carry out paragraph (6).'';
       (4) by striking sections 304 and 305 (29 U.S.C. 774, 775); 
     and
       (5) by redesignating section 306 (29 U.S.C. 776) as section 
     304.

     SEC. __90. REPEAL OF TITLE VI.

       Title VI of the Rehabilitation Act of 1973 (29 U.S.C. 795 
     et seq.) is repealed.

     SEC. __91. TITLE VII GENERAL PROVISIONS.

       (a) Purpose.--Section 701(3) of the Rehabilitation Act of 
     1973 (29 U.S.C. 796(3)) is amended by striking ``State 
     programs of supported employment services receiving 
     assistance under part B of title VI,''.
       (b) Chairperson.--Section 705(b)(5) of the Rehabilitation 
     Act of 1973 (29 U.S.C. 796d(b)(5)) is amended to read as 
     follows:
       ``(5) Chairperson.--The Council shall select a chairperson 
     from among the voting membership of the Council.''.

[[Page 5216]]



     SEC. __92. AUTHORIZATIONS OF APPROPRIATIONS.

       The Rehabilitation Act of 1973 (29 U.S.C. 701 et seq.) is 
     further amended--
       (1) in section 100 (29 U.S.C. 720)--
       (A) in subsection (b)(1), by striking ``such sums as may be 
     necessary for fiscal years 1999 through 2003'' and inserting 
     ``$3,066,192,000 for fiscal year 2015 and each of the 6 
     succeeding fiscal years''; and
       (B) in subsection (d)(1)(B), by striking ``2003'' and 
     inserting ``2021'';
       (2) in section 110(c) (29 U.S.C. 730(c)), by amending 
     paragraph (2) to read as follows:
       ``(2) The sum referred to in paragraph (1) shall be, as 
     determined by the Secretary, not less than 1 percent and not 
     more than 1.5 percent of the amount referred to in paragraph 
     (1) for each of fiscal years 2015 through 2020.'';
       (3) in section 112(h) (29 U.S.C. 732(h)), by striking 
     ``such sums as may be necessary for fiscal years 1999 through 
     2003'' and inserting ``$11,600,000 for fiscal year 2015 and 
     each of the 6 succeeding fiscal years'';
       (4) by amending subsection (a) of section 201 (29 U.S.C. 
     761(a)) to read as follows: ``(a) There are authorized to be 
     appropriated $103,125,000 for fiscal year 2015 and each of 
     the 6 succeeding fiscal years to carry out this title.'';
       (5) in section 302(i) (29 U.S.C. 772(i)), by striking 
     ``such sums as may be necessary for each of the fiscal years 
     1999 through 2003'' and inserting ``$33,657,000 for fiscal 
     year 2015 and each of the 6 succeeding fiscal years'';
       (6) in section 303(e) (29 U.S.C. 773(e)), by striking 
     ``such sums as may be necessary for each of the fiscal years 
     1999 through 2003'' and inserting ``$5,046,000 for fiscal 
     year 2015 and each of the 6 succeeding fiscal years'';
       (7) in section 405 (29 U.S.C. 785), by striking ``such sums 
     as may be necessary for each of the fiscal years 1999 through 
     2003'' and inserting ``$3,081,000 for fiscal year 2015 and 
     each of the 6 succeeding fiscal years'';
       (8) in section 502(j) (29 U.S.C. 792(j)), by striking 
     ``such sums as may be necessary for each of the fiscal years 
     1999 through 2003'' and inserting ``$7,013,000 for fiscal 
     year 2015 and each of the 6 succeeding fiscal years'';
       (9) in section 509(l) (29 U.S.C. 794e(l)), by striking 
     ``such sums as may be necessary for each of the fiscal years 
     1999 through 2003'' and inserting ``$17,088,000 for fiscal 
     year 2015 and each of the 6 succeeding fiscal years'';
       (10) in section 714 (29 U.S.C. 796e-3), by striking ``such 
     sums as may be necessary for each of the fiscal years 1999 
     through 2003'' and inserting ``$22,137,000 for fiscal year 
     2015 and each of the 6 succeeding fiscal years'';
       (11) in section 727 (29 U.S.C. 796f-6), by striking ``such 
     sums as may be necessary for each of the fiscal years 1999 
     through 2003'' and inserting ``$75,772,000 for fiscal year 
     2015 and each of the 6 succeeding fiscal years''; and
       (12) in section 753 (29 U.S.C. 796l), by striking ``such 
     sums as may be necessary for each of the fiscal years 1999 
     through 2003'' and inserting ``$32,239,000 for fiscal year 
     2015 and each of the 6 succeeding fiscal years''.

     SEC. __93. CONFORMING AMENDMENTS.

       Section 1(b) of the Rehabilitation Act of 1973 is amended--
       (1) by inserting after the item relating to section 109 the 
     following:

       ``Sec. 109A. Collaboration with industry.'';

       (2) by inserting after the item relating to section 110 the 
     following:

       ``Sec. 110A. Reservation for expanded transition 
           services.'';

       (3) by striking the item related to section 304 and 
     inserting the following:

       ``Sec. 304. Measuring of project outcomes and 
           performance.'';

       (4) by striking the items related to sections 305 and 306;
       (5) by striking the items related to title VI; and
       (6) by striking the item related to section 706 and 
     inserting the following:

       ``Sec. 706. Responsibilities of the Director.''.

             Subtitle F--Studies by the Comptroller General

     SEC. __96. STUDY BY THE COMPTROLLER GENERAL ON EXHAUSTING 
                   FEDERAL PELL GRANTS BEFORE ACCESSING WIA FUNDS.

       Not later than 12 months after the date of enactment of 
     this Act, the Comptroller General of the United States shall 
     complete and submit to the Committee on Education and the 
     Workforce of the House of Representatives and the Committee 
     on Health, Education, Labor, and Pensions of the Senate a 
     report that--
       (1) evaluates the effectiveness of subparagraph (B) of 
     section 134(d)(4) of the Workforce Investment Act of 1998 (29 
     U.S.C. 2864(d)(4)(B)) (as such subparagraph was in effect on 
     the day before the date of enactment of this Act), 
     including--
       (A) a review of the regulations and guidance issued by the 
     Secretary of Labor to State and local areas on how to comply 
     with such subparagraph;
       (B) a review of State policies to determine how local areas 
     are required to comply with such subparagraph;
       (C) a review of local area policies to determine how one-
     stop operators are required to comply with such subparagraph; 
     and
       (D) a review of a sampling of individuals receiving 
     training services under section 134(d)(4) of the Workforce 
     Investment Act of 1998 (29 U.S.C. 2864(d)(4)) to determine 
     if, before receiving such training services, such individuals 
     have exhausted funds received through the Federal Pell Grant 
     program under title IV of the Higher Education Act of 1965 
     (20 U.S.C. 1070 et seq.); and
       (2) makes appropriate recommendations with respect to the 
     matters evaluated under paragraph (1).

     SEC. __97. STUDY BY THE COMPTROLLER GENERAL ON ADMINISTRATIVE 
                   COST SAVINGS.

       (a) Study.--Not later than 12 months after the date of the 
     enactment of this Act, the Comptroller General of the United 
     States shall complete and submit to the Committee on 
     Education and the Workforce of the House of Representatives 
     and the Committee on Health, Education, Labor, and Pensions 
     of the Senate a report that--
       (1) determines the amount of administrative costs at the 
     Federal and State levels for the most recent fiscal year for 
     which satisfactory data are available for--
       (A) each of the programs authorized under the Workforce 
     Investment Act of 1998 (29 U.S.C. 2801 et seq.) or repealed 
     under section _71, as such programs were in effect for such 
     fiscal year; and
       (B) each of the programs described in subparagraph (A) that 
     have been repealed or consolidated on or after the date of 
     enactment of this Act;
       (2) determines the amount of administrative cost savings at 
     the Federal and State levels as a result of repealing and 
     consolidating programs by calculating the differences in the 
     amount of administrative costs between subparagraph (A) and 
     subparagraph (B) of paragraph (1); and
       (3) estimates the administrative cost savings at the 
     Federal and State levels for a fiscal year as a result of 
     States consolidating amounts under section 501(e) of the 
     Workforce Investment Act of 1998 (20 U.S.C. 9271(e)) to 
     reduce inefficiencies in the administration of federally-
     funded State and local employment and training programs.
       (b) Definition.--For purposes of this section, the term 
     ``administrative costs'' has the meaning given the term in 
     section 101 of the Workforce Investment Act of 1998 (29 
     U.S.C. 2801).

                                 ______
                                 
  SA 2890. Mr. INHOFE (for himself, Mr. McConnell, Mr. Cornyn, Mr. 
Thune, Mr. Barrasso, Mr. Blunt, Mr. Vitter, Mr. Hoeven, Mr. Crapo, Mr. 
Chambliss, Mr. Coats, Mr. Coburn, Mr. Cruz, Mr. Flake, Mr. Isakson, Mr. 
Johnson of Wisconsin, Mr. Moran, Mr. Risch, Mr. Scott, Mr. Shelby, Mr. 
Enzi, Mr. Cochran, Mr. Lee, Mr. Johanns, Mr. Roberts, Mr. Wicker, Mr. 
Boozman, Mr. Burr, and Mr. Graham) submitted an amendment intended to 
be proposed by him to the bill S. 2149, 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, add the following:

     SEC. ___. ANALYSIS OF EMPLOYMENT EFFECTS UNDER THE CLEAN AIR 
                   ACT.

       (a) Findings.--Congress finds that--
       (1) the Environmental Protection Agency has systematically 
     distorted the true impact of regulations promulgated by the 
     Environmental Protection Agency under the Clean Air Act (42 
     U.S.C. 7401 et seq.) on job creation by using incomplete 
     analyses to assess effects on employment, primarily as a 
     result of the Environmental Protection Agency failing to take 
     into account the cascading effects of a regulatory change 
     across interconnected industries and markets nationwide;
       (2) despite the Environmental Protection Agency finding 
     that the impact of certain air pollution regulations will 
     result in net job creation, implementation of the air 
     pollution regulations will actually require billions of 
     dollars in compliance costs, resulting in reduced business 
     profits and millions of actual job losses;
       (3)(A) the analysis of the Environmental Protection Agency 
     of the final rule of the Agency entitled ``National Emission 
     Standards for Hazardous Air Pollutants From Coal- and Oil-
     Fired Electric Utility Steam Generating Units and Standards 
     of Performance for Fossil-Fuel-Fired Electric Utility, 
     Industrial-Commercial-Institutional, and Small Industrial-
     Commercial-Institutional Steam Generating Units'' (77 Fed. 
     Reg. 9304 (Feb. 16, 2012)) estimated that implementation of 
     the final rule would result in the creation of 46,000 
     temporary construction jobs and 8,000 net new permanent jobs; 
     but
       (B) a private study conducted by NERA Economic Consulting, 
     using a ``whole economy'' model, estimated that 
     implementation of the final rule described in subparagraph 
     (A) would result in a negative impact on the income of 
     workers in an amount equivalent to 180,000 to 215,000 lost 
     jobs in 2015 and 50,000 to 85,000 lost jobs each year 
     thereafter;
       (4)(A) the analysis of the Environmental Protection Agency 
     of the final rule of the Agency entitled ``Federal 
     Implementation Plans: Interstate Transport of Fine 
     Particulate Matter and Ozone and Correction of SIP

[[Page 5217]]

     Approvals'' (76 Fed. Reg. 48208 (Aug. 8, 2011)) estimated 
     that implementation of the final rule would result in the 
     creation of 700 jobs per year; but
       (B) a private study conducted by NERA Economic Consulting 
     estimated that implementation of the final rule described in 
     subparagraph (A) would result in the elimination of a total 
     of 34,000 jobs during the period beginning in calendar year 
     2013 and ending in calendar year 2037;
       (5)(A) the analysis of the Environmental Protection Agency 
     of the final rules of the Agency entitled ``National Emission 
     Standards for Hazardous Air Pollutants for Major Sources: 
     Industrial, Commercial, and Institutional Boilers and Process 
     Heaters''(76 Fed. Reg. 15608 (March 21, 2011)) and ``National 
     Emission Standards for Hazardous Air Pollutants for Area 
     Sources: Industrial, Commercial, and Institutional Boilers'' 
     (76 Fed. Reg. 15554 (March 21, 2011)) estimated that 
     implementation of the final rules would result in the 
     creation of 2,200 jobs per year; but
       (B) a private study conducted by NERA Economic Consulting 
     estimated that implementation of the final rules described in 
     subparagraph (A) would result in the elimination of 28,000 
     jobs per year during the period beginning in calendar year 
     2013 and ending in calendar year 2037;
       (6) implementation of certain air pollution rules of the 
     Environmental Protection Agency that have not been reviewed, 
     updated, or finalized as of the date of enactment of this 
     Act, such as regulations on greenhouse gas emissions and the 
     update or review of national ambient air quality standards, 
     are predicted to result in significant and negative 
     employment impacts, but the Agency has not yet fully studied 
     or disclosed the full impacts of existing Agency regulations;
       (7) in reviewing, developing, or updating any regulations 
     promulgated under the Clean Air Act (42 U.S.C. 7401 et seq.) 
     after the date of enactment of this Act, the Environmental 
     Protection Agency must be required to accurately disclose the 
     adverse impact the existing regulations of the Agency will 
     have on jobs and employment levels across the economy in the 
     United States and disclose those impacts to the American 
     people before issuing a final rule; and
       (8) although since 1977, section 321(a) of the Clean Air 
     Act (42 U.S.C. 7621(a)) has required the Administrator of the 
     Environmental Protection Agency to ``conduct continuing 
     evaluations of potential loss or shifts of employment which 
     may result from the administration or enforcement of the 
     provision of [the Clean Air Act] and applicable 
     implementation plans, including where appropriate, 
     investigating threatened plant closures or reductions in 
     employment allegedly resulting from such administration or 
     enforcement'', the Environmental Protection Agency has failed 
     to undertake that analysis or conduct a comprehensive study 
     that considers the impact of programs carried out under the 
     Clean Air Act (42 U.S.C. 7401 et seq.) on jobs and changes in 
     employment.
       (b) Prohibition.--The Administrator of the Environmental 
     Protection Agency shall not propose or finalize any major 
     rule (as defined in section 804 of title 5, United States 
     Code) under the Clean Air Act (42 U.S.C. 7401 et seq.) until 
     after the date on which the Administrator--
       (1) completes an economy-wide analysis capturing the costs 
     and cascading effects across industry sectors and markets in 
     the United States of the implementation of major rules 
     promulgated under the Clean Air Act (42 U.S.C. 7401 et seq.); 
     and
       (2) establishes a process to update that analysis not less 
     frequently than semiannually, so as to provide for the 
     continuing evaluation of potential loss or shifts in 
     employment, pursuant to section 321(a) of the Clean Air Act 
     (42 U.S.C. 7621(a)), that may result from the implementation 
     of major rules under the Clean Air Act (42 U.S.C. 7401 et 
     seq.).
                                 ______
                                 
  SA 2891. Mr. HOEVEN (for himself, Mr. Barrasso, Ms. Murkowski, Mr. 
Inhofe, Mr. Vitter, and Mr. Cornyn) submitted an amendment intended to 
be proposed by him to the bill H.R. 3979, to amend the Internal Revenue 
Code of 1986 to ensure that emergency services volunteers are not taken 
into account as employees under the shared responsibility requirements 
contained in the Patient Protection and Affordable Care Act; which was 
ordered to lie on the table; as follows:

       At the end of the amendment, add the following:

     SEC. 13. KEYSTONE XL PERMIT APPROVAL.

       (a) In General.--In accordance with clause 3 of section 8 
     of article I of the Constitution (delegating to Congress the 
     power to regulate commerce with foreign nations), TransCanada 
     Keystone Pipeline, L.P. is authorized to construct, connect, 
     operate, and maintain pipeline facilities for the import of 
     crude oil and other hydrocarbons at the United States-Canada 
     Border at Phillips County, Montana, in accordance with the 
     application filed with the Department of State on May 4, 
     2012.
       (b) Presidential Permit Not Required.--Notwithstanding 
     Executive Order No. 13337 (3 U.S.C. 301 note), Executive 
     Order No. 11423 (3 U.S.C. 301 note), section 301 of title 3, 
     United States Code, and any other Executive order or 
     provision of law, no presidential permit shall be required 
     for the facilities described in subsection (a).
       (c) Environmental Impact Statement.--The final 
     environmental impact statement issued by the Secretary of 
     State on August 26, 2011, the Final Evaluation Report issued 
     by the Nebraska Department of Environmental Quality on 
     January 3, 2013, and the Final Supplemental Environmental 
     Impact Statement for the Keystone XL Project issued in 
     January 2014, regarding the crude oil pipeline and 
     appurtenant facilities associated with the facilities 
     described in subsection (a), shall be considered to satisfy--
       (1) all requirements of the National Environmental Policy 
     Act of 1969 (42 U.S.C. 4321 et seq.); and
       (2) any other provision of law that requires Federal agency 
     consultation or review with respect to the facilities 
     described in subsection (a) and the related facilities in the 
     United States.
       (d) Permits.--Any Federal permit or authorization issued 
     before the date of enactment of this Act for the facilities 
     described in subsection (a), and the related facilities in 
     the United States shall remain in effect.
       (e) Federal Judicial Review.--The facilities described in 
     subsection (a), and the related facilities in the United 
     States, that are approved by this section, and any permit, 
     right-of-way, or other action taken to construct or complete 
     the project pursuant to Federal law, shall only be subject to 
     judicial review on direct appeal to the United States Court 
     of Appeals for the District of Columbia Circuit.

     SEC. 14. EXPEDITED APPROVAL OF EXPORTATION OF NATURAL GAS TO 
                   UKRAINE AND NORTH ATLANTIC TREATY ORGANIZATION 
                   MEMBER COUNTRIES AND JAPAN.

       (a) In General.--In accordance with clause 3 of section 8 
     of article I of the Constitution of the United States 
     (delegating to Congress the power to regulate commerce with 
     foreign nations), Congress finds that exports of natural gas 
     produced in the United States to Ukraine, member countries of 
     the North Atlantic Treaty Organization, and Japan is--
       (1) necessary for the protection of the essential security 
     interests of the United States; and
       (2) in the public interest pursuant to section 3 of the 
     Natural Gas Act (15 U.S.C. 717b).
       (b) Expedited Approval.--Section 3(c) of the Natural Gas 
     Act (15 U.S.C. 717b(c)) is amended by inserting ``, to 
     Ukraine, to a member country of the North Atlantic Treaty 
     Organization, or to Japan'' after ``trade in natural gas''.
       (c) Effective Date.--The amendment made by subsection (b) 
     shall apply to applications for the authorization to export 
     natural gas under section 3 of the Natural Gas Act (15 U.S.C. 
     717b) that are pending on, or filed on or after, the date of 
     the enactment of this Act.
                                 ______
                                 
  SA 2892. Mr. HOEVEN submitted an amendment intended to be proposed by 
him to the bill H.R. 3979, to amend the Internal Revenue Code of 1986 
to ensure that emergency services volunteers are not taken into account 
as employees under the shared responsibility requirements contained in 
the Patient Protection and Affordable Care Act; which was ordered to 
lie on the table; as follows:

       At the end of the amendment, add the following:

     SEC. __. REGULATION OF OIL OR NATURAL GAS DEVELOPMENT ON 
                   FEDERAL LAND IN STATES.

       The Mineral Leasing Act is amended--
       (1) by redesignating section 44 (30 U.S.C. 181 note) as 
     section 45; and
       (2) by inserting after section 43 (30 U.S.C. 226-3) the 
     following:

     ``SEC. 44. REGULATION OF OIL OR NATURAL GAS DEVELOPMENT ON 
                   FEDERAL LAND IN STATES.

       ``(a) In General.--Subject to subsection (b), the Secretary 
     of the Interior shall not issue or promulgate any guideline 
     or regulation relating to oil or gas exploration or 
     production on Federal land in a State if the State has 
     otherwise met the requirements under this Act or any other 
     applicable Federal law.
       ``(b) Exception.--The Secretary may issue or promulgate 
     guidelines and regulations relating to oil or gas exploration 
     or production on Federal land in a State if the Secretary of 
     the Interior determines that as a result of the oil or gas 
     exploration or production there is an imminent and 
     substantial danger to the public health or environment.''.

     SEC. __. REGULATIONS.

       Part E of the Safe Drinking Water Act (42 U.S.C. 300j et 
     seq.) is amended by adding at the end the following:

     ``SEC. 1459. REGULATIONS.

       ``(a) Comments Relating to Oil and Gas Exploration and 
     Production.--Before issuing or promulgating any guideline or 
     regulation relating to oil and gas exploration and production 
     on Federal, State, tribal, or fee land pursuant to this Act, 
     the Federal

[[Page 5218]]

     Water Pollution Control Act (33 U.S.C. 1251 et seq.), the 
     Clean Air Act (42 U.S.C. 7401 et seq.), the Act entitled `An 
     Act to regulate the leasing of certain Indian lands for 
     mining purposes', approved May 11, 1938 (commonly known as 
     the `Indian Mineral Leasing Act of 1938') (25 U.S.C. 396a et 
     seq.), the Mineral Leasing Act (30 U.S.C. 181 et seq.), or 
     any other provision of law or Executive order, the head of a 
     Federal department or agency shall seek comments from and 
     consult with the head of each affected State, State agency, 
     and Indian tribe at a location within the jurisdiction of the 
     State or Indian tribe, as applicable.
       ``(b) Statement of Energy and Economic Impact.--Each 
     Federal department or agency described in subsection (a) 
     shall develop a Statement of Energy and Economic Impact, 
     which shall consist of a detailed statement and analysis 
     supported by credible objective evidence relating to--
       ``(1) any adverse effects on energy supply, distribution, 
     or use, including a shortfall in supply, price increases, and 
     increased use of foreign supplies; and
       ``(2) any impact on the domestic economy if the action is 
     taken, including the loss of jobs and decrease of revenue to 
     each of the general and educational funds of the State or 
     affected Indian tribe.
       ``(c) Regulations.--
       ``(1) In general.--A Federal department or agency shall not 
     impose any new or modified regulation unless the head of the 
     applicable Federal department or agency determines--
       ``(A) that the rule is necessary to prevent imminent 
     substantial danger to the public health or the environment; 
     and
       ``(B) by clear and convincing evidence, that the State or 
     Indian tribe does not have an existing reasonable alternative 
     to the proposed regulation.
       ``(2) Disclosure.--Any Federal regulation promulgated on or 
     after the date of enactment of this paragraph that requires 
     disclosure of hydraulic fracturing chemicals shall refer to 
     the database managed by the Ground Water Protection Council 
     and the Interstate Oil and Gas Compact Commission (as in 
     effect on the date of enactment of this Act).
       ``(d) Judicial Review.--
       ``(1) In general.--With respect to any regulation described 
     in this section, a State or Indian tribe adversely affected 
     by an action carried out under the regulation shall be 
     entitled to review by a United States district court located 
     in the State or the District of Columbia of compliance by the 
     applicable Federal department or agency with the requirements 
     of this section.
       ``(2) Action by court.--
       ``(A) In general.--A district court providing review under 
     this subsection may enjoin or mandate any action by a 
     relevant Federal department or agency until the district 
     court determines that the department or agency has complied 
     with the requirements of this section.
       ``(B) Damages.--The court shall not order money damages.
       ``(3) Scope and standard of review.--In reviewing a 
     regulation under this subsection--
       ``(A) the court shall not consider any evidence outside of 
     the record that was before the agency; and
       ``(B) the standard of review shall be de novo.''.
                                 ______
                                 
  SA 2893. Mr. CRAPO submitted an amendment intended to be proposed by 
him to the bill H.R. 3979, to amend the Internal Revenue Code of 1986 
to ensure that emergency services volunteers are not taken into account 
as employees under the shared responsibility requirements contained in 
the Patient Protection and Affordable Care Act; which was ordered to 
lie on the table; as follows:

       At the end, add the following:

     SEC. __. PROHIBITION ON CERTAIN TAXES, FEES, AND PENALTIES 
                   ENACTED UNDER THE AFFORDABLE CARE ACT.

       No tax, fee, or penalty imposed or enacted under the 
     Patient Protection and Affordable Care Act shall be 
     implemented, administered, or enforced unless there has been 
     a certification by the Joint Committee on Taxation that such 
     provision would not have a direct or indirect economic impact 
     on individuals with an annual income of less than $200,000 or 
     families with an annual income of less than $250,000.
                                 ______
                                 
  SA 2894. Mr. HOEVEN submitted an amendment intended to be proposed by 
him to the bill H.R. 3979, to amend the Internal Revenue Code of 1986 
to ensure that emergency services volunteers are not taken into account 
as employees under the shared responsibility requirements contained in 
the Patient Protection and Affordable Care Act; which was ordered to 
lie on the table; as follows:

       At the end of the amendment, add the following:

                  DIVISION B--DOMESTIC ENERGY AND JOBS

     SEC. 2001. SHORT TITLE.

       This division may be cited as the ``Domestic Energy and 
     Jobs Act''.

       TITLE I--IMPACTS OF EPA RULES AND ACTIONS ON ENERGY PRICES

     SEC. 2101. SHORT TITLE.

       This title may be cited as the ``Gasoline Regulations Act 
     of 2013''.

     SEC. 2102. TRANSPORTATION FUELS REGULATORY COMMITTEE.

       (a) Establishment.--The President shall establish a 
     committee, to be known as the Transportation Fuels Regulatory 
     Committee (referred to in this title as the ``Committee''), 
     to analyze and report on the cumulative impacts of certain 
     rules and actions of the Environmental Protection Agency on 
     gasoline, diesel fuel, and natural gas prices, in accordance 
     with sections 2103 and 2104.
       (b) Members.--The Committee shall be composed of the 
     following officials (or their designees):
       (1) The Secretary of Energy, who shall serve as the Chair 
     of the Committee.
       (2) The Secretary of Transportation, acting through the 
     Administrator of the National Highway Traffic Safety 
     Administration.
       (3) The Secretary of Commerce, acting through the Chief 
     Economist and the Under Secretary for International Trade.
       (4) The Secretary of Labor, acting through the Commissioner 
     of the Bureau of Labor Statistics.
       (5) The Secretary of the Treasury, acting through the 
     Deputy Assistant Secretary for Environment and Energy of the 
     Department of the Treasury.
       (6) The Secretary of Agriculture, acting through the Chief 
     Economist.
       (7) The Administrator of the Environmental Protection 
     Agency.
       (8) The Chairman of the United States International Trade 
     Commission, acting through the Director of the Office of 
     Economics.
       (9) The Administrator of the Energy Information 
     Administration.
       (c) Consultation by Chair.--In carrying out the functions 
     of the Chair of the Committee, the Chair shall consult with 
     the other members of the Committee.
       (d) Consultation by Committee.--In carrying out this title, 
     the Committee shall consult with the National Energy 
     Technology Laboratory.
       (e) Termination.--The Committee shall terminate on the date 
     that is 60 days after the date of submission of the final 
     report of the Committee pursuant to section 2104(c).

     SEC. 2103. ANALYSES.

       (a) Definitions.--In this section:
       (1) Covered action.--The term ``covered action'' means any 
     action, to the extent that the action affects facilities 
     involved in the production, transportation, or distribution 
     of gasoline, diesel fuel, or natural gas, taken on or after 
     January 1, 2009, by the Administrator of the Environmental 
     Protection Agency, a State, a local government, or a 
     permitting agency as a result of the application of part C of 
     title I (relating to prevention of significant deterioration 
     of air quality), or title V (relating to permitting), of the 
     Clean Air Act (42 U.S.C. 7401 et seq.), to an air pollutant 
     that is identified as a greenhouse gas in the rule entitled 
     ``Endangerment and Cause or Contribute Findings for 
     Greenhouse Gases Under Section 202(a) of the Clean Air Act'' 
     (74 Fed. Reg. 66496 (December 15, 2009)).
       (2) Covered rule.--The term ``covered rule'' means the 
     following rules (and includes any successor or substantially 
     similar rules):
       (A) ``Control of Air Pollution From New Motor Vehicles: 
     Tier 3 Motor Vehicle Emission and Fuel Standards'', as 
     described in the Unified Agenda of Federal Regulatory and 
     Deregulatory Actions under Regulatory Identification Number 
     2060-AQ86.
       (B) ``National Ambient Air Quality Standards for Ozone'' 
     (73 Fed. Reg. 16436 (March 27, 2008)).
       (C) ``Reconsideration of the 2008 Ozone Primary and 
     Secondary National Ambient Air Quality Standards'', as 
     described in the Unified Agenda of Federal Regulatory and 
     Deregulatory Actions under Regulatory Identification Number 
     2060-AP98.
       (D) Any rule proposed after March 15, 2012, establishing or 
     revising a standard of performance or emission standard under 
     section 111 or 112 of the Clean Air Act (42 U.S.C. 7411, 
     7412) applicable to petroleum refineries.
       (E) Any rule proposed after March 15, 2012, to implement 
     any portion of the renewable fuel program under section 
     211(o) of the Clean Air Act (42 U.S.C. 7545(o)).
       (F) Any rule proposed after March 15, 2012, revising or 
     supplementing the national ambient air quality standards for 
     ozone under section 109 of the Clean Air Act (42 U.S.C. 
     7409).
       (b) Scope.--The Committee shall conduct analyses, for each 
     of calendar years 2016 and 2020, of the prospective 
     cumulative impact of all covered rules and covered actions.
       (c) Contents.--The Committee shall include in each analysis 
     conducted under this section--
       (1) estimates of the cumulative impacts of the covered 
     rules and covered actions relating to--
       (A) any resulting change in the national, State, or 
     regional price of gasoline, diesel fuel, or natural gas;

[[Page 5219]]

       (B) required capital investments and projected costs for 
     operation and maintenance of new equipment required to be 
     installed;
       (C) global economic competitiveness of the United States 
     and any loss of domestic refining capacity;
       (D) other cumulative costs and cumulative benefits, 
     including evaluation through a general equilibrium model 
     approach;
       (E) national, State, and regional employment, including 
     impacts associated with changes in gasoline, diesel fuel, or 
     natural gas prices and facility closures; and
       (F) any other matters affecting the growth, stability, and 
     sustainability of the oil and gas industries of the United 
     States, particularly relative to that of other nations;
       (2) an analysis of key uncertainties and assumptions 
     associated with each estimate under paragraph (1);
       (3) a sensitivity analysis reflecting alternative 
     assumptions with respect to the aggregate demand for 
     gasoline, diesel fuel, or natural gas; and
       (4) an analysis and, if feasible, an assessment of--
       (A) the cumulative impact of the covered rules and covered 
     actions on--
       (i) consumers;
       (ii) small businesses;
       (iii) regional economies;
       (iv) State, local, and tribal governments;
       (v) low-income communities;
       (vi) public health; and
       (vii) local and industry-specific labor markets; and
       (B) key uncertainties associated with each topic described 
     in subparagraph (A).
       (d) Methods.--In conducting analyses under this section, 
     the Committee shall use the best available methods, 
     consistent with guidance from the Office of Information and 
     Regulatory Affairs and the Office of Management and Budget 
     Circular A-4.
       (e) Data.--In conducting analyses under this section, the 
     Committee shall not be required to create data or to use data 
     that is not readily accessible.

     SEC. 2104. REPORTS; PUBLIC COMMENT.

       (a) Preliminary Report.--Not later than 90 days after the 
     date of enactment of this Act, the Committee shall make 
     public and submit to the Committee on Energy and Commerce of 
     the House of Representatives and the Committee on Environment 
     and Public Works of the Senate a preliminary report 
     containing the results of the analyses conducted under 
     section 2103.
       (b) Public Comment Period.--The Committee shall accept 
     public comments regarding the preliminary report submitted 
     under subsection (a) for a period of 60 days after the date 
     on which the preliminary report is submitted.
       (c) Final Report.--Not later than 60 days after the 
     expiration of the 60-day period described in subsection (b), 
     the Committee shall submit to Congress a final report 
     containing the analyses conducted under section 2103, 
     including--
       (1) any revisions to the analyses made as a result of 
     public comments; and
       (2) a response to the public comments.

     SEC. 2105. NO FINAL ACTION ON CERTAIN RULES.

       (a) In General.--The Administrator of the Environmental 
     Protection Agency shall not finalize any of the following 
     rules until a date (to be determined by the Administrator) 
     that is at least 180 days after the date on which the 
     Committee submits the final report under section 2104(c):
       (1) ``Control of Air Pollution From New Motor Vehicles: 
     Tier 3 Motor Vehicle Emission and Fuel Standards'', as 
     described in the Unified Agenda of Federal Regulatory and 
     Deregulatory Actions under Regulatory Identification Number 
     2060-AQ86, and any successor or substantially similar rule.
       (2) Any rule proposed after March 15, 2012, establishing or 
     revising a standard of performance or emission standard under 
     section 111 or 112 of the Clean Air Act (42 U.S.C. 7411, 
     7412) that is applicable to petroleum refineries.
       (3) Any rule revising or supplementing the national ambient 
     air quality standards for ozone under section 109 of the 
     Clean Air Act (42 U.S.C. 7409).
       (b) Other Rules Not Affected.--Subsection (a) shall not 
     affect the finalization of any rule other than the rules 
     described in subsection (a).

     SEC. 2106. CONSIDERATION OF FEASIBILITY AND COST IN REVISING 
                   OR SUPPLEMENTING NATIONAL AMBIENT AIR QUALITY 
                   STANDARDS FOR OZONE.

       In revising or supplementing any national primary or 
     secondary ambient air quality standards for ozone under 
     section 109 of the Clean Air Act (42 U.S.C. 7409), the 
     Administrator of the Environmental Protection Agency shall 
     take into consideration feasibility and cost.

     SEC. 2107. FUEL REQUIREMENTS WAIVER AND STUDY.

       (a) Waiver of Fuel Requirements.--Section 211(c)(4)(C) of 
     the Clean Air Act (42 U.S.C. 7545(c)(4)(C)) is amended--
       (1) in clause (ii)(II), by inserting ``a problem with 
     distribution or delivery equipment that is necessary for the 
     transportation or delivery of fuel or fuel additives,'' after 
     ``equipment failure,'';
       (2) in clause (iii)(II), by inserting before the semicolon 
     at the end the following: ``(except that the Administrator 
     may extend the effectiveness of a waiver for more than 20 
     days if the Administrator determines that the conditions 
     under clause (ii) supporting a waiver determination will 
     exist for more than 20 days)'';
       (3) by redesignating the second clause (v) (relating to the 
     authority of the Administrator to approve certain State 
     implementation plans) as clause (vi); and
       (4) by adding at the end the following:
       ``(vii) Presumptive Approval.--Notwithstanding any other 
     provision of this subparagraph, if the Administrator does not 
     approve or deny a request for a waiver under this 
     subparagraph within 3 days after receipt of the request, the 
     request shall be deemed to be approved as received by the 
     Administrator and the applicable fuel standards shall be 
     waived for the period of time requested.''.
       (b) Fuel System Requirements Harmonization Study.--Section 
     1509 of the Energy Policy Act of 2005 (Public Law 109-58; 119 
     Stat. 1083) is amended--
       (1) in subsection (a)--
       (A) in paragraph (1)(A), by inserting ``biofuels,'' after 
     ``oxygenated fuel,''; and
       (B) in paragraph (2)(G), by striking ``Tier II'' and 
     inserting ``Tier III''; and
       (2) in subsection (b)(1), by striking ``2008'' and 
     inserting ``2014''.

   TITLE II--QUADRENNIAL STRATEGIC FEDERAL ONSHORE ENERGY PRODUCTION 
                                STRATEGY

     SEC. 2201. SHORT TITLE.

       This title may be cited as the ``Planning for American 
     Energy Act of 2013''.

     SEC. 2202. ONSHORE DOMESTIC ENERGY PRODUCTION STRATEGIC PLAN.

       The Mineral Leasing Act is amended--
       (1) by redesignating section 44 (30 U.S.C. 181 note) as 
     section 45; and
       (2) by inserting after section 43 (30 U.S.C. 226-3) the 
     following:

     ``SEC. 44. QUADRENNIAL STRATEGIC FEDERAL ONSHORE ENERGY 
                   PRODUCTION STRATEGY.

       ``(a) Definitions.--In this section:
       ``(1) Secretary.--The term `Secretary' means the Secretary 
     of the Interior.
       ``(2) Strategic and critical energy minerals.--The term 
     `strategic and critical energy minerals' means--
       ``(A) minerals that are necessary for the energy 
     infrastructure of the United States, including pipelines, 
     refining capacity, electrical power generation and 
     transmission, and renewable energy production; and
       ``(B) minerals that are necessary to support domestic 
     manufacturing, including materials used in energy generation, 
     production, and transportation.
       ``(3) Strategy.--The term `Strategy' means the Quadrennial 
     Federal Onshore Energy Production Strategy required under 
     this section.
       ``(b) Strategy.--
       ``(1) In general.--The Secretary, in consultation with the 
     Secretary of Agriculture with regard to land administered by 
     the Forest Service, shall develop and publish every 4 years a 
     Quadrennial Federal Onshore Energy Production Strategy.
       ``(2) Energy security.--The Strategy shall direct Federal 
     land energy development and department resource allocation to 
     promote the energy security of the United States.
       ``(c) Purposes.--
       ``(1) In general.--In developing a Strategy, the Secretary 
     shall consult with the Administrator of the Energy 
     Information Administration on--
       ``(A) the projected energy demands of the United States for 
     the 30-year period beginning on the date of initiation of the 
     Strategy; and
       ``(B) how energy derived from Federal onshore land can 
     place the United States on a trajectory to meet that demand 
     during the 4-year period beginning on the date of initiation 
     of the Strategy.
       ``(2) Energy security.--The Secretary shall consider how 
     Federal land will contribute to ensuring national energy 
     security, with a goal of increasing energy independence and 
     production, during the 4-year period beginning on the date of 
     initiation of the Strategy.
       ``(d) Objectives.--The Secretary shall establish a domestic 
     strategic production objective for the development of energy 
     resources from Federal onshore land that is based on 
     commercial and scientific data relating to the expected 
     increase in--
       ``(1) domestic production of oil and natural gas from the 
     Federal onshore mineral estate, with a focus on land held by 
     the Bureau of Land Management and the Forest Service;
       ``(2) domestic coal production from Federal land;
       ``(3) domestic production of strategic and critical energy 
     minerals from the Federal onshore mineral estate;
       ``(4) megawatts for electricity production from each of 
     wind, solar, biomass, hydropower, and geothermal energy 
     produced on Federal land administered by the Bureau of Land 
     Management and the Forest Service;
       ``(5) unconventional energy production, such as oil shale;
       ``(6) domestic production of oil, natural gas, coal, and 
     other renewable sources from tribal land for any federally 
     recognized Indian tribe that elects to participate in 
     facilitating energy production on the land of the Indian 
     tribe; and

[[Page 5220]]

       ``(7) domestic production of geothermal, solar, wind, or 
     other renewable energy sources on land defined as available 
     lands under section 203 of the Hawaiian Homes Commission Act, 
     1920 (42 Stat. 109, chapter 42), and any other land 
     considered by the Territory or State of Hawaii, as the case 
     may be, to be available lands.
       ``(e) Methodology.--The Secretary shall consult with the 
     Administrator of the Energy Information Administration 
     regarding the methodology used to arrive at the estimates 
     made by the Secretary to carry out this section.
       ``(f) Expansion of Plan.--The Secretary may expand a 
     Strategy to include other energy production technology 
     sources or advancements in energy production on Federal land.
       ``(g) Tribal Objectives.--
       ``(1) In general.--It is the sense of Congress that 
     federally recognized Indian tribes may elect to set the 
     production objectives of the Indian tribes as part of a 
     Strategy under this section.
       ``(2) Cooperation.--The Secretary shall work in cooperation 
     with any federally recognized Indian tribe that elects to 
     participate in achieving the strategic energy objectives of 
     the Indian tribe under this subsection.
       ``(h) Execution of Strategy.--
       ``(1) Definition of secretary concerned.--In this 
     subsection, the term `Secretary concerned' means--
       ``(A) the Secretary of Agriculture (acting through the 
     Chief of the Forest Service), with respect to National Forest 
     System land; and
       ``(B) the Secretary of the Interior, with respect to land 
     managed by the Bureau of Land Management (including land held 
     for the benefit of an Indian tribe).
       ``(2) Additional land.--The Secretary concerned may make 
     determinations regarding which additional land under the 
     jurisdiction of the Secretary concerned will be made 
     available in order to meet the energy production objectives 
     established by a Strategy.
       ``(3) Actions.--The Secretary concerned shall take all 
     necessary actions to achieve the energy production objectives 
     established under this section unless the President 
     determines that it is not in the national security and 
     economic interests of the United States--
       ``(A) to increase Federal domestic energy production; and
       ``(B) to decrease dependence on foreign sources of energy.
       ``(4) Leasing.--In carrying out this subsection, the 
     Secretary concerned shall only consider leasing Federal land 
     available for leasing at the time the lease sale occurs.
       ``(i) State, Federally Recognized Indian Tribes, Local 
     Government, and Public Input.--In developing a Strategy, the 
     Secretary shall solicit the input of affected States, 
     federally recognized Indian tribes, local governments, and 
     the public.
       ``(j) Annual Reports.--
       ``(1) In general.--The Secretary shall submit to the 
     Committee on Natural Resources of the House of 
     Representatives and the Committee on Energy and Natural 
     Resources of the Senate an annual report describing the 
     progress made in meeting the production goals of a Strategy.
       ``(2) Contents.--In a report required under this 
     subsection, the Secretary shall--
       ``(A) make projections for production and capacity 
     installations;
       ``(B) describe any problems with leasing, permitting, 
     siting, or production that will prevent meeting the 
     production goals of a Strategy; and
       ``(C) make recommendations to help meet any shortfalls in 
     meeting the production goals.
       ``(k) Programmatic Environmental Impact Statement.--
       ``(1) In general.--Not later than 1 year after the date of 
     enactment of this subsection, in accordance with section 
     102(2)(C) of the National Environmental Policy Act of 1969 
     (42 U.S.C. 4332(2)(C)), the Secretary shall complete a 
     programmatic environmental impact statement for carrying out 
     this section.
       ``(2) Compliance.--The programmatic environmental impact 
     statement shall be considered sufficient to comply with all 
     requirements under the National Environmental Policy Act of 
     1969 (42 U.S.C. 4321 et seq.) for all necessary resource 
     management and land use plans associated with the 
     implementation of a Strategy.
       ``(l) Congressional Review.--
       ``(1) In general.--Not later than 60 days before publishing 
     a proposed Strategy under this section, the Secretary shall 
     submit to Congress and the President the proposed Strategy, 
     together with any comments received from States, federally 
     recognized Indian tribes, and local governments.
       ``(2) Recommendations.--The submission shall indicate why 
     any specific recommendation of a State, federally recognized 
     Indian tribe, or local government was not accepted.
       ``(m) Administration.--Nothing in this section modifies or 
     affects any multiuse plan.
       ``(n) First Strategy.--Not later than 18 months after the 
     date of enactment of this subsection, the Secretary shall 
     submit to Congress the first Strategy.''.

            TITLE III--ONSHORE OIL AND GAS LEASING CERTAINTY

     SEC. 2301. SHORT TITLE.

       This title may be cited as the ``Providing Leasing 
     Certainty for American Energy Act of 2013''.

     SEC. 2302. MINIMUM ACREAGE REQUIREMENT FOR ONSHORE LEASE 
                   SALES.

       Section 17 of the Mineral Leasing Act (30 U.S.C. 226) is 
     amended--
       (1) by striking ``Sec. 17. (a) All lands'' and inserting 
     the following:

     ``SEC. 17. LEASE OF OIL AND GAS LAND.

       ``(a) Authority.--
       ``(1) In general.--All land''; and
       (2) in subsection (a) (as amended by paragraph (1)), by 
     adding at the end the following:
       ``(2) Minimum acreage requirement for onshore lease 
     sales.--
       ``(A) In general.--In conducting lease sales under this 
     section, each year, the Secretary shall offer for sale not 
     less than 25 percent of the annual nominated acreage not 
     previously made available for lease.
       ``(B) Review.--The offering of acreage offered for lease 
     under this paragraph shall not be subject to review.
       ``(C) Categorical exclusions.--Acreage offered for lease 
     under this paragraph shall be eligible for categorical 
     exclusions under section 390 of the Energy Policy Act of 2005 
     (42 U.S.C. 15942), except that extraordinary circumstances 
     shall not be required for a categorical exclusion under this 
     paragraph.
       ``(D) Leasing.--In carrying out this subsection, the 
     Secretary shall only consider leasing of Federal land that is 
     available for leasing at the time the lease sale occurs.''.

     SEC. 2303. LEASING CERTAINTY AND CONSISTENCY.

       Section 17(a) of the Mineral Leasing Act (30 U.S.C. 226(a)) 
     (as amended by section 2302) is amended by adding at the end 
     the following:
       ``(3) Leasing certainty.--
       ``(A) In general.--The Secretary shall not withdraw 
     approval of any covered energy project involving a lease 
     under this Act without finding a violation of the terms of 
     the lease by the lessee.
       ``(B) Delay.--The Secretary shall not infringe on lease 
     rights under leases issued under this Act by indefinitely 
     delaying issuance of project approvals, drilling and seismic 
     permits, and rights-of-way for activities under a lease.
       ``(C) Availability of nominated areas.--Not later than 18 
     months after an area is designated as open under the 
     applicable land use plan, the Secretary shall make available 
     nominated areas for lease under paragraph (2).
       ``(D) Issuance of leases.--Notwithstanding any other 
     provision of law, the Secretary shall issue all leases sold 
     under this Act not later than 60 days after the last payment 
     is made.
       ``(E) Cancellation or withdrawal of lease parcels.--The 
     Secretary shall not cancel or withdraw any lease parcel after 
     a competitive lease sale has occurred and a winning bidder 
     has submitted the last payment for the parcel.
       ``(F) Appeals.--
       ``(i) In general.--The Secretary shall complete the review 
     of any appeal of a lease sale under this Act not later than 
     60 days after the receipt of the appeal.
       ``(ii) Constructive approval.--If the review of an appeal 
     is not conducted in accordance with clause (i), the appeal 
     shall be considered approved.
       ``(G) Additional stipulations.--The Secretary may not add 
     any additional lease stipulation for a parcel after the 
     parcel is sold unless the Secretary--
       ``(i) consults with the lessee and obtains the approval of 
     the lessee; or
       ``(ii) determines that the stipulation is an emergency 
     action that is necessary to conserve the resources of the 
     United States.
       ``(4) Leasing consistency.--A Federal land manager shall 
     comply with applicable resource management plans and continue 
     to actively lease in areas designated as open when resource 
     management plans are being amended or revised, until a new 
     record of decision is signed.''.

     SEC. 2304. REDUCTION OF REDUNDANT POLICIES.

       Bureau of Land Management Instruction Memorandum 2010-117 
     shall have no force or effect.

                TITLE IV--STREAMLINED ENERGY PERMITTING

     SEC. 2401. SHORT TITLE.

       This title may be cited as the ``Streamlining Permitting of 
     American Energy Act of 2013''.

      Subtitle A--Application for Permits To Drill Process Reform

     SEC. 2411. PERMIT TO DRILL APPLICATION TIMELINE.

       Section 17(p) of the Mineral Leasing Act (30 U.S.C. 226(p)) 
     is amended by striking paragraph (2) and inserting the 
     following:
       ``(2) Applications for permits to drill reform and 
     process.--
       ``(A) In general.--Subject to subparagraph (B), the 
     Secretary shall decide whether to issue a permit to drill not 
     later than 30 days after the date on which the application 
     for the permit is received by the Secretary.
       ``(B) Extensions.--
       ``(i) In general.--The Secretary may extend the period 
     described in subparagraph

[[Page 5221]]

     (A) for up to 2 periods of 15 days each, if the Secretary 
     gives written notice of the delay to the applicant.
       ``(ii) Notice.--The notice shall--

       ``(I) be in the form of a letter from the Secretary or a 
     designee of the Secretary; and
       ``(II) include--

       ``(aa) the names and positions of the persons processing 
     the application;
       ``(bb) the specific reasons for the delay; and
       ``(cc) a specific date on which a final decision on the 
     application is expected.
       ``(C) Notice of reasons for denial.--If the application is 
     denied, the Secretary shall provide the applicant--
       ``(i) a written notice that provides--

       ``(I) clear and comprehensive reasons why the application 
     was not accepted; and
       ``(II) detailed information concerning any deficiencies; 
     and

       ``(ii) an opportunity to remedy any deficiencies.
       ``(D) Application considered approved.--If the Secretary 
     has not made a decision on the application by the end of the 
     60-day period beginning on the date the application for the 
     permit is received by the Secretary, the application shall be 
     considered approved unless applicable reviews under the 
     National Environmental Policy Act of 1969 (42 U.S.C. 4321 et 
     seq.) or the Endangered Species Act of 1973 (16 U.S.C. 1531 
     et seq.) are incomplete.
       ``(E) Denial of permit.--If the Secretary decides not to 
     issue a permit to drill under this paragraph, the Secretary 
     shall--
       ``(i) provide to the applicant a description of the reasons 
     for the denial of the permit;
       ``(ii) allow the applicant to resubmit an application for a 
     permit to drill during the 10-day period beginning on the 
     date the applicant receives the description of the denial 
     from the Secretary; and
       ``(iii) issue or deny any resubmitted application not later 
     than 10 days after the date the application is submitted to 
     the Secretary.
       ``(F) Fee.--
       ``(i) In general.--Subject to clauses (ii) and (iii) and 
     notwithstanding any other provision of law, the Secretary 
     shall collect a single $6,500 permit processing fee per 
     application from each applicant at the time the final 
     decision is made whether to issue a permit under this 
     paragraph.
       ``(ii) Resubmitted applications.--The fee described in 
     clause (i) shall not apply to any resubmitted application.
       ``(iii) Treatment of permit processing fee.--Subject to 
     appropriation, of all fees collected under this paragraph, 50 
     percent shall be transferred to the field office where the 
     fees are collected and used to process leases, permits, and 
     appeals under this Act.''.

     SEC. 2412. SOLAR AND WIND RIGHT-OF-WAY RENTAL REFORM.

       Notwithstanding any other provision of law, each fiscal 
     year, of fees collected as annual wind energy and solar 
     energy right-of-way authorization fees required under section 
     504(g) of the Federal Land Policy and Management Act of 1976 
     (43 U.S.C. 1764(g)), 50 percent shall be retained by the 
     Secretary of the Interior to be used, subject to 
     appropriation--
       (1) by the Bureau of Land Management to process permits, 
     right-of-way applications, and other activities necessary for 
     renewable development; and
       (2) at the option of the Secretary of the Interior, by the 
     United States Fish and Wildlife Service or other Federal 
     agencies involved in wind and solar permitting reviews to 
     facilitate the processing of wind energy and solar energy 
     permit applications on Bureau of Land Management land.

         Subtitle B--Administrative Appeal Documentation Reform

     SEC. 2421. ADMINISTRATIVE APPEAL DOCUMENTATION REFORM.

       Section 17(p) of the Mineral Leasing Act (30 U.S.C. 226(p)) 
     is amended by adding at the end the following:
       ``(4) Appeal fee.--
       ``(A) In general.--The Secretary shall collect a $5,000 
     documentation fee to accompany each appeal of an action on a 
     lease, right-of-way, or application for permit to drill.
       ``(B) Treatment of fees.--Subject to appropriation, of all 
     fees collected under this paragraph, 50 percent shall remain 
     in the field office where the fees are collected and used to 
     process appeals.''.

                    Subtitle C--Permit Streamlining

     SEC. 2431. FEDERAL ENERGY PERMIT COORDINATION.

       (a) Definitions.--In this section:
       (1) Energy projects.--The term ``energy projects'' means 
     oil, coal, natural gas, and renewable energy projects.
       (2) Project.--The term ``Project'' means the Federal Permit 
     Streamlining Project established under subsection (b).
       (3) Secretary.--The term ``Secretary'' means the Secretary 
     of the Interior.
       (b) Establishment.--The Secretary shall establish a Federal 
     Permit Streamlining Project in each Bureau of Land Management 
     field office with responsibility for issuing permits for 
     energy projects on Federal land.
       (c) Memorandum of Understanding.--
       (1) In general.--Not later than 90 days after the date of 
     enactment of this Act, the Secretary shall enter into a 
     memorandum of understanding to carry out this section with--
       (A) the Secretary of Agriculture;
       (B) the Administrator of the Environmental Protection 
     Agency; and
       (C) the Secretary of the Army, acting through the Chief of 
     Engineers.
       (2) State participation.--The Secretary may request the 
     Governor of any State with energy projects on Federal land to 
     be a signatory to the memorandum of understanding.
       (d) Designation of Qualified Staff.--
       (1) In general.--Not later than 30 days after the date of 
     the signing of the memorandum of understanding under 
     subsection (c), all Federal signatory parties shall, if 
     appropriate, assign to each of the Bureau of Land Management 
     field offices an employee who has expertise in the regulatory 
     issues relating to the office in which the employee is 
     employed, including, as applicable, particular expertise in--
       (A) the consultations and the preparation of biological 
     opinions under section 7 of the Endangered Species Act of 
     1973 (16 U.S.C. 1536);
       (B) permits under section 404 of Federal Water Pollution 
     Control Act (33 U.S.C. 1344);
       (C) regulatory matters under the Clean Air Act (42 U.S.C. 
     7401 et seq.);
       (D) planning under the National Forest Management Act of 
     1976 (16 U.S.C. 472a et seq.); and
       (E) the preparation of analyses under the National 
     Environmental Policy Act of 1969 (42 U.S.C. 4321 et seq.).
       (2) Duties.--Each employee assigned under paragraph (1) 
     shall--
       (A) not later than 90 days after the date of assignment, 
     report to the Bureau of Land Management Field Managers in the 
     office to which the employee is assigned;
       (B) be responsible for all issues relating to the energy 
     projects that arise under the authorities of the home office 
     of the employee; and
       (C) participate as part of the team of personnel working on 
     proposed energy projects, planning, and environmental 
     analyses on Federal land.
       (e) Additional Personnel.--The Secretary shall assign to 
     each Bureau of Land Management field office identified under 
     subsection (b) any additional personnel that are necessary to 
     ensure the effective approval and implementation of energy 
     projects administered by the Bureau of Land Management field 
     offices, including inspection and enforcement relating to 
     energy development on Federal land, in accordance with the 
     multiple-use requirements of the Federal Land Policy and 
     Management Act of 1976 (43 U.S.C. 1701 et seq.).
       (f) Funding.--Funding for the additional personnel shall be 
     derived from the Department of the Interior reforms made by 
     sections 2411, 2412, and 2421 and the amendments made by 
     those sections.
       (g) Savings Provision.--Nothing in this section affects--
       (1) the operation of any Federal or State law; or
       (2) any delegation of authority made by the head of a 
     Federal agency whose employees are participating in the 
     Project.

     SEC. 2432. ADMINISTRATION OF CURRENT LAW.

       Notwithstanding any other provision of law, the Secretary 
     of the Interior shall not require a finding of extraordinary 
     circumstances in administering section 390 of the Energy 
     Policy Act of 2005 (42 U.S.C. 15942).

                      Subtitle D--Judicial Review

     SEC. 2441. DEFINITIONS.

       In this title:
       (1) Covered civil action.--The term ``covered civil 
     action'' means a civil action containing a claim under 
     section 702 of title 5, United States Code, regarding agency 
     action (as defined for the purposes of that section) 
     affecting a covered energy project on Federal land.
       (2) Covered energy project.--
       (A) In general.--The term ``covered energy project'' means 
     the leasing of Federal land of the United States for the 
     exploration, development, production, processing, or 
     transmission of oil, natural gas, wind, or any other source 
     of energy, and any action under such a lease.
       (B) Exclusion.--The term ``covered energy project'' does 
     not include any disputes between the parties to a lease 
     regarding the obligations under the lease, including 
     regarding any alleged breach of the lease.

     SEC. 2442. EXCLUSIVE VENUE FOR CERTAIN CIVIL ACTIONS RELATING 
                   TO COVERED ENERGY PROJECTS.

       Venue for any covered civil action shall lie in the United 
     States district court for the district in which the project 
     or leases exist or are proposed.

     SEC. 2443. TIMELY FILING.

       To ensure timely redress by the courts, a covered civil 
     action shall be filed not later than 90 days after the date 
     of the final Federal agency action to which the covered civil 
     action relates.

     SEC. 2444. EXPEDITION IN HEARING AND DETERMINING THE ACTION.

       A court shall endeavor to hear and determine any covered 
     civil action as expeditiously as practicable.

     SEC. 2445. STANDARD OF REVIEW.

       In any judicial review of a covered civil action--
       (1) administrative findings and conclusions relating to the 
     challenged Federal action or decision shall be presumed to be 
     correct; and

[[Page 5222]]

       (2) the presumption may be rebutted only by the 
     preponderance of the evidence contained in the administrative 
     record.

     SEC. 2446. LIMITATION ON INJUNCTION AND PROSPECTIVE RELIEF.

       (a) In General.--In a covered civil action, a court shall 
     not grant or approve any prospective relief unless the court 
     finds that the relief--
       (1) is narrowly drawn;
       (2) extends no further than necessary to correct the 
     violation of a legal requirement; and
       (3) is the least intrusive means necessary to correct the 
     violation.
       (b) Preliminary Injunctions.--
       (1) In general.--A court shall limit the duration of a 
     preliminary injunction to halt a covered energy project to 
     not more than 60 days, unless the court finds clear reasons 
     to extend the injunction.
       (2) Extensions.--Extensions under paragraph (1) shall--
       (A) only be in 30-day increments; and
       (B) require action by the court to renew the injunction.

     SEC. 2447. LIMITATION ON ATTORNEYS' FEES.

       (a) In General.--Sections 504 of title 5 and 2412 of title 
     28, United States Code (commonly known as the ``Equal Access 
     to Justice Act''), shall not apply to a covered civil action.
       (b) Attorney's Fees and Court Costs.--A party in a covered 
     civil action shall not receive payment from the Federal 
     Government for attorney's fees, expenses, or other court 
     costs.

     SEC. 2448. LEGAL STANDING.

       A challenger filing an appeal with the Interior Board of 
     Land Appeals shall meet the same standing requirements as a 
     challenger before a United States district court.

TITLE V--EXPEDITIOUS OIL AND GAS LEASING PROGRAM IN NATIONAL PETROLEUM 
                           RESERVE IN ALASKA

     SEC. 2501. SHORT TITLE.

       This title may be cited as the ``National Petroleum Reserve 
     Alaska Access Act''.

     SEC. 2502. SENSE OF CONGRESS REAFFIRMING NATIONAL POLICY 
                   REGARDING NATIONAL PETROLEUM RESERVE IN ALASKA.

       It is the sense of Congress that--
       (1) the National Petroleum Reserve in the State of Alaska 
     (referred to in this title as the ``Reserve'') remains 
     explicitly designated, both in name and legal status, for 
     purposes of providing oil and natural gas resources to the 
     United States; and
       (2) accordingly, the national policy is to actively advance 
     oil and gas development within the Reserve by facilitating 
     the expeditious exploration, production, and transportation 
     of oil and natural gas from and through the Reserve.

     SEC. 2503. COMPETITIVE LEASING OF OIL AND GAS.

       Section 107 of the Naval Petroleum Reserves Production Act 
     of 1976 (42 U.S.C. 6506a) is amended by striking subsection 
     (a) and inserting the following:
       ``(a) Competitive Leasing.--
       ``(1) In general.--The Secretary shall conduct an 
     expeditious program of competitive leasing of oil and gas in 
     the Reserve in accordance with this Act.
       ``(2) Inclusions.--The program under this subsection shall 
     include at least 1 lease sale annually in each area of the 
     Reserve that is most likely to produce commercial quantities 
     of oil and natural gas for each of calendar years 2013 
     through 2023.''.

     SEC. 2504. PLANNING AND PERMITTING PIPELINE AND ROAD 
                   CONSTRUCTION.

       (a) In General.--Notwithstanding any other provision of 
     law, the Secretary of the Interior, in consultation with the 
     Secretary of Transportation, shall facilitate and ensure 
     permits, in an environmentally responsible manner, for all 
     surface development activities, including for the 
     construction of pipelines and roads, necessary--
       (1) to develop and bring into production any areas within 
     the Reserve that are subject to oil and gas leases; and
       (2) to transport oil and gas from and through the Reserve 
     to existing transportation or processing infrastructure on 
     the North Slope of Alaska.
       (b) Timelines.--The Secretary shall ensure that any Federal 
     permitting agency shall issue permits in accordance with the 
     following timelines:
       (1) Existing leases.--Each permit for construction relating 
     to the transportation of oil and natural gas produced under 
     existing Federal oil and gas leases with respect to which the 
     Secretary of the Interior has issued a permit to drill shall 
     be approved by not later than 60 days after the date of 
     enactment of this Act.
       (2) Requested permits.--Each permit for construction for 
     transportation of oil and natural gas produced under Federal 
     oil and gas leases shall be approved by not later than 180 
     days after the date of submission to the Secretary of a 
     request for a permit to drill.
       (c) Plan.--To ensure timely future development of the 
     Reserve, not later than 270 days after the date of enactment 
     of this Act, the Secretary of the Interior shall submit to 
     Congress a plan for approved rights-of-way for a plan for 
     pipeline, road, and any other surface infrastructure that may 
     be necessary infrastructure to ensure that all leasable 
     tracts in the Reserve are located within 25 miles of an 
     approved road and pipeline right-of-way that can serve future 
     development of the Reserve.

     SEC. 2505. DEPARTMENTAL ACCOUNTABILITY FOR DEVELOPMENT.

       (a) In General.--Not later than 180 days after the date of 
     enactment of this Act, the Secretary of the Interior shall 
     promulgate regulations to establish clear requirements to 
     ensure that the Department of the Interior is supporting 
     development of oil and gas leases in the Reserve.
       (b) Deadlines.--At a minimum, the regulations promulgated 
     pursuant to this section shall--
       (1) require the Secretary of the Interior to respond, 
     acknowledging receipt of any permit application for 
     development, by not later than 5 business days after the date 
     of receipt of the application; and
       (2) establish a timeline for the processing of each such 
     application that--
       (A) specifies deadlines for decisions and actions regarding 
     permit applications; and
       (B) provides that the period for issuing each permit after 
     the date of submission of the application shall not exceed 60 
     days, absent the concurrence of the applicant.
       (c) Actions Required for Failure To Comply With 
     Deadlines.--If the Secretary of the Interior fails to comply 
     with any deadline described in subsection (b) with respect to 
     a permit application, the Secretary shall notify the 
     applicant not less frequently than once every 5 days with 
     specific information regarding--
       (1) the reasons for the permit delay;
       (2) the name of each specific office of the Department of 
     the Interior responsible for--
       (A) issuing the permit; or
       (B) monitoring the permit delay; and
       (3) an estimate of the date on which the permit will be 
     issued.
       (d) Additional Infrastructure.--Not later than 180 days 
     after the date of enactment of this Act, the Secretary of the 
     Interior, after consultation with the State of Alaska and 
     after providing notice and an opportunity for public comment, 
     shall approve right-of-way corridors for the construction of 
     2 separate additional bridges and pipeline rights-of-way to 
     help facilitate timely oil and gas development of the 
     Reserve.

     SEC. 2506. UPDATED RESOURCE ASSESSMENT.

       (a) In General.--The Secretary of the Interior shall 
     complete a comprehensive assessment of all technically 
     recoverable fossil fuel resources within the Reserve, 
     including all conventional and unconventional oil and natural 
     gas.
       (b) Cooperation and Consultation.--The resource assessment 
     under subsection (a) shall be carried out by the United 
     States Geological Survey in cooperation and consultation with 
     the State of Alaska and the American Association of Petroleum 
     Geologists.
       (c) Timing.--The resource assessment under subsection (a) 
     shall be completed by not later than 2 years after the date 
     of enactment of this Act.
       (d) Funding.--In carrying out this section, the United 
     States Geological Survey may cooperatively use resources and 
     funds provided by the State of Alaska.

     SEC. 2507. COLVILLE RIVER DELTA DESIGNATION.

       The designation by the Environmental Protection Agency of 
     the Colville River Delta as an aquatic resource of national 
     importance shall have no force or effect on this title or an 
     amendment made by this title.

        TITLE VI--INTERNET-BASED ONSHORE OIL AND GAS LEASE SALES

     SEC. 2601. SHORT TITLE.

       This title may be cited as the ``BLM Live Internet Auctions 
     Act''.

     SEC. 2602. INTERNET-BASED ONSHORE OIL AND GAS LEASE SALES.

       (a) Authorization.--Section 17(b)(1) of the Mineral Leasing 
     Act (30 U.S.C. 226(b)(1)) is amended--
       (1) in subparagraph (A), in the third sentence, by striking 
     ``Lease sales'' and inserting ``Except as provided in 
     subparagraph (C), lease sales''; and
       (2) by adding at the end the following:
       ``(C) In order to diversify and expand the United States 
     onshore leasing program to ensure the best return to Federal 
     taxpayers, to reduce fraud, and to secure the leasing 
     process, the Secretary may conduct onshore lease sales 
     through Internet-based bidding methods, each of which shall 
     be completed by not later than 7 days after the date of 
     initiation of the sale.''.
       (b) Report.--Not later than 90 days after the tenth 
     Internet-based lease sale conducted pursuant to subparagraph 
     (C) of section 17(b)(1) of the Mineral Leasing Act (30 U.S.C. 
     226(b)(1)) (as added by subsection (a)), the Secretary of the 
     Interior shall conduct, and submit to Congress a report 
     describing the results of, an analysis of the first 10 such 
     lease sales, including--
       (1) estimates of increases or decreases in the lease sales, 
     as compared to sales conducted by oral bidding, in--
       (A) the number of bidders;
       (B) the average amount of the bids;
       (C) the highest amount of the bids; and
       (D) the lowest amount of the bids;
       (2) an estimate on the total cost or savings to the 
     Department of the Interior as a result

[[Page 5223]]

     of the sales, as compared to sales conducted by oral bidding; 
     and
       (3) an evaluation of the demonstrated or expected 
     effectiveness of different structures for lease sales, which 
     may--
       (A) provide an opportunity to better maximize bidder 
     participation;
       (B) ensure the highest return to Federal taxpayers;
       (C) minimize opportunities for fraud or collusion; and
       (D) ensure the security and integrity of the leasing 
     process.

             TITLE VII--ADVANCING OFFSHORE WIND PRODUCTION

     SEC. 2701. SHORT TITLE.

       This title may be cited at the ``Advancing Offshore Wind 
     Production Act''.

     SEC. 2702. OFFSHORE METEOROLOGICAL SITE TESTING AND 
                   MONITORING PROJECTS.

       (a) Definition of Offshore Meteorological Site Testing and 
     Monitoring Project.--In this section, the term ``offshore 
     meteorological site testing and monitoring project'' means a 
     project carried out on or in the waters of the outer 
     Continental Shelf (as defined in section 2 of the Outer 
     Continental Shelf Lands Act (43 U.S.C. 1331)) and 
     administered by the Department of the Interior to test or 
     monitor weather (including energy provided by weather, such 
     as wind, tidal, current, and solar energy) using towers, 
     buoys, or other temporary ocean infrastructure, that--
       (1) causes--
       (A) less than 1 acre of surface or seafloor disruption at 
     the location of each meteorological tower or other device; 
     and
       (B) not more than 5 acres of surface or seafloor disruption 
     within the proposed area affected by the project (including 
     hazards to navigation);
       (2) is decommissioned not more than 5 years after the date 
     of commencement of the project, including--
       (A) removal of towers, buoys, or other temporary ocean 
     infrastructure from the project site; and
       (B) restoration of the project site to approximately the 
     original condition of the site; and
       (3) provides meteorological information obtained by the 
     project to the Secretary of the Interior.
       (b) Offshore Meteorological Project Permitting.--
       (1) In general.--The Secretary of the Interior shall 
     require, by regulation, that any applicant seeking to conduct 
     an offshore meteorological site testing and monitoring 
     project shall obtain a permit and right-of-way for the 
     project in accordance with this subsection.
       (2) Permit and right-of-way timeline and conditions.--
       (A) Deadline for approval.--The Secretary shall decide 
     whether to issue a permit and right-of-way for an offshore 
     meteorological site testing and monitoring project by not 
     later than 30 days after the date of receipt of a relevant 
     application.
       (B) Public comment and consultation.--During the 30-day 
     period referred to in subparagraph (A) with respect to an 
     application for a permit and right-of-way under this 
     subsection, the Secretary shall--
       (i) provide an opportunity for submission of comments 
     regarding the application by the public; and
       (ii) consult with the Secretary of Defense, the Commandant 
     of the Coast Guard, and the heads of other Federal, State, 
     and local agencies that would be affected by the issuance of 
     the permit and right-of-way.
       (C) Denial of permit; opportunity to remedy deficiencies.--
     If an application is denied under this subsection, the 
     Secretary shall provide to the applicant--
       (i) in writing--

       (I) a list of clear and comprehensive reasons why the 
     application was denied; and
       (II) detailed information concerning any deficiencies in 
     the application; and

       (ii) an opportunity to remedy those deficiencies.
       (c) NEPA Exclusion.--Section 102(2)(C) of the National 
     Environmental Policy Act of 1969 (42 U.S.C. 4332(2)(C)) shall 
     not apply with respect to an offshore meteorological site 
     testing and monitoring project.
       (d) Protection of Information.--Any information provided to 
     the Secretary of the Interior under subsection (a)(3) shall 
     be--
       (1) treated by the Secretary as proprietary information; 
     and
       (2) protected against disclosure.

                     TITLE VIII--CRITICAL MINERALS

     SEC. 2801. DEFINITIONS.

       In this title:
       (1) Applicable committees.--The term ``applicable 
     committees'' means--
       (A) the Committee on Energy and Natural Resources of the 
     Senate;
       (B) the Committee on Natural Resources of the House of 
     Representatives;
       (C) the Committee on Energy and Commerce of the House of 
     Representatives; and
       (D) the Committee on Science, Space, and Technology of the 
     House of Representatives.
       (2) Clean energy technology.--The term ``clean energy 
     technology'' means a technology related to the production, 
     use, transmission, storage, control, or conservation of 
     energy that--
       (A) reduces the need for additional energy supplies by 
     using existing energy supplies with greater efficiency or by 
     transmitting, distributing, storing, or transporting energy 
     with greater effectiveness in or through the infrastructure 
     of the United States;
       (B) diversifies the sources of energy supply of the United 
     States to strengthen energy security and to increase supplies 
     with a favorable balance of environmental effects if the 
     entire technology system is considered; or
       (C) contributes to a stabilization of atmospheric 
     greenhouse gas concentrations through reduction, avoidance, 
     or sequestration of energy-related greenhouse gas emissions.
       (3) Critical mineral.--
       (A) In general.--The term ``critical mineral'' means any 
     mineral designated as a critical mineral pursuant to section 
     2802.
       (B) Exclusions.--The term ``critical mineral'' does not 
     include coal, oil, natural gas, or any other fossil fuels.
       (4) Critical mineral manufacturing.--The term ``critical 
     mineral manufacturing'' means--
       (A) the production, processing, refining, alloying, 
     separation, concentration, magnetic sintering, melting, or 
     beneficiation of critical minerals within the United States;
       (B) the fabrication, assembly, or production, within the 
     United States, of clean energy technologies (including 
     technologies related to wind, solar, and geothermal energy, 
     efficient lighting, electrical superconducting materials, 
     permanent magnet motors, batteries, and other energy storage 
     devices), military equipment, and consumer electronics, or 
     components necessary for applications; or
       (C) any other value-added, manufacturing-related use of 
     critical minerals undertaken within the United States.
       (5) Indian tribe.--The term ``Indian tribe'' has the 
     meaning given the term in section 4 of the Indian Self-
     Determination and Education Assistance Act (25 U.S.C. 450b).
       (6) Military equipment.--The term ``military equipment'' 
     means equipment used directly by the Armed Forces to carry 
     out military operations.
       (7) Rare earth element.--
       (A) In general.--The term ``rare earth element'' means the 
     chemical elements in the periodic table from lanthanum 
     (atomic number 57) up to and including lutetium (atomic 
     number 71).
       (B) Inclusions.--The term ``rare earth element'' includes 
     the similar chemical elements yttrium (atomic number 39) and 
     scandium (atomic number 21).
       (8) Secretary.--The term ``Secretary'' means the Secretary 
     of the Interior--
       (A) acting through the Director of the United States 
     Geological Survey; and
       (B) in consultation with (as appropriate)--
       (i) the Secretary of Energy;
       (ii) the Secretary of Defense;
       (iii) the Secretary of Commerce;
       (iv) the Secretary of State;
       (v) the Secretary of Agriculture;
       (vi) the United States Trade Representative; and
       (vii) the heads of other applicable Federal agencies.
       (9) State.--The term ``State'' means--
       (A) a State;
       (B) the Commonwealth of Puerto Rico; and
       (C) any other territory or possession of the United States.
       (10) Value-added.--The term ``value-added'' means, with 
     respect to an activity, an activity that changes the form, 
     fit, or function of a product, service, raw material, or 
     physical good so that the resultant market price is greater 
     than the cost of making the changes.
       (11) Working group.--The term ``Working Group'' means the 
     Critical Minerals Working Group established under section 
     2805(a).

     SEC. 2802. DESIGNATIONS.

       (a) Draft Methodology.--Not later than 30 days after the 
     date of enactment of this Act, the Secretary shall publish in 
     the Federal Register for public comment a draft methodology 
     for determining which minerals qualify as critical minerals 
     based on an assessment of whether the minerals are--
       (1) subject to potential supply restrictions (including 
     restrictions associated with foreign political risk, abrupt 
     demand growth, military conflict, and anti-competitive or 
     protectionist behaviors); and
       (2) important in use (including clean energy technology-, 
     defense-, agriculture-, and health care-related 
     applications).
       (b) Availability of Data.--If available data is 
     insufficient to provide a quantitative basis for the 
     methodology developed under this section, qualitative 
     evidence may be used.
       (c) Final Methodology.--After reviewing public comments on 
     the draft methodology under subsection (a) and updating the 
     draft methodology as appropriate, the Secretary shall enter 
     into an arrangement with the National Academy of Sciences and 
     the National Academy of Engineering to obtain, not later than 
     120 days after the date of enactment of this Act--
       (1) a review of the methodology; and
       (2) recommendations for improving the methodology.
       (d) Final Methodology.--After reviewing the recommendations 
     under subsection (c), not later than 150 days after the date 
     of enactment of this Act, the Secretary shall publish in the 
     Federal Register a description of

[[Page 5224]]

     the final methodology for determining which minerals qualify 
     as critical minerals.
       (e) Designations.--Not later than 180 days after the date 
     of enactment of this Act, the Secretary shall publish in the 
     Federal Register a list of minerals designated as critical, 
     pursuant to the final methodology under subsection (d), for 
     purposes of carrying out this title.
       (f) Subsequent Review.--The methodology and designations 
     developed under subsections (d) and (e) shall be updated at 
     least every 5 years, or in more regular intervals if 
     considered appropriate by the Secretary.
       (g) Notice.--On finalization of the methodology under 
     subsection (d), the list under subsection (e), or any update 
     to the list under subsection (f), the Secretary shall submit 
     to the applicable committees written notice of the action.

     SEC. 2803. POLICY.

       (a) Policy.--It is the policy of the United States to 
     promote an adequate, reliable, domestic, and stable supply of 
     critical minerals, produced in an environmentally responsible 
     manner, in order to strengthen and sustain the economic 
     security, and the manufacturing, industrial, energy, 
     technological, and competitive stature, of the United States.
       (b) Coordination.--The President, acting through the 
     Executive Office of the President, shall coordinate the 
     actions of Federal agencies under this and other Acts--
       (1) to encourage Federal agencies to facilitate the 
     availability, development, and environmentally responsible 
     production of domestic resources to meet national critical 
     minerals needs;
       (2) to minimize duplication, needless paperwork, and delays 
     in the administration of applicable laws (including 
     regulations) and the issuance of permits and authorizations 
     necessary to explore for, develop, and produce critical 
     minerals and to construct and operate critical mineral 
     manufacturing facilities in an environmentally responsible 
     manner;
       (3) to promote the development of economically stable and 
     environmentally responsible domestic critical mineral 
     production and manufacturing;
       (4) to establish an analytical and forecasting capability 
     for identifying critical mineral demand, supply, and other 
     market dynamics relevant to policy formulation so that 
     informed actions may be taken to avoid supply shortages, 
     mitigate price volatility, and prepare for demand growth and 
     other market shifts;
       (5) to strengthen educational and research capabilities and 
     workforce training;
       (6) to bolster international cooperation through technology 
     transfer, information sharing, and other means;
       (7) to promote the efficient production, use, and recycling 
     of critical minerals;
       (8) to develop alternatives to critical minerals; and
       (9) to establish contingencies for the production of, or 
     access to, critical minerals for which viable sources do not 
     exist within the United States.

     SEC. 2804. RESOURCE ASSESSMENT.

       (a) In General.--Not later than 4 years after the date of 
     enactment of this Act, in consultation with applicable State 
     (including geological surveys), local, academic, industry, 
     and other entities, the Secretary shall complete a 
     comprehensive national assessment of each critical mineral 
     that--
       (1) identifies and quantifies known critical mineral 
     resources, using all available public and private information 
     and datasets, including exploration histories;
       (2) estimates the cost of production of the critical 
     mineral resources identified and quantified under this 
     section, using all available public and private information 
     and datasets, including exploration histories;
       (3) provides a quantitative and qualitative assessment of 
     undiscovered critical mineral resources throughout the United 
     States, including probability estimates of tonnage and grade, 
     using all available public and private information and 
     datasets, including exploration histories;
       (4) provides qualitative information on the environmental 
     attributes of the critical mineral resources identified under 
     this section; and
       (5) pays particular attention to the identification and 
     quantification of critical mineral resources on Federal land 
     that is open to location and entry for exploration, 
     development, and other uses.
       (b) Field Work.--If existing information and datasets prove 
     insufficient to complete the assessment under this section 
     and there is no reasonable opportunity to obtain the 
     information and datasets from nongovernmental entities, the 
     Secretary may carry out field work (including drilling, 
     remote sensing, geophysical surveys, geological mapping, and 
     geochemical sampling and analysis) to supplement existing 
     information and datasets available for determining the 
     existence of critical minerals on--
       (1) Federal land that is open to location and entry for 
     exploration, development, and other uses;
       (2) tribal land, at the request and with the written 
     permission of the Indian tribe with jurisdiction over the 
     land; and
       (3) State land, at the request and with the written 
     permission of the Governor of the State.
       (c) Technical Assistance.--At the request of the Governor 
     of a State or an Indian tribe, the Secretary may provide 
     technical assistance to State governments and Indian tribes 
     conducting critical mineral resource assessments on non-
     Federal land.
       (d) Financial Assistance.--The Secretary may make grants to 
     State governments, or Indian tribes and economic development 
     entities of Indian tribes, to cover the costs associated with 
     assessments of critical mineral resources on State or tribal 
     land, as applicable.
       (e) Report.--Not later than 4 years after the date of 
     enactment of this Act, the Secretary shall submit to the 
     applicable committees a report describing the results of the 
     assessment conducted under this section.
       (f) Prioritization.--
       (1) In general.--The Secretary may sequence the completion 
     of resource assessments for each critical mineral such that 
     critical materials considered to be most critical under the 
     methodology established pursuant to section 2802 are 
     completed first.
       (2) Reporting.--If the Secretary sequences the completion 
     of resource assessments for each critical material, the 
     Secretary shall submit a report under subsection (e) on an 
     iterative basis over the 4-year period beginning on the date 
     of enactment of this Act.
       (g) Updates.--The Secretary shall periodically update the 
     assessment conducted under this section based on--
       (1) the generation of new information or datasets by the 
     Federal Government; or
       (2) the receipt of new information or datasets from 
     critical mineral producers, State geological surveys, 
     academic institutions, trade associations, or other entities 
     or individuals.

     SEC. 2805. PERMITTING.

       (a) Critical Minerals Working Group.--
       (1) In general.--There is established within the Department 
     of the Interior a working group to be known as the ``Critical 
     Minerals Working Group'', which shall report to the President 
     and the applicable committees through the Secretary.
       (2) Composition.--The Working Group shall be composed of 
     the following:
       (A) The Secretary of the Interior (or a designee), who 
     shall serve as chair of the Working Group.
       (B) A Presidential designee from the Executive Office of 
     the President, who shall serve as vice-chair of the Working 
     Group.
       (C) The Secretary of Energy (or a designee).
       (D) The Secretary of Agriculture (or a designee).
       (E) The Secretary of Defense (or a designee).
       (F) The Secretary of Commerce (or a designee).
       (G) The Secretary of State (or a designee).
       (H) The United States Trade Representative (or a designee).
       (I) The Administrator of the Environmental Protection 
     Agency (or a designee).
       (J) The Chief of Engineers of the Corps of Engineers (or a 
     designee).
       (b) Consultation.--The Working Group shall operate in 
     consultation with private sector, academic, and other 
     applicable stakeholders with experience related to--
       (1) critical minerals exploration;
       (2) critical minerals permitting;
       (3) critical minerals production; and
       (4) critical minerals manufacturing.
       (c) Duties.--The Working Group shall--
       (1) facilitate Federal agency efforts to optimize 
     efficiencies associated with the permitting of activities 
     that will increase exploration and development of domestic 
     critical minerals, while maintaining environmental standards;
       (2) facilitate Federal agency review of laws (including 
     regulations) and policies that discourage investment in 
     exploration and development of domestic critical minerals;
       (3) assess whether Federal policies adversely impact the 
     global competitiveness of the domestic critical minerals 
     exploration and development sector (including taxes, fees, 
     regulatory burdens, and access restrictions);
       (4) evaluate the sufficiency of existing mechanisms for the 
     provision of tenure on Federal land and the role of the 
     mechanisms in attracting capital investment for the 
     exploration and development of domestic critical minerals; 
     and
       (5) generate such other information and take such other 
     actions as the Working Group considers appropriate to achieve 
     the policy described in section 2803(a).
       (d) Report.--Not later than 300 days after the date of 
     enactment of this Act, the Working Group shall submit to the 
     applicable committees a report that--
       (1) describes the results of actions taken under subsection 
     (c);
       (2) evaluates the amount of time typically required 
     (including the range derived from minimum and maximum 
     durations, mean, median, variance, and other statistical 
     measures or representations) to complete each step (including 
     those aspects outside the control of the executive branch of 
     the Federal Government, such as judicial review, applicant 
     decisions, or State and local government involvement) 
     associated with the processing of applications, operating 
     plans, leases, licenses, permits, and other use 
     authorizations for critical mineral-related activities on 
     Federal land, which shall serve as

[[Page 5225]]

     a baseline for the performance metric developed and finalized 
     under subsections (e) and (f), respectively;
       (3) identifies measures (including regulatory changes and 
     legislative proposals) that would optimize efficiencies, 
     while maintaining environmental standards, associated with 
     the permitting of activities that will increase exploration 
     and development of domestic critical minerals; and
       (4) identifies options (including cost recovery paid by 
     applicants) for ensuring adequate staffing of divisions, 
     field offices, or other entities responsible for the 
     consideration of applications, operating plans, leases, 
     licenses, permits, and other use authorizations for critical 
     mineral-related activities on Federal land.
       (e) Draft Performance Metric.--Not later than 330 days 
     after the date of enactment of this Act, and on completion of 
     the report required under subsection (d), the Working Group 
     shall publish in the Federal Register for public comment a 
     draft description of a performance metric for evaluating the 
     progress made by the executive branch of the Federal 
     Government on matters within the control of that branch 
     towards optimizing efficiencies, while maintaining 
     environmental standards, associated with the permitting of 
     activities that will increase exploration and development of 
     domestic critical minerals.
       (f) Final Performance Metric.--Not later than 1 year after 
     the date of enactment of this Act, and after consideration of 
     any public comments received under subsection (e), the 
     Working Group shall publish in the Federal Register a 
     description of the final performance metric.
       (g) Annual Report.--Not later than 2 years after the date 
     of enactment of this Act and annually thereafter, using the 
     final performance metric under subsection (f), the Working 
     Group shall submit to the applicable committees, as part of 
     the budget request of the Department of the Interior for each 
     fiscal year, each report that--
       (1) describes the progress made by the executive branch of 
     the Federal Government on matters within the control of that 
     branch towards optimizing efficiencies, while maintaining 
     environmental standards, associated with the permitting of 
     activities that will increase exploration and development of 
     domestic critical minerals; and
       (2) compares the United States to other countries in terms 
     of permitting efficiency, environmental standards, and other 
     criteria relevant to a globally competitive economic sector.
       (h) Report of Small Business Administration.--Not later 
     than 300 days after the date of enactment of this Act, the 
     Administrator of the Small Business Administration shall 
     submit to the applicable committees a report that assesses 
     the performance of Federal agencies in--
       (1) complying with chapter 6 of title 5, United States Code 
     (commonly known as the ``Regulatory Flexibility Act''), in 
     promulgating regulations applicable to the critical minerals 
     industry; and
       (2) performing an analysis of regulations applicable to the 
     critical minerals industry that may be outmoded, inefficient, 
     duplicative, or excessively burdensome.
       (i) Judicial Review.--
       (1) In general.--Nothing in this section affects any 
     judicial review of an agency action under any other provision 
     of law.
       (2) Construction.--This section--
       (A) is intended to improve the internal management of the 
     Federal Government; and
       (B) does not create any right or benefit, substantive or 
     procedural, enforceable at law or equity by a party against 
     the United States (including an agency, instrumentality, 
     officer, or employee) or any other person.

     SEC. 2806. RECYCLING AND ALTERNATIVES.

       (a) Establishment.--The Secretary of Energy shall conduct a 
     program of research and development to promote the efficient 
     production, use, and recycling of, and alternatives to, 
     critical minerals.
       (b) Cooperation.--In carrying out the program, the 
     Secretary of Energy shall cooperate with appropriate--
       (1) Federal agencies and National Laboratories;
       (2) critical mineral producers;
       (3) critical mineral manufacturers;
       (4) trade associations;
       (5) academic institutions;
       (6) small businesses; and
       (7) other relevant entities or individuals.
       (c) Activities.--Under the program, the Secretary of Energy 
     shall carry out activities that include the identification 
     and development of--
       (1) advanced critical mineral production or processing 
     technologies that decrease the environmental impact, and 
     costs of production, of such activities;
       (2) techniques and practices that minimize or lead to more 
     efficient use of critical minerals;
       (3) techniques and practices that facilitate the recycling 
     of critical minerals, including options for improving the 
     rates of collection of post-consumer products containing 
     critical minerals;
       (4) commercial markets, advanced storage methods, energy 
     applications, and other beneficial uses of critical minerals 
     processing byproducts; and
       (5) alternative minerals, metals, and materials, 
     particularly those available in abundance within the United 
     States and not subject to potential supply restrictions, that 
     lessen the need for critical minerals.
       (d) Report.--Not later than 2 years after the date of 
     enactment of this Act and every 5 years thereafter, the 
     Secretaries shall submit to the applicable committees a 
     report summarizing the activities, findings, and progress of 
     the program.

     SEC. 2807. ANALYSIS AND FORECASTING.

       (a) Capabilities.--In order to evaluate existing critical 
     mineral policies and inform future actions that may be taken 
     to avoid supply shortages, mitigate price volatility, and 
     prepare for demand growth and other market shifts, the 
     Secretary, in consultation with academic institutions, the 
     Energy Information Administration, and others in order to 
     maximize the application of existing competencies related to 
     developing and maintaining computer-models and similar 
     analytical tools, shall conduct and publish the results of an 
     annual report that includes--
       (1) as part of the annually published Mineral Commodity 
     Summaries from the United States Geological Survey, a 
     comprehensive review of critical mineral production, 
     consumption, and recycling patterns, including--
       (A) the quantity of each critical mineral domestically 
     produced during the preceding year;
       (B) the quantity of each critical mineral domestically 
     consumed during the preceding year;
       (C) market price data for each critical mineral;
       (D) an assessment of--
       (i) critical mineral requirements to meet the national 
     security, energy, economic, industrial, technological, and 
     other needs of the United States during the preceding year;
       (ii) the reliance of the United States on foreign sources 
     to meet those needs during the preceding year; and
       (iii) the implications of any supply shortages, 
     restrictions, or disruptions during the preceding year;
       (E) the quantity of each critical mineral domestically 
     recycled during the preceding year;
       (F) the market penetration during the preceding year of 
     alternatives to each critical mineral;
       (G) a discussion of applicable international trends 
     associated with the discovery, production, consumption, use, 
     costs of production, prices, and recycling of each critical 
     mineral as well as the development of alternatives to 
     critical minerals; and
       (H) such other data, analyses, and evaluations as the 
     Secretary finds are necessary to achieve the purposes of this 
     section; and
       (2) a comprehensive forecast, entitled the ``Annual 
     Critical Minerals Outlook'', of projected critical mineral 
     production, consumption, and recycling patterns, including--
       (A) the quantity of each critical mineral projected to be 
     domestically produced over the subsequent 1-year, 5-year, and 
     10-year periods;
       (B) the quantity of each critical mineral projected to be 
     domestically consumed over the subsequent 1-year, 5-year, and 
     10-year periods;
       (C) market price projections for each critical mineral, to 
     the maximum extent practicable and based on the best 
     available information;
       (D) an assessment of--
       (i) critical mineral requirements to meet projected 
     national security, energy, economic, industrial, 
     technological, and other needs of the United States;
       (ii) the projected reliance of the United States on foreign 
     sources to meet those needs; and
       (iii) the projected implications of potential supply 
     shortages, restrictions, or disruptions;
       (E) the quantity of each critical mineral projected to be 
     domestically recycled over the subsequent 1-year, 5-year, and 
     10-year periods;
       (F) the market penetration of alternatives to each critical 
     mineral projected to take place over the subsequent 1-year, 
     5-year, and 10-year periods;
       (G) a discussion of reasonably foreseeable international 
     trends associated with the discovery, production, 
     consumption, use, costs of production, prices, and recycling 
     of each critical mineral as well as the development of 
     alternatives to critical minerals; and
       (H) such other projections relating to each critical 
     mineral as the Secretary determines to be necessary to 
     achieve the purposes of this section.
       (b) Proprietary Information.--In preparing a report 
     described in subsection (a), the Secretary shall ensure 
     that--
       (1) no person uses the information and data collected for 
     the report for a purpose other than the development of or 
     reporting of aggregate data in a manner such that the 
     identity of the person who supplied the information is not 
     discernible and is not material to the intended uses of the 
     information;
       (2) no person discloses any information or data collected 
     for the report unless the information or data has been 
     transformed into a statistical or aggregate form that does 
     not

[[Page 5226]]

     allow the identification of the person who supplied 
     particular information; and
       (3) procedures are established to require the withholding 
     of any information or data collected for the report if the 
     Secretary determines that withholding is necessary to protect 
     proprietary information, including any trade secrets or other 
     confidential information.

     SEC. 2808. EDUCATION AND WORKFORCE.

       (a) Workforce Assessment.--Not later than 300 days after 
     the date of enactment of this Act, the Secretary of Labor (in 
     consultation with the Secretary of the Interior, the Director 
     of the National Science Foundation, and employers in the 
     critical minerals sector) shall submit to Congress an 
     assessment of the domestic availability of technically 
     trained personnel necessary for critical mineral assessment, 
     production, manufacturing, recycling, analysis, forecasting, 
     education, and research, including an analysis of--
       (1) skills that are in the shortest supply as of the date 
     of the assessment;
       (2) skills that are projected to be in short supply in the 
     future;
       (3) the demographics of the critical minerals industry and 
     how the demographics will evolve under the influence of 
     factors such as an aging workforce;
       (4) the effectiveness of training and education programs in 
     addressing skills shortages;
       (5) opportunities to hire locally for new and existing 
     critical mineral activities;
       (6) the sufficiency of personnel within relevant areas of 
     the Federal Government for achieving the policy described in 
     section 2803(a); and
       (7) the potential need for new training programs to have a 
     measurable effect on the supply of trained workers in the 
     critical minerals industry.
       (b) Curriculum Study.--
       (1) In general.--The Secretary and the Secretary of Labor 
     shall jointly enter into an arrangement with the National 
     Academy of Sciences and the National Academy of Engineering 
     under which the Academies shall coordinate with the National 
     Science Foundation on conducting a study--
       (A) to design an interdisciplinary program on critical 
     minerals that will support the critical mineral supply chain 
     and improve the ability of the United States to increase 
     domestic, critical mineral exploration, development, and 
     manufacturing;
       (B) to address undergraduate and graduate education, 
     especially to assist in the development of graduate level 
     programs of research and instruction that lead to advanced 
     degrees with an emphasis on the critical mineral supply chain 
     or other positions that will increase domestic, critical 
     mineral exploration, development, and manufacturing;
       (C) to develop guidelines for proposals from institutions 
     of higher education with substantial capabilities in the 
     required disciplines to improve the critical mineral supply 
     chain and advance the capacity of the United States to 
     increase domestic, critical mineral exploration, development, 
     and manufacturing; and
       (D) to outline criteria for evaluating performance and 
     recommendations for the amount of funding that will be 
     necessary to establish and carry out the grant program 
     described in subsection (c).
       (2) Report.--Not later than 2 years after the date of 
     enactment of this Act, the Secretary shall submit to Congress 
     a description of the results of the study required under 
     paragraph (1).
       (c) Grant Program.--
       (1) Establishment.--The Secretary and the National Science 
     Foundation shall jointly conduct a competitive grant program 
     under which institutions of higher education may apply for 
     and receive 4-year grants for--
       (A) startup costs for newly designated faculty positions in 
     integrated critical mineral education, research, innovation, 
     training, and workforce development programs consistent with 
     subsection (b);
       (B) internships, scholarships, and fellowships for students 
     enrolled in critical mineral programs; and
       (C) equipment necessary for integrated critical mineral 
     innovation, training, and workforce development programs.
       (2) Renewal.--A grant under this subsection shall be 
     renewable for up to 2 additional 3-year terms based on 
     performance criteria outlined under subsection (b)(1)(D).

     SEC. 2809. INTERNATIONAL COOPERATION.

       (a) Establishment.--The Secretary of State, in coordination 
     with the Secretary, shall carry out a program to promote 
     international cooperation on critical mineral supply chain 
     issues with allies of the United States.
       (b) Activities.--Under the program, the Secretary of State 
     may work with allies of the United States--
       (1) to increase the global, responsible production of 
     critical minerals, if a determination is made by the 
     Secretary of State that there is no viable production 
     capacity for the critical minerals within the United States;
       (2) to improve the efficiency and environmental performance 
     of extraction techniques;
       (3) to increase the recycling of, and deployment of 
     alternatives to, critical minerals;
       (4) to assist in the development and transfer of critical 
     mineral extraction, processing, and manufacturing 
     technologies that would have a beneficial impact on world 
     commodity markets and the environment;
       (5) to strengthen and maintain intellectual property 
     protections; and
       (6) to facilitate the collection of information necessary 
     for analyses and forecasts conducted pursuant to section 
     2807.

     SEC. 2810. REPEAL, AUTHORIZATION, AND OFFSET.

       (a) Repeal.--
       (1) In general.--The National Critical Materials Act of 
     1984 (30 U.S.C. 1801 et seq.) is repealed.
       (2) Conforming amendment.--Section 3(d) of the National 
     Superconductivity and Competitiveness Act of 1988 (15 U.S.C. 
     5202(d)) is amended in the first sentence by striking ``, 
     with the assistance of the National Critical Materials 
     Council as specified in the National Critical Materials Act 
     of 1984 (30 U.S.C. 1801 et seq.),''.
       (b) Authorization of Appropriations.--There is authorized 
     to be appropriated to carry out this title and the amendments 
     made by this title $30,000,000.
       (c) Authorization Offset.--Section 207(c) of the Energy 
     Independence and Security Act of 2007 (42 U.S.C. 17022(c)) is 
     amended by inserting before the period at the end the 
     following: ``, except that the amount authorized to be 
     appropriated to carry out this section not appropriated as of 
     the date of enactment of the Domestic Energy and Jobs Act 
     shall be reduced by $30,000,000''.

                        TITLE IX--MISCELLANEOUS

     SEC. 2901. LIMITATION ON TRANSFER OF FUNCTIONS UNDER THE 
                   SOLID MINERALS LEASING PROGRAM.

       The Secretary of the Interior may not transfer to the 
     Office of Surface Mining Reclamation and Enforcement any 
     responsibility or authority to perform any function performed 
     on the day before the date of enactment of this Act under the 
     solid minerals leasing program of the Department of the 
     Interior, including--
       (1) any function under--
       (A) sections 2318 through 2352 of the Revised Statutes 
     (commonly known as the ``Mining Law of 1872'') (30 U.S.C. 21 
     et seq.);
       (B) the Act of July 31, 1947 (commonly known as the 
     ``Materials Act of 1947'') (30 U.S.C. 601 et seq.);
       (C) the Mineral Leasing Act (30 U.S.C. 181 et seq.); or
       (D) the Mineral Leasing Act for Acquired Lands (30 U.S.C. 
     351 et seq.);
       (2) any function relating to management of mineral 
     development on Federal land and acquired land under section 
     302 of the Federal Land Policy and Management Act of 1976 (43 
     U.S.C. 1732); and
       (3) any function performed under the mining law 
     administration program of the Bureau of Land Management.

     SEC. 2902. AMOUNT OF DISTRIBUTED QUALIFIED OUTER CONTINENTAL 
                   SHELF REVENUES.

       Section 105(f)(1) of the Gulf of Mexico Energy Security Act 
     of 2006 (43 U.S.C. 1331 note; Public Law 109-432) is amended 
     by striking ``2055'' and inserting ``2025, and shall not 
     exceed $750,000,000 for each of fiscal years 2026 through 
     2055''.

     SEC. 2903. LEASE SALE 220 AND OTHER LEASE SALES OFF THE COAST 
                   OF VIRGINIA.

       (a) Inclusion in Leasing Programs.--The Secretary of the 
     Interior shall--
       (1) as soon as practicable after, but not later than 10 
     days after, the date of enactment of this Act, revise the 
     proposed outer Continental Shelf oil and gas leasing program 
     for the 2012-2017 period to include in the program Lease Sale 
     220 off the coast of Virginia; and
       (2) include the outer Continental Shelf off the coast of 
     Virginia in the leasing program for each 5-year period after 
     the 2012-2017 period.
       (b) Conduct of Lease Sale.--As soon as practicable, but not 
     later than 1 year, after the date of enactment of this Act, 
     the Secretary of the Interior shall carry out under section 8 
     of the Outer Continental Shelf Lands Act (43 U.S.C. 1337) 
     Lease Sale 220.
       (c) Balancing Military and Energy Production Goals.--
       (1) Joint goals.--In recognition that the outer Continental 
     Shelf oil and gas leasing program and the domestic energy 
     resources produced under that program are integral to 
     national security, the Secretary of the Interior and the 
     Secretary of Defense shall work jointly in implementing this 
     section--
       (A) to preserve the ability of the Armed Forces to maintain 
     an optimum state of readiness through their continued use of 
     energy resources of the outer Continental Shelf; and
       (B) to allow effective exploration, development, and 
     production of the oil, gas, and renewable energy resources of 
     the United States.
       (2) Prohibition on conflicts with military operations.--No 
     person may engage in any exploration, development, or 
     production of oil or natural gas off the coast of Virginia 
     that would conflict with any military operation, as 
     determined in accordance with--
       (A) the agreement entitled ``Memorandum of Agreement 
     between the Department of Defense and the Department of the 
     Interior on Mutual Concerns on the Outer Continental Shelf'' 
     signed July 20, 1983; and

[[Page 5227]]

       (B) any revision to, or replacement of, the agreement 
     described in subparagraph (A) that is agreed to by the 
     Secretary of Defense and the Secretary of the Interior after 
     July 20, 1983, but before the date of issuance of the lease 
     under which the exploration, development, or production is 
     conducted.
       (3) National defense areas.--The United States reserves the 
     right to designate by and through the Secretary of Defense, 
     with the approval of the President, national defense areas on 
     the outer Continental Shelf under section 12(d) of the Outer 
     Continental Shelf Lands Act (43 U.S.C. 1341(d)).

     SEC. 2904. LIMITATION ON AUTHORITY TO ISSUE REGULATIONS 
                   MODIFYING THE STREAM ZONE BUFFER RULE.

       The Secretary of the Interior may not, before December 31, 
     2013, issue a regulation modifying the final rule entitled 
     ``Excess Spoil, Coal Mine Waste, and Buffers for Perennial 
     and Intermittent Streams'' (73 Fed. Reg. 75814 (December 12, 
     2008)).
                                 ______
                                 
  SA 2895. Mr. THUNE submitted an amendment intended to be proposed by 
him to the bill H.R. 3979, to amend the Internal Revenue Code of 1986 
to ensure that emergency services volunteers are not taken into account 
as employees under the shared responsibility requirements contained in 
the Patient Protection and Affordable Care Act; which was ordered to 
lie on the table; as follows:

       At the end of the amendment, add the following:

     SEC. __. CONGRESSIONAL APPROVAL OF EPA REGULATIONS WITH HIGH 
                   COMPLIANCE COSTS.

       Notwithstanding any other provision of law, if the cost of 
     compliance with a regulation of the Administrator of the 
     Environmental Protection Agency exceeds $50,000,000 per year, 
     the regulation shall not take effect unless Congress enacts a 
     law that approves the regulation.
                                 ______
                                 
  SA 2896. Mr. THUNE submitted an amendment intended to be proposed by 
him to the bill H.R. 3979, to amend the Internal Revenue Code of 1986 
to ensure that emergency services volunteers are not taken into account 
as employees under the shared responsibility requirements contained in 
the Patient Protection and Affordable Care Act; which was ordered to 
lie on the table; as follows:

       At the appropriate place, insert the following:

     SEC. ___. STUDY OF REGULATIONS THAT LIMIT GREENHOUSE GAS 
                   EMISSIONS FROM NEW AND EXISTING POWER PLANTS.

       (a) In General.--Not later than 180 days after the date of 
     enactment of this Act, the Comptroller General of the United 
     States shall conduct a study on the effect that regulations 
     limiting greenhouse gas emissions from new and existing power 
     plants would have on jobs and energy prices.
       (b) Determination.--If, based on the study conducted under 
     subsection (a), the Secretary of Energy determines that the 
     regulations described in that subsection would directly or 
     indirectly destroy jobs or raise energy prices, the 
     Administrator of the Environmental Protection Agency shall 
     not finalize the regulations.
                                 ______
                                 
  SA 2897. Mr. THUNE submitted an amendment intended to be proposed to 
amendment SA 2874 proposed by Mr. Reid (for Mr. Reed (for himself, Mr. 
Heller, Mr. Merkley, Ms. Collins, Mr. Booker, Mr. Portman, Mr. Brown, 
Ms. Murkowski, Mr. Durbin, and Mr. Kirk)) to the bill H.R. 3979, to 
amend the Internal Revenue Code of 1986 to ensure that emergency 
services volunteers are not taken into account as employees under the 
shared responsibility requirements contained in the Patient Protection 
and Affordable Care Act; which was ordered to lie on the table; as 
follows:

       On page 2 of the amendment, strike line 1 and all that 
     follows through page 3, line 2, and insert the following:

     SEC. 2. EXTENSION 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 ``September 1, 2014''.
       (b) 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 amendment made by section 2(a) of the Emergency 
     Unemployment Compensation Extension Act of 2014;''.
       (c) Effective Date.--The amendments made by this section 
     shall apply to weeks of unemployment beginning on or after 
     the date of the enactment of this Act.
                                 ______
                                 
  SA 2898. Mr. THUNE submitted an amendment intended to be proposed by 
him to the bill H.R. 3979, to amend the Internal Revenue Code of 1986 
to ensure that emergency services volunteers are not taken into account 
as employees under the shared responsibility requirements contained in 
the Patient Protection and Affordable Care Act; which was ordered to 
lie on the table; as follows:

       At the end, add the following:

     SEC. __. PERMISSIBLE USES OF UNEMPLOYMENT FUND MONEYS FOR 
                   PROGRAM INTEGRITY PURPOSES.

       (a) Withdrawal Standard in the Internal Revenue Code.--
     Section 3304(a)(4) of the Internal Revenue Code of 1986 is 
     amended--
       (1) in subparagraph (F), by striking ``and'' at the end; 
     and
       (2) by inserting after subparagraph (G) the following new 
     subparagraphs:
       ``(H) of those payments of benefits from a State's 
     unemployment fund that are determined to have been made in 
     error and are subsequently recovered by the State, the State 
     may, immediately following receipt of such recovered amount, 
     deposit a percent of such recovered amount, as specified in 
     State law (but not to exceed 5 percent), in a fund from which 
     moneys may be withdrawn for--
       ``(i) the payment of costs of deterring, detecting, and 
     collecting erroneous payments to individuals;
       ``(ii) purposes relating to the misclassification of 
     employees as independent contractors, implementation of 
     provisions of State law implementing section 303(k) of the 
     Social Security Act, or other provisions of State law 
     relating to employer fraud or evasion of contributions; or
       ``(iii) payment to the Secretary of the Treasury to the 
     credit of the State's account in the Unemployment Trust Fund; 
     and
       ``(I) of those payments of contributions (or payments in 
     lieu of contributions) that are collected as a result of an 
     investigation and assessment by the State agency, the State 
     may, immediately following receipt of such payments, deposit 
     a percentage of such payments, as specified in State law (but 
     not to exceed 5 percent), in a fund (which may be the same 
     fund described in subparagraph (H)) from which moneys may be 
     withdrawn for the purposes described in clauses (i) through 
     (iii) of subparagraph (H);''.
       (b) Definition of Unemployment Fund.--Section 3306(f) of 
     the Internal Revenue Code of 1986 is amended by striking all 
     that follows ``(exclusive of expenses of administration)'' 
     and inserting ``, except as otherwise provided in section 
     3304(a)(4) of the Social Security Act or any other provision 
     of Federal law.''.
       (c) Withdrawal Standard in Social Security Act.--Section 
     303(a)(5) of the Social Security Act (42 U.S.C. 503(a)(5)) is 
     amended by striking all that follows ``payment of 
     unemployment compensation, exclusive of expenses of 
     administration,'' and inserting ``except as otherwise 
     provided in this section, section 3304(a)(4) of the Internal 
     Revenue Code of 1986, or any other provision of Federal law; 
     and''.
       (d) Immediate Deposit Requirements.--
       (1) Internal revenue code requirement.--Paragraph (3) of 
     section 3304(a) of the Internal Revenue Code of 1986 is 
     amended to read as follows:
       ``(3) all money received in the unemployment fund of the 
     State shall immediately upon such receipt be paid over to the 
     Secretary of the Treasury to the credit of the Unemployment 
     Trust Fund established by section 904 of the Social Security 
     Act (42 U.S.C. 1104), except for--
       ``(A) refunds of sums erroneously paid into the 
     unemployment fund of the State;
       ``(B) refunds paid in accordance with the provisions of 
     section 3305(b); and
       ``(C) amounts deposited in a State fund pursuant to 
     subparagraph (H) or (I) of paragraph (4);''.
       (2) Social security act requirement.--Section 303(a)(4) of 
     the Social Security Act (42 U.S.C. 503(a)(4)) is amended by 
     striking ``(except for refunds'' and all that follows through 
     ``Federal Unemployment Tax Act'' and inserting ``(except as 
     otherwise provided in this section, section 3304(a)(3) of the 
     Internal Revenue Code of 1986, or any other provision of 
     Federal law)''.
       (e) Application to Federal Payments.--
       (1) In general.--As a condition for administering any 
     unemployment compensation program of the United States (as 
     defined in paragraph (2)) as an agent of the United States, a 
     State shall, with respect to erroneous payments made under 
     such programs by the State, use the authority provided under 
     subparagraph (H) of section 3304(a)(4) of the Internal 
     Revenue Code of 1986, as added by subsection (a), in the same 
     manner as such authority is used with respect to erroneous 
     payments made under the State unemployment compensation law. 
     With respect to erroneous Federal payments recovered 
     consistent with the authority under such subparagraph (H), 
     the State shall immediately deposit the same percentage of 
     the recovered payments into the same State fund as provided 
     in the State law implementing such section 3304(a)(4).
       (2) Definition.--For purposes of this subsection, the term 
     ``unemployment compensation program of the United States'' 
     means--

[[Page 5228]]

       (A) unemployment compensation for Federal civilian 
     employees under subchapter I of chapter 85 of title 5, United 
     States Code;
       (B) unemployment compensation for ex-servicemembers under 
     subchapter II of chapter 85 of title 5, United States Code;
       (C) trade readjustment allowances under sections 231 
     through 234 of the Trade Act of 1974 (19 U.S.C. 2291-2294);
       (D) disaster unemployment assistance under section 410(a) 
     of the Robert T. Stafford Disaster Relief and Emergency 
     Assistance Act (42 U.S.C. 5177(a));
       (E) any Federal temporary extension of unemployment 
     compensation;
       (F) any Federal program which increases the weekly amount 
     of unemployment compensation payable to individuals; and
       (G) any other Federal program providing for the payment of 
     unemployment compensation.

     SEC. __. DELAY IN APPLICATION OF INDIVIDUAL HEALTH INSURANCE 
                   MANDATE.

       (a) In General.--Section 5000A(a) of the Internal Revenue 
     Code of 1986 is amended by striking ``2013'' and inserting 
     ``2014''.
       (b) Conforming Amendments.--
       (1) Section 5000A(c)(2)(B) of the Internal Revenue Code of 
     1986 is amended--
       (A) by striking ``2014'' in clause (i) and inserting 
     ``2015'', and
       (B) by striking ``2015'' in clauses (ii) and (iii) and 
     inserting ``2016''.
       (2) Section 5000A(c)(3)(B) of such Code is amended--
       (A) by striking ``2014'' and inserting ``2015'', and
       (B) by striking ``2015.'' (prior to amendment by 
     subparagraph (A)) and inserting ``2016.''.
       (3) Section 5000A(c)(3)(D) of such Code is amended--
       (A) by striking ``2016'' and inserting ``2017'', and
       (B) by striking ``2015'' and inserting ``2016''.
       (4) Section 5000A(e)(1)(D) of such Code is amended--
       (A) by striking ``2014'' and inserting ``2015'', and
       (B) by striking ``2013'' and inserting ``2014''.
       (c) Effective Date.--The amendments made by this section 
     shall take effect as if included in section 1501 of the 
     Patient Protection and Affordable Care Act.
                                 ______
                                 
  SA 2899. Mr. THUNE submitted an amendment intended to be proposed by 
him to the bill H.R. 3979, to amend the Internal Revenue Code of 1986 
to ensure that emergency services volunteers are not taken into account 
as employees under the shared responsibility requirements contained in 
the Patient Protection and Affordable Care Act; which was ordered to 
lie on the table; as follows:

       At the end, add the following:

     SEC. __. LONG-TERM UNEMPLOYED INDIVIDUALS NOT TAKEN INTO 
                   ACCOUNT FOR EMPLOYER HEALTH CARE COVERAGE 
                   MANDATE.

       (a) In General.--Paragraph (4) of section 4980H(c) of the 
     Internal Revenue Code of 1986 is amended by adding at the end 
     the following new subparagraph:
       ``(C) Exception for long-term unemployed individuals.--
       ``(i) In general.--The term `full-time employee' shall not 
     include any individual who is a long-term unemployed 
     individual with respect to such employer.
       ``(ii) Long-term unemployed individual.--For purposes of 
     this subparagraph, the term `long-term unemployed individual' 
     means, with respect to any employer, an individual who--

       ``(I) begins employment with such employer after the date 
     of the enactment of this subparagraph, and
       ``(II) has been unemployed for 27 weeks or longer, as 
     determined by the Secretary of Labor, immediately before the 
     date such employment begins.''.

       (b) Effective Date.--The amendment made by this section 
     shall apply to months beginning after December 31, 2013.
                                 ______
                                 
  SA 2900. Mr. COATS (for himself, Ms. Ayotte, Mr. Toomey, and Mr. 
Corker) submitted an amendment intended to be proposed to amendment SA 
2874 proposed by Mr. Reid (for Mr. Reed (for himself, Mr. Heller, Mr. 
Merkley, Ms. Collins, Mr. Booker, Mr. Portman, Mr. Brown, Ms. 
Murkowski, Mr. Durbin, and Mr. Kirk)) to the bill H.R. 3979, to amend 
the Internal Revenue Code of 1986 to ensure that emergency services 
volunteers are not taken into account as employees under the shared 
responsibility requirements contained in the Patient Protection and 
Affordable Care Act; which was ordered to lie on the table; as follows:

       On page 9 of the amendment, strike line 21 and all that 
     follows through page 10, line 20, and insert the following:

     SEC. 8. REQUIREMENT THAT INDIVIDUALS RECEIVING EMERGENCY 
                   UNEMPLOYMENT COMPENSATION BE ACTIVELY ENGAGED 
                   IN A SYSTEMATIC AND SUSTAINED EFFORT TO OBTAIN 
                   SUITABLE WORK.

       (a) In General.--Subsection (h) of section 4001 of the 
     Supplemental Appropriations Act, 2008 (Public Law 110-252; 26 
     U.S.C. 3304 note) is amended to read as follows:
       ``(h) Actively Seeking Work.--
       ``(1) In general.--For purposes of subsection (b)(4), 
     payment of emergency unemployment compensation shall not be 
     made to any individual for any week of unemployment--
       ``(A) during which the individual fails to accept any offer 
     of suitable work (as defined in paragraph (3)) or fails to 
     apply for any suitable work to which the individual was 
     referred by the State agency; or
       ``(B) during which the individual fails to actively engage 
     in seeking work, unless such individual is not actively 
     engaged in seeking work because such individual is, as 
     determined in accordance with State law--
       ``(i) before any court of the United States or any State 
     pursuant to a lawfully issued summons to appear for jury duty 
     (as such term may be defined by the Secretary); or
       ``(ii) hospitalized for treatment of an emergency or a 
     life-threatening condition (as such term may be defined by 
     the Secretary),

     if such exemptions in clauses (i) and (ii) apply to 
     recipients of regular benefits, and the State chooses to 
     apply such exemptions for recipients of emergency 
     unemployment benefits.
       ``(2) Period of ineligibility.--If any individual is 
     ineligible for emergency unemployment compensation for any 
     week by reason of a failure described in subparagraph (A) or 
     (B) of paragraph (1), the individual shall be ineligible to 
     receive emergency unemployment compensation for any week 
     which begins during a period which--
       ``(A) begins with the week following the week in which such 
     failure occurs; and
       ``(B) does not end until such individual has been employed 
     during at least 4 weeks which begin after such failure and 
     the total of the remuneration earned by the individual for 
     being so employed is not less than the product of 4 
     multiplied by the individual's average weekly benefit amount 
     for the individual's benefit year.
       ``(3) Suitable work.--For purposes of this subsection, the 
     term `suitable work' means, with respect to any individual, 
     any work which is within such individual's capabilities, 
     except that, if the individual furnishes evidence 
     satisfactory to the State agency that such individual's 
     prospects for obtaining work in his customary occupation 
     within a reasonably short period are good, the determination 
     of whether any work is suitable work with respect to such 
     individual shall be made in accordance with the applicable 
     State law.
       ``(4) Exception.--Extended compensation shall not be denied 
     under subparagraph (A) of paragraph (1) to any individual for 
     any week by reason of a failure to accept an offer of, or 
     apply for, suitable work--
       ``(A) if the gross average weekly remuneration payable to 
     such individual for the position does not exceed the sum of--
       ``(i) the individual's average weekly benefit amount for 
     his benefit year, plus
       ``(ii) the amount (if any) of supplemental unemployment 
     compensation benefits (as defined in section 501(c)(17)(D) of 
     the Internal Revenue Code of 1986) payable to such individual 
     for such week;
       ``(B) if the position was not offered to such individual in 
     writing and was not listed with the State employment service;
       ``(C) if such failure would not result in a denial of 
     compensation under the provisions of the applicable State law 
     to the extent that such provisions are not inconsistent with 
     the provisions of paragraphs (3) and (5); or
       ``(D) if the position pays wages less than the higher of--
       ``(i) the minimum wage provided by section 6(a)(1) of the 
     Fair Labor Standards Act of 1938, without regard to any 
     exemption; or
       ``(ii) any applicable State or local minimum wage.
       ``(5) Actively engaged in seeking work.--For purposes of 
     this subsection, an individual shall be treated as actively 
     engaged in seeking work during any week if--
       ``(A) the individual has engaged in a systematic and 
     sustained effort to obtain work during such week, and
       ``(B) the individual provides tangible evidence to the 
     State agency that he has engaged in such an effort during 
     such week.
       ``(6) Referral.--The State agency shall provide for 
     referring applicants for emergency unemployment benefits to 
     any suitable work to which paragraph (4) would not apply.''.
       (b) Effective Date.--The amendments made by this section 
     shall take effect on the date of the enactment of this Act.
                                 ______
                                 
  SA 2901. Mr. INHOFE (for himself, Mr. McConnell, Mr. Cornyn, Mr. 
Thune, Mr. Barrasso, Mr. Blunt, Mr. Vitter, Mr. Crapo, Mr. Chambliss, 
Mr. Coats, Mr. Coburn, Mr. Cruz, Mr. Flake, Mr. Isakson, Mr. Johnson of 
Wisconsin, Mr. Moran, Mr. Risch, Mr. Scott, Mr. Shelby, Mr. Enzi, Mr. 
Cochran, Mr. Lee, Mr. Johanns, Mr. Roberts, Mr. Wicker, Mr. Boozman, 
Mr. Burr, Mr. Graham, and Mr.

[[Page 5229]]

Hoeven) submitted an amendment intended to be proposed to amendment SA 
2874 proposed by Mr. Reid (for Mr. Reed (for himself, Mr. Heller, Mr. 
Merkley, Ms. Collins, Mr. Booker, Mr. Portman, Mr. Brown, Ms. 
Murkowski, Mr. Durbin, and Mr. Kirk)) to the bill H.R. 3979, to amend 
the Internal Revenue Code of 1986 to ensure that emergency services 
volunteers are not taken into account as employees under the shared 
responsibility requirements contained in the Patient Protection and 
Affordable Care Act; which was ordered to lie on the table; as follows:

       At the end of the amendment, add the following:

     SEC. ___. ANALYSIS OF EMPLOYMENT EFFECTS UNDER THE CLEAN AIR 
                   ACT.

       (a) Findings.--Congress finds that--
       (1) the Environmental Protection Agency has systematically 
     distorted the true impact of regulations promulgated by the 
     Environmental Protection Agency under the Clean Air Act (42 
     U.S.C. 7401 et seq.) on job creation by using incomplete 
     analyses to assess effects on employment, primarily as a 
     result of the Environmental Protection Agency failing to take 
     into account the cascading effects of a regulatory change 
     across interconnected industries and markets nationwide;
       (2) despite the Environmental Protection Agency finding 
     that the impact of certain air pollution regulations will 
     result in net job creation, implementation of the air 
     pollution regulations will actually require billions of 
     dollars in compliance costs, resulting in reduced business 
     profits and millions of actual job losses;
       (3)(A) the analysis of the Environmental Protection Agency 
     of the final rule of the Agency entitled ``National Emission 
     Standards for Hazardous Air Pollutants From Coal- and Oil-
     Fired Electric Utility Steam Generating Units and Standards 
     of Performance for Fossil-Fuel-Fired Electric Utility, 
     Industrial-Commercial-Institutional, and Small Industrial-
     Commercial-Institutional Steam Generating Units'' (77 Fed. 
     Reg. 9304 (Feb. 16, 2012)) estimated that implementation of 
     the final rule would result in the creation of 46,000 
     temporary construction jobs and 8,000 net new permanent jobs; 
     but
       (B) a private study conducted by NERA Economic Consulting, 
     using a ``whole economy'' model, estimated that 
     implementation of the final rule described in subparagraph 
     (A) would result in a negative impact on the income of 
     workers in an amount equivalent to 180,000 to 215,000 lost 
     jobs in 2015 and 50,000 to 85,000 lost jobs each year 
     thereafter;
       (4)(A) the analysis of the Environmental Protection Agency 
     of the final rule of the Agency entitled ``Federal 
     Implementation Plans: Interstate Transport of Fine 
     Particulate Matter and Ozone and Correction of SIP 
     Approvals'' (76 Fed. Reg. 48208 (Aug. 8, 2011)) estimated 
     that implementation of the final rule would result in the 
     creation of 700 jobs per year; but
       (B) a private study conducted by NERA Economic Consulting 
     estimated that implementation of the final rule described in 
     subparagraph (A) would result in the elimination of a total 
     of 34,000 jobs during the period beginning in calendar year 
     2013 and ending in calendar year 2037;
       (5)(A) the analysis of the Environmental Protection Agency 
     of the final rules of the Agency entitled ``National Emission 
     Standards for Hazardous Air Pollutants for Major Sources: 
     Industrial, Commercial, and Institutional Boilers and Process 
     Heaters''(76 Fed. Reg. 15608 (March 21, 2011)) and ``National 
     Emission Standards for Hazardous Air Pollutants for Area 
     Sources: Industrial, Commercial, and Institutional Boilers'' 
     (76 Fed. Reg. 15554 (March 21, 2011)) estimated that 
     implementation of the final rules would result in the 
     creation of 2,200 jobs per year; but
       (B) a private study conducted by NERA Economic Consulting 
     estimated that implementation of the final rules described in 
     subparagraph (A) would result in the elimination of 28,000 
     jobs per year during the period beginning in calendar year 
     2013 and ending in calendar year 2037;
       (6) implementation of certain air pollution rules of the 
     Environmental Protection Agency that have not been reviewed, 
     updated, or finalized as of the date of enactment of this 
     Act, such as regulations on greenhouse gas emissions and the 
     update or review of national ambient air quality standards, 
     are predicted to result in significant and negative 
     employment impacts, but the Agency has not yet fully studied 
     or disclosed the full impacts of existing Agency regulations;
       (7) in reviewing, developing, or updating any regulations 
     promulgated under the Clean Air Act (42 U.S.C. 7401 et seq.) 
     after the date of enactment of this Act, the Environmental 
     Protection Agency must be required to accurately disclose the 
     adverse impact the existing regulations of the Agency will 
     have on jobs and employment levels across the economy in the 
     United States and disclose those impacts to the American 
     people before issuing a final rule; and
       (8) although since 1977, section 321(a) of the Clean Air 
     Act (42 U.S.C. 7621(a)) has required the Administrator of the 
     Environmental Protection Agency to ``conduct continuing 
     evaluations of potential loss or shifts of employment which 
     may result from the administration or enforcement of the 
     provision of [the Clean Air Act] and applicable 
     implementation plans, including where appropriate, 
     investigating threatened plant closures or reductions in 
     employment allegedly resulting from such administration or 
     enforcement'', the Environmental Protection Agency has failed 
     to undertake that analysis or conduct a comprehensive study 
     that considers the impact of programs carried out under the 
     Clean Air Act (42 U.S.C. 7401 et seq.) on jobs and changes in 
     employment.
       (b) Prohibition.--The Administrator of the Environmental 
     Protection Agency shall not propose or finalize any major 
     rule (as defined in section 804 of title 5, United States 
     Code) under the Clean Air Act (42 U.S.C. 7401 et seq.) until 
     after the date on which the Administrator--
       (1) completes an economy-wide analysis capturing the costs 
     and cascading effects across industry sectors and markets in 
     the United States of the implementation of major rules 
     promulgated under the Clean Air Act (42 U.S.C. 7401 et seq.); 
     and
       (2) establishes a process to update that analysis not less 
     frequently than semiannually, so as to provide for the 
     continuing evaluation of potential loss or shifts in 
     employment, pursuant to section 321(a) of the Clean Air Act 
     (42 U.S.C. 7621(a)), that may result from the implementation 
     of major rules under the Clean Air Act (42 U.S.C. 7401 et 
     seq.).
                                 ______
                                 
  SA 2902. Mr. HATCH submitted an amendment intended to be proposed by 
him to the bill H.R. 3979, to amend the Internal Revenue Code of 1986 
to ensure that emergency services volunteers are not taken into account 
as employees under the shared responsibility requirements contained in 
the Patient Protection and Affordable Care Act; which was ordered to 
lie on the table; as follows:

       At the appropriate place, insert the following:

     SEC. ___. WORK ACTIVITY REQUIREMENT.

       (a) In General.--Section 4001 of the Supplemental 
     Appropriations Act, 2008 (Public Law 110-252; 26 U.S.C. 3304 
     note) is amended--
       (1) in subsection (b)--
       (A) in paragraph (3), by striking ``and'' at the end;
       (B) in paragraph (4), by striking the period at the end and 
     inserting ``; and''; and
       (C) by adding at the end the following new paragraph:
       ``(5) have satisfied the requirements under subsection (k) 
     with respect to such week.''; and
       (2) by adding at the end the following new subsection:
       ``(k) Work Activities and General Educational Development 
     Classes.--
       ``(1) In general.--Subject to paragraph (3), as a condition 
     of continuing eligibility for emergency unemployment 
     compensation for any week, an individual shall--
       ``(A) in the case of an individual who certifies that they 
     are the primary care giver for a child that has not attained 
     1 year of age, be exempt from any requirements under this 
     subsection;
       ``(B) in the case of an individual who certifies that they 
     are the primary care giver for a child that has attained 1 
     year of age but not attained 6 years of age, complete not 
     less than 20 hours of any activities described in paragraph 
     (2)(A);
       ``(C) in the case of a head of household (as defined in 
     section 2(b) of the Internal Revenue Code of 1986) who is not 
     described in subparagraphs (A) or (B), complete not less than 
     30 hours of any activities described in paragraph (2)(A); or
       ``(D) in the case of any individual not described in 
     subparagraphs (A), (B), or (C), complete not less than 40 
     hours of any activities described in paragraph (2)(A).
       ``(2) Work activities.--
       ``(A) In general.--The activities described in this 
     paragraph shall consist of the following:
       ``(i) Actively seeking work (as described in subsection 
     (h)(1)).
       ``(ii) Reemployment services and in-person reemployment and 
     eligibility assessment activities (as described in subsection 
     (i)(2)).
       ``(iii) Work activities described in section 407(d) of the 
     Social Security Act, as administered by the State agency 
     responsible for administration and supervision the program 
     referred to in section 402(a)(1) of such Act.
       ``(iv) In the case of an individual described in 
     subparagraph (B), attending classes described in such 
     subparagraph.
       ``(B) General educational development.--In the case of an 
     individual who has not attained 30 years of age and has not 
     obtained a secondary school diploma or its recognized 
     equivalent, such individual, as a condition of continuing 
     eligibility for emergency unemployment compensation for any 
     week, shall enroll in a program of study that leads to the 
     recognized equivalent of a secondary school diploma, and, 
     subsequent to enrollment, shall attend classes connected to 
     such program.
       ``(3) Exception.--The requirements under this subsection 
     shall not apply to an individual if the State agency 
     responsible for the

[[Page 5230]]

     administration of State unemployment compensation law 
     determines that there is justifiable cause for failure to 
     participate or to complete participating in the activities 
     described in paragraph (2)(A), as determined in accordance 
     with guidance to be issued by the Secretary.''.
       (b) Effective Date.--The amendment made by this section 
     shall apply to benefits for weeks beginning after the date of 
     the enactment of this Act.
                                 ______
                                 
  SA 2903. Mr. HATCH submitted an amendment intended to be proposed by 
him to the bill H.R. 3979, to amend the Internal Revenue Code of 1986 
to ensure that emergency services volunteers are not taken into account 
as employees under the shared responsibility requirements contained in 
the Patient Protection and Affordable Care Act; which was ordered to 
lie on the table; as follows:

       At the appropriate place, insert the following:

     SEC. ___. STATE CERTIFICATION REGARDING RETROACTIVE PAYMENT 
                   OF EMERGENCY UNEMPLOYMENT COMPENSATION.

       (a) In General.--Section 4001 of the Supplemental 
     Appropriations Act, 2008 (Public Law 110-252; 26 U.S.C. 3304 
     note) is amended by adding at the end the following new 
     subsection:
       ``(k) Certification Regarding Retroactive Payments.--An 
     agreement under this section shall not apply (or shall cease 
     to apply) with respect to a State if, not later than 30 days 
     after the date of the enactment of the Emergency Unemployment 
     Compensation Extension Act of 2014, the State fails to 
     certify to the Secretary that retroactive payment of 
     emergency unemployment compensation pursuant to such Act will 
     not result in increased levels of fraud or overpayment with 
     respect to such State.''.
       (b) Effective Date.--The amendment made by this section 
     shall apply to benefits paid for weeks beginning after the 
     date of the enactment of this Act.
                                 ______
                                 
  SA 2904. Mr. HATCH submitted an amendment intended to be proposed to 
amendment SA 2874 proposed by Mr. Reid (for Mr. Reed (for himself, Mr. 
Heller, Mr. Merkley, Ms. Collins, Mr. Booker, Mr. Portman, Mr. Brown, 
Ms. Murkowski, Mr. Durbin, and Mr. Kirk)) to the bill H.R. 3979, to 
amend the Internal Revenue Code of 1986 to ensure that emergency 
services volunteers are not taken into account as employees under the 
shared responsibility requirements contained in the Patient Protection 
and Affordable Care Act; which was ordered to lie on the table; as 
follows:

       On page 2 of the amendment, strike line 20 and all that 
     follows through page 3, line 2, and insert the following: 
     ``this section shall apply to weeks of unemployment beginning 
     on or after the date of the enactment of this Act.''.
                                 ______
                                 
  SA 2905. Mr. HATCH submitted an amendment intended to be proposed by 
him to the bill H.R. 3979, to amend the Internal Revenue Code of 1986 
to ensure that emergency services volunteers are not taken into account 
as employees under the shared responsibility requirements contained in 
the Patient Protection and Affordable Care Act; which was ordered to 
lie on the table; as follows:

       At the end, add the following:

     SEC. __. PROTECT JOB CREATION.

       Sections 1513 and 1514 and subsections (e), (f), and (g) of 
     section 10106 of the Patient Protection and Affordable Care 
     Act (and the amendments made by such sections and 
     subsections) are repealed and the Internal Revenue Code of 
     1986 shall be applied and administered as if such provisions 
     and amendments had never been enacted.
                                 ______
                                 
  SA 2906. Mr. HATCH submitted an amendment intended to be proposed by 
him to the bill H.R. 3979, to amend the Internal Revenue Code of 1986 
to ensure that emergency services volunteers are not taken into account 
as employees under the shared responsibility requirements contained in 
the Patient Protection and Affordable Care Act; which was ordered to 
lie on the table; as follows:

       At the end, add the following:

     SEC. __. REPEAL OF MEDICAL DEVICE EXCISE TAX.

       (a) In General.--Chapter 32 of the Internal Revenue Code of 
     1986 is amended by striking subchapter E.
       (b) Conforming Amendments.--
       (1) Subsection (a) of section 4221 of such Code is amended 
     by striking the last sentence.
       (2) Paragraph (2) of section 6416(b) of such Code is 
     amended by striking the last sentence.
       (c) Clerical Amendment.--The table of subchapter for 
     chapter 32 of such Code is amended by striking the item 
     related to subchapter E.
       (d) Effective Date.--The amendments made by this section 
     shall apply to sales after December 31, 2012.
                                 ______
                                 
  SA 2907. Mr. BLUNT (for himself, Mr. McConnell, and Mr. Inhofe) 
submitted an amendment intended to be proposed by him to the bill H.R. 
3979, to amend the Internal Revenue Code of 1986 to ensure that 
emergency services volunteers are not taken into account as employees 
under the shared responsibility requirements contained in the Patient 
Protection and Affordable Care Act; which was ordered to lie on the 
table; as follows:

       At the end, add the following:

     SEC. __. EMPLOYEES WITH HEALTH COVERAGE UNDER TRICARE OR THE 
                   VETERANS ADMINISTRATION MAY BE EXEMPTED FROM 
                   EMPLOYER MANDATE UNDER PATIENT PROTECTION AND 
                   AFFORDABLE CARE ACT.

       (a) In General.--Section 4980H(c)(2) of the Internal 
     Revenue Code is amended by adding at the end the following:
       ``(F) Exemption for health coverage under tricare or the 
     veterans administration.--Solely for purposes of determining 
     whether an employer is an applicable large employer under 
     this paragraph for any month, an employer may elect not to 
     take into account for a month as an employee any individual 
     who, for such month, has medical coverage under--
       ``(i) chapter 55 of title 10, United States Code, including 
     coverage under the TRICARE program, or
       ``(ii) under a health care program under chapter 17 or 18 
     of title 38, United States Code, as determined by the 
     Secretary of Veterans Affairs, in coordination with the 
     Secretary of Health and Human Services and the Secretary.''.
       (b) Effective Date.--The amendment made by subsection (a) 
     shall apply to months beginning after December 31, 2013.
                                 ______
                                 
  SA 2908. Mr. COBURN (for himself, Mr. Flake, Mr. King, and Mr. 
Manchin) submitted an amendment intended to be proposed by him to the 
bill H.R. 3979, to amend the Internal Revenue Code of 1986 to ensure 
that emergency services volunteers are not taken into account as 
employees under the shared responsibility requirements contained in the 
Patient Protection and Affordable Care Act; which was ordered to lie on 
the table; as follows:

       At the end, add the following:

     SEC. __. PROHIBITION ON PAYMENT OF 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:


 ``prohibition on payment of benefits based on receipt of unemployment 
                              compensation

       ``Sec. 224A.  (a) If for any month prior to the month in 
     which an individual attains retirement age (as defined in 
     section 216(l)(1))--
       ``(1) such individual is entitled to benefits under section 
     223, and
       ``(2) 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 subsections (b) through 
     (h) of section 202 for such month based on the individual's 
     wages and self-employment income shall be reduced to zero.
       ``(b)(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 under this section 
     for reduction of 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.
       ``(3) Any determination by the Commissioner pursuant to 
     this section shall be subject to the requirements described 
     in section 205(b)(1), including provision of reasonable 
     notice and opportunity for a hearing.
       ``(c) 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.''.
       (b) Effective Date.--The amendment made by subsection (a) 
     shall apply to benefits payable for months beginning after 
     180 days after the date of enactment of this Act.
                                 ______
                                 
  SA 2909. Mr. COBURN submitted an amendment intended to be proposed by 
him to the bill H.R. 3979, to amend the Internal Revenue Code of 1986 
to ensure that emergency services volunteers are not taken into account 
as employees

[[Page 5231]]

under the shared responsibility requirements contained in the Patient 
Protection and Affordable Care Act; which was ordered to lie on the 
table; as follows:

       At the end, add the following:

     SEC. __. PROHIBITING FEDERAL PAYMENTS TO STATES FOR 
                   UNEMPLOYMENT COMPENSATION ADMINISTRATION WITH 
                   RESPECT TO COSTS FOR OFFICE FURNISHINGS AND 
                   MURALS, PORTRAITS, AND OTHER ARTWORK.

       (a) In General.--Section 302 of the Social Security Act (42 
     U.S.C. 501) is amended by adding at the end the following new 
     subsection:
       ``(d) No portion of the cost of office furnishings or 
     murals, portraits, or other artwork shall be treated as being 
     a cost for the proper and efficient administration of the 
     State unemployment compensation law.''.
       (b) Effective Date.--The amendment made by subsection (a) 
     shall apply to costs incurred on or after the date of the 
     enactment of this Act.
                                 ______
                                 
  SA 2910. Mr. McCONNELL (for himself and Mr. Paul) submitted an 
amendment intended to be proposed by him to the bill H.R. 3979, to 
amend the Internal Revenue Code of 1986 to ensure that emergency 
services volunteers are not taken into account as employees under the 
shared responsibility requirements contained in the Patient Protection 
and Affordable Care Act; which was ordered to lie on the table; as 
follows:

       At the end, add the following:

     SEC. __. NATIONAL RIGHT TO WORK.

       (a) Amendments to the National Labor Relations Act.--
       (1) Rights of employees.--Section 7 of the National Labor 
     Relations Act (29 U.S.C. 157) is amended by striking ``except 
     to'' and all that follows through ``authorized in section 
     8(a)(3)''.
       (2) Unfair labor practices.--Section 8 of the National 
     Labor Relations Act (29 U.S.C. 158) is amended--
       (A) in subsection (a)(3), by striking ``:Provided, That'' 
     and all that follows through ``retaining membership'';
       (B) in subsection (b)--
       (i) in paragraph (2), by striking ``or to discriminate'' 
     and all that follows through ``retaining membership''; and
       (ii) in paragraph (5), by striking ``covered by an 
     agreement authorized under subsection (a)(3) of this 
     section''; and
       (C) in subsection (f), by striking clause (2) and 
     redesignating clauses (3) and (4) as clauses (2) and (3), 
     respectively.
       (b) Amendment to the Railway Labor Act.--Section 2 of the 
     Railway Labor Act (45 U.S.C. 152) is amended by striking 
     paragraph Eleven.
       (c) Effective Date.--This section, and the amendments made 
     by this section, shall take effect on the date of enactment 
     of this Act.
                                 ______
                                 
  SA 2911. Mr. MORAN (for himself and Mr. Warner) submitted an 
amendment intended to be proposed to amendment SA 2874 proposed by Mr. 
Reid (for Mr. Reed (for himself, Mr. Heller, Mr. Merkley, Ms. Collins, 
Mr. Booker, Mr. Portman, Mr. Brown, Ms. Murkowski, Mr. Durbin, and Mr. 
Kirk)) to the bill H.R. 3979, to amend the Internal Revenue Code of 
1986 to ensure that emergency services volunteers are not taken into 
account as employees under the shared responsibility requirements 
contained in the Patient Protection and Affordable Care Act; which was 
ordered to lie on the table; as follows:

       At the appropriate place, insert the following:

     SEC. __. SUPPORTING NEW BUSINESSES.

       (a) Short Title.--This section may be cited as the 
     ``Startup Act 3.0''.
       (b) Findings.--Congress makes the following findings:
       (1) Achieving economic recovery will require the formation 
     and growth of new companies.
       (2) Between 1980 and 2005, companies less than 5 years old 
     accounted for nearly all net job creation in the United 
     States.
       (3) New firms in the United States create an average of 
     3,000,000 jobs per year.
       (4) To get Americans back to work, entrepreneurs must be 
     free to innovate, create new companies, and hire employees.
       (c) Conditional Permanent Resident Status for Immigrants 
     With an Advanced Degree in a STEM Field.--
       (1) In general.--Chapter 2 of title II of the Immigration 
     and Nationality Act (8 U.S.C. 1181 et seq.) is amended by 
     inserting after section 216A the following:

     ``SEC. 216B. CONDITIONAL PERMANENT RESIDENT STATUS FOR ALIENS 
                   WITH AN ADVANCED DEGREE IN A STEM FIELD.

       ``(a) In General.--Notwithstanding any other provision of 
     this Act, the Secretary of Homeland Security may adjust the 
     status of not more than 50,000 aliens who have earned a 
     master's degree or a doctorate degree at an institution of 
     higher education in a STEM field to that of an alien 
     conditionally admitted for permanent residence and authorize 
     each alien granted such adjustment of status to remain in the 
     United States--
       ``(1) for up to 1 year after the expiration of the alien's 
     student visa under section 101(a)(15)(F)(i) if the alien is 
     diligently searching for an opportunity to become actively 
     engaged in a STEM field; and
       ``(2) indefinitely if the alien remains actively engaged in 
     a STEM field.
       ``(b) Application for Conditional Permanent Resident 
     Status.--Every alien applying for a conditional permanent 
     resident status under this section shall submit an 
     application to the Secretary of Homeland Security before the 
     expiration of the alien's student visa in such form and 
     manner as the Secretary shall prescribe by regulation.
       ``(c) Ineligibility for Federal Government Assistance.--An 
     alien granted conditional permanent resident status under 
     this section shall not be eligible, while in such status, 
     for--
       ``(1) any unemployment compensation (as defined in section 
     85(b) of the Internal Revenue Code of 1986); or
       ``(2) any Federal means-tested public benefit (as that term 
     is used in section 403 of the Personal Responsibility and 
     Work Opportunity Reconciliation Act of 1996 (8 U.S.C. 1613)).
       ``(d) Effect on Naturalization Residency Requirement.--An 
     alien granted conditional permanent resident status under 
     this section shall be deemed to have been lawfully admitted 
     for permanent residence for purposes of meeting the 5-year 
     residency requirement set forth in section 316(a)(1).
       ``(e) Removal of Condition.--The Secretary of Homeland 
     Security shall remove the conditional basis of an alien's 
     conditional permanent resident status under this section on 
     the date that is 5 years after the date such status was 
     granted if the alien maintained his or her eligibility for 
     such status during the entire 5-year period.
       ``(f) Definitions.--In this section:
       ``(1) Actively engaged in a stem field.--The term `actively 
     engaged in a STEM field'--
       ``(A) means--
       ``(i) gainfully employed in a for-profit business or 
     nonprofit organization in the United States in a STEM field;
       ``(ii) teaching 1 or more STEM field courses at an 
     institution of higher education; or
       ``(iii) employed by a Federal, State, or local government 
     entity; and
       ``(B) includes any period of up to 6 months during which 
     the alien does not meet the requirement under subparagraph 
     (A) if such period was immediately preceded by a 1-year 
     period during which the alien met the requirement under 
     subparagraph (A).
       ``(2) Institution of higher education.--The term 
     `institution of higher education' has the meaning given the 
     term in section 101(a) of the Higher Education Act of 1965 
     (20 U.S.C. 1001(a)).
       ``(3) STEM field.--The term `STEM field' means any field of 
     study or occupation included on the most recent STEM-
     Designated Degree Program List published in the Federal 
     Register by the Department of Homeland Security (as described 
     in section 214.2(f)(11)(i)(C)(2) of title 8, Code of Federal 
     Regulations).''.
       (2) Clerical amendment.--The table of contents in the first 
     section of the Immigration and Nationality Act (8 U.S.C. 1101 
     et seq.) is amended by inserting after the item relating to 
     section 216A the following:

``Sec. 216B. Conditional permanent resident status for aliens with an 
              advanced degree in a STEM field.''.
       (d) Government Accountability Office Study.--
       (1) In general.--Not later than 3 years after the date of 
     the enactment of this Act, the Comptroller General of the 
     United States shall submit a report to Congress on the alien 
     college graduates granted immigrant status under section 216B 
     of the Immigration and Nationality Act, as added by 
     subsection (c).
       (2) Contents.--The report described in paragraph (1) shall 
     include--
       (A) the number of aliens described in paragraph (1) who 
     have earned a master's degree, broken down by the number of 
     such degrees in science, technology, engineering, and 
     mathematics;
       (B) the number of aliens described in paragraph (1) who 
     have earned a doctorate degree, broken down by the number of 
     such degrees in science, technology, engineering, and 
     mathematics;
       (C) the number of aliens described in paragraph (1) who 
     have founded a business in the United States in a STEM field;
       (D) the number of aliens described in paragraph (1) who are 
     employed in the United States in a STEM field, broken down by 
     employment sector (for profit, nonprofit, or government); and
       (E) the number of aliens described in paragraph (1) who are 
     employed by an institution of higher education.
       (3) Definitions.--In this subsection, the terms 
     ``institution of higher education'' and ``STEM field'' have 
     the meanings given such terms in section 216B(f) of the 
     Immigration and Nationality Act, as added by subsection (c).

[[Page 5232]]

       (e) Immigrant Entrepreneurs.--
       (1) Qualified alien entrepreneurs.--
       (A) Admission as immigrants.--Chapter 1 of title II of the 
     Immigration and Nationality Act (8 U.S.C. 1151 et seq.) is 
     amended by adding at the end the following:

     ``SEC. 210A. QUALIFIED ALIEN ENTREPRENEURS.

       ``(a) Admission as Immigrants.--The Secretary of Homeland 
     Security, in accordance with the provisions of this section 
     and section 216A, may issue a conditional immigrant visa to 
     not more than 75,000 qualified alien entrepreneurs.
       ``(b) Application for Conditional Permanent Resident 
     Status.--Every alien applying for a conditional immigrant 
     visa under this section shall submit an application to the 
     Secretary of Homeland Security in such form and manner as the 
     Secretary shall prescribe by regulation.
       ``(c) Revocation.--If, during the 4-year period beginning 
     on the date that an alien is granted a visa under this 
     section, the Secretary of Homeland Security determines that 
     such alien is no longer a qualified alien entrepreneur, the 
     Secretary shall--
       ``(1) revoke such visa; and
       ``(2) notify the alien that the alien--
       ``(A) may voluntarily depart from the United States in 
     accordance to section 240B; or
       ``(B) will be subject to removal proceedings under section 
     240 if the alien does not depart from the United States not 
     later than 6 months after receiving such notification.
       ``(d) Removal of Conditional Basis.--The Secretary of 
     Homeland Security shall remove the conditional basis of the 
     status of an alien issued an immigrant visa under this 
     section on that date that is 4 years after the date on which 
     such visa was issued if such visa was not revoked pursuant to 
     subsection (c).
       ``(e) Definitions.--In this section:
       ``(1) Full-time employee.--The term `full-time employee' 
     means a United States citizen or legal permanent resident who 
     is paid by the new business entity registered by a qualified 
     alien entrepreneur at a rate that is comparable to the median 
     income of employees in the region.
       ``(2) Qualified alien entrepreneur.--The term `qualified 
     alien entrepreneur' means an alien who--
       ``(A) at the time the alien applies for an immigrant visa 
     under this section--
       ``(i) is lawfully present in the United States; and
       ``(ii)(I) holds a nonimmigrant visa pursuant to section 
     101(a)(15)(H)(i)(b); or
       ``(II) holds a nonimmigrant visa pursuant to section 
     101(a)(15)(F)(i);
       ``(B) during the 1-year period beginning on the date the 
     alien is granted a visa under this section--
       ``(i) registers at least 1 new business entity in a State;
       ``(ii) employs, at such business entity in the United 
     States, at least 2 full-time employees who are not relatives 
     of the alien; and
       ``(iii) invests, or raises capital investment of, not less 
     than $100,000 in such business entity; and
       ``(C) during the 3-year period beginning on the last day of 
     the 1-year period described in paragraph (2), employs, at 
     such business entity in the United States, an average of at 
     least 5 full-time employees who are not relatives of the 
     alien.''.
       (B) Table of contents amendment.--The table of contents in 
     the first section of the Immigration and Nationality Act (8 
     U.S.C. 1101 et seq.) is amended by adding after the item 
     relating to section 210 the following:

``Sec. 210A. Qualified alien entrepreneurs.''.
       (2) Conditional permanent resident status.--Section 216A of 
     the Immigration and Nationality Act (8 U.S.C. 1186b) is 
     amended--
       (A) by striking ``Attorney General'' each place such term 
     appears and inserting ``Secretary of Homeland Security'';
       (B) in subsection (b)(1)(C), by striking ``203(b)(5),'' and 
     inserting ``203(b)(5) or 210A, as appropriate,'';
       (C) in subsection (c)(1), by striking ``alien entrepreneur 
     must'' each place such term appears and inserting ``alien 
     entrepreneur shall'';
       (D) in subsection (d)(1)(B), by striking the period at the 
     end and inserting ``or 210A, as appropriate.''; and
       (E) in subsection (f)(1), by striking the period at the end 
     and inserting ``or 210A.''.
       (f) Government Accountability Office Study.--
       (1) In general.--Not later than 3 years after the date of 
     the enactment of this Act, the Comptroller General of the 
     United States shall submit a report to Congress on the 
     qualified alien entrepreneurs granted immigrant status under 
     section 210A of the Immigration and Nationality Act, as added 
     by subsection (e)(1).
       (2) Contents.--The report described in paragraph (1) shall 
     include information regarding--
       (A) the number of qualified alien entrepreneurs who have 
     received immigrant status under section 210A of the 
     Immigration and Nationality Act, listed by country of origin;
       (B) the localities in which such qualified alien 
     entrepreneurs have initially settled;
       (C) whether such qualified alien entrepreneurs generally 
     remain in the localities in which they initially settle;
       (D) the types of commercial enterprises that such qualified 
     alien entrepreneurs have established; and
       (E) the types and number of jobs created by such qualified 
     alien entrepreneurs.
       (g) Elimination of the Per-country Numerical Limitation for 
     Employment-based Visas.--
       (1) In general.--Section 202(a)(2) of the Immigration and 
     Nationality Act (8 U.S.C. 1152(a)(2)) is amended--
       (A) in the paragraph heading, by striking ``and employment-
     based'';
       (B) by striking ``(3), (4), and (5),'' and inserting ``(3) 
     and (4),'';
       (C) by striking ``subsections (a) and (b) of section 203'' 
     and inserting ``section 203(a)'';
       (D) by striking ``7'' and inserting ``15''; and
       (E) by striking ``such subsections'' and inserting ``such 
     section''.
       (2) Conforming amendments.--Section 202 of the Immigration 
     and Nationality Act (8 U.S.C. 1152) is amended--
       (A) in subsection (a)(3), by striking ``both subsections 
     (a) and (b) of section 203'' and inserting ``section 
     203(a)'';
       (B) by striking subsection (a)(5); and
       (C) by amending subsection (e) to read as follows:
       ``(e) Special Rules for Countries at Ceiling.--If it is 
     determined that the total number of immigrant visas made 
     available under section 203(a) to natives of any single 
     foreign state or dependent area will exceed the numerical 
     limitation specified in subsection (a)(2) in any fiscal year, 
     in determining the allotment of immigrant visa numbers to 
     natives under section 203(a), visa numbers with respect to 
     natives of that state or area shall be allocated (to the 
     extent practicable and otherwise consistent with this section 
     and section 203) in a manner so that, except as provided in 
     subsection (a)(4), the proportion of the visa numbers made 
     available under each of paragraphs (1) through (4) of section 
     203(a) is equal to the ratio of the total number of visas 
     made available under the respective paragraph to the total 
     number of visas made available under section 203(a).''.
       (3) Country-specific offset.--Section 2 of the Chinese 
     Student Protection Act of 1992 (8 U.S.C. 1255 note) is 
     amended--
       (A) in subsection (a), by striking ``subsection (e))'' and 
     inserting ``subsection (d))''; and
       (B) by striking subsection (d) and redesignating subsection 
     (e) as subsection (d).
       (h) Transition Rules for Employment-Based Immigrants.--
       (1) In general.--Subject to the paragraphs (2) and (4) and 
     notwithstanding title II of the Immigration and Nationality 
     Act (8 U.S.C. 1151 et seq.), the following rules shall apply:
       (A) For fiscal year 2014, 15 percent of the immigrant visas 
     made available under each of paragraphs (2) and (3) of 
     section 203(b) of such Act (8 U.S.C. 1153(b)) shall be 
     allotted to immigrants who are natives of a foreign state or 
     dependent area that was not one of the 2 states with the 
     largest aggregate numbers of natives obtaining immigrant 
     visas during fiscal year 2012 under such paragraphs.
       (B) For fiscal year 2015, 10 percent of the immigrant visas 
     made available under each of such paragraphs shall be 
     allotted to immigrants who are natives of a foreign state or 
     dependent area that was not one of the 2 states with the 
     largest aggregate numbers of natives obtaining immigrant 
     visas during fiscal year 2013 under such paragraphs.
       (C) For fiscal year 2016, 10 percent of the immigrant visas 
     made available under each of such paragraphs shall be 
     allotted to immigrants who are natives of a foreign state or 
     dependent area that was not one of the 2 states with the 
     largest aggregate numbers of natives obtaining immigrant 
     visas during fiscal year 2014 under such paragraphs.
       (2) Per-country levels.--
       (A) Reserved visas.--With respect to the visas reserved 
     under each of subparagraphs (A) through (C) of paragraph (1), 
     the number of such visas made available to natives of any 
     single foreign state or dependent area in the appropriate 
     fiscal year may not exceed 25 percent (in the case of a 
     single foreign state) or 2 percent (in the case of a 
     dependent area) of the total number of such visas.
       (B) Unreserved visas.--With respect to the immigrant visas 
     made available under each of paragraphs (2) and (3) of 
     section 203(b) of such Act (8 U.S.C. 1153(b)) and not 
     reserved under paragraph (1), for each of fiscal years 2013, 
     2014, and 2015, not more than 85 percent shall be allotted to 
     immigrants who are natives of any single foreign state.
       (3) Special rule to prevent unused visas.--If, with respect 
     to fiscal year 2014, 2015, or 2016, the operation of 
     paragraphs (1) and (2) would prevent the total number of 
     immigrant visas made available under paragraph (2) or (3) of 
     section 203(b) of such Act (8 U.S.C. 1153(b)) from being 
     issued, such visas may be issued during the remainder of such 
     fiscal year without regard to paragraphs (1) and (2).
       (4) Rules for chargeability.--Section 202(b) of the 
     Immigration and Nationality Act (8 U.S.C. 1152(b)) shall 
     apply in determining the foreign state to which an alien is 
     chargeable for purposes of this subsection.
       (i) Capital Gains Tax Exemption for Startup Companies.--

[[Page 5233]]

       (1) Permanent full exclusion.--
       (A) In general.--Subsection (a) of section 1202 of the 
     Internal Revenue Code of 1986 is amended to read as follows:
       ``(a) Exclusion.--In the case of a taxpayer other than a 
     corporation, gross income shall not include 100 percent of 
     any gain from the sale or exchange of qualified small 
     business stock held for more than 5 years.''.
       (B) Conforming amendments.--
       (i) The heading for section 1202 of such Code is amended by 
     striking ``partial''.
       (ii) The item relating to section 1202 in the table of 
     sections for part I of subchapter P of chapter 1 of such Code 
     is amended by striking ``Partial exclusion'' and inserting 
     ``Exclusion''.
       (iii) Section 1223(13) of such Code is amended by striking 
     ``1202(a)(2),''.
       (2) Repeal of minimum tax preference.--
       (A) In general.--Subsection (a) of section 57 of the 
     Internal Revenue Code of 1986 is amended by striking 
     paragraph (7).
       (B) Technical amendment.--Subclause (II) of section 
     53(d)(1)(B)(ii) of such Code is amended by striking ``, (5), 
     and (7)'' and inserting ``and (5)''.
       (3) Repeal of 28 percent capital gains rate on qualified 
     small business stock.--
       (A) In general.--Subparagraph (A) of section 1(h)(4) of the 
     Internal Revenue Code of 1986 is amended to read as follows:
       ``(A) collectibles gain, over''.
       (B) Conforming amendments.--
       (i) Section 1(h) of such Code is amended by striking 
     paragraph (7).
       (ii)(I) Section 1(h) of such Code is amended by 
     redesignating paragraphs (8), (9), (10), (11), (12), and (13) 
     as paragraphs (7), (8), (9), (10), (11), and (12), 
     respectively.
       (II) Sections 163(d)(4)(B), 854(b)(5), 857(c)(2)(D) of such 
     Code are each amended by striking ``section 1(h)(11)(B)'' and 
     inserting ``section 1(h)(10)(B)''.
       (III) The following sections of such Code are each amended 
     by striking ``section 1(h)(11)'' and inserting ``section 
     1(h)(10)'':

       (aa) Section 301(f)(4).
       (bb) Section 306(a)(1)(D).
       (cc) Section 584(c).
       (dd) Section 702(a)(5).
       (ee) Section 854(a).
       (ff) Section 854(b)(2).

       (IV) The heading of section 857(c)(2) is amended by 
     striking ``1(h)(11)'' and inserting ``1(h)(10)''.
       (4) Effective date.--The amendments made by this subsection 
     shall apply to stock acquired after December 31, 2013.
       (j) Research Credit for Startup Companies.--
       (1) In general.--
       (A) In general.--Section 41 of the Internal Revenue Code of 
     1986 is amended by adding at the end the following new 
     subsection:
       ``(i) Treatment of Credit to Qualified Small Businesses.--
       ``(1) In general.--At the election of a qualified small 
     business, the payroll tax credit portion of the credit 
     determined under subsection (a) shall be treated as a credit 
     allowed under section 3111(f) (and not under this section).
       ``(2) Payroll tax credit portion.--For purposes of this 
     subsection, the payroll tax credit portion of the credit 
     determined under subsection (a) for any taxable year is so 
     much of such credit as does not exceed $250,000.
       ``(3) Qualified small business.--For purposes of this 
     subsection--
       ``(A) In general.--The term `qualified small business' 
     means, with respect to any taxable year--
       ``(i) a corporation, partnership, or S corporation if--

       ``(I) the gross receipts (as determined under subsection 
     (c)(7)) of such entity for the taxable year is less than 
     $5,000,000, and
       ``(II) such entity did not have gross receipts (as so 
     determined) for any period preceding the 5-taxable-year 
     period ending with such taxable year, and

       ``(ii) any person not described in subparagraph (A) if 
     clauses (i) and (ii) of subparagraph (A) applied to such 
     person, determined--

       ``(I) by substituting `person' for `entity' each place it 
     appears, and
       ``(II) in the case of an individual, by only taking into 
     account the aggregate gross receipts received by such 
     individual in carrying on trades or businesses of such 
     individual.

       ``(B) Limitation.--Such term shall not include an 
     organization which is exempt from taxation under section 501.
       ``(4) Election.--
       ``(A) In general.--In the case of a partnership or S 
     corporation, an election under this subsection shall be made 
     at the entity level.
       ``(B) Revocation.--An election under this subsection may 
     not be revoked without the consent of the Secretary.
       ``(C) Limitation.--A taxpayer may not make an election 
     under this subsection if such taxpayer has made an election 
     under this subsection for 5 or more preceding taxable years.
       ``(5) Aggregation rules.--For purposes of determining the 
     $250,000 limitation under paragraph (2) and determining gross 
     receipts under paragraph (3), all members of the same 
     controlled group of corporations (within the meaning of 
     section 267(f)) and all persons under common control (within 
     the meaning of section 52(b) but determined by treating an 
     interest of more than 50 percent as a controlling interest) 
     shall be treated as 1 person.
       ``(6) Regulations.--The Secretary shall prescribe such 
     regulations as may be necessary to carry out the purposes of 
     this subsection, including--
       ``(A) regulations to prevent the avoidance of the purposes 
     of paragraph (3) through the use of successor companies or 
     other means,
       ``(B) regulations to minimize compliance and recordkeeping 
     burdens under this subsection for start-up companies, and
       ``(C) regulations for recapturing the benefit of credits 
     determined under section 3111(f) in cases where there is a 
     subsequent adjustment to the payroll tax credit portion of 
     the credit determined under subsection (a), including 
     requiring amended returns in the cases where there is such an 
     adjustment.''.
       (B) Conforming amendment.--Section 280C(c) of the Internal 
     Revenue Code of 1986 is amended by adding at the end the 
     following new paragraph:
       ``(5) Treatment of qualified small business credit.--For 
     purposes of determining the amount of any credit under 
     section 41(a) under this subsection, any election under 
     section 41(i) shall be disregarded.''.
       (2) Credit allowed against fica taxes.--
       (A) In general.--Section 3111 of the Internal Revenue Code 
     of 1986 is amended by adding at the end the following new 
     subsection:
       ``(f) Credit for Research Expenditures of Qualified Small 
     Businesses.--
       ``(1) In general.--In the case of a qualified small 
     business which has made an election under section 41(i), 
     there shall be allowed as a credit against the tax imposed by 
     subsection (a) on wages paid with respect to the employment 
     of all employees of the qualified small business for days in 
     an applicable calendar quarter an amount equal to the payroll 
     tax credit portion of the research credit determined under 
     section 41(a).
       ``(2) Carryover of unused credit.--In any case in which the 
     payroll tax credit portion of the research credit determined 
     under section 41(a) exceeds the tax imposed under subsection 
     (a) for an applicable calendar quarter--
       ``(A) the succeeding calendar quarter shall be treated as 
     an applicable calendar quarter, and
       ``(B) the amount of credit allowed under paragraph (1) 
     shall be reduced by the amount of credit allowed under such 
     paragraph for all preceding applicable calendar quarters.
       ``(3) Allocation of credit for controlled groups, etc.--In 
     determining the amount of the credit under this subsection--
       ``(A) all persons treated as a single taxpayer under 
     section 41 shall be treated as a single taxpayer under this 
     section, and
       ``(B) the credit (if any) allowable by this section to each 
     such member shall be its proportionate share of the qualified 
     research expenses, basic research payments, and amounts paid 
     or incurred to energy research consortiums, giving rise to 
     the credit allowable under section 41.
       ``(4) Definitions.--For purposes of this subsection--
       ``(A) Applicable calendar quarter.--The term `applicable 
     calendar quarter' means--
       ``(i) the first calendar quarter following the date on 
     which the qualified small business files a return under 
     section 6012 for the taxable year for which the payroll tax 
     credit portion of the research credit under section 41(a) is 
     determined, and
       ``(ii) any succeeding calendar quarter treated as an 
     applicable calendar quarter under paragraph (2)(A).
       ``For purposes of determining the date on which a return is 
     filed, rules similar to the rules of section 6513 shall 
     apply.
       ``(B) Other terms.--Any term used in this subsection which 
     is also used in section 41 shall have the meaning given such 
     term under section 41.''.
       (B) Transfers to federal old-age and survivors insurance 
     trust fund.--There are hereby appropriated to the Federal 
     Old-Age and Survivors Trust Fund and the Federal Disability 
     Insurance Trust Fund established under section 201 of the 
     Social Security Act (42 U.S.C. 401) amounts equal to the 
     reduction in revenues to the Treasury by reason of the 
     amendments made by paragraph (1). Amounts appropriated by the 
     preceding sentence shall be transferred from the general fund 
     at such times and in such manner as to replicate to the 
     extent possible the transfers which would have occurred to 
     such Trust Fund had such amendments not been enacted.
       (3) Effective date.--The amendments made by this subsection 
     shall apply to taxable years beginning after December 31, 
     2012.
       (k) Accelerated Commercialization of Taxpayer-funded 
     Research.--
       (1) Definitions.--In this subsection:
       (A) Council.--The term ``Council'' means the Advisory 
     Council on Innovation and Entrepreneurship of the Department 
     of Commerce established pursuant to section 25(c) of the 
     Stevenson-Wydler Technology Innovation Act of 1980 (15 U.S.C. 
     3720(c)).
       (B) Extramural budget.--The term ``extramural budget'' 
     means the sum of the total obligations minus amounts 
     obligated for such activities by employees of the agency in 
     or through Government-owned, Government-operated facilities, 
     except that for the Department of Energy it shall not include

[[Page 5234]]

     amounts obligated for atomic energy defense programs solely 
     for weapons activities or for naval reactor programs, and 
     except that for the Agency for International Development it 
     shall not include amounts obligated solely for general 
     institutional support of international research centers or 
     for grants to foreign countries.
       (C) Institution of higher education.--The term 
     ``institution of higher education'' has the meaning given the 
     term in section 101(a) of the Higher Education Act of 1965 
     (20 U.S.C. 1001(a)).
       (D) Research or research and development.--The term 
     ``research'' or ``research and development'' means any 
     activity that is--
       (i) a systematic, intensive study directed toward greater 
     knowledge or understanding of the subject studied;
       (ii) a systematic study directed specifically toward 
     applying new knowledge to meet a recognized need; or
       (iii) a systematic application of knowledge toward the 
     production of useful materials, devices, and systems or 
     methods, including design, development, and improvement of 
     prototypes and new processes to meet specific requirements.
       (E) Secretary.--The term ``Secretary'' means the Secretary 
     of Commerce.
       (2) Grant program authorized.--
       (A) In general.--Each Federal agency that has an extramural 
     budget for research or research and development that is in 
     excess of $100,000,000 for each of fiscal years 2015 through 
     2019, shall transfer 0.15 percent of such extramural budget 
     for each of such fiscal years to the Secretary to enable the 
     Secretary to carry out a grant program in accordance with 
     this paragraph.
       (B) Grants.--
       (i) Awarding of grants.--

       (I) In general.--From funds transferred under subparagraph 
     (A), the Secretary shall use the criteria developed by the 
     Council to award grants to institutions of higher education, 
     including consortia of institutions of higher education, for 
     initiatives to improve commercialization and transfer of 
     technology.
       (II) Request for proposals.--Not later than 30 days after 
     the Council submits the recommendations for criteria to the 
     Secretary under paragraph (3)(B)(i), and annually thereafter 
     for each fiscal year for which the grant program is 
     authorized, the Secretary shall release a request for 
     proposals.
       (III) Applications.--Each institution of higher education 
     that desires to receive a grant under this subsection shall 
     submit an application to the Secretary not later than 90 days 
     after the Secretary releases the request for proposals under 
     subclause (II).
       (IV) Council review.--

       (aa) In general.--The Secretary shall submit each 
     application received under subclause (III) to the Council for 
     Council review.
       (bb) Recommendations.--The Council shall review each 
     application received under item (aa) and submit 
     recommendations for grant awards to the Secretary, including 
     funding recommendations for each proposal.
       (cc) Public release.--The Council shall publicly release 
     any recommendations made under item (bb).
       (dd) Consideration of recommendations.--In awarding grants 
     under this subsection, the Secretary shall take into 
     consideration the recommendations of the Council under item 
     (bb)).
       (ii) Commercialization capacity building grants.--

       (I) In general.--The Secretary shall award grants to 
     support institutions of higher education pursuing specific 
     innovative initiatives to improve an institution's capacity 
     to commercialize faculty research that can be widely adopted 
     if the research yields measurable results.
       (II) Content of proposals.--Grants shall be awarded under 
     this clause to proposals demonstrating the capacity for 
     accelerated commercialization, proof-of-concept proficiency, 
     and translating scientific discoveries and cutting-edge 
     inventions into technological innovations and new companies. 
     In particular, grant funds shall seek to support innovative 
     approaches to achieving these goals that can be replicated by 
     other institutions of higher education if the innovative 
     approaches are successful.

       (iii) Commercialization accelerator grants.--The Secretary 
     shall award grants to support institutions of higher 
     education pursuing initiatives that allow faculty to directly 
     commercialize research in an effort to accelerate research 
     breakthroughs. The Secretary shall prioritize those 
     initiatives that have a management structure that encourages 
     collaboration between other institutions of higher education 
     or other entities with demonstrated proficiency in creating 
     and growing new companies based on verifiable metrics.
       (C) Assessment of success.--Grants awarded under this 
     paragraph shall use criteria for assessing the success of 
     programs through the establishment of benchmarks.
       (D) Termination.--The Secretary shall have the authority to 
     terminate grant funding to an institution of higher education 
     in accordance with the process and performance metrics 
     recommended by the Council.
       (E) Limitations.--
       (i) Project management costs.--A grant recipient may use 
     not more than 10 percent of grant funds awarded under this 
     paragraph for the purpose of funding project management costs 
     of the grant program.
       (ii) Supplement, not supplant.--An institution of higher 
     education that receives a grant under this paragraph shall 
     use the grant funds to supplement, and not supplant, non-
     Federal funds that would, in the absence of such grant funds, 
     be made available for activities described in this 
     subsection.
       (F) Unspent funds.--Any funds transferred to the Secretary 
     under subparagraph (A) for a fiscal year that are not 
     expended by the end of such fiscal year may be expended in 
     any subsequent fiscal year through fiscal year 2019. Any 
     funds transferred under subparagraph (A) that are remaining 
     at the end of the grant program's authorization under this 
     subsection shall be transferred to the Treasury for deficit 
     reduction.
       (3) Council.--
       (A) In general.--Not later than 120 days after the date of 
     the enactment of this Act, the Council shall convene and 
     develop recommendations for criteria in awarding grants to 
     institutions of higher education under paragraph (2).
       (B) Submission to commerce and publicly released.--The 
     Council shall--
       (i) submit the recommendations described in subparagraph 
     (A) to the Secretary; and
       (ii) release the recommendations to the public.
       (C) Majority vote.--The recommendations submitted by the 
     Council under subparagraph (A) shall be determined by a 
     majority vote of Council members.
       (D) Performance metrics.--The Council shall develop and 
     provide to the Secretary recommendations on performance 
     metrics to be used to evaluate grants awarded under paragraph 
     (2).
       (E)  Evaluation.--
       (i) In general.--Not later than 180 days before the date on 
     which the grant program authorized under paragraph (2) 
     expires, the Council shall conduct an evaluation of the 
     effect that the grant program is having on accelerating the 
     commercialization of faculty research.
       (ii) Inclusions.--The evaluation shall include--

       (I) the recommendation of the Council as to whether the 
     grant program should be continued or terminated;
       (II) quantitative data related to the effect, if any, that 
     the grant program has had on faculty research 
     commercialization; and
       (III) a description of lessons learned in administering the 
     grant program, and how those lessons could be applied to 
     future efforts to accelerate commercialization of faculty 
     research.

       (iii) Availability.--Upon completion of the evaluation, the 
     evaluation shall be made available on a public website and 
     submitted to Congress. The Secretary shall notify all 
     institutions of higher education when the evaluation is 
     published and how it can be accessed.
       (4) Construction.--Nothing in this subsection may be 
     construed to alter, modify, or amend any provision of chapter 
     18 of title 35, United States Code (commonly known as the 
     ``Bayh-Dole Act'').
       (l) Economic Impact of Significant Federal Agency Rules.--
     Section 553 of title 5, United States Code, is amended by 
     adding at the end the following:
       ``(f) Required Review Before Issuance of Significant 
     Rules.--
       ``(1) In general.--Before issuing a notice of proposed 
     rulemaking in the Federal Register regarding the issuance of 
     a proposed significant rule, the head of the Federal agency 
     or independent regulatory agency seeking to issue the rule 
     shall complete a review, to the extent permitted by law, 
     that--
       ``(A) analyzes the problem that the proposed rule intends 
     to address, including--
       ``(i) the specific market failure, such as externalities, 
     market power, or lack of information, that justifies such 
     rule; or
       ``(ii) any other specific problem, such as the failures of 
     public institutions, that justifies such rule;
       ``(B) analyzes the expected impact of the proposed rule on 
     the ability of new businesses to form and expand;
       ``(C) identifies the expected impact of the proposed rule 
     on State, local, and tribal governments, including the 
     availability of resources--
       ``(i) to carry out the mandates imposed by the rule on such 
     government entities; and
       ``(ii) to minimize the burdens that uniquely or 
     significantly affect such governmental entities, consistent 
     with achieving regulatory objectives;
       ``(D) identifies any conflicting or duplicative 
     regulations;
       ``(E) determines--
       ``(i) if existing laws or regulations created, or 
     contributed to, the problem that the new rule is intended to 
     correct; and
       ``(ii) if the laws or regulations referred to in clause (i) 
     should be modified to more effectively achieve the intended 
     goal of the rule; and
       ``(F) includes the cost-benefit analysis described in 
     paragraph (2).
       ``(2) Cost-benefit analysis.--A cost-benefit analysis 
     described in this paragraph shall include--
       ``(A)(i) an assessment, including the underlying analysis, 
     of benefits anticipated from the proposed rule, such as--

[[Page 5235]]

       ``(I) promoting the efficient functioning of the economy 
     and private markets;
       ``(II) enhancing health and safety;
       ``(III) protecting the natural environment; and
       ``(IV) eliminating or reducing discrimination or bias; and
       ``(ii) the quantification of the benefits described in 
     clause (i), to the extent feasible;
       ``(B)(i) an assessment, including the underlying analysis, 
     of costs anticipated from the proposed rule, such as--
       ``(I) the direct costs to the Federal Government to 
     administer the rule;
       ``(II) the direct costs to businesses and others to comply 
     with the rule; and
       ``(III) any adverse effects on the efficient functioning of 
     the economy, private markets (including productivity, 
     employment, and competitiveness), health, safety, and the 
     natural environment; and
       ``(ii) the quantification of the costs described in clause 
     (i), to the extent feasible;
       ``(C)(i) an assessment, including the underlying analysis, 
     of costs and benefits of potentially effective and reasonably 
     feasible alternatives to the proposed rule, which have been 
     identified by the agency or by the public, including taking 
     reasonably viable nonregulatory actions; and
       ``(ii) an explanation of why the proposed rule is 
     preferable to the alternatives identified under clause (i).
       ``(3) Report.--Before issuing a notice of proposed 
     rulemaking in the Federal Register regarding the issuance of 
     a proposed significant rule, the head of the Federal agency 
     or independent regulatory agency seeking to issue the rule 
     shall--
       ``(A) submit the results of the review conducted under 
     paragraph (1) to the appropriate congressional committees; 
     and
       ``(B) post the results of the review conducted under 
     paragraph (1) on a publicly available website.
       ``(4) Judicial review.--Any determinations made, or other 
     actions taken, by an agency or independent regulatory agency 
     under this subsection shall not be subject to judicial 
     review.
       ``(5) Defined term.--In this subsection the term 
     `significant rule' means a rule that is likely to--
       ``(A) have an annual effect on the economy of $100,000,000 
     or more;
       ``(B) adversely affect, in a material way, the economy, a 
     sector of the economy, productivity, competition, jobs, the 
     environment, public health or safety, or State, local, or 
     tribal governments or communities; or
       ``(C) create a serious inconsistency or otherwise interfere 
     with an action taken or planned by another agency.''.
       (m) Biennial State Startup Business Report.--
       (1) Data collection.--The Secretary of Commerce shall 
     regularly compile information from each of the 50 States and 
     the District of Columbia on State laws that affect the 
     formation and growth of new businesses within the State or 
     District.
       (2) Report.--Not later than 18 months after the date of the 
     enactment of this Act, and every 2 years thereafter, the 
     Secretary, using data compiled under paragraph (1), shall 
     prepare a report that--
       (A) analyzes the economic effect of State and District laws 
     that either encourage or inhibit business formation and 
     growth; and
       (B) ranks the States and the District based on the 
     effectiveness with which their laws foster new business 
     creation and economic growth.
       (3) Distribution.--The Secretary shall--
       (A) submit each report prepared under paragraph (1) to 
     Congress; and
       (B) make each report available to the public on the website 
     of the Department of Commerce.
       (4) Inclusion of large metropolitan areas.--Not later than 
     90 days after the submission of the first report under this 
     subsection, the Secretary of Commerce shall submit a study to 
     Congress on the feasibility and advisability of including, in 
     future reports, information about the effect of local laws 
     and ordinances on the formation and growth of new businesses 
     in large metropolitan areas within the United States.
       (5) Authorization of appropriations.--There are authorized 
     to be appropriated such sums as may be necessary to carry out 
     this subsection.
       (n) New Business Formation Report.--
       (1) In general.--The Secretary of Commerce shall regularly 
     compile quantitative and qualitative information on 
     businesses in the United States that are not more than 1 year 
     old.
       (2) Data collection.--The Secretary shall--
       (A) regularly compile information from the Bureau of the 
     Census' business register on new business formation in the 
     United States; and
       (B) conduct quarterly surveys of business owners who start 
     a business during the 1-year period ending on the date on 
     which such survey is conducted to gather qualitative 
     information about the factors that influenced their decision 
     to start the business.
       (3) Random sampling.--In conducting surveys under paragraph 
     (2)(B), the Secretary may use random sampling to identify a 
     group of business owners who are representative of all the 
     business owners described in paragraph (2)(B).
       (4) Benefits.--The Secretary shall inform business owners 
     selected to participate in a survey conducted under this 
     subsection of the benefits they would receive from 
     participating in the survey.
       (5) Voluntary participation.--Business owners selected to 
     participate in a survey conducted under this subsection may 
     decline to participate without penalty.
       (6) Report.--Not later than 18 months after the date of the 
     enactment of this Act, and every 3 months thereafter, the 
     Secretary shall use the data compiled under paragraph (2) to 
     prepare a report that--
       (A) lists the aggregate number of new businesses formed in 
     the United States;
       (B) lists the aggregate number of persons employed by new 
     businesses formed in the United States;
       (C) analyzes the payroll of new businesses formed in the 
     United States;
       (D) summarizes the data collected under paragraph (2); and
       (E) identifies the most effective means by which government 
     officials can encourage the formation and growth of new 
     businesses in the United States.
       (7) Distribution.--The Secretary shall--
       (A) submit each report prepared under paragraph (6) to 
     Congress; and
       (B) make each report available to the public on the website 
     of the Department of Commerce.
       (8) Authorization of appropriations.--There are authorized 
     to be appropriated such sums as may be necessary to carry out 
     this subsection.
       (o) Rescission of Unspent Federal Funds.--
       (1) In general.--Notwithstanding any other provision of 
     law, of all available unobligated funds for fiscal year 2014, 
     the amount necessary to carry out this section and the 
     amendments made by this section in appropriated discretionary 
     funds are hereby rescinded.
       (2) Implementation.--The Director of the Office of 
     Management and Budget shall determine and identify from which 
     appropriation accounts the rescission under paragraph (1) 
     shall apply and the amount of such rescission that shall 
     apply to each such account. Not later than 60 days after the 
     date of the enactment of this Act, the Director of the Office 
     of Management and Budget shall submit a report to the 
     Secretary of the Treasury and Congress of the accounts and 
     amounts determined and identified for rescission under the 
     preceding sentence.
                                 ______
                                 
  SA 2912. Mr. THUNE submitted an amendment intended to be proposed by 
him to the bill H.R. 3979, to amend the Internal Revenue Code of 1986 
to ensure that emergency services volunteers are not taken into account 
as employees under the shared responsibility requirements contained in 
the Patient Protection and Affordable Care Act; which was ordered to 
lie on the table; as follows:

       At the appropriate place, insert the following:

             TITLE XX--SOLUTIONS TO LONG-TERM UNEMPLOYMENT

     SEC. __1. SHORT TITLE.

       This title may be cited as the ``Solutions to Long-Term 
     Unemployment Act''.

 Subtitle A--Exemption From Affordable Care Act Mandate for Long-term 
                               Unemployed

     SEC. __11. LONG-TERM UNEMPLOYED INDIVIDUALS NOT TAKEN INTO 
                   ACCOUNT FOR EMPLOYER HEALTH CARE COVERAGE 
                   MANDATE.

       (a) In General.--Paragraph (4) of section 4980H(c) of the 
     Internal Revenue Code of 1986 is amended by adding at the end 
     the following new subparagraph:
       ``(C) Exception for long-term unemployed individuals.--The 
     term `full-time employee' shall not include any individual 
     who is a long-term unemployed individual (as defined in 
     section 3111(d)(3)) with respect to such employer.''.
       (b) Effective Date.--The amendment made by this section 
     shall apply to months beginning after December 31, 2013.

   Subtitle B--Employer Payroll Tax Holiday for Long-term Unemployed

     SEC. __21. EMPLOYER PAYROLL TAX HOLIDAY FOR LONG-TERM 
                   UNEMPLOYED INDIVIDUALS.

       (a) In General.--Subsection (d) of section 3111 of the 
     Internal Revenue Code of 1986 is amended to read as follows:
       ``(d) Special Rule for Long-term Unemployed Individuals.--
       ``(1) In general.--Subsection (a) shall not apply to wages 
     paid by a qualified employer with respect to employment 
     during the applicable period of any long-term unemployed 
     individual for services performed--
       ``(A) in a trade or business of such employer, or
       ``(B) in the case of an employer exempt from taxation under 
     section 501(a), in furtherance of activities related to the 
     purpose or function constituting the basis of the employer's 
     exemption under section 501.
       ``(2) Qualified employer.--For purposes of this 
     subsection--
       ``(A) In general.--The term `qualified employer' means any 
     employer other than the

[[Page 5236]]

     United States, any State, or any political subdivision 
     thereof, or any instrumentality of the foregoing.
       ``(B) Treatment of employees of post-secondary educational 
     institutions.--Notwithstanding subparagraph (A), the term 
     `qualified employer' includes any employer which is a public 
     institution of higher education (as defined in section 101(b) 
     of the Higher Education Act of 1965).
       ``(3) Long-term unemployed individual.--For purposes of 
     this subsection, the term `long-term unemployed individual' 
     means, with respect to any employer, an individual who--
       ``(A) begins employment with such employer after the date 
     of the enactment of the Solutions to Long-Term Unemployment 
     Act, and
       ``(B) has been unemployed for 27 weeks or longer, as 
     determined by the Secretary of Labor, immediately before the 
     date such employment begins.
       ``(4) Applicable period.--The term `applicable period' 
     means the period beginning on the date of the enactment of 
     the Solutions to Long-Term Unemployment Act, and ending on 
     the earliest of--
       ``(A) the date that is 2 years after such date of 
     enactment,
       ``(B) the date that is 6-months after the date on which the 
     long-term unemployed individual began employment with the 
     employer, or
       ``(C) the first day of the first month after the date on 
     which the Secretary of Labor certifies that the total number 
     of individuals in the United States who have been unemployed 
     for 27 weeks or longer is less than 2,000,000.
       ``(5) Election.--An employer may elect to have this 
     subsection not apply. Such election shall be made in such 
     manner as the Secretary may require.''.
       (b) Coordination With Work Opportunity Credit.--Section 
     51(c)(5) of the Internal Revenue Code of 1986 is amended to 
     read as follows:
       ``(5) Coordination with payroll tax forgiveness.--The term 
     `wages' shall not include any amount paid or incurred to a 
     long-term unemployed individual (as defined in section 
     3111(d)(3)) during the 1-year period beginning on the hiring 
     date of such individual by a qualified employer (as defined 
     in section 3111(d)) unless such qualified employer makes an 
     election not to have section 3111(d) apply.''.
       (c) Transfers to Federal Old-Age and Survivors Insurance 
     Trust Fund.--There are hereby appropriated to the Federal 
     Old-Age and Survivors Trust Fund and the Federal Disability 
     Insurance Trust Fund established under section 201 of the 
     Social Security Act (42 U.S.C. 401) amounts equal to the 
     reduction in revenues to the Treasury by reason of the 
     amendments made by subsection (a). Amounts appropriated by 
     the preceding sentence shall be transferred from the general 
     fund at such times and in such manner as to replicate to the 
     extent possible the transfers which would have occurred to 
     such Trust Fund had such amendments not been enacted.
       (d) Application to Railroad Retirement Taxes.--
       (1) In general.--Subsection (c) of section 3221 of the 
     Internal Revenue Code of 1986 is amended to read as follows:
       ``(c) Special Rule for Long-term Unemployed Individuals.--
       ``(1) In general.--In the case of compensation paid by an 
     employer during the applicable period, with respect to having 
     a long-term unemployed individual in the employer's employ 
     for services rendered to such employer, the applicable 
     percentage under subsection (a) shall be equal to the rate of 
     tax in effect under section 3111(b) for the calendar year.
       ``(2) Qualified employer.--For purposes of this subsection, 
     the term `qualified employer' means any employer other than 
     the United States, any State, or any political subdivision 
     thereof, or any instrumentality of the foregoing.
       ``(3) Long-term unemployed individual.--For purposes of 
     this subsection, the term `long-term unemployed individual' 
     means, with respect to any employer, an individual who--
       ``(A) begins employment with such employer after the date 
     of the enactment of the Solutions to Long-Term Unemployment 
     Act, and
       ``(B) has been unemployed for 27 weeks or longer, as 
     determined by the Secretary of Labor, immediately before the 
     date such employment begins.
       ``(4) Applicable period.--The term `applicable period' 
     means the period beginning on the date of the enactment of 
     the Solutions to Long-Term Unemployment Act, and ending on 
     the earlier of--
       ``(A) the date that is 2 years after such date of 
     enactment,
       ``(B) the date that is 6-months after the date on which the 
     long-term unemployed individual began employment with the 
     employer, or
       ``(C) the first day of the first month after the date on 
     which the Secretary of Labor certifies that the total number 
     of individuals in the United States who have been unemployed 
     for 27 weeks or longer is less than 2,000,000.
       ``(5) Election.--An employer may elect to have this 
     subsection not apply. Such election shall be made in such 
     manner as the Secretary may require.''.
       (2) Transfers to social security equivalent benefit 
     account.--There are hereby appropriated to the Social 
     Security Equivalent Benefit Account established under section 
     15A(a) of the Railroad Retirement Act of 1974 (45 U.S.C. 
     231n-1(a)) amounts equal to the reduction in revenues to the 
     Treasury by reason of the amendments made by paragraph (1). 
     Amounts appropriated by the preceding sentence shall be 
     transferred from the general fund at such times and in such 
     manner as to replicate to the extent possible the transfers 
     which would have occurred to such Account had such amendments 
     not been enacted.
       (e) Effective Dates.--
       (1) In general.--Except as provided in paragraph (2), the 
     amendments made by this subsection shall apply to wages paid 
     after the date of the enactment of this Act.
       (2) Railroad retirement taxes.--The amendments made by 
     subsection (d) shall apply to compensation paid after the 
     date of the enactment of this Act.

                Subtitle C--Employment Relocation Loans

     SEC. __31. EMPLOYMENT RELOCATION LOANS.

       (a) Loans Authorized.--From amounts made available to carry 
     out this section, the Secretary may issue loans, with the 
     interest rates, terms, and conditions provided in this 
     section, to long-term unemployed individuals selected from 
     applications submitted under subsection (b)(1), in order to 
     enable each selected individual to relocate to--
       (1) a residence more than 50 miles away from the 
     individual's initial residence, to allow such individual to 
     begin a new job for which the individual has received and 
     accepted an offer of employment; or
       (2) a residence in a State or metropolitan area that--
       (A) is not the State or metropolitan area of the 
     individual's initial residence; and
       (B) has an unemployment rate that is 2 or more percentage 
     points less than the unemployment rate of the State or 
     metropolitan area, respectively, of the individual's initial 
     residence.
       (b) Selection Process and Eligibility.--
       (1) Application.--A long-term unemployed individual who 
     desires a loan under this section shall submit to the 
     Secretary an application at such time, in such manner, and 
     containing such information as the Secretary may require.
       (2) Limited eligibility.--A long-term unemployed individual 
     may receive only 1 loan under this section.
       (c) Loan Terms.--A loan issued under this section to a 
     long-term unemployed individual shall be--
       (1) in an amount of $10,000 or less; and
       (2) evidenced by a note or other written agreement that--
       (A) provides for repayment of the principal amount of the 
     loan in installments over a 10-year period beginning on the 
     date on which the loan is issued, except that no installments 
     shall be required for the first year of the loan period;
       (B) provides for interest to be calculated and accrue on 
     the loan at the rate determined under subsection (d); and
       (C) allows such individual to accelerate, without penalty, 
     the repayment of the whole or any part of the loan.
       (d) Interest Rate.--The interest rate for a loan issued 
     under this section shall--
       (1) be the rate equal to the high yield of the 10-year 
     Treasury note auctioned at the final auction held prior to 
     the date on which the loan is issued; and
       (2) be a fixed interest rate for the period of the loan.
       (e) Loan Forgiveness.--Notwithstanding subsection 
     (c)(2)(A), the Secretary may forgive the remaining amount of 
     interest and principal due on a loan made under this section 
     to a long-term unemployed individual for the purpose 
     described in subsection (a)(1) in any case where the new job 
     for which the individual relocates is eliminated within the 
     first year of the individual's employment through no fault of 
     the individual.
       (f) Definitions.--In this section:
       (1) Initial residence.--The term ``initial residence'', 
     when used with respect to a long-term individual applying for 
     a loan under this section, means the location where the 
     individual resides as of the day before the loan is issued.
       (2) Long-term unemployed individual.--The term ``long-term 
     unemployed individual'' means an individual who resides in a 
     State and who has been unemployed for 27 consecutive weeks or 
     more, as determined by the Secretary.
       (3) Secretary.--The term ``Secretary'' means the Secretary 
     of Labor.
       (4) States.--The term ``State'' means each of the several 
     States of the United States and the District of Columbia.
       (g) Limited Authority.--The Secretary's authority to issue 
     loans under subsection (a) shall terminate on the earlier 
     of--
       (1) the date that is 2 years after the date of enactment of 
     this Act; or
       (2) the date that is 1 month after the date on which the 
     Secretary determines that the total number of long-term 
     unemployed individuals in the United States is less than 
     2,000,000.

[[Page 5237]]



                           Subtitle D--Offset

     SEC. __41. NONDEFENSE DISCRETIONARY SPENDING.

       Section 251(c)(2)(B) of the Balanced Budget and Emergency 
     Deficit Control Act of 1985 is amended by striking 
     ``$492,356,000,000'' and inserting ``$482,356,000,000''.

    TITLE XX--SUPPORTING KNOWLEDGE AND INVESTING IN LIFELONG SKILLS

     SEC. __01. SHORT TITLE.

       This title may be cited as the ``Supporting Knowledge and 
     Investing in Lifelong Skills Act'' or the ``SKILLS Act''.

     SEC. __02. REFERENCES.

       Except as otherwise expressly provided, wherever in this 
     title an amendment or repeal is expressed in terms of an 
     amendment to, or repeal of, a section or other provision, the 
     amendment or repeal shall be considered to be made to a 
     section or other provision of the Workforce Investment Act of 
     1998 (29 U.S.C. 2801 et seq.).

     SEC. __03. APPLICATION TO FISCAL YEARS.

       Except as otherwise provided, this title and the amendments 
     made by this title shall apply with respect to fiscal year 
     2015 and succeeding fiscal years.

     Subtitle A--Amendments to the Workforce Investment Act of 1998

              CHAPTER 1--WORKFORCE INVESTMENT DEFINITIONS

     SEC. __06. DEFINITIONS.

       Section 101 (29 U.S.C. 2801) is amended--
       (1) by striking paragraph (2) and inserting the following:
       ``(2) Adult education and family literacy education 
     activities.--The term `adult education and family literacy 
     education activities' has the meaning given the term in 
     section 203.'';
       (2) by striking paragraphs (13) and (24);
       (3) by redesignating paragraphs (1) through (12) as 
     paragraphs (3) through (14), and paragraphs (14) through (23) 
     as paragraphs (15) through (24), respectively;
       (4) by striking paragraphs (52) and (53);
       (5) by inserting after ``In this title:'' the following new 
     paragraphs:
       ``(1) Accrued expenditures.--The term `accrued 
     expenditures' means--
       ``(A) charges incurred by recipients of funds under this 
     title for a given period requiring the provision of funds for 
     goods or other tangible property received;
       ``(B) charges incurred for services performed by employees, 
     contractors, subgrantees, subcontractors, and other payees; 
     and
       ``(C) other amounts becoming owed, under programs assisted 
     under this title, for which no current services or 
     performance is required, such as amounts for annuities, 
     insurance claims, and other benefit payments.
       ``(2) Administrative costs.--The term `administrative 
     costs' means expenditures incurred by State boards and local 
     boards, direct recipients (including State grant recipients 
     under subtitle B and recipients of awards under subtitles C 
     and D), local grant recipients, local fiscal agents or local 
     grant subrecipients, and one-stop operators in the 
     performance of administrative functions and in carrying out 
     activities under this title that are not related to the 
     direct provision of workforce investment activities 
     (including services to participants and employers). Such 
     costs include both personnel and non-personnel expenditures 
     and both direct and indirect expenditures.'';
       (6) in paragraph (3) (as so redesignated), by striking 
     ``Except in sections 127 and 132, the'' and inserting 
     ``The'';
       (7) by amending paragraph (5) (as so redesignated) to read 
     as follows:
       ``(5) Area career and technical education school.--The term 
     `area career and technical education school' has the meaning 
     given the term in section 3(3) of the Carl D. Perkins Career 
     and Technical Education Act of 2006 (20 U.S.C. 2302(3)).'';
       (8) in paragraph (6) (as so redesignated), by inserting 
     ``(or such other level as the Governor may establish)'' after 
     ``8th grade level'';
       (9) in paragraph (10)(C) (as so redesignated), by striking 
     ``not less than 50 percent of the cost of the training'' and 
     inserting ``a significant portion of the cost of training, as 
     determined by the local board involved (or, in the case of an 
     employer in multiple local areas in the State, as determined 
     by the Governor), taking into account the size of the 
     employer and such other factors as the local board or 
     Governor, respectively, determines to be appropriate'';
       (10) in paragraph (11) (as so redesignated)--
       (A) in subparagraph (A)(ii)(II), by striking ``section 
     134(c)'' and inserting ``section 121(e)'';
       (B) in subparagraph (B)(iii)--
       (i) by striking ``134(d)(4)'' and inserting ``134(c)(4)''; 
     and
       (ii) by striking ``intensive services described in section 
     134(d)(3)'' and inserting ``work ready services described in 
     section 134(c)(2)'';
       (C) in subparagraph (C), by striking ``or'' after the 
     semicolon;
       (D) in subparagraph (D), by striking the period and 
     inserting ``; or''; and
       (E) by adding at the end the following:
       ``(E)(i) is the spouse of a member of the Armed Forces on 
     active duty for a period of more than 30 days (as defined in 
     section 101(d)(2) of title 10, United States Code) who has 
     experienced a loss of employment as a direct result of 
     relocation to accommodate a permanent change in duty station 
     of such member; or
       ``(ii) is the spouse of a member of the Armed Forces on 
     active duty (as defined in section 101(d)(1) of title 10, 
     United States Code) who meets the criteria described in 
     paragraph (12)(B).'';
       (11) in paragraph (12)(A) (as redesignated)--
       (A) by striking ``and'' after the semicolon and inserting 
     ``or'';
       (B) by striking ``(A)'' and inserting ``(A)(i)''; and
       (C) by adding at the end the following:
       ``(ii) is the spouse of a member of the Armed Forces on 
     active duty for a period of more than 30 days (as defined in 
     section 101(d)(2) of title 10, United States Code) whose 
     family income is significantly reduced because of a 
     deployment (as defined in section 991(b) of title 10, United 
     States Code, or pursuant to paragraph (4) of such section), a 
     call or order to active duty pursuant to a provision of law 
     referred to in section 101(a)(13)(B) of title 10, United 
     States Code, a permanent change of station, or the service-
     connected (as defined in section 101(16) of title 38, United 
     States Code) death or disability of the member; and'';
       (12) in paragraph (13) (as so redesignated), by inserting 
     ``or regional'' after ``local'' each place it appears;
       (13) in paragraph (14) (as so redesignated)--
       (A) in subparagraph (A), by striking ``section 122(e)(3)'' 
     and inserting ``section 122'';
       (B) by striking subparagraph (B), and inserting the 
     following:
       ``(B) work ready services, means a provider who is 
     identified or awarded a contract as described in section 
     117(d)(5)(C); or'';
       (C) by striking subparagraph (C); and
       (D) by redesignating subparagraph (D) as subparagraph (C);
       (14) in paragraph (15) (as so redesignated), by striking 
     ``adult or dislocated worker'' and inserting ``individual'';
       (15) in paragraph (20), by striking ``The'' and inserting 
     ``Subject to section 116(a)(1)(E), the'';
       (16) in paragraph (25)--
       (A) in subparagraph (B), by striking ``higher of--'' and 
     all that follows through clause (ii) and inserting ``poverty 
     line for an equivalent period;'';
       (B) by redesignating subparagraphs (D) through (F) as 
     subparagraphs (E) through (G), respectively; and
       (C) by inserting after subparagraph (C) the following:
       ``(D) receives or is eligible to receive a free or reduced 
     price lunch under the Richard B. Russell National School 
     Lunch Act (42 U.S.C. 1751 et seq.);'';
       (17) in paragraph (32), by striking ``the Republic of the 
     Marshall Islands, the Federated States of Micronesia,'';
       (18) by amending paragraph (33) to read as follows:
       ``(33) Out-of-school youth.--The term `out-of-school youth' 
     means--
       ``(A) an at-risk youth who is a school dropout; or
       ``(B) an at-risk youth who has received a secondary school 
     diploma or its recognized equivalent but is basic skills 
     deficient, unemployed, or underemployed.'';
       (19) in paragraph (38), by striking ``134(a)(1)(A)'' and 
     inserting ``134(a)(1)(B)'';
       (20) in paragraph (41), by striking ``, and the term means 
     such Secretary for purposes of section 503'';
       (21) in paragraph (43), by striking ``clause (iii) or (v) 
     of section 136(b)(3)(A)'' and inserting ``section 
     136(b)(3)(A)(iii)'';
       (22) by amending paragraph (49) to read as follows:
       ``(49) Veteran.--The term `veteran' has the same meaning 
     given the term in section 2108(1) of title 5, United States 
     Code.'';
       (23) by amending paragraph (50) to read as follows:
       ``(50) Career and technical education.--The term `career 
     and technical education' has the meaning given the term in 
     section 3 of the Carl D. Perkins Career and Technical 
     Education Act of 2006 (20 U.S.C. 2302).'';
       (24) in paragraph (51), by striking ``, and a youth 
     activity''; and
       (25) by adding at the end the following:
       ``(52) At-risk youth.--Except as provided in subtitle C, 
     the term `at-risk youth' means an individual who--
       ``(A) is not less than age 16 and not more than age 24;
       ``(B) is a low-income individual; and
       ``(C) is an individual who is one or more of the following:
       ``(i) A secondary school dropout.
       ``(ii) A youth in foster care (including youth aging out of 
     foster care).
       ``(iii) A youth offender.
       ``(iv) A youth who is an individual with a disability.
       ``(v) A migrant youth.
       ``(53) Industry or sector partnership.--The term `industry 
     or sector partnership' means a partnership of--
       ``(A) a State board or local board; and
       ``(B) one or more industry or sector organizations, and 
     other entities, that have the capability to help the State 
     board or local board determine the immediate and long-term 
     skilled workforce needs of in-demand industries or sectors 
     and other occupations

[[Page 5238]]

     important to the State or local economy, respectively.
       ``(54) Industry-recognized credential.--The term `industry-
     recognized credential' means a credential that is sought or 
     accepted by companies within the industry sector involved, 
     across multiple States, as recognized, preferred, or required 
     for recruitment, screening, or hiring and is awarded for 
     completion of a program listed or identified under subsection 
     (d) or (i) of section 122, for the local area involved.
       ``(55) Pay-for-performance contract strategy.--The term 
     `pay-for-performance contract strategy' means a strategy in 
     which a pay-for-performance contract to provide a program of 
     employment and training activities incorporates provisions 
     regarding--
       ``(A) the core indicators of performance described in 
     subclauses (I) through (IV) and (VI) of section 
     136(b)(2)(A)(i);
       ``(B) a fixed amount that will be paid to an eligible 
     provider of such employment and training activities for each 
     program participant who, within a defined timetable, achieves 
     the agreed-to levels of performance based upon the core 
     indicators of performance described in subparagraph (A), and 
     may include a bonus payment to such provider, which may be 
     used to expand the capacity of such provider;
       ``(C) the ability for an eligible provider to recoup the 
     costs of providing the activities for a program participant 
     who has not achieved those levels, but for whom the provider 
     is able to demonstrate that such participant gained specific 
     competencies required for education and career advancement 
     that are, where feasible, tied to industry-recognized 
     credentials and related standards, or State licensing 
     requirements; and
       ``(D) the ability for an eligible provider that does not 
     meet the requirements under section 122(a)(2) to participate 
     in such pay-for-performance contract and to not be required 
     to report on the performance and cost information required 
     under section 122(d).
       ``(56) Recognized postsecondary credential.--The term 
     `recognized postsecondary credential' means a credential 
     awarded by a provider of training services or postsecondary 
     educational institution based on completion of all 
     requirements for a program of study, including coursework or 
     tests or other performance evaluations. The term means an 
     industry-recognized credential, a certificate of completion 
     of a registered apprenticeship program, or an associate or 
     baccalaureate degree from an institution described in section 
     122(a)(2)(A)(i).
       ``(57) Registered apprenticeship program.--The term 
     `registered apprenticeship program' means a program described 
     in section 122(a)(2)(B).''.

      CHAPTER 2--STATEWIDE AND LOCAL WORKFORCE INVESTMENT SYSTEMS

     SEC. __11. PURPOSE.

       Section 106 (29 U.S.C. 2811) is amended by adding at the 
     end the following: ``It is also the purpose of this subtitle 
     to provide workforce investment activities in a manner that 
     enhances employer engagement, promotes customer choices in 
     the selection of training services, and ensures 
     accountability in the use of taxpayer funds.''.

     SEC. __12. STATE WORKFORCE INVESTMENT BOARDS.

       Section 111 (29 U.S.C. 2821) is amended--
       (1) in subsection (b)--
       (A) in paragraph (1)--
       (i) by striking subparagraph (B);
       (ii) by redesignating subparagraph (C) as subparagraph (B); 
     and
       (iii) in subparagraph (B) (as so redesignated)--

       (I) by amending clause (i)(I), by striking ``section 
     117(b)(2)(A)(i)'' and inserting ``section 117(b)(2)(A)'';
       (II) by amending clause (i)(II) to read as follows:
       ``(II) represent businesses, including large and small 
     businesses, each of which has immediate and long-term 
     employment opportunities in an in-demand industry or other 
     occupation important to the State economy; and'';
       (III) by striking clause (iii) and inserting the following:

       ``(iii) a State agency official responsible for economic 
     development; and'';

       (IV) by striking clauses (iv) through (vi);
       (V) by amending clause (vii) to read as follows:

       ``(vii) such other representatives and State agency 
     officials as the Governor may designate, including--

       ``(I) members of the State legislature;
       ``(II) representatives of individuals and organizations 
     that have experience with respect to youth activities;
       ``(III) representatives of individuals and organizations 
     that have experience and expertise in the delivery of 
     workforce investment activities, including chief executive 
     officers of community colleges and community-based 
     organizations within the State;
       ``(IV) representatives of the lead State agency officials 
     with responsibility for the programs and activities that are 
     described in section 121(b) and carried out by one-stop 
     partners; or
       ``(V) representatives of veterans service organizations.''; 
     and
       (VI) by redesignating clause (vii) (as so amended) as 
     clause (iv); and

       (B) by amending paragraph (3) to read as follows:
       ``(3) Majority.--A \2/3\ majority of the members of the 
     board shall be representatives described in paragraph 
     (1)(B)(i).'';
       (2) in subsection (c), by striking ``(b)(1)(C)(i)'' and 
     inserting ``(b)(1)(B)(i)'';
       (3) by amending subsection (d) to read as follows:
       ``(d) Functions.--The State board shall assist the Governor 
     of the State as follows:
       ``(1) State plan.--Consistent with section 112, the State 
     board shall develop a State plan.
       ``(2) Statewide workforce development system.--The State 
     board shall review and develop statewide policies and 
     programs in the State in a manner that supports a 
     comprehensive statewide workforce development system that 
     will result in meeting the workforce needs of the State and 
     its local areas. Such review shall include determining 
     whether the State should consolidate additional amounts for 
     additional activities or programs into the Workforce 
     Investment Fund in accordance with section 501(e).
       ``(3) Workforce and labor market information system.--The 
     State board shall develop a statewide workforce and labor 
     market information system described in section 15(e) of the 
     Wagner-Peyser Act (29 U.S.C. 49l-2(e)), which may include 
     using information collected under Federal law other than this 
     Act by the State economic development entity or a related 
     entity in developing such system.
       ``(4) Employer engagement.--The State board shall develop 
     strategies, across local areas, that meet the needs of 
     employers and support economic growth in the State by 
     enhancing communication, coordination, and collaboration 
     among employers, economic development entities, and service 
     providers.
       ``(5) Designation of local areas.--The State board shall 
     designate local areas as required under section 116.
       ``(6) One-stop delivery system.--The State board shall 
     identify and disseminate information on best practices for 
     effective operation of one-stop centers, including use of 
     innovative business outreach, partnerships, and service 
     delivery strategies.
       ``(7) Program oversight.--The State board shall conduct the 
     following program oversight:
       ``(A) Reviewing and approving local plans under section 
     118.
       ``(B) Ensuring the appropriate use and management of the 
     funds provided for State employment and training activities 
     authorized under section 134.
       ``(C) Preparing an annual report to the Secretary described 
     in section 136(d).
       ``(8) Development of performance measures.--The State board 
     shall develop and ensure continuous improvement of 
     comprehensive State performance measures, including State 
     adjusted levels of performance, as described under section 
     136(b).'';
       (4) by striking subsection (e) and redesignating subsection 
     (f) as subsection (e);
       (5) in subsection (e) (as so redesignated), by inserting 
     ``or participate in any action taken'' after ``vote'';
       (6) by inserting after subsection (e) (as so redesignated), 
     the following:
       ``(f) Staff.--The State board may employ staff to assist in 
     carrying out the functions described in subsection (d).''; 
     and
       (7) in subsection (g), by inserting ``electronic means 
     and'' after ``on a regular basis through''.

     SEC. __13. STATE PLAN.

       Section 112 (29 U.S.C. 2822)--
       (1) in subsection (a)--
       (A) by striking ``127 or''; and
       (B) by striking ``5-year strategy'' and inserting ``3-year 
     strategy'';
       (2) in subsection (b)--
       (A) by amending paragraph (4) to read as follows:
       ``(4) information describing--
       ``(A) the economic conditions in the State;
       ``(B) the immediate and long-term skilled workforce needs 
     of in-demand industries, small businesses, and other 
     occupations important to the State economy;
       ``(C) the knowledge and skills of the workforce in the 
     State; and
       ``(D) workforce development activities (including education 
     and training) in the State;'';
       (B) by amending paragraph (7) to read as follows:
       ``(7) a description of the State criteria for determining 
     the eligibility of training services providers in accordance 
     with section 122, including how the State will take into 
     account the performance of providers and whether the training 
     services relate to in-demand industries and other occupations 
     important to the State economy;'';
       (C) by amending paragraph (8) to read as follows:
       ``(8)(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
       ``(B) a description of and an assurance regarding 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--
       ``(i) an assurance that such processes use quarterly wage 
     records for performance

[[Page 5239]]

     measures described in section 136(b)(2)(A) that are 
     applicable to such programs or activities; or
       ``(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 1 year of the approval of 
     the plan;'';
       (D) in paragraph (9), by striking ``, including comment by 
     representatives of businesses and representatives of labor 
     organizations,'';
       (E) in paragraph (11), by striking ``under sections 127 and 
     132'' and inserting ``under section 132'';
       (F) by striking paragraph (12);
       (G) by redesignating paragraphs (13) through (18) as 
     paragraphs (12) through (17), respectively;
       (H) in paragraph (12) (as so redesignated), by striking 
     ``111(f)'' and inserting ``111(e)'';
       (I) in paragraph (13) (as so redesignated), by striking 
     ``134(c)'' and inserting ``121(e)'';
       (J) in paragraph (14) (as so redesignated), by striking 
     ``116(a)(5)'' and inserting ``116(a)(3)'';
       (K) in paragraph (16) (as so redesignated)--
       (i) in subparagraph (A)--

       (I) in clause (ii)--

       (aa) by striking ``to dislocated workers''; and
       (bb) by inserting ``and additional assistance'' after 
     ``rapid response activities'';

       (II) in clause (iii), by striking ``134(d)(4)'' and 
     inserting ``134(c)(4)'';
       (III) by striking ``and'' at the end of clause (iii);
       (IV) by amending clause (iv) to read as follows:

       ``(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 
     Federal and State 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, refugees and entrants, 
     veterans (including disabled and homeless veterans), and 
     Native Americans; and''; and

       (V) by adding at the end the following new clause:

       ``(v) how the State will--

       ``(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
       ``(II) consistent with sections 504 and 508 of the 
     Rehabilitation Act of 1973 (29 U.S.C. 794, 794d), include the 
     provision of outreach, intake, assessments, and service 
     delivery, the development of performance measures, the 
     training of staff, and other aspects of accessibility for 
     individuals with disabilities to programs and services under 
     this subtitle;''; and

       (ii) in subparagraph (B), by striking ``to the extent 
     practicable'' and inserting ``in accordance with the 
     requirements of the Jobs for Veterans Act (Public Law 107-
     288) and the amendments made by such Act''; and
       (L) by striking paragraph (17) (as so redesignated) and 
     inserting the following:
       ``(17) a description of the strategies and services that 
     will be used in the State--
       ``(A) to more fully engage employers, including small 
     businesses and employers in in-demand industries and 
     occupations important to the State economy;
       ``(B) to meet the needs of employers in the State; and
       ``(C) to better coordinate workforce development programs 
     with economic development activities;
       ``(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 a targeted cluster of multiple firms 
     for a range of workers employed or potentially employed by 
     the industry or sector--
       ``(A) to encourage industry growth and competitiveness and 
     to improve worker training, retention, and advancement in the 
     industry or sector;
       ``(B) to address the immediate and long-term skilled 
     workforce needs of in-demand industries, small businesses, 
     and other occupations important to the State economy; and
       ``(C) to address critical skill gaps within and across 
     industries and sectors;
       ``(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;
       ``(20) a description of the State strategy and assistance 
     to be provided by the State for encouraging regional 
     cooperation within the State and across State borders, as 
     appropriate;
       ``(21) a description of the actions that will be taken by 
     the State to foster communication, coordination, and 
     partnerships with nonprofit 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;
       ``(22) a description of the process and methodology for 
     determining--
       ``(A) one-stop partner program contributions for the costs 
     of infrastructure of one-stop centers under section 
     121(h)(1); and
       ``(B) the formula for allocating such infrastructure funds 
     to local areas under section 121(h)(3);
       ``(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, 
     such as industry-recognized credentials), and employment 
     experience to succeed in the labor market, including--
       ``(A) training and internships in in-demand industries or 
     occupations important to the State and local economy;
       ``(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
       ``(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
       ``(24) a description of--
       ``(A) how the State will furnish employment, training, 
     including training in advanced manufacturing, supportive, and 
     placement services to veterans, including disabled and 
     homeless veterans;
       ``(B) the strategies and services that will be used in the 
     State to assist in and expedite reintegration of homeless 
     veterans into the labor force; and
       ``(C) the veterans population to be served in the State.'';
       (3) in subsection (c), by striking ``period, that--'' and 
     all that follows through paragraph (2) and inserting 
     ``period, that the plan is inconsistent with the provisions 
     of this title.''; and
       (4) in subsection (d), by striking ``5-year'' and inserting 
     ``3-year''.

     SEC. __14. LOCAL WORKFORCE INVESTMENT AREAS.

       Section 116 (29 U.S.C. 2831) is amended--
       (1) in subsection (a)--
       (A) by amending paragraph (1) to read as follows:
       ``(1) In general.--
       ``(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--
       ``(i) support the statewide workforce development system 
     developed under section 111(d)(2), enabling the system to 
     meet the workforce needs of the State and its local areas;
       ``(ii) include consultation, prior to the designation, with 
     chief elected officials;
       ``(iii) include consideration of comments received on the 
     designation through the public comment process as described 
     in section 112(b)(9); and
       ``(iv) require the submission of an application for 
     approval under subparagraph (B).
       ``(B) Application.--To obtain designation of a local area 
     under this paragraph, a local or regional board (or consortia 
     of local or regional boards) seeking to take responsibility 
     for the area under this Act 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--
       ``(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;
       ``(ii) a description of how the local area is consistent or 
     aligned with--

       ``(I) service delivery areas (as determined by the State);
       ``(II) labor market areas; and
       ``(III) economic development regions;

       ``(iii) a description of the eligible providers of 
     education and training, including postsecondary educational 
     institutions such as community colleges, located in the local 
     area and available to meet the needs of the local workforce;
       ``(iv) a description of the distance that individuals will 
     need to travel to receive services provided in such local 
     area; and
       ``(v) any other criteria that the State board may require.
       ``(C) Priority.--In designating local areas under this 
     paragraph, a State board shall give priority consideration to 
     an area proposed by an applicant 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.
       ``(D) Alignment with local plan.--A State may designate an 
     area proposed by an applicant as a local area under this 
     paragraph for a period not to exceed 3 years.
       ``(E) References.--For purposes of this Act, a reference to 
     a local area--
       ``(i) used with respect to a geographic area, refers to an 
     area designated under this paragraph; and
       ``(ii) used with respect to an entity, refers to the 
     applicant.'';

[[Page 5240]]

       (B) by amending paragraph (2) to read as follows:
       ``(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).'';
       (C) by striking paragraph (3);
       (D) by striking paragraph (4);
       (E) by redesignating paragraph (5) as paragraph (3); and
       (F) in paragraph (3) (as so redesignated), by striking 
     ``(2) or (3)'' both places it appears and inserting ``(1)'';
       (2) by amending subsection (b) to read as follows:
       ``(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.''; and
       (3) in subsection (c)--
       (A) in paragraph (1), by adding at the end the following: 
     ``The State may require the local boards for the designated 
     region to prepare a single regional plan that incorporates 
     the elements of the local plan under section 118 and that is 
     submitted and approved in lieu of separate local plans under 
     such section.''; and
       (B) in paragraph (2), by striking ``employment statistics'' 
     and inserting ``workforce and labor market information''.

     SEC. __15. LOCAL WORKFORCE INVESTMENT BOARDS.

       Section 117 (29 U.S.C. 2832) is amended--
       (1) in subsection (b)--
       (A) in paragraph (2)--
       (i) in subparagraph (A)--

       (I) by striking ``include--'' and all that follows through 
     ``representatives'' and inserting ``include 
     representatives'';
       (II) by striking clauses (ii) through (vi);
       (III) by redesignating subclauses (I) through (III) as 
     clauses (i) through (iii), respectively (and by moving the 
     margins of such clauses 2 ems to the left);
       (IV) by striking clause (ii) (as so redesignated) and 
     inserting the following:

       ``(ii) represent businesses, including large and small 
     businesses, each of which has immediate and long-term 
     employment opportunities in an in-demand industry or other 
     occupation important to the local economy; and''; and

       (V) by striking the semicolon at the end of clause (iii) 
     (as so redesignated) and inserting ``; and''; and

       (ii) by amending subparagraph (B) to read as follows:
       ``(B) may include such other individuals or representatives 
     of entities as the chief elected official in the local area 
     may determine to be appropriate, including--
       ``(i) the superintendent or other employee of the local 
     educational agency who has primary responsibility for 
     secondary education, the presidents or chief executive 
     officers of postsecondary educational institutions (including 
     a community college, where such an entity exists), or 
     administrators of local entities providing adult education 
     and family literacy education activities;
       ``(ii) representatives of community-based organizations 
     (including organizations representing individuals with 
     disabilities and veterans, for a local area in which such 
     organizations are present); or
       ``(iii) representatives of veterans service 
     organizations.'';
       (B) in paragraph (4)--
       (i) by striking ``A majority'' and inserting ``A \2/3\ 
     majority''; and
       (ii) by striking ``(2)(A)(i)'' and inserting ``(2)(A)''; 
     and
       (C) in paragraph (5), by striking ``(2)(A)(i)'' and 
     inserting ``(2)(A)'';
       (2) in subsection (c)--
       (A) in paragraph (1), by striking subparagraph (C); and
       (B) in paragraph (3)(A)(ii), by striking ``paragraphs (1) 
     through (7)'' and inserting ``paragraphs (1) through (8)'';
       (3) by amending subsection (d) to read as follows:
       ``(d) Functions of Local Board.--The functions of the local 
     board shall include the following:
       ``(1) Local plan.--Consistent with section 118, each local 
     board, in partnership with the chief elected official for the 
     local area involved, shall develop and submit a local plan to 
     the Governor.
       ``(2) Workforce research and regional labor market 
     analysis.--
       ``(A) In general.--The local board shall--
       ``(i) conduct, and regularly update, an analysis of--

       ``(I) the economic conditions in the local area;
       ``(II) the immediate and long-term skilled workforce needs 
     of in-demand industries and other occupations important to 
     the local economy;
       ``(III) the knowledge and skills of the workforce in the 
     local area; and
       ``(IV) workforce development activities (including 
     education and training) in the local area; and

       ``(ii) assist the Governor in developing the statewide 
     workforce and labor market information system described in 
     section 15(e) of the Wagner-Peyser Act (29 U.S.C. 49l-2(e)).
       ``(B) Existing analysis.--In carrying out requirements of 
     subparagraph (A)(i), a local board shall use an existing 
     analysis, if any, by the local economic development entity or 
     related entity.
       ``(3) Employer engagement.--The local board shall meet the 
     needs of employers and support economic growth in the local 
     area by enhancing communication, coordination, and 
     collaboration among employers, economic development entities, 
     and service providers.
       ``(4) Budget and administration.--
       ``(A) Budget.--
       ``(i) In general.--The local board shall develop a budget 
     for the activities of the local board in the local area, 
     consistent with the requirements of this subsection.
       ``(ii) Training reservation.--In developing a budget under 
     clause (i), the local board shall reserve a percentage of 
     funds to carry out the activities specified in section 
     134(c)(4). The local board shall use the analysis conducted 
     under paragraph (2)(A)(i) to determine the appropriate 
     percentage of funds to reserve under this clause.
       ``(B) Administration.--
       ``(i) Grant recipient.--The chief elected official in a 
     local area shall serve as the local grant recipient for, and 
     shall be liable for any misuse of, the grant funds allocated 
     to the local area under section 133, unless the chief elected 
     official reaches an agreement with the Governor for the 
     Governor to act as the local grant recipient and bear such 
     liability.
       ``(ii) Designation.--In order to assist in administration 
     of the grant funds, the chief elected official or the 
     Governor, where the Governor serves as the local grant 
     recipient for a local area, may designate an entity to serve 
     as a local grant subrecipient for such funds or as a local 
     fiscal agent. Such designation shall not relieve the chief 
     elected official or the Governor of the liability for any 
     misuse of grant funds as described in clause (i).
       ``(iii) Disbursal.--The local grant recipient or an entity 
     designated under clause (ii) shall disburse the grant funds 
     for workforce investment activities at the direction of the 
     local board, pursuant to the requirements of this title. The 
     local grant recipient or entity designated under clause (ii) 
     shall disburse the funds immediately on receiving such 
     direction from the local board.
       ``(C) Staff.--The local board may employ staff to assist in 
     carrying out the functions described in this subsection.
       ``(D) Grants and donations.--The local board may solicit 
     and accept grants and donations from sources other than 
     Federal funds made available under this Act.
       ``(5) Selection of operators and providers.--
       ``(A) Selection of one-stop operators.--Consistent with 
     section 121(d), the local board, with the agreement of the 
     chief elected official--
       ``(i) shall designate or certify one-stop operators as 
     described in section 121(d)(2)(A); and
       ``(ii) may terminate for cause the eligibility of such 
     operators.
       ``(B) Identification of eligible training service 
     providers.--Consistent with this subtitle, the local board 
     shall identify eligible providers of training services 
     described in section 134(c)(4) in the local area, annually 
     review the outcomes of such eligible providers using the 
     criteria under section 122(b)(2), and designate such eligible 
     providers in the local area who have demonstrated the highest 
     level of success with respect to such criteria as priority 
     eligible providers for the program year following the review.
       ``(C) Identification of eligible providers of work ready 
     services.--If the one-stop operator does not provide the 
     services described in section 134(c)(2) in the local area, 
     the local board shall identify eligible providers of such 
     services in the local area by awarding contracts.
       ``(6) Program oversight.--The local board, in partnership 
     with the chief elected official, shall be responsible for--
       ``(A) ensuring the appropriate use and management of the 
     funds provided for local employment and training activities 
     authorized under section 134(b); and
       ``(B) conducting oversight of the one-stop delivery system, 
     in the local area, authorized under section 121.
       ``(7) Negotiation of local performance measures.--The local 
     board, the chief elected official, and the Governor shall 
     negotiate and reach agreement on local performance measures 
     as described in section 136(c).
       ``(8) Technology improvements.--The local board shall 
     develop strategies for technology improvements to facilitate 
     access to services authorized under this subtitle and carried 
     out in the local area, including access in remote areas.'';
       (4) in subsection (e)--
       (A) by inserting ``electronic means and'' after ``regular 
     basis through''; and
       (B) by striking ``and the award of grants or contracts to 
     eligible providers of youth activities,'';
       (5) in subsection (f)--
       (A) in paragraph (1)(A), by striking ``section 134(d)(4)'' 
     and inserting ``section 134(c)(4)''; and
       (B) by striking paragraph (2) and inserting the following:
       ``(2) Work ready services; designation or certification as 
     one-stop operators.--A

[[Page 5241]]

     local board may provide work ready services described in 
     section 134(c)(2) through a one-stop delivery system 
     described in section 121 or be designated or certified as a 
     one-stop operator only with the agreement of the chief 
     elected official and the Governor.'';
       (6) in subsection (g)(1), by inserting ``or participate in 
     any action taken'' after ``vote''; and
       (7) by striking subsections (h) and (i).

     SEC. __16. LOCAL PLAN.

       Section 118 (29 U.S.C. 2833) is amended--
       (1) in subsection (a), by striking ``5-year'' and inserting 
     ``3-year'';
       (2) by amending subsection (b) to read as follows:
       ``(b) Contents.--The local plan shall include--
       ``(1) a description of the analysis of the local area's 
     economic and workforce conditions conducted under subclauses 
     (I) through (IV) of section 117(d)(2)(A)(i), and an assurance 
     that the local board will use such analysis to carry out the 
     activities under this subtitle;
       ``(2) a description of the one-stop delivery system in the 
     local area, including--
       ``(A) a description of how the local board will ensure--
       ``(i) the continuous improvement of eligible providers of 
     services through the system; and
       ``(ii) that such providers meet the employment needs of 
     local businesses and participants; and
       ``(B) a description of how the local board will facilitate 
     access to services described in section 117(d)(8) and 
     provided through the one-stop delivery system consistent with 
     section 117(d)(8);
       ``(3) a description of the strategies and services that 
     will be used in the local area--
       ``(A) to more fully engage employers, including small 
     businesses and employers in in-demand industries and 
     occupations important to the local economy;
       ``(B) to meet the needs of employers in the local area;
       ``(C) to better coordinate workforce development programs 
     with economic development activities; and
       ``(D) to better coordinate workforce development programs 
     with employment, training, and literacy services carried out 
     by nonprofit organizations, including public libraries, as 
     appropriate;
       ``(4) a description of how the local 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 or sector--
       ``(A) to encourage industry growth and competitiveness and 
     to improve worker training, retention, and advancement in the 
     targeted industry or sector;
       ``(B) to address the immediate and long-term skilled 
     workforce needs of in-demand industries, small businesses, 
     and other occupations important to the local economy; and
       ``(C) to address critical skill gaps within and across 
     industries and sectors;
       ``(5) a description of how the funds reserved under section 
     117(d)(4)(A)(ii) will be used to carry out activities 
     described in section 134(c)(4);
       ``(6) a description of how the local board will coordinate 
     workforce investment activities carried out in the local area 
     with statewide workforce investment activities, as 
     appropriate;
       ``(7) a description of how the local area will--
       ``(A) coordinate activities with the local area's 
     disability community, and with transition services (as 
     defined under section 602 of the Individuals with 
     Disabilities Education Act (20 U.S.C. 1401)) provided under 
     that Act by local educational agencies serving such local 
     area, to make available comprehensive, high-quality services 
     to individuals with disabilities;
       ``(B) 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, with a focus 
     on employment that fosters independence and integration into 
     the workplace; and
       ``(C) consistent with sections 504 and 508 of the 
     Rehabilitation Act of 1973 (29 U.S.C. 794, 794d), include the 
     provision of outreach, intake, assessments, and service 
     delivery, the development of performance measures, the 
     training of staff, and other aspects of accessibility for 
     individuals with disabilities to programs and services under 
     this subtitle;
       ``(8) a description of the local levels of performance 
     negotiated with the Governor and chief elected official 
     pursuant to section 136(c), to be--
       ``(A) used to measure the performance of the local area; 
     and
       ``(B) used by the local board for measuring performance of 
     the local fiscal agent (where appropriate), eligible 
     providers, and the one-stop delivery system, in the local 
     area;
       ``(9) a description of the process used by the local board, 
     consistent with subsection (c), to provide an opportunity for 
     public comment prior to submission of the plan;
       ``(10) a description of how the local area 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 Federal and 
     State 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, refugees and entrants, veterans (including 
     disabled veterans and homeless veterans), and Native 
     Americans;
       ``(11) an identification of the entity responsible for the 
     disbursal of grant funds described in section 
     117(d)(4)(B)(iii), as determined by the chief elected 
     official or the Governor under such section;
       ``(12) a description of the strategies and services that 
     will be used in the local area to assist at-risk youth and 
     out-of-school youth in acquiring the education and skills, 
     credentials (including recognized postsecondary credentials, 
     such as industry-recognized credentials), and employment 
     experience to succeed in the labor market, including--
       ``(A) training and internships in in-demand industries or 
     occupations important to the local economy;
       ``(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
       ``(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;
       ``(13) a description of--
       ``(A) how the local area will furnish employment, training, 
     including training in advanced manufacturing, supportive, and 
     placement services to veterans, including disabled and 
     homeless veterans;
       ``(B) the strategies and services that will be used in the 
     local area to assist in and expedite reintegration of 
     homeless veterans into the labor force; and
       ``(C) the veteran population to be served in the local 
     area;
       ``(14) a description of--
       ``(A) the duties assigned to the veteran employment 
     specialist consistent with the requirements of section 
     134(f);
       ``(B) the manner in which the veteran employment specialist 
     is integrated into the one-stop career system described in 
     section 121;
       ``(C) the date on which the veteran employment specialist 
     was assigned; and
       ``(D) whether the veteran employment specialist has 
     satisfactorily completed related training by the National 
     Veterans' Employment and Training Services Institute; and
       ``(15) such other information as the Governor may 
     require.''; and
       (3) in subsection (c)--
       (A) in paragraph (1), by striking ``such means'' and 
     inserting ``electronic means and such means''; and
       (B) in paragraph (2), by striking ``, including 
     representatives of business and representatives of labor 
     organizations,''.

     SEC. __17. ESTABLISHMENT OF ONE-STOP DELIVERY SYSTEM.

       Section 121 (29 U.S.C. 2841) is amended--
       (1) in subsection (b)--
       (A) by striking subparagraph (A) of paragraph (1) and 
     inserting the following:
       ``(A) Roles and responsibilities of one-stop partners.--
     Each entity that carries out a program or activities 
     described in subparagraph (B) shall--
       ``(i) provide access through a one-stop delivery system to 
     the program or activities carried out by the entity, 
     including making the work ready services described in section 
     134(c)(2) that are applicable to the program or activities of 
     the entity available at one-stop centers (in addition to any 
     other appropriate locations);
       ``(ii) use a portion of the funds available to the program 
     or activities of the entity to maintain the one-stop delivery 
     system, including payment of the costs of infrastructure of 
     one-stop centers in accordance with subsection (h);
       ``(iii) enter into a local memorandum of understanding with 
     the local board, relating to the operation of the one-stop 
     delivery system, that meets the requirements of subsection 
     (c); and
       ``(iv) participate in the operation of the one-stop 
     delivery system consistent with the terms of the memorandum 
     of understanding, the requirements of this title, and the 
     requirements of the Federal laws authorizing the program or 
     activities carried out by the entity.'';
       (B) in paragraph (1)(B)--
       (i) by striking clauses (ii), (v), and (vi);
       (ii) by redesignating clauses (iii) and (iv) as clauses 
     (ii) and (iii), respectively;
       (iii) by redesignating clauses (vii) through (xii) as 
     clauses (iv) through (ix), respectively;
       (iv) in clause (ii), as so redesignated, by striking 
     ``adult education and literacy activities'' and inserting 
     ``adult education and family literacy education activities''
       (v) in clause (viii), as so redesignated, by striking 
     ``and'' at the end;

[[Page 5242]]

       (vi) in clause (ix), as so redesignated, by striking the 
     period and inserting ``; and''; and
       (vii) by adding at the end the following:
       ``(x) subject to subparagraph (C), programs authorized 
     under part A of title IV of the Social Security Act (42 
     U.S.C. 601 et seq.).'';
       (C) by inserting after paragraph (1)(B) the following:
       ``(C) Determination by the governor.--Each entity carrying 
     out a program described in subparagraph (B)(x) shall be 
     considered to be a one-stop partner under this title and 
     carry out the required partner activities described in 
     subparagraph (A) unless the Governor of the State in which 
     the local area is located provides the Secretary and 
     Secretary of Health and Human Services written notice of a 
     determination by the Governor that such an entity shall not 
     be considered to be such a partner and shall not carry out 
     such required partner activities.''; and
       (D) in paragraph (2)--
       (i) in subparagraph (A)(i), by striking ``section 
     134(d)(2)'' and inserting ``section 134(c)(2)''; and
       (ii) in subparagraph (B)--

       (I) by striking clauses (i), (ii), and (v);
       (II) in clause (iv), by striking ``and'' at the end;
       (III) by redesignating clauses (iii) and (iv) as clauses 
     (i) and (ii), respectively; and
       (IV) by adding at the end the following:

       ``(iii) employment and training programs administered by 
     the Commissioner of the Social Security Administration;
       ``(iv) employment and training programs carried out by the 
     Administrator of the Small Business Administration;
       ``(v) employment, training, and literacy services carried 
     out by public libraries; and
       ``(vi) other appropriate Federal, State, or local programs, 
     including programs in the private sector.'';
       (2) in subsection (c)(2), by amending subparagraph (A) to 
     read as follows:
       ``(A) provisions describing--
       ``(i) the services to be provided through the one-stop 
     delivery system consistent with the requirements of this 
     section, including the manner in which the services will be 
     coordinated through such system;
       ``(ii) how the costs of such services and the operating 
     costs of such system will be funded, through cash and in-kind 
     contributions, to provide a stable and equitable funding 
     stream for ongoing one-stop system operations, including the 
     funding of the costs of infrastructure of one-stop centers in 
     accordance with subsection (h);
       ``(iii) methods of referral of individuals between the one-
     stop operator and the one-stop partners for appropriate 
     services and activities, including referrals for training for 
     nontraditional employment; and
       ``(iv) the duration of the memorandum of understanding and 
     the procedures for amending the memorandum during the term of 
     the memorandum, and assurances that such memorandum shall be 
     reviewed not less than once every 3-year period to ensure 
     appropriate funding and delivery of services under the 
     memorandum; and'';
       (3) in subsection (d)--
       (A) in the heading for paragraph (1), by striking 
     ``Designation and certification'' and inserting ``Local 
     designation and certification'';
       (B) in paragraph (2)--
       (i) by striking ``section 134(c)'' and inserting 
     ``subsection (e)'';
       (ii) by amending subparagraph (A) to read as follows:
       ``(A) shall be designated or certified as a one-stop 
     operator through a competitive process; and''; and
       (iii) in subparagraph (B), by striking clause (ii) and 
     redesignating clauses (iii) through (vi) as clauses (ii) 
     through (v), respectively; and
       (C) in paragraph (3), by striking ``vocational'' and 
     inserting ``career and technical'';
       (4) by amending subsection (e) to read as follows:
       ``(e) Establishment of One-Stop Delivery System.--
       ``(1) In general.--There shall be established in a State 
     that receives an allotment under section 132(b) a one-stop 
     delivery system, which shall--
       ``(A) provide the work ready services described in section 
     134(c)(2);
       ``(B) provide access to training services as described in 
     paragraph (4) of section 134(c), including serving as the 
     point of access to career enhancement accounts for training 
     services to participants in accordance with paragraph (4)(F) 
     of such section;
       ``(C) provide access to the activities carried out under 
     section 134(d), if any;
       ``(D) provide access to programs and activities carried out 
     by one-stop partners that are described in subsection (b); 
     and
       ``(E) provide access to the data and information described 
     in subparagraphs (A) and (B) of section 15(a)(1) of the 
     Wagner-Peyser Act (29 U.S.C. 49l-2(a)(1)).
       ``(2) One-stop delivery.--At a minimum, the one-stop 
     delivery system--
       ``(A) shall make each of the programs, services, and 
     activities described in paragraph (1) accessible at not less 
     than one physical center in each local area of the State; and
       ``(B) may also make programs, services, and activities 
     described in paragraph (1) available--
       ``(i) through a network of affiliated sites that can 
     provide one or more of the programs, services, and activities 
     to individuals; and
       ``(ii) through a network of eligible one-stop partners--

       ``(I) in which each partner provides one or more of the 
     programs, services, and activities to such individuals and is 
     accessible at an affiliated site that consists of a physical 
     location or an electronically- or technologically-linked 
     access point; and
       ``(II) that assures individuals that information on the 
     availability of the work ready services will be available 
     regardless of where the individuals initially enter the 
     statewide workforce investment system, including information 
     made available through an access point described in subclause 
     (I).

       ``(3) Specialized centers.--The centers and sites described 
     in paragraph (2) may have a specialization in addressing 
     special needs.''; and
       (5) by adding at the end the following:
       ``(g) Certification of One-Stop Centers.--
       ``(1) In general.--
       ``(A) In general.--The State board shall establish 
     objective procedures and criteria for certifying, at least 
     once every 3 years, one-stop centers for the purpose of 
     awarding the one-stop infrastructure funding described in 
     subsection (h).
       ``(B) Criteria.--The criteria for certification of a one-
     stop center under this subsection shall include--
       ``(i) meeting the expected levels of performance for each 
     of the corresponding core indicators of performance as 
     outlined in the State plan under section 112;
       ``(ii) meeting minimum standards relating to the scope and 
     degree of service integration achieved by the center, 
     involving the programs provided by the one-stop partners; and
       ``(iii) meeting minimum standards relating to how the 
     center ensures that eligible providers meet the employment 
     needs of local employers and participants.
       ``(C) Effect of certification.--One-stop centers certified 
     under this subsection shall be eligible to receive the 
     infrastructure funding authorized under subsection (h).
       ``(2) Local boards.--Consistent with the criteria developed 
     by the State, the local board may develop, for certification 
     referred to in paragraph (1)(A), additional criteria or 
     higher standards on the criteria referred to in paragraph 
     (1)(B) to respond to local labor market and demographic 
     conditions and trends.
       ``(h) One-Stop Infrastructure Funding.--
       ``(1) Partner contributions.--
       ``(A) Provision of funds.--Notwithstanding any other 
     provision of law, as determined under subparagraph (B), a 
     portion of the Federal funds provided to the State and areas 
     within the State under the Federal laws authorizing the one-
     stop partner programs described in subsection (b)(1)(B) and 
     participating additional partner programs described in 
     subsection (b)(2)(B), for a fiscal year shall be provided to 
     the Governor by such partners to carry out this subsection.
       ``(B) Determination of governor.--
       ``(i) In general.--Subject to subparagraph (C), the 
     Governor, in consultation with the State board, shall 
     determine the portion of funds to be provided under 
     subparagraph (A) by each one-stop partner and in making such 
     determination shall consider the proportionate use of the 
     one-stop centers in the State by each such partner, the costs 
     of administration for purposes not related to one-stop 
     centers for each such partner, and other relevant factors 
     described in paragraph (3).
       ``(ii) Special rule.--In those States where the State 
     constitution places policy-making authority that is 
     independent of the authority of the Governor in an entity or 
     official with respect to the funds provided for adult 
     education and family literacy education activities authorized 
     under title II and for postsecondary career and technical 
     education activities authorized under the Carl D. Perkins 
     Career and Technical Education Act of 2006 (20 U.S.C. 2301 et 
     seq.), the determination described in clause (i) with respect 
     to the corresponding 2 programs shall be made by the Governor 
     with the appropriate entity or official with such independent 
     policy-making authority.
       ``(iii) Appeal by one-stop partners.--The Governor shall 
     establish a procedure for the one-stop partner administering 
     a program described in subsection (b) and subparagraph (A) to 
     appeal a determination regarding the portion of funds to be 
     provided under this paragraph on the basis that such 
     determination is inconsistent with the requirements described 
     in the State plan for the program or with the requirements of 
     this paragraph. Such procedure shall ensure prompt resolution 
     of the appeal.
       ``(C) Limitations.--
       ``(i) Provision from administrative funds.--The funds 
     provided under this paragraph by a one-stop partner shall be 
     provided only from funds available for the costs of 
     administration under the program administered by such 
     partner, and shall be subject to the limitations with respect 
     to the portion of funds under such program that may be used 
     for administration.

[[Page 5243]]

       ``(ii) Federal direct spending programs.--

       ``(I) In general.--A program that provides Federal direct 
     spending under section 250(c)(8) of the Balanced Budget and 
     Emergency Deficit Control Act of 1985 (2 U.S.C. 900(c)(8)) 
     shall not, for purposes of this paragraph, be required to 
     provide more than the maximum amount determined under 
     subclause (II).
       ``(II) Maximum amount.--The maximum amount for the program 
     is the amount that bears the same relationship to the costs 
     referred to in paragraph (2) for the State as the use of the 
     one-stop centers by such program bears to the use of such 
     centers by all one-stop partner programs in the State.

       ``(2) Allocation by governor.--From the funds provided 
     under paragraph (1), the Governor shall allocate funds to 
     local areas in accordance with the formula established under 
     paragraph (3) for the purposes of assisting in paying the 
     costs of infrastructure of one-stop centers certified under 
     subsection (g).
       ``(3) Allocation formula.--The State board shall develop a 
     formula to be used by the Governor to allocate the funds 
     provided under paragraph (1) to local areas. The formula 
     shall include such factors as the State board determines are 
     appropriate, which may include factors such as the number of 
     centers in a local area that have been certified, the 
     population served by such centers, and the performance of 
     such centers.
       ``(4) Costs of infrastructure.--For purposes of this 
     subsection, the term `costs of infrastructure' means the 
     nonpersonnel costs that are necessary for the general 
     operation of a one-stop center, including the rental costs of 
     the facilities involved, and the costs of utilities and 
     maintenance, and equipment (including assistive technology 
     for individuals with disabilities).
       ``(i) Other Funds.--
       ``(1) In general.--In addition to the funds provided under 
     subsection (h), a portion of funds made available under 
     Federal law authorizing the one-stop partner programs 
     described in subsection (b)(1)(B) and participating 
     additional partner programs described in subsection 
     (b)(2)(B), or the noncash resources available under such 2 
     types of programs, shall be used to pay the costs relating to 
     the operation of the one-stop delivery system that are not 
     paid for from the funds provided under subsection (h), to the 
     extent not inconsistent with the Federal law involved. Such 
     portion shall be used to pay for costs including--
       ``(A) costs of infrastructure (as defined in subsection 
     (h)) that are in excess of the funds provided under 
     subsection (h);
       ``(B) common costs that are in addition to the costs of 
     infrastructure (as so defined); and
       ``(C) the costs of the provision of work ready services 
     applicable to each program.
       ``(2) Determination and standards.--The method for 
     determining the appropriate portion of funds and noncash 
     resources to be provided by each program under paragraph (1) 
     shall be determined as part of the memorandum of 
     understanding under subsection (c). The State board shall 
     provide standards to facilitate the determination of 
     appropriate allocation of the funds and noncash resources to 
     local areas.''.

     SEC. __18. IDENTIFICATION OF ELIGIBLE PROVIDERS OF TRAINING 
                   SERVICES.

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

     ``SEC. 122. IDENTIFICATION OF ELIGIBLE PROVIDERS OF TRAINING 
                   SERVICES.

       ``(a) Eligibility.--
       ``(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 and be included on the list of eligible providers of 
     training services described in subsection (d).
       ``(2) Providers.--Subject to the provisions of this 
     section, to be eligible to receive the funds and be included 
     on the list, the provider shall be--
       ``(A) a postsecondary educational institution that--
       ``(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
       ``(ii) provides a program that leads to a recognized 
     postsecondary credential;
       ``(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
       ``(C) another public or private provider of a program of 
     training services.
       ``(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 subsection to be eligible to receive the funds and be 
     included on the list. A provider described in paragraph 
     (2)(B) shall be eligible to receive the funds and be included 
     on the list with respect to programs described in paragraph 
     (2)(B) for so long as the provider remains certified by the 
     Secretary of Labor to carry out the programs.
       ``(b) Criteria.--
       ``(1) In general.--The criteria established by the Governor 
     pursuant to subsection (a) shall take into account--
       ``(A) the performance of providers of training services 
     with respect to the performance measures described in section 
     136, measures for 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;
       ``(B) whether the training programs of such providers 
     relate to in-demand industries or occupations important to 
     the local economy;
       ``(C) the need to ensure access to training services 
     throughout the State, including in rural areas;
       ``(D) the ability of the providers to offer programs that 
     lead to a recognized postsecondary credential, and the 
     quality of such programs;
       ``(E) the performance of the providers as reflected in 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
       ``(F) such other factors as the Governor determines are 
     appropriate.
       ``(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--
       ``(A) information on recognized postsecondary credentials 
     received by such participants;
       ``(B) information on costs of attendance for such 
     participants;
       ``(C) information on the program completion rate for such 
     participants; and
       ``(D) information on the performance of the provider with 
     respect to the performance measures described in section 136 
     for such participants.
       ``(3) Renewal.--The criteria established by the Governor 
     shall also provide for a review on the criteria every 3 years 
     and renewal of eligibility under this section for providers 
     of training services.
       ``(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 on the criteria established by the Governor, 
     for purposes of determining the eligibility of providers of 
     training services under this section in the local area 
     involved.
       ``(5) Limitation.--In carrying out the requirements of this 
     subsection, no entity may disclose personally identifiable 
     information regarding a student, including a Social Security 
     number, student identification number, or other identifier, 
     without the prior written consent of the parent or student in 
     compliance with section 444 of the General Education 
     Provisions Act (20 U.S.C. 1232g).
       ``(c) Procedures.--The procedures established under 
     subsection (a) shall--
       ``(1) identify--
       ``(A) the application process for a provider of training 
     services to become eligible under this section; and
       ``(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
       ``(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.
       ``(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 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.
       ``(e) Enforcement.--
       ``(1) In general.--The procedures established under this 
     section shall provide the following:
       ``(A) Intentionally supplying inaccurate information.--Upon 
     a determination, by an individual or entity specified in the 
     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 under this section 
     shall be terminated for a period of time that is not less 
     than 2 years.
       ``(B) Substantial violations.--Upon a determination, by an 
     individual or entity specified in the procedures, that a 
     provider of training services substantially violated any 
     requirement under this title, the eligibility of such 
     provider under this section shall be terminated for a period 
     of time that is not less than 10 years.
       ``(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

[[Page 5244]]

     described in such subparagraph. For purposes of subparagraph 
     (A), that period shall be considered to be the period 
     beginning on the date on which the inaccurate information 
     described in subparagraph (A) was supplied, and ending on the 
     date of the termination described in subparagraph (A).
       ``(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.
       ``(f) Agreements With Other States.--A State may enter into 
     an agreement with another State, on a reciprocal basis, to 
     permit eligible providers of training services to accept 
     career enhancement accounts provided in the other State.
       ``(g) Recommendations.--In developing the criteria 
     (including requirements for related information) and 
     procedures 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.
       ``(h) Opportunity To Submit Comments.--During the 
     development of the criteria and procedures, 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 list.
       ``(i) On-the-Job Training or Customized Training 
     Exception.--
       ``(1) In general.--Providers of on-the-job training or 
     customized training shall not be subject to the requirements 
     of subsections (a) through (d).
       ``(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 under this section, 
     to be providers of the training services involved.''.

     SEC. __19. GENERAL AUTHORIZATION.

       Chapter 5 of subtitle B of title I is amended--
       (1) by striking the heading for chapter 5 and inserting the 
     following: ``EMPLOYMENT AND TRAINING ACTIVITIES''; and
       (2) in section 131 (29 U.S.C. 2861)--
       (A) by striking ``paragraphs (1)(B) and (2)(B) of''; and
       (B) by striking ``adults, and dislocated workers,'' and 
     inserting ``individuals''.

     SEC. __20. STATE ALLOTMENTS.

       Section 132 (29 U.S.C. 2862) is amended--
       (1) by amending subsection (a) to read as follows:
       ``(a) In General.--The Secretary shall--
       ``(1) reserve \1/2\ of 1 percent of the total amount 
     appropriated under section 137 for a fiscal year, of which--
       ``(A) 50 percent shall be used to provide technical 
     assistance under section 170; and
       ``(B) 50 percent shall be used for evaluations under 
     section 172;
       ``(2) reserve 1 percent of the total amount appropriated 
     under section 137 for a fiscal year to make grants to, and 
     enter into contracts or cooperative agreements with Indian 
     tribes, tribal organizations, Alaska Native entities, Indian-
     controlled organizations serving Indians, or Native Hawaiian 
     organizations to carry out employment and training 
     activities;
       ``(3) reserve not more than 25 percent of the total amount 
     appropriated under section 137 for a fiscal year to carry out 
     the Jobs Corps program under subtitle C;
       ``(4) reserve not more than 3.5 percent of the total amount 
     appropriated under section 137 for a fiscal year to--
       ``(A) make grants to State boards or local boards to 
     provide employment and training assistance to workers 
     affected by major economic dislocations, such as plant 
     closures, mass layoffs, or closures and realignments of 
     military installations; and
       ``(B) provide assistance to Governors of States with an 
     area that has suffered an emergency or a major disaster (as 
     such terms are defined in paragraphs (1) and (2), 
     respectively, of section 102 of the Robert T. Stafford 
     Disaster Relief and Emergency Assistance Act (42 U.S.C. 
     5122)) to provide disaster relief employment in the area; and
       ``(5) from the remaining amount appropriated under section 
     137 for a fiscal year (after reserving funds under paragraphs 
     (1) through (4)), make allotments in accordance with 
     subsection (b) of this section.''; and
       (2) by amending subsection (b) to read as follows:
       ``(b) Workforce Investment Fund.--
       ``(1) Reservation for outlying areas.--
       ``(A) In general.--From the amount made available under 
     subsection (a)(5) for a fiscal year, the Secretary shall 
     reserve not more than \1/4\ of 1 percent to provide 
     assistance to the outlying areas.
       ``(B) Restriction.--The Republic of Palau shall cease to be 
     eligible to receive funding under this paragraph upon 
     entering into an agreement for extension of United States 
     educational assistance under the Compact of Free Association 
     (approved by the Compact of Free Association Amendments Act 
     of 2003 (Public Law 108-188) after the date of enactment of 
     the SKILLS Act.
       ``(2) States.--
       ``(A) In general.--After determining the amount to be 
     reserved under paragraph (1), the Secretary shall allot the 
     remainder of the amount referred to in subsection (a)(5) for 
     a fiscal year to the States pursuant to subparagraph (B) for 
     employment and training activities and statewide workforce 
     investment activities.
       ``(B) Formula.--Subject to subparagraphs (C) and (D), of 
     the remainder--
       ``(i) 25 percent shall be allotted on the basis of the 
     relative number of unemployed individuals in areas of 
     substantial unemployment in each State, compared to the total 
     number of unemployed individuals in areas of substantial 
     unemployment in all States;
       ``(ii) 25 percent shall be allotted on the basis of the 
     relative number of individuals in the civilian labor force in 
     each State, compared to the total number of such individuals 
     in all States;
       ``(iii) 25 percent shall be allotted on the basis of the 
     relative number of individuals in each State who have been 
     unemployed for 15 weeks or more, compared to the total number 
     of individuals in all States who have been unemployed for 15 
     weeks or more; and
       ``(iv) 25 percent shall be allotted on the basis of the 
     relative number of disadvantaged youth in each State, 
     compared to the total number of disadvantaged youth in all 
     States.
       ``(C) Minimum and maximum percentages.--
       ``(i) Minimum percentage.--The Secretary shall ensure that 
     no State shall receive an allotment under this paragraph 
     for--

       ``(I) each of fiscal years 2015 through 2017, that is less 
     than 100 percent of the allotment percentage of the State for 
     fiscal year 2013; and
       ``(II) fiscal year 2018 and each succeeding fiscal year, 
     that is less than 90 percent of the allotment percentage of 
     the State for the fiscal year preceding the fiscal year 
     involved.

       ``(ii) Maximum percentage.--Subject to clause (i), the 
     Secretary shall ensure that no State shall receive an 
     allotment under this paragraph for--

       ``(I) each of fiscal years 2015 through 2017, that is more 
     than 130 percent of the allotment percentage of the State for 
     fiscal year 2013; and
       ``(II) fiscal year 2018 and each succeeding fiscal year, 
     that is more than 130 percent of the allotment percentage of 
     the State for the fiscal year preceding the fiscal year 
     involved.

       ``(D) Small state minimum allotment.--Subject to 
     subparagraph (C), the Secretary shall ensure that no State 
     shall receive an allotment under this paragraph for a fiscal 
     year that is less than \1/5\ of 1 percent of the remainder 
     described in subparagraph (A) for the fiscal year.
       ``(E) Definitions.--For the purpose of the formula 
     specified in this paragraph:
       ``(i) Allotment percentage.--The term `allotment 
     percentage'--

       ``(I) used with respect to fiscal year 2013, means the 
     percentage of the amounts allotted to States 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 
     2013, that is received under such provisions by the State 
     involved for fiscal year 2013; and
       ``(II) used with respect to fiscal year 2017 or a 
     succeeding fiscal year, means the percentage of the amounts 
     allotted to States under this paragraph for the fiscal year, 
     that is received under this paragraph by the State involved 
     for the fiscal year.

       ``(ii) Area of substantial unemployment.--The term `area of 
     substantial unemployment' means any area that is of 
     sufficient size and scope to sustain a program of workforce 
     investment activities carried out under this subtitle and 
     that has an average rate of unemployment of at least 7 
     percent for the most recent 12 months, as determined by the 
     Secretary. For purposes of this clause, determinations of 
     areas of substantial unemployment shall be made once each 
     fiscal year.
       ``(iii) Disadvantaged youth.--The term `disadvantaged 
     youth' means an individual who is not less than age 16 and 
     not more than age 24 who receives an income, or is a member 
     of a family that receives a total family income, that in 
     relation to family size, does not exceed the higher of--

       ``(I) the poverty line; or
       ``(II) 70 percent of the lower living standard income 
     level.

       ``(iv) Individual.--The term `individual' means an 
     individual who is age 16 or older.''.

     SEC. __21. WITHIN STATE ALLOCATIONS.

       Section 133 (29 U.S.C. 2863) is amended--
       (1) by amending subsection (a) to read as follows:
       ``(a) Reservations for Statewide Workforce Investment 
     Activities.--
       ``(1) Statewide employment and training activities.--The 
     Governor of a State shall reserve not more than 15 percent of 
     the total amount allotted to the State under section 
     132(b)(2) for a fiscal year to carry out the

[[Page 5245]]

     statewide activities described in section 134(a).
       ``(2) Statewide rapid response activities and additional 
     assistance.--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 and 
     additional assistance described in section 134(a)(4).
       ``(3) Statewide grants for individuals with barriers to 
     employment.--Of the amount reserved under paragraph (1) for a 
     fiscal year, the Governor of the State shall reserve 15 
     percent to carry out statewide activities described in 
     section 134(a)(5).
       ``(4) State administrative cost limit.--Not more than 5 
     percent of the funds reserved under paragraph (1) may be used 
     by the Governor of the State for administrative costs of 
     carrying out the statewide activities described in section 
     134(a).'';
       (2) by amending subsection (b) to read as follows:
       ``(b) Within State Allocation.--
       ``(1) Methods.--The Governor, acting in accordance with the 
     State plan, and after consulting with chief elected officials 
     in the local areas in the State, shall--
       ``(A) allocate the funds that are allotted to the State 
     under section 132(b)(2) and not reserved under subsection 
     (a), in accordance with paragraph (2)(A); and
       ``(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).
       ``(2) Formula allocations for the workforce investment 
     fund.--
       ``(A) Allocation.--In allocating the funds described in 
     paragraph (1)(A) to local areas, a State shall allocate--
       ``(i) 25 percent on the basis described in section 
     132(b)(2)(B)(i);
       ``(ii) 25 percent on the basis described in section 
     132(b)(2)(B)(ii);
       ``(iii) 25 percent on the basis described in section 
     132(b)(2)(B)(iii); and
       ``(iv) 25 percent on the basis described in section 
     132(b)(2)(B)(iv),

     except that a reference in a section specified in any of 
     clauses (i) through (iv) to `each State' shall be considered 
     to refer to each local area, and to `all States' shall be 
     considered to refer to all local areas.
       ``(B) Minimum and maximum percentages.--
       ``(i) Minimum percentage.--The State shall ensure that no 
     local area shall receive an allocation under this paragraph 
     for--

       ``(I) each of fiscal years 2015 through 2017, that is less 
     than 100 percent of the allocation percentage of the local 
     area for fiscal year 2013; and
       ``(II) fiscal year 2018 and each succeeding fiscal year, 
     that is less than 90 percent of the allocation percentage of 
     the local area for the fiscal year preceding the fiscal year 
     involved.

       ``(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--

       ``(I) each of fiscal years 2015 through 2017, that is more 
     than 130 percent of the allocation percentage of the local 
     area for fiscal year 2013; and
       ``(II) fiscal year 2018 and each succeeding fiscal year, 
     that is more than 130 percentage of the allocation percentage 
     of the local area for the fiscal year preceding the fiscal 
     year involved.

       ``(C) Definitions.--For the purpose of the formula 
     specified in this paragraph, the term `allocation 
     percentage'--
       ``(i) used with respect to fiscal year 2013, 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 
     2013, that is received under such provisions by the local 
     area involved for fiscal year 2013; and
       ``(ii) used with respect to fiscal year 2017 or a 
     succeeding fiscal year, means the percentage of the amounts 
     allocated to local areas under this paragraph for the fiscal 
     year, that is received under this paragraph by the local area 
     involved for the fiscal year.'';
       (3) in subsection (c)--
       (A) by amending paragraph (1) to read as follows:
       ``(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.'';
       (B) in paragraph (2), by striking ``paragraph (2)(A) or (3) 
     of subsection (b) for such activities'' and inserting 
     ``subsection (b) for such activities'';
       (C) by amending paragraph (3) to read as follows:
       ``(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.''; and
       (D) in paragraph (4), by striking ``paragraph (2)(A) or (3) 
     of''; and
       (4) by adding at the end the following new subsection:
       ``(d) Local Administrative Cost Limit.--Of the amount 
     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.''.

     SEC. __22. USE OF FUNDS FOR EMPLOYMENT AND TRAINING 
                   ACTIVITIES.

       Section 134 (29 U.S.C. 2864) is amended--
       (1) by amending subsection (a) to read as follows:
       ``(a) Statewide Employment and Training Activities.--
       ``(1) In general.--
       ``(A) Distribution of statewide activities.--Funds reserved 
     by a Governor for a State as described in section 133(a)(1) 
     and not reserved under paragraph (2) or (3) of section 
     133(a)--
       ``(i) shall be used to carry out the statewide employment 
     and training activities described in paragraph (2); and
       ``(ii) may be used to carry out any of the statewide 
     employment and training activities described in paragraph 
     (3).
       ``(B) Statewide rapid response activities and additional 
     assistance.--Funds reserved by a Governor for a State as 
     described in section 133(a)(2) shall be used to provide the 
     statewide rapid response activities and additional assistance 
     described in paragraph (4).
       ``(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 award 
     statewide grants for individuals with barriers to employment 
     on a competitive basis, and carry out other activities, as 
     described in paragraph (5).
       ``(2) Required statewide employment and training 
     activities.--A State shall use funds referred to in paragraph 
     (1)(A) to carry out statewide employment and training 
     activities, which shall include--
       ``(A) disseminating the State list of eligible providers of 
     training services 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);
       ``(B) supporting the provision of work ready services 
     described in subsection (c)(2) in the one-stop delivery 
     system;
       ``(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;
       ``(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;
       ``(E) providing technical assistance to local areas that 
     fail to meet local performance measures;
       ``(F) operating a fiscal and management accountability 
     system under section 136(f); and
       ``(G) carrying out monitoring and oversight of activities 
     carried out under this chapter.
       ``(3) Allowable statewide employment and training 
     activities.--A State may use funds referred to in paragraph 
     (1)(A) to carry out statewide employment and training 
     activities which may include--
       ``(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 partnership initiatives, 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;
       ``(B) providing incentive grants to local areas--
       ``(i) for regional cooperation among local boards 
     (including local boards in a designated region as described 
     in section 116(c));
       ``(ii) for local coordination of activities carried out 
     under this Act; and
       ``(iii) for exemplary performance by local areas on the 
     local performance measures;
       ``(C) developing strategies for effectively integrating 
     programs and services among one-stop partners;
       ``(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;
       ``(E) incorporating pay-for-performance contract strategies 
     as an element in funding

[[Page 5246]]

     activities under this section and providing technical support 
     to local areas and eligible providers in order to carry out 
     such a strategy, which may involve providing assistance with 
     data collection and data entry requirements;
       ``(F) carrying out the State option under subsection 
     (f)(8); and
       ``(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.
       ``(4) Statewide rapid response activities and additional 
     assistance.--A State shall use funds reserved as described in 
     section 133(a)(2)--
       ``(A) to carry out statewide rapid response activities, 
     which shall include 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
       ``(B) to provide 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.
       ``(5) Statewide grants for individuals with barriers to 
     employment.--
       ``(A) In general.--Of the funds reserved as described in 
     section 133(a)(3), the Governor of a State--
       ``(i) may reserve up to 5 percent to provide technical 
     assistance for, and conduct evaluations as described in 
     section 136(e) of, the programs carried out under this 
     paragraph; and
       ``(ii) using the remainder, shall award grants on a 
     competitive basis to eligible entities (that meet specific 
     performance outcomes and criteria established by the 
     Governor) described in subparagraph (B) to carry out 
     employment and training programs authorized under this 
     paragraph for individuals with barriers to employment.
       ``(B) Eligible entity defined.--For purposes of this 
     paragraph, the term `eligible entity' means an entity that--
       ``(i) is a--

       ``(I) local board or a consortium of local boards;
       ``(II) nonprofit entity, for-profit entity, or a consortium 
     of nonprofit or for-profit entities; or
       ``(III) consortium of the entities described in subclauses 
     (I) and (II);

       ``(ii) has a demonstrated record of placing individuals 
     into unsubsidized employment and serving hard-to-serve 
     individuals; and
       ``(iii) agrees to be reimbursed primarily on the basis of 
     meeting specified performance outcomes and criteria 
     established by the Governor.
       ``(C) Grant period.--
       ``(i) In general.--A grant under this paragraph shall be 
     awarded for a period of 1 year.
       ``(ii) Grant renewal.--A Governor of a State may renew, for 
     up to 4 additional 1-year periods, a grant awarded under this 
     paragraph.
       ``(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.
       ``(E) Use of funds.--An eligible entity receiving a grant 
     under this paragraph shall use the grant funds for programs 
     of activities that are designed to assist eligible 
     participants in obtaining employment and acquiring the 
     education and skills necessary to succeed in the labor 
     market. To be eligible to receive a grant under this 
     paragraph for an employment and training program, 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--
       ``(i) a description of how the strategies and activities of 
     the program will be aligned with the State plan submitted 
     under section 112 and the local plan submitted under section 
     118, with respect to the area of the State that will be the 
     focus of the program under this paragraph;
       ``(ii) a description of the educational and skills training 
     programs and activities the eligible entity will provide to 
     eligible participants under this paragraph;
       ``(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;
       ``(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 
     education and skills training for eligible participants;
       ``(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;
       ``(vi) a description of the private, public, local, and 
     State resources that will be leveraged, with the grant funds 
     provided, for the program under this paragraph, and how the 
     entity will ensure the sustainability of such program after 
     grant funds are no longer available;
       ``(vii) a description of the extent of the involvement of 
     employers in such program;
       ``(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 136(b)(2);
       ``(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 program 
     provided under this paragraph; and
       ``(x) any other criteria the Governor may require.'';
       (2) by amending subsection (b) to read as follows:
       ``(b) Local Employment and Training Activities.--Funds 
     allocated to a local area under section 133(b)--
       ``(1) shall be used to carry out employment and training 
     activities described in subsection (c); and
       ``(2) may be used to carry out employment and training 
     activities described in subsection (d).'';
       (3) by striking subsection (c);
       (4) by redesignating subsections (d) and (e), as 
     subsections (c) and (d), respectively;
       (5) in subsection (c) (as so redesignated)--
       (A) by amending paragraph (1) to read as follows:
       ``(1) In general.--Funds allocated to a local area under 
     section 133(b) shall be used--
       ``(A) to establish a one-stop delivery system as described 
     in section 121(e);
       ``(B) to provide the work ready services described in 
     paragraph (2) through the one-stop delivery system in 
     accordance with such paragraph; and
       ``(C) to provide training services described in paragraph 
     (4) in accordance with such paragraph.'';
       (B) in paragraph (2)--
       (i) in the heading, by striking ``Core services'' and 
     inserting ``Work ready services'';
       (ii) in the matter preceding subparagraph (A)--

       (I) by striking ``(1)(A)'' and inserting ``(1)'';
       (II) by striking ``core services'' and inserting ``work 
     ready services''; and
       (III) by striking ``who are adults or dislocated workers'';

       (iii) by redesignating subparagraph (K) as subparagraph 
     (V);
       (iv) by redesignating subparagraphs (B) through (J) as 
     subparagraphs (C) through (K), respectively;
       (v) by inserting after subparagraph (A) the following:
       ``(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 involved, such as assisting 
     in--
       ``(i) the submission of applications;
       ``(ii) the provision of information on the results of such 
     applications; and
       ``(iii) the provision of intake services and 
     information;'';
       (vi) by amending subparagraph (E), as so redesignated, to 
     read as follows:
       ``(E) labor exchange services, including--
       ``(i) job search and placement assistance, and where 
     appropriate, career counseling;
       ``(ii) appropriate recruitment services for employers, 
     including small employers, in the local area, which may 
     include services described in this subsection, including 
     provision of information and referral to specialized business 
     services not traditionally offered through the one-stop 
     delivery system; and
       ``(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));'';
       (vii) in subparagraph (F), as so redesignated, by striking 
     ``employment statistics'' and inserting ``workforce and labor 
     market'';
       (viii) in subparagraph (G), as so redesignated, by striking 
     ``and eligible providers of youth activities described in 
     section 123,'';
       (ix) in subparagraph (H), as so redesignated, by inserting 
     ``under section 136'' after ``local performance measures'';
       (x) in subparagraph (J), as so redesignated, by inserting 
     ``and information regarding the administration of the work 
     test for the unemployment compensation system'' after 
     ``compensation'';
       (xi) by amending subparagraph (K), as so redesignated, to 
     read as follows:
       ``(K) assistance in establishing eligibility for programs 
     of financial aid assistance for education and training 
     programs that are not funded under this Act and are available 
     in the local area;''; and
       (xii) by inserting the following new subparagraphs after 
     subparagraph (K), as so redesignated:
       ``(L) the provision of information from official 
     publications of the Internal Revenue Service regarding 
     Federal tax credits, available to participants in employment 
     and training activities, and relating to education, job 
     training, and employment;
       ``(M) comprehensive and specialized assessments of the 
     skill levels and service needs of workers, which may 
     include--
       ``(i) diagnostic testing and use of other assessment tools; 
     and

[[Page 5247]]

       ``(ii) in-depth interviewing and evaluation to identify 
     employment barriers and appropriate employment goals;
       ``(N) development of an individual employment plan, to 
     identify the employment goals, appropriate achievement 
     objectives, and appropriate combination of services for the 
     participant;
       ``(O) group counseling;
       ``(P) individual counseling and career planning;
       ``(Q) case management;
       ``(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;
       ``(S) internships and work experience;
       ``(T) literacy activities relating to basic work readiness, 
     information and communication technology literacy activities, 
     and financial literacy activities, if the activities involved 
     are not available to participants in the local area under 
     programs administered under the Adult Education and Family 
     Literacy Act (20 U.S.C. 9201 et seq.);
       ``(U) out-of-area job search assistance and relocation 
     assistance; and'';
       (C) by amending paragraph (3) to read as follows:
       ``(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.''; and
       (D) in paragraph (4)--
       (i) by amending subparagraph (A) to read as follows:
       ``(A) In general.--Funds described in paragraph (1)(C) 
     shall be used to provide training services to individuals 
     who--
       ``(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--

       ``(I) be in need of training services to obtain or retain 
     employment; and
       ``(II) have the skills and qualifications to successfully 
     participate in the selected program of training services;

       ``(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
       ``(iii) who meet the requirements of subparagraph (B).'';
       (ii) in subparagraph (B)(i), by striking ``Except'' and 
     inserting ``Notwithstanding section 479B of the Higher 
     Education Act of 1965 (20 U.S.C. 1087uu) and except'';
       (iii) by amending subparagraph (D) to read as follows:
       ``(D) Training services.--Training services authorized 
     under this paragraph may include--
       ``(i) occupational skills training;
       ``(ii) on-the-job training;
       ``(iii) skill upgrading and retraining;
       ``(iv) entrepreneurial training;
       ``(v) education activities leading to a regular secondary 
     school diploma or its recognized equivalent in combination 
     with, concurrently or subsequently, occupational skills 
     training;
       ``(vi) adult education and family literacy education 
     activities provided in conjunction with other training 
     services authorized under this subparagraph;
       ``(vii) workplace training combined with related 
     instruction;
       ``(viii) occupational skills training that incorporates 
     English language acquisition;
       ``(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
       ``(x) training programs operated by the private sector.'';
       (iv) by striking subparagraph (E) and redesignating 
     subparagraphs (F) and (G) as subparagraphs (E) and (F), 
     respectively;
       (v) in subparagraph (E) (as so redesignated)--

       (I) in clause (ii)--

       (aa) in the matter preceding subclause (I), by striking 
     ``subsection (c)'' and inserting ``section 121'';
       (bb) in subclause (I), by striking ``section 122(e)'' and 
     inserting ``section 122(d)'' and by striking ``section 
     122(h)'' and inserting ``section 122(i)''; and
       (cc) in subclause (II), by striking ``subsections (e) and 
     (h)'' and inserting ``subsections (d) and (i)''; and

       (II) by striking clause (iii) and inserting the following:

       ``(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.
       ``(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 from (notwithstanding any provision of this title) 
     eligible providers for those programs and sources.
       ``(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.''; and
       (vi) in subparagraph (F) (as so redesignated)--

       (I) in the subparagraph heading, by striking ``individual 
     training accounts'' and inserting ``career enhancement 
     accounts'';
       (II) in clause (i), by striking ``individual training 
     accounts'' and inserting ``career enhancement accounts'';
       (III) in clause (ii)--

       (aa) by striking ``an individual training account'' and 
     inserting ``a career enhancement account'';
       (bb) by striking ``subparagraph (F)'' and inserting 
     ``subparagraph (E)'';
       (cc) in subclause (II), by striking ``individual training 
     accounts'' and inserting ``career enhancement accounts'';
       (dd) in subclause (II), by striking ``or'' after the 
     semicolon;
       (ee) in subclause (III), by striking the period and 
     inserting ``; or''; and
       (ff) by adding at the end the following:

       ``(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 industries or occupations important to the State or 
     local economy, that such contract may be used to enable the 
     expansion of programs provided by a priority eligible 
     provider, and that such contract does not limit customer 
     choice.'';
       (IV) in clause (iii), by striking ``adult or dislocated 
     worker'' and inserting ``individual''; and
       (V) in clause (iv)--

       (aa) by redesignating subclause (IV) as subclause (V); and
       (bb) by inserting after subclause (III) the following:

       ``(IV) Individuals with disabilities.'';

       (6) in subsection (d) (as so redesignated)--
       (A) by amending paragraph (1) to read as follows:
       ``(1) Discretionary one-stop delivery activities.--
       ``(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--
       ``(i) customized screening and referral of qualified 
     participants in training services to employers;
       ``(ii) customized employment-related services to employers 
     on a fee-for-service basis;
       ``(iii) customer supports, including transportation and 
     child care, to navigate among multiple services and 
     activities for special participant populations that face 
     multiple barriers to employment, including individuals with 
     disabilities;
       ``(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.);
       ``(v) incorporation of pay-for-performance contract 
     strategies as an element in funding activities under this 
     section;
       ``(vi) activities to facilitate remote access to services 
     provided through a one-stop delivery system, including 
     facilitating access through the use of technology; and
       ``(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.'';
       (B) by striking paragraphs (2) and (3); and
       (C) by adding at the end the following:
       ``(2) Incumbent worker training programs.--
       ``(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.
       ``(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.
       ``(C) Employer match required.--
       ``(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 payment toward such costs, which may include in-kind 
     contributions.
       ``(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.''; and
       (7) by adding at the end the following:
       ``(e) Priority for Placement in Private Sector Jobs.--In 
     providing employment and

[[Page 5248]]

     training activities authorized under this section, the State 
     board and local board shall give priority to placing 
     participants in jobs in the private sector.
       ``(f) Veteran Employment Specialist.--
       ``(1) In general.--Subject to paragraph (8), a local board 
     shall hire and employ one or more veteran employment 
     specialists to carry out employment, training, supportive, 
     and placement services under this subsection in the local 
     area served by the local board.
       ``(2) Principal duties.--A veteran employment specialist in 
     a local area shall--
       ``(A) conduct outreach to employers in the local area to 
     assist veterans, including disabled veterans, in gaining 
     employment, including--
       ``(i) conducting seminars for employers; and
       ``(ii) in conjunction with employers, conducting job search 
     workshops, and establishing job search groups; and
       ``(B) facilitate the furnishing of employment, training, 
     supportive, and placement services to veterans, including 
     disabled and homeless veterans, in the local area.
       ``(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:
       ``(A) To service-connected disabled veterans.
       ``(B) If no veteran described in subparagraph (A) is 
     available, to veterans.
       ``(C) If no veteran described in subparagraph (A) or (B) is 
     available, to any member of the Armed Forces transitioning 
     out of military service.
       ``(D) If no veteran or member 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.
       ``(E) If no veteran or member 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.
       ``(4) Administration and reporting.--
       ``(A) In general.--Each veteran employment specialist shall 
     be administratively responsible to the one-stop operator of 
     the one-stop center in the local area and shall provide, at a 
     minimum, quarterly reports to the one-stop operator of such 
     center and to the Assistant Secretary for Veterans' 
     Employment and Training for the State on the specialist's 
     performance, and compliance by the specialist with Federal 
     law (including regulations), with respect to the--
       ``(i) principal duties (including facilitating the 
     furnishing of services) for veterans described in paragraph 
     (2); and
       ``(ii) hiring preferences described in paragraph (3) for 
     veterans and other individuals.
       ``(B) Report to secretary.--Each State shall submit to the 
     Secretary an annual report on the qualifications used by each 
     local board in the State in making hiring determinations for 
     a veteran employment specialist and the salary structure 
     under which such specialist is compensated.
       ``(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), and including summaries of outcomes 
     achieved by participating veterans, disaggregated by local 
     areas.
       ``(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.
       ``(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 3-year period 
     that begins on the date on which the employee is so assigned.
       ``(7) Specialist's duties.--A full-time veteran employment 
     specialist shall perform only duties related to 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, supportive, and placement services under this 
     subsection.
       ``(8) State option.--At the request of a local board, a 
     State may opt to assume the duties assigned to the local 
     board under paragraphs (1) and (3), including the hiring and 
     employment of one or more veteran employment specialists for 
     placement in the local area served by the local board.''.

     SEC. __23. PERFORMANCE ACCOUNTABILITY SYSTEM.

       Section 136 (29 U.S.C. 2871) is amended--
       (1) in subsection (b)--
       (A) by amending paragraphs (1) and (2) to read as follows:
       ``(1) In general.--For each State, the State performance 
     measures shall consist of--
       ``(A)(i) the core indicators of performance described in 
     paragraph (2)(A); and
       ``(ii) additional indicators of performance (if any) 
     identified by the State under paragraph (2)(B); and
       ``(B) a State adjusted level of performance for each 
     indicator described in subparagraph (A).
       ``(2) Indicators of performance.--
       ``(A) Core indicators of performance.--
       ``(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 family literacy education 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 (with performance determined in the aggregate and 
     as disaggregated by the populations identified in the State 
     and local plan in each case):

       ``(I) The percentage and number of program participants who 
     are in unsubsidized employment during the second full 
     calendar quarter after exit from the program.
       ``(II) The percentage and number of program participants 
     who are in unsubsidized employment during the fourth full 
     calendar quarter after exit from the program.
       ``(III) The difference in 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 
     participation in such program.
       ``(IV) The percentage and number of program participants 
     who obtain a recognized postsecondary credential (such as an 
     industry-recognized credential or a certificate from a 
     registered apprenticeship program), or a regular secondary 
     school diploma or its recognized equivalent (subject to 
     clause (ii)), during participation in or within 1 year after 
     exit from the program.
       ``(V) The percentage and number of program participants 
     who, during a program year--

       ``(aa) are in an education or training program that leads 
     to a recognized postsecondary credential (such as an 
     industry-recognized credential or a certificate from a 
     registered apprenticeship program), a certificate from an on-
     the-job training program, a regular secondary school diploma 
     or its recognized equivalent, or unsubsidized employment; and
       ``(bb) are achieving measurable basic skill gains toward 
     such a credential, certificate, diploma, or employment.

       ``(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.

       ``(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), within 1 year after exit from the program, have 
     obtained or retained employment, have been removed from 
     public assistance, or have begun an education or training 
     program leading to a recognized postsecondary credential.
       ``(B) Additional indicators.--A State may identify in the 
     State plan additional indicators for workforce investment 
     activities authorized under this subtitle.''; and
       (B) in paragraph (3)--
       (i) in subparagraph (A)--

       (I) in the heading, by striking ``and customer satisfaction 
     indicator'';
       (II) in clause (i), by striking ``and the customer 
     satisfaction indicator described in paragraph (2)(B)'';
       (III) in clause (ii), by striking ``and the customer 
     satisfaction indicator of performance, for the first 3'' and 
     inserting ``, for all 3'';
       (IV) in clause (iii)--

       (aa) in the heading, by striking ``for first 3 years''; and
       (bb) by striking ``and the customer satisfaction indicator 
     of performance, for the first 3 program years'' and inserting 
     ``for all 3 program years'';

       (V) in clause (iv)--

       (aa) by striking ``or (v)'';
       (bb) by striking subclause (I) and redesignating subclauses 
     (II) and (III) as subclauses (I) and (II), respectively; and
       (cc) in subclause (I) (as so redesignated)--
       (AA) by inserting ``, such as unemployment rates and job 
     losses or gains in particular industries'' after ``economic 
     conditions''; and
       (BB) by inserting ``, such as indicators of poor work 
     experience, dislocation from high-wage employment, low levels 
     of literacy or English proficiency, disability status 
     (including disability status among veterans), and welfare 
     dependency,'' after ``program'';

       (VI) by striking clause (v) and redesignating clause (vi) 
     as clause (v); and
       (VII) in clause (v) (as so redesignated)--

[[Page 5249]]

       (aa) by striking ``described in clause (iv)(II)'' and 
     inserting ``described in clause (iv)(I)''; and
       (bb) by striking ``or (v)''; and
       (ii) in subparagraph (B), by striking ``paragraph (2)(C)'' 
     and inserting ``paragraph (2)(B)'';
       (2) in subsection (c)--
       (A) by amending clause (i) of paragraph (1)(A) to read as 
     follows:
       ``(i) the core indicators of performance described in 
     subsection (b)(2)(A) for activities described in such 
     subsection, other than statewide workforce investment 
     activities; and'';
       (B) in clause (ii) of paragraph (1)(A), by striking 
     ``(b)(2)(C)'' and inserting ``(b)(2)(B)''; and
       (C) by amending paragraph (3) to read as follows:
       ``(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 conditions (such as unemployment rates 
     and job losses or gains in particular industries), or 
     demographic characteristics or other characteristics of the 
     population to be served, in the local area.'';
       (3) in subsection (d)--
       (A) in paragraph (1)--
       (i) by striking ``127 or'';
       (ii) by striking ``and the customer satisfaction 
     indicator'' each place it appears; and
       (iii) in the last sentence, by inserting before the period 
     the following: ``, and on the amount and percentage of the 
     State's annual allotment under section 132 the State spends 
     on administrative costs and on the amount and percentage of 
     its annual allocation under section 133 each local area in 
     the State spends on administrative costs'';
       (B) in paragraph (2)--
       (i) by striking subparagraphs (A), (B), and (D);
       (ii) by redesignating subparagraph (C) as subparagraph (A);
       (iii) by redesignating subparagraph (E) as subparagraph 
     (B);
       (iv) in subparagraph (B), as so redesignated--

       (I) by striking ``(excluding participants who received only 
     self-service and informational activities)''; and
       (II) by striking ``and'' at the end;

       (v) by striking subparagraph (F); and
       (vi) by adding at the end the following:
       ``(C) with respect to each local area in the State--
       ``(i) the number of individuals who received work ready 
     services described in section 134(c)(2) and the number of 
     individuals who received training services described in 
     section 134(c)(4), during the most recent program year and 
     fiscal year, and the preceding 5 program years, disaggregated 
     (for individuals who received work ready services) by the 
     type of entity that provided the work ready services and 
     disaggregated (for individuals who received training 
     services) by the type of entity that provided the training 
     services, and the amount of funds spent on each of the 2 
     types of services during the most recent program year and 
     fiscal year, and the preceding 5 fiscal years;
       ``(ii) the number of individuals who successfully exited 
     out of work ready services described in section 134(c)(2) and 
     the number of individuals who exited out of training services 
     described in section 134(c)(4), during the most recent 
     program year and fiscal year, and the preceding 5 program 
     years, disaggregated (for individuals who received work ready 
     services) by the type of entity that provided the work ready 
     services and disaggregated (for individuals who received 
     training services) by the type of entity that provided the 
     training services; and
       ``(iii) the average cost per participant of those 
     individuals who received work ready services described in 
     section 134(c)(2) and the average cost per participant of 
     those individuals who received training services described in 
     section 134(c)(4), during the most recent program year and 
     fiscal year, and the preceding 5 program years, disaggregated 
     (for individuals who received work ready services) by the 
     type of entity that provided the work ready services and 
     disaggregated (for individuals who received training 
     services) by the type of entity that provided the training 
     services; and
       ``(D) the amount of funds spent on training services and 
     discretionary activities described in section 134(d), 
     disaggregated by the populations identified under section 
     112(b)(16)(A)(iv) and section 118(b)(10).'';
       (C) in paragraph (3)(A), by striking ``through 
     publication'' and inserting ``through electronic means''; and
       (D) by adding at the end the following:
       ``(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 reports is valid and 
     reliable.
       ``(5) State and local policies.--
       ``(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.
       ``(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.'';
       (4) in subsection (g)--
       (A) in paragraph (1)--
       (i) in subparagraph (A), by striking ``or (B)''; and
       (ii) in subparagraph (B), by striking ``may reduce by not 
     more than 5 percent,'' and inserting ``shall reduce''; and
       (B) by striking paragraph (2) and inserting the following:
       ``(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).'';
       (5) in subsection (h)--
       (A) in paragraph (1), by striking ``or (B)''; and
       (B) in paragraph (2)--
       (i) in subparagraph (A), by amending the matter preceding 
     clause (i) to read as follows:
       ``(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--'';
       (ii) by redesignating subparagraphs (B) and (C) as 
     subparagraphs (C) and (D), respectively;
       (iii) by inserting after subparagraph (A), the following:
       ``(B) Reduction in the amount of grant.--If such failure 
     continues for a third consecutive year, the Governor 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.'';
       (iv) in subparagraph (C)(i) (as so redesignated), by 
     striking ``a reorganization plan under subparagraph (A) may, 
     not later than 30 days after receiving notice of the 
     reorganization plan, appeal to the Governor to rescind or 
     revise such plan'' and inserting ``corrective action under 
     subparagraph (A) or (B) may, not later than 30 days after 
     receiving notice of the action, appeal to the Governor to 
     rescind or revise such action''; and
       (v) in subparagraph (D) (as so redesignated), by striking 
     ``subparagraph (B)'' each place it appears and inserting 
     ``subparagraph (C)'';
       (6) in subsection (i)--
       (A) in paragraph (1)--
       (i) in subparagraph (B), by striking ``subsection 
     (b)(2)(C)'' and inserting ``subsection (b)(2)(B)''; and
       (ii) in subparagraph (C), by striking ``(b)(3)(A)(vi)'' and 
     inserting ``(b)(3)(A)(v)'';
       (B) in paragraph (2), by striking ``the activities 
     described in section 502 concerning''; and
       (C) in paragraph (3), by striking ``described in paragraph 
     (1) and in the activities described in section 502'' and 
     inserting ``and activities described in this subsection''; 
     and
       (7) by adding at the end the following new subsections:
       ``(j) Use of Core Indicators for Other Programs.--
     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 in section 
     121(b)(1)(B) (in addition to the programs carried out under 
     chapter 5) that are carried out by the Secretary.
       ``(k) Establishing Pay-for-Performance Incentives.--
       ``(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 activities in the 
     local areas served by the local boards.
       ``(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.
       ``(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.''.

     SEC. __24. AUTHORIZATION OF APPROPRIATIONS.

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

     ``SEC. 137. AUTHORIZATION OF APPROPRIATIONS.

       ``There are authorized to be appropriated to carry out the 
     activities described in section 132, $6,245,318,000 for 
     fiscal year 2015 and each of the 6 succeeding fiscal 
     years.''.

                          CHAPTER 3--JOB CORPS

     SEC. __26. JOB CORPS PURPOSES.

       Paragraph (1) of section 141 (29 U.S.C. 2881(1)) is amended 
     to read as follows:

[[Page 5250]]

       ``(1) to maintain a national Job Corps program for at-risk 
     youth, carried out in partnership with States and 
     communities, to assist eligible youth to connect to the 
     workforce by providing them with intensive academic, career 
     and technical education, and service-learning opportunities, 
     in residential and nonresidential centers, in order for such 
     youth to obtain regular secondary school diplomas and 
     recognized postsecondary credentials leading to successful 
     careers in in-demand industries that will result in 
     opportunities for advancement;''.

     SEC. __27. JOB CORPS DEFINITIONS.

       Section 142 (29 U.S.C. 2882) is amended--
       (1) in paragraph (2)--
       (A) in the paragraph heading, by striking ``Applicable one-
     stop'' and inserting ``One-stop'';
       (B) by striking ``applicable'';
       (C) by striking ``customer service''; and
       (D) by striking ``intake'' and inserting ``assessment'';
       (2) in paragraph (4), by striking ``before completing the 
     requirements'' and all that follows and inserting ``prior to 
     becoming a graduate.''; and
       (3) in paragraph (5), by striking ``has completed the 
     requirements'' and all that follows and inserting the 
     following: ``who, as a result of participation in the Job 
     Corps program, has received a regular secondary school 
     diploma, completed the requirements of a career and technical 
     education and training program, or received, or is making 
     satisfactory progress (as defined under section 484(c) of the 
     Higher Education Act of 1965 (20 U.S.C. 1091(c))) toward 
     receiving, a recognized postsecondary credential (including 
     an industry-recognized credential) that prepares individuals 
     for employment leading to economic self-sufficiency.''.

     SEC. __28. INDIVIDUALS ELIGIBLE FOR THE JOB CORPS.

       Section 144 (29 U.S.C. 2884) is amended--
       (1) by amending paragraph (1) to read as follows:
       ``(1) not less than age 16 and not more than age 24 on the 
     date of enrollment;'';
       (2) in paragraph (3)(B), by inserting ``secondary'' before 
     ``school''; and
       (3) in paragraph (3)(E), by striking ``vocational'' and 
     inserting ``career and technical education and''.

     SEC. __29. RECRUITMENT, SCREENING, SELECTION, AND ASSIGNMENT 
                   OF ENROLLEES.

       Section 145 (29 U.S.C. 2885) is amended--
       (1) in subsection (a)--
       (A) in paragraph (2)(C)(i) by striking ``vocational'' and 
     inserting ``career and technical education and training''; 
     and
       (B) in paragraph (3)--
       (i) by striking ``To the extent practicable, the'' and 
     inserting ``The'';
       (ii) in subparagraph (A)--

       (I) by striking ``applicable''; and
       (II) by inserting ``and'' after the semicolon;

       (iii) by striking subparagraphs (B) and (C); and
       (iv) by adding at the end the following:
       ``(B) organizations that have a demonstrated record of 
     effectiveness in placing at-risk youth into employment.'';
       (2) in subsection (b)--
       (A) in paragraph (1)--
       (i) in subparagraph (B), by inserting ``and agrees to such 
     rules'' after ``failure to observe the rules''; and
       (ii) by amending subparagraph (C) to read as follows:
       ``(C) the individual has passed a background check 
     conducted in accordance with procedures established by the 
     Secretary, which shall include--
       ``(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;
       ``(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;
       ``(iii) a search of the National Crime Information Center;
       ``(iv) a Federal Bureau of Investigation fingerprint check 
     using the Integrated Automated Fingerprint Identification 
     System; and
       ``(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.).''; and
       (B) by adding at the end the following new paragraph:
       ``(3) Individuals convicted of a crime.--An individual 
     shall be ineligible for enrollment if the individual--
       ``(A) makes a false statement in connection with the 
     criminal background check described in paragraph (1)(C);
       ``(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
       ``(C) has been convicted of a felony consisting of--
       ``(i) homicide;
       ``(ii) child abuse or neglect;
       ``(iii) a crime against children, including child 
     pornography;
       ``(iv) a crime involving rape or sexual assault; or
       ``(v) physical assault, battery, or a drug-related offense, 
     committed within the past 5 years.'';
       (3) in subsection (c)--
       (A) in paragraph (1)--
       (i) by striking ``2 years'' and inserting ``year''; and
       (ii) by striking ``an assignment'' and inserting ``a''; and
       (B) in paragraph (2)--
       (i) in the matter preceding subparagraph (A), by striking 
     ``, every 2 years,'';
       (ii) in subparagraph (B), by striking ``and'' at the end;
       (iii) in subparagraph (C)--

       (I) by inserting ``the education and training'' after 
     ``including''; and
       (II) by striking the period at the end and inserting ``; 
     and''; and

       (iv) by adding at the end the following:
       ``(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).''; and
       (4) in subsection (d)--
       (A) in paragraph (1)--
       (i) in the matter preceding subparagraph (A), by striking 
     ``is closest to the home of the enrollee, except that the'' 
     and inserting ``offers the type of career and technical 
     education and training selected by the individual and, among 
     the centers that offer such education and training, is 
     closest to the home of the individual. The'';
       (ii) by striking subparagraph (A); and
       (iii) by redesignating subparagraphs (B) and (C) as 
     subparagraphs (A) and (B), respectively; and
       (B) in paragraph (2), by inserting ``that offers the career 
     and technical education and training desired by'' after 
     ``home of the enrollee''.

     SEC. __30. JOB CORPS CENTERS.

       Section 147 (29 U.S.C. 2887) is amended--
       (1) in subsection (a)--
       (A) in paragraph (1)(A), by striking ``vocational'' both 
     places it appears and inserting ``career and technical''; and
       (B) in paragraph (2)--
       (i) in subparagraph (A)--

       (I) by striking ``subsections (c) and (d) of section 303 of 
     the Federal Property and Administrative Services Act of 1949 
     (41 U.S.C. 253)'' and inserting ``subsections (a) and (b) of 
     section 3304 of title 41, United States Code''; and
       (II) by striking ``industry council'' and inserting 
     ``workforce council'';

       (ii) in subparagraph (B)(i)--

       (I) by amending subclause (II) to read as follows:
       ``(II) the ability of the entity to offer career and 
     technical education and training that the workforce council 
     proposes under section 154(c);'';
       (II) in subclause (III), by striking ``is familiar with the 
     surrounding communities, applicable'' and inserting 
     ``demonstrates relationships with the surrounding 
     communities, employers, workforce boards,'' and by striking 
     ``and'' at the end;
       (III) by amending subclause (IV) to read as follows:
       ``(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''; and
       (IV) by adding at the end the following new subclause:
       ``(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.''; 
     and

       (iii) in subparagraph (B)(ii)--

       (I) by striking ``, as appropriate''; and
       (II) by striking ``through (IV)'' and inserting ``through 
     (V)'';

       (2) in subsection (b), by striking ``In any year, no more 
     than 20 percent of the individuals enrolled in the Job Corps 
     may be nonresidential participants in the Job Corps.'';
       (3) by amending subsection (c) to read as follows:
       ``(c) Civilian Conservation Centers.--
       ``(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.
       ``(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).''; and
       (4) by striking subsection (d) and inserting the following:
       ``(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

[[Page 5251]]

     containing such information as the Secretary may require, 
     including--
       ``(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;
       ``(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;
       ``(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;
       ``(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;
       ``(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);
       ``(6) a description of the strategies and policies the 
     entity will utilize to reduce participant costs;
       ``(7) a description of the steps taken to control costs in 
     accordance with section 159(a)(3);
       ``(8) a detailed budget of the activities that will be 
     supported using funds under this subtitle;
       ``(9) a detailed budget of the activities that will be 
     supported using funds from non-Federal resources;
       ``(10) an assurance the entity will comply with the 
     administrative cost limitation included in section 151(c);
       ``(11) an assurance the entity is licensed to operate in 
     the State in which the center is located; and
       ``(12) an assurance the entity will comply with and meet 
     basic health and safety codes, including those measures 
     described in section 152(b).
       ``(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 1-year 
     periods if the entity meets the requirements of subsection 
     (f).
       ``(f) Renewal.--
       ``(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).
       ``(2) Recompetition.--
       ``(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.
       ``(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--
       ``(i) a threat to the health, safety, or civil rights of 
     program participants or staff;
       ``(ii) the misuse of funds received under this subtitle;
       ``(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;
       ``(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
       ``(v) an unresolved area of noncompliance.
       ``(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.''.

     SEC. __31. PROGRAM ACTIVITIES.

       Section 148 (29 U.S.C. 2888) is amended--
       (1) by amending subsection (a) to read as follows:
       ``(a) Activities Provided Through Job Corps Centers.--
       ``(1) In general.--Each Job Corps center shall provide 
     enrollees with an intensive, well-organized, and supervised 
     program of education, career and technical education and 
     training, work experience, recreational activities, physical 
     rehabilitation and development, and counseling. Each Job 
     Corps center shall provide enrollees assigned to the center 
     with access to work ready services described in section 
     134(c)(2).
       ``(2) Relationship to opportunities.--
       ``(A) In general.--The activities provided under this 
     subsection shall be targeted to helping enrollees, on 
     completion of their enrollment--
       ``(i) secure and maintain meaningful unsubsidized 
     employment;
       ``(ii) complete secondary education and obtain a regular 
     secondary school diploma;
       ``(iii) enroll in and complete postsecondary education or 
     training programs, including obtaining recognized 
     postsecondary credentials (such as industry-recognized 
     credentials and certificates from registered apprenticeship 
     programs); or
       ``(iv) satisfy Armed Forces requirements.
       ``(B) Link to employment opportunities.--The career and 
     technical education and training provided shall be linked to 
     the employment opportunities in in-demand industries in the 
     State in which the Job Corps center is located.'';
       (2) in subsection (b)--
       (A) in the subsection heading, by striking ``Education and 
     Vocational'' and inserting ``Academic and Career and 
     Technical Education and'';
       (B) by striking ``may'' after ``The Secretary'' and 
     inserting ``shall''; and
       (C) by striking ``vocational'' each place it appears and 
     inserting ``career and technical''; and
       (3) by amending paragraph (3) of subsection (c) to read as 
     follows:
       ``(3) Demonstration.--Each year, any operator seeking to 
     enroll additional enrollees in an advanced career training 
     program shall demonstrate, before the operator may carry out 
     such additional enrollment, that--
       ``(A) participants in such program have achieved a 
     satisfactory rate of completion and placement in training-
     related jobs; and
       ``(B) such operator has met or exceeded the indicators of 
     performance described in paragraphs (1) and (2) of section 
     159(c) for the previous year.''.

     SEC. __32. COUNSELING AND JOB PLACEMENT.

       Section 149 (29 U.S.C. 2889) is amended--
       (1) in subsection (a), by striking ``vocational'' and 
     inserting ``career and technical education and'';
       (2) in subsection (b)--
       (A) by striking ``make every effort to arrange to''; and
       (B) by striking ``to assist'' and inserting ``assist''; and
       (3) by striking subsection (d).

     SEC. __33. SUPPORT.

       Subsection (b) of section 150 (29 U.S.C. 2890) is amended 
     to read as follows:
       ``(b) Transition Allowances and Support for Graduates.--The 
     Secretary shall arrange for a transition allowance to be paid 
     to graduates. The transition allowance shall be incentive-
     based to reflect a graduate's completion of academic, career 
     and technical education or training, and attainment of a 
     recognized postsecondary credential, including an industry-
     recognized credential.''.

     SEC. __34. OPERATIONS.

       Section 151 (29 U.S.C. 2891) is amended--
       (1) in the header, by striking ``operating plan.'' and 
     inserting ``operations.'';
       (2) in subsection (a), by striking ``In General.--'' and 
     inserting ``Operating Plan.--'';
       (3) by striking subsection (b) and redesignating subsection 
     (c) as subsection (b);
       (4) by amending subsection (b) (as so redesignated)--
       (A) in the heading by inserting ``of Operating Plan'' after 
     ``Availability''; and
       (B) by striking ``subsections (a) and (b)'' and inserting 
     ``subsection (a)''; and
       (5) by adding at the end the following new subsection:
       ``(c) Administrative Costs.--Not more than 10 percent of 
     the funds allotted under section 147 to an entity selected to 
     operate a Job Corps center may be used by the entity for 
     administrative costs under this subtitle.''.

     SEC. __35. COMMUNITY PARTICIPATION.

       Section 153 (29 U.S.C. 2893) is amended to read as follows:

     ``SEC. 153. COMMUNITY PARTICIPATION.

       ``The director of each Job Corps center shall encourage and 
     cooperate in activities to establish a mutually beneficial 
     relationship between Job Corps centers in the State and 
     nearby communities. Such activities may include the use of 
     any local workforce development boards established under 
     section 117 to provide a mechanism for joint discussion of 
     common problems and for planning programs of mutual 
     interest.''.

     SEC. __36. WORKFORCE COUNCILS.

       Section 154 (29 U.S.C. 2894) is amended to read as follows:

     ``SEC. 154. WORKFORCE COUNCILS.

       ``(a) In General.--Each Job Corps center shall have a 
     workforce council appointed by the Governor of the State in 
     which the Job Corps center is located.
       ``(b) Workforce Council Composition.--
       ``(1) In general.--A workforce council shall be comprised 
     of--
       ``(A) business members of the State board described in 
     section 111(b)(1)(B)(i);
       ``(B) business members of the local boards described in 
     section 117(b)(2)(A) located in the State;
       ``(C) a representative of the State board described in 
     section 111(f); and
       ``(D) such other representatives and State agency officials 
     as the Governor may designate.
       ``(2) Majority.--A \2/3\ majority of the members of the 
     workforce council shall be representatives described in 
     paragraph (1)(A).

[[Page 5252]]

       ``(c) Responsibilities.--The responsibilities of the 
     workforce council shall be--
       ``(1) to review all the relevant labor market information, 
     including related information in the State plan described in 
     section 112, to--
       ``(A) determine the in-demand industries in the State in 
     which enrollees intend to seek employment after graduation;
       ``(B) determine the skills and education that are necessary 
     to obtain the employment opportunities described in 
     subparagraph (A); and
       ``(C) determine the type or types of career and technical 
     education and training that will be implemented at the center 
     to enable the enrollees to obtain the employment 
     opportunities; and
       ``(2) to meet at least once a year to reevaluate the labor 
     market information, and other relevant information, to 
     determine any necessary changes in the career and technical 
     education and training provided at the center.''.

     SEC. __37. TECHNICAL ASSISTANCE.

       Section 156 (29 U.S.C. 2896) is amended to read as follows:

     ``SEC. 156. TECHNICAL ASSISTANCE TO CENTERS.

       ``(a) In General.--From the funds reserved under section 
     132(a)(3), the Secretary shall provide, directly or through 
     grants, contracts, or other agreements or arrangements as the 
     Secretary considers appropriate, technical assistance and 
     training for the Job Corps program for the purposes of 
     improving program quality.
       ``(b) Activities.--In providing training and technical 
     assistance and for allocating resources for such assistance, 
     the Secretary shall--
       ``(1) assist entities, including those entities not 
     currently operating a Job Corps center, in developing the 
     application described in section 147(d);
       ``(2) assist Job Corps centers and programs in correcting 
     deficiencies and violations under this subtitle;
       ``(3) assist Job Corps centers and programs in meeting or 
     exceeding the indicators of performance described in 
     paragraphs (1) and (2) of section 159(c); and
       ``(4) assist Job Corps centers and programs in the 
     development of sound management practices, including 
     financial management procedures.''.

     SEC. __38. SPECIAL PROVISIONS.

       Section 158(c)(1) (29 U.S.C. 2989(c)(1)) is amended by 
     striking ``title II of the Federal Property and 
     Administrative Services Act of 1949 (40 U.S.C. 481 et seq.)'' 
     and inserting ``chapter 5 of title 40, United States Code,''.

     SEC. __39. PERFORMANCE ACCOUNTABILITY MANAGEMENT.

       Section 159 (29 U.S.C. 2899) is amended--
       (1) in the section heading, by striking ``management 
     information'' and inserting ``performance accountability and 
     management'';
       (2) in subsection (a)(3), by inserting before the period at 
     the end the following: ``, or operating costs for such 
     centers result in a budgetary shortfall'';
       (3) by striking subsections (c) through (g); and
       (4) by inserting after subsection (b) the following:
       ``(c) Indicators of Performance.--
       ``(1) Primary indicators.--The annual primary indicators of 
     performance for Job Corps centers shall include--
       ``(A) the percentage and number of enrollees who graduate 
     from the Job Corps center;
       ``(B) the percentage and number of graduates who entered 
     unsubsidized employment related to the career and technical 
     education and training received through the Job Corps center, 
     except that such calculation shall not include enrollment in 
     education, the military, or volunteer service;
       ``(C) the percentage and number of graduates who obtained a 
     recognized postsecondary credential, including an industry-
     recognized credential or a certificate from a registered 
     apprenticeship program; and
       ``(D) the cost per successful performance outcome, which is 
     calculated by comparing the number of graduates who were 
     placed in unsubsidized employment or obtained a recognized 
     postsecondary credential, including an industry-recognized 
     credential, to total program costs, including all operations, 
     construction, and administration costs at each Job Corps 
     center.
       ``(2) Secondary indicators.--The annual secondary 
     indicators of performance for Job Corps centers shall 
     include--
       ``(A) the percentage and number of graduates who entered 
     unsubsidized employment not related to the career and 
     technical education and training received through the Job 
     Corps center;
       ``(B) the percentage and number of graduates who entered 
     into postsecondary education;
       ``(C) the percentage and number of graduates who entered 
     into the military;
       ``(D) the average wage of graduates who are in unsubsidized 
     employment--
       ``(i) on the first day of employment; and
       ``(ii) 6 months after the first day;
       ``(E) the number and percentage of graduates who entered 
     unsubsidized employment and were retained in the unsubsidized 
     employment--
       ``(i) 6 months after the first day of employment; and
       ``(ii) 12 months after the first day of employment;
       ``(F) the percentage and number of enrollees compared to 
     the percentage and number of enrollees the Secretary has 
     established as targets in section 145(c)(1);
       ``(G) the cost per training slot, which is calculated by 
     comparing the program's maximum number of enrollees that can 
     be enrolled in a Job Corps center at any given time during 
     the program year to the number of enrollees in the same 
     program year; and
       ``(H) the number and percentage of former enrollees, 
     including the number dismissed under the zero tolerance 
     policy described in section 152(b).
       ``(3) Indicators of performance for recruiters.--The annual 
     indicators of performance for recruiters shall include the 
     measurements described in subparagraph (A) of paragraph (1) 
     and subparagraphs (F), (G), and (H) of paragraph (2).
       ``(4) Indicators of performance of career transition 
     service providers.--The annual indicators of performance of 
     career transition service providers shall include the 
     measurements described in subparagraphs (B) and (C) of 
     paragraph (1) and subparagraphs, (B), (C), (D), and (E) of 
     paragraph (2).
       ``(d) Additional Information.--The Secretary shall collect, 
     and submit in the report described in subsection (f), 
     information on the performance of each Job Corps center, and 
     the Job Corps program, regarding--
       ``(1) the number and percentage of former enrollees who 
     obtained a regular secondary school diploma;
       ``(2) the number and percentage of former enrollees who 
     entered unsubsidized employment;
       ``(3) the number and percentage of former enrollees who 
     obtained a recognized postsecondary credential, including an 
     industry-recognized credential;
       ``(4) the number and percentage of former enrollees who 
     entered into military service; and
       ``(5) any additional information required by the Secretary.
       ``(e) Methods.--The Secretary shall collect the information 
     described in subsections (c) and (d), using methods described 
     in section 136(f)(2) and consistent with State law, by 
     entering into agreements with the States to access such data 
     for Job Corps enrollees, former enrollees, and graduates.
       ``(f) Transparency and Accountability.--
       ``(1) Report.--The Secretary shall collect and annually 
     submit to the Committee on Education and the Workforce of the 
     House of Representatives and the Committee on Health, 
     Education, Labor and Pensions of the Senate, and make 
     available to the public by electronic means, a report 
     containing--
       ``(A) information on the performance of each Job Corps 
     center, and the Job Corps program, on the performance 
     indicators described in paragraphs (1) and (2) of subsection 
     (c);
       ``(B) a comparison of each Job Corps center, by rank, on 
     the performance indicators described in paragraphs (1) and 
     (2) of subsection (c);
       ``(C) a comparison of each Job Corps center, by rank, on 
     the average performance of all primary indicators described 
     in paragraph (1) of subsection (c);
       ``(D) information on the performance of the service 
     providers described in paragraphs (3) and (4) of subsection 
     (c) on the performance indicators established under such 
     paragraphs; and
       ``(E) a comparison of each service provider, by rank, on 
     the performance of all service providers described in 
     paragraphs (3) and (4) of subsection (c) on the performance 
     indicators established under such paragraphs.
       ``(2) Assessment.--The Secretary shall conduct an annual 
     assessment of the performance of each Job Corps center which 
     shall include information on the Job Corps centers that--
       ``(A) are ranked in the bottom 10 percent on the 
     performance indicator described in paragraph (1)(C); or
       ``(B) have failed a safety and health code review described 
     in subsection (g).
       ``(3) Performance improvement.--With respect to a Job Corps 
     center that is identified under paragraph (2) or reports less 
     than 50 percent on the performance indicators described in 
     subparagraph (A), (B), or (C) of subsection (c)(1), the 
     Secretary shall develop and implement a 1 year performance 
     improvement plan. Such a plan shall require action 
     including--
       ``(A) providing technical assistance to the center;
       ``(B) changing the management staff of the center;
       ``(C) replacing the operator of the center;
       ``(D) reducing the capacity of the center; or
       ``(E) closing the center.
       ``(4) Closure of job corps centers.--Job Corps centers that 
     have been identified under paragraph (2) for more than 4 
     consecutive years shall be closed. The Secretary shall 
     ensure--
       ``(A) that the proposed decision to close the center is 
     announced in advance to the general public through 
     publication in the Federal Register and other appropriate 
     means; and
       ``(B) the establishment of a reasonable comment period, not 
     to exceed 30 days, for interested individuals to submit 
     written comments to the Secretary.

[[Page 5253]]

       ``(g) Participant Health and Safety.--The Secretary shall 
     enter into an agreement with the General Services 
     Administration or the appropriate State agency responsible 
     for inspecting public buildings and safeguarding the health 
     of disadvantaged students, to conduct an in-person review of 
     the physical condition and health-related activities of each 
     Job Corps center annually. Such review shall include a 
     passing rate of occupancy under Federal and State 
     ordinances.''.

                      CHAPTER 4--NATIONAL PROGRAMS

     SEC. __41. TECHNICAL ASSISTANCE.

       Section 170 (29 U.S.C. 2915) is amended--
       (1) by striking subsection (b);
       (2) by striking:
       ``(a) General Technical Assistance.--'';
       (3) by redesignating paragraphs (1), (2), and (3) as 
     subsections (a), (b), and (c) respectively, and moving such 
     subsections 2 ems to the left, and conforming the casing 
     style of the headings of such subsections to the casing style 
     of the heading of subsection (d), as added by paragraph (7) 
     of this section;
       (4) in subsection (a) (as so redesignated)--
       (A) by inserting ``the training of staff providing rapid 
     response services and additional assistance, the training of 
     other staff of recipients of funds under this title, 
     assistance regarding accounting and program operation 
     practices (when such assistance would not be duplicative to 
     assistance provided by the State), technical assistance to 
     States that do not meet State performance measures described 
     in section 136,'' after ``localities,''; and
       (B) by striking ``from carrying out activities'' and all 
     that follows up to the period and inserting ``to implement 
     the amendments made by the SKILLS Act'';
       (5) in subsection (b) (as so redesignated)--
       (A) by striking ``paragraph (1)'' and inserting 
     ``subsection (a)'';
       (B) by striking ``, or recipient of financial assistance 
     under any of sections 166 through 169,''; and
       (C) by striking ``or grant recipient'';
       (6) in subsection (c) (as so redesignated), by striking 
     ``paragraph (1)'' and inserting ``subsection (a)''; and
       (7) by inserting, after subsection (c) (as so 
     redesignated), the following:
       ``(d) Best Practices Coordination.--The Secretary shall--
       ``(1) establish a system through which States may share 
     information regarding best practices with regard to the 
     operation of workforce investment activities under this Act; 
     and
       ``(2) evaluate and disseminate information regarding best 
     practices and identify knowledge gaps.''.

     SEC. __42. EVALUATIONS.

       Section 172 (29 U.S.C. 2917) is amended--
       (1) in subsection (a), by striking ``the Secretary shall 
     provide for the continuing evaluation of the programs and 
     activities, including those programs and activities carried 
     out under section 171'' and inserting ``the Secretary, 
     through grants, contracts, or cooperative agreements, shall 
     conduct, at least once every 5 years, an independent 
     evaluation of the programs and activities funded under this 
     Act'';
       (2) by amending subsection (a)(4) to read as follows:
       ``(4) the impact of receiving services and not receiving 
     services under such programs and activities on the community, 
     businesses, and individuals;'';
       (3) by amending subsection (c) to read as follows:
       ``(c) Techniques.--Evaluations conducted under this section 
     shall utilize appropriate and rigorous methodology and 
     research designs, including the use of control groups chosen 
     by scientific random assignment methodologies, quasi-
     experimental methods, impact analysis and the use of 
     administrative data. The Secretary shall conduct an impact 
     analysis, as described in subsection (a)(4), of the formula 
     grant program under subtitle B not later than 2016, and 
     thereafter shall conduct such an analysis not less than once 
     every 4 years.'';
       (4) in subsection (e), by striking ``the Committee on Labor 
     and Human Resources of the Senate'' and inserting ``the 
     Committee on Health, Education, Labor, and Pensions of the 
     Senate'';
       (5) by redesignating subsection (f) as subsection (g) and 
     inserting after subsection (e) the following:
       ``(f) Reduction of Amounts Authorized To Be Appropriated 
     for Late Reporting.--If a report required to be transmitted 
     to Congress under this section is not transmitted on or 
     before the time period specified for that report, amounts 
     authorized to be appropriated under this title shall be 
     reduced by 10 percent for the fiscal year that begins after 
     the date on which the final report required under this 
     section is required to be transmitted and reduced by an 
     additional 10 percent each subsequent fiscal year until each 
     such report is transmitted to Congress.''; and
       (6) by adding at the end, the following:
       ``(h) Public Availability.--The results of the evaluations 
     conducted under this section shall be made publicly 
     available, including by posting such results on the 
     Department's website.''.

                       CHAPTER 5--ADMINISTRATION

     SEC. __46. REQUIREMENTS AND RESTRICTIONS.

       Section 181 (29 U.S.C. 2931) is amended--
       (1) in subsection (b)(6), by striking ``, including 
     representatives of businesses and of labor organizations,'';
       (2) in subsection (c)(2)(A), in the matter preceding clause 
     (i), by striking ``shall'' and inserting ``may'';
       (3) in subsection (e)--
       (A) by striking ``training for'' and inserting ``the entry 
     into employment, retention in employment, or increases in 
     earnings of''; and
       (B) by striking ``subtitle B'' and inserting ``this Act'';
       (4) in subsection (f)(4), by striking ``134(a)(3)(B)'' and 
     inserting ``133(a)(4)''; and
       (5) by adding at the end the following:
       ``(g) Salary and Bonus Limitation.--
       ``(1) In general.--No funds provided under this title shall 
     be used by a recipient or subrecipient of such funds to pay 
     the salary and bonuses of an individual, either as direct 
     costs or indirect costs, at a rate in excess of the rate 
     prescribed in level II of the Executive Schedule under 
     section 5315 of title 5, United States Code.
       ``(2) Vendors.--The limitation described in paragraph (1) 
     shall not apply to vendors providing goods and services as 
     defined in OMB Circular A-133.
       ``(3) Lower limit.--In a case in which a State is a 
     recipient of such funds, the State may establish a lower 
     limit than is provided in paragraph (1) for salaries and 
     bonuses of those receiving salaries and bonuses from a 
     subrecipient of such funds, taking into account factors 
     including the relative cost of living in the State, the 
     compensation levels for comparable State or local government 
     employees, and the size of the organizations that administer 
     the Federal programs involved.
       ``(h) General Authority.--
       ``(1) In general.--The Employment and Training 
     Administration of the Department of Labor (referred to in 
     this Act as the `Administration') shall administer all 
     programs authorized under title I and the Wagner-Peyser Act 
     (29 U.S.C. 49 et seq.). The Administration shall be headed by 
     an Assistant Secretary appointed by the President by and with 
     the advice and consent of the Senate. Except for title II and 
     the Rehabilitation Act of 1973 (29 U.S.C. 701 et seq.), the 
     Administration shall be the principal agency, and the 
     Assistant Secretary shall be the principal officer, of such 
     Department for carrying out this Act.
       ``(2) Qualifications.--The Assistant Secretary shall be an 
     individual with substantial experience in workforce 
     development and in workforce development management. The 
     Assistant Secretary shall also, to the maximum extent 
     possible, possess knowledge and have worked in or with the 
     State or local workforce investment system or have been a 
     member of the business community.
       ``(3) Functions.--In the performance of the functions of 
     the office, the Assistant Secretary shall be directly 
     responsible to the Secretary or the Deputy Secretary of 
     Labor, as determined by the Secretary. The functions of the 
     Assistant Secretary shall not be delegated to any officer not 
     directly responsible, both with respect to program operation 
     and administration, to the Assistant Secretary. Any reference 
     in this Act to duties to be carried out by the Assistant 
     Secretary shall be considered to be a reference to duties to 
     be carried out by the Secretary acting through the Assistant 
     Secretary.''.

     SEC. __47. PROMPT ALLOCATION OF FUNDS.

       Section 182 (29 U.S.C. 2932) is amended--
       (1) in subsection (c)--
       (A) by striking ``127 or''; and
       (B) by striking ``, except that'' and all that follows and 
     inserting a period; and
       (2) in subsection (e)--
       (A) by striking ``sections 128 and 133'' and inserting 
     ``section 133''; and
       (B) by striking ``127 or''.

     SEC. __48. FISCAL CONTROLS; SANCTIONS.

       Section 184(a)(2) (29 U.S.C. 2934(a)(2)) is amended--
       (1) by striking ``(A)'' and all that follows through 
     ``Each'' and inserting ``Each''; and
       (2) by striking subparagraph (B).

     SEC. __49. REPORTS TO CONGRESS.

       Section 185 (29 U.S.C. 2935) is amended--
       (1) in subsection (c)--
       (A) in paragraph (2), by striking ``and'' after the 
     semicolon;
       (B) in paragraph (3), by striking the period and inserting 
     ``; and''; and
       (C) by adding at the end the following:
       ``(4) shall have the option to submit or disseminate 
     electronically any reports, records, plans, or other data 
     that are required to be collected or disseminated under this 
     title.''; and
       (2) in subsection (e)(2), by inserting ``and the Secretary 
     shall submit to the Committee on Education and the Workforce 
     of the House of Representatives and the Committee on Health, 
     Education, Labor, and Pensions of the Senate,'' after 
     ``Secretary,''.

     SEC. __50. ADMINISTRATIVE PROVISIONS.

       Section 189 (29 U.S.C. 2939) is amended--
       (1) in subsection (g)--
       (A) by amending paragraph (1) to read as follows:
       ``(1) In general.--Appropriations for any fiscal year for 
     programs and activities carried out under this title shall be 
     available for obligation only on the basis of a program year. 
     The program year shall begin on October 1 in the fiscal year 
     for which the appropriation is made.''; and

[[Page 5254]]

       (B) in paragraph (2)--
       (i) in the first sentence, by striking ``each State'' and 
     inserting ``each recipient (except as otherwise provided in 
     this paragraph)''; and
       (ii) in the second sentence, by striking ``171 or'';
       (2) in subsection (i)--
       (A) by striking paragraphs (2) and (3);
       (B) by redesignating paragraph (4) as paragraph (2);
       (C) by amending paragraph (2)(A), as so redesignated--
       (i) in clause (i), by striking ``; and'' and inserting a 
     period at the end;
       (ii) by striking ``requirements of subparagraph (B)'' and 
     all that follows through ``any of the statutory or regulatory 
     requirements of subtitle B'' and inserting ``requirements of 
     subparagraph (B) or (D), any of the statutory or regulatory 
     requirements of subtitle B''; and
       (iii) by striking clause (ii); and
       (D) by adding at the end the following:
       ``(D) Expedited process for extending approved waivers to 
     additional states.--The Secretary may establish an expedited 
     procedure for the purpose of extending to additional States 
     the waiver of statutory or regulatory requirements that have 
     been approved for a State pursuant to a request under 
     subparagraph (B), in lieu of requiring the additional States 
     to meet the requirements of subparagraphs (B) and (C). Such 
     procedure shall ensure that the extension of such a waiver to 
     additional States is accompanied by appropriate conditions 
     relating to the implementation of such waiver.
       ``(E) External conditions.--The Secretary shall not require 
     or impose new or additional requirements, that are not 
     specified under this Act, on a State in exchange for 
     providing a waiver to the State or a local area in the State 
     under this paragraph.''.

     SEC. __51. STATE LEGISLATIVE AUTHORITY.

       Section 191(a) (29 U.S.C. 2941(a)) is amended--
       (1) by striking ``consistent with the provisions of this 
     title'' and inserting ``consistent with State law and the 
     provisions of this title''; and
       (2) by striking ``consistent with the terms and conditions 
     required under this title'' and inserting ``consistent with 
     State law and the terms and conditions required under this 
     title''.

     SEC. __52. GENERAL PROGRAM REQUIREMENTS.

       Section 195 (29 U.S.C. 2945) is amended--
       (1) in paragraph (7), by inserting at the end the 
     following:
       ``(D) Funds received under a program by a public or private 
     nonprofit entity that are not described in subparagraph (B), 
     such as funds privately raised from philanthropic 
     foundations, businesses, or other private entities, shall not 
     be considered to be income under this title and shall not be 
     subject to the requirements of this paragraph.'';
       (2) by striking paragraph (9);
       (3) by redesignating paragraphs (10) through (13) as 
     paragraphs (9) through (12), respectively; and
       (4) by adding at the end the following new paragraphs:
       ``(13) Funds provided under this title shall not be used to 
     establish or operate stand-alone fee-for-service enterprises 
     that compete with private sector employment agencies within 
     the meaning of section 701(c) of the Civil Rights Act of 1964 
     (42 U.S.C. 2000e(c)), except that for purposes of this 
     paragraph, such an enterprise does not include a one-stop 
     center.
       ``(14) Any report required to be submitted to Congress, or 
     to a Committee of Congress, under this title shall be 
     submitted to both the chairmen and ranking minority members 
     of the Committee on Education and the Workforce of the House 
     of Representatives and the Committee on Health, Education, 
     Labor, and Pensions of the Senate.''.

     SEC. __53. FEDERAL AGENCY STAFF AND RESTRICTIONS ON POLITICAL 
                   AND LOBBYING ACTIVITIES.

       Subtitle E of title I (29 U.S.C. 2931 et seq.) is amended 
     by adding at the end the following new sections:

     ``SEC. 196. FEDERAL AGENCY STAFF.

       ``The Director of the Office of Management and Budget 
     shall--
       ``(1) not later than 60 days after the date of the 
     enactment of the SKILLS Act--
       ``(A) identify the number of Federal government employees 
     who, on the day before the date of enactment of the SKILLS 
     Act, worked on or administered each of the programs and 
     activities that were authorized under this Act or were 
     authorized under a provision listed in section __71 of the 
     SKILLS Act; and
       ``(B) identify the number of full-time equivalent employees 
     who on the day before that date of enactment, worked on or 
     administered each of the programs and activities described in 
     subparagraph (A), on functions for which the authorizing 
     provision has been repealed, or for which an amount has been 
     consolidated (if such employee is in a duplicate position), 
     on or after such date of enactment;
       ``(2) not later than 90 after such date of enactment, 
     publish the information described in paragraph (1) on the 
     Office of Management and Budget website; and
       ``(3) not later than 1 year after such date of enactment--
       ``(A) reduce the workforce of the Federal Government by the 
     number of full-time equivalent employees identified under 
     paragraph (1)(B); and
       ``(B) submit to Congress a report on how the Director 
     carried out the requirements of subparagraph (A).

     ``SEC. 197. RESTRICTIONS ON LOBBYING AND POLITICAL 
                   ACTIVITIES.

       ``(a) Lobbying Restrictions.--
       ``(1) Publicity restrictions.--
       ``(A) In general.--Subject to subparagraph (B), no funds 
     provided under this Act shall be used or proposed for use, 
     for--
       ``(i) publicity or propaganda purposes; or
       ``(ii) the preparation, distribution, or use of any kit, 
     pamphlet, booklet, publication, electronic communication, 
     radio, television, or video presentation designed to support 
     or defeat the enactment of legislation before the Congress or 
     any State or local legislature or legislative body.
       ``(B) Exception.--Subparagraph (A) shall not apply to--
       ``(i) normal and recognized executive-legislative 
     relationships;
       ``(ii) the preparation, distribution, or use of the 
     materials described in subparagraph (A)(ii) in presentation 
     to the Congress or any State or local legislature or 
     legislative body (except that this subparagraph does not 
     apply with respect to such preparation, distribution, or use 
     in presentation to the executive branch of any State or local 
     government); or
       ``(iii) such preparation, distribution, or use of such 
     materials, that are designed to support or defeat any 
     proposed or pending regulation, administrative action, or 
     order issued by the executive branch of any State or local 
     government.
       ``(2) Salary payment restriction.--No funds provided under 
     this Act shall be used, or proposed for use, to pay the 
     salary or expenses of any grant or contract recipient, or 
     agent acting for such recipient, related to any activity 
     designed to influence the enactment or issuance of 
     legislation, appropriations, regulations, administrative 
     action, or an Executive order proposed or pending before the 
     Congress or any State government, or a State or local 
     legislature or legislative body, other than for normal and 
     recognized executive-legislative relationships or 
     participation by an agency or officer of a State, local, or 
     tribal government in policymaking and administrative 
     processes within the executive branch of that government.
       ``(b) Political Restrictions.--
       ``(1) In general.--No funds received by a participant of a 
     program or activity under this Act shall be used for--
       ``(A) any partisan or nonpartisan political activity or any 
     other political activity associated with a candidate, or 
     contending faction or group, in an election for public or 
     party office; or
       ``(B) any activity to provide voters with transportation to 
     the polls or similar assistance in connection with any such 
     election.
       ``(2) Restriction on voter registration activities.--No 
     funds under this Act shall be used to conduct voter 
     registration activities.
       ``(3) Definition.--For the purposes of this subsection, the 
     term `participant' includes any State, local area, or 
     government, nonprofit, or for-profit entity receiving funds 
     under this Act.''.

                     CHAPTER 6--STATE UNIFIED PLAN

     SEC. __56. STATE UNIFIED PLAN.

       Section 501 (20 U.S.C. 9271) is amended--
       (1) by amending subsection (a) to read as follows:
       ``(a) General Authority.--The Secretary shall receive and 
     approve State unified plans developed and submitted in 
     accordance with this section.'';
       (2) by amending subsection (b) to read as follows:
       ``(b) State Unified Plan.--
       ``(1) In general.--A State may develop and submit to the 
     Secretary a State unified plan for 2 or more of the 
     activities or programs set forth in paragraph (2). The State 
     unified plan shall cover one or more of the activities or 
     programs set forth in subparagraphs (A) and (B) of paragraph 
     (2) and shall cover one or more of the activities or programs 
     set forth in subparagraphs (C) through (N) of paragraph (2).
       ``(2) Activities and programs.--For purposes of paragraph 
     (1), the term `activity or program' means any 1 of the 
     following 14 activities or programs:
       ``(A) Activities and programs authorized under title I.
       ``(B) Activities and programs authorized under title II.
       ``(C) Programs authorized under title I of the 
     Rehabilitation Act of 1973 (29 U.S.C. 710 et seq.).
       ``(D) Secondary career and technical education programs 
     authorized under the Carl D. Perkins Career and Technical 
     Education Act of 2006 (20 U.S.C. 2301 et seq.).
       ``(E) Postsecondary career and technical education programs 
     authorized under the Carl D. Perkins Career and Technical 
     Education Act of 2006.
       ``(F) Activities and programs authorized under title II of 
     the Trade Act of 1974 (19 U.S.C. 2251 et seq.).
       ``(G) Programs and activities authorized under the Act of 
     August 16, 1937 (commonly

[[Page 5255]]

     known as the `National Apprenticeship Act'; 50 Stat. 664, 
     chapter 663; 29 U.S.C. 50 et seq.).
       ``(H) Programs authorized under the Community Services 
     Block Grant Act (42 U.S.C. 9901 et seq.).
       ``(I) Programs authorized under part A of title IV of the 
     Social Security Act (42 U.S.C. 601 et seq.).
       ``(J) Programs authorized under State unemployment 
     compensation laws (in accordance with applicable Federal 
     law).
       ``(K) Work programs authorized under section 6(o) of the 
     Food and Nutrition Act of 1977 (7 U.S.C. 2015(o)).
       ``(L) Activities and programs authorized under title I of 
     the Housing and Community Development Act of 1974 (42 U.S.C. 
     5301 et seq.).
       ``(M) Activities and programs authorized under the Public 
     Works and Economic Development Act of 1965 (42 U.S.C. 3121 et 
     seq.).
       ``(N) Activities authorized under chapter 41 of title 38, 
     United States Code.'';
       (3) by amending subsection (d) to read as follows:
       ``(d) Approval.--
       ``(1) Jurisdiction.--In approving a State unified plan 
     under this section, the Secretary shall--
       ``(A) submit the portion of the State unified plan covering 
     an activity or program described in subsection (b)(2) to the 
     head of the Federal agency who exercises administrative 
     authority over the activity or program for the approval of 
     such portion by such Federal agency head; or
       ``(B) coordinate approval of the portion of the State 
     unified plan covering an activity or program described in 
     subsection (b)(2) with the head of the Federal agency who 
     exercises administrative authority over the activity or 
     program.
       ``(2) Timeline.--A State unified plan shall be considered 
     to be approved by the Secretary at the end of the 90-day 
     period beginning on the day the Secretary receives the plan, 
     unless the Secretary makes a written determination, during 
     the 90-day period, that details how the plan is not 
     consistent with the requirements of the Federal statute 
     authorizing an activity or program described in subsection 
     (b)(2) and covered under the plan or how the plan is not 
     consistent with the requirements of subsection (c)(3).
       ``(3) Scope of portion.--For purposes of paragraph (1), the 
     portion of the State unified plan covering an activity or 
     program shall be considered to include the plan described in 
     subsection (c)(3) and any proposal described in subsection 
     (e)(2), as that part and proposal relate to the activity or 
     program.''; and
       (4) by adding at the end the following:
       ``(e) Additional Employment and Training Funds.--
       ``(1) Purpose.--It is the purpose of this subsection to 
     reduce inefficiencies in the administration of federally 
     funded State and local employment and training programs.
       ``(2) In general.--In developing a State unified plan for 
     the activities or programs described in subsection (b)(2), 
     and subject to paragraph (4) and to the State plan approval 
     process under subsection (d), a State may propose to 
     consolidate the amount, in whole or part, provided for the 
     activities or programs covered by the plan into the Workforce 
     Investment Fund under section 132(b) to improve the 
     administration of State and local employment and training 
     programs.
       ``(3) Requirements.--A State that has a State unified plan 
     approved under subsection (d) with a proposal for 
     consolidation under paragraph (2), and that is carrying out 
     such consolidation, shall--
       ``(A) in providing an activity or program for which an 
     amount is consolidated into the Workforce Investment Fund--
       ``(i) continue to meet the program requirements, 
     limitations, and prohibitions of any Federal statute 
     authorizing the activity or program; and
       ``(ii) meet the intent and purpose for the activity or 
     program; and
       ``(B) continue to make reservations and allotments under 
     subsections (a) and (b) of section 133.
       ``(4) Exceptions.--A State may not consolidate an amount 
     under paragraph (2) that is allocated to the State under--
       ``(A) the Carl D. Perkins Career and Technical Education 
     Act of 2006 (20 U.S.C. 2301 et seq.); or
       ``(B) title I of the Rehabilitation Act of 1973 (29 U.S.C. 
     710 et seq.).''.

       Subtitle B--Adult Education and Family Literacy Education

     SEC. __61. AMENDMENT.

       Title II (20 U.S.C. 9201 et seq.) is amended to read as 
     follows:

       ``TITLE II--ADULT EDUCATION AND FAMILY LITERACY EDUCATION

     ``SEC. 201. SHORT TITLE.

       ``This title may be cited as the `Adult Education and 
     Family Literacy Education Act'.

     ``SEC. 202. PURPOSE.

       ``It is the purpose of this title to provide instructional 
     opportunities for adults seeking to improve their literacy 
     skills, including their basic reading, writing, speaking, and 
     mathematics skills, and support States and local communities 
     in providing, on a voluntary basis, adult education and 
     family literacy education programs, in order to--
       ``(1) increase the literacy of adults, including the basic 
     reading, writing, speaking, and mathematics skills, to a 
     level of proficiency necessary for adults to obtain 
     employment and self-sufficiency and to successfully advance 
     in the workforce;
       ``(2) assist adults in the completion of a secondary school 
     education (or its equivalent) and the transition to a 
     postsecondary educational institution;
       ``(3) assist adults who are parents to enable them to 
     support the educational development of their children and 
     make informed choices regarding their children's education 
     including, through instruction in basic reading, writing, 
     speaking, and mathematics skills; and
       ``(4) assist adults who are not proficient in English in 
     improving their reading, writing, speaking, listening, 
     comprehension, and mathematics skills.

     ``SEC. 203. DEFINITIONS.

       ``In this title:
       ``(1) Adult education and family literacy education 
     programs.--The term `adult education and family literacy 
     education programs' means a sequence of academic instruction 
     and educational services below the postsecondary level that 
     increase an individual's ability to read, write, and speak 
     English and perform mathematical computations leading to a 
     level of proficiency equivalent to at least a secondary 
     school completion that is provided for individuals--
       ``(A) who are at least 16 years of age;
       ``(B) who are not enrolled or required to be enrolled in 
     secondary school under State law; and
       ``(C) who--
       ``(i) lack sufficient mastery of basic reading, writing, 
     speaking, and mathematics skills to enable the individuals to 
     function effectively in society;
       ``(ii) do not have a secondary school diploma or its 
     equivalent and have not achieved an equivalent level of 
     education; or
       ``(iii) are English learners.
       ``(2) Eligible agency.--The term `eligible agency'--
       ``(A) means the primary entity or agency in a State or an 
     outlying area responsible for administering or supervising 
     policy for adult education and family literacy education 
     programs in the State or outlying area, respectively, 
     consistent with the law of the State or outlying area, 
     respectively; and
       ``(B) may be the State educational agency, the State agency 
     responsible for administering workforce investment 
     activities, or the State agency responsible for administering 
     community or technical colleges.
       ``(3) Eligible provider.--The term `eligible provider' 
     means an organization of demonstrated effectiveness that is--
       ``(A) a local educational agency;
       ``(B) a community-based or faith-based organization;
       ``(C) a volunteer literacy organization;
       ``(D) an institution of higher education;
       ``(E) a public or private educational agency;
       ``(F) a library;
       ``(G) a public housing authority;
       ``(H) an institution that is not described in any of 
     subparagraphs (A) through (G) and has the ability to provide 
     adult education, basic skills, and family literacy education 
     programs to adults and families; or
       ``(I) a consortium of the agencies, organizations, 
     institutions, libraries, or authorities described in any of 
     subparagraphs (A) through (H).
       ``(4) English language acquisition program.--The term 
     `English language acquisition program' means a program of 
     instruction--
       ``(A) designed to help English learners achieve competence 
     in reading, writing, speaking, and comprehension of the 
     English language; and
       ``(B) that may lead to--
       ``(i) attainment of a secondary school diploma or its 
     recognized equivalent;
       ``(ii) transition to success in postsecondary education and 
     training; and
       ``(iii) employment or career advancement.
       ``(5) Family literacy education program.--The term `family 
     literacy education program' means an educational program 
     that--
       ``(A) assists parents and students, on a voluntary basis, 
     in achieving the purpose of this title as described in 
     section 202; and
       ``(B) is of sufficient intensity in terms of hours and of 
     sufficient quality to make sustainable changes in a family, 
     is evidence-based, and, for the purpose of substantially 
     increasing the ability of parents and children to read, 
     write, and speak English, integrates--
       ``(i) interactive literacy activities between parents and 
     their children;
       ``(ii) training for parents regarding how to be the primary 
     teacher for their children and full partners in the education 
     of their children;
       ``(iii) parent literacy training that leads to economic 
     self-sufficiency; and
       ``(iv) an age-appropriate education to prepare children for 
     success in school and life experiences.
       ``(6) Governor.--The term `Governor' means the chief 
     executive officer of a State or outlying area.
       ``(7) Individual with a disability.--
       ``(A) In general.--The term `individual with a disability' 
     means an individual with

[[Page 5256]]

     any disability (as defined in section 3 of the Americans with 
     Disabilities Act of 1990).
       ``(B) Individuals with disabilities.--The term `individuals 
     with disabilities' means more than one individual with a 
     disability.
       ``(8) English learner.--The term `English learner' means an 
     adult or out-of-school youth who has limited ability in 
     reading, writing, speaking, or understanding the English 
     language, and--
       ``(A) whose native language is a language other than 
     English; or
       ``(B) who lives in a family or community environment where 
     a language other than English is the dominant language.
       ``(9) Integrated education and training.--The term 
     `integrated education and training' means services that 
     provide adult education and literacy activities contextually 
     and concurrently with workforce preparation activities and 
     workforce training for a specific occupation or occupational 
     cluster. Such services may include offering adult education 
     services concurrent with postsecondary education and 
     training, including through co-instruction.
       ``(10) Institution of higher education.--The term 
     `institution of higher education' has the meaning given the 
     term in section 101 of the Higher Education Act of 1965.
       ``(11) Literacy.--The term `literacy' means an individual's 
     ability to read, write, and speak in English, compute, and 
     solve problems at a level of proficiency necessary to obtain 
     employment and to successfully make the transition to 
     postsecondary education.
       ``(12) Local educational agency.--The term `local 
     educational agency' has the meaning given the term in section 
     9101 of the Elementary and Secondary Education Act of 1965.
       ``(13) Outlying area.--The term `outlying area' has the 
     meaning given the term in section 101 of this Act.
       ``(14) Postsecondary educational institution.--The term 
     `postsecondary educational institution' means--
       ``(A) an institution of higher education that provides not 
     less than a 2-year program of instruction that is acceptable 
     for credit toward a bachelor's degree;
       ``(B) a tribally controlled community college; or
       ``(C) a nonprofit educational institution offering 
     certificate or apprenticeship programs at the postsecondary 
     level.
       ``(15) Secretary.--The term `Secretary' means the Secretary 
     of Education.
       ``(16) State.--The term `State' means each of the several 
     States of the United States, the District of Columbia, and 
     the Commonwealth of Puerto Rico.
       ``(17) State educational agency.--The term `State 
     educational agency' has the meaning given the term in section 
     9101 of the Elementary and Secondary Education Act of 1965.
       ``(18) Workplace literacy program.--The term `workplace 
     literacy program' means an educational program that is 
     offered in collaboration between eligible providers and 
     employers or employee organizations for the purpose of 
     improving the productivity of the workforce through the 
     improvement of reading, writing, speaking, and mathematics 
     skills.

     ``SEC. 204. HOME SCHOOLS.

       ``Nothing in this title shall be construed to affect home 
     schools, whether or not a home school is treated as a home 
     school or a private school under State law, or to compel a 
     parent engaged in home schooling to participate in adult 
     education and family literacy education activities under this 
     title.

     ``SEC. 205. AUTHORIZATION OF APPROPRIATIONS.

       ``There are authorized to be appropriated to carry out this 
     title, $606,294,933 for fiscal year 2015 and for each of the 
     6 succeeding fiscal years.

                    ``Subtitle A--Federal Provisions

     ``SEC. 211. RESERVATION OF FUNDS; GRANTS TO ELIGIBLE 
                   AGENCIES; ALLOTMENTS.

       ``(a) Reservation of Funds.--From the sums appropriated 
     under section 205 for a fiscal year, the Secretary shall 
     reserve 2.0 percent to carry out section 242.
       ``(b) Grants to Eligible Agencies.--
       ``(1) In general.--From the sums appropriated under section 
     205 and not reserved under subsection (a) for a fiscal year, 
     the Secretary shall award a grant to each eligible agency 
     having a State plan approved under section 224 in an amount 
     equal to the sum of the initial allotment under subsection 
     (c)(1) and the additional allotment under subsection (c)(2) 
     for the eligible agency for the fiscal year, subject to 
     subsections (f) and (g).
       ``(2) Purpose of grants.--The Secretary may award a grant 
     under paragraph (1) only if the eligible agency involved 
     agrees to expend the grant in accordance with the provisions 
     of this title.
       ``(c) Allotments.--
       ``(1) Initial allotments.--From the sums appropriated under 
     section 205 and not reserved under subsection (a) for a 
     fiscal year, the Secretary shall allot to each eligible 
     agency having a State plan approved under section 224--
       ``(A) $100,000, in the case of an eligible agency serving 
     an outlying area; and
       ``(B) $250,000, in the case of any other eligible agency.
       ``(2) Additional allotments.--From the sums appropriated 
     under section 205, not reserved under subsection (a), and not 
     allotted under paragraph (1), for a fiscal year, the 
     Secretary shall allot to each eligible agency that receives 
     an initial allotment under paragraph (1) an additional amount 
     that bears the same relationship to such sums as the number 
     of qualifying adults in the State or outlying area served by 
     the eligible agency bears to the number of such adults in all 
     States and outlying areas.
       ``(d) Qualifying Adult.--For the purpose of subsection 
     (c)(2), the term `qualifying adult' means an adult who--
       ``(1) is at least 16 years of age;
       ``(2) is beyond the age of compulsory school attendance 
     under the law of the State or outlying area;
       ``(3) does not have a secondary school diploma or its 
     recognized equivalent; and
       ``(4) is not enrolled in secondary school.
       ``(e) Special Rule.--
       ``(1) In general.--From amounts made available under 
     subsection (c) for the Republic of Palau, the Secretary shall 
     award grants to Guam, American Samoa, the Commonwealth of the 
     Northern Mariana Islands, or the Republic of Palau to carry 
     out activities described in this title in accordance with the 
     provisions of this title as determined by the Secretary.
       ``(2) Termination of eligibility.--Notwithstanding any 
     other provision of law, the Republic of Palau shall be 
     eligible to receive a grant under this title until an 
     agreement for the extension of United States education 
     assistance under the Compact of Free Association for the 
     Republic of Palau becomes effective.
       ``(f) Hold-Harmless Provisions.--
       ``(1) In general.--Notwithstanding subsection (c) and 
     subject to paragraph (2), for--
       ``(A) fiscal year 2015, no eligible agency shall receive an 
     allotment under this title that is less than 90 percent of 
     the allotment the eligible agency received for fiscal year 
     2012 under this title; and
       ``(B) fiscal year 2016 and each succeeding fiscal year, no 
     eligible agency shall receive an allotment under this title 
     that is less than 90 percent of the allotment the eligible 
     agency received for the preceding fiscal year under this 
     title.
       ``(2) Ratable reduction.--If, for any fiscal year the 
     amount available for allotment under this title is 
     insufficient to satisfy the provisions of paragraph (1), the 
     Secretary shall ratable reduce the payments to all eligible 
     agencies, as necessary.
       ``(g) Reallotment.--The portion of any eligible agency's 
     allotment under this title for a fiscal year that the 
     Secretary determines will not be required for the period such 
     allotment is available for carrying out activities under this 
     title, shall be available for reallotment from time to time, 
     on such dates during such period as the Secretary shall fix, 
     to other eligible agencies in proportion to the original 
     allotments to such agencies under this title for such year.

     ``SEC. 212. PERFORMANCE ACCOUNTABILITY SYSTEM.

       ``Programs and activities authorized under this title are 
     subject to the performance accountability provisions 
     described in paragraphs (2)(A) and (3) of section 136(b) and 
     may, at a State's discretion, include additional indicators 
     identified in the State plan approved under section 224.

                     ``Subtitle B--State Provisions

     ``SEC. 221. STATE ADMINISTRATION.

       ``Each eligible agency shall be responsible for the 
     following activities under this title:
       ``(1) The development, submission, implementation, and 
     monitoring of the State plan.
       ``(2) Consultation with other appropriate agencies, groups, 
     and individuals that are involved in, or interested in, the 
     development and implementation of activities assisted under 
     this title.
       ``(3) Coordination and avoidance of duplication with other 
     Federal and State education, training, corrections, public 
     housing, and social service programs.

     ``SEC. 222. STATE DISTRIBUTION OF FUNDS; MATCHING 
                   REQUIREMENT.

       ``(a) State Distribution of Funds.--Each eligible agency 
     receiving a grant under this title for a fiscal year--
       ``(1) shall use not less than 82.5 percent of the grant 
     funds to award grants and contracts under section 231 and to 
     carry out section 225, of which not more than 10 percent of 
     such amount shall be available to carry out section 225;
       ``(2) shall use not more than 12.5 percent of the grant 
     funds to carry out State leadership activities under section 
     223; and
       ``(3) shall use not more than 5 percent of the grant funds, 
     or $65,000, whichever is greater, for the administrative 
     expenses of the eligible agency.
       ``(b) Matching Requirement.--
       ``(1) In general.--In order to receive a grant from the 
     Secretary under section 211(b), each eligible agency shall 
     provide, for the costs to be incurred by the eligible agency 
     in carrying out the adult education and family literacy 
     education programs for which the grant is awarded, a non-
     Federal contribution in an amount that is not less than--
       ``(A) in the case of an eligible agency serving an outlying 
     area, 12 percent of the total amount of funds expended for 
     adult education and family literacy education programs in the 
     outlying area, except that the Secretary may decrease the 
     amount of funds

[[Page 5257]]

     required under this subparagraph for an eligible agency; and
       ``(B) in the case of an eligible agency serving a State, 25 
     percent of the total amount of funds expended for adult 
     education and family literacy education programs in the 
     State.
       ``(2) Non-federal contribution.--An eligible agency's non-
     Federal contribution required under paragraph (1) may be 
     provided in cash or in kind, fairly evaluated, and shall 
     include only non-Federal funds that are used for adult 
     education and family literacy education programs in a manner 
     that is consistent with the purpose of this title.

     ``SEC. 223. STATE LEADERSHIP ACTIVITIES.

       ``(a) In General.--Each eligible agency may use funds made 
     available under section 222(a)(2) for any of the following 
     adult education and family literacy education programs:
       ``(1) The establishment or operation of professional 
     development programs to improve the quality of instruction 
     provided pursuant to local activities required under section 
     231(b).
       ``(2) The provision of technical assistance to eligible 
     providers of adult education and family literacy education 
     programs, including for the development and dissemination of 
     evidence based research instructional practices in reading, 
     writing, speaking, mathematics, and English language 
     acquisition programs.
       ``(3) The provision of assistance to eligible providers in 
     developing, implementing, and reporting measurable progress 
     in achieving the objectives of this title.
       ``(4) The monitoring and evaluation of the quality of, and 
     the improvement in, adult education and literacy activities.
       ``(5) The provision of technology assistance, including 
     staff training, to eligible providers of adult education and 
     family literacy education programs, including distance 
     education activities, to enable the eligible providers to 
     improve the quality of such activities.
       ``(6) The development and implementation of technology 
     applications or distance education, including professional 
     development to support the use of instructional technology.
       ``(7) Coordination with other public programs, including 
     programs under title I of this Act, and other welfare-to-
     work, workforce development, and job training programs.
       ``(8) Coordination with existing support services, such as 
     transportation, child care, and other assistance designed to 
     increase rates of enrollment in, and successful completion 
     of, adult education and family literacy education programs, 
     for adults enrolled in such activities.
       ``(9) The development and implementation of a system to 
     assist in the transition from adult basic education to 
     postsecondary education.
       ``(10) Activities to promote workplace literacy programs.
       ``(11) Other activities of statewide significance, 
     including assisting eligible providers in achieving progress 
     in improving the skill levels of adults who participate in 
     programs under this title.
       ``(12) Integration of literacy, instructional, and 
     occupational skill training and promotion of linkages with 
     employees.
       ``(b) Coordination.--In carrying out this section, eligible 
     agencies shall coordinate where possible, and avoid 
     duplicating efforts, in order to maximize the impact of the 
     activities described in subsection (a).
       ``(c) State-Imposed Requirements.--Whenever a State or 
     outlying area implements any rule or policy relating to the 
     administration or operation of a program authorized under 
     this title that has the effect of imposing a requirement that 
     is not imposed under Federal law (including any rule or 
     policy based on a State or outlying area interpretation of a 
     Federal statute, regulation, or guideline), the State or 
     outlying area shall identify, to eligible providers, the rule 
     or policy as being imposed by the State or outlying area.

     ``SEC. 224. STATE PLAN.

       ``(a) 3-Year Plans.--
       ``(1) In general.--Each eligible agency desiring a grant 
     under this title for any fiscal year shall submit to, or have 
     on file with, the Secretary a 3-year State plan.
       ``(2) State unified plan.--The eligible agency may submit 
     the State plan as part of a State unified plan described in 
     section 501.
       ``(b) Plan Contents.--The eligible agency shall include in 
     the State plan or any revisions to the State plan--
       ``(1) an objective assessment of the needs of individuals 
     in the State or outlying area for adult education and family 
     literacy education programs, including individuals most in 
     need or hardest to serve;
       ``(2) a description of the adult education and family 
     literacy education programs that will be carried out with 
     funds received under this title;
       ``(3) an assurance that the funds received under this title 
     will not be expended for any purpose other than for 
     activities under this title;
       ``(4) a description of how the eligible agency will 
     annually evaluate and measure the effectiveness and 
     improvement of the adult education and family literacy 
     education programs funded under this title using the 
     indicators of performance described in section 136, including 
     how the eligible agency will conduct such annual evaluations 
     and measures for each grant received under this title;
       ``(5) a description of how the eligible agency will fund 
     local activities in accordance with the measurable goals 
     described in section 231(d);
       ``(6) an assurance that the eligible agency will expend the 
     funds under this title only in a manner consistent with 
     fiscal requirements in section 241;
       ``(7) a description of the process that will be used for 
     public participation and comment with respect to the State 
     plan, which--
       ``(A) shall include consultation with the State workforce 
     investment board, the State board responsible for 
     administering community or technical colleges, the Governor, 
     the State educational agency, the State board or agency 
     responsible for administering block grants for temporary 
     assistance to needy families under title IV of the Social 
     Security Act, the State council on disabilities, the State 
     vocational rehabilitation agency, and other State agencies 
     that promote the improvement of adult education and family 
     literacy education programs, and direct providers of such 
     programs; and
       ``(B) may include consultation with the State agency on 
     higher education, institutions responsible for professional 
     development of adult education and family literacy education 
     programs instructors, representatives of business and 
     industry, refugee assistance programs, and faith-based 
     organizations;
       ``(8) a description of the eligible agency's strategies for 
     serving populations that include, at a minimum--
       ``(A) low-income individuals;
       ``(B) individuals with disabilities;
       ``(C) the unemployed;
       ``(D) the underemployed; and
       ``(E) individuals with multiple barriers to educational 
     enhancement, including English learners;
       ``(9) a description of how the adult education and family 
     literacy education programs that will be carried out with any 
     funds received under this title will be integrated with other 
     adult education, career development, and employment and 
     training activities in the State or outlying area served by 
     the eligible agency;
       ``(10) a description of the steps the eligible agency will 
     take to ensure direct and equitable access, as required in 
     section 231(c)(1), including--
       ``(A) how the State will build the capacity of community-
     based and faith-based organizations to provide adult 
     education and family literacy education programs; and
       ``(B) how the State will increase the participation of 
     business and industry in adult education and family literacy 
     education programs;
       ``(11) an assessment of the adequacy of the system of the 
     State or outlying area to ensure teacher quality and a 
     description of how the State or outlying area will use funds 
     received under this subtitle to improve teacher quality, 
     including evidence-based professional development to improve 
     instruction; and
       ``(12) a description of how the eligible agency will 
     consult with any State agency responsible for postsecondary 
     education to develop adult education that prepares students 
     to enter postsecondary education without the need for 
     remediation upon completion of secondary school equivalency 
     programs.
       ``(c) Plan Revisions.--When changes in conditions or other 
     factors require substantial revisions to an approved State 
     plan, the eligible agency shall submit the revisions of the 
     State plan to the Secretary.
       ``(d) Consultation.--The eligible agency shall--
       ``(1) submit the State plan, and any revisions to the State 
     plan, to the Governor, the chief State school officer, or the 
     State officer responsible for administering community or 
     technical colleges, or outlying area for review and comment; 
     and
       ``(2) ensure that any comments regarding the State plan by 
     the Governor, the chief State school officer, or the State 
     officer responsible for administering community or technical 
     colleges, and any revision to the State plan, are submitted 
     to the Secretary.
       ``(e) Plan Approval.--The Secretary shall--
       ``(1) approve a State plan within 90 days after receiving 
     the plan unless the Secretary makes a written determination 
     within 30 days after receiving the plan that the plan does 
     not meet the requirements of this section or is inconsistent 
     with specific provisions of this subtitle; and
       ``(2) not finally disapprove of a State plan before 
     offering the eligible agency the opportunity, prior to the 
     expiration of the 30-day period beginning on the date on 
     which the eligible agency received the written determination 
     described in paragraph (1), to review the plan and providing 
     technical assistance in order to assist the eligible agency 
     in meeting the requirements of this subtitle.

     ``SEC. 225. PROGRAMS FOR CORRECTIONS EDUCATION AND OTHER 
                   INSTITUTIONALIZED INDIVIDUALS.

       ``(a) Program Authorized.--From funds made available under 
     section 222(a)(1) for a fiscal year, each eligible agency 
     shall carry out corrections education and education for other 
     institutionalized individuals.

[[Page 5258]]

       ``(b) Uses of Funds.--The funds described in subsection (a) 
     shall be used for the cost of educational programs for 
     criminal offenders in correctional institutions and for other 
     institutionalized individuals, including academic programs 
     for--
       ``(1) basic skills education;
       ``(2) special education programs as determined by the 
     eligible agency;
       ``(3) reading, writing, speaking, and mathematics programs;
       ``(4) secondary school credit or diploma programs or their 
     recognized equivalent; and
       ``(5) integrated education and training.
       ``(c) Priority.--Each eligible agency that is using 
     assistance provided under this section to carry out a program 
     for criminal offenders within a correctional institution 
     shall give priority to serving individuals who are likely to 
     leave the correctional institution within 5 years of 
     participation in the program.
       ``(d) Definitions.--In this section:
       ``(1) Correctional institution.--The term `correctional 
     institution' means any--
       ``(A) prison;
       ``(B) jail;
       ``(C) reformatory;
       ``(D) work farm;
       ``(E) detention center; or
       ``(F) halfway house, community-based rehabilitation center, 
     or any other similar institution designed for the confinement 
     or rehabilitation of criminal offenders.
       ``(2) Criminal offender.--The term `criminal offender' 
     means any individual who is charged with, or convicted of, 
     any criminal offense.

                     ``Subtitle C--Local Provisions

     ``SEC. 231. GRANTS AND CONTRACTS FOR ELIGIBLE PROVIDERS.

       ``(a) Grants and Contracts.--From grant funds made 
     available under section 222(a)(1), each eligible agency shall 
     award multi-year grants or contracts, on a competitive basis, 
     to eligible providers within the State or outlying area that 
     meet the conditions and requirements of this title to enable 
     the eligible providers to develop, implement, and improve 
     adult education and family literacy education programs within 
     the State.
       ``(b) Local Activities.--The eligible agency shall require 
     eligible providers receiving a grant or contract under 
     subsection (a) to establish or operate--
       ``(1) programs that provide adult education and literacy 
     activities;
       ``(2) programs that provide integrated education and 
     training activities; or
       ``(3) credit-bearing postsecondary coursework.
       ``(c) Direct and Equitable Access; Same Process.--Each 
     eligible agency receiving funds under this title shall ensure 
     that--
       ``(1) all eligible providers have direct and equitable 
     access to apply for grants or contracts under this section; 
     and
       ``(2) the same grant or contract announcement process and 
     application process is used for all eligible providers in the 
     State or outlying area.
       ``(d) Measurable Goals.--The eligible agency shall require 
     eligible providers receiving a grant or contract under 
     subsection (a) to demonstrate--
       ``(1) the eligible provider's measurable goals for 
     participant outcomes to be achieved annually on the core 
     indicators of performance described in section 136(b)(2)(A);
       ``(2) the past effectiveness of the eligible provider in 
     improving the basic academic skills of adults and, for 
     eligible providers receiving grants in the prior year, the 
     success of the eligible provider receiving funding under this 
     title in exceeding its performance goals in the prior year;
       ``(3) the commitment of the eligible provider to serve 
     individuals in the community who are the most in need of 
     basic academic skills instruction services, including 
     individuals with disabilities and individuals who are low-
     income or have minimal reading, writing, speaking, and 
     mathematics skills, or are English learners;
       ``(4) the program is of sufficient intensity and quality 
     for participants to achieve substantial learning gains;
       ``(5) educational practices are evidence-based;
       ``(6) the activities of the eligible provider effectively 
     employ advances in technology, and delivery systems including 
     distance education;
       ``(7) the activities provide instruction in real-life 
     contexts, including integrated education and training when 
     appropriate, to ensure that an individual has the skills 
     needed to compete in the workplace and exercise the rights 
     and responsibilities of citizenship;
       ``(8) the activities are staffed by well-trained 
     instructors, counselors, and administrators who meet minimum 
     qualifications established by the State;
       ``(9) the activities are coordinated with other available 
     resources in the community, such as through strong links with 
     elementary schools and secondary schools, postsecondary 
     educational institutions, local workforce investment boards, 
     one-stop centers, job training programs, community-based and 
     faith-based organizations, and social service agencies;
       ``(10) the activities offer flexible schedules and support 
     services (such as child care and transportation) that are 
     necessary to enable individuals, including individuals with 
     disabilities or other special needs, to attend and complete 
     programs;
       ``(11) the activities include a high-quality information 
     management system that has the capacity to report measurable 
     participant outcomes (consistent with section 136) and to 
     monitor program performance;
       ``(12) the local communities have a demonstrated need for 
     additional English language acquisition programs, and 
     integrated education and training programs;
       ``(13) the capacity of the eligible provider to produce 
     valid information on performance results, including 
     enrollments and measurable participant outcomes;
       ``(14) adult education and family literacy education 
     programs offer rigorous reading, writing, speaking, and 
     mathematics content that are evidence based; and
       ``(15) applications of technology, and services to be 
     provided by the eligible providers, are of sufficient 
     intensity and duration to increase the amount and quality of 
     learning and lead to measurable learning gains within 
     specified time periods.
       ``(e) Special Rule.--Eligible providers may use grant funds 
     under this title to serve children participating in family 
     literacy programs assisted under this part, provided that 
     other sources of funds available to provide similar services 
     for such children are used first.

     ``SEC. 232. LOCAL APPLICATION.

       ``Each eligible provider desiring a grant or contract under 
     this title shall submit an application to the eligible agency 
     containing such information and assurances as the eligible 
     agency may require, including--
       ``(1) a description of how funds awarded under this title 
     will be spent consistent with the requirements of this title;
       ``(2) a description of any cooperative arrangements the 
     eligible provider has with other agencies, institutions, or 
     organizations for the delivery of adult education and family 
     literacy education programs; and
       ``(3) each of the demonstrations required by section 
     231(d).

     ``SEC. 233. LOCAL ADMINISTRATIVE COST LIMITS.

       ``(a) In General.--Subject to subsection (b), of the amount 
     that is made available under this title to an eligible 
     provider--
       ``(1) at least 95 percent shall be expended for carrying 
     out adult education and family literacy education programs; 
     and
       ``(2) the remaining amount shall be used for planning, 
     administration, personnel and professional development, 
     development of measurable goals in reading, writing, 
     speaking, and mathematics, and interagency coordination.
       ``(b) Special Rule.--In cases where the cost limits 
     described in subsection (a) are too restrictive to allow for 
     adequate planning, administration, personnel development, and 
     interagency coordination, the eligible provider may negotiate 
     with the eligible agency in order to determine an adequate 
     level of funds to be used for noninstructional purposes.

                    ``Subtitle D--General Provisions

     ``SEC. 241. ADMINISTRATIVE PROVISIONS.

       ``Funds made available for adult education and family 
     literacy education programs under this title shall supplement 
     and not supplant other State or local public funds expended 
     for adult education and family literacy education programs.

     ``SEC. 242. NATIONAL ACTIVITIES.

       ``The Secretary shall establish and carry out a program of 
     national activities that may include the following:
       ``(1) Providing technical assistance to eligible entities, 
     on request, to--
       ``(A) improve their fiscal management, research-based 
     instruction, and reporting requirements to carry out the 
     requirements of this title;
       ``(B) improve its performance on the core indicators of 
     performance described in section 136;
       ``(C) provide adult education professional development; and
       ``(D) use distance education and improve the application of 
     technology in the classroom, including instruction in English 
     language acquisition for English learners.
       ``(2) Providing for the conduct of research on national 
     literacy basic skill acquisition levels among adults, 
     including the number of adult English learners functioning at 
     different levels of reading proficiency.
       ``(3) Improving the coordination, efficiency, and 
     effectiveness of adult education and workforce development 
     services at the national, State, and local levels.
       ``(4) Determining how participation in adult education, 
     English language acquisition, and family literacy education 
     programs prepares individuals for entry into and success in 
     postsecondary education and employment, and in the case of 
     prison-based services, the effect on recidivism.
       ``(5) Evaluating how different types of providers, 
     including community and faith-based organizations or private 
     for-profit agencies measurably improve the skills of 
     participants in adult education, English language 
     acquisition, and family literacy education programs.
       ``(6) Identifying model integrated basic and workplace 
     skills education programs, including programs for English 
     learners coordinated literacy and employment services, and 
     effective strategies for serving adults with disabilities.

[[Page 5259]]

       ``(7) Initiating other activities designed to improve the 
     measurable quality and effectiveness of adult education, 
     English language acquisition, and family literacy education 
     programs nationwide.''.

            Subtitle C--Amendments to the Wagner-Peyser Act

     SEC. __66. AMENDMENTS TO THE WAGNER-PEYSER ACT.

       Section 15 of the Wagner-Peyser Act (29 U.S.C. 49l-2) is 
     amended to read as follows:

     ``SEC. 15. WORKFORCE AND LABOR MARKET INFORMATION SYSTEM.

       ``(a) System Content.--
       ``(1) In general.--The Secretary of Labor (referred to in 
     this section as the `Secretary'), in accordance with the 
     provisions of this section, shall oversee the development, 
     maintenance, and continuous improvement of a nationwide 
     workforce and labor market information system that includes--
       ``(A) statistical data from cooperative statistical survey 
     and projection programs and data from administrative 
     reporting systems that, taken together, enumerate, estimate, 
     and project employment opportunities and conditions at 
     national, State, and local levels in a timely manner, 
     including statistics on--
       ``(i) employment and unemployment status of national, 
     State, and local populations, including self-employed, part-
     time, and seasonal workers;
       ``(ii) industrial distribution of occupations, as well as 
     current and projected employment opportunities, wages, 
     benefits (where data is available), and skill trends by 
     occupation and industry, with particular attention paid to 
     State and local conditions;
       ``(iii) the incidence of, industrial and geographical 
     location of, and number of workers displaced by, permanent 
     layoffs and plant closings; and
       ``(iv) employment and earnings information maintained in a 
     longitudinal manner to be used for research and program 
     evaluation;
       ``(B) information on State and local employment 
     opportunities, and other appropriate statistical data related 
     to labor market dynamics, which--
       ``(i) shall be current and comprehensive;
       ``(ii) shall meet the needs identified through the 
     consultations described in subparagraphs (C) and (D) of 
     subsection (e)(1); and
       ``(iii) shall meet the needs for the information identified 
     in section 121(e)(1)(E) of the Workforce Investment Act of 
     1998 (29 U.S.C. 2841(e)(1)(E));
       ``(C) technical standards (which the Secretary shall 
     publish annually) for data and information described in 
     subparagraphs (A) and (B) that, at a minimum, meet the 
     criteria of chapter 35 of title 44, United States Code;
       ``(D) procedures to ensure compatibility and additivity of 
     the data and information described in subparagraphs (A) and 
     (B) from national, State, and local levels;
       ``(E) procedures to support standardization and aggregation 
     of data from administrative reporting systems described in 
     subparagraph (A) of employment-related programs;
       ``(F) analysis of data and information described in 
     subparagraphs (A) and (B) for uses such as--
       ``(i) national, State, and local policymaking;
       ``(ii) implementation of Federal policies (including 
     allocation formulas);
       ``(iii) program planning and evaluation; and
       ``(iv) researching labor market dynamics;
       ``(G) wide dissemination of such data, information, and 
     analysis in a user-friendly manner and voluntary technical 
     standards for dissemination mechanisms; and
       ``(H) programs of--
       ``(i) training for effective data dissemination;
       ``(ii) research and demonstration; and
       ``(iii) programs and technical assistance.
       ``(2) Information to be confidential.--
       ``(A) In general.--No officer or employee of the Federal 
     Government or agent of the Federal Government may--
       ``(i) use any submission that is furnished for exclusively 
     statistical purposes under the provisions of this section for 
     any purpose other than the statistical purposes for which the 
     submission is furnished;
       ``(ii) disclose to the public any publication or media 
     transmittal of the data contained in the submission described 
     in clause (i) that permits information concerning an 
     individual subject to be reasonably inferred by either direct 
     or indirect means; or
       ``(iii) permit anyone other than a sworn officer, employee, 
     or agent of any Federal department or agency, or a contractor 
     (including an employee of a contractor) of such department or 
     agency, to examine an individual submission described in 
     clause (i),

     without the consent of the individual, agency, or other 
     person who is the subject of the submission or provides that 
     submission.
       ``(B) Immunity from legal process.--Any submission 
     (including any data derived from the submission) that is 
     collected and retained by a Federal department or agency, or 
     an officer, employee, agent, or contractor of such a 
     department or agency, for exclusively statistical purposes 
     under this section shall be immune from the legal process and 
     shall not, without the consent of the individual, agency, or 
     other person who is the subject of the submission or provides 
     that submission, be admitted as evidence or used for any 
     purpose in any action, suit, or other judicial or 
     administrative proceeding.
       ``(C) Rule of construction.--Nothing in this section shall 
     be construed to provide immunity from the legal process for 
     such submission (including any data derived from the 
     submission) if the submission is in the possession of any 
     person, agency, or entity other than the Federal Government 
     or an officer, employee, agent, or contractor of the Federal 
     Government, or if the submission is independently collected, 
     retained, or produced for purposes other than the purposes of 
     this Act.
       ``(b) System Responsibilities.--
       ``(1) In general.--The workforce and labor market 
     information system described in subsection (a) shall be 
     planned, administered, overseen, and evaluated through a 
     cooperative governance structure involving the Federal 
     Government and States.
       ``(2) Duties.--The Secretary, with respect to data 
     collection, analysis, and dissemination of workforce and 
     labor market information for the system, shall carry out the 
     following duties:
       ``(A) Assign responsibilities within the Department of 
     Labor for elements of the workforce and labor market 
     information system described in subsection (a) to ensure that 
     all statistical and administrative data collected is 
     consistent with appropriate Bureau of Labor Statistics 
     standards and definitions.
       ``(B) Actively seek the cooperation of other Federal 
     agencies to establish and maintain mechanisms for ensuring 
     complementarity and nonduplication in the development and 
     operation of statistical and administrative data collection 
     activities.
       ``(C) Eliminate gaps and duplication in statistical 
     undertakings, with the systemization of wage surveys as an 
     early priority.
       ``(D) In collaboration with the Bureau of Labor Statistics 
     and States, develop and maintain the elements of the 
     workforce and labor market information system described in 
     subsection (a), including the development of consistent 
     procedures and definitions for use by the States in 
     collecting the data and information described in 
     subparagraphs (A) and (B) of subsection (a)(1).
       ``(E) Establish procedures for the system to ensure that--
       ``(i) such data and information are timely;
       ``(ii) paperwork and reporting for the system are reduced 
     to a minimum; and
       ``(iii) States and localities are fully involved in the 
     development and continuous improvement of the system at all 
     levels.
       ``(c) National Electronic Tools To Provide Services.--The 
     Secretary is authorized to assist in the development of 
     national electronic tools that may be used to facilitate the 
     delivery of work ready services described in section 
     134(c)(2) of the Workforce Investment Act of 1998 (29 U.S.C. 
     2864(c)(2)) and to provide workforce and labor market 
     information to individuals through the one-stop delivery 
     systems described in section 121 and through other 
     appropriate delivery systems.
       ``(d) Coordination With the States.--
       ``(1) In general.--The Secretary, working through the 
     Bureau of Labor Statistics and the Employment and Training 
     Administration, shall regularly consult with representatives 
     of State agencies carrying out workforce information 
     activities regarding strategies for improving the workforce 
     and labor market information system.
       ``(2) Formal consultations.--At least twice each year, the 
     Secretary, working through the Bureau of Labor Statistics, 
     shall conduct formal consultations regarding programs carried 
     out by the Bureau of Labor Statistics with representatives of 
     each of the Federal regions of the Bureau of Labor 
     Statistics, elected (pursuant to a process established by the 
     Secretary) from the State directors affiliated with State 
     agencies that perform the duties described in subsection 
     (e)(1).
       ``(e) State Responsibilities.--
       ``(1) In general.--In order to receive Federal financial 
     assistance under this section, the Governor of a State 
     shall--
       ``(A) be responsible for the management of the portions of 
     the workforce and labor market information system described 
     in subsection (a) that comprise a statewide workforce and 
     labor market information system;
       ``(B) establish a process for the oversight of such system;
       ``(C) consult with State and local employers, participants, 
     and local workforce investment boards about the labor market 
     relevance of the data to be collected and disseminated 
     through the statewide workforce and labor market information 
     system;
       ``(D) consult with State educational agencies and local 
     educational agencies concerning the provision of workforce 
     and labor market information in order to meet the needs of 
     secondary school and postsecondary school students who seek 
     such information;
       ``(E) collect and disseminate for the system, on behalf of 
     the State and localities in the State, the information and 
     data described in subparagraphs (A) and (B) of subsection 
     (a)(1);
       ``(F) maintain and continuously improve the statewide 
     workforce and labor market information system in accordance 
     with this section;

[[Page 5260]]

       ``(G) perform contract and grant responsibilities for data 
     collection, analysis, and dissemination for such system;
       ``(H) conduct such other data collection, analysis, and 
     dissemination activities as will ensure an effective 
     statewide workforce and labor market information system;
       ``(I) actively seek the participation of other State and 
     local agencies in data collection, analysis, and 
     dissemination activities in order to ensure complementarity, 
     compatibility, and usefulness of data;
       ``(J) participate in the development of, and submit to the 
     Secretary, an annual plan to carry out the requirements and 
     authorities of this subsection; and
       ``(K) utilize the quarterly records described in section 
     136(f)(2) of the Workforce Investment Act of 1998 (29 U.S.C. 
     2871(f)(2)) to assist the State and other States in measuring 
     State progress on State performance measures.
       ``(2) Rule of construction.--Nothing in this section shall 
     be construed as limiting the ability of a Governor to conduct 
     additional data collection, analysis, and dissemination 
     activities with State funds or with Federal funds from 
     sources other than this section.
       ``(f) Nonduplication Requirement.--None of the functions 
     and activities carried out pursuant to this section shall 
     duplicate the functions and activities carried out under the 
     Carl D. Perkins Career and Technical Education Act of 2006 
     (20 U.S.C. 2301 et seq.).
       ``(g) Authorization of Appropriations.--There are 
     authorized to be appropriated to carry out this section 
     $63,473,000 for fiscal year 2015 and each of the 6 succeeding 
     fiscal years.''.

             Subtitle D--Repeals and Conforming Amendments

     SEC. __71. REPEALS.

       The following provisions are repealed:
       (1) Chapter 4 of subtitle B of title I, and sections 123, 
     155, 166, 167, 168, 169, 171, 173, 173A, 174, 192, 194, 502, 
     503, and 506 of the Workforce Investment Act of 1998, as in 
     effect on the day before the date of enactment of the SKILLS 
     Act.
       (2) Title V of the Older Americans Act of 1965 (42 U.S.C. 
     3056 et seq.).
       (3) Sections 1 through 14 of the Wagner-Peyser Act (29 
     U.S.C. 49 et seq.).
       (4) The Twenty-First Century Workforce Commission Act (29 
     U.S.C. 2701 note).
       (5) Public Law 91-378, 16 U.S.C. 1701 et seq. (popularly 
     known as the ``Youth Conservation Corps Act of 1970'').
       (6) Section 821 of the Higher Education Amendments of 1998 
     (20 U.S.C. 1151).
       (7) The Women in Apprenticeship and Nontraditional 
     Occupations Act (29 U.S.C. 2501 et seq.).
       (8) Sections 4103A and 4104 of title 38, United States 
     Code.

     SEC. __72. AMENDMENTS TO OTHER LAWS.

       (a) Amendments to the Food and Nutrition Act of 2008.--
       (1) Definition.--Section 3(t) of the Food and Nutrition Act 
     of 2008 (7 U.S.C. 2012(t)) is amended--
       (A) by striking ``means (1) the agency'' and inserting the 
     following: ``means--
       ``(A) the agency'';
       (B) by striking ``programs, and (2) the tribal'' and 
     inserting the following: ``programs;
       ``(B) the tribal''; and
       (C) by striking ``this Act.'' and inserting the following: 
     ``this Act; and
       ``(C) in the context of employment and training activities 
     under section 6(d)(4), a State board as defined in section 
     101 of the Workforce Investment Act of 1998 (29 U.S.C. 
     2801).''.
       (2) Eligible households.--Section 5 of the Food and 
     Nutrition Act of 2008 (7 U.S.C. 2014) is amended--
       (A) in subsection (d)(14) by striking ``section 
     6(d)(4)(I)'' and inserting ``section 6(d)(4)(C)'', and
       (B) in subsection (g)(3), in the first sentence, by 
     striking ``constitutes adequate participation in an 
     employment and training program under section 6(d)'' and 
     inserting ``allows the individual to participate in 
     employment and training activities under section 6(d)(4)''.
       (3) Eligibility disqualifications.--Section 6(d)(4) of the 
     Food and Nutrition Act of 2008 (7 U.S.C. 2015(d)(4)) is 
     amended to read as follows:
       ``(D) Employment and training.--
       ``(i) Implementation.--Each State agency shall provide 
     employment and training services authorized under section 134 
     of the Workforce Investment Act of 1998 (29 U.S.C. 2864) to 
     eligible members of households participating in the 
     supplemental nutrition assistance program in gaining skills, 
     training, work, or experience that will increase their 
     ability to obtain regular employment.
       ``(ii) Statewide workforce development system.--Consistent 
     with subparagraph (A), employment and training services shall 
     be provided through the statewide workforce development 
     system, including the one-stop delivery system authorized by 
     the Workforce Investment Act of 1998 (29 U.S.C. 2801 et 
     seq.).
       ``(iii) Reimbursements.--

       ``(I) Actual costs.--The State agency shall provide 
     payments or reimbursement to participants served under this 
     paragraph for--

       ``(aa) the actual costs of transportation and other actual 
     costs (other than dependent care costs) that are reasonably 
     necessary and directly related to the individual 
     participating in employment and training activities; and
       ``(bb) the actual costs of such dependent care expenses as 
     are determined by the State agency to be necessary for the 
     individual to participate in employment and training 
     activities (other than an individual who is the caretaker 
     relative of a dependent in a family receiving benefits under 
     part A of title IV of the Social Security Act (42 U.S.C. 601 
     et seq.) in a local area where an employment, training, or 
     education program under title IV of that Act is in 
     operation), except that no such payment or reimbursement 
     shall exceed the applicable local market rate.

       ``(II) Service contracts and vouchers.--In lieu of 
     providing reimbursements or payments for dependent care 
     expenses under clause (i), a State agency may, at the option 
     of the State agency, arrange for dependent care through 
     providers by the use of purchase of service contracts or 
     vouchers or by providing vouchers to the household.
       ``(III) Value of reimbursements.--The value of any 
     dependent care services provided for or arranged under clause 
     (ii), or any amount received as a payment or reimbursement 
     under clause (i), shall--

       ``(aa) not be treated as income for the purposes of any 
     other Federal or federally assisted program that bases 
     eligibility for, or the amount of benefits on, need; and
       ``(bb) not be claimed as an employment-related expense for 
     the purposes of the credit provided under section 21 of the 
     Internal Revenue Code of 1986 (26 U.S.C. 21).''.
       (4) Administration.--Section 11(e)(19) of the Food and 
     Nutrition Act of 2008 (7 U.S.C. 2020(e)(11) is amended to 
     read as follows:
       ``(S) the plans of the State agency for providing 
     employment and training services under section 6(d)(4);''.
       (5) Administrative cost-sharing and quality control.--
     Section 16(h) of the Food and Nutrition Act of 2008 (7 U.S.C. 
     2025(h)) is amended--
       (A) in paragraph (1)--
       (i) in subparagraph (A), by striking ``carry out employment 
     and training programs'' and inserting ``provide employment 
     and training services to eligible households under section 
     6(d)(4)''; and
       (ii) in subparagraph (D), by striking ``operating an 
     employment and training program'' and inserting ``providing 
     employment and training services consistent with section 
     6(d)(4)'';
       (B) in paragraph (3)--
       (i) by striking ``participation in an employment and 
     training program'' and inserting ``the individual 
     participating in employment and training activities''; and
       (ii) by striking ``section 6(d)(4)(I)(i)(II)'' and 
     inserting ``section 6(d)(4)(C)(i)(II)'';
       (C) in paragraph (4), by striking ``for operating an 
     employment and training program'' and inserting ``to provide 
     employment and training services''; and
       (D) by striking paragraph (5) and inserting the following:
       ``(E) Monitoring.--
       ``(i) In general.--The Secretary, in conjunction with the 
     Secretary of Labor, shall monitor each State agency 
     responsible for administering employment and training 
     services under section 6(d)(4) to ensure funds are being 
     spent effectively and efficiently.
       ``(ii) Accountability.--Each program of employment and 
     training receiving funds under section 6(d)(4) shall be 
     subject to the requirements of the performance accountability 
     system, including having to meet the State performance 
     measures described in section 136 of the Workforce Investment 
     Act (29 U.S.C. 2871).''.
       (6) Research, demonstration, and evaluations.--Section 17 
     of the Food and Nutrition Act of 2008 (7 U.S.C. 2026) is 
     amended--
       (A) in subsection (b)--
       (i) in paragraph (1)(B)(iv)(III)(dd), by striking ``, 
     (4)(F)(i), or (4)(K)'' and inserting ``or (4)''; and
       (ii) by striking paragraph (3); and
       (B) in subsection (g), in the first sentence in the matter 
     preceding paragraph (1)--
       (i) by striking ``programs established'' and inserting 
     ``activities provided to eligible households''; and
       (ii) by inserting ``, in conjunction with the Secretary of 
     Labor,'' after ``Secretary''.
       (7) Minnesota family investment project.--Section 22(b)(4) 
     of the Food and Nutrition Act of 2008 (7 U.S.C. 2031(b)(4)) 
     is amended by striking ``equivalent to those offered under 
     the employment and training program''.
       (b) Amendments to Section 412 of the Immigration and 
     Nationality Act.--
       (1) Conditions and considerations.--Section 412(a) of the 
     Immigration and Nationality Act (8 U.S.C. 1522(a)) is 
     amended--
       (A) in paragraph (1)--
       (i) in subparagraph (A)(i), by striking ``make available 
     sufficient resources for employment training and placement'' 
     and inserting ``provide refugees with the opportunity to 
     access employment and training services, including job 
     placement,''; and
       (ii) in subparagraph (B)(ii), by striking ``services;'' and 
     inserting ``services provided through the Workforce 
     Investment Act of 1998 (29 U.S.C. 2801 et seq.);'';
       (B) in paragraph (2)(C)(iii)(II), by inserting ``and 
     training'' after ``employment'';

[[Page 5261]]

       (C) in paragraph (6)(A)(ii)--
       (i) by striking ``insure'' and inserting ``ensure'';
       (ii) by inserting ``and training'' after ``employment''; 
     and
       (iii) by inserting after ``available'' the following: 
     ``through the one-stop delivery system under section 121 of 
     the Workforce Investment Act of 1998 (29 U.S.C. 2841)''; and
       (D) in paragraph (9), by inserting ``the Secretary of 
     Labor,'' after ``Education,''.
       (2) Program of initial resettlement.--Section 412(b)(2) of 
     such Act (8 U.S.C. 1522(b)(2)) is amended--
       (A) by striking ``orientation, instruction'' and inserting 
     ``orientation and instruction''; and
       (B) by striking ``, and job training for refugees, and such 
     other education and training of refugees, as facilitates'' 
     and inserting ``for refugees to facilitate''.
       (3) Project grants and contracts for services for 
     refugees.--Section 412(c) of such Act (8 U.S.C. 1522(c)) is 
     amended--
       (A) in paragraph (1)--
       (i) in subparagraph (A)(i), by inserting ``and training'' 
     after ``employment''; and
       (ii) by striking subparagraph (C);
       (B) in paragraph (2)(B), by striking ``paragraph--'' and 
     all that follows through ``in a manner'' and inserting 
     ``paragraph in a manner''; and
       (C) by adding at the end the following:
       ``(C) In carrying out this section, the Director shall 
     ensure that employment and training services are provided 
     through the statewide workforce development system, as 
     appropriate, authorized by the Workforce Investment Act of 
     1998 (29 U.S.C. 2801 et seq.). Such action may include--
       ``(i) making employment and training activities described 
     in section 134 of such Act (29 U.S.C. 2864) available to 
     refugees; and
       ``(ii) providing refugees with access to a one-stop 
     delivery system established under section 121 of such Act (29 
     U.S.C. 2841).''.
       (4) Cash assistance and medical assistance to refugees.--
     Section 412(e) of such Act (8 U.S.C. 1522(e)) is amended--
       (A) in paragraph (2)(A)(i), by inserting ``and training'' 
     after ``providing employment''; and
       (B) in paragraph (3), by striking ``The'' and inserting 
     ``Consistent with subsection (c)(3), the''.
       (c) Amendments Relating to the Second Chance Act of 2007.--
       (1) Federal prisoner reentry initiative.--Section 231 of 
     the Second Chance Act of 2007 (42 U.S.C. 17541) is amended--
       (A) in subsection (a)(1)(E)--
       (i) by inserting ``the Department of Labor and'' before 
     ``other Federal agencies''; and
       (ii) by inserting ``State and local workforce investment 
     boards,'' after ``community-based organizations,'';
       (B) in subsection (c)--
       (i) in paragraph (2), by striking at the end ``and'';
       (ii) in paragraph (3), by striking at the end the period 
     and inserting ``; and''; and
       (iii) by adding at the end the following new paragraph:
       ``(D) to coordinate reentry programs with the employment 
     and training services provided through the statewide 
     workforce investment system under subtitle B of title I of 
     the Workforce Investment Act of 1998 (29 U.S.C. 2811 et 
     seq.).''; and
       (C) in subsection (d), by adding at the end the following 
     new paragraph:
       ``(F) Interaction with the workforce investment system.--
       ``(i) In general.--In carrying out this section, the 
     Director shall ensure that employment and training services, 
     including such employment and services offered through 
     reentry programs, are provided, as appropriate, through the 
     statewide workforce investment system under subtitle B of 
     title I of the Workforce Investment Act of 1998 (29 U.S.C. 
     2811 et seq.), which may include--

       ``(I) making employment and training services available to 
     prisoners prior to and immediately following the release of 
     such prisoners; or
       ``(II) providing prisoners with access by remote means to a 
     one-stop delivery system under section 121 of the Workforce 
     Investment Act of 1998 (29 U.S.C. 2841) in the State in which 
     the prison involved is located.

       ``(ii) Service defined.--In this paragraph, the term 
     `employment and training services' means those services 
     described in section 134 of the Workforce Investment Act of 
     1998 (29 U.S.C. 2864) offered by the Bureau of Prisons, 
     including--

       ``(I) the skills assessment described in subsection 
     (a)(1)(A);
       ``(II) the skills development plan described in subsection 
     (a)(1)(B); and
       ``(III) the enhancement, development, and implementation of 
     reentry and skills development programs.''.

       (2) Duties of the bureau of prisons.--Section 4042(a) of 
     title 18, United States Code, is amended--
       (A) by redesignating subparagraphs (D) and (E), as added by 
     section 231(d)(1)(C) of the Second Chance Act of 2007 (Public 
     Law 110-199; 122 Stat. 685), as paragraphs (6) and (7), 
     respectively, and adjusting the margin accordingly;
       (B) in paragraph (6), as so redesignated, by redesignating 
     clauses (i) and (ii) as subparagraphs (A) and (B), 
     respectively, and adjusting the margin accordingly;
       (C) in paragraph (7), as so redesignated--
       (i) in clause (ii), by striking ``Employment'' and 
     inserting ``Employment and training services (as defined in 
     paragraph (6) of section 231(d) of the Second Chance Act of 
     2007), including basic skills attainment, consistent with 
     such paragraph''; and
       (ii) by striking clause (iii); and
       (D) by redesignating clauses (i), (ii), (iv), (v), (vi), 
     and (vii) as subparagraphs (A), (B), (C), (D), (E), and (F), 
     respectively, and adjusting the margin accordingly.
       (d) Amendments to the Omnibus Crime Control and Safe 
     Streets Act of 1968.--Section 2976 of the Omnibus Crime 
     Control and Safe Streets Act of 1968 (42 U.S.C. 3797w) is 
     amended--
       (1) in subsection (b)--
       (A) in paragraph (1), by striking ``vocational'' and 
     inserting ``career and technical education (as defined in 
     section 3 of the Carl D. Perkins Career and Technical 
     Education Act of 2006 (20 U.S.C. 2302)) and training'';
       (B) by redesignating paragraphs (4), (5), (6), and (7) as 
     paragraphs (5), (6), (7), and (8), respectively; and
       (C) by inserting after paragraph (3) the following new 
     paragraph:
       ``(D) coordinating employment and training services 
     provided through the statewide workforce investment system 
     under subtitle B of title I of the Workforce Investment Act 
     of 1998 (29 U.S.C. 2811 et seq.), including a one-stop 
     delivery system under section 121 of such Act (29 U.S.C. 
     2841), for offenders upon release from prison, jail, or a 
     juvenile facility, as appropriate;'';
       (2) in subsection (d)(2), by inserting ``, including local 
     workforce investment boards established under section 117 of 
     the Workforce Investment Act of 1998 (29 U.S.C. 2832),'' 
     after ``nonprofit organizations'';
       (3) in subsection (e)--
       (A) in paragraph (3), by striking ``victims services, and 
     employment services'' and inserting ``and victim services'';
       (B) by redesignating paragraphs (4) and (5) as paragraphs 
     (5) and (6), respectively; and
       (C) by inserting after paragraph (3) the following new 
     paragraph:
       ``(D) provides employment and training services through the 
     statewide workforce investment system under subtitle B of 
     title I of the Workforce Investment Act of 1998 (29 U.S.C. 
     2811 et seq.), including a one-stop delivery system under 
     section 121 of such Act (29 U.S.C. 2841);''; and
       (4) in subsection (k)--
       (A) in paragraph (1)(A), by inserting ``, in accordance 
     with paragraph (2)'' after ``under this section'';
       (B) by redesignating paragraphs (2) and (3) as paragraphs 
     (3) and (4), respectively; and
       (C) by inserting after paragraph (1) the following new 
     paragraph:
       ``(B) Employment and training.--The Attorney General shall 
     require each grantee under this section to measure the core 
     indicators of performance as described in section 
     136(b)(2)(A) of the Workforce Investment Act of 1998 (29 
     U.S.C. 2871(b)(2)(A)) with respect to the program of such 
     grantee funded with a grant under this section.''.
       (e) Conforming Amendments to Title 38, United States 
     Code.--Title 38, United States Code, is amended--
       (1) in section 3672(d)(1), by striking ``disabled veterans' 
     outreach program specialists under section 4103A'' and 
     inserting ``veteran employment specialists appointed under 
     section 134(f) of the Workforce Investment Act of 1998'';
       (2) in the table of sections at the beginning of chapter 
     41, by striking the items relating to sections 4103A and 
     4104;
       (3) in section 4102A--
       (A) in subsection (b)--
       (i) by striking paragraphs (5), (6), and (7); and
       (ii) by redesignating paragraph (8) as paragraph (5);
       (B) by striking subsections (c) and (h);
       (C) by redesignating subsections (d), (e), (f), and (g) as 
     subsections (c), (d), (e), and (f); and
       (D) in subsection (e)(1) (as so redesignated)--
       (i) by striking ``, including disabled veterans' outreach 
     program specialists and local veterans' employment 
     representatives providing employment, training, and placement 
     services under this chapter in a State''; and
       (ii) by striking ``for purposes of subsection (c)'';
       (4) in section 4104A--
       (A) in subsection (b)(1), by striking subparagraph (A) and 
     inserting the following:
       ``(i) the appropriate veteran employment specialist (in 
     carrying out the functions described in section 134(f) of the 
     Workforce Investment Act of 1998);''; and
       (B) in subsection (c)(1), by striking subparagraph (A) and 
     inserting the following:
       ``(i) collaborate with the appropriate veteran employment 
     specialist (as described in section 134(f)) and the 
     appropriate State boards and local boards (as such terms are 
     defined in section 101 of the Workforce Investment Act of 
     1998 (29 U.S.C. 2801));'';
       (5) in section 4109--
       (A) in subsection (a), by striking ``disabled veterans' 
     outreach program specialists and local veterans' employment 
     representative'' and inserting ``veteran employment 
     specialists appointed under section 134(f) of the Workforce 
     Investment Act of 1998''; and

[[Page 5262]]

       (B) in subsection (d)(1), by striking ``disabled veterans' 
     outreach program specialists and local veterans' employment 
     representatives'' and inserting ``veteran employment 
     specialists appointed under section 134(f) of the Workforce 
     Investment Act of 1998''; and
       (6) in section 4112(d)--
       (A) in paragraph (1), by striking ``disabled veterans' 
     outreach program specialist'' and inserting ``veteran 
     employment specialist appointed under section 134(f) of the 
     Workforce Investment Act of 1998''; and
       (B) by striking paragraph (2) and redesignating paragraph 
     (3) as paragraph (2).
       (f) Comprehensive Environmental Response, Compensation, and 
     Liability Act of 1980.--Section 104(k)(6)(A) of the 
     Comprehensive Environmental Response, Compensation, and 
     Liability Act of 1980 (42 U.S.C. 9604(k)(6)(A)) is amended by 
     striking ``training, research, and'' and inserting ``research 
     and''.

     SEC. __73. CONFORMING AMENDMENT TO TABLE OF CONTENTS.

       The table of contents in section 1(b) is amended to read as 
     follows:
       ``(b) Table of Contents.--The table of contents for this 
     Act is as follows:
``Sec. 1. Short title; table of contents.

                ``TITLE I--WORKFORCE INVESTMENT SYSTEMS

             ``Subtitle A--Workforce Investment Definitions

``Sec. 101. Definitions.

     ``Subtitle B--Statewide and Local Workforce Investment Systems

``Sec. 106. Purpose.

                     ``Chapter 1--State Provisions

``Sec. 111. State workforce investment boards.
``Sec. 112. State plan.

                     ``Chapter 2--Local Provisions

``Sec. 116. Local workforce investment areas.
``Sec. 117. Local workforce investment boards.
``Sec. 118. Local plan.

         ``Chapter 3--Workforce Investment Activities Providers

``Sec. 121. Establishment of one-stop delivery systems.
``Sec. 122. Identification of eligible providers of training services.

            ``Chapter 5--Employment and Training Activities

``Sec. 131. General authorization.
``Sec. 132. State allotments.
``Sec. 133. Within State allocations.
``Sec. 134. Use of funds for employment and training activities.

                    ``Chapter 6--General Provisions

``Sec. 136. Performance accountability system.
``Sec. 137. Authorization of appropriations.

                        ``Subtitle C--Job Corps

``Sec. 141. Purposes.
``Sec. 142. Definitions.
``Sec. 143. Establishment.
``Sec. 144. Individuals eligible for the Job Corps.
``Sec. 145. Recruitment, screening, selection, and assignment of 
              enrollees.
``Sec. 146. Enrollment.
``Sec. 147. Job Corps centers.
``Sec. 148. Program activities.
``Sec. 149. Counseling and job placement.
``Sec. 150. Support.
``Sec. 151. Operations.
``Sec. 152. Standards of conduct.
``Sec. 153. Community participation.
``Sec. 154. Workforce councils.
``Sec. 156. Technical assistance to centers.
``Sec. 157. Application of provisions of Federal law.
``Sec. 158. Special provisions.
``Sec. 159. Performance accountability and management.
``Sec. 160. General provisions.
``Sec. 161. Authorization of appropriations.

                    ``Subtitle D--National Programs

``Sec. 170. Technical assistance.
``Sec. 172. Evaluations.

                      ``Subtitle E--Administration

``Sec. 181. Requirements and restrictions.
``Sec. 182. Prompt allocation of funds.
``Sec. 183. Monitoring.
``Sec. 184. Fiscal controls; sanctions.
``Sec. 185. Reports; recordkeeping; investigations.
``Sec. 186. Administrative adjudication.
``Sec. 187. Judicial review.
``Sec. 188. Nondiscrimination.
``Sec. 189. Administrative provisions.
``Sec. 190. References.
``Sec. 191. State legislative authority.
``Sec. 193. Transfer of Federal equity in State employment security 
              real property to the States.
``Sec. 195. General program requirements.
``Sec. 196. Federal agency staff.
``Sec. 197. Restrictions on lobbying and political activities.

            ``Subtitle F--Repeals and Conforming Amendments

``Sec. 199. Repeals.
``Sec. 199A. Conforming amendments.

       ``TITLE II--ADULT EDUCATION AND FAMILY LITERACY EDUCATION

``Sec. 201. Short title.
``Sec. 202. Purpose.
``Sec. 203. Definitions.
``Sec. 204. Home schools.
``Sec. 205. Authorization of appropriations.

                    ``Subtitle A--Federal Provisions

``Sec. 211. Reservation of funds; grants to eligible agencies; 
              allotments.
``Sec. 212. Performance accountability system.

                     ``Subtitle B--State Provisions

``Sec. 221. State administration.
``Sec. 222. State distribution of funds; matching requirement.
``Sec. 223. State leadership activities.
``Sec. 224. State plan.
``Sec. 225. Programs for corrections education and other 
              institutionalized individuals.

                     ``Subtitle C--Local Provisions

``Sec. 231. Grants and contracts for eligible providers.
``Sec. 232. Local application.
``Sec. 233. Local administrative cost limits.

                    ``Subtitle D--General Provisions

``Sec. 241. Administrative provisions.
``Sec. 242. National activities.

          ``TITLE III--WORKFORCE INVESTMENT-RELATED ACTIVITIES

                    ``Subtitle A--Wagner-Peyser Act

``Sec. 301. Definitions.
``Sec. 302. Functions.
``Sec. 303. Designation of State agencies.
``Sec. 304. Appropriations.
``Sec. 305. Disposition of allotted funds.
``Sec. 306. State plans.
``Sec. 307. Repeal of Federal advisory council.
``Sec. 308. Regulations.
``Sec. 309. Employment statistics.
``Sec. 310. Technical amendments.
``Sec. 311. Effective date.

               ``Subtitle B--Linkages With Other Programs

``Sec. 321. Trade Act of 1974.
``Sec. 322. Veterans' employment programs.
``Sec. 323. Older Americans Act of 1965.

``Subtitle D--Application of Civil Rights and Labor-Management Laws to 
                      the Smithsonian Institution

``Sec. 341. Application of civil rights and labor-management laws to 
              the Smithsonian Institution.

           ``TITLE IV--REHABILITATION ACT AMENDMENTS OF 1998

``Sec. 401. Short title.
``Sec. 402. Title.
``Sec. 403. General provisions.
``Sec. 404. Vocational rehabilitation services.
``Sec. 405. Research and training.
``Sec. 406. Professional development and special projects and 
              demonstrations.
``Sec. 407. National Council on Disability.
``Sec. 408. Rights and advocacy.
``Sec. 409. Employment opportunities for individuals with disabilities.
``Sec. 410. Independent living services and centers for independent 
              living.
``Sec. 411. Repeal.
``Sec. 412. Helen Keller National Center Act.
``Sec. 413. President's Committee on Employment of People With 
              Disabilities.
``Sec. 414. Conforming amendments.

                     ``TITLE V--GENERAL PROVISIONS

``Sec. 501. State unified plan.
``Sec. 504. Privacy.
``Sec. 505. Buy-American requirements.
``Sec. 507. Effective date.''.

        Subtitle E--Amendments to the Rehabilitation Act of 1973

     SEC. __76. FINDINGS.

       Section 2(a) of the Rehabilitation Act of 1973 (29 U.S.C. 
     701(a)) is amended--
       (1) in paragraph (5), by striking ``and'' at the end;
       (2) in paragraph (6), by striking the period and inserting 
     ``; and''; and
       (3) by adding at the end the following:
       ``(7) there is a substantial need to improve and expand 
     services for students with disabilities under this Act.''.

     SEC. __77. REHABILITATION SERVICES ADMINISTRATION.

       (a) Rehabilitation Services Administration.--The 
     Rehabilitation Act of 1973 (29 U.S.C. 701 et seq.) is 
     amended--
       (1) in section 3(a) (29 U.S.C. 702(a))--
       (A) by striking ``Office of the Secretary'' and inserting 
     ``Department of Education'';
       (B) by striking ``President by and with the advice and 
     consent of the Senate'' and inserting ``Secretary''; and
       (C) by striking ``, and the Commissioner shall be the 
     principal officer,'';
       (2) by striking ``Commissioner'' each place it appears 
     (except in section 21) and inserting ``Director'';
       (3) in section 12(c) (29 U.S.C. 709(c)), by striking 
     ``Commissioner's'' and inserting ``Director's'';
       (4) in section 21 (29 U.S.C. 718)--
       (A) in subsection (b)(1)--
       (i) by striking ``Commissioner'' the first place it appears 
     and inserting ``Director of the Rehabilitation Services 
     Administration'';
       (ii) by striking ``(referred to in this subsection as the 
     `Director')''; and
       (iii) by striking ``The Commissioner and the Director'' and 
     inserting ``Both such Directors''; and
       (B) by striking ``the Commissioner and the Director'' each 
     place it appears and inserting ``both such Directors'';

[[Page 5263]]

       (5) in the heading for subparagraph (B) of section 
     100(d)(2) (29 U.S.C. 720(d)(2)), by striking ``commissioner'' 
     and inserting ``director'';
       (6) in section 401(a)(1) (29 U.S.C. 781(a)(1)), by 
     inserting ``of the National Institute on Disability and 
     Rehabilitation Research'' after ``Director'';
       (7) in the heading for section 706 (29 U.S.C. 796d-1), by 
     striking ``commissioner'' and inserting ``director''; and
       (8) in the heading for paragraph (3) of section 723(a) (29 
     U.S.C. 796f-2(a)), by striking ``commissioner'' and inserting 
     ``director''.
       (b) Effective Date; Application.--The amendments made by 
     subsection (a) shall--
       (1) take effect on the date of the enactment of this Act; 
     and
       (2) apply with respect to the appointments of Directors of 
     the Rehabilitation Services Administration made on or after 
     the date of enactment of this Act, and the Directors so 
     appointed.

     SEC. __78. DEFINITIONS.

       Section 7 of the Rehabilitation Act of 1973 (29 U.S.C. 705) 
     is amended--
       (1) by redesignating paragraphs (35) through (39) as 
     paragraphs (36) through (40), respectively;
       (2) in subparagraph (A)(ii) of paragraph (36) (as 
     redesignated by paragraph (1)), by striking ``paragraph 
     (36)(C)'' and inserting ``paragraph (37)(C)''; and
       (3) by inserting after paragraph (34) the following:
       ``(35)(A) The term `student with a disability' means an 
     individual with a disability who--
       ``(i) is not younger than 16 and not older than 21;
       ``(ii) has been determined to be eligible under section 
     102(a) for assistance under this title; and
       ``(iii)(I) is eligible for, and is receiving, special 
     education under part B of the Individuals with Disabilities 
     Education Act (20 U.S.C. 1411 et seq.); or
       ``(II) is an individual with a disability, for purposes of 
     section 504.
       ``(B) The term `students with disabilities' means more than 
     1 student with a disability.''.

     SEC. __79. CARRYOVER.

       Section 19(a)(1) of the Rehabilitation Act of 1973 (29 
     U.S.C. 716(a)(1)) is amended by striking ``part B of title 
     VI,''.

     SEC. __80. TRADITIONALLY UNDERSERVED POPULATIONS.

       Section 21 of the Rehabilitation Act of 1973 (29 U.S.C. 
     718) is amended, in paragraphs (1) and (2)(A) of subsection 
     (b), and in subsection (c), by striking ``VI,''.

     SEC. __81. STATE PLAN.

       Section 101(a) of the Rehabilitation Act of 1973 (29 U.S.C. 
     721(a)) is amended--
       (1) in paragraph (10)--
       (A) in subparagraph (B), by striking ``on the eligible 
     individuals'' and all that follows and inserting ``of 
     information necessary to assess the State's performance on 
     the core indicators of performance described in section 
     136(b)(2)(A) of the Workforce Investment Act of 1998 (29 
     U.S.C. 2871(b)(2)(A)).''; and
       (B) in subparagraph (E)(ii), by striking ``, to the extent 
     the measures are applicable to individuals with 
     disabilities'';
       (2) in paragraph (11)--
       (A) in subparagraph (D)(i), by inserting before the 
     semicolon the following: ``, which may be provided using 
     alternative means of meeting participation (such as 
     participation through video conferences and conference 
     calls)''; and
       (B) by adding at the end the following:
       ``(G) Coordination with assistive technology programs.--The 
     State plan shall include an assurance that the designated 
     State unit and the lead agency or implementing entity 
     responsible for carrying out duties under the Assistive 
     Technology Act of 1998 (29 U.S.C. 3001 et seq.) have 
     developed working relationships and coordinate their 
     activities.'';
       (3) in paragraph (15)--
       (A) in subparagraph (A)--
       (i) in clause (i)--

       (I) in subclause (II), by striking ``and'' at the end;
       (II) in subclause (III), by adding ``and'' at the end; and
       (III) by adding at the end the following:
       ``(IV) students with disabilities, including their need for 
     transition services;'';

       (ii) by redesignating clauses (ii) and (iii) as clauses 
     (iii) and (iv), respectively; and
       (iii) by inserting after clause (i) the following:
       ``(ii) include an assessment of the transition services 
     provided under this Act, and coordinated with transition 
     services provided under the Individuals with Disabilities 
     Education Act (20 U.S.C. 1400 et seq.), about the extent to 
     which those 2 types of services meet the needs of individuals 
     with disabilities;'';
       (B) in subparagraph (B)(ii), by striking ``and under part B 
     of title VI''; and
       (C) in subparagraph (D)--
       (i) by redesignating clauses (iii), (iv), and (v) as 
     clauses (iv), (v), and (vi), respectively;
       (ii) by inserting after clause (ii) the following:
       ``(iii) the methods to be used to improve and expand 
     vocational rehabilitation services for students with 
     disabilities, including the coordination of services designed 
     to facilitate the transition of such students from the 
     receipt of educational services in school to the receipt of 
     vocational rehabilitation services under this title or to 
     postsecondary education or employment;''; and
       (iii) in clause (v), as redesignated by clause (i) of this 
     subparagraph, by striking ``evaluation standards'' and 
     inserting ``performance standards'';
       (4) in paragraph (22)--
       (A) in the paragraph heading, by striking ``state plan 
     supplement'';
       (B) by striking ``carrying out part B of title VI, 
     including''; and
       (C) by striking ``that part to supplement funds made 
     available under part B of'';
       (5) in paragraph (24)--
       (A) in the paragraph heading, by striking ``contracts'' and 
     inserting ``grants''; and
       (B) in subparagraph (A)--
       (i) in the subparagraph heading, by striking ``Contracts'' 
     and inserting ``Grants''; and
       (ii) by striking ``part A of title VI'' and inserting 
     ``section 109A''; and
       (6) by adding at the end the following:
       ``(25) Collaboration with industry.--The State plan shall 
     describe how the designated State agency will carry out the 
     provisions of section 109A, including--
       ``(A) the criteria such agency will use to award grants 
     under such section; and
       ``(B) how the activities carried out under such grants will 
     be coordinated with other services provided under this title.
       ``(26) Services for students with disabilities.--The State 
     plan shall provide an assurance satisfactory to the Secretary 
     that the State--
       ``(A) has developed and implemented strategies to address 
     the needs identified in the assessments described in 
     paragraph (15), and achieve the goals and priorities 
     identified by the State in that paragraph, to improve and 
     expand vocational rehabilitation services for students with 
     disabilities on a statewide basis in accordance with 
     paragraph (15); and
       ``(B) from funds reserved under section 110A, shall carry 
     out programs or activities designed to improve and expand 
     vocational rehabilitation services for students with 
     disabilities that--
       ``(i) facilitate the transition of students with 
     disabilities from the receipt of educational services in 
     school, to the receipt of vocational rehabilitation services 
     under this title, including, at a minimum, those services 
     specified in the interagency agreement required in paragraph 
     (11)(D);
       ``(ii) improve the achievement of post-school goals of 
     students with disabilities, including improving the 
     achievement through participation (as appropriate when career 
     goals are discussed) in meetings regarding individualized 
     education programs developed under section 614 of the 
     Individuals with Disabilities Education Act (20 U.S.C. 1414);
       ``(iii) provide career guidance, career exploration 
     services, job search skills and strategies, and technical 
     assistance to students with disabilities;
       ``(iv) support the provision of training and technical 
     assistance to State and local educational agencies and 
     designated State agency personnel responsible for the 
     planning and provision of services to students with 
     disabilities; and
       ``(v) support outreach activities to students with 
     disabilities who are eligible for, and need, services under 
     this title.''.

     SEC. __82. SCOPE OF SERVICES.

       Section 103 of the Rehabilitation Act of 1973 (29 U.S.C. 
     723) is amended--
       (1) in subsection (a), by striking paragraph (15) and 
     inserting the following:
       ``(15) transition services for students with disabilities, 
     that facilitate the achievement of the employment outcome 
     identified in the individualized plan for employment 
     involved, including services described in clauses (i) through 
     (iii) of section 101(a)(26)(B);'';
       (2) in subsection (b), by striking paragraph (6) and 
     inserting the following:
       ``(6)(A)(i) Consultation and technical assistance services 
     to assist State and local educational agencies in planning 
     for the transition of students with disabilities from school 
     to post-school activities, including employment.
       ``(ii) Training and technical assistance described in 
     section 101(a)(26)(B)(iv).
       ``(B) Services for groups of individuals with disabilities 
     who meet the requirements of clauses (i) and (iii) of section 
     7(35)(A), including services described in clauses (i), (ii), 
     (iii), and (v) of section 101(a)(26)(B), to assist in the 
     transition from school to post-school activities.''; and
       (3) in subsection (b), by inserting at the end the 
     following:
       ``(7) The establishment, development, or improvement of 
     assistive technology demonstration, loan, reutilization, or 
     financing programs in coordination with activities authorized 
     under the Assistive Technology Act of 1998 (29 U.S.C. 3001 et 
     seq.) to promote access to assistive technology for 
     individuals with disabilities and employers.''.

     SEC. __83. STANDARDS AND INDICATORS.

       (a) In General.--Section 106 of the Rehabilitation Act of 
     1973 (29 U.S.C. 726) is amended--
       (1) in the section heading, by striking ``evaluation 
     standards'' and inserting ``performance standards'';

[[Page 5264]]

       (2) by striking subsection (a) and inserting the following:
       ``(a) Standards and Indicators.--The performance standards 
     and indicators for the vocational rehabilitation program 
     carried out under this title--
       ``(1) shall be subject to paragraphs (2)(A) and (3) of 
     section 136(b) of the Workforce Investment Act of 1998 (29 
     U.S.C. 2871(b)); and
       ``(2) may, at a State's discretion, include additional 
     indicators identified in the State plan submitted under 
     section 101.''; and
       (3) in subsection (b)(2)(B), by striking clause (i) and 
     inserting the following:
       ``(i) on a biannual basis, review the program improvement 
     efforts of the State and, if the State has not improved its 
     performance to acceptable levels, as determined by the 
     Director, direct the State to make revisions to the plan to 
     improve performance; and''.
       (b) Conforming Amendments.--Section 107 of the 
     Rehabilitation Act of 1973 (29 U.S.C. 727) is amended--
       (1) in subsections (a)(1)(B) and (b)(2), by striking 
     ``evaluation standards'' and inserting ``performance 
     standards''; and
       (2) in subsection (c)(1)(B), by striking ``an evaluation 
     standard'' and inserting ``a performance standard''.

     SEC. __84. EXPENDITURE OF CERTAIN AMOUNTS.

       Section 108(a) of the Rehabilitation Act of 1973 (29 U.S.C. 
     728(a)) is amended by striking ``under part B of title VI, 
     or''.

     SEC. __85. COLLABORATION WITH INDUSTRY.

       The Rehabilitation Act of 1973 is amended by inserting 
     after section 109 (29 U.S.C. 728a) the following:

     ``SEC. 109A. COLLABORATION WITH INDUSTRY.

       ``(a) Eligible Entity Defined.--For the purposes of this 
     section, the term `eligible entity' means a for-profit 
     business, alone or in partnership with one or more of the 
     following:
       ``(1) Community rehabilitation program providers.
       ``(2) Indian tribes.
       ``(3) Tribal organizations.
       ``(b) Authority.--A State shall use not less than one-half 
     of one percent of the payment the State receives under 
     section 111 for a fiscal year to award grants to eligible 
     entities to pay for the Federal share of the cost of carrying 
     out collaborative programs, to create practical job and 
     career readiness and training programs, and to provide job 
     placements and career advancement.
       ``(c) Awards.--Grants under this section shall--
       ``(1) be awarded for a period not to exceed 5 years; and
       ``(2) be awarded competitively.
       ``(d) Application.--To receive a grant under this section, 
     an eligible entity shall submit an application to a 
     designated State agency at such time, in such manner, and 
     containing such information as such agency shall require. 
     Such application shall include, at a minimum--
       ``(1) a plan for evaluating the effectiveness of the 
     collaborative program;
       ``(2) a plan for collecting and reporting the data and 
     information described under subparagraphs (A) through (C) of 
     section 101(a)(10), as determined appropriate by the 
     designated State agency; and
       ``(3) a plan for providing for the non-Federal share of the 
     costs of the program.
       ``(e) Activities.--An eligible entity receiving a grant 
     under this section shall use the grant funds to carry out a 
     program that provides one or more of the following:
       ``(1) Job development, job placement, and career 
     advancement services for individuals with disabilities.
       ``(2) Training in realistic work settings in order to 
     prepare individuals with disabilities for employment and 
     career advancement in the competitive market.
       ``(3) Providing individuals with disabilities with such 
     support services as may be required in order to maintain the 
     employment and career advancement for which the individuals 
     have received training.
       ``(f) Eligibility for Services.--An individual shall be 
     eligible for services provided under a program under this 
     section if the individual is determined under section 
     102(a)(1) to be eligible for assistance under this title.
       ``(g) Federal Share.--The Federal share for a program under 
     this section shall not exceed 80 percent of the costs of the 
     program.''.

     SEC. __86. RESERVATION FOR EXPANDED TRANSITION SERVICES.

       The Rehabilitation Act of 1973 is amended by inserting 
     after section 110 (29 U.S.C. 730) the following:

     ``SEC. 110A. RESERVATION FOR EXPANDED TRANSITION SERVICES.

       ``Each State shall reserve not less than 10 percent of the 
     funds allotted to the State under section 110(a) to carry out 
     programs or activities under sections 101(a)(26)(B) and 
     103(b)(6).''.

     SEC. __87. CLIENT ASSISTANCE PROGRAM.

       Section 112(e)(1) of the Rehabilitation Act of 1973 (29 
     U.S.C. 732(e)(1)) is amended by redesignating subparagraph 
     (D) as subparagraph (E) and inserting after subparagraph (C) 
     the following:
       ``(D) The Secretary shall make grants to the protection and 
     advocacy system serving the American Indian Consortium under 
     the Developmental Disabilities and Bill of Rights Act of 2000 
     (42 U.S.C. 15001 et seq.) to provide services in accordance 
     with this section, as determined by the Secretary. The amount 
     of such grants shall be the same as the amount provided to 
     territories under this subsection.''.

     SEC. __88. RESEARCH.

       Section 204(a)(2)(A) of the Rehabilitation Act of 1973 (29 
     U.S.C. 764(a)(2)(A)) is amended by striking ``VI,''.

     SEC. __89. TITLE III AMENDMENTS.

       Title III of the Rehabilitation Act of 1973 (29 U.S.C. 771 
     et seq.) is amended--
       (1) in section 301(a) (21 U.S.C. 771(a))--
       (A) in paragraph (2), by inserting ``and'' at the end;
       (B) by striking paragraphs (3) and (4); and
       (C) by redesignating paragraph (5) as paragraph (3);
       (2) in section 302 (29 U.S.C. 772)--
       (A) in subsection (g)--
       (i) in the heading, by striking ``and In-Service 
     Training''; and
       (ii) by striking paragraph (3); and
       (B) in subsection (h), by striking ``section 306'' and 
     inserting ``section 304'';
       (3) in section 303 (29 U.S.C. 773)--
       (A) in subsection (b)(1), by striking ``section 306'' and 
     inserting ``section 304''; and
       (B) in subsection (c)--
       (i) in paragraph (4)--

       (I) by amending subparagraph (A)(ii) to read as follows:

       ``(ii) to coordinate activities and work closely with the 
     parent training and information centers established pursuant 
     to section 671 of the Individuals with Disabilities Education 
     Act (20 U.S.C. 1471), the community parent resource centers 
     established pursuant to section 672 of such Act (29 U.S.C. 
     1472), and the eligible entities receiving awards under 
     section 673 of such Act (20 U.S.C. 1473); and''; and

       (II) in subparagraph (C), by inserting ``, and demonstrate 
     the capacity for serving,'' after ``serve''; and

       (ii) by adding at the end the following:
       ``(8) Reservation.--From the amount appropriated to carry 
     out this subsection for a fiscal year, 20 percent of such 
     amount or $500,000, whichever is less, shall be reserved to 
     carry out paragraph (6).'';
       (4) by striking sections 304 and 305 (29 U.S.C. 774, 775); 
     and
       (5) by redesignating section 306 (29 U.S.C. 776) as section 
     304.

     SEC. __90. REPEAL OF TITLE VI.

       Title VI of the Rehabilitation Act of 1973 (29 U.S.C. 795 
     et seq.) is repealed.

     SEC. __91. TITLE VII GENERAL PROVISIONS.

       (a) Purpose.--Section 701(3) of the Rehabilitation Act of 
     1973 (29 U.S.C. 796(3)) is amended by striking ``State 
     programs of supported employment services receiving 
     assistance under part B of title VI,''.
       (b) Chairperson.--Section 705(b)(5) of the Rehabilitation 
     Act of 1973 (29 U.S.C. 796d(b)(5)) is amended to read as 
     follows:
       ``(5) Chairperson.--The Council shall select a chairperson 
     from among the voting membership of the Council.''.

     SEC. __92. AUTHORIZATIONS OF APPROPRIATIONS.

       The Rehabilitation Act of 1973 (29 U.S.C. 701 et seq.) is 
     further amended--
       (1) in section 100 (29 U.S.C. 720)--
       (A) in subsection (b)(1), by striking ``such sums as may be 
     necessary for fiscal years 1999 through 2003'' and inserting 
     ``$3,121,712,000 for fiscal year 2015 and each of the 6 
     succeeding fiscal years''; and
       (B) in subsection (d)(1)(B), by striking ``2003'' and 
     inserting ``2021'';
       (2) in section 110(c) (29 U.S.C. 730(c)), by amending 
     paragraph (2) to read as follows:
       ``(2) The sum referred to in paragraph (1) shall be, as 
     determined by the Secretary, not less than 1 percent and not 
     more than 1.5 percent of the amount referred to in paragraph 
     (1) for each of fiscal years 2015 through 2020.'';
       (3) in section 112(h) (29 U.S.C. 732(h)), by striking 
     ``such sums as may be necessary for fiscal years 1999 through 
     2003'' and inserting ``$12,240,000 for fiscal year 2015 and 
     each of the 6 succeeding fiscal years'';
       (4) by amending subsection (a) of section 201 (29 U.S.C. 
     761(a)) to read as follows: ``(a) There are authorized to be 
     appropriated $108,817,000 for fiscal year 2015 and each of 
     the 6 succeeding fiscal years to carry out this title.'';
       (5) in section 302(i) (29 U.S.C. 772(i)), by striking 
     ``such sums as may be necessary for each of the fiscal years 
     1999 through 2003'' and inserting ``$35,515,000 for fiscal 
     year 2015 and each of the 6 succeeding fiscal years'';
       (6) in section 303(e) (29 U.S.C. 773(e)), by striking 
     ``such sums as may be necessary for each of the fiscal years 
     1999 through 2003'' and inserting ``$5,325,000 for fiscal 
     year 2015 and each of the 6 succeeding fiscal years'';
       (7) in section 405 (29 U.S.C. 785), by striking ``such sums 
     as may be necessary for each of the fiscal years 1999 through 
     2003'' and inserting ``$3,258,000 for fiscal year 2015 and 
     each of the 6 succeeding fiscal years'';
       (8) in section 502(j) (29 U.S.C. 792(j)), by striking 
     ``such sums as may be necessary for each of the fiscal years 
     1999 through 2003'' and inserting ``$7,400,000 for fiscal 
     year 2015 and each of the 6 succeeding fiscal years'';
       (9) in section 509(l) (29 U.S.C. 794e(l)), by striking 
     ``such sums as may be necessary for

[[Page 5265]]

     each of the fiscal years 1999 through 2003'' and inserting 
     ``$18,031,000 for fiscal year 2015 and each of the 6 
     succeeding fiscal years'';
       (10) in section 714 (29 U.S.C. 796e-3), by striking ``such 
     sums as may be necessary for each of the fiscal years 1999 
     through 2003'' and inserting ``$23,359,000 for fiscal year 
     2015 and each of the 6 succeeding fiscal years'';
       (11) in section 727 (29 U.S.C. 796f-6), by striking ``such 
     sums as may be necessary for each of the fiscal years 1999 
     through 2003'' and inserting ``$79,953,000 for fiscal year 
     2015 and each of the 6 succeeding fiscal years''; and
       (12) in section 753 (29 U.S.C. 796l), by striking ``such 
     sums as may be necessary for each of the fiscal years 1999 
     through 2003'' and inserting ``$34,018,000 for fiscal year 
     2015 and each of the 6 succeeding fiscal years''.

     SEC. __93. CONFORMING AMENDMENTS.

       Section 1(b) of the Rehabilitation Act of 1973 is amended--
       (1) by inserting after the item relating to section 109 the 
     following:
``Sec. 109A. Collaboration with industry.'';
       (2) by inserting after the item relating to section 110 the 
     following:
``Sec. 110A. Reservation for expanded transition services.'';
       (3) by striking the item related to section 304 and 
     inserting the following:
``Sec. 304. Measuring of project outcomes and performance.'';
       (4) by striking the items related to sections 305 and 306;
       (5) by striking the items related to title VI; and
       (6) by striking the item related to section 706 and 
     inserting the following:
       ``Sec. 706. Responsibilities of the Director.''.

             Subtitle F--Studies by the Comptroller General

     SEC. __96. STUDY BY THE COMPTROLLER GENERAL ON EXHAUSTING 
                   FEDERAL PELL GRANTS BEFORE ACCESSING WIA FUNDS.

       Not later than 12 months after the date of enactment of 
     this Act, the Comptroller General of the United States shall 
     complete and submit to the Committee on Education and the 
     Workforce of the House of Representatives and the Committee 
     on Health, Education, Labor, and Pensions of the Senate a 
     report that--
       (1) evaluates the effectiveness of subparagraph (B) of 
     section 134(d)(4) of the Workforce Investment Act of 1998 (29 
     U.S.C. 2864(d)(4)(B)) (as such subparagraph was in effect on 
     the day before the date of enactment of this Act), 
     including--
       (A) a review of the regulations and guidance issued by the 
     Secretary of Labor to State and local areas on how to comply 
     with such subparagraph;
       (B) a review of State policies to determine how local areas 
     are required to comply with such subparagraph;
       (C) a review of local area policies to determine how one-
     stop operators are required to comply with such subparagraph; 
     and
       (D) a review of a sampling of individuals receiving 
     training services under section 134(d)(4) of the Workforce 
     Investment Act of 1998 (29 U.S.C. 2864(d)(4)) to determine 
     if, before receiving such training services, such individuals 
     have exhausted funds received through the Federal Pell Grant 
     program under title IV of the Higher Education Act of 1965 
     (20 U.S.C. 1070 et seq.); and
       (2) makes appropriate recommendations with respect to the 
     matters evaluated under paragraph (1).

     SEC. __97. STUDY BY THE COMPTROLLER GENERAL ON ADMINISTRATIVE 
                   COST SAVINGS.

       (a) Study.--Not later than 12 months after the date of the 
     enactment of this Act, the Comptroller General of the United 
     States shall complete and submit to the Committee on 
     Education and the Workforce of the House of Representatives 
     and the Committee on Health, Education, Labor, and Pensions 
     of the Senate a report that--
       (1) determines the amount of administrative costs at the 
     Federal and State levels for the most recent fiscal year for 
     which satisfactory data are available for--
       (A) each of the programs authorized under the Workforce 
     Investment Act of 1998 (29 U.S.C. 2801 et seq.) or repealed 
     under section __71 of this title, as such programs were in 
     effect for such fiscal year; and
       (B) each of the programs described in subparagraph (A) that 
     have been repealed or consolidated on or after the date of 
     enactment of this Act;
       (2) determines the amount of administrative cost savings at 
     the Federal and State levels as a result of repealing and 
     consolidating programs by calculating the differences in the 
     amount of administrative costs between subparagraph (A) and 
     subparagraph (B) of paragraph (1); and
       (3) estimates the administrative cost savings at the 
     Federal and State levels for a fiscal year as a result of 
     States consolidating amounts under section 501(e) of the 
     Workforce Investment Act of 1998 (20 U.S.C. 9271(e)) to 
     reduce inefficiencies in the administration of federally-
     funded State and local employment and training programs.
       (b) Definition.--For purposes of this section, the term 
     ``administrative costs'' has the meaning given the term in 
     section 101 of the Workforce Investment Act of 1998 (29 
     U.S.C. 2801).
                                 ______
                                 
  SA 2913. Mr. VITTER submitted an amendment intended to be proposed by 
him to the bill H.R. 3979, to amend the Internal Revenue Code of 1986 
to ensure that emergency services volunteers are not taken into account 
as employees under the shared responsibility requirements contained in 
the Patient Protection and Affordable Care Act; which was ordered to 
lie on the table; as follows:

       At the appropriate place, insert the following:

     SEC. ___. DISQUALIFICATION ON RECEIPT OF DISABILITY INSURANCE 
                   BENEFITS IN A MONTH FOR WHICH EMERGENCY 
                   UNEMPLOYMENT COMPENSATION IS RECEIVED.

       (a) In General.--Section 4001 of the Supplemental 
     Appropriations Act, 2008 (Public Law 110-252; 26 U.S.C. 3304 
     note) is amended by adding at the end the following new 
     subsection:
       ``(k) Disqualification on Receipt of Disability Insurance 
     Benefits.--If for any month an individual is entitled to 
     emergency unemployment compensation under this title, such 
     individual shall be deemed to have engaged in substantial 
     gainful activity for such month for purposes of sections 222 
     and 223 of the Social Security Act.''.
       (b) Data Matching.--The Commissioner of Social Security 
     shall implement the amendments made by this section using 
     appropriate electronic data.
       (c) Effective Date.--The amendments made by this section 
     shall apply with respect to months beginning after the date 
     of the enactment of this Act.
                                 ______
                                 
  SA 2914. Mr. RUBIO submitted an amendment intended to be proposed by 
him to the bill H.R. 3979, to amend the Internal Revenue Code of 1986 
to ensure that emergency services volunteers are not taken into account 
as employees under the shared responsibility requirements contained in 
the Patient Protection and Affordable Care Act; which was ordered to 
lie on the table; as follows:

       At the appropriate place, insert the following:

     SEC. 3. ALTERNATIVE QUALIFICATIONS FOR FEDERAL EMPLOYMENT.

       (a) Definitions.--In this section--
       (1) the term ``agency'' has the meaning given the term 
     ``Executive agency'' in section 105 of title 5, United States 
     Code;
       (2) the term ``Director'' means the Director of the Office 
     of Personnel Management; and
       (3) the term ``individual with alternative educational 
     experience'' means an individual who--
       (A) does not have a degree from an institution of higher 
     education (as defined in section 101(a) of the Higher 
     Education Act of 1965 (20 U.S.C. 1001(a)); and
       (B) has received training or education in 1 or more subject 
     areas or occupational fields from an educational provider 
     that does not meet the requirements of such section 101(a).
       (b) Establishment of Pilot Program; Pilot Program 
     Specifications.--
       (1) Establishment of pilot program.--Not later than 6 
     months after the date of enactment of this Act, the Director 
     shall establish a pilot program to appoint to positions in 
     the civil service individuals with alternative educational 
     experience, in accordance with paragraph (2).
       (2) Pilot program specifications.--
       (A) In general.--In carrying out the pilot program 
     established under paragraph (1), the Director shall select 
     positions in the civil service for which the employing 
     agency--
       (i) is accepting applications for employment as of the date 
     of establishment of the pilot program, or is likely to accept 
     applications for employment within 1 year of such date;
       (ii) may not require an individual to have a degree from an 
     institution of higher education (as defined in section 101(a) 
     of the Higher Education Act of 1965 (20 U.S.C. 1001(a)) in 
     order to be appointed to such positions; and
       (iii) shall consider an application for employment, if any, 
     from an individual with alternative educational experience.
       (B) Scope and number of positions selected.--
       (i) Positions selected.--The Director shall select not less 
     than 25 positions under subparagraph (A) during each of 
     fiscal years 2015 through 2019.
       (ii) Occupational fields covered.--The positions selected 
     under clause (i) shall be from across not less than 10 
     diverse occupational fields.
       (c) Report to Congress.--Not later than December 31, 2020, 
     the Director shall submit to Congress a report on the pilot 
     program established under subsection (b)(1), which shall 
     include--
       (1) the number and description of the positions selected 
     under subsection (b)(2), including the geographic locations 
     and occupational fields of such positions;
       (2) the number of individuals with alternative educational 
     experience whose applications were considered for a position 
     selected under subsection (b)(2);

[[Page 5266]]

       (3) the number of individuals with alternative educational 
     experience who were appointed to a position selected under 
     subsection (b)(2); and
       (4) the number of individuals described in paragraph (3) 
     who, as of the end of fiscal year 2019, with respect to the 
     position to which the individual was appointed under the 
     pilot program--
       (A) continued to occupy the position;
       (B) were promoted; or
       (C) were terminated.
                                 ______
                                 
  SA 2915. Mr. RUBIO submitted an amendment intended to be proposed by 
him to the bill H.R. 3979, to amend the Internal Revenue Code of 1986 
to ensure that emergency services volunteers are not taken into account 
as employees under the shared responsibility requirements contained in 
the Patient Protection and Affordable Care Act; which was ordered to 
lie on the table; as follows:

       At the appropriate place, insert the following:

     SEC. __. NATIONAL REGULATORY BUDGET ACT.

       (a) Short Title.--This section may be cited as the 
     ``National Regulatory Budget Act of 2014''.
       (b) Establishment of the Office of Regulatory Analysis.--
       (1) In general.--Part I of title 5, United States Code, is 
     amended by inserting after chapter 6 the following:

   ``CHAPTER 6A--NATIONAL REGULATORY BUDGET AND OFFICE OF REGULATORY 
                                ANALYSIS

``Sec.
``613. Definitions.
``614. Office of Regulatory Analysis; establishment; powers.
``615. Functions of Office of Regulatory Analysis; Executive branch 
              agency compliance.
``616. Public disclosure of estimate methodology and data; privacy.
``617. National Regulatory Budget; timeline.
``618. Executive branch agency cooperation mandatory; information 
              sharing.
``619. Enforcement.
``620. Regulatory Analysis Advisory Board.

     ``Sec. 613. Definitions

       ``In this chapter--
       ``(1) the term `aggregate costs', with respect to a covered 
     Federal rule, means the sum of--
       ``(A) the direct costs of the covered Federal rule; and
       ``(B) the regulatory costs of the covered Federal rule;
       ``(2) the term `covered Federal rule' means--
       ``(A) a rule (as defined in section 551);
       ``(B) an information collection requirement given a control 
     number by the Office of Management and Budget; or
       ``(C) guidance or a directive that--
       ``(i) is not described in subparagraph (A) or (B);
       ``(ii)(I) is mandatory in its application to regulated 
     entities; or
       ``(II) represents a statement of agency position that 
     regulated entities would reasonably construe as reflecting 
     the enforcement or litigation position of the agency; and
       ``(iii) imposes not less than $25,000,000 in annual costs 
     on regulated entities;
       ``(3) the term `direct costs' means--
       ``(A) expenditures made by an Executive branch agency that 
     relate to the promulgation, administration, or enforcement of 
     a covered Federal rule; or
       ``(B) costs incurred by an Executive branch agency, a 
     Government corporation, the United States Postal Service, or 
     any other instrumentality of the Federal Government because 
     of a covered Federal rule;
       ``(4) the term `Director' means the Director of the Office 
     of Regulatory Analysis established under section 614(b);
       ``(5) the term `Executive branch agency' means--
       ``(A) an Executive department (as defined in section 101); 
     and
       ``(B) an independent establishment (as defined in section 
     104);
       ``(6) the term `regulated entity' means--
       ``(A) a for-profit private sector entity (including an 
     individual who is in business as a sole proprietor);
       ``(B) a not-for-profit private sector entity; or
       ``(C) a State or local government; and
       ``(7) the term `regulatory costs' means all costs incurred 
     by a regulated entity because of covered Federal rules.

     ``Sec. 614. Office of Regulatory Analysis; establishment; 
       powers

       ``(a) Establishment.--There is established in the executive 
     branch an independent establishment to be known as the 
     `Office of Regulatory Analysis'.
       ``(b) Director.--
       ``(1) Establishment of position.--There shall be at the 
     head of the Office of Regulatory Analysis a Director, who 
     shall be appointed by the President, by and with the advice 
     and consent of the Senate.
       ``(2) Term.--
       ``(A) In general.--The term of office of the Director 
     shall--
       ``(i) be 4 years; and
       ``(ii) expire on the last day of February following each 
     Presidential election.
       ``(B) Appointments prior to expiration of term.--Subject to 
     subparagraph (C), an individual appointed as Director to fill 
     a vacancy prior to the expiration of a term shall serve only 
     for the unexpired portion of the term.
       ``(C) Service until appointment of successor.--An 
     individual serving as Director at the expiration of a term 
     may continue to serve until a successor is appointed.
       ``(3) Powers.--
       ``(A) Appointment of deputy directors, officers, and 
     employees.--
       ``(i) In general.--The Director may appoint Deputy 
     Directors, officers, and employees, including attorneys, in 
     accordance with chapter 51 and subchapter III of chapter 53.
       ``(ii) Term of deputy directors.--A Deputy Director shall 
     serve until the expiration of the term of office of the 
     Director who appointed the Deputy Director (and until a 
     successor to that Director is appointed), unless sooner 
     removed by the Director.
       ``(B) Contracting.--
       ``(i) In general.--The Director may contract for financial 
     and administrative services (including those related to 
     budget and accounting, financial reporting, personnel, and 
     procurement) with the General Services Administration, or 
     such other Federal agency as the Director determines 
     appropriate, for which payment shall be made in advance, or 
     by reimbursement, from funds of the Office of Regulatory 
     Analysis in such amounts as may be agreed upon by the 
     Director and the head of the Federal agency providing the 
     services.
       ``(ii) Subject to appropriations.--Contract authority under 
     clause (i) shall be effective for any fiscal year only to the 
     extent that appropriations are available for that purpose.
       ``(c) Authorization of Appropriations.--There are 
     authorized to be appropriated to the Office of Regulatory 
     Analysis for each fiscal year such sums as may be necessary 
     to enable the Office of Regulatory Analysis to carry out its 
     duties and functions.

     ``Sec. 615. Functions of Office of Regulatory Analysis; 
       Executive branch agency compliance

       ``(a) Annual Report Required.--
       ``(1) In general.--Not later than January 30 of each year, 
     the Director shall submit to the Committee on Homeland 
     Security and Governmental Affairs of the Senate, the 
     Committee on Small Business and Entrepreneurship of the 
     Senate, the Committee on Oversight and Government Reform of 
     the House of Representatives, and the Committee on Small 
     Business of the House of Representatives a Report on National 
     Regulatory Costs (referred to in this section as the 
     `Report') that includes the information specified under 
     paragraph (2).
       ``(2) Contents.--Each Report shall include-
       ``(A) an estimate, for the fiscal year during which the 
     Report is submitted and for the preceding fiscal year, of--
       ``(i) the regulatory costs imposed by each Executive branch 
     agency on regulated entities;
       ``(ii) the aggregate costs imposed by each Executive branch 
     agency;
       ``(iii) the aggregate costs imposed by all Executive branch 
     agencies combined;
       ``(iv) the direct costs incurred by the Federal Government 
     because of covered Federal rules issued by each Executive 
     branch agency;
       ``(v) the sum of the costs described in clauses (iii) and 
     (iv);
       ``(vi) the regulatory costs imposed by each Executive 
     branch agency on small businesses, small organizations, and 
     small governmental jurisdictions (as those terms are defined 
     in section 601); and
       ``(vii) the sum of the costs described in clause (vi);
       ``(B) an analysis of any major changes in estimation 
     methodology used by the Office of Regulatory Analysis since 
     the previous annual report;
       ``(C) an analysis of any major estimate changes caused by 
     improved or inadequate data since the previous annual report;
       ``(D) recommendations, both general and specific, 
     regarding--
       ``(i) how regulations may be streamlined, simplified, and 
     modernized;
       ``(ii) regulations that should be repealed; and
       ``(iii) how the Federal Government may reduce the costs of 
     regulations without diminishing the effectiveness of 
     regulations; and
       ``(E) any other information that the Director determines 
     may be of assistance to Congress in determining the National 
     Regulatory Budget required under section 617.
       ``(b) Regulatory Analysis of New Rules.--
       ``(1) Requirement.--The Director shall publish in the 
     Federal Register and on the website of the Office of 
     Regulatory Analysis a regulatory analysis of each proposed 
     covered Federal rule issued by an Executive branch agency, 
     and each proposed withdrawal or modification of a covered 
     Federal rule by an Executive branch agency, that--
       ``(A) imposes costs on a regulated entity; or
       ``(B) reduces costs imposed on a regulated entity.

[[Page 5267]]

       ``(2) Contents.--Each regulatory analysis published under 
     paragraph (1) shall include--
       ``(A) an estimate of the change in regulatory cost of each 
     proposed covered Federal rule (or proposed withdrawal or 
     modification of a covered Federal rule); and
       ``(B) any other information or recommendation that the 
     Director may choose to provide.
       ``(3) Timing of regulatory analysis.--
       ``(A) Initial regulatory analysis.--Not later than 60 days 
     after the date on which the Director receives a copy of a 
     proposed covered Federal rule from the head of an Executive 
     branch agency under paragraph (4), the Director shall publish 
     an initial regulatory analysis.
       ``(B) Revised regulatory analysis.--The Director may 
     publish a revised regulatory analysis at any time.
       ``(4) Notice to director of proposed covered federal 
     rule.--The head of an Executive branch agency shall provide a 
     copy of each proposed covered Federal rule to the Director in 
     a manner prescribed by the Director.
       ``(c) Effective Dates.--
       ``(1) In general.--Except as provided in paragraph (2), a 
     covered Federal rule may not take effect earlier than 75 days 
     after the date on which the head of the Executive branch 
     agency proposing the covered Federal rule submits a copy of 
     the proposed covered Federal rule to the Director in the 
     manner prescribed by the Director under subsection (b)(4).
       ``(2) Exception.--If the head of the Executive branch 
     agency proposing a covered Federal rule determines that the 
     public health or safety or national security requires that 
     the covered Federal rule be promulgated earlier than the date 
     specified under paragraph (1), the head of the Executive 
     branch agency may promulgate the covered Federal rule without 
     regard to paragraph (1).

     ``Sec. 616. Public disclosure of estimate methodology and 
       data; privacy

       ``(a) Privacy.--The Director shall comply with all relevant 
     privacy laws, including--
       ``(1) the Confidential Information Protection and 
     Statistical Efficiency Act of 2002 (44 U.S.C. 3501 note);
       ``(2) section 9 of title 13; and
       ``(3) section 6103 of the Internal Revenue Code of 1986.
       ``(b) Disclosure.--
       ``(1) In general.--To the maximum extent permitted by law, 
     the Director shall disclose, by publication in the Federal 
     Register and on the website of the Office of Regulatory 
     Analysis, the methodology and data used to generate the 
     estimates in the Report on National Regulatory Costs required 
     under section 615.
       ``(2) Goal of disclosure.--In disclosing the methodology 
     and data under paragraph (1), the Director shall seek to 
     provide sufficient information so that outside researchers 
     may replicate the results contained in the Report on National 
     Regulatory Costs.

     ``Sec. 617. National Regulatory Budget; timeline

       ``(a) Definition.--In this section--
       ``(1) the term `annual overall regulatory cost cap' means 
     the maximum amount of regulatory costs that all Executive 
     branch agencies combined may impose in a fiscal year;
       ``(2) the term `annual agency regulatory cost cap' means 
     the maximum amount of regulatory costs that an Executive 
     branch agency may impose in a fiscal year; and
       ``(3) the term `National Regulatory Budget' means an Act of 
     Congress that establishes, for a fiscal year--
       ``(A) the annual overall regulatory cost cap; and
       ``(B) an annual agency regulatory cost cap for each 
     Executive branch agency.
       ``(b) Committee Deadlines.--
       ``(1) Referral.--Not later than March 31 of each year--
       ``(A) the Committee on Small Business and Entrepreneurship 
     of the Senate shall refer to the Committee on Homeland 
     Security and Governmental Affairs of the Senate a bill that 
     sets forth a National Regulatory Budget for the fiscal year 
     beginning on October 1 of that year; and
       ``(B) the Committee on Small Business of the House of 
     Representatives shall refer to the Committee on Oversight and 
     Government Reform of the House of Representatives a bill that 
     sets forth a National Regulatory Budget for the fiscal year 
     beginning on October 1 of that year.
       ``(2) Reporting.--Not later than May 31 of each year--
       ``(A) the Committee on Homeland Security and Governmental 
     Affairs of the Senate shall report a bill establishing a 
     National Regulatory Budget for the fiscal year beginning on 
     October 1 of that year; and
       ``(B) the Committee on Oversight and Government Reform of 
     the House of Representatives shall report a bill establishing 
     a National Regulatory Budget for the fiscal year beginning on 
     October 1 of that year.
       ``(c) Passage.--Not later than July 31 of each year, the 
     House of Representatives and the Senate shall each pass a 
     bill establishing a National Regulatory Budget for the fiscal 
     year beginning on October 1 of that year.
       ``(d) Presentment.--Not later than September 15 of each 
     year, Congress shall pass and present to the President a 
     National Regulatory Budget for the fiscal year beginning on 
     October 1 of that year.
       ``(e) Default Budget.--
       ``(1) In general.--If a National Regulatory Budget is not 
     enacted with respect to a fiscal year, the most recently 
     enacted National Regulatory Budget shall apply to that fiscal 
     year.
       ``(2) Default initial budget.--
       ``(A) Calculation.--If a National Regulatory Budget is not 
     enacted with respect to a fiscal year, and no National 
     Regulatory Budget has previously been enacted--
       ``(i) the annual agency regulatory cost cap for an 
     Executive branch agency for the fiscal year shall be equal to 
     the amount of regulatory costs imposed by that Executive 
     branch agency on regulated entities during the preceding 
     fiscal year, as estimated by the Director in the annual 
     report submitted to Congress under section 615(a); and
       ``(ii) the annual overall regulatory cost cap for the 
     fiscal year shall be equal to the sum of the amounts 
     described in clause (i).
       ``(B) Effect.--For purposes of section 619, an annual 
     agency regulatory cost cap described in subparagraph (A) that 
     applies to a fiscal year shall have the same effect as if the 
     annual agency regulatory cost cap were part of a National 
     Regulatory Budget applicable to that fiscal year.
       ``(f) Initial Budget.--The first National Regulatory Budget 
     shall be with respect to fiscal year 2016.

     ``Sec. 618. Executive branch agency cooperation mandatory; 
       information sharing

       ``(a) Executive Branch Agency Cooperation Mandatory.--Not 
     later than 45 days after the date on which the Director 
     requests any information from an Executive branch agency, the 
     Executive branch agency shall provide the Director with the 
     information.
       ``(b) Memoranda of Understanding Regarding 
     Confidentiality.--
       ``(1) In general.--An Executive branch agency may require 
     the Director to enter into a memorandum of understanding 
     regarding the confidentiality of information provided by the 
     Executive branch agency to the Director under subsection (a) 
     as a condition precedent to providing any requested 
     information.
       ``(2) Degree of confidentiality or data protection.--An 
     Executive branch agency may not require a greater degree of 
     confidentiality or data protection from the Director in a 
     memorandum of understanding entered into under paragraph (1) 
     than the Executive branch agency itself must adhere to.
       ``(3) Scope.--A memorandum of understanding entered into by 
     the Director and an Executive branch agency under paragraph 
     (1) shall--
       ``(A) be general in scope; and
       ``(B) govern all pending and future requests made to the 
     Executive branch agency by the Director.
       ``(c) Sanctions for Non-cooperation.--
       ``(1) In general.--The appropriations of an Executive 
     branch agency for a fiscal year shall be reduced by one-half 
     of 1 percent if, during that fiscal year, the Director finds 
     that--
       ``(A) the Executive branch agency has failed to timely 
     provide information that the Director requested under 
     subsection (a);
       ``(B) the Director has provided notice of the failure 
     described in subparagraph (A) to the Executive branch agency;
       ``(C) the Executive branch agency has failed to cure the 
     failure described in subparagraph (A) within 30 days of being 
     notified under subparagraph (B); and
       ``(D) the information that the Director requested under 
     subsection (a)--
       ``(i) is in the possession of the Executive branch agency; 
     or
       ``(ii) may reasonably be developed by the Executive branch 
     agency.
       ``(2) Sequestration.--The Office of Management and Budget, 
     in consultation with the Office of Federal Financial 
     Management and Financial Management Service, shall enforce a 
     reduction in appropriations under paragraph (1) by 
     sequestering the appropriate amount of funds and returning 
     the funds to the Treasury.
       ``(3) Appeals.--
       ``(A) In general.--The Director of the Office of Management 
     and Budget may reduce the amount of, or except as provided in 
     subparagraph (B), waive, a sanction imposed under paragraph 
     (1) if the Director of the Office of Management and Budget 
     finds that--
       ``(i) the sanction is unwarranted;
       ``(ii) the sanction is disproportionate to the gravity of 
     the failure;
       ``(iii) the failure has been cured; or
       ``(iv) providing the requested information would adversely 
     affect national security.
       ``(B) No waiver for historically non-compliant agencies.--
     The Director of the Office of Management and Budget may not 
     waive a sanction imposed on an Executive branch agency under 
     paragraph (1) if the Executive branch agency has a history of 
     non-compliance with requests for information by the Director 
     of the Office of Regulatory Analysis under subsection (a).
       ``(d) National Security.--The Director may not require an 
     Executive branch agency to provide information under 
     subsection (a) that would adversely affect national security.

     ``Sec. 619. Enforcement

       ``(a) Exceeding Annual Agency Regulatory Cost Cap.--An 
     Executive branch

[[Page 5268]]

     agency that exceeds the annual agency regulatory cost cap 
     imposed by the National Regulatory Budget for a fiscal year 
     may not promulgate a new covered Federal rule that increases 
     regulatory costs until the Executive branch agency no longer 
     exceeds the annual agency regulatory cost cap imposed by the 
     applicable National Regulatory Budget.
       ``(b) Determination of Director.--
       ``(1) In general.--An Executive branch agency may not 
     promulgate a covered Federal rule unless the Director 
     determines, in conducting the regulatory analysis of the 
     covered Federal rule under section 615(b)(3)(A) that, after 
     the Executive branch agency promulgates the covered Federal 
     rule, the Executive branch agency will not exceed the annual 
     agency regulatory cost cap for that Executive branch agency.
       ``(2) Timing.--The Director shall make a determination 
     under paragraph (1) with respect to a proposed covered 
     Federal rule not later than 60 days after the Director 
     receives a copy of the proposed covered Federal rule under 
     section 615(b)(4).
       ``(c) Effect of Violation of This Section.--
       ``(1) No force or effect.--A covered Federal rule that is 
     promulgated in violation of this section shall have no force 
     or effect.
       ``(2) Judicial enforcement.--Any party may bring an action 
     in a district court of the United States to declare that a 
     covered Federal rule has no force or effect because the 
     covered Federal rule was promulgated in violation of this 
     section.

     ``Sec. 620. Regulatory Analysis Advisory Board

       ``(a) Establishment of Board.--In accordance with the 
     Federal Advisory Committee Act (5 U.S.C. App.), the Director 
     shall--
       ``(1) establish a Regulatory Analysis Advisory Board; and
       ``(2) appoint not fewer than 9 and not more than 15 
     individuals as members of the Regulatory Analysis Advisory 
     Board.
       ``(b) Qualifications.--The Director shall appoint 
     individuals with technical and practical expertise in 
     economics, law, accounting, science, management, and other 
     areas that will aid the Director in preparing the annual 
     Report on National Regulatory Costs required under section 
     615.''.
       (2) Technical and conforming amendments.--
       (A) Table of chapters.--The table of chapters for part I of 
     title 5, United States Code, is amended by inserting after 
     the item relating to chapter 6 the following:

``6A.  National Regulatory Budget and Office of Regulatory An613''.....

       (B) Internal revenue code of 1986.--Section 6103(j) of the 
     Internal Revenue Code of 1986 is amended by adding at the end 
     the following:
       ``(7) Office of regulatory analysis.--Upon written request 
     by the Director of the Office of Regulatory Analysis 
     established under section 614 of title 5, United States Code, 
     the Secretary shall furnish to officers and employees of the 
     Office of Regulatory Analysis return information for the 
     purpose of, but only to the extent necessary for, an analysis 
     of regulatory costs.''.
       (c) Report on Duplicative Personnel; Report on Regulatory 
     Analysis.--
       (1) Definitions.--In this subsection--
       (A) the term ``Director'' means the Director of the Office 
     of Regulatory Analysis; and
       (B) the term ``Office of Regulatory Analysis'' means the 
     Office of Regulatory Analysis established under section 
     614(a) of title 5, United States Code (as added by subsection 
     (b)).
       (2) Report on duplicative personnel.--Not later than 
     December 31, 2014, the Director shall submit to Congress a 
     report determining positions in the Federal Government that 
     are--
       (A) duplicative of the work performed by the Office of 
     Regulatory Analysis; or
       (B) otherwise rendered cost ineffective by the work of the 
     Office of Regulatory Analysis.
       (3) Report on regulatory analysis.--
       (A) Report required.--Not later than June 30, 2015, the 
     Director shall provide to Congress a report analyzing the 
     practice with respect to, and the effectiveness of--
       (i) chapter 6 of title 5, United States Code (commonly 
     known as the ``Regulatory Flexibility Act'');
       (ii) the Small Business Regulatory Enforcement Fairness Act 
     of 1996 (5 U.S.C. 601 note);
       (iii) chapter 35 of title 44, United States Code (commonly 
     known as the ``Paperwork Reduction Act'';
       (iv) each Executive Order that mandates economic analysis 
     of Federal regulations; and
       (v) Office of Management and Budget circulars, directives, 
     and memoranda that mandate the economic analysis of Federal 
     regulation.
       (B) Recommendations.--The report under subparagraph (A) 
     shall include recommendations about how Federal regulatory 
     analysis may be improved.
       (d) Administrative Procedure.--
       (1) Definition of ``rule''.--Section 551(4) of title 5, 
     United States Code, is amended by inserting after 
     ``requirements of an agency'' the following: ``, whether or 
     not the agency statement amends the Code of Federal 
     Regulations and including, without limitation, a statement 
     described by the agency as a regulation, rule, directive, or 
     guidance,''.
       (2) Notice of proposed rulemaking.--Section 553(b) of title 
     5, United States Code, is amended, following the flush text, 
     in subparagraph (A) by striking ``interpretative rules, 
     general statements of policy, or''.
                                 ______
                                 
  SA 2916. Mrs. FISCHER submitted an amendment intended to be proposed 
by her to the bill H.R. 3979, to amend the Internal Revenue Code of 
1986 to ensure that emergency services volunteers are not taken into 
account as employees under the shared responsibility requirements 
contained in the Patient Protection and Affordable Care Act; which was 
ordered to lie on the table; as follows:

       At the end, insert the following:

     SEC. __. ENTREPRENEURIAL TRAINING.

       (a) Short Title.--This section may be cited as the 
     ``Entrepreneurial Training Improvement Act of 2014''.
       (b) Findings.--Congress finds the following:
       (1) Entrepreneurship represents an important part of the 
     economic recovery. According to the 2012 Kauffman Index of 
     Entrepreneurial Activity, adults in the United States created 
     an average of 543,000 new businesses each month in 2011, 
     among the highest levels of entrepreneurship in the last 16 
     years.
       (2) Of the estimated 27,500,000 small businesses in the 
     United States, 21,400,000 had no employees in 2008, according 
     to the Office of Advocacy of the Small Business 
     Administration.
       (3) According to a January 2010 report entitled ``Think 
     Entrepreneurs: A Call to Action'' prepared by the Consortium 
     for Entrepreneurship Education for the Employment and 
     Training Administration of the Department of Labor, 
     ``Entrepreneurship is not well established in Federal and 
     statewide policy and execution strategies.'' The report 
     continues to state that Workforce Investment Board staff 
     ``lacks information and training about self-employment as a 
     career option, including accessibility to resources, 
     technical assistance, outreach efforts, available 
     partnerships, assessment processes, and coordination of 
     available funding options'' and that the Boards report that 
     ``self-employment outcomes are hard to document for 
     [Department of Labor] regulations; entrepreneurship does not 
     fit into current methods for measuring performance.''
       (4) In Training and Employment Guidance Letter No. 12-10, 
     issued November 15, 2010, the Employment and Training 
     Administration noted that ``Certain types of employment, 
     particularly self-employment, are generally not covered by 
     state [unemployment insurance] wage records, and the system 
     has noted this as a challenge in providing entrepreneurship 
     training. However, supplemental data options for some 
     performance measures, combined with performance target 
     negotiations, offer flexibility to accommodate 
     entrepreneurship training within the workforce system.''
       (5) There are many existing supplemental data sources and 
     authorities that can be used to better measure the success of 
     an entrepreneurial training program.
       (6) All reasonable effort should be made by the Secretary 
     of Labor to reduce regulatory barriers and disincentives that 
     discourage local workforce investment boards from offering 
     entrepreneurial training programs.
       (c) Rulemaking.--
       (1) In general.--Not later than 60 days after the date of 
     enactment of this Act, the Secretary of Labor shall establish 
     alternate standards for measuring the progress of State and 
     local performance for entrepreneurial training services, as 
     authorized in section 134(d)(4)(D)(vi) of the Workforce 
     Investment Act of 1998 (29 U.S.C. 2864(d)(4)(D)(vi)), and 
     provide the State and local workforce investment boards with 
     specific guidance on successful approaches to collecting 
     performance information on entrepreneurial training services.
       (2) Considerations.--In determining the alternate 
     standards, the Secretary shall consider using standards 
     based, for participants in such services, on--
       (A) obtaining a State license, or a Federal or State tax 
     identification number, for a corresponding business;
       (B) documenting income from a corresponding business; or
       (C) filing a Federal or State tax return for a 
     corresponding business.
       (3) Authorities.--In determining the alternate standards, 
     the Secretary shall consider utilizing authorities granted 
     under the Workforce Investment Act of 1998 (29 U.S.C. 2801 et 
     seq.), including a State's waiver authority, as authorized in 
     section 189(i)(4) of such Act (29 U.S.C. 2939(i)(4)).
       (4) Report.--The Secretary shall prepare a report on the 
     progress of State and local workforce investment boards in 
     implementing new programs of entrepreneurial training 
     services and any ongoing challenges to offering such 
     programs, with recommendations on how best to address those 
     challenges. Not later than 12 months after publication of the 
     final regulations establishing the alternate standards, the 
     Secretary shall submit the report to the Committee on 
     Education and the Workforce and

[[Page 5269]]

     the Committee on Small Business of the House of 
     Representatives and the Committee on Health, Education, 
     Labor, and Pensions and the Committee on Small Business and 
     Entrepreneurship of the Senate.
                                 ______
                                 
  SA 2917. Mr. SESSIONS (for himself, Mr. Grassley, Mr. Lee, Mr. 
Vitter, Mr. Enzi, Mr. Boozman, and Mr. Hatch) submitted an amendment 
intended to be proposed to amendment SA 2874 proposed by Mr. Reid (for 
Mr. Reed (for himself, Mr. Heller, Mr. Merkley, Ms. Collins, Mr. 
Booker, Mr. Portman, Mr. Brown, Ms. Murkowski, Mr. Durbin, and Mr. 
Kirk)) to the bill H.R. 3979, to amend the Internal Revenue Code of 
1986 to ensure that emergency services volunteers are not taken into 
account as employees under the shared responsibility requirements 
contained in the Patient Protection and Affordable Care Act; which was 
ordered to lie on the table; as follows:

       At the appropriate place, insert the following:

     SEC. __. ACCOUNTABILITY THROUGH ELECTRONIC VERIFICATION.

       (a) Short Title.--This section may be cited as the 
     ``Accountability Through Electronic Verification Act''.
       (b) Permanent Reauthorization.--Section 401(b) of the 
     Illegal Immigration Reform and Immigrant Responsibility Act 
     of 1996 (division C of Public Law 104-208; 8 U.S.C. 1324a 
     note) is amended by striking ``Unless the Congress otherwise 
     provides, the Secretary of Homeland Security shall terminate 
     a pilot program on September 30, 2015.''.
       (c) Mandatory Use of E-Verify.--Section 402 of the Illegal 
     Immigration Reform and Immigrant Responsibility Act of 1996 
     (8 U.S.C. 1324a note) is amended--
       (1) in subsection (e)--
       (A) in paragraph (1)--
       (i) by amending subparagraph (A) to read as follows:
       ``(A) Executive departments and agencies.--Each department 
     and agency of the Federal Government shall participate in E-
     Verify by complying with the terms and conditions set forth 
     in this section.''; and
       (ii) in subparagraph (B), by striking ``, that conducts 
     hiring in a State'' and all that follows and inserting 
     ``shall participate in E-Verify by complying with the terms 
     and conditions set forth in this section.'';
       (B) by redesignating paragraphs (2) and (3) as paragraphs 
     (4) and (5), respectively; and
       (C) by inserting after paragraph (1) the following:
       ``(2) United states contractors.--Any person, employer, or 
     other entity that enters into a contract with the Federal 
     Government shall participate in E-Verify by complying with 
     the terms and conditions set forth in this section.
       ``(3) Designation of critical employers.--Not later than 7 
     days after the date of the enactment of the Accountability 
     Through Electronic Verification Act, the Secretary of 
     Homeland Security shall--
       ``(A) conduct an assessment of employers that are critical 
     to the homeland security or national security needs of the 
     United States;
       ``(B) designate and publish a list of employers and classes 
     of employers that are deemed to be critical pursuant to the 
     assessment conducted under subparagraph (A); and
       ``(C) require that critical employers designated pursuant 
     to subparagraph (B) participate in E-Verify by complying with 
     the terms and conditions set forth in this section not later 
     than 30 days after the Secretary makes such designation.'';
       (2) by redesignating subsection (f) as subsection (g); and
       (3) by inserting after subsection (e) the following:
       ``(f) Mandatory Participation in E-Verify.--
       ``(1) In general.--Subject to paragraphs (2) and (3), all 
     employers in the United States shall participate in E-Verify, 
     with respect to all employees recruited, referred, or hired 
     by such employer on or after the date that is 1 year after 
     the date of the enactment of the Accountability Through 
     Electronic Verification Act.
       ``(2) Use of contract labor.--Any employer who uses a 
     contract, subcontract, or exchange to obtain the labor of an 
     individual in the United States shall certify in such 
     contract, subcontract, or exchange that the employer uses E-
     Verify. If such certification is not included in a contract, 
     subcontract, or exchange, the employer shall be deemed to 
     have violated paragraph (1).
       ``(3) Interim mandatory participation.--
       ``(A) In general.--Before the date set forth in paragraph 
     (1), the Secretary of Homeland Security shall require any 
     employer or class of employers to participate in E-Verify, 
     with respect to all employees recruited, referred, or hired 
     by such employer if the Secretary has reasonable cause to 
     believe that the employer is or has been engaged in a 
     material violation of section 274A of the Immigration and 
     Nationality Act (8 U.S.C. 1324a).
       ``(B) Notification.--Not later than 14 days before an 
     employer or class of employers is required to begin 
     participating in E-Verify pursuant to subparagraph (A), the 
     Secretary shall provide such employer or class of employers 
     with--
       ``(i) written notification of such requirement; and
       ``(ii) appropriate training materials to facilitate 
     compliance with such requirement.''.
       (d) Consequences of Failure to Participate.--
       (1) In general.--Section 402(e)(5) of the Illegal 
     Immigration Reform and Immigrant Responsibility Act of 1996 
     (8 U.S.C. 1324a note), as redesignated by subsection 
     (c)(1)(B), is amended to read as follows:
       ``(5) Consequences of failure to participate.--If a person 
     or other entity that is required to participate in E-Verify 
     fails to comply with the requirements under this title with 
     respect to an individual--
       ``(A) such failure shall be treated as a violation of 
     section 274A(a)(1)(B) with respect to such individual; and
       ``(B) a rebuttable presumption is created that the person 
     or entity has violated section 274A(a)(1)(A).''.
       (2) Penalties.--Section 274A of the Immigration and 
     Nationality Act (8 U.S.C. 1324a) is amended--
       (A) in subsection (e)--
       (i) in paragraph (4)--

       (I) in subparagraph (A), in the matter preceding clause 
     (i), by inserting ``, subject to paragraph (10),'' after ``in 
     an amount'';
       (II) in subparagraph (A)(i), by striking ``not less than 
     $250 and not more than $2,000'' and inserting ``not less than 
     $2,500 and not more than $5,000'';
       (III) in subparagraph (A)(ii), by striking ``not less than 
     $2,000 and not more than $5,000'' and inserting ``not less 
     than $5,000 and not more than $10,000'';
       (IV) in subparagraph (A)(iii), by striking ``not less than 
     $3,000 and not more than $10,000'' and inserting ``not less 
     than $10,000 and not more than $25,000''; and
       (V) by amending subparagraph (B) to read as follows:

       ``(B) may require the person or entity to take such other 
     remedial action as is appropriate.'';
       (ii) in paragraph (5)--

       (I) by inserting ``, subject to paragraphs (10) through 
     (12),'' after ``in an amount'';
       (II) by striking ``$100'' and inserting ``$1,000'';
       (III) by striking ``$1,000'' and inserting ``$25,000'';
       (IV) by striking ``the size of the business of the employer 
     being charged, the good faith of the employer'' and inserting 
     ``the good faith of the employer being charged''; and
       (V) by adding at the end the following: ``Failure by a 
     person or entity to utilize the employment eligibility 
     verification system as required by law, or providing 
     information to the system that the person or entity knows or 
     reasonably believes to be false, shall be treated as a 
     violation of subsection (a)(1)(A).''; and

       (iii) by adding at the end the following:
       ``(10) Exemption from penalty.--In the case of imposition 
     of a civil penalty under paragraph (4)(A) with respect to a 
     violation of subsection (a)(1)(A) or (a)(2) for hiring or 
     continuation of employment or recruitment or referral by 
     person or entity and in the case of imposition of a civil 
     penalty under paragraph (5) for a violation of subsection 
     (a)(1)(B) for hiring or recruitment or referral by a person 
     or entity, the penalty otherwise imposed may be waived or 
     reduced if the violator establishes that the violator acted 
     in good faith.
       ``(11) Authority to debar employers for certain 
     violations.--
       ``(A) In general.--If a person or entity is determined by 
     the Secretary of Homeland Security to be a repeat violator of 
     paragraph (1)(A) or (2) of subsection (a), or is convicted of 
     a crime under this section, such person or entity may be 
     considered for debarment from the receipt of Federal 
     contracts, grants, or cooperative agreements in accordance 
     with the debarment standards and pursuant to the debarment 
     procedures set forth in the Federal Acquisition Regulation.
       ``(B) Does not have contract, grant, agreement.--If the 
     Secretary of Homeland Security or the Attorney General wishes 
     to have a person or entity considered for debarment in 
     accordance with this paragraph, and such an person or entity 
     does not hold a Federal contract, grant or cooperative 
     agreement, the Secretary or Attorney General shall refer the 
     matter to the Administrator of General Services to determine 
     whether to list the person or entity on the List of Parties 
     Excluded from Federal Procurement, and if so, for what 
     duration and under what scope.
       ``(C) Has contract, grant, agreement.--If the Secretary of 
     Homeland Security or the Attorney General wishes to have a 
     person or entity considered for debarment in accordance with 
     this paragraph, and such person or entity holds a Federal 
     contract, grant or cooperative agreement, the Secretary or 
     Attorney General shall advise all agencies or departments 
     holding a contract, grant, or cooperative agreement with the 
     person or entity of the Government's interest in having the 
     person or entity considered for debarment, and after 
     soliciting and considering the views of all such agencies and 
     departments, the Secretary or Attorney General may waive the 
     operation of this paragraph or refer the matter to any 
     appropriate lead agency to determine whether to list the 
     person or entity on the List of Parties Excluded

[[Page 5270]]

     from Federal Procurement, and if so, for what duration and 
     under what scope.
       ``(D) Review.--Any decision to debar a person or entity 
     under in accordance with this paragraph shall be reviewable 
     pursuant to part 9.4 of the Federal Acquisition 
     Regulation.''; and
       (B) in subsection (f)--
       (i) by amending paragraph (1) to read as follows:
       ``(1) Criminal penalty.--Any person or entity which engages 
     in a pattern or practice of violations of subsection (a)(1) 
     or (2) shall be fined not more than $15,000 for each 
     unauthorized alien with respect to which such a violation 
     occurs, imprisoned for not less than 1 year and not more than 
     10 years, or both, notwithstanding the provisions of any 
     other Federal law relating to fine levels.''; and
       (ii) in paragraph (2), by striking ``Attorney General'' 
     each place it appears and inserting ``Secretary of Homeland 
     Security''.
       (e) Preemption; Liability.--Section 402 of the Illegal 
     Immigration Reform and Immigrant Responsibility Act of 1996 
     (8 U.S.C. 1324a note), as amended by this section, is further 
     amended by adding at the end the following:
       ``(h) Limitation on State Authority.--
       ``(1) Preemption.--A State or local government may not 
     prohibit a person or other entity from verifying the 
     employment authorization of new hires or current employees 
     through E-Verify.
       ``(2) Liability.--A person or other entity that 
     participates in E-Verify may not be held liable under any 
     Federal, State, or local law for any employment-related 
     action taken with respect to the wrongful termination of an 
     individual in good faith reliance on information provided 
     through E-Verify.''.
       (f) Expanded Use of E-Verify.--Section 403(a)(3)(A) of the 
     Illegal Immigration Reform and Immigrant Responsibility Act 
     of 1996 (8 U.S.C. 1324a note) is amended to read as follows:
       ``(A) In general.--
       ``(i) Before hiring.--The person or other entity may verify 
     the employment eligibility of an individual through E-Verify 
     before the individual is hired, recruited, or referred if the 
     individual consents to such verification. If an employer 
     receives a tentative nonconfirmation for an individual, the 
     employer shall comply with procedures prescribed by the 
     Secretary, including--

       ``(I) providing the individual employees with private, 
     written notification of the finding and written referral 
     instructions;
       ``(II) allowing the individual to contest the finding; and
       ``(III) not taking adverse action against the individual if 
     the individual chooses to contest the finding.

       ``(ii) After employment offer.--The person or other entity 
     shall verify the employment eligibility of an individual 
     through E-Verify not later than 3 days after the date of the 
     hiring, recruitment, or referral, as the case may be.
       ``(iii) Existing employees.--Not later than 3 years after 
     the date of the enactment of the Accountability Through 
     Electronic Verification Act, the Secretary shall require all 
     employers to use E-Verify to verify the identity and 
     employment eligibility of any individual who has not been 
     previously verified by the employer through E-Verify.''.
       (g) Reverification.--Section 403(a) of the Illegal 
     Immigration Reform and Immigrant Responsibility Act of 1996 
     (8 U.S.C. 1324a note) is amended by adding at the end the 
     following:
       ``(5) Reverification.--Each person or other entity 
     participating in E-Verify shall use the E-Verify confirmation 
     system to reverify the work authorization of any individual 
     not later than 3 days after the date on which such 
     individual's employment authorization is scheduled to expire 
     (as indicated by the Secretary or the documents provided to 
     the employer pursuant to section 274A(b) of the Immigration 
     and Nationality Act (8 U.S.C. 1324a(b))), in accordance with 
     the procedures set forth in this subsection and section 
     402.''.
       (h) Holding Employers Accountable.--
       (1) Consequences of nonconfirmation.--Section 403(a)(4)(C) 
     of the Illegal Immigration Reform and Immigrant 
     Responsibility Act of 1996 (8 U.S.C. 1324a note) is amended 
     to read as follows:
       ``(C) Consequences of nonconfirmation.--
       ``(i) Termination and notification.--If the person or other 
     entity receives a final nonconfirmation regarding an 
     individual, the employer shall immediately--

       ``(I) terminate the employment, recruitment, or referral of 
     the individual; and
       ``(II) submit to the Secretary any information relating to 
     the individual that the Secretary determines would assist the 
     Secretary in enforcing or administering United States 
     immigration laws.

       ``(ii) Consequence of continued employment.--If the person 
     or other entity continues to employ, recruit, or refer the 
     individual after receiving final nonconfirmation, a 
     rebuttable presumption is created that the employer has 
     violated section 274A of the Immigration and Nationality Act 
     (8 U.S.C. 1324a).''.
       (2) Interagency nonconfirmation report.--Section 405 of the 
     Illegal Immigration Reform and Immigrant Responsibility Act 
     of 1996 (8 U.S.C. 1324a note) is amended by adding at the end 
     the following:
       ``(c) Interagency Nonconfirmation Report.--
       ``(1) In general.--The Director of U.S. Citizenship and 
     Immigration Services shall submit a weekly report to the 
     Assistant Secretary of Immigration and Customs Enforcement 
     that includes, for each individual who receives final 
     nonconfirmation through E-Verify--
       ``(A) the name of such individual;
       ``(B) his or her Social Security number or alien file 
     number;
       ``(C) the name and contact information for his or her 
     current employer; and
       ``(D) any other critical information that the Assistant 
     Secretary determines to be appropriate.
       ``(2) Use of weekly report.--The Secretary of Homeland 
     Security shall use information provided under paragraph (1) 
     to enforce compliance of the United States immigration 
     laws.''.
       (i) Information Sharing.--The Commissioner of Social 
     Security, the Secretary of Homeland Security, and the 
     Secretary of the Treasury shall jointly establish a program 
     to share information among such agencies that may or could 
     lead to the identification of unauthorized aliens (as defined 
     in section 274A(h)(3) of the Immigration and Nationality 
     Act), including any no-match letter and any information in 
     the earnings suspense file.
       (j) Form I-9 Process.--Not later than 9 months after date 
     of the enactment of this Act, the Secretary of Homeland 
     Security shall submit a report to Congress that contains 
     recommendations for--
       (1) modifying and simplifying the process by which 
     employers are required to complete and retain a Form I-9 for 
     each employee pursuant to section 274A of the Immigration and 
     Nationality Act (8 U.S.C. 1324a); and
       (2) eliminating the process described in paragraph (1).
       (k) Algorithm.--Section 404(d) of the Illegal Immigration 
     Reform and Immigrant Responsibility Act of 1996 (8 U.S.C. 
     1324a note) is amended to read as follows:
       ``(d) Design and Operation of System.--E-Verify shall be 
     designed and operated--
       ``(1) to maximize its reliability and ease of use by 
     employers;
       ``(2) to insulate and protect the privacy and security of 
     the underlying information;
       ``(3) to maintain appropriate administrative, technical, 
     and physical safeguards to prevent unauthorized disclosure of 
     personal information;
       ``(4) to respond accurately to all inquiries made by 
     employers on whether individuals are authorized to be 
     employed;
       ``(5) to register any times when E-Verify is unable to 
     receive inquiries;
       ``(6) to allow for auditing use of the system to detect 
     fraud and identify theft;
       ``(7) to preserve the security of the information in all of 
     the system by--
       ``(A) developing and using algorithms to detect potential 
     identity theft, such as multiple uses of the same identifying 
     information or documents;
       ``(B) developing and using algorithms to detect misuse of 
     the system by employers and employees;
       ``(C) developing capabilities to detect anomalies in the 
     use of the system that may indicate potential fraud or misuse 
     of the system; and
       ``(D) auditing documents and information submitted by 
     potential employees to employers, including authority to 
     conduct interviews with employers and employees;
       ``(8) to confirm identity and work authorization through 
     verification of records maintained by the Secretary, other 
     Federal departments, States, the Commonwealth of the Northern 
     Mariana Islands, or an outlying possession of the United 
     States, as determined necessary by the Secretary, including--
       ``(A) records maintained by the Social Security 
     Administration;
       ``(B) birth and death records maintained by vital 
     statistics agencies of any State or other jurisdiction in the 
     United States;
       ``(C) passport and visa records (including photographs) 
     maintained by the Department of State; and
       ``(D) State driver's license or identity card information 
     (including photographs) maintained by State department of 
     motor vehicles;
       ``(9) to electronically confirm the issuance of the 
     employment authorization or identity document; and
       ``(10) to display the digital photograph that the issuer 
     placed on the document so that the employer can compare the 
     photograph displayed to the photograph on the document 
     presented by the employee or, in exceptional cases, if a 
     photograph is not available from the issuer, to provide for a 
     temporary alternative procedure, specified by the Secretary, 
     for confirming the authenticity of the document.''.
       (l) Identity Theft.--Section 1028 of title 18, United 
     States Code, is amended--
       (1) in subsection (a)(7), by striking ``of another person'' 
     and inserting ``that is not his or her own''; and
       (2) in subsection (b)(3)--
       (A) in subparagraph (B), by striking ``or'' at the end;
       (B) in subparagraph (C), by adding ``or'' at the end; and

[[Page 5271]]

       (C) by adding at the end the following:
       ``(D) to facilitate or assist in harboring or hiring 
     unauthorized workers in violation of section 274, 274A, or 
     274C of the Immigration and Nationality Act (8 U.S.C. 1324, 
     1324a, and 1324c).''.
       (m) Small Business Demonstration Program.--Section 403 of 
     the Illegal Immigration Reform and Immigrant Responsibility 
     Act of 1996 (8 U.S.C. 1324a note) is amended--
       (1) by redesignating subsection (d) as subsection (e); and
       (2) by inserting after subsection (c) the following:
       ``(d) Small Business Demonstration Program.--Not later than 
     9 months after the date of the enactment of the 
     Accountability Through Electronic Verification Act, the 
     Director of U.S. Citizenship and Immigration Services shall 
     establish a demonstration program that assists small 
     businesses in rural areas or areas without internet 
     capabilities to verify the employment eligibility of newly 
     hired employees solely through the use of publicly accessible 
     internet terminals.''.
                                 ______
                                 
  SA 2918. Mr. REID submitted an amendment intended to be proposed to 
amendment SA 2922 submitted by Mr. Reed (for himself, Mr. Heller, Mr. 
Merkley, Ms. Collins, Mr. Booker, Mr. Portman, Mr. Brown, Ms. 
Murkowski, Mr. Durbin, and Mr. Kirk) and intended to be proposed to the 
bill H.R. 3979, to amend the Internal Revenue Code of 1986 to ensure 
that emergency services volunteers are not taken into account as 
employees under the shared responsibility requirements contained in the 
Patient Protection and Affordable Care Act; which was ordered to lie on 
the table; as follows:

       At the end, add the following:
       This Act shall become effective 1 day after enactment.
                                 ______
                                 
  SA 2919. Mr. REID submitted an amendment intended to be proposed to 
amendment SA 2922 submitted by Mr. Reed (for himself, Mr. Heller, Mr. 
Merkley, Ms. Collins, Mr. Booker, Mr. Portman, Mr. Brown, Ms. 
Murkowski, Mr. Durbin, and Mr. Kirk) and intended to be proposed to the 
bill H.R. 3979, to amend the Internal Revenue Code of 1986 to ensure 
that emergency services volunteers are not taken into account as 
employees under the shared responsibility requirements contained in the 
Patient Protection and Affordable Care Act; which was ordered to lie on 
the table; as follows:

       In the amendment, strike ``1 day'' and insert ``2 days''.
                                 ______
                                 
  SA 2920. Mr. REID submitted an amendment intended to be proposed by 
him to the bill H.R. 3979, to amend the Internal Revenue Code of 1986 
to ensure that emergency services volunteers are not taken into account 
as employees under the shared responsibility requirements contained in 
the Patient Protection and Affordable Care Act; which was ordered to 
lie on the table; as follows:

       At the end, add the following:
       This Act shall become effective 4 days after enactment.
                                 ______
                                 
  SA 2921. Mr. REID submitted an amendment intended to be proposed by 
him to the bill H.R. 3979, to amend the Internal Revenue Code of 1986 
to ensure that emergency services volunteers are not taken into account 
as employees under the shared responsibility requirements contained in 
the Patient Protection and Affordable Care Act; which was ordered to 
lie on the table; as follows:

       In the amendment, strike ``4 days'' and insert ``5 days''.
                                 ______
                                 
  SA 2922. Mr. REED (for himself, Mr. Heller, Mr. Merkley, Ms. Collins, 
Mr. Booker, Mr. Portman, Mr. Brown, Ms. Murkowski, Mr. Durbin, and Mr. 
Kirk) submitted an amendment intended to be proposed by him to the bill 
H.R. 3979, to amend the Internal Revenue Code of 1986 to ensure that 
emergency services volunteers are not taken into account as employees 
under the shared responsibility requirements contained in the Patient 
Protection and Affordable Care Act; which was ordered to lie on the 
table; as follows:

       Strike all after the enacting clause and insert the 
     following:

     SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

       (a) Short Title.--This Act may be cited as the ``Emergency 
     Unemployment Compensation Extension Act of 2014''.
       (b) Table of Contents.--The table of contents of this Act 
     is as follows:

Sec. 1. Short title; table of contents.
Sec. 2. Extension of emergency unemployment compensation program.
Sec. 3. Temporary extension of extended benefit provisions.
Sec. 4. Extension of funding for reemployment services and reemployment 
              and eligibility assessment activities.
Sec. 5. Additional extended unemployment benefits under the Railroad 
              Unemployment Insurance Act.
Sec. 6. Flexibility for unemployment program agreements.
Sec. 7. Ending unemployment payments to jobless millionaires and 
              billionaires.
Sec. 8. GAO study on the use of work suitability requirements in 
              unemployment insurance programs.
Sec. 9. Funding stabilization.
Sec. 10. Prepayment of certain PBGC premiums.
Sec. 11. Extension of customs user fees.
Sec. 12. Emergency services, government, and certain nonprofit 
              volunteers.

     SEC. 2. EXTENSION 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 ``June 1, 2014''.
       (b) 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 amendment made by section 2(a) of the Emergency 
     Unemployment Compensation Extension Act of 2014;''.
       (c) 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. 3. TEMPORARY EXTENSION OF EXTENDED BENEFIT PROVISIONS.

       (a) In General.--Section 2005 of the Assistance for 
     Unemployed Workers and Struggling Families Act, as contained 
     in Public Law 111-5 (26 U.S.C. 3304 note), is amended--
       (1) by striking ``December 31, 2013'' each place it appears 
     and inserting ``May 31, 2014''; and
       (2) in subsection (c), by striking ``June 30, 2014'' and 
     inserting ``November 30, 2014''.
       (b) Extension of Matching for States With No Waiting 
     Week.--Section 5 of the Unemployment Compensation Extension 
     Act of 2008 (Public Law 110-449; 26 U.S.C. 3304 note) is 
     amended by striking ``June 30, 2014'' and inserting 
     ``November 30, 2014''.
       (c) Extension of Modification of Indicators Under the 
     Extended Benefit Program.--Section 203 of the Federal-State 
     Extended Unemployment Compensation Act of 1970 (26 U.S.C. 
     3304 note) is amended--
       (1) in subsection (d), by striking ``December 31, 2013'' 
     and inserting ``May 31, 2014''; and
       (2) in subsection (f)(2), by striking ``December 31, 2013'' 
     and inserting ``May 31, 2014''.
       (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. 4. EXTENSION OF FUNDING FOR REEMPLOYMENT SERVICES AND 
                   REEMPLOYMENT AND ELIGIBILITY ASSESSMENT 
                   ACTIVITIES.

       (a) Extension.--
       (1) In general.--Section 4004(c)(2)(A) of the Supplemental 
     Appropriations Act, 2008 (Public Law 110-252; 26 U.S.C. 3304 
     note) is amended by striking ``through fiscal year 2014'' and 
     inserting ``through the first five months of fiscal year 
     2015''.
       (2) Effective date.--The amendment made by this subsection 
     shall take effect as if included in the enactment of the 
     American Taxpayer Relief Act of 2012 (Public Law 112-240).
       (b) Timing for Services and Activities.--
       (1) In general.--Section 4001(i)(1)(A) of the Supplemental 
     Appropriations Act, 2008 (Public Law 110-252; 26 U.S.C. 3304 
     note) is amended by adding at the end the following new 
     sentence:

     ``At a minimum, such reemployment services and reemployment 
     and eligibility assessment activities shall be provided to an 
     individual within a time period (determined appropriate by 
     the Secretary) after the date the individual begins to 
     receive amounts under section 4002(b) (first tier benefits) 
     and, if applicable, again within a time period (determined 
     appropriate by the Secretary) after the date the individual 
     begins to receive amounts under section 4002(d) (third tier 
     benefits).''.
       (2) Effective date.--The amendment made by this subsection 
     shall apply on and after the date of the enactment of this 
     Act.
       (c) Purposes of Services and Activities.--The purposes of 
     the reemployment services and reemployment and eligibility 
     assessment activities under section 4001(i) of the 
     Supplemental Appropriations Act, 2008 (Public Law 110-252; 26 
     U.S.C. 3304 note) are--
       (1) to better link the unemployed with the overall 
     workforce system by bringing individuals receiving 
     unemployment insurance benefits in for personalized 
     assessments and referrals to reemployment services; and

[[Page 5272]]

       (2) to provide individuals receiving unemployment insurance 
     benefits with early access to specific strategies that can 
     help get them back into the workforce faster, including 
     through--
       (A) the development of a reemployment plan;
       (B) the provision of access to relevant labor market 
     information;
       (C) the provision of access to information about industry-
     recognized credentials that are regionally relevant or 
     nationally portable;
       (D) the provision of referrals to reemployment services and 
     training; and
       (E) an assessment of the individual's on-going eligibility 
     for unemployment insurance benefits.

     SEC. 5. ADDITIONAL EXTENDED UNEMPLOYMENT BENEFITS UNDER THE 
                   RAILROAD UNEMPLOYMENT INSURANCE ACT.

       (a) Extension.--Section 2(c)(2)(D)(iii) of the Railroad 
     Unemployment Insurance Act (45 U.S.C. 352(c)(2)(D)(iii)) is 
     amended--
       (1) by striking ``June 30, 2013'' and inserting ``November 
     30, 2013''; and
       (2) by striking ``December 31, 2013'' and inserting ``May 
     31, 2014''.
       (b) Clarification on Authority To Use Funds.--Funds 
     appropriated under either the first or second sentence of 
     clause (iv) of section 2(c)(2)(D) of the Railroad 
     Unemployment Insurance Act shall be available to cover the 
     cost of additional extended unemployment benefits provided 
     under such section 2(c)(2)(D) by reason of the amendments 
     made by subsection (a) as well as to cover the cost of such 
     benefits provided under such section 2(c)(2)(D), as in effect 
     on the day before the date of enactment of this Act.
       (c) Funding for Administration.--Out of any funds in the 
     Treasury not otherwise appropriated, there are appropriated 
     to the Railroad Retirement Board $105,000 for administrative 
     expenses associated with the payment of additional extended 
     unemployment benefits provided under section 2(c)(2)(D) of 
     the Railroad Unemployment Insurance Act by reason of the 
     amendments made by subsection (a), to remain available until 
     expended.

     SEC. 6. FLEXIBILITY FOR UNEMPLOYMENT PROGRAM AGREEMENTS.

       (a) Flexibility.--
       (1) In general.--Subsection (g) of section 4001 of the 
     Supplemental Appropriations Act, 2008 (Public Law 110-252; 26 
     U.S.C. 3304 note) shall not apply with respect to a State 
     that has enacted a law before December 1, 2013, that, upon 
     taking effect, would violate such subsection.
       (2) Effective date.--Paragraph (1) is effective with 
     respect to weeks of unemployment beginning on or after 
     December 29, 2013.
       (b) Permitting a Subsequent Agreement.--Nothing in title IV 
     of the Supplemental Appropriations Act, 2008 (Public Law 110-
     252; 26 U.S.C. 3304 note) shall preclude a State whose 
     agreement under such title was terminated from entering into 
     a subsequent agreement under such title on or after the date 
     of the enactment of this Act if the State, taking into 
     account the application of subsection (a), would otherwise 
     meet the requirements for an agreement under such title.

     SEC. 7. ENDING UNEMPLOYMENT PAYMENTS TO JOBLESS MILLIONAIRES 
                   AND BILLIONAIRES.

       (a) Prohibition.--Notwithstanding any other provision of 
     law, no Federal funds may be used for payments of 
     unemployment compensation under the emergency unemployment 
     compensation program under title IV of the Supplemental 
     Appropriations Act, 2008 (Public Law 110-252; 26 U.S.C. 3304 
     note) 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 whether or not 
     the prohibition under subsection (a) applies with respect to 
     an individual.
       (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.

     SEC. 8. GAO STUDY ON THE USE OF WORK SUITABILITY REQUIREMENTS 
                   IN UNEMPLOYMENT INSURANCE PROGRAMS.

       (a) Study.--The Comptroller General of the United States 
     shall conduct a study on the use of work suitability 
     requirements to strengthen requirements to ensure that 
     unemployment insurance benefits are being provided to 
     individuals who are actively looking for work and who truly 
     want to return to the labor force. Such study shall include 
     an analysis of--
       (1) how work suitability requirements work under both State 
     and Federal unemployment insurance programs; and
       (2) how to incorporate and improve such requirements under 
     Federal unemployment insurance programs; and
       (3) other items determined appropriate by the Comptroller 
     General.
       (b) Briefing.--Not later than 90 days after the date of the 
     enactment of this Act, the Comptroller General of the United 
     States shall brief Congress on the ongoing study required 
     under subsection (a). Such briefing shall include preliminary 
     recommendations for such legislation and administrative 
     action as the Comptroller General determines appropriate.

     SEC. 9. FUNDING STABILIZATION.

       (a) Funding Stabilization Under the Internal Revenue 
     Code.--The table in subclause (II) of section 
     430(h)(2)(C)(iv) of the Internal Revenue Code of 1986 is 
     amended to read as follows:


----------------------------------------------------------------------------------------------------------------
                                            The applicable minimum
      ``If the calendar year is:                percentage is:           The applicable maximum percentage is:
----------------------------------------------------------------------------------------------------------------
2012, 2013, 2014, 2015, 2016, or 2017.  90%..........................  110%
2018..................................  85%..........................  115%
2019..................................  80%..........................  120%
2020..................................  75%..........................  125%
After 2020............................  70%..........................  130%''.
----------------------------------------------------------------------------------------------------------------

       (b) Funding Stabilization Under ERISA.--
       (1) In general.--The table in subclause (II) of section 
     303(h)(2)(C)(iv) of the Employee Retirement Income Security 
     Act of 1974 is amended to read as follows:


----------------------------------------------------------------------------------------------------------------
                                            The applicable minimum
      ``If the calendar year is:                percentage is:           The applicable maximum percentage is:
----------------------------------------------------------------------------------------------------------------
2012, 2013, 2014, 2015, 2016, or 2017.  90%..........................  110%
2018..................................  85%..........................  115%
2019..................................  80%..........................  120%
2020..................................  75%..........................  125%
After 2020............................  70%..........................  130%''.
----------------------------------------------------------------------------------------------------------------

       (2) Conforming amendment.--
       (A) In general.--Clause (ii) of section 101(f)(2)(D) of 
     such Act is amended by striking ``2015'' and inserting 
     ``2020''.
       (B) Statements.--The Secretary of Labor shall modify the 
     statements required under subclauses (I) and (II) of section 
     101(f)(2)(D)(i) of such Act to conform to the amendments made 
     by this section.
       (c) Stabilization Not to Apply for Purposes of Certain 
     Accelerated Benefit Distribution Rules.--
       (1) Internal revenue code of 1986.--The second sentence of 
     paragraph (2) of section 436(d) of the Internal Revenue Code 
     of 1986 is amended by striking ``of such plan'' and inserting 
     ``of such plan (determined by not taking into account any 
     adjustment of segment rates under section 
     430(h)(2)(C)(iv))''.
       (2) Employee retirement income security act of 1974.--The 
     second sentence of subparagraph (B) of section 206(g)(3) of 
     the Employee Retirement Income Security Act of 1974 (29 
     U.S.C. 1056(g)(3)(B)) is amended by striking ``of such plan'' 
     and inserting ``of such plan (determined by not taking into 
     account any adjustment of segment rates under section 
     303(h)(2)(C)(iv))''.
       (3) Effective date.--
       (A) In general.--Except as provided in subparagraph (B), 
     the amendments made by this subsection shall apply to plan 
     years beginning after December 31, 2014.
       (B) Collectively bargained plans.--In the case of a plan 
     maintained pursuant to 1 or more collective bargaining 
     agreements, the amendments made by this subsection

[[Page 5273]]

     shall apply to plan years beginning after December 31, 2015.
       (4) Provisions relating to plan amendments.--
       (A) In general.--If this paragraph applies to any amendment 
     to any plan or annuity contract, such plan or contract shall 
     be treated as being operated in accordance with the terms of 
     the plan during the period described in subparagraph (B)(ii).
       (B) Amendments to which paragraph applies.--
       (i) In general.--This paragraph shall apply to any 
     amendment to any plan or annuity contract which is made--

       (I) pursuant to the amendments made by this subsection, or 
     pursuant to any regulation issued by the Secretary of the 
     Treasury or the Secretary of Labor under any provision as so 
     amended, and
       (II) on or before the last day of the first plan year 
     beginning on or after January 1, 2016, or such later date as 
     the Secretary of the Treasury may prescribe.

       (ii) Conditions.--This subsection shall not apply to any 
     amendment unless, during the period--

       (I) beginning on the date that the amendments made by this 
     subsection or the regulation described in clause (i)(I) takes 
     effect (or in the case of a plan or contract amendment not 
     required by such amend
       (II) ending on the date described in clause (i)(II) (or, if 
     earlier, the date the plan or contract amendment is adopted),

     the plan or contract is operated as if such plan or contract 
     amendment were in effect, and such plan or contract amendment 
     applies retroactively for such period.
       (C) Anti-cutback relief.--A plan shall not be treated as 
     failing to meet the requirements of section 204(g) of the 
     Employee Retirement Income Security Act of 1974 and section 
     411(d)(6) of the Internal Revenue Code of 1986 solely by 
     reason of a plan amendment to which this paragraph applies.
       (d) Modification of Funding Target Determination Periods.--
       (1) Internal revenue code of 1986.--Clause (i) of section 
     430(h)(2)(B) of the Internal Revenue Code of 1986 is amended 
     by striking ``the first day of the plan year'' and inserting 
     ``the valuation date for the plan year''.
       (2) Employee retirement income security act of 1974.--
     Clause (i) of section 303(h)(2)(B) of the Employee Retirement 
     Income Security Act of 1974 (29 U.S.C. 1083(h)(2)(B)(i)) is 
     amended by striking ``the first day of the plan year'' and 
     inserting ``the valuation date for the plan year''.
       (e) Effective Date.--
       (1) In general.--The amendments made by subsections (a), 
     (b), and (d) shall apply with respect to plan years beginning 
     after December 31, 2012.
       (2) Elections.--A plan sponsor may elect not to have the 
     amendments made by subsections (a), (b), and (d) apply to any 
     plan year beginning before January 1, 2014, either (as 
     specified in the election)--
       (A) for all purposes for which such amendments apply, or
       (B) solely for purposes of determining the adjusted funding 
     target attainment percentage under sections 436 of the 
     Internal Revenue Code of 1986 and 206(g) of the Employee 
     Retirement Income Security Act of 1974 for such plan year.

     A plan shall not be treated as failing to meet the 
     requirements of section 204(g) of such Act and section 
     411(d)(6) of such Code solely by reason of an election under 
     this paragraph.

     SEC. 10. PREPAYMENT OF CERTAIN PBGC PREMIUMS.

       (a) In General.--Section 4007 of the Employee Retirement 
     Income Security Act of 1974 (29 U.S.C. 1307) is amended by 
     adding at the end the following new subsection:
       ``(f) Election to Prepay Flat Dollar Premiums.--
       ``(1) In general.--The designated payor may elect to prepay 
     during any plan year the premiums due under clause (i) or 
     (v), whichever is applicable, of section 4006(a)(3)(A) for 
     the number of consecutive subsequent plan years (not greater 
     than 5) specified in the election.
       ``(2) Amount of prepayment.--
       ``(A) In general.--The amount of the prepayment for any 
     subsequent plan year under paragraph (1) shall be equal to 
     the amount of the premium determined under clause (i) or (v), 
     whichever is applicable, of section 4006(a)(3)(A) for the 
     plan year in which the prepayment is made.
       ``(B) Additional participants.--If there is an increase in 
     the number of participants in the plan during any plan year 
     with respect to which a prepayment has been made, the 
     designated payor shall pay a premium for such additional 
     participants at the premium rate in effect under clause (i) 
     or (v), whichever is applicable, of section 4006(a)(3)(A) for 
     such plan year. No credit or other refund shall be granted in 
     the case of a plan that has a decrease in number of 
     participants during a plan year with respect to which a 
     prepayment has been made.
       ``(C) Coordination with premium for unfunded vested 
     benefits.--The amount of the premium determined under section 
     4006(a)(3)(A)(i) for the purpose of determining the 
     prepayment amount for any plan year shall be determined 
     without regard to the increase in such premium under section 
     4006(a)(3)(E). Such increase shall be paid in the same amount 
     and at the same time as it would otherwise be paid without 
     regard to this subsection.
       ``(3) Election.--The election under this subsection shall 
     be made at such time and in such manner as the corporation 
     may prescribe.''.
       (b) Conforming Amendment.--The second sentence of 
     subsection (a) of section 4007 of the Employee Retirement 
     Income Security Act of 1974 (29 U.S.C. 1307) is amended by 
     striking ``Premiums'' and inserting ``Except as provided in 
     subsection (f), premiums''.
       (c) Effective Date.--The amendments made by this section 
     shall apply to plan years beginning after the date of the 
     enactment of this Act.

     SEC. 11. EXTENSION OF CUSTOMS USER FEES.

       Section 13031(j)(3) of the Consolidated Omnibus Budget 
     Reconciliation Act of 1985 (19 U.S.C. 58c(j)(3)) is amended--
       (1) in subparagraph (A), by striking ``September 30, 2023'' 
     and inserting ``September 30, 2024''; and
       (2) in subparagraph (B)(i), by striking ``September 30, 
     2023'' and inserting ``September 30, 2024''.

     SEC. 12. EMERGENCY SERVICES, GOVERNMENT, AND CERTAIN 
                   NONPROFIT VOLUNTEERS.

       (a) In General.--Section 4980H(c) of the Internal Revenue 
     Code of 1986 is amended by redesignating paragraphs (5), (6), 
     and (7) as paragraphs (6), (7), and (8), respectively, and by 
     inserting after paragraph (4) the following new paragraph:
       ``(5) Special rules for certain emergency services, 
     government, and nonprofit volunteers.--
       ``(A) Emergency services volunteers.--Qualified services 
     rendered as a bona fide volunteer to an eligible employer 
     shall not be taken into account under this section as service 
     provided by an employee. For purposes of the preceding 
     sentence, the terms `qualified services', `bona fide 
     volunteer', and `eligible employer' shall have the respective 
     meanings given such terms under section 457(e).
       ``(B) Certain other government and nonprofit volunteers.--
       ``(i) In general.--Services rendered as a bona fide 
     volunteer to a specified employer shall not be taken into 
     account under this section as service provided by an 
     employee.
       ``(ii) Bona fide volunteer.--For purposes of this 
     subparagraph, the term `bona fide volunteer' means an 
     employee of a specified employer whose only compensation from 
     such employer is in the form of--

       ``(I) reimbursement for (or reasonable allowance for) 
     reasonable expenses incurred in the performance of services 
     by volunteers, or
       ``(II) reasonable benefits (including length of service 
     awards), and nominal fees, customarily paid by similar 
     entities in connection with the performance of services by 
     volunteers.

       ``(iii) Specified employer.--For purposes of this 
     subparagraph, the term `specified employer' means--

       ``(I) any government entity, and
       ``(II) any organization described in section 501(c) and 
     exempt from tax under section 501(a).

       ``(iv) Coordination with subparagraph (A).--This 
     subparagraph shall not fail to apply with respect to services 
     merely because such services are qualified services (as 
     defined in section 457(e)(11)(C)).''.
       (b) Effective Date.--The amendments made by this section 
     shall apply to months beginning after December 30, 2013.
                                 ______
                                 
  SA 2923. Mr. LEE submitted an amendment intended to be proposed by 
him to the bill H.R. 3979, to amend the Internal Revenue Code of 1986 
to ensure that emergency services volunteers are not taken into account 
as employees under the shared responsibility requirements contained in 
the Patient Protection and Affordable Care Act; which was ordered to 
lie on the table; as follows:

       At the appropriate place, insert the following:

     SEC. ____. AMENDMENTS TO THE HIGHER EDUCATION ACT.

       (a) Definition of Institution of Higher Education.--Section 
     102(a) of the Higher Education Act of 1965 (20 U.S.C. 
     1002(a)) is amended--
       (1) by redesignating paragraphs (5) and (6) as paragraphs 
     (6) and (7), respectively;
       (2) in paragraph (1), in the matter preceding subparagraph 
     (A), by striking ``Subject to paragraphs (2) through (4)'' 
     and inserting ``Subject to paragraphs (2) through (5)'';
       (3) in paragraph (1)--
       (A) by redesignating subparagraphs (B) and (C) as 
     subparagraphs (C) and (D), respectively; and
       (B) by inserting after subparagraph (A) the following:
       ``(B) if accredited by an authorized accreditation 
     authority in a State that has an alternative accreditation 
     agreement with the Secretary, as described in paragraph (5)--
       ``(i) an institution that provides postsecondary education;
       ``(ii) a postsecondary apprenticeship program; or

[[Page 5274]]

       ``(iii) a postsecondary education course or program 
     provided by an institution of postsecondary education, a 
     nonprofit organization, or a for-profit organization or 
     business;''; and
       (4) by inserting after paragraph (4), the following:
       ``(5) State alternative accreditation.--
       ``(A) In general.--Notwithstanding any other provision of 
     law, a State may establish an alternative accreditation 
     system for the purpose of establishing institutions that 
     provide postsecondary education and postsecondary education 
     courses or programs as eligible for funding under title IV if 
     the State enters into an agreement with the Secretary for the 
     establishment of the alternative accreditation system. Such 
     institutions, courses, or programs may include--
       ``(i) institutions that provide postsecondary education;
       ``(ii) postsecondary apprenticeship programs;
       ``(iii) any other postsecondary education course or program 
     offered at an institution of postsecondary education, a 
     nonprofit organization, or a for-profit organization or 
     business; and
       ``(iv) any of the entities described in clauses (i) through 
     (iii) that do not award a postsecondary certification, 
     credential, or degree, provided that such entity provides 
     credit that will apply toward a postsecondary certification, 
     credential, or degree.
       ``(B) Alternative accreditation agreement.--The alternative 
     accreditation agreement described in subparagraph (A) shall 
     include the following:
       ``(i) The designation of 1 or more authorized accrediting 
     entities within the State, such as the State Department of 
     Education, another State agency, an industry-specific 
     accrediting agency, or another entity, and an explanation of 
     the process through which the State will select such 
     authorized accrediting entities.
       ``(ii) The standards or criteria that an institution that 
     provides postsecondary education and a postsecondary 
     education course or program must meet in order to--

       ``(I) receive an initial accreditation as part of the 
     alternative accreditation system; and
       ``(II) maintain such accreditation.

       ``(iii) A description of the appeals process through which 
     an institution that provides postsecondary education and a 
     postsecondary education course or program may appeal to an 
     authorized accrediting entity if such institution, course, or 
     program is denied accreditation under the State alternative 
     accreditation system.
       ``(iv) Each authorized accrediting entity's policy 
     regarding the transfer of credits between institutions that 
     provide postsecondary education and postsecondary education 
     courses or programs within the State that are accredited as 
     part of the alternative accreditation system.
       ``(v) The Secretary's reporting requirements for the State 
     regarding the State alternative accreditation system, 
     including--

       ``(I) the contents of reports that must be submitted to the 
     Secretary, which may include information such as--

       ``(aa) in the case of a postsecondary education course or 
     program that is accredited through the State alternative 
     accreditation system--
       ``(AA) the number and percentage of students who 
     successfully complete each such postsecondary education 
     course or program; and
       ``(BB) the number and percentage of students who 
     successfully obtain a postsecondary certification, 
     credential, or degree using credit obtained from each such 
     postsecondary education course or program; and
       ``(bb) in the case of an institution that provides 
     postsecondary education that is accredited through the State 
     alternative accreditation system--
       ``(AA) the number and percentage of students who 
     successfully obtain a postsecondary certification, 
     credential, or degree from such institution; and
       ``(BB) the number and percentage of students who do not 
     successfully obtain a postsecondary certification, 
     credential, or degree from such institution but do obtain 
     credit from such institution toward a postsecondary degree, 
     credential, or certification;

       ``(II) the frequency with which such reports must be 
     submitted to the Secretary; and
       ``(III) any requirements for third party verification of 
     information contained in such reports.

       ``(vi) The State policy regarding public accessibility to 
     certain information relating to institutions that provide 
     postsecondary education and postsecondary education courses 
     and programs accredited under the State alternative 
     accreditation system, including--

       ``(I) the information described in subclause (I) of clause 
     (v); and
       ``(II) information about the rates of job placement for 
     individuals that have graduated from an institution or 
     completed a course or program that is accredited under the 
     State alternative accreditation system.

       ``(vii) An assurance by the State that under the State 
     alternative accreditation system, only institutions that 
     provide postsecondary education and postsecondary education 
     courses or programs that provide credits toward a 
     postsecondary certification, credential, or degree (as 
     defined by the State in accordance with clause (viii)) will 
     be accredited.
       ``(viii) The State's definition of a postsecondary 
     certification, credential, or degree, as such term applies to 
     the requirement described in clause (vii).
       ``(ix) A description of the agreements that the State will 
     enter into with institutions that provide postsecondary 
     education and postsecondary education courses or programs 
     that are accredited under the alternative accreditation 
     system to enable such institutions, courses, or programs to 
     be eligible under a program authorized under title IV, for 
     participation in the direct student loan program, and for the 
     origination of loans under part D of title IV, and how such 
     agreements will operate in lieu of the agreements described 
     in sections 487 and 454.
       ``(x) A description of how the State will select 
     institutions that provide postsecondary education and 
     postsecondary education courses or programs that are 
     accredited under the alternative accreditation system, in 
     lieu of the selection process described in section 453, for--

       ``(I) participation in the direct student loan program 
     under part D of title IV; and
       ``(II) approval allowing such institution, program, or 
     course to originate direct loans under part D of title IV.

       ``(xi) A description of how the State will administer title 
     IV funds for institutions that provide postsecondary 
     education, postsecondary apprenticeship programs, and 
     postsecondary education courses or programs provided by an 
     institution of postsecondary education, a nonprofit 
     organization, or a for-profit organization or business that 
     are accredited through the alternative accreditation system.
       ``(C) Administrative costs for pell grant students.--
       ``(i) Pell grants administered by entities.--In the case of 
     an institution that provides postsecondary education, a 
     postsecondary apprenticeship program, or an entity that 
     provides a postsecondary education course or program that is 
     accredited through the alternative accreditation system and 
     that will administer the Federal Pell Grant, Federal Perkins 
     Loan, Federal Work-Study, and Federal Supplemental 
     Educational Opportunity Grants in accordance with the 
     agreement described in subparagraph (B)(xi), the Secretary 
     shall, in lieu of carrying out section 690.10 of title 34, 
     Code of Federal Regulations, and subject to available 
     appropriations, pay $5.00 to the institution, apprenticeship 
     program, or entity, as the case may be, for each student who 
     receives a Federal Pell Grant at that institution, 
     apprenticeship program, or entity for an award year.
       ``(ii) Pell grants administered by states.--In the case of 
     an institution that provides postsecondary education, a 
     postsecondary apprenticeship program, or an entity that 
     provides a postsecondary education course or program that is 
     accredited through the alternative accreditation system and 
     will not administer the Federal Pell Grant, Federal Perkins 
     Loan, Federal Work-Study, and Federal Supplemental 
     Educational Opportunity Grants, but will have such programs 
     administered by the State in accordance with the agreement 
     described in subparagraph (B)(xi), the Secretary shall, in 
     lieu of carrying out section 690.10 of title 34, Code of 
     Federal Regulations, and subject to available appropriations, 
     pay $5.00 to the State for each student who receives a 
     Federal Pell Grant at that institution, apprenticeship 
     program, or entity, as the case may be, for an award year.
       ``(iii) Use of funds.--All funds that an institution, 
     apprenticeship program, entity, or the State receives under 
     this subparagraph shall be used solely to pay the cost of--

       ``(I) administering the Federal Pell Grant, Federal Perkins 
     Loan, Federal Work-Study, and Federal Supplemental 
     Educational Opportunity Grants; and
       ``(II) carrying out the reporting requirements described 
     under subparagraph (B)(v).

       ``(iv) Financial aid services.--If an institution, 
     apprenticeship program, or entity described in this 
     subparagraph enrolls a significant number of students who are 
     attending less-than-full-time or are independent students, 
     such institution, apprenticeship program, entity, or the 
     State, as the case may be, shall use a reasonable proportion 
     of the funds provided under this subparagraph to make 
     financial aid services available during times and in places 
     that will most effectively accommodate the needs of those 
     students.''.
       (b) Title IV Eligibility Requirements.--Part G of title IV 
     of the Higher Education Act of 1965 (20 U.S.C. 1088 et seq.) 
     is amended by adding at the end the following:

     ``SEC. 493E. STATE ACCREDITED INSTITUTIONS, PROGRAMS, OR 
                   COURSES.

       ``Notwithstanding any other provision of law, an 
     institution, program, or course that is eligible for funds 
     under this title in accordance with section 102(a)(1)(B) and 
     meets the requirements of section 102(a)(5) shall not be 
     required to meet any other requirements of this title. For 
     purposes of this title, such an institution, program, or 
     course shall be deemed to be an eligible institution that 
     meets the requirements of section 487.''.
                                 ______
                                 
  SA 2924. Mr. LEE (for himself and Mr. Rubio) submitted an amendment 
intended to be proposed by him to the

[[Page 5275]]

bill H.R. 3979, to amend the Internal Revenue Code of 1986 to ensure 
that emergency services volunteers are not taken into account as 
employees under the shared responsibility requirements contained in the 
Patient Protection and Affordable Care Act; which was ordered to lie on 
the table; as follows:

       At the appropriate place, insert the following:

     SEC. __. COMPENSATORY TIME.

       (a) In General.--Section 7 of the Fair Labor Standards Act 
     of 1938 (29 U.S.C. 207) is amended by adding at the end the 
     following:
       ``(s) Compensatory Time Off for Private Employees.--
       ``(1) General rule.--An employee may receive, in accordance 
     with this subsection and in lieu of monetary overtime 
     compensation, compensatory time off at a rate not less than 
     one and one-half hours for each hour of employment for which 
     overtime compensation is required by this section.
       ``(2) Conditions.--An employer may provide compensatory 
     time to employees under paragraph (1)(A) only if such time is 
     provided in accordance with--
       ``(A) applicable provisions of a collective bargaining 
     agreement between the employer and the labor organization 
     that has been certified or recognized as the representative 
     of the employees under applicable law; or
       ``(B) in the case of employees who are not represented by a 
     labor organization that has been certified or recognized as 
     the representative of such employees under applicable law, an 
     agreement arrived at between the employer and employee before 
     the performance of the work and affirmed by a written or 
     otherwise verifiable record maintained in accordance with 
     section 11(c)--
       ``(i) in which the employer has offered and the employee 
     has chosen to receive compensatory time in lieu of monetary 
     overtime compensation; and
       ``(ii) entered into knowingly and voluntarily by such 
     employees and not as a condition of employment.
     No employee may receive or agree to receive compensatory time 
     off under this subsection unless the employee has worked at 
     least 1,000 hours for the employee's employer during a period 
     of continuous employment with the employer in the 12-month 
     period before the date of agreement or receipt of 
     compensatory time off.
       ``(3) Hour limit.--
       ``(A) Maximum hours.--An employee may accrue not more than 
     160 hours of compensatory time.
       ``(B) Compensation date.--Not later than January 31 of each 
     calendar year, the employee's employer shall provide monetary 
     compensation for any unused compensatory time off accrued 
     during the preceding calendar year that was not used prior to 
     December 31 of the preceding year at the rate prescribed by 
     paragraph (6). An employer may designate and communicate to 
     the employer's employees a 12-month period other than the 
     calendar year, in which case such compensation shall be 
     provided not later than 31 days after the end of such 12-
     month period.
       ``(C) Excess of 80 hours.--The employer may provide 
     monetary compensation for an employee's unused compensatory 
     time in excess of 80 hours at any time after giving the 
     employee at least 30 days notice. Such compensation shall be 
     provided at the rate prescribed by paragraph (6).
       ``(D) Policy.--Except where a collective bargaining 
     agreement provides otherwise, an employer that has adopted a 
     policy offering compensatory time to employees may 
     discontinue such policy upon giving employees 30 days notice.
       ``(E) Written request.--An employee may withdraw an 
     agreement described in paragraph (2)(B) at any time. An 
     employee may also request in writing that monetary 
     compensation be provided, at any time, for all compensatory 
     time accrued that has not yet been used. Within 30 days of 
     receiving the written request, the employer shall provide the 
     employee the monetary compensation due in accordance with 
     paragraph (6).
       ``(4) Private employer actions.--An employer that provides 
     compensatory time under paragraph (1) to employees shall not 
     directly or indirectly intimidate, threaten, or coerce or 
     attempt to intimidate, threaten, or coerce any employee for 
     the purpose of--
       ``(A) interfering with such employee's rights under this 
     subsection to request or not request compensatory time off in 
     lieu of payment of monetary overtime compensation for 
     overtime hours; or
       ``(B) requiring any employee to use such compensatory time.
       ``(5) Termination of employment.--An employee who has 
     accrued compensatory time off authorized to be provided under 
     paragraph (1) shall, upon the voluntary or involuntary 
     termination of employment, be paid for the unused 
     compensatory time in accordance with paragraph (6).
       ``(6) Rate of compensation.--
       ``(A) General rule.--If compensation is to be paid to an 
     employee for accrued compensatory time off, such compensation 
     shall be paid at a rate of compensation not less than--
       ``(i) the regular rate received by such employee when the 
     compensatory time was earned; or
       ``(ii) the final regular rate received by such employee,
     whichever is higher.
       ``(B) Consideration of payment.--Any payment owed to an 
     employee under this subsection for unused compensatory time 
     shall be considered unpaid overtime compensation.
       ``(7) Use of time.--An employee--
       ``(A) who has accrued compensatory time off authorized to 
     be provided under paragraph (1); and
       ``(B) who has requested the use of such compensatory time,
     shall be permitted by the employee's employer to use such 
     time within a reasonable period after making the request if 
     the use of the compensatory time does not unduly disrupt the 
     operations of the employer.
       ``(8) Definitions.--For purposes of this subsection--
       ``(A) the term `employee' does not include an employee of a 
     public agency; and
       ``(B) the terms `overtime compensation' and `compensatory 
     time' shall have the meanings given such terms by subsection 
     (o)(7).''.
       (b) Remedies.--Section 16 of the Fair Labor Standards Act 
     of 1938 (29 U.S.C. 216) is amended--
       (1) in subsection (b), by striking ``(b) Any employer'' and 
     inserting ``(b) Except as provided in subsection (f), any 
     employer''; and
       (2) by adding at the end the following:
       ``(f) An employer that violates section 7(s)(4) shall be 
     liable to the employee affected in the amount of the rate of 
     compensation (determined in accordance with section 
     7(s)(6)(A)) for each hour of compensatory time accrued by the 
     employee and in an additional equal amount as liquidated 
     damages reduced by the amount of such rate of compensation 
     for each hour of compensatory time used by such employee.''.
       (c) Notice to Employees.--Not later than 30 days after the 
     date of enactment of this Act, the Secretary of Labor shall 
     revise the materials the Secretary provides, under 
     regulations published in section 516.4 of title 29, Code of 
     Federal Regulations, to employers for purposes of a notice 
     explaining the Fair Labor Standards Act of 1938 to employees 
     so that such notice reflects the amendments made to such Act 
     by this section.
       (d) GAO Report.--Beginning 2 years after the date of 
     enactment of this Act and each of the 3 years thereafter, the 
     Comptroller General shall submit a report to Congress 
     providing, with respect to the reporting period immediately 
     prior to each such report--
       (1) data concerning the extent to which employers provide 
     compensatory time pursuant to section 7(s) of the Fair Labor 
     Standards Act of 1938, as added by this section, and the 
     extent to which employees opt to receive compensatory time;
       (2) the number of complaints alleging a violation of such 
     section filed by any employee with the Secretary of Labor;
       (3) the number of enforcement actions commenced by the 
     Secretary or commenced by the Secretary on behalf of any 
     employee for alleged violations of such section;
       (4) the disposition or status of such complaints and 
     actions described in paragraphs (2) and (3); and
       (5) an account of any unpaid wages, damages, penalties, 
     injunctive relief, or other remedies obtained or sought by 
     the Secretary in connection with such actions described in 
     paragraph (3).
       (e) Sunset.--This section and the amendments made by this 
     Act shall expire 5 years after the date of enactment of this 
     Act.
                                 ______
                                 
  SA 2925. Mr. LEE (for himself and Mr. Rubio) submitted an amendment 
intended to be proposed by him to the bill H.R. 3979, to amend the 
Internal Revenue Code of 1986 to ensure that emergency services 
volunteers are not taken into account as employees under the shared 
responsibility requirements contained in the Patient Protection and 
Affordable Care Act; which was ordered to lie on the table; as follows:

       At the appropriate place, insert the following:

                  TITLE __--TRANSPORTATION EMPOWERMENT

     SEC. _01. SHORT TITLE.

       This title may be cited as the ``Transportation Empowerment 
     Act''.

     SEC. _02. FINDINGS AND PURPOSES.

       (a) Findings.--Congress finds that--
       (1) the objective of the Federal highway program has been 
     to facilitate the construction of a modern freeway system 
     that promotes efficient interstate commerce by connecting all 
     States;
       (2) the objective described in paragraph (1) has been 
     attained, and the Interstate System connecting all States is 
     near completion;
       (3) each State has the responsibility of providing an 
     efficient transportation network for the residents of the 
     State;
       (4) each State has the means to build and operate a network 
     of transportation systems, including highways, that best 
     serves the needs of the State;
       (5) each State is best capable of determining the needs of 
     the State and acting on those needs;
       (6) the Federal role in highway transportation has, over 
     time, usurped the role of the

[[Page 5276]]

     States by taxing motor fuels used in the States and then 
     distributing the proceeds to the States based on the 
     perceptions of the Federal Government on what is best for the 
     States;
       (7) the Federal Government has used the Federal motor fuels 
     tax revenues to force all States to take actions that are not 
     necessarily appropriate for individual States;
       (8) the Federal distribution, review, and enforcement 
     process wastes billions of dollars on unproductive 
     activities;
       (9) Federal mandates that apply uniformly to all 50 States, 
     regardless of the different circumstances of the States, 
     cause the States to waste billions of hard-earned tax dollars 
     on projects, programs, and activities that the States would 
     not otherwise undertake; and
       (10) Congress has expressed a strong interest in reducing 
     the role of the Federal Government by allowing each State to 
     manage its own affairs.
       (b) Purposes.--The purposes of this title are--
       (1) to return to the individual States maximum 
     discretionary authority and fiscal responsibility for all 
     elements of the national surface transportation systems that 
     are not within the direct purview of the Federal Government;
       (2) to preserve Federal responsibility for the Dwight D. 
     Eisenhower National System of Interstate and Defense 
     Highways;
       (3) to preserve the responsibility of the Department of 
     Transportation for--
       (A) design, construction, and preservation of 
     transportation facilities on Federal public land;
       (B) national programs of transportation research and 
     development and transportation safety; and
       (C) emergency assistance to the States in response to 
     natural disasters;
       (4) to eliminate to the maximum extent practicable Federal 
     obstacles to the ability of each State to apply innovative 
     solutions to the financing, design, construction, operation, 
     and preservation of Federal and State transportation 
     facilities; and
       (5) with respect to transportation activities carried out 
     by States, local governments, and the private sector, to 
     encourage--
       (A) competition among States, local governments, and the 
     private sector; and
       (B) innovation, energy efficiency, private sector 
     participation, and productivity.

     SEC. _03. FUNDING LIMITATION.

       Notwithstanding any other provision of law, if the 
     Secretary of Transportation determines for any of fiscal 
     years 2015 through 2019 that the aggregate amount required to 
     carry out transportation programs and projects under this 
     title and amendments made by this title exceeds the estimated 
     aggregate amount in the Highway Trust Fund available for 
     those programs and projects for the fiscal year, each amount 
     made available for that program or project shall be reduced 
     by the pro rata percentage required to reduce the aggregate 
     amount required to carry out those programs and projects to 
     an amount equal to that available for those programs and 
     projects in the Highway Trust Fund for the fiscal year.

     SEC. _04. FUNDING FOR CORE HIGHWAY PROGRAMS.

       (a) In General.--
       (1) Authorization of appropriations.--The following sums 
     are authorized to be appropriated out of the Highway Trust 
     Fund (other than the Mass Transit Account):
       (A) Federal-aid highway program.--For the national highway 
     performance program under section 119 of title 23, United 
     States Code, the surface transportation program under section 
     133 of that title, the metropolitan transportation planning 
     program under section 134 of that title, the highway safety 
     improvement program under section 148 of that title, and the 
     congestion mitigation and air quality improvement program 
     under section 149 of that title--
       (i) $37,592,576,000 for fiscal year 2015;
       (ii) $19,720,696,000 for fiscal year 2016;
       (iii) $13,147,130,000 for fiscal year 2017;
       (iv) $10,271,196,000 for fiscal year 2018; and
       (v) $7,600,685,000 for fiscal year 2019.
       (B) Emergency relief.--For emergency relief under section 
     125 of title 23, United States Code, $100,000,000 for each of 
     fiscal years 2015 through 2019.
       (C) Federal lands programs.--
       (i) Federal lands transportation program.--For the Federal 
     lands transportation program under section 203 of title 23, 
     United States Code, $300,000,000 for each of fiscal years 
     2015 through 2019, of which $240,000,000 of the amount made 
     available for each fiscal year shall be the amount for the 
     National Park Service and $30,000,000 of the amount made 
     available for each fiscal year shall be the amount for the 
     United States Fish and Wildlife Service.
       (ii) Federal lands access program.--For the Federal lands 
     access program under section 204 of title 23, United States 
     Code, $250,000,000 for each of fiscal years 2015 through 
     2019.
       (D) Administrative expenses.--Section 104(a) of title 23, 
     United States Code, is amended by striking paragraph (1) and 
     inserting the following:
       ``(1) In general.--There are authorized to be appropriated 
     from the Highway Trust Fund (other than the Mass Transit 
     Account) to be made available to the Secretary for 
     administrative expenses of the Federal Highway 
     Administration--
       ``(A) $437,600,000 for fiscal year 2015;
       ``(B) $229,565,000 for fiscal year 2016;
       ``(C) $153,043,000 for fiscal year 2017;
       ``(D) $119,565,000 for fiscal year 2018; and
       ``(E) $88,478,000 for fiscal year 2019.''.
       (2) Transferability of funds.--Section 104 of title 23, 
     United States Code, is amended by striking subsection (f) and 
     inserting the following:
       ``(f) Transferability of Funds.--
       ``(1) In general.--To the extent that a State determines 
     that funds made available under this title to the State for a 
     purpose are in excess of the needs of the State for that 
     purpose, the State may transfer the excess funds to, and use 
     the excess funds for, any surface transportation (including 
     mass transit and rail) purpose in the State.
       ``(2) Enforcement.--If the Secretary determines that a 
     State has transferred funds under paragraph (1) to a purpose 
     that is not a surface transportation purpose as described in 
     paragraph (1), the amount of the improperly transferred funds 
     shall be deducted from any amount the State would otherwise 
     receive from the Highway Trust Fund for the fiscal year that 
     begins after the date of the determination.''.
       (3) Federal-aid system.--
       (A) In general.--Section 103(a) of title 23, United States 
     Code, is amended by striking ``the National Highway System, 
     which includes''.
       (B) Conforming amendments.--Chapter 1 of title 23, United 
     States Code, is amended--
       (i) in section 103 by striking the section designation and 
     heading and inserting the following:

     ``Sec. 103. Federal-aid system'';

     and
       (ii) in the analysis by striking the item relating to 
     section 103 and inserting the following:

``103. Federal-aid system.''.

       (4) Calculation of state amounts.--Section 104(c)(2) of 
     title 23, United States Code, is amended--
       (A) in the paragraph heading by striking ``For fiscal year 
     2014'' and inserting ``Subsequent fiscal years''; and
       (B) in subparagraph (A) by striking ``fiscal year 2014'' 
     and inserting ``fiscal year 2014 and each subsequent fiscal 
     year''.
       (5) National bridge and tunnel inventory and inspection 
     standards.--
       (A) In general.--Section 144 of title 23, United States 
     Code, is amended--
       (i) in subsection (e)(1) by inserting ``on the Federal-aid 
     system'' after ``any bridge''; and
       (ii) in subsection (f)(1) by inserting ``on the Federal-aid 
     system'' after ``construct any bridge''.
       (B) Repeal of historic bridges provisions.--Section 144(g) 
     of title 23, United States Code, is repealed.
       (6) Repeal of transportation alternatives program.--The 
     following provisions are repealed:
       (A) Section 213 of title 23, United States Code.
       (B) The item relating to section 213 in the analysis for 
     chapter 1 of title 23, United States Code.
       (7) National defense highways.--Section 311 of title 23, 
     United States Code, is amended--
       (A) in the first sentence, by striking ``under subsection 
     (a) of section 104 of this title'' and inserting ``to carry 
     out this section''; and
       (B) by striking the second sentence.
       (8) Federalization and defederalization of projects.--
     Notwithstanding any other provision of law, beginning on 
     October 1, 2014--
       (A) a highway construction or improvement project shall not 
     be considered to be a Federal highway construction or 
     improvement project unless and until a State expends Federal 
     funds for the construction portion of the project;
       (B) a highway construction or improvement project shall not 
     be considered to be a Federal highway construction or 
     improvement project solely by reason of the expenditure of 
     Federal funds by a State before the construction phase of the 
     project to pay expenses relating to the project, including 
     for any environmental document or design work required for 
     the project; and
       (C)(i) a State may, after having used Federal funds to pay 
     all or a portion of the costs of a highway construction or 
     improvement project, reimburse the Federal Government in an 
     amount equal to the amount of Federal funds so expended; and
       (ii) after completion of a reimbursement described in 
     clause (i), a highway construction or improvement project 
     described in that clause shall no longer be considered to be 
     a Federal highway construction or improvement project.
       (9) Reporting requirements.--No reporting requirement, 
     other than a reporting requirement in effect as of the date 
     of enactment of this Act, shall apply on or after October 1, 
     2014, to the use of Federal funds for highway projects by a 
     public-private partnership.
       (b) Expenditures From Highway Trust Fund.--

[[Page 5277]]

       (1) Expenditures for core programs.--Section 9503(c) of the 
     Internal Revenue Code of 1986 is amended--
       (A) in paragraph (1)--
       (i) by striking ``October 1, 2014'' and inserting ``October 
     1, 2020''; and
       (ii) by striking ``MAP-21'' and inserting ``Transportation 
     Empowerment Act'';
       (B) in paragraphs (3)(A)(i), (4)(A), and (5), by striking 
     ``October 1, 2016'' each place it appears and inserting 
     ``October 1, 2022''; and
       (C) in paragraph (2), by striking ``July 1, 2017'' and 
     inserting ``July 1, 2023''.
       (2) Amounts available for core program expenditures.--
     Section 9503 of the Internal Revenue Code of 1986 is amended 
     by adding at the end the following:
       ``(g) Core Programs Financing Rate.--For purposes of this 
     section--
       ``(1) In general.--Except as provided in paragraph (2)--
       ``(A) in the case of gasoline and special motor fuels the 
     tax rate of which is the rate specified in section 
     4081(a)(2)(A)(i), the core programs financing rate is--
       ``(i) after September 30, 2014, and before October 1, 2015, 
     18.3 cents per gallon,
       ``(ii) after September 30, 2015, and before October 1, 
     2016, 9.6 cents per gallon,
       ``(iii) after September 30, 2016, and before October 1, 
     2017, 6.4 cents per gallon,
       ``(iv) after September 30, 2017, and before October 1, 
     2018, 5.0 cents per gallon, and
       ``(v) after September 30, 2018, 3.7 cents per gallon, and
       ``(B) in the case of kerosene, diesel fuel, and special 
     motor fuels the tax rate of which is the rate specified in 
     section 4081(a)(2)(A)(iii), the core programs financing rate 
     is--
       ``(i) after September 30, 2014, and before October 1, 2015, 
     24.3 cents per gallon,
       ``(ii) after September 30, 2015, and before October 1, 
     2016, 12.7 cents per gallon,
       ``(iii) after September 30, 2016, and before October 1, 
     2017, 8.5 cents per gallon,
       ``(iv) after September 30, 2017, and before October 1, 
     2018, 6.6 cents per gallon, and
       ``(v) after September 30, 2018, 5.0 cents per gallon.
       ``(2) Application of rate.--In the case of fuels used as 
     described in paragraphs (3)(C), (4)(B), and (5) of subsection 
     (c), the core programs financing rate is zero.''.
       (c) Termination of Mass Transit Account.--Section 
     9503(e)(2) of the Internal Revenue Code of 1986 is amended--
       (1) in the first sentence, by inserting ``, and before 
     October 1, 2014'' after ``March 31, 1983''; and
       (2) by adding at the end the following:
       ``(6) Transfer to highway account.--On October 1, 2014, the 
     Secretary shall transfer all amounts in the Mass Transit 
     Account to the Highway Account.''.
       (d) Effective Date.--The amendments and repeals made by 
     this section take effect on October 1, 2014.

     SEC. _05. FUNDING FOR HIGHWAY RESEARCH AND DEVELOPMENT 
                   PROGRAM.

       (a) Authorization of Appropriations.--There is authorized 
     to be appropriated out of the Highway Trust Fund (other than 
     the Mass Transit Account) to carry out section 503(b) of 
     title 23, United States Code, $115,000,000 for each of fiscal 
     years 2015 through 2019.
       (b) Applicability of Title 23, United States Code.--Funds 
     authorized to be appropriated by subsection (a) shall--
       (1) be available for obligation in the same manner as if 
     those funds were apportioned under chapter 1 of title 23, 
     United States Code, except that the Federal share of the cost 
     of a project or activity carried out using those funds shall 
     be 80 percent, unless otherwise expressly provided by this 
     title (including the amendments by this title) or otherwise 
     determined by the Secretary; and
       (2) remain available until expended and not be 
     transferable.

     SEC. _06. RETURN OF EXCESS TAX RECEIPTS TO STATES.

       (a) In General.--Section 9503(c) of the Internal Revenue 
     Code of 1986 is amended by adding at the end the following:
       ``(6) Return of excess tax receipts to states for surface 
     transportation purposes.--
       ``(A) In general.--On the first day of each of fiscal years 
     2016, 2017, 2018, and 2019, the Secretary, in consultation 
     with the Secretary of Transportation, shall--
       ``(i) determine the excess (if any) of--

       ``(I) the amounts appropriated in such fiscal year to the 
     Highway Trust Fund under subsection (b) which are 
     attributable to the taxes described in paragraphs (1) and (2) 
     thereof (after the application of paragraph (4) thereof) over 
     the sum of--
       ``(II) the amounts so appropriated which are equivalent 
     to--

       ``(aa) such amounts attributable to the core programs 
     financing rate for such year, plus
       ``(bb) the taxes described in paragraphs (3)(C), (4)(B), 
     and (5) of subsection (c), and
       ``(ii) allocate the amount determined under clause (i) 
     among the States (as defined in section 101(a) of title 23, 
     United States Code) for surface transportation (including 
     mass transit and rail) purposes so that--

       ``(I) the percentage of that amount allocated to each 
     State, is equal to
       ``(II) the percentage of the amount determined under clause 
     (i)(I) paid into the Highway Trust Fund in the latest fiscal 
     year for which such data are available which is attributable 
     to highway users in the State.

       ``(B) Enforcement.--If the Secretary determines that a 
     State has used amounts under subparagraph (A) for a purpose 
     which is not a surface transportation purpose as described in 
     subparagraph (A), the improperly used amounts shall be 
     deducted from any amount the State would otherwise receive 
     from the Highway Trust Fund for the fiscal year which begins 
     after the date of the determination.''.
       (b) Effective Date.--The amendment made by this section 
     takes effect on October 1, 2014.

     SEC. _07. REDUCTION IN TAXES ON GASOLINE, DIESEL FUEL, 
                   KEROSENE, AND SPECIAL FUELS FUNDING HIGHWAY 
                   TRUST FUND.

       (a) Reduction in Tax Rate.--
       (1) In general.--Section 4081(a)(2)(A) of the Internal 
     Revenue Code of 1986 is amended--
       (A) in clause (i), by striking ``18.3 cents'' and inserting 
     ``3.7 cents''; and
       (B) in clause (iii), by striking ``24.3 cents'' and 
     inserting ``5.0 cents''.
       (2) Conforming amendments.--
       (A) Section 4081(a)(2)(D) of such Code is amended--
       (i) by striking ``19.7 cents'' and inserting ``4.1 cents'', 
     and
       (ii) by striking ``24.3 cents'' and inserting ``5.0 
     cents''.
       (B) Section 6427(b)(2)(A) of such Code is amended by 
     striking ``7.4 cents'' and inserting ``1.5 cents''.
       (b) Additional Conforming Amendments.--
       (1) Section 4041(a)(1)(C)(iii)(I) of the Internal Revenue 
     Code of 1986 is amended by striking ``7.3 cents per gallon 
     (4.3 cents per gallon after September 30, 2016)'' and 
     inserting ``1.4 cents per gallon (zero after September 30, 
     2021)''.
       (2) Section 4041(a)(2)(B)(ii) of such Code is amended by 
     striking ``24.3 cents'' and inserting ``5.0 cents''.
       (3) Section 4041(a)(3)(A) of such Code is amended by 
     striking ``18.3 cents'' and inserting ``3.7 cents''.
       (4) Section 4041(m)(1) of such Code is amended--
       (A) in subparagraph (A), by striking ``2016'' and inserting 
     ``2021,'';
       (B) in subparagraph (A)(i), by striking ``9.15 cents'' and 
     inserting ``1.8 cents'';
       (C) in subparagraph (A)(ii), by striking ``11.3 cents'' and 
     inserting ``2.3 cents''; and
       (D) by striking subparagraph (B) and inserting the 
     following:
       ``(B) zero after September 30, 2021.''.
       (5) Section 4081(d)(1) of such Code is amended by striking 
     ``4.3 cents per gallon after September 30, 2016'' and 
     inserting ``zero after September 30, 2021''.
       (6) Section 9503(b) of such Code is amended--
       (A) in paragraphs (1) and (2), by striking ``October 1, 
     2016'' both places it appears and inserting ``October 1, 
     2021'';
       (B) in the heading of paragraph (2), by striking ``October 
     1, 2016'' and inserting ``October 1, 2021'';
       (C) in paragraph (2), by striking ``after September 30, 
     2016, and before July 1, 2017'' and inserting ``after 
     September 30, 2021, and before July 1, 2022''; and
       (D) in paragraph (6)(B), by striking ``October 1, 2014'' 
     and inserting ``October 1, 2019''.
       (c) Floor Stock Refunds.--
       (1) In general.--If--
       (A) before October 1, 2019, tax has been imposed under 
     section 4081 of the Internal Revenue Code of 1986 on any 
     liquid; and
       (B) on such date such liquid is held by a dealer and has 
     not been used and is intended for sale;

     there shall be credited or refunded (without interest) to the 
     person who paid such tax (in this subsection referred to as 
     the ``taxpayer'') an amount equal to the excess of the tax 
     paid by the taxpayer over the amount of such tax which would 
     be imposed on such liquid had the taxable event occurred on 
     such date.
       (2) Time for filing claims.--No credit or refund shall be 
     allowed or made under this subsection unless--
       (A) claim therefor is filed with the Secretary of the 
     Treasury before April 1, 2020; and
       (B) in any case where liquid is held by a dealer (other 
     than the taxpayer) on October 1, 2019--
       (i) the dealer submits a request for refund or credit to 
     the taxpayer before January 1, 2020; and
       (ii) the taxpayer has repaid or agreed to repay the amount 
     so claimed to such dealer or has obtained the written consent 
     of such dealer to the allowance of the credit or the making 
     of the refund.
       (3) Exception for fuel held in retail stocks.--No credit or 
     refund shall be allowed under this subsection with respect to 
     any liquid in retail stocks held at the place where intended 
     to be sold at retail.
       (4) Definitions.--For purposes of this subsection, the 
     terms ``dealer'' and ``held by a dealer'' have the respective 
     meanings given to such terms by section 6412 of such Code; 
     except that the term ``dealer'' includes a producer.

[[Page 5278]]

       (5) Certain rules to apply.--Rules similar to the rules of 
     subsections (b) and (c) of section 6412 and sections 6206 and 
     6675 of such Code shall apply for purposes of this 
     subsection.
       (d) Effective Dates.--
       (1) In general.--Except as provided in paragraph (2), the 
     amendments made by this section shall apply to fuel removed 
     after September 30, 2019.
       (2) Certain conforming amendments.--The amendments made by 
     subsections (b)(4) and (b)(6) shall apply to fuel removed 
     after September 30, 2016.

     SEC. _08. REPORT TO CONGRESS.

       Not later than 180 days after the date of enactment of this 
     Act, after consultation with the appropriate committees of 
     Congress, the Secretary of Transportation shall submit a 
     report to Congress describing such technical and conforming 
     amendments to titles 23 and 49, United States Code, and such 
     technical and conforming amendments to other laws, as are 
     necessary to bring those titles and other laws into 
     conformity with the policy embodied in this title and the 
     amendments made by this title.

     SEC. _09. EFFECTIVE DATE CONTINGENT ON CERTIFICATION OF 
                   DEFICIT NEUTRALITY.

       (a) Purpose.--The purpose of this section is to ensure 
     that--
       (1) this title will become effective only if the Director 
     of the Office of Management and Budget certifies that this 
     title is deficit neutral;
       (2) discretionary spending limits are reduced to capture 
     the savings realized in devolving transportation functions to 
     the State level pursuant to this title; and
       (3) the tax reduction made by this title is not scored 
     under pay-as-you-go and does not inadvertently trigger a 
     sequestration.
       (b) Effective Date Contingency.--Notwithstanding any other 
     provision of this title, this title and the amendments made 
     by this title shall take effect only if--
       (1) the Director of the Office of Management and Budget 
     (referred to in this section as the ``Director'') submits the 
     report as required in subsection (c); and
       (2) the report contains a certification by the Director 
     that, based on the required estimates, the reduction in 
     discretionary outlays resulting from the reduction in 
     contract authority is at least as great as the reduction in 
     revenues for each fiscal year through fiscal year 2019.
       (c) OMB Estimates and Report.--
       (1) Requirements.--Not later than 5 calendar days after the 
     date of enactment of this Act, the Director shall--
       (A) estimate the net change in revenues resulting from this 
     title for each fiscal year through fiscal year 2019;
       (B) estimate the net change in discretionary outlays 
     resulting from the reduction in contract authority under this 
     title for each fiscal year through fiscal year 2019;
       (C) determine, based on those estimates, whether the 
     reduction in discretionary outlays is at least as great as 
     the reduction in revenues for each fiscal year through fiscal 
     year 2019; and
       (D) submit to Congress a report setting forth the estimates 
     and determination.
       (2) Applicable assumptions and guidelines.--
       (A) Revenue estimates.--The revenue estimates required 
     under paragraph (1)(A) shall be predicated on the same 
     economic and technical assumptions and score keeping 
     guidelines that would be used for estimates made pursuant to 
     section 252(d) of the Balanced Budget and Emergency Deficit 
     Control Act of 1985 (2 U.S.C. 902(d)).
       (B) Outlay estimates.--The outlay estimates required under 
     paragraph (1)(B) shall be determined by comparing the level 
     of discretionary outlays resulting from this title with the 
     corresponding level of discretionary outlays projected in the 
     baseline under section 257 of the Balanced Budget and 
     Emergency Deficit Control Act of 1985 (2 U.S.C. 907).
       (d) Conforming Adjustment to Discretionary Spending 
     Limits.--On compliance with the requirements specified in 
     subsection (b), the Director shall adjust the adjusted 
     discretionary spending limits for each fiscal year through 
     fiscal year 2019 under section 601(a)(2) of the Congressional 
     Budget Act of 1974 (2 U.S.C. 665(a)(2)) by the estimated 
     reductions in discretionary outlays under subsection 
     (c)(1)(B).
       (e) PAYGO Interaction.--On compliance with the requirements 
     specified in subsection (b), no changes in revenues estimated 
     to result from the enactment of this Act shall be counted for 
     the purposes of section 252(d) of the Balanced Budget and 
     Emergency Deficit Control Act of 1985 (2 U.S.C. 902(d)).
                                 ______
                                 
  SA 2926. Mr. COATS submitted an amendment intended to be proposed to 
amendment SA 2874 proposed by Mr. Reid (for Mr. Reed (for himself, Mr. 
Heller, Mr. Merkley, Ms. Collins, Mr. Booker, Mr. Portman, Mr. Brown, 
Ms. Murkowski, Mr. Durbin, and Mr. Kirk)) to the bill H.R. 3979, to 
amend the Internal Revenue Code of 1986 to ensure that emergency 
services volunteers are not taken into account as employees under the 
shared responsibility requirements contained in the Patient Protection 
and Affordable Care Act; which was ordered to lie on the table; as 
follows:

       On page 16 of the amendment, strike line 15 and all that 
     follows through page 18, line 19, and insert the following:

     SEC. 10. 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.

[[Page 5279]]

       ``(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 to benefits payable for months beginning 
     on or after the date that is 12 months after the date of 
     enactment of this section.
                                 ______
                                 
  SA 2927. Mr. PAUL submitted an amendment intended to be proposed by 
him to the bill H.R. 3979, to amend the Internal Revenue Code of 1986 
to ensure that emergency services volunteers are not taken into account 
as employees under the shared responsibility requirements contained in 
the Patient Protection and Affordable Care Act; which was ordered to 
lie on the table; as follows:

       At the end, add the following:

                          TITLE II--REINS ACT

     SECTION 201. SHORT TITLE.

       This Act may be cited as the ``Regulations From the 
     Executive in Need of Scrutiny Act of 2014'' or the ``REINS 
     Act''.

     SEC. 202. FINDINGS AND PURPOSE.

       (a) Findings.--Congress finds the following:
       (1) Section 1 of article I of the United States 
     Constitution grants all legislative powers to Congress.
       (2) Over time, Congress has excessively delegated its 
     constitutional charge while failing to conduct appropriate 
     oversight and retain accountability for the content of the 
     laws it passes.
       (3) By requiring a vote in Congress, the REINS Act will 
     result in more carefully drafted and detailed legislation, an 
     improved regulatory process, and a legislative branch that is 
     truly accountable to the people of the United States for the 
     laws imposed upon them.
       (b) Purpose.--The purpose of this title is to increase 
     accountability for and transparency in the Federal regulatory 
     process.

     SEC. 203. CONGRESSIONAL REVIEW OF AGENCY RULEMAKING.

       Chapter 8 of title 5, United States Code, is amended to 
     read as follows:

         ``CHAPTER 8--CONGRESSIONAL REVIEW OF AGENCY RULEMAKING

``Sec.
``801. Congressional review.
``802. Congressional approval procedure for major rules.
``803. Congressional disapproval procedure for nonmajor rules.
``804. Definitions.
``805. Judicial review.
``806. Exemption for monetary policy.
``807. Effective date of certain rules.

     ``Sec. 801. Congressional review

       ``(a)(1)(A) Before a rule may take effect, the Federal 
     agency promulgating such rule shall submit to each House of 
     Congress and to the Comptroller General a report containing--
       ``(i) a copy of the rule;
       ``(ii) a concise general statement relating to the rule;
       ``(iii) a classification of the rule as a major or nonmajor 
     rule, including an explanation of the classification 
     specifically addressing each criteria for a major rule 
     contained within sections 804(2)(A), 804(2)(B), and 
     804(2)(C);
       ``(iv) a list of any other related regulatory actions 
     intended to implement the same statutory provision or 
     regulatory objective as well as the individual and aggregate 
     economic effects of those actions; and
       ``(v) the proposed effective date of the rule.
       ``(B) On the date of the submission of the report under 
     subparagraph (A), the Federal agency promulgating the rule 
     shall submit to the Comptroller General and make available to 
     each House of Congress--
       ``(i) a complete copy of the cost-benefit analysis of the 
     rule, if any;
       ``(ii) the actions of the agency pursuant to sections 603, 
     604, 605, 607, and 609 of title 5, United States Code;
       ``(iii) the actions of the agency pursuant to sections 
     1532, 1533, 1534, and 1535 of title 2, United States Code; 
     and
       ``(iv) any other relevant information or requirements under 
     any other Act and any relevant Executive orders.
       ``(C) Upon receipt of a report submitted under subparagraph 
     (A), each House shall provide copies of the report to the 
     chairman and ranking member of each standing committee with 
     jurisdiction under the rules of the House of Representatives 
     or the Senate to report a bill to amend the provision of law 
     under which the rule is issued.
       ``(2)(A) The Comptroller General shall provide a report on 
     each major rule to the committees of jurisdiction by the end 
     of 15 calendar days after the submission or publication date 
     as provided in section 802(b)(2). The report of the 
     Comptroller General shall include an assessment of compliance 
     by the agency with procedural steps required by paragraph 
     (1)(B).
       ``(B) Federal agencies shall cooperate with the Comptroller 
     General by providing information relevant to the Comptroller 
     General's report under subparagraph (A).
       ``(3) A major rule relating to a report submitted under 
     paragraph (1) shall take effect upon enactment of a joint 
     resolution of approval described in section 802 or as 
     provided for in the rule following enactment of a joint 
     resolution of approval described in section 802, whichever is 
     later.
       ``(4) A nonmajor rule shall take effect as provided by 
     section 803 after submission to Congress under paragraph (1).
       ``(5) If a joint resolution of approval relating to a major 
     rule is not enacted within the period provided in subsection 
     (b)(2), then a joint resolution of approval relating to the 
     same rule may not be considered under this chapter in the 
     same Congress by either the House of Representatives or the 
     Senate.
       ``(b)(1) A major rule shall not take effect unless the 
     Congress enacts a joint resolution of approval described 
     under section 802.
       ``(2) If a joint resolution described in subsection (a) is 
     not enacted into law by the end of 70 session days or 
     legislative days, as applicable, beginning on the date on 
     which the report referred to in section 801(a)(1)(A) is 
     received by Congress (excluding days either House of Congress 
     is adjourned for more than 3 days during a session of 
     Congress), then the rule described in that resolution shall 
     be deemed not to be approved and such rule shall not take 
     effect.
       ``(c)(1) Notwithstanding any other provision of this 
     section (except subject to paragraph (3)), a major rule may 
     take effect for one 90-calendar-day period if the President 
     makes a determination under paragraph (2) and submits written 
     notice of such determination to the Congress.
       ``(2) Paragraph (1) applies to a determination made by the 
     President by Executive order that the major rule should take 
     effect because such rule is--
       ``(A) necessary because of an imminent threat to health or 
     safety or other emergency;
       ``(B) necessary for the enforcement of criminal laws;
       ``(C) necessary for national security; or
       ``(D) issued pursuant to any statute implementing an 
     international trade agreement.
       ``(3) An exercise by the President of the authority under 
     this subsection shall have no effect on the procedures under 
     section 802.
       ``(d)(1) In addition to the opportunity for review 
     otherwise provided under this chapter, sections 802 and 803 
     shall apply, in the succeeding session of Congress, to any 
     rule for which a report was submitted in accordance with 
     subsection (a)(1)(A) during the period beginning on the date 
     occurring--
       ``(A) in the case of the Senate, 60 session days before the 
     date the Congress is scheduled to adjourn a session of 
     Congress through the date on which the same or succeeding 
     Congress first convenes its next session; or
       ``(B) in the case of the House of Representatives, 60 
     legislative days before the date the Congress is scheduled to 
     adjourn a session of Congress through the date on which the 
     same or succeeding Congress first convenes its next session.
       ``(2)(A) In applying sections 802 and 803 for purposes of 
     such additional review, a rule described under paragraph (1) 
     shall be treated as though--
       ``(i) such rule were published in the Federal Register on--
       ``(I) in the case of the Senate, the 15th session day after 
     the succeeding session of Congress first convenes; or
       ``(II) in the case of the House of Representatives, the 
     15th legislative day after the succeeding session of Congress 
     first convenes; and
       ``(ii) a report on such rule were submitted to Congress 
     under subsection (a)(1) on such date.
       ``(B) Nothing in this paragraph shall be construed to 
     affect the requirement under subsection (a)(1) that a report 
     shall be submitted to Congress before a rule can take effect.
       ``(3) A rule described under paragraph (1) shall take 
     effect as otherwise provided by law (including other 
     subsections of this section).

     ``Sec. 802. Congressional approval procedure for major rules

       ``(a)(1) For purposes of this section, the term `joint 
     resolution' means only a joint resolution addressing a report 
     classifying a rule as major pursuant to section 
     801(a)(1)(A)(iii) that--
       ``(A) bears no preamble;
       ``(B) bears the following title: `Approving the rule 
     submitted by ___ relating to ___.' (The blank spaces being 
     appropriately filled in);
       ``(C) includes after its resolving clause only the 
     following: `That Congress approves the rule submitted by ___ 
     relating to ___.' (The blank spaces being appropriately 
     filled in); and
       ``(D) is introduced pursuant to paragraph (2).
       ``(2) After a House of Congress receives a report 
     classifying a rule as major pursuant

[[Page 5280]]

     to section 801(a)(1)(A)(iii), the majority leader of that 
     House (or the designee of the majority leader) shall 
     introduce (by request, if appropriate) a joint resolution 
     described in paragraph (1)--
       ``(A) in the case of the House of Representatives, within 3 
     legislative days; and
       ``(B) in the case of the Senate, within 3 session days.
       ``(3) A joint resolution described in paragraph (1) shall 
     not be subject to amendment at any stage of proceeding.
       ``(b) A joint resolution described in subsection (a) shall 
     be referred in each House of Congress to the committees 
     having jurisdiction over the provision of law under which the 
     rule is issued.
       ``(c) In the Senate, if the committee or committees to 
     which a joint resolution described in subsection (a) has been 
     referred have not reported it at the end of 15 session days 
     after its introduction, such committee or committees shall be 
     automatically discharged from further consideration of the 
     resolution and it shall be placed on the calendar. A vote on 
     final passage of the resolution shall be taken on or before 
     the close of the 15th session day after the resolution is 
     reported by the committee or committees to which it was 
     referred, or after such committee or committees have been 
     discharged from further consideration of the resolution.
       ``(d)(1) In the Senate, when the committee or committees to 
     which a joint resolution is referred have reported, or when a 
     committee or committees are discharged (under subsection (c)) 
     from further consideration of a joint resolution described in 
     subsection (a), it is at any time thereafter in order (even 
     though a previous motion to the same effect has been 
     disagreed to) for a motion to proceed to the consideration of 
     the joint resolution, and all points of order against the 
     joint resolution (and against consideration of the joint 
     resolution) are waived. The motion is not subject to 
     amendment, or to a motion to postpone, or to a motion to 
     proceed to the consideration of other business. A motion to 
     reconsider the vote by which the motion is agreed to or 
     disagreed to shall not be in order. If a motion to proceed to 
     the consideration of the joint resolution is agreed to, the 
     joint resolution shall remain the unfinished business of the 
     Senate until disposed of.
       ``(2) In the Senate, debate on the joint resolution, and on 
     all debatable motions and appeals in connection therewith, 
     shall be limited to not more than 2 hours, which shall be 
     divided equally between those favoring and those opposing the 
     joint resolution. A motion to further limit debate is in 
     order and not debatable. An amendment to, or a motion to 
     postpone, or a motion to proceed to the consideration of 
     other business, or a motion to recommit the joint resolution 
     is not in order.
       ``(3) In the Senate, immediately following the conclusion 
     of the debate on a joint resolution described in subsection 
     (a), and a single quorum call at the conclusion of the debate 
     if requested in accordance with the rules of the Senate, the 
     vote on final passage of the joint resolution shall occur.
       ``(4) Appeals from the decisions of the Chair relating to 
     the application of the rules of the Senate to the procedure 
     relating to a joint resolution described in subsection (a) 
     shall be decided without debate.
       ``(e) In the House of Representatives, if the committee or 
     committees to which a joint resolution described in 
     subsection (a) has been referred has not reported it to the 
     House at the end of 15 legislative days after its 
     introduction, such committee or committees shall be 
     discharged from further consideration of the joint 
     resolution, and it shall be placed on the appropriate 
     calendar. On the second and fourth Thursdays of each month it 
     shall be in order at any time for the Speaker to recognize a 
     Member who favors passage of a joint resolution that has 
     appeared on the calendar for not fewer than 5 legislative 
     days to call up the joint resolution for immediate 
     consideration in the House without intervention of any point 
     of order. When so called up, a joint resolution shall be 
     considered as read and shall be debatable for 1 hour equally 
     divided and controlled by the proponent and an opponent, and 
     the previous question shall be considered as ordered to its 
     passage without intervening motion. It shall not be in order 
     to reconsider the vote on passage. If a vote on final passage 
     of the joint resolution has not been taken by the third 
     Thursday on which the Speaker may recognize a Member under 
     this subsection, such vote shall be taken on that day.
       ``(f)(1) For purposes of this subsection, the term 
     `identical joint resolution' means a joint resolution of the 
     first House that proposes to approve the same major rule as a 
     joint resolution of the second House.
       ``(2) If the second House receives from the first House a 
     joint resolution, the Chair shall determine whether the joint 
     resolution is an identical joint resolution.
       ``(3) If the second House receives an identical joint 
     resolution--
       ``(A) the identical joint resolution shall not be referred 
     to a committee; and
       ``(B) the procedure in the second House shall be the same 
     as if no joint resolution had been received from the first 
     house, except that the vote on final passage shall be on the 
     identical joint resolution.
       ``(4) This subsection shall not apply to the House of 
     Representatives if the joint resolution received from the 
     Senate is a revenue measure.
       ``(g) If either House has not taken a vote on final passage 
     of the joint resolution by the last day of the period 
     described in section 801(b)(2), then such vote shall be taken 
     on that day.
       ``(h) This section and section 803 are enacted by 
     Congress--
       ``(1) as an exercise of the rulemaking power of the Senate 
     and House of Representatives, respectively, and as such is 
     deemed to be part of the rules of each House, respectively, 
     but applicable only with respect to the procedure to be 
     followed in that House in the case of a joint resolution 
     described in subsection (a) and superseding other rules only 
     where explicitly so; and
       ``(2) with full recognition of the constitutional right of 
     either House to change the rules (so far as they relate to 
     the procedure of that House) at any time, in the same manner 
     and to the same extent as in the case of any other rule of 
     that House.

     ``Sec. 803. Congressional disapproval procedure for nonmajor 
       rules

       ``(a) For purposes of this section, the term `joint 
     resolution' means only a joint resolution introduced in the 
     period beginning on the date on which the report referred to 
     in section 801(a)(1)(A) is received by Congress and ending 60 
     days thereafter (excluding days either House of Congress is 
     adjourned for more than 3 days during a session of Congress), 
     the matter after the resolving clause of which is as follows: 
     `That Congress disapproves the nonmajor rule submitted by the 
     ___ relating to ___, and such rule shall have no force or 
     effect.' (The blank spaces being appropriately filled in).
       ``(b)(1) A joint resolution described in subsection (a) 
     shall be referred to the committees in each House of Congress 
     with jurisdiction.
       ``(2) For purposes of this section, the term `submission or 
     publication date' means the later of the date on which--
       ``(A) the Congress receives the report submitted under 
     section 801(a)(1); or
       ``(B) the nonmajor rule is published in the Federal 
     Register, if so published.
       ``(c) In the Senate, if the committee to which is referred 
     a joint resolution described in subsection (a) has not 
     reported such joint resolution (or an identical joint 
     resolution) at the end of 15 session days after the date of 
     introduction of the joint resolution, such committee may be 
     discharged from further consideration of such joint 
     resolution upon a petition supported in writing by 30 Members 
     of the Senate, and such joint resolution shall be placed on 
     the calendar.
       ``(d)(1) In the Senate, when the committee to which a joint 
     resolution is referred has reported, or when a committee is 
     discharged (under subsection (c)) from further consideration 
     of a joint resolution described in subsection (a), it is at 
     any time thereafter in order (even though a previous motion 
     to the same effect has been disagreed to) for a motion to 
     proceed to the consideration of the joint resolution, and all 
     points of order against the joint resolution (and against 
     consideration of the joint resolution) are waived. The motion 
     is not subject to amendment, or to a motion to postpone, or 
     to a motion to proceed to the consideration of other 
     business. A motion to reconsider the vote by which the motion 
     is agreed to or disagreed to shall not be in order. If a 
     motion to proceed to the consideration of the joint 
     resolution is agreed to, the joint resolution shall remain 
     the unfinished business of the Senate until disposed of.
       ``(2) In the Senate, debate on the joint resolution, and on 
     all debatable motions and appeals in connection therewith, 
     shall be limited to not more than 10 hours, which shall be 
     divided equally between those favoring and those opposing the 
     joint resolution. A motion to further limit debate is in 
     order and not debatable. An amendment to, or a motion to 
     postpone, or a motion to proceed to the consideration of 
     other business, or a motion to recommit the joint resolution 
     is not in order.
       ``(3) In the Senate, immediately following the conclusion 
     of the debate on a joint resolution described in subsection 
     (a), and a single quorum call at the conclusion of the debate 
     if requested in accordance with the rules of the Senate, the 
     vote on final passage of the joint resolution shall occur.
       ``(4) Appeals from the decisions of the Chair relating to 
     the application of the rules of the Senate to the procedure 
     relating to a joint resolution described in subsection (a) 
     shall be decided without debate.
       ``(e) In the Senate the procedure specified in subsection 
     (c) or (d) shall not apply to the consideration of a joint 
     resolution respecting a nonmajor rule--
       ``(1) after the expiration of the 60 session days beginning 
     with the applicable submission or publication date, or
       ``(2) if the report under section 801(a)(1)(A) was 
     submitted during the period referred to in section 801(d)(1), 
     after the expiration of the 60 session days beginning on the 
     15th session day after the succeeding session of Congress 
     first convenes.
       ``(f) If, before the passage by one House of a joint 
     resolution of that House described in subsection (a), that 
     House receives from the

[[Page 5281]]

     other House a joint resolution described in subsection (a), 
     then the following procedures shall apply:
       ``(1) The joint resolution of the other House shall not be 
     referred to a committee.
       ``(2) With respect to a joint resolution described in 
     subsection (a) of the House receiving the joint resolution--
       ``(A) the procedure in that House shall be the same as if 
     no joint resolution had been received from the other House; 
     but
       ``(B) the vote on final passage shall be on the joint 
     resolution of the other House.

     ``Sec. 804. Definitions

       ``For purposes of this chapter--
       ``(1) the term `Federal agency' means any agency as that 
     term is defined in section 551(1);
       ``(2) the term `major rule' means any rule, including an 
     interim final rule, that the Administrator of the Office of 
     Information and Regulatory Affairs of the Office of 
     Management and Budget finds has resulted in or is likely to 
     result in--
       ``(A) an annual effect on the economy of $100,000,000 or 
     more;
       ``(B) a major increase in costs or prices for consumers, 
     individual industries, Federal, State, or local government 
     agencies, or geographic regions; or
       ``(C) significant adverse effects on competition, 
     employment, investment, productivity, innovation, or on the 
     ability of United States-based enterprises to compete with 
     foreign-based enterprises in domestic and export markets;
       ``(3) the term `nonmajor rule' means any rule that is not a 
     major rule; and
       ``(4) the term `rule' has the meaning given such term in 
     section 551, except that such term does not include--
       ``(A) any rule of particular applicability, including a 
     rule that approves or prescribes for the future rates, wages, 
     prices, services, or allowances therefore, corporate or 
     financial structures, reorganizations, mergers, or 
     acquisitions thereof, or accounting practices or disclosures 
     bearing on any of the foregoing;
       ``(B) any rule relating to agency management or personnel; 
     or
       ``(C) any rule of agency organization, procedure, or 
     practice that does not substantially affect the rights or 
     obligations of non-agency parties.

     ``Sec. 805. Judicial review

       ``(a) No determination, finding, action, or omission under 
     this chapter shall be subject to judicial review.
       ``(b) Notwithstanding subsection (a), a court may determine 
     whether a Federal agency has completed the necessary 
     requirements under this chapter for a rule to take effect.
       ``(c) The enactment of a joint resolution of approval under 
     section 802 shall not--
       ``(1) be interpreted to serve as a grant or modification of 
     statutory authority by Congress for the promulgation of a 
     rule;
       ``(2) extinguish or affect any claim, whether substantive 
     or procedural, against any alleged defect in a rule; and
       ``(3) form part of the record before the court in any 
     judicial proceeding concerning a rule except for purposes of 
     determining whether or not the rule is in effect.

     ``Sec. 806. Exemption for monetary policy

       ``Nothing in this chapter shall apply to rules that concern 
     monetary policy proposed or implemented by the Board of 
     Governors of the Federal Reserve System or the Federal Open 
     Market Committee.

     ``Sec. 807. Effective date of certain rules

       ``Notwithstanding section 801--
       ``(1) any rule that establishes, modifies, opens, closes, 
     or conducts a regulatory program for a commercial, 
     recreational, or subsistence activity related to hunting, 
     fishing, or camping; or
       ``(2) any rule other than a major rule which an agency for 
     good cause finds (and incorporates the finding and a brief 
     statement of reasons therefore in the rule issued) that 
     notice and public procedure thereon are impracticable, 
     unnecessary, or contrary to the public interest,
     shall take effect at such time as the Federal agency 
     promulgating the rule determines.''.

     SEC. 204. BUDGETARY EFFECTS OF RULES SUBJECT TO SECTION 802 
                   OF TITLE 5, UNITED STATES CODE.

       Section 257(b)(2) of the Balanced Budget and Emergency 
     Deficit Control Act of 1985 (2 U.S.C. 907(b)(2)) is amended 
     by adding at the end the following:
       ``(E) Any rules subject to the congressional approval 
     procedure set forth in section 802 of chapter 8 of title 5, 
     United States Code, affecting budget authority, outlays, or 
     receipts shall be assumed to be effective unless it is not 
     approved in accordance with such section.''.
                                 ______
                                 
  SA 2928. Mr. BURR (for himself and Mr. Coburn) submitted an amendment 
intended to be proposed by him to the bill H.R. 3979, to amend the 
Internal Revenue Code of 1986 to ensure that emergency services 
volunteers are not taken into account as employees under the shared 
responsibility requirements contained in the Patient Protection and 
Affordable Care Act; which was ordered to lie on the table; as follows:

       At the appropriate place, insert the following:

     SEC. ____. ADDITIONAL REQUIREMENTS FOR RECEIPT OF EXTENDED 
                   UNEMPLOYMENT BENEFITS.

       (a) Short Title.--This section may be cited as the 
     ``Extended Unemployment Benefits Reform Act of 2014''.
       (b) Findings.--Congress makes the following findings:
       (1) The Founding Fathers of this Nation held the value and 
     virtue of work to be an integral part of the American spirit 
     of freedom and unity.
       (2) Honest work of an individual's choice, whether paid or 
     unpaid, benefits both the individual and society as a whole.
       (3) The betterment of communities through public service 
     should be encouraged by the Federal Government.
       (4) After the first months of eligibility for unemployment 
     benefits, involvement by an individual in public service will 
     not infringe on such individual's readiness to work or their 
     ability to search for employment.
       (c) Additional Requirements for Receipt of Extended 
     Unemployment Benefits.--
       (1) In general.--Section 3304 of the Internal Revenue Code 
     of 1986 is amended--
       (A) in subsection (a)--
       (i) in paragraph (18), by striking ``and'' at the end;
       (ii) by redesignating paragraph (19) as paragraph (20); and
       (iii) by inserting after paragraph (18) the following new 
     paragraph:
       ``(19) extended compensation, including any such 
     compensation under a temporary program, shall not be payable 
     to an individual for any week in which such individual does 
     not--
       ``(A) perform at least 20 hours of public service (as 
     described in subsection (g)); and
       ``(B) engage in at least 20 hours of active job searching 
     (as described in subsection (h)); and''; and
       (2) by adding at the end the following new subsections:
       ``(g) Public Service.--
       ``(1) In general.--For purposes of subsection (a)(19)(A), 
     the term `public service' means unpaid service by an 
     individual to an organization described in section 501(c)(3), 
     or a Federal, State, or local agency (as permitted in 
     accordance with applicable Federal, State, and local law), 
     with tangible evidence to be provided to the State agency by 
     the individual on a weekly basis demonstrating that the 
     individual has performed such service during the previous 
     week.
       ``(2) Exceptions.--For purposes of the public service 
     requirement under subsection (a)(19)(A), an individual shall 
     be deemed to have satisfied such requirement for that week if 
     the individual--
       ``(A) provides tangible evidence to the State agency 
     demonstrating that such individual was unable to perform the 
     required public service for that week due to an illness or 
     family emergency;
       ``(B) is a parent of a qualifying child (as defined in 
     section 152(c)) and provides tangible evidence to the State 
     agency demonstrating an inability to perform the required 
     number of hours of public service due to responsibility for 
     child care;
       ``(C) provides tangible evidence to the State agency 
     demonstrating an inability to perform the required number of 
     hours of public service due to a lack of available 
     transportation, telephone, or internet services; or
       ``(D) provides tangible evidence of a bona fide attempt to 
     perform public service and, pursuant to such criteria as is 
     determined appropriate by the State agency, is determined to 
     be unable to perform such service due to a lack of available 
     public service opportunities in the area in which the 
     individual resides.
       ``(3) Performance of work activities.--
       ``(A) In general.--Subject to subparagraph (B), the total 
     number of hours of public service required under subsection 
     (a)(19)(A) shall be reduced by 1 hour for each hour during 
     that week that an individual performs work activities.
       ``(B) Minimum public service requirement.--For purposes of 
     subparagraph (A), any reduction in the total number of hours 
     of public service required under subsection (a)(19)(A) based 
     upon performance of work activities shall not be greater than 
     15 hours for each week.
       ``(C) Definition of work activities.--For purposes of this 
     paragraph, the term `work activities' has the same meaning as 
     provided under subsection (d) of section 407 of the Social 
     Security Act (42 U.S.C. 607), except that such activities 
     shall not include job searching, as described in paragraph 
     (6) of such subsection.
       ``(h) Active Search for Employment.--
       ``(1) In general.--For purposes of subsection (a)(19)(B), 
     the term `active job searching' means an active and ongoing 
     search for employment by an individual, with tangible 
     evidence of such search to be provided to the State agency by 
     the individual on a weekly basis, which shall include a 
     record of potential employers contacted by the individual 
     (including relevant contact information for such employers) 
     and such other information as determined appropriate by the 
     State agency.
       ``(2) Alternative job search requirements.--The State 
     agency may reduce the total number of hours of active job 
     searching

[[Page 5282]]

     required under subparagraph (A) of subsection (a)(19) and 
     provide alternative job search requirements for an individual 
     who has met the requirements under subparagraphs (A) and (B) 
     of such subsection for a period of not less than 12 weeks.''.
       (3) Effective date.--
       (A) In general.--Except as provided in subparagraph (B), 
     the amendments made by this section shall take effect on July 
     1, 2014.
       (B) Delay permitted if state legislation required.--In the 
     case of a State which the Secretary of Labor determines 
     requires State legislation (other than legislation 
     appropriating funds) in order for the State law to meet the 
     additional requirements imposed by the amendments made by 
     this section, the State law shall not be regarded as failing 
     to comply with the requirements of such section 3304(a)(19) 
     of the Internal Revenue Code of 1986, as added by such 
     amendments, solely on the basis of the failure of the State 
     law to meet such additional requirements before the 1st day 
     of the 1st calendar quarter beginning after the close of the 
     1st regular session of the State legislature that begins 
     after the date of enactment of this Act. For purposes of the 
     previous sentence, in the case of a State that has a 2-year 
     legislative session, each year of such session shall be 
     deemed to be a separate regular session of the State 
     legislature.
                                 ______
                                 
  SA 2929. Mr. INHOFE submitted an amendment intended to be proposed by 
him to the bill H.R. 3979, to amend the Internal Revenue Code of 1986 
to ensure that emergency services volunteers are not taken into account 
as employees under the shared responsibility requirements contained in 
the Patient Protection and Affordable Care Act; which was ordered to 
lie on the table; as follows:

       At the end of the amendment, add the following:

     SEC. ___. COMMERCIAL DRIVERS LICENSE SKILLS TESTING REPORT.

       (a) Study.--
       (1) In general.--The Comptroller General of the United 
     States shall conduct a study to determine--
       (A) the Commercial Drivers License (referred to in this 
     section as ``CDL'') skills testing procedures used by each 
     State;
       (B) whether States using the procedures described in 
     paragraph (2)(A) have reduced testing wait times, on average, 
     compared to the procedures described in subparagraphs (B) and 
     (C) of paragraph (2);
       (C) for each of the 3 CDL skills testing procedures 
     described in paragraph (2)--
       (i) the average time between a CDL applicant's request for 
     a CDL skills test and such test in States using such 
     procedure;
       (ii) the failure rate of CDL applicants in States using 
     such procedure; and
       (iii) the average time between a CDL applicant's request to 
     retake a CDL skills test and such test; and
       (D) the total economic impact of CDL skills testing delays.
       (2) Skills testing procedures.--The procedures described in 
     this paragraph are--
       (A) third party testing, using nongovernmental contractors 
     to proctor CDL skills tests on behalf of the State;
       (B) modified third party testing, administering CDL skills 
     tests at State testing facilities, community colleges, or a 
     limited number of third parties; and
       (C) State testing, administering CDL skills tests only at 
     State-owned facilities.
       (b) Report.--Not later than 180 days after the date of 
     enactment of this Act, the Comptroller General shall submit a 
     report to Congress that contains the results of the study 
     conducted pursuant to subsection (a).

     SEC. ___. WAIVER OF NONCONFLICTING REGULATIONS FOR 
                   INFRASTRUCTURE PROJECTS.

       (a) Definitions.--In this section:
       (1) Infrastructure project.--
       (A) In general.--The term ``infrastructure project'' means 
     any physical systems project carried out in the United 
     States, such as a project relating to transportation, 
     communications, sewage, or water.
       (B) Inclusion.--The term ``infrastructure project'' 
     includes a project for energy infrastructure.
       (2) Nonconflicting regulation.--The term ``nonconflicting 
     regulation'' means a Federal regulation applicable to an 
     infrastructure project, the waiver of which would not 
     conflict with any provision of Federal or State law, as 
     determined by the Secretary concerned.
       (3) Secretary concerned.--
       (A) In general.--The term ``Secretary concerned'' means the 
     head of a Federal department or agency with jurisdiction over 
     a nonconflicting regulation.
       (B) Inclusions.--The term ``Secretary concerned'' 
     includes--
       (i) the Administrator of the Environmental Protection 
     Agency, with respect to nonconflicting regulations of the 
     Environmental Protection Agency; and
       (ii) the Secretary of the Army, acting through the Chief of 
     Engineers, with respect to nonconflicting regulations of the 
     Corps of Engineers.
       (b) Action by Secretary Concerned.--
       (1) In general.--Subject to paragraph (3), on receipt of a 
     request of the Governor of a State in which an infrastructure 
     project is conducted, the Secretary concerned shall waive any 
     nonconflicting regulation applicable to the infrastructure 
     project that, as determined by the Secretary concerned, in 
     consultation with the Governor, impedes or could impede the 
     progress of the infrastructure project.
       (2) Deadline for waiver.--The Secretary concerned shall 
     waive a nonconflicting regulation by not later than 90 days 
     after the date of receipt of a request under paragraph (1).
       (3) Exception.--The Secretary concerned shall provide a 
     waiver under this subsection with respect to a nonconflicting 
     regulation unless the Secretary concerned provides to the 
     applicable Governor, by not later than the date described in 
     paragraph (2), a written notice that the nonconflicting 
     regulation is necessary due to a specific, direct, and 
     quantifiable concern for safety or the environment.

     SEC. ___. STATE CONTROL OF ENERGY DEVELOPMENT AND PRODUCTION 
                   ON ALL AVAILABLE FEDERAL LAND.

       (a) Definitions.--In this section:
       (1) Available federal land.--The term ``available Federal 
     land'' means any Federal land that, as of May 31, 2013--
       (A) is located within the boundaries of a State;
       (B) is not held by the United States in trust for the 
     benefit of a federally recognized Indian tribe;
       (C) is not a unit of the National Park System;
       (D) is not a unit of the National Wildlife Refuge System; 
     and
       (E) is not a Congressionally designated wilderness area.
       (2) Secretary.--The term ``Secretary'' means the Secretary 
     of the Interior.
       (3) State.--The term ``State'' means--
       (A) a State; and
       (B) the District of Columbia.
       (b) State Programs.--
       (1) In general.--A State--
       (A) may establish a program covering the leasing and 
     permitting processes, regulatory requirements, and any other 
     provisions by which the State would exercise its rights to 
     develop all forms of energy resources on available Federal 
     land in the State; and
       (B) as a condition of certification under subsection (c)(2) 
     shall submit a declaration to the Departments of the 
     Interior, Agriculture, and Energy that a program under 
     subparagraph (A) has been established or amended.
       (2) Amendment of programs.--A State may amend a program 
     developed and certified under this section at any time.
       (3) Certification of amended programs.--Any program amended 
     under paragraph (2) shall be certified under subsection 
     (c)(2).
       (c) Leasing, Permitting, and Regulatory Programs.--
       (1) Satisfaction of federal requirements.--Each program 
     certified under this section shall be considered to satisfy 
     all applicable requirements of Federal law (including 
     regulations), including--
       (A) the National Environmental Policy Act of 1969 (42 
     U.S.C. 4321 et seq.);
       (B) the Endangered Species Act of 1973 (16 U.S.C. 1531 et 
     seq.); and
       (C) the National Historic Preservation Act (16 U.S.C. 470 
     et seq.).
       (2) Federal certification and transfer of development 
     rights.--Upon submission of a declaration by a State under 
     subsection (b)(1)(B)(i)--
       (A) the program under subsection (b)(1)(A) shall be 
     certified; and
       (B) the State shall receive all rights from the Federal 
     Government to develop all forms of energy resources covered 
     by the program.
       (3) Issuance of permits and leases.--If a State elects to 
     issue a permit or lease for the development of any form of 
     energy resource on any available Federal land within the 
     borders of the State in accordance with a program certified 
     under paragraph (2), the permit or lease shall be considered 
     to meet all applicable requirements of Federal law (including 
     regulations).
       (d) Judicial Review.--Activities carried out in accordance 
     with this Act shall not be subject to judicial review.
       (e) Administrative Procedure Act.--Activities carried out 
     in accordance with this Act shall not be subject to 
     subchapter II of chapter 5, and chapter 7, of title 5, United 
     States Code (commonly known as the ``Administrative Procedure 
     Act'').

     SEC. ___. FRACTURING REGULATIONS ARE EFFECTIVE IN STATE 
                   HANDS.

       (a) Findings.--Congress finds that--
       (1) hydraulic fracturing is a commercially viable practice 
     that has been used in the United States for more than 60 
     years in more than 1,000,000 wells;
       (2) the Ground Water Protection Council, a national 
     association of State water regulators that is considered to 
     be a leading groundwater protection organization in the 
     United States, released a report entitled ``State Oil and 
     Natural Gas Regulations Designed to Protect Water Resources'' 
     and dated May 2009 finding that the ``current State 
     regulation of oil and gas activities is environmentally 
     proactive and preventive'';

[[Page 5283]]

       (3) that report also concluded that ``[a]ll oil and gas 
     producing States have regulations which are designed to 
     provide protection for water resources'';
       (4) a 2004 study by the Environmental Protection Agency, 
     entitled ``Evaluation of Impacts to Underground Sources of 
     Drinking Water by Hydraulic Fracturing of Coalbed Methane 
     Reservoirs'', found no evidence of drinking water wells 
     contaminated by fracture fluid from the fracked formation;
       (5) a 2009 report by the Ground Water Protection Council, 
     entitled ``State Oil and Natural Gas Regulations Designed to 
     Protect Water Resources'', found a ``lack of evidence'' that 
     hydraulic fracturing conducted in both deep and shallow 
     formations presents a risk of endangerment to ground water;
       (6) a January 2009 resolution by the Interstate Oil and Gas 
     Compact Commission stated ``The states, who regulate 
     production, have comprehensive laws and regulations to ensure 
     operations are safe and to protect drinking water. States 
     have found no verified cases of groundwater contamination 
     associated with hydraulic fracturing.'';
       (7) on May 24, 2011, before the Oversight and Government 
     Reform Committee of the House of Representatives, Lisa 
     Jackson, the Administrator of the Environmental Protection 
     Agency, testified that she was ``not aware of any proven case 
     where the fracking process itself has affected water'';
       (8) in 2011, Bureau of Land Management Director Bob Abbey 
     stated, ``We have not seen evidence of any adverse effect as 
     a result of the use of the chemicals that are part of that 
     fracking technology.'';
       (9)(A) activities relating to hydraulic fracturing (such as 
     surface discharges, wastewater disposal, and air emissions) 
     are already regulated at the Federal level under a variety of 
     environmental statutes, including portions of--
       (i) the Federal Water Pollution Control Act (33 U.S.C. 1251 
     et seq.);
       (ii) the Safe Drinking Water Act (42 U.S.C. 300f et seq.); 
     and
       (iii) the Clean Air Act (42 U.S.C. 7401 et seq.); but
       (B) Congress has continually elected not to include the 
     hydraulic fracturing process in the underground injection 
     control program under the Safe Drinking Water Act (42 U.S.C. 
     300f et seq.);
       (10) in 2011, the Secretary of the Interior announced the 
     intention to promulgate new Federal regulations governing 
     hydraulic fracturing on Federal land; and
       (11) a February 2012 study by the Energy Institute at the 
     University of Texas at Austin, entitled ``Fact-Based 
     Regulation for Environmental Protection in Shale Gas 
     Development'', found that ``[n]o evidence of chemicals from 
     hydraulic fracturing fluid has been found in aquifers as a 
     result of fracturing operations''.
       (b) Definition of Federal Land.--In this section, the term 
     ``Federal land'' means--
       (1) public lands (as defined in section 103 of the Federal 
     Land Policy and Management Act of 1976 (43 U.S.C. 1702));
       (2) National Forest System land;
       (3) land under the jurisdiction of the Bureau of 
     Reclamation; and
       (4) land under the jurisdiction of the Corps of Engineers.
       (c) State Authority.--
       (1) In general.--A State shall have the sole authority to 
     promulgate or enforce any regulation, guidance, or permit 
     requirement regarding the treatment of a well by the 
     application of fluids under pressure to which propping agents 
     may be added for the expressly designed purpose of initiating 
     or propagating fractures in a target geologic formation in 
     order to enhance production of oil, natural gas, or 
     geothermal production activities on or under any land within 
     the boundaries of the State.
       (2) Federal land.--The treatment of a well by the 
     application of fluids under pressure to which propping agents 
     may be added for the expressly designed purpose of initiating 
     or propagating fractures in a target geologic formation in 
     order to enhance production of oil, natural gas, or 
     geothermal production activities on Federal land shall be 
     subject to the law of the State in which the land is located.

     SEC. ___. ALTERNATIVE FUEL VEHICLE DEVELOPMENT.

       (a) Alternative Fuel Vehicles.--
       (1) Maximum fuel economy increase for alternative fuel 
     automobiles.--Section 32906(a) of title 49, United States 
     Code, is amended by striking ``(except an electric 
     automobile)'' and inserting ``(except an electric automobile 
     or, beginning with model year 2016, an alternative fueled 
     automobile that does not use a fuel described in subparagraph 
     (A), (B), (C), or (D) of section 32901(a)(1))''.
       (2) Minimum driving ranges for dual fueled passenger 
     automobiles.--Section 32901(c)(2) of title 49, United States 
     Code, is amended--
       (A) in subparagraph (B), by inserting ``, except that 
     beginning with model year 2016, alternative fueled 
     automobiles that do not use a fuel described in subparagraph 
     (A), (B), (C), or (D) of subsection (a)(1) shall have a 
     minimum driving range of 150 miles'' after ``at least 200 
     miles''; and
       (B) in subparagraph (C), by adding at the end the 
     following: ``Beginning with model year 2016, if the Secretary 
     prescribes a minimum driving range of 150 miles for 
     alternative fueled automobiles that do not use a fuel 
     described in subparagraph (A), (B), (C), or (D) of subsection 
     (a)(1), subparagraph (A) shall not apply to dual fueled 
     automobiles (except electric automobiles).''.
       (3) Manufacturing provision for alternative fuel 
     automobiles.--Section 32905(d) of title 49, United States 
     Code, is amended--
       (A) by redesignating paragraphs (1) and (2) as 
     subparagraphs (A) and (B), respectively;
       (B) by striking ``For any model'' and inserting the 
     following:
       ``(1) Model years 1993 through 2015.--For any model'';
       (C) in paragraph (1), as redesignated, by striking ``2019'' 
     and inserting ``2015''; and
       (D) by adding at the end the following:
       ``(2) Model years after 2015.--For any model of gaseous 
     fuel dual fueled automobile manufactured by a manufacturer 
     after model year 2015, the Administrator shall calculate fuel 
     economy as a weighted harmonic average of the fuel economy on 
     gaseous fuel as measured under subsection (c) and the fuel 
     economy on gasoline or diesel fuel as measured under section 
     32904(c). The Administrator shall apply the utility factors 
     set forth in the table under section 600.510-12(c)(2)(vii)(A) 
     of title 40, Code of Federal Regulations.
       ``(3) Model years after 2016.--Beginning with model year 
     2017, the manufacturer may elect to utilize the utility 
     factors set forth under subsection (e)(1) for the purposes of 
     calculating fuel economy under paragraph (2).''.
       (4) Electric dual fueled automobiles.--Section 32905 of 
     title 49, United States Code, is amended--
       (A) by redesignating subsections (e) and (f) as subsections 
     (f) and (g), respectively; and
       (B) by inserting after subsection (d) the following:
       ``(e) Electric Dual Fueled Automobiles.--
       ``(1) In general.--At the request of the manufacturer, the 
     Administrator may measure the fuel economy for any model of 
     dual fueled automobile manufactured after model year 2015 
     that is capable of operating on electricity in addition to 
     gasoline or diesel fuel, obtains its electricity from a 
     source external to the vehicle, and meets the minimum driving 
     range requirements established by the Secretary for dual 
     fueled electric automobiles, by dividing 1.0 by the sum of--
       ``(A) the percentage utilization of the model on gasoline 
     or diesel fuel, as determined by a formula based on the 
     model's alternative fuel range, divided by the fuel economy 
     measured under section 32904(c); and
       ``(B) the percentage utilization of the model on 
     electricity, as determined by a formula based on the model's 
     alternative fuel range, divided by the fuel economy measured 
     under section 32904(a)(2).
       ``(2) Alternative utilization.--The Administrator may adapt 
     the utility factor established under paragraph (1) for 
     alternative fueled automobiles that do not use a fuel 
     described in subparagraph (A), (B), (C), or (D) of section 
     32901(a)(1).
       ``(3) Alternative calculation.--If the manufacturer does 
     not request that the Administrator calculate the 
     manufacturing incentive for its electric dual fueled 
     automobiles in accordance with paragraph (1), the 
     Administrator shall calculate such incentive for such 
     automobiles manufactured by such manufacturer after model 
     year 2015 in accordance with subsection (b).''.
       (5) Conforming amendment.--Section 32906(b) of title 49, 
     United States Code, is amended by striking ``section 
     32905(e)'' and inserting ``section 32905(f)''.
       (b) High Occupancy Vehicle Facilities.--Section 166 of 
     title 23, United States Code, is amended--
       (1) in subparagraph (b)(5), by striking subparagraph (A) 
     and inserting the following:
       ``(A) Inherently low-emission vehicles.--If a State agency 
     establishes procedures for enforcing the restrictions on the 
     use of a HOV facility by vehicles listed in clauses (i) and 
     (ii), the State agency may allow the use of the HOV facility 
     by--
       ``(i) alternative fuel vehicles; and
       ``(ii) new qualified plug-in electric drive motor vehicles 
     (as defined in section 30D(d)(1) of the Internal Revenue Code 
     of 1986).''; and
       (2) in subparagraph (f)(1), by inserting ``solely'' before 
     ``operating''.
       (c) Study.--Not later than 180 days after the date of 
     enactment of this Act, the Secretary of Energy, after 
     consultation with the Secretary of Transportation, shall 
     submit a report to Congress that--
       (1) describes options to incentivize the development of 
     public compressed natural gas fueling stations; and
       (2) analyzes a variety of possible financing tools, which 
     could include--
       (A) Federal grants and credit assistance;
       (B) public-private partnerships; and
       (C) membership-based cooperatives.

     SEC. ___. CATEGORICAL EXCLUSIONS IN EMERGENCIES.

       Section 1315 of the Moving Ahead for Progress in the 21st 
     Century Act (23 U.S.C. 109 note; 126 Stat. 549) is amended by 
     striking ``activity is--'' and all that follows through ``(2) 
     commenced'' and inserting ``activity is commenced''.

[[Page 5284]]



     SEC. ___. CATEGORICAL EXCLUSIONS FOR PROJECTS WITHIN RIGHT-
                   OF-WAY.

       Section 1316 of the Moving Ahead for Progress in the 21st 
     Century Act (23 U.S.C. 109 note; 126 Stat. 549) is amended--
       (1) in the heading of subsection (b), by striking ``an 
     Operational''; and
       (2) in subsection (a)(1) and subsection (b), by striking 
     ``operational'' each place it appears.

     SEC. ___. LIMITATIONS ON CERTAIN FEDERAL ASSISTANCE.

       Section 176 of the Clean Air Act (42 U.S.C. 7506) is 
     amended--
       (1) by striking ``(c)(1) No'' and all that follows through 
     ``(d) Each'' and inserting the following:
       ``(a) In General.--Each'';
       (2) in the first sentence, by striking ``prepared under 
     this section''; and
       (3) by striking the second sentence and inserting the 
     following:
       ``(b) Applicability.--This section applies to--
       ``(1) title 23, United States Code;
       ``(2) chapter 53 of title 49, United States Code; and
       ``(3) the Housing and Urban Development Act of 1968 (12 
     U.S.C. 1701t et seq.).''.

     SEC. ___. TERMINATION OF EFFECTIVENESS.

       (a) In General.--The amendments made by this Act shall 
     terminate on the day that is 30 days after the date of 
     enactment of this Act if the Secretary of Labor, acting 
     through the Bureau of Labor Statistics, in coordination with 
     the heads of other Federal agencies, including the 
     Administrator of the Environmental Protection Agency and the 
     Secretary of Health and Human Services, fails to publish in 
     the Federal Register a report that models the impact of major 
     Federal regulations on job creation across the whole economy 
     of the United States.
       (b) Updates.--
       (1) In general.--The Secretary of Labor, acting through the 
     Bureau of Labor Statistics, shall update the report described 
     in subsection (a) not less frequently than once every 30 
     days.
       (2) Termination.--The amendments made by this Act shall 
     terminate on the date that is 30 days after the date on which 
     the most recent report described in paragraph (1) is required 
     if the Secretary of Labor, acting through the Bureau of Labor 
     Statistics, fails to update the report in accordance with 
     paragraph (1).
                                 ______
                                 
  SA 2930. Mr. HOEVEN submitted an amendment intended to be proposed by 
him to the bill H.R. 3979, to amend the Internal Revenue Code of 1986 
to ensure that emergency services volunteers are not taken into account 
as employees under the shared responsibility requirements contained in 
the Patient Protection and Affordable Care Act; which was ordered to 
lie on the table; as follows:

       At the end of the amendment, add the following:

     SEC. __. LIMITATION ON AUTHORITY TO ISSUE REGULATIONS 
                   MODIFYING THE STREAM ZONE BUFFER RULE.

       The Secretary of the Interior may not, before December 31, 
     2014, issue a regulation modifying the final rule entitled 
     ``Excess Spoil, Coal Mine Waste, and Buffers for Perennial 
     and Intermittent Streams'' (73 Fed. Reg. 75814 (December 12, 
     2008)).
                                 ______
                                 
  SA 2931. Mr. VITTER submitted an amendment intended to be proposed to 
amendment SA 2874 proposed by Mr. Reid (for Mr. Reed (for himself, Mr. 
Heller, Mr. Merkley, Ms. Collins, Mr. Booker, Mr. Portman, Mr. Brown, 
Ms. Murkowski, Mr. Durbin, and Mr. Kirk)) to the bill H.R. 3979, to 
amend the Internal Revenue Code of 1986 to ensure that emergency 
services volunteers are not taken into account as employees under the 
shared responsibility requirements contained in the Patient Protection 
and Affordable Care Act; which was ordered to lie on the table; as 
follows:

       At the appropriate place, insert the following:

     SEC. ___. DISQUALIFICATION ON RECEIPT OF DISABILITY INSURANCE 
                   BENEFITS IN A MONTH FOR WHICH EMERGENCY 
                   UNEMPLOYMENT COMPENSATION IS RECEIVED.

       (a) In General.--Section 4001 of the Supplemental 
     Appropriations Act, 2008 (Public Law 110-252; 26 U.S.C. 3304 
     note) is amended by adding at the end the following new 
     subsection:
       ``(k) Disqualification on Receipt of Disability Insurance 
     Benefits.--If for any month an individual is entitled to 
     emergency unemployment compensation under this title, such 
     individual shall be deemed to have engaged in substantial 
     gainful activity for such month for purposes of sections 222 
     and 223 of the Social Security Act.''.
       (c) Effective Date.--The amendments made by this section 
     shall apply with respect to months beginning after the date 
     of the enactment of this Act.
                                 ______
                                 
  SA 2932. Mr. VITTER submitted an amendment intended to be proposed by 
him to the bill H.R. 3979, to amend the Internal Revenue Code of 1986 
to ensure that emergency services volunteers are not taken into account 
as employees under the shared responsibility requirements contained in 
the Patient Protection and Affordable Care Act; which was ordered to 
lie on the table; as follows:

       At the appropriate place, insert the following:

     SEC. ___. DISQUALIFICATION ON RECEIPT OF DISABILITY INSURANCE 
                   BENEFITS IN A MONTH FOR WHICH EMERGENCY 
                   UNEMPLOYMENT COMPENSATION IS RECEIVED.

       (a) In General.--Section 4001 of the Supplemental 
     Appropriations Act, 2008 (Public Law 110-252; 26 U.S.C. 3304 
     note) is amended by adding at the end the following new 
     subsection:
       ``(k) Disqualification on Receipt of Disability Insurance 
     Benefits.--If for any month an individual is entitled to 
     emergency unemployment compensation under this title, such 
     individual shall be deemed to have engaged in substantial 
     gainful activity for such month for purposes of sections 222 
     and 223 of the Social Security Act.''.
       (c) Effective Date.--The amendments made by this section 
     shall apply with respect to months beginning after the date 
     of the enactment of this Act.
                                 ______
                                 
  SA 2933. Mr. FLAKE (for himself, Mr. Inhofe, and Mr. Risch) submitted 
an amendment intended to be proposed by him to the bill H.R. 3979, to 
amend the Internal Revenue Code of 1986 to ensure that emergency 
services volunteers are not taken into account as employees under the 
shared responsibility requirements contained in the Patient Protection 
and Affordable Care Act; which was ordered to lie on the table; as 
follows:

       At the appropriate place, insert the following:

     SEC. ___. EXPENSING CERTAIN DEPRECIABLE BUSINESS ASSETS FOR 
                   SMALL BUSINESS.

       (a) In General.--
       (1) Dollar limitation.--Paragraph (1) of section 179(b) of 
     the Internal Revenue Code of 1986 is amended by striking 
     ``shall not exceed--'' and all that follows and inserting 
     ``shall not exceed $250,000.''.
       (2) Reduction in limitation.--Paragraph (2) of section 
     179(b) of such Code is amended by striking ``exceeds--'' and 
     all that follows and inserting ``exceeds $800,000.''.
       (b) Computer Software.--Clause (ii) of section 179(d)(1)(A) 
     of such Code is amended by striking ``and before 2014''.
       (c) Election.--Paragraph (2) of section 179(c) of such Code 
     is amended by striking ``may not be revoked'' and all that 
     follows through ``and before 2014''.
       (d) Qualified Real Property.--Section 179(f) of such Code 
     is amended--
       (1) by striking ``beginning in 2010, 2011, 2012, or 2013'' 
     in paragraph (1), and
       (2) by striking paragraph (4).
       (e) Inflation Adjustment.--Subsection (b) of section 179 of 
     such Code is amended by adding at the end the following new 
     paragraph:
       ``(6) Inflation adjustment.--
       ``(A) In general.--In the case of any taxable year 
     beginning after 2014, the dollar amounts in paragraphs (1) 
     and (2) shall each be increased by an amount equal to--
       ``(i) such dollar amount, multiplied by
       ``(ii) the cost-of-living adjustment determined under 
     section 1(f)(3) for the calendar year in which the taxable 
     year begins, by substituting `2013' for `1992' in 
     subparagraph (B) thereof.
       ``(B) Rounding.--The amount of any increase under 
     subparagraph (A) shall be rounded to the nearest multiple of 
     $10,000.''.
       (f) Effective Date.--The amendments made by this section 
     shall apply to taxable years beginning after December 31, 
     2013.
                                 ______
                                 
  SA 2934. Mr. FLAKE (for himself, Mr. Inhofe, and Mr. Risch) submitted 
an amendment intended to be proposed to amendment SA 2874 proposed by 
Mr. Reid (for Mr. Reed (for himself, Mr. Heller, Mr. Merkley, Ms. 
Collins, Mr. Booker, Mr. Portman, Mr. Brown, Ms. Murkowski, Mr. Durbin, 
and Mr. Kirk)) to the bill H.R. 3979, to amend the Internal Revenue 
Code of 1986 to ensure that emergency services volunteers are not taken 
into account as employees under the shared responsibility requirements 
contained in the Patient Protection and Affordable Care Act; which was 
ordered to lie on the table; as follows:

       At the appropriate place in the amendment, insert the 
     following:

     SEC. ___. EXPENSING CERTAIN DEPRECIABLE BUSINESS ASSETS FOR 
                   SMALL BUSINESS.

       (a) In General.--
       (1) Dollar limitation.--Paragraph (1) of section 179(b) of 
     the Internal Revenue Code of 1986 is amended by striking 
     ``shall not exceed--'' and all that follows and inserting 
     ``shall not exceed $250,000.''.

[[Page 5285]]

       (2) Reduction in limitation.--Paragraph (2) of section 
     179(b) of such Code is amended by striking ``exceeds--'' and 
     all that follows and inserting ``exceeds $800,000.''.
       (b) Computer Software.--Clause (ii) of section 179(d)(1)(A) 
     of such Code is amended by striking ``and before 2014''.
       (c) Election.--Paragraph (2) of section 179(c) of such Code 
     is amended by striking ``may not be revoked'' and all that 
     follows through ``and before 2014''.
       (d) Qualified Real Property.--Section 179(f) of such Code 
     is amended--
       (1) by striking ``beginning in 2010, 2011, 2012, or 2013'' 
     in paragraph (1), and
       (2) by striking paragraph (4).
       (e) Inflation Adjustment.--Subsection (b) of section 179 of 
     such Code is amended by adding at the end the following new 
     paragraph:
       ``(6) Inflation adjustment.--
       ``(A) In general.--In the case of any taxable year 
     beginning after 2014, the dollar amounts in paragraphs (1) 
     and (2) shall each be increased by an amount equal to--
       ``(i) such dollar amount, multiplied by
       ``(ii) the cost-of-living adjustment determined under 
     section 1(f)(3) for the calendar year in which the taxable 
     year begins, by substituting `2013' for `1992' in 
     subparagraph (B) thereof.
       ``(B) Rounding.--The amount of any increase under 
     subparagraph (A) shall be rounded to the nearest multiple of 
     $10,000.''.
       (f) Effective Date.--The amendments made by this section 
     shall apply to taxable years beginning after December 31, 
     2013.
                                 ______
                                 
  SA 2935. Mr. FLAKE submitted an amendment intended to be proposed to 
amendment SA 2874 proposed by Mr. Reid (for Mr. Reed (for himself, Mr. 
Heller, Mr. Merkley, Ms. Collins, Mr. Booker, Mr. Portman, Mr. Brown, 
Ms. Murkowski, Mr. Durbin, and Mr. Kirk)) to the bill H.R. 3979, to 
amend the Internal Revenue Code of 1986 to ensure that emergency 
services volunteers are not taken into account as employees under the 
shared responsibility requirements contained in the Patient Protection 
and Affordable Care Act; which was ordered to lie on the table; as 
follows:

       At the appropriate place, insert the following:

     SEC. ____. AUTHORITY TO OFFER ADDITIONAL PLAN OPTIONS.

       (a) Catastrophic Plans.--Notwithstanding title I of the 
     Patient Protection and Affordable Care Act (Public Law 111-
     148), a catastrophic plan as described in section 1302(e) of 
     such Act shall be deemed to be a qualified health plan 
     (including for purposes of receiving tax credits under 
     section 36B of the Internal Revenue Code of 1986 and cost-
     sharing assistance under section 1402 of this Act), except 
     that for purposes of enrollment in such plans, the provisions 
     of paragraph (2) of such section 1302(e) shall not apply.
       (b) Individual Mandate.--Coverage under a catastrophic plan 
     under subsection (a) shall be deemed to be minimum essential 
     coverage for purposes of section 5000A of the Internal 
     Revenue Code of 1986.
                                 ______
                                 
  SA 2936. Mr. FLAKE submitted an amendment intended to be proposed by 
him to the bill H.R. 3979, to amend the Internal Revenue Code of 1986 
to ensure that emergency services volunteers are not taken into account 
as employees under the shared responsibility requirements contained in 
the Patient Protection and Affordable Care Act; which was ordered to 
lie on the table; as follows:

       At the appropriate place, insert the following:

     SEC. ____. AUTHORITY TO OFFER ADDITIONAL PLAN OPTIONS.

       (a) Catastrophic Plans.--Notwithstanding title I of the 
     Patient Protection and Affordable Care Act (Public Law 111-
     148), a catastrophic plan as described in section 1302(e) of 
     such Act shall be deemed to be a qualified health plan 
     (including for purposes of receiving tax credits under 
     section 36B of the Internal Revenue Code of 1986 and cost-
     sharing assistance under section 1402 of this Act), except 
     that for purposes of enrollment in such plans, the provisions 
     of paragraph (2) of such section 1302(e) shall not apply.
       (b) Individual Mandate.--Coverage under a catastrophic plan 
     under subsection (a) shall be deemed to be minimum essential 
     coverage for purposes of section 5000A of the Internal 
     Revenue Code of 1986.
                                 ______
                                 
  SA 2937. Mr. McCONNELL submitted an amendment intended to be proposed 
by him to the bill H.R. 3979, to amend the Internal Revenue Code of 
1986 to ensure that emergency services volunteers are not taken into 
account as employees under the shared responsibility requirements 
contained in the Patient Protection and Affordable Care Act; which was 
ordered to lie on the table; as follows:

       Strike all after the enacting clause and insert the 
     following:

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Protecting Volunteer 
     Firefighters and Emergency Responders Act of 2014''.

     SEC. 2. EMERGENCY SERVICES, GOVERNMENT, AND CERTAIN NONPROFIT 
                   VOLUNTEERS.

       (a) In General.--Section 4980H(c) of the Internal Revenue 
     Code of 1986 is amended by redesignating paragraphs (5), (6), 
     and (7) as paragraphs (6), (7), and (8), respectively, and by 
     inserting after paragraph (4) the following new paragraph:
       ``(5) Special rules for certain emergency services, 
     government, and nonprofit volunteers.--
       ``(A) Emergency services volunteers.--Qualified services 
     rendered as a bona fide volunteer to an eligible employer 
     shall not be taken into account under this section as service 
     provided by an employee. For purposes of the preceding 
     sentence, the terms `qualified services', `bona fide 
     volunteer', and `eligible employer' shall have the respective 
     meanings given such terms under section 457(e).
       ``(B) Certain other government and nonprofit volunteers.--
       ``(i) In general.--Services rendered as a bona fide 
     volunteer to a specified employer shall not be taken into 
     account under this section as service provided by an 
     employee.
       ``(ii) Bona fide volunteer.--For purposes of this 
     subparagraph, the term `bona fide volunteer' means an 
     employee of a specified employer whose only compensation from 
     such employer is in the form of--

       ``(I) reimbursement for (or reasonable allowance for) 
     reasonable expenses incurred in the performance of services 
     by volunteers, or
       ``(II) reasonable benefits (including length of service 
     awards), and nominal fees, customarily paid by similar 
     entities in connection with the performance of services by 
     volunteers.

       ``(iii) Specified employer.--For purposes of this 
     subparagraph, the term `specified employer' means--

       ``(I) any government entity, and
       ``(II) any organization described in section 501(c) and 
     exempt from tax under section 501(a).

       ``(iv) Coordination with subparagraph (A).--This 
     subparagraph shall not fail to apply with respect to services 
     merely because such services are qualified services (as 
     defined in section 457(e)(11)(C)).''.
       (b) Effective Date.--The amendments made by this section 
     shall apply to months beginning after December 31, 2013.

     SEC. 3. REPEAL OF THE INDIVIDUAL MANDATE.

       Section 1501 and subsections (a), (b), (c), and (d) of 
     section 10106 of the Patient Protection and Affordable Care 
     Act (and the amendments made by such sections and 
     subsections) are repealed and the Internal Revenue Code of 
     1986 shall be applied and administered as if such provisions 
     and amendments had never been enacted.
                                 ______
                                 
  SA 2938. Mr. McCONNELL submitted an amendment intended to be proposed 
by him to the bill H.R. 3979, to amend the Internal Revenue Code of 
1986 to ensure that emergency services volunteers are not taken into 
account as employees under the shared responsibility requirements 
contained in the Patient Protection and Affordable Care Act; which was 
ordered to lie on the table; as follows:

       Strike all after the enacting clause and insert the 
     following:

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Protecting Volunteer 
     Firefighters and Emergency Responders Act of 2014''.

     SEC. 2. EMERGENCY SERVICES, GOVERNMENT, AND CERTAIN NONPROFIT 
                   VOLUNTEERS.

       (a) In General.--Section 4980H(c) of the Internal Revenue 
     Code of 1986 is amended by redesignating paragraphs (5), (6), 
     and (7) as paragraphs (6), (7), and (8), respectively, and by 
     inserting after paragraph (4) the following new paragraph:
       ``(5) Special rules for certain emergency services, 
     government, and nonprofit volunteers.--
       ``(A) Emergency services volunteers.--Qualified services 
     rendered as a bona fide volunteer to an eligible employer 
     shall not be taken into account under this section as service 
     provided by an employee. For purposes of the preceding 
     sentence, the terms `qualified services', `bona fide 
     volunteer', and `eligible employer' shall have the respective 
     meanings given such terms under section 457(e).
       ``(B) Certain other government and nonprofit volunteers.--
       ``(i) In general.--Services rendered as a bona fide 
     volunteer to a specified employer shall not be taken into 
     account under this section as service provided by an 
     employee.
       ``(ii) Bona fide volunteer.--For purposes of this 
     subparagraph, the term `bona fide volunteer' means an 
     employee of a specified employer whose only compensation from 
     such employer is in the form of--

       ``(I) reimbursement for (or reasonable allowance for) 
     reasonable expenses incurred in the performance of services 
     by volunteers, or
       ``(II) reasonable benefits (including length of service 
     awards), and nominal fees, customarily paid by similar 
     entities in connection

[[Page 5286]]

     with the performance of services by volunteers.

       ``(iii) Specified employer.--For purposes of this 
     subparagraph, the term `specified employer' means--

       ``(I) any government entity, and
       ``(II) any organization described in section 501(c) and 
     exempt from tax under section 501(a).

       ``(iv) Coordination with subparagraph (A).--This 
     subparagraph shall not fail to apply with respect to services 
     merely because such services are qualified services (as 
     defined in section 457(e)(11)(C)).''.
       (b) Effective Date.--The amendments made by this section 
     shall apply to months beginning after December 31, 2013.

     SEC. 3. DEFINITION OF APPLICABLE LARGE EMPLOYER.

       (a) In General.--Paragraph (2) of section 4980H(c) of the 
     Internal Revenue Code of 1986 is amended--
       (1) by striking ``50 full-time employees'' each place it 
     appears in subparagraphs (A) and (B)(i) and inserting ``500 
     full-time employees'', and
       (2) by striking ``in excess of 50'' in subparagraph 
     (B)(i)(II) and inserting ``in excess of 500''.
       (b) Effective Date.--The amendments made by this section 
     shall apply to months beginning after December 31, 2013.
                                 ______
                                 
  SA 2939. Mr. McCONNELL submitted an amendment intended to be proposed 
by him to the bill H.R. 3979, to amend the Internal Revenue Code of 
1986 to ensure that emergency services volunteers are not taken into 
account as employees under the shared responsibility requirements 
contained in the Patient Protection and Affordable Care Act; which was 
ordered to lie on the table; as follows:

       Strike all after the enacting clause and insert the 
     following:

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Protecting Volunteer 
     Firefighters and Emergency Responders Act of 2014''.

     SEC. 2. EMERGENCY SERVICES, GOVERNMENT, AND CERTAIN NONPROFIT 
                   VOLUNTEERS.

       (a) In General.--Section 4980H(c) of the Internal Revenue 
     Code of 1986 is amended by redesignating paragraphs (5), (6), 
     and (7) as paragraphs (6), (7), and (8), respectively, and by 
     inserting after paragraph (4) the following new paragraph:
       ``(5) Special rules for certain emergency services, 
     government, and nonprofit volunteers.--
       ``(A) Emergency services volunteers.--Qualified services 
     rendered as a bona fide volunteer to an eligible employer 
     shall not be taken into account under this section as service 
     provided by an employee. For purposes of the preceding 
     sentence, the terms `qualified services', `bona fide 
     volunteer', and `eligible employer' shall have the respective 
     meanings given such terms under section 457(e).
       ``(B) Certain other government and nonprofit volunteers.--
       ``(i) In general.--Services rendered as a bona fide 
     volunteer to a specified employer shall not be taken into 
     account under this section as service provided by an 
     employee.
       ``(ii) Bona fide volunteer.--For purposes of this 
     subparagraph, the term `bona fide volunteer' means an 
     employee of a specified employer whose only compensation from 
     such employer is in the form of--

       ``(I) reimbursement for (or reasonable allowance for) 
     reasonable expenses incurred in the performance of services 
     by volunteers, or
       ``(II) reasonable benefits (including length of service 
     awards), and nominal fees, customarily paid by similar 
     entities in connection with the performance of services by 
     volunteers.

       ``(iii) Specified employer.--For purposes of this 
     subparagraph, the term `specified employer' means--

       ``(I) any government entity, and
       ``(II) any organization described in section 501(c) and 
     exempt from tax under section 501(a).

       ``(iv) Coordination with subparagraph (A).--This 
     subparagraph shall not fail to apply with respect to services 
     merely because such services are qualified services (as 
     defined in section 457(e)(11)(C)).''.
       (b) Effective Date.--The amendments made by this section 
     shall apply to months beginning after December 31, 2013.

     SEC. 3. DEFINITION OF APPLICABLE LARGE EMPLOYER.

       (a) In General.--Paragraph (2) of section 4980H(c) of the 
     Internal Revenue Code of 1986 is amended--
       (1) by striking ``50 full-time employees'' each place it 
     appears in subparagraphs (A) and (B)(i) and inserting 
     ``100,000,000 full-time employees'', and
       (2) by striking ``in excess of 50'' in subparagraph 
     (B)(i)(II) and inserting ``in excess of 100,000,000''.
       (b) Effective Date.--The amendments made by this section 
     shall apply to months beginning after December 31, 2013.
                                 ______
                                 
  SA 2940. Mr. McCONNELL submitted an amendment intended to be proposed 
by him to the bill H.R. 3979, to amend the Internal Revenue Code of 
1986 to ensure that emergency services volunteers are not taken into 
account as employees under the shared responsibility requirements 
contained in the Patient Protection and Affordable Care Act; which was 
ordered to lie on the table; as follows:

       Strike all after the enacting clause and insert the 
     following:

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Protecting Volunteer 
     Firefighters and Emergency Responders Act of 2014''.

     SEC. 2. EMERGENCY SERVICES, GOVERNMENT, AND CERTAIN NONPROFIT 
                   VOLUNTEERS.

       (a) In General.--Section 4980H(c) of the Internal Revenue 
     Code of 1986 is amended by redesignating paragraphs (5), (6), 
     and (7) as paragraphs (6), (7), and (8), respectively, and by 
     inserting after paragraph (4) the following new paragraph:
       ``(5) Special rules for certain emergency services, 
     government, and nonprofit volunteers.--
       ``(A) Emergency services volunteers.--Qualified services 
     rendered as a bona fide volunteer to an eligible employer 
     shall not be taken into account under this section as service 
     provided by an employee. For purposes of the preceding 
     sentence, the terms `qualified services', `bona fide 
     volunteer', and `eligible employer' shall have the respective 
     meanings given such terms under section 457(e).
       ``(B) Certain other government and nonprofit volunteers.--
       ``(i) In general.--Services rendered as a bona fide 
     volunteer to a specified employer shall not be taken into 
     account under this section as service provided by an 
     employee.
       ``(ii) Bona fide volunteer.--For purposes of this 
     subparagraph, the term `bona fide volunteer' means an 
     employee of a specified employer whose only compensation from 
     such employer is in the form of--

       ``(I) reimbursement for (or reasonable allowance for) 
     reasonable expenses incurred in the performance of services 
     by volunteers, or
       ``(II) reasonable benefits (including length of service 
     awards), and nominal fees, customarily paid by similar 
     entities in connection with the performance of services by 
     volunteers.

       ``(iii) Specified employer.--For purposes of this 
     subparagraph, the term `specified employer' means--

       ``(I) any government entity, and
       ``(II) any organization described in section 501(c) and 
     exempt from tax under section 501(a).

       ``(iv) Coordination with subparagraph (A).--This 
     subparagraph shall not fail to apply with respect to services 
     merely because such services are qualified services (as 
     defined in section 457(e)(11)(C)).''.
       (b) Effective Date.--The amendments made by this section 
     shall apply to months beginning after December 31, 2013.

     SEC. 3. REPEAL OF THE EMPLOYER MANDATE.

       Sections 1513 and 1514 and subsections (e), (f), and (g) of 
     section 10106 of the Patient Protection and Affordable Care 
     Act (and the amendments made by such sections and 
     subsections) are repealed and the Internal Revenue Code of 
     1986 shall be applied and administered as if such provisions 
     and amendments had never been enacted.
                                 ______
                                 
  SA 2941. Mr. McCONNELL submitted an amendment intended to be proposed 
by him to the bill H.R. 3979, to amend the Internal Revenue Code of 
1986 to ensure that emergency services volunteers are not taken into 
account as employees under the shared responsibility requirements 
contained in the Patient Protection and Affordable Care Act; which was 
ordered to lie on the table; as follows:

       Strike all after the enacting clause and insert the 
     following:

     SECTION 1. LONG-TERM UNEMPLOYED INDIVIDUALS NOT TAKEN INTO 
                   ACCOUNT FOR EMPLOYER HEALTH CARE COVERAGE 
                   MANDATE.

       (a) In General.--Paragraph (4) of section 4980H(c) of the 
     Internal Revenue Code of 1986 is amended by adding at the end 
     the following new subparagraph:
       ``(C) Exception for long-term unemployed individuals.--
       ``(i) In general.--The term `full-time employee' shall not 
     include any individual who is a long-term unemployed 
     individual with respect to such employer.
       ``(ii) Long-term unemployed individual.--For purposes of 
     this subparagraph, the term `long-term unemployed individual' 
     means, with respect to any employer, an individual who--

       ``(I) begins employment with such employer after the date 
     of the enactment of this subparagraph, and
       ``(II) has been unemployed for 27 weeks or longer, as 
     determined by the Secretary of Labor, immediately before the 
     date such employment begins.''.

       (b) Effective Date.--The amendment made by this section 
     shall apply to months beginning after December 31, 2013.
                                 ______
                                 
  SA 2942. Mr. McCONNELL submitted an amendment intended to be proposed

[[Page 5287]]

by him to the bill H.R. 3979, to amend the Internal Revenue Code of 
1986 to ensure that emergency services volunteers are not taken into 
account as employees under the shared responsibility requirements 
contained in the Patient Protection and Affordable Care Act; which was 
ordered to lie on the table; as follows:

       Strike all after the enacting clause and insert the 
     following:

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Protecting Volunteer 
     Firefighters and Emergency Responders Act of 2014''.

     SEC. 2. EMERGENCY SERVICES, GOVERNMENT, AND CERTAIN NONPROFIT 
                   VOLUNTEERS.

       (a) In General.--Section 4980H(c) of the Internal Revenue 
     Code of 1986 is amended by redesignating paragraphs (5), (6), 
     and (7) as paragraphs (6), (7), and (8), respectively, and by 
     inserting after paragraph (4) the following new paragraph:
       ``(5) Special rules for certain emergency services, 
     government, and nonprofit volunteers.--
       ``(A) Emergency services volunteers.--Qualified services 
     rendered as a bona fide volunteer to an eligible employer 
     shall not be taken into account under this section as service 
     provided by an employee. For purposes of the preceding 
     sentence, the terms `qualified services', `bona fide 
     volunteer', and `eligible employer' shall have the respective 
     meanings given such terms under section 457(e).
       ``(B) Certain other government and nonprofit volunteers.--
       ``(i) In general.--Services rendered as a bona fide 
     volunteer to a specified employer shall not be taken into 
     account under this section as service provided by an 
     employee.
       ``(ii) Bona fide volunteer.--For purposes of this 
     subparagraph, the term `bona fide volunteer' means an 
     employee of a specified employer whose only compensation from 
     such employer is in the form of--

       ``(I) reimbursement for (or reasonable allowance for) 
     reasonable expenses incurred in the performance of services 
     by volunteers, or
       ``(II) reasonable benefits (including length of service 
     awards), and nominal fees, customarily paid by similar 
     entities in connection with the performance of services by 
     volunteers.

       ``(iii) Specified employer.--For purposes of this 
     subparagraph, the term `specified employer' means--

       ``(I) any government entity, and
       ``(II) any organization described in section 501(c) and 
     exempt from tax under section 501(a).

       ``(iv) Coordination with subparagraph (A).--This 
     subparagraph shall not fail to apply with respect to services 
     merely because such services are qualified services (as 
     defined in section 457(e)(11)(C)).''.
       (b) Effective Date.--The amendments made by this section 
     shall apply to months beginning after December 31, 2013.

     SEC. 3. EMPLOYEES WITH HEALTH COVERAGE UNDER TRICARE OR THE 
                   VETERANS ADMINISTRATION MAY BE EXEMPTED FROM 
                   EMPLOYER MANDATE UNDER PATIENT PROTECTION AND 
                   AFFORDABLE CARE ACT.

       (a) In General.--Section 4980H(c)(2) of the Internal 
     Revenue Code is amended by adding at the end the following:
       ``(F) Exemption for health coverage under tricare or the 
     veterans administration.--Solely for purposes of determining 
     whether an employer is an applicable large employer under 
     this paragraph for any month, an employer may elect not to 
     take into account for a month as an employee any individual 
     who, for such month, has medical coverage under--
       ``(i) chapter 55 of title 10, United States Code, including 
     coverage under the TRICARE program, or
       ``(ii) under a health care program under chapter 17 or 18 
     of title 38, United States Code, as determined by the 
     Secretary of Veterans Affairs, in coordination with the 
     Secretary of Health and Human Services and the Secretary.''.
       (b) Effective Date.--The amendment made by subsection (a) 
     shall apply to months beginning after December 31, 2013.
                                 ______
                                 
  SA 2943. Mr. McCONNELL submitted an amendment intended to be proposed 
by him to the bill H.R. 3979, to amend the Internal Revenue Code of 
1986 to ensure that emergency services volunteers are not taken into 
account as employees under the shared responsibility requirements 
contained in the Patient Protection and Affordable Care Act; which was 
ordered to lie on the table; as follows:

       Strike all after the enacting clause and insert the 
     following:

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Protecting Volunteer 
     Firefighters and Emergency Responders Act of 2014''.

     SEC. 2. EMERGENCY SERVICES, GOVERNMENT, AND CERTAIN NONPROFIT 
                   VOLUNTEERS.

       (a) In General.--Section 4980H(c) of the Internal Revenue 
     Code of 1986 is amended by redesignating paragraphs (5), (6), 
     and (7) as paragraphs (6), (7), and (8), respectively, and by 
     inserting after paragraph (4) the following new paragraph:
       ``(5) Special rules for certain emergency services, 
     government, and nonprofit volunteers.--
       ``(A) Emergency services volunteers.--Qualified services 
     rendered as a bona fide volunteer to an eligible employer 
     shall not be taken into account under this section as service 
     provided by an employee. For purposes of the preceding 
     sentence, the terms `qualified services', `bona fide 
     volunteer', and `eligible employer' shall have the respective 
     meanings given such terms under section 457(e).
       ``(B) Certain other government and nonprofit volunteers.--
       ``(i) In general.--Services rendered as a bona fide 
     volunteer to a specified employer shall not be taken into 
     account under this section as service provided by an 
     employee.
       ``(ii) Bona fide volunteer.--For purposes of this 
     subparagraph, the term `bona fide volunteer' means an 
     employee of a specified employer whose only compensation from 
     such employer is in the form of--

       ``(I) reimbursement for (or reasonable allowance for) 
     reasonable expenses incurred in the performance of services 
     by volunteers, or
       ``(II) reasonable benefits (including length of service 
     awards), and nominal fees, customarily paid by similar 
     entities in connection with the performance of services by 
     volunteers.

       ``(iii) Specified employer.--For purposes of this 
     subparagraph, the term `specified employer' means--

       ``(I) any government entity, and
       ``(II) any organization described in section 501(c) and 
     exempt from tax under section 501(a).

       ``(iv) Coordination with subparagraph (A).--This 
     subparagraph shall not fail to apply with respect to services 
     merely because such services are qualified services (as 
     defined in section 457(e)(11)(C)).''.
       (b) Effective Date.--The amendments made by this section 
     shall apply to months beginning after December 31, 2013.

     SEC. 3. DEFINITION OF FULL-TIME EMPLOYEE.

       Section 4980H(c) of the Internal Revenue Code of 1986 is 
     amended--
       (1) in paragraph (2)(E), by striking ``by 120'' and 
     inserting ``by 174''; and
       (2) in paragraph (4)(A) by striking ``30 hours'' and 
     inserting ``40 hours''.
                                 ______
                                 
  SA 2944. Mr. McCONNELL submitted an amendment intended to be proposed 
by him to the bill H.R. 3979, to amend the Internal Revenue Code of 
1986 to ensure that emergency services volunteers are not taken into 
account as employees under the shared responsibility requirements 
contained in the Patient Protection and Affordable Care Act; which was 
ordered to lie on the table; as follows:

       Strike all after the enacting clause and insert the 
     following:

     SECTION 1. SHORT TITLE.

       This Act may be cited as the ``Protecting Volunteer 
     Firefighters and Emergency Responders Act of 2014''.

     SEC. 2. EMERGENCY SERVICES, GOVERNMENT, AND CERTAIN NONPROFIT 
                   VOLUNTEERS.

       (a) In General.--Section 4980H(c) of the Internal Revenue 
     Code of 1986 is amended by redesignating paragraphs (5), (6), 
     and (7) as paragraphs (6), (7), and (8), respectively, and by 
     inserting after paragraph (4) the following new paragraph:
       ``(5) Special rules for certain emergency services, 
     government, and nonprofit volunteers.--
       ``(A) Emergency services volunteers.--Qualified services 
     rendered as a bona fide volunteer to an eligible employer 
     shall not be taken into account under this section as service 
     provided by an employee. For purposes of the preceding 
     sentence, the terms `qualified services', `bona fide 
     volunteer', and `eligible employer' shall have the respective 
     meanings given such terms under section 457(e).
       ``(B) Certain other government and nonprofit volunteers.--
       ``(i) In general.--Services rendered as a bona fide 
     volunteer to a specified employer shall not be taken into 
     account under this section as service provided by an 
     employee.
       ``(ii) Bona fide volunteer.--For purposes of this 
     subparagraph, the term `bona fide volunteer' means an 
     employee of a specified employer whose only compensation from 
     such employer is in the form of--

       ``(I) reimbursement for (or reasonable allowance for) 
     reasonable expenses incurred in the performance of services 
     by volunteers, or
       ``(II) reasonable benefits (including length of service 
     awards), and nominal fees, customarily paid by similar 
     entities in connection with the performance of services by 
     volunteers.

       ``(iii) Specified employer.--For purposes of this 
     subparagraph, the term `specified employer' means--

       ``(I) any government entity, and
       ``(II) any organization described in section 501(c) and 
     exempt from tax under section 501(a).

       ``(iv) Coordination with subparagraph (A).--This 
     subparagraph shall not fail to

[[Page 5288]]

     apply with respect to services merely because such services 
     are qualified services (as defined in section 
     457(e)(11)(C)).''.
       (b) Effective Date.--The amendments made by this section 
     shall apply to months beginning after December 31, 2013.

     SEC. 3. DEFINITION OF FULL-TIME EMPLOYEE.

       Section 4980H(c) of the Internal Revenue Code of 1986 is 
     amended--
       (1) in paragraph (2)(E), by striking ``by 120'' and 
     inserting ``by 174''; and
       (2) in paragraph (4)(A) by striking ``30 hours'' and 
     inserting ``40 hours''.

     SEC. 4. EMPLOYEES WITH HEALTH COVERAGE UNDER TRICARE OR THE 
                   VETERANS ADMINISTRATION MAY BE EXEMPTED FROM 
                   EMPLOYER MANDATE UNDER PATIENT PROTECTION AND 
                   AFFORDABLE CARE ACT.

       (a) In General.--Section 4980H(c)(2) of the Internal 
     Revenue Code is amended by adding at the end the following:
       ``(F) Exemption for health coverage under tricare or the 
     veterans administration.--Solely for purposes of determining 
     whether an employer is an applicable large employer under 
     this paragraph for any month, an employer may elect not to 
     take into account for a month as an employee any individual 
     who, for such month, has medical coverage under--
       ``(i) chapter 55 of title 10, United States Code, including 
     coverage under the TRICARE program, or
       ``(ii) under a health care program under chapter 17 or 18 
     of title 38, United States Code, as determined by the 
     Secretary of Veterans Affairs, in coordination with the 
     Secretary of Health and Human Services and the Secretary.''.
       (b) Effective Date.--The amendment made by subsection (a) 
     shall apply to months beginning after December 31, 2013.
                                 ______
                                 
  SA 2945. Mr. McCONNELL submitted an amendment intended to be proposed 
by him to the bill H.R. 3979, to amend the Internal Revenue Code of 
1986 to ensure that emergency services volunteers are not taken into 
account as employees under the shared responsibility requirements 
contained in the Patient Protection and Affordable Care Act; which was 
ordered to lie on the table; as follows:

       Strike Sections 1 through 11.
                                 ______
                                 
  SA 2946. Mr. McCONNELL submitted an amendment intended to be proposed 
by him to the bill H.R. 3979, to amend the Internal Revenue Code of 
1986 to ensure that emergency services volunteers are not taken into 
account as employees under the shared responsibility requirements 
contained in the Patient Protection and Affordable Care Act; which was 
ordered to lie on the table; as follows:

       At the appropriate place, insert the following:

     SECTION 1. SHORT TITLE.

         This Act may be cited as the ``Protecting Volunteer 
     Firefighters and Emergency Responders Act of 2014''.

     SEC. 2. EMERGENCY SERVICES, GOVERNMENT, AND CERTAIN NONPROFIT 
                   VOLUNTEERS.

         (a) In General.--Section 4980H(c) of the Internal Revenue 
     Code of 1986 is amended by redesignating paragraphs (5), (6), 
     and (7) as paragraphs (6), (7), and (8), respectively, and by 
     inserting after paragraph (4) the following new paragraph:
         ``(5) Special rules for certain emergency services, 
     government, and nonprofit volunteers.--
         ``(A) Emergency services volunteers.--Qualified services 
     rendered as a bona fide volunteer to an eligible employer 
     shall not be taken into account under this section as service 
     provided by an employee. For purposes of the preceding 
     sentence, the terms `qualified services', `bona fide 
     volunteer', and `eligible employer' shall have the respective 
     meanings given such terms under section 457(e).
         ``(B) Certain other government and nonprofit 
     volunteers.--
         ``(I) In general.--Services rendered as a bona fide 
     volunteer to a specified employer shall not be taken into 
     account under this section as service provided by an 
     employee.
         ``(ii) Bona fide volunteer.--For purposes of this 
     subparagraph, the term `bona fide volunteer' means an 
     employee of a specified employer whose only compensation from 
     such employer is in the form of--
         ``(I) reimbursement for (or reasonable allowance for) 
     reasonable expenses incurred in the performance of services 
     by volunteers, or
         ``(II) reasonable benefits (including length of service 
     awards), and nominal fees, customarily paid by similar 
     entities in connection with the performance of services by 
     volunteers.
         ``(iii) Specified employer.--For purposes of this 
     subparagraph, the term `specified employer' means--
         ``(I) any government entity, and
         ``(II) any organization described in section 501(c) and 
     exempt from tax under section 501(a).
         ``(iv) Coordination with subparagraph (A).--This 
     subparagraph shall not fail to apply with respect to services 
     merely because such services are qualified services (as 
     defined in section 457(e)(11)(C)).''.
         (b) Effective Date.--The amendments made by this section 
     shall apply to months beginning after December 30, 2013.
                                 ______
                                 
  SA 2947. Mr. McCONNELL submitted an amendment intended to be proposed 
by him to the bill H.R. 3979, to amend the Internal Revenue Code of 
1986 to ensure that emergency services volunteers are not taken into 
account as employees under the shared responsibility requirements 
contained in the Patient Protection and Affordable Care Act; which was 
ordered to lie on the table; as follows:

       At the appropriate place, insert the following:

     SEC. ___. DEFINITION OF APPLICABLE LARGE EMPLOYER.

       (a) In General.--Paragraph (2) of section 4980H(c) of the 
     Internal Revenue Code of 1986 is amended--
       (1) by striking ``50 full-time employees'' each place it 
     appears in subparagraphs (A) and (B)(i) and inserting ``500 
     full-time employees'', and
       (2) by striking ``in excess of 50'' in subparagraph 
     (B)(i)(II) and inserting ``in excess of 500''.
       (b) Effective Date.--The amendments made by this section 
     shall apply to months beginning after December 31, 2013.
                                 ______
                                 
  SA 2948. Mr. McCONNELL submitted an amendment intended to be proposed 
by him to the bill H.R. 3979, to amend the Internal Revenue Code of 
1986 to ensure that emergency services volunteers are not taken into 
account as employees under the shared responsibility requirements 
contained in the Patient Protection and Affordable Care Act; which was 
ordered to lie on the table; as follows:

       At the appropriate place, insert the following:

     SEC. ___. REPEAL OF THE INDIVIDUAL MANDATE.

       Section 1501 and subsections (a), (b), (c), and (d) of 
     section 10106 of the Patient Protection and Affordable Care 
     Act (and the amendments made by such sections and 
     subsections) are repealed and the Internal Revenue Code of 
     1986 shall be applied and administered as if such provisions 
     and amendments had never been enacted.
                                 ______
                                 
  SA 2949. Mr. McCONNELL submitted an amendment intended to be proposed 
by him to the bill H.R. 3979, to amend the Internal Revenue Code of 
1986 to ensure that emergency services volunteers are not taken into 
account as employees under the shared responsibility requirements 
contained in the Patient Protection and Affordable Care Act; which was 
ordered to lie on the table; as follows:

       At the appropriate place, insert the following:

     SEC. ___. REPEAL OF THE EMPLOYER MANDATE.

       Sections 1513 and 1514 and subsections (e), (f), and (g) of 
     section 10106 of the Patient Protection and Affordable Care 
     Act (and the amendments made by such sections and 
     subsections) are repealed and the Internal Revenue Code of 
     1986 shall be applied and administered as if such provisions 
     and amendments had never been enacted.
                                 ______
                                 
  SA 2950. Mr. McCONNELL submitted an amendment intended to be proposed 
by him to the bill H.R. 3979, to amend the Internal Revenue Code of 
1986 to ensure that emergency services volunteers are not taken into 
account as employees under the shared responsibility requirements 
contained in the Patient Protection and Affordable Care Act; which was 
ordered to lie on the table; as follows:

       At the appropriate place, insert the following:

     SEC. ___. DEFINITION OF APPLICABLE LARGE EMPLOYER.

       (a) In General.--Paragraph (2) of section 4980H(c) of the 
     Internal Revenue Code of 1986 is amended--
       (1) by striking ``50 full-time employees'' each place it 
     appears in subparagraphs (A) and (B)(i) and inserting 
     ``100,000,000 full-time employees'', and
       (2) by striking ``in excess of 50'' in subparagraph 
     (B)(i)(II) and inserting ``in excess of 100,000,000''.
       (b) Effective Date.--The amendments made by this section 
     shall apply to months beginning after December 31, 2013.
                                 ______
                                 
  SA 2951. Mr. McCONNELL submitted an amendment intended to be proposed 
by him to the bill H.R. 3979, to amend the Internal Revenue Code of 
1986 to ensure that emergency services volunteers are not taken into 
account as employees under the shared responsibility

[[Page 5289]]

requirements contained in the Patient Protection and Affordable Care 
Act; which was ordered to lie on the table; as follows:

       At the end, add the following:

     SEC. __. LONG-TERM UNEMPLOYED INDIVIDUALS NOT TAKEN INTO 
                   ACCOUNT FOR EMPLOYER HEALTH CARE COVERAGE 
                   MANDATE.

       (a) In General.--Paragraph (4) of section 4980H(c) of the 
     Internal Revenue Code of 1986 is amended by adding at the end 
     the following new subparagraph:
       ``(C) Exception for long-term unemployed individuals.--
       ``(i) In general.--The term `full-time employee' shall not 
     include any individual who is a long-term unemployed 
     individual with respect to such employer.
       ``(ii) Long-term unemployed individual.--For purposes of 
     this subparagraph, the term `long-term unemployed individual' 
     means, with respect to any employer, an individual who--

       ``(I) begins employment with such employer after the date 
     of the enactment of this subparagraph, and
       ``(II) has been unemployed for 27 weeks or longer, as 
     determined by the Secretary of Labor, immediately before the 
     date such employment begins.''.

       (b) Effective Date.--The amendment made by this section 
     shall apply to months beginning after December 31, 2013.
                                 ______
                                 
  SA 2952. Mr. McCONNELL submitted an amendment intended to be proposed 
by him to the bill H.R. 3979, to amend the Internal Revenue Code of 
1986 to ensure that emergency services volunteers are not taken into 
account as employees under the shared responsibility requirements 
contained in the Patient Protection and Affordable Care Act; which was 
ordered to lie on the table; as follows:

       At the appropriate place, insert the following:

     SEC. ___. EMPLOYEES WITH HEALTH COVERAGE UNDER TRICARE OR THE 
                   VETERANS ADMINISTRATION MAY BE EXEMPTED FROM 
                   EMPLOYER MANDATE UNDER PATIENT PROTECTION AND 
                   AFFORDABLE CARE ACT.

       (a) In General.--Section 4980H(c)(2) of the Internal 
     Revenue Code is amended by adding at the end the following:
       ``(F) Exemption for health coverage under tricare or the 
     veterans administration.--Solely for purposes of determining 
     whether an employer is an applicable large employer under 
     this paragraph for any month, an employer may elect not to 
     take into account for a month as an employee any individual 
     who, for such month, has medical coverage under--
       ``(i) chapter 55 of title 10, United States Code, including 
     coverage under the TRICARE program, or
       ``(ii) under a health care program under chapter 17 or 18 
     of title 38, United States Code, as determined by the 
     Secretary of Veterans Affairs, in coordination with the 
     Secretary of Health and Human Services and the Secretary.''.
       (b) Effective Date.--The amendment made by subsection (a) 
     shall apply to months beginning after December 31, 2013.
                                 ______
                                 
  SA 2953. Mr. McCONNELL submitted an amendment intended to be proposed 
by him to the bill H.R. 3979, to amend the Internal Revenue Code of 
1986 to ensure that emergency services volunteers are not taken into 
account as employees under the shared responsibility requirements 
contained in the Patient Protection and Affordable Care Act; which was 
ordered to lie on the table; as follows:

       At the appropriate place, insert the following:

     SEC. ___. DEFINITION OF FULL-TIME EMPLOYEE.

       Section 4980H(c) of the Internal Revenue Code of 1986 is 
     amended--
       (1) in paragraph (2)(E), by striking ``by 120'' and 
     inserting ``by 174''; and
       (2) in paragraph (4)(A) by striking ``30 hours'' and 
     inserting ``40 hours''.
                                 ______
                                 
  SA 2954. Mr. McCONNELL submitted an amendment intended to be proposed 
by him to the bill H.R. 3979, to amend the Internal Revenue Code of 
1986 to ensure that emergency services volunteers are not taken into 
account as employees under the shared responsibility requirements 
contained in the Patient Protection and Affordable Care Act; which was 
ordered to lie on the table; as follows:

       At the appropriate place, insert the following:

     SEC. ___. DEFINITION OF FULL-TIME EMPLOYEE.

       Section 4980H(c) of the Internal Revenue Code of 1986 is 
     amended--
       (1) in paragraph (2)(E), by striking ``by 120'' and 
     inserting ``by 174''; and
       (2) in paragraph (4)(A) by striking ``30 hours'' and 
     inserting ``40 hours''.

     SEC. ___. EMPLOYEES WITH HEALTH COVERAGE UNDER TRICARE OR THE 
                   VETERANS ADMINISTRATION MAY BE EXEMPTED FROM 
                   EMPLOYER MANDATE UNDER PATIENT PROTECTION AND 
                   AFFORDABLE CARE ACT.

       (a) In General.--Section 4980H(c)(2) of the Internal 
     Revenue Code is amended by adding at the end the following:
       ``(F) Exemption for health coverage under tricare or the 
     veterans administration.--Solely for purposes of determining 
     whether an employer is an applicable large employer under 
     this paragraph for any month, an employer may elect not to 
     take into account for a month as an employee any individual 
     who, for such month, has medical coverage under--
       ``(i) chapter 55 of title 10, United States Code, including 
     coverage under the TRICARE program, or
       ``(ii) under a health care program under chapter 17 or 18 
     of title 38, United States Code, as determined by the 
     Secretary of Veterans Affairs, in coordination with the 
     Secretary of Health and Human Services and the Secretary.''.
       (b) Effective Date.--The amendment made by subsection (a) 
     shall apply to months beginning after December 31, 2013.
                                 ______
                                 
  SA 2955. Mr. McCONNELL submitted an amendment intended to be proposed 
by him to the bill H.R. 3979, to amend the Internal Revenue Code of 
1986 to ensure that emergency services volunteers are not taken into 
account as employees under the shared responsibility requirements 
contained in the Patient Protection and Affordable Care Act; which was 
ordered to lie on the table; as follows:

       At the end of the amendment, add the following:

                      DIVISION B--SAVING COAL JOBS

     SEC. 2001. SHORT TITLE.

       This division may be cited as the ``Saving Coal Jobs Act of 
     2013''.

                   TITLE I--PROHIBITION ON ENERGY TAX

     SEC. 2101. PROHIBITION ON ENERGY TAX.

       (a) Findings; Purposes.--
       (1) Findings.--Congress finds that--
       (A) on June 25, 2013, President Obama issued a Presidential 
     memorandum directing the Administrator of the Environmental 
     Protection Agency to issue regulations relating to power 
     sector carbon pollution standards for existing coal fired 
     power plants;
       (B) the issuance of that memorandum circumvents Congress 
     and the will of the people of the United States;
       (C) any action to control emissions of greenhouse gases 
     from existing coal fired power plants in the United States by 
     mandating a national energy tax would devastate major sectors 
     of the economy, cost thousands of jobs, and increase energy 
     costs for low-income households, small businesses, and 
     seniors on fixed income;
       (D) joblessness increases the likelihood of hospital 
     visits, illnesses, and premature deaths;
       (E) according to testimony on June 15, 2011, before the 
     Committee on Environment and Public Works of the Senate by 
     Dr. Harvey Brenner of Johns Hopkins University, ``The 
     unemployment rate is well established as a risk factor for 
     elevated illness and mortality rates in epidemiological 
     studies performed since the early 1980s. In addition to 
     influences on mental disorder, suicide and alcohol abuse and 
     alcoholism, unemployment is also an important risk factor in 
     cardiovascular disease and overall decreases in life 
     expectancy.'';
       (F) according to the National Center for Health Statistics, 
     ``children in poor families were four times as likely to be 
     in fair or poor health as children that were not poor'';
       (G) any major decision that would cost the economy of the 
     United States millions of dollars and lead to serious 
     negative health effects for the people of the United States 
     should be debated and explicitly authorized by Congress, not 
     approved by a Presidential memorandum or regulations; and
       (H) any policy adopted by Congress should make United 
     States energy as clean as practicable, as quickly as 
     practicable, without increasing the cost of energy for 
     struggling families, seniors, low-income households, and 
     small businesses.
       (2) Purposes.--The purposes of this section are--
       (A) to ensure that--
       (i) a national energy tax is not imposed on the economy of 
     the United States; and
       (ii) struggling families, seniors, low-income households, 
     and small businesses do not experience skyrocketing 
     electricity bills and joblessness;
       (B) to protect the people of the United States, 
     particularly families, seniors, and children, from the 
     serious negative health effects of joblessness;
       (C) to allow sufficient time for Congress to develop and 
     authorize an appropriate mechanism to address the energy 
     needs of the United States and the potential challenges posed 
     by severe weather; and
       (D) to restore the legislative process and congressional 
     authority over the energy policy of the United States.
       (b) Presidential Memorandum.--Notwithstanding any other 
     provision of law, the head

[[Page 5290]]

     of a Federal agency shall not promulgate any regulation 
     relating to power sector carbon pollution standards or any 
     substantially similar regulation on or after June 25, 2013, 
     unless that regulation is explicitly authorized by an Act of 
     Congress.

                           TITLE II--PERMITS

     SEC. 2201. NATIONAL POLLUTANT DISCHARGE ELIMINATION SYSTEM.

       (a) Applicability of Guidance.--Section 402 of the Federal 
     Water Pollution Control Act (33 U.S.C. 1342) is amended by 
     adding at the end the following:
       ``(s) Applicability of Guidance.--
       ``(1) Definitions.--In this subsection:
       ``(A) Guidance.--
       ``(i) In general.--The term `guidance' means draft, 
     interim, or final guidance issued by the Administrator.
       ``(ii) Inclusions.--The term `guidance' includes--

       ``(I) the comprehensive guidance issued by the 
     Administrator and dated April 1, 2010;
       ``(II) the proposed guidance entitled `Draft Guidance on 
     Identifying Waters Protected by the Clean Water Act' and 
     dated April 28, 2011;
       ``(III) the final guidance proposed by the Administrator 
     and dated July 21, 2011; and
       ``(IV) any other document or paper issued by the 
     Administrator through any process other than the notice and 
     comment rulemaking process.

       ``(B) New permit.--The term `new permit' means a permit 
     covering discharges from a structure--
       ``(i) that is issued under this section by a permitting 
     authority; and
       ``(ii) for which an application is--

       ``(I) pending as of the date of enactment of this 
     subsection; or
       ``(II) filed on or after the date of enactment of this 
     subsection.

       ``(C) Permitting authority.--The term `permitting 
     authority' means--
       ``(i) the Administrator; or
       ``(ii) a State, acting pursuant to a State program that is 
     equivalent to the program under this section and approved by 
     the Administrator.
       ``(2) Permits.--
       ``(A) In general.--Notwithstanding any other provision of 
     law, in making a determination whether to approve a new 
     permit or a renewed permit, the permitting authority--
       ``(i) shall base the determination only on compliance with 
     regulations issued by the Administrator or the permitting 
     authority; and
       ``(ii) shall not base the determination on the extent of 
     adherence of the applicant for the new permit or renewed 
     permit to guidance.
       ``(B) New permits.--If the permitting authority does not 
     approve or deny an application for a new permit by the date 
     that is 270 days after the date of receipt of the application 
     for the new permit, the applicant may operate as if the 
     application were approved in accordance with Federal law for 
     the period of time for which a permit from the same industry 
     would be approved.
       ``(C) Substantial completeness.--In determining whether an 
     application for a new permit or a renewed permit received 
     under this paragraph is substantially complete, the 
     permitting authority shall use standards for determining 
     substantial completeness of similar permits for similar 
     facilities submitted in fiscal year 2007.''.
       (b) State Permit Programs.--
       (1) In general.--Section 402 of the Federal Water Pollution 
     Control Act (33 U.S.C. 1342) is amended by striking 
     subsection (b) and inserting the following:
       ``(b) State Permit Programs.--
       ``(1) In general.--At any time after the promulgation of 
     the guidelines required by section 304(a)(2), the Governor of 
     each State desiring to administer a permit program for 
     discharges into navigable waters within the jurisdiction of 
     the State may submit to the Administrator--
       ``(A) a full and complete description of the program the 
     State proposes to establish and administer under State law or 
     under an interstate compact; and
       ``(B) a statement from the attorney general (or the 
     attorney for those State water pollution control agencies 
     that have independent legal counsel), or from the chief legal 
     officer in the case of an interstate agency, that the laws of 
     the State, or the interstate compact, as applicable, provide 
     adequate authority to carry out the described program.
       ``(2) Approval.--The Administrator shall approve each 
     program for which a description is submitted under paragraph 
     (1) unless the Administrator determines that adequate 
     authority does not exist--
       ``(A) to issue permits that--
       ``(i) apply, and ensure compliance with, any applicable 
     requirements of sections 301, 302, 306, 307, and 403;
       ``(ii) are for fixed terms not exceeding 5 years;
       ``(iii) can be terminated or modified for cause, 
     including--

       ``(I) a violation of any condition of the permit;
       ``(II) obtaining a permit by misrepresentation or failure 
     to disclose fully all relevant facts; and
       ``(III) a change in any condition that requires either a 
     temporary or permanent reduction or elimination of the 
     permitted discharge; and

       ``(iv) control the disposal of pollutants into wells;
       ``(B)(i) to issue permits that apply, and ensure compliance 
     with, all applicable requirements of section 308; or
       ``(ii) to inspect, monitor, enter, and require reports to 
     at least the same extent as required in section 308;
       ``(C) to ensure that the public, and any other State the 
     waters of which may be affected, receives notice of each 
     application for a permit and an opportunity for a public 
     hearing before a ruling on each application;
       ``(D) to ensure that the Administrator receives notice and 
     a copy of each application for a permit;
       ``(E) to ensure that any State (other than the permitting 
     State), whose waters may be affected by the issuance of a 
     permit may submit written recommendations to the permitting 
     State and the Administrator with respect to any permit 
     application and, if any part of the written recommendations 
     are not accepted by the permitting State, that the permitting 
     State will notify the affected State and the Administrator in 
     writing of the failure of the State to accept the 
     recommendations, including the reasons for not accepting the 
     recommendations;
       ``(F) to ensure that no permit will be issued if, in the 
     judgment of the Secretary of the Army (acting through the 
     Chief of Engineers), after consultation with the Secretary of 
     the department in which the Coast Guard is operating, 
     anchorage and navigation of any of the navigable waters would 
     be substantially impaired by the issuance of the permit;
       ``(G) to abate violations of the permit or the permit 
     program, including civil and criminal penalties and other 
     means of enforcement;
       ``(H) to ensure that any permit for a discharge from a 
     publicly owned treatment works includes conditions to require 
     the identification in terms of character and volume of 
     pollutants of any significant source introducing pollutants 
     subject to pretreatment standards under section 307(b) into 
     the treatment works and a program to ensure compliance with 
     those pretreatment standards by each source, in addition to 
     adequate notice, which shall include information on the 
     quality and quantity of effluent to be introduced into the 
     treatment works and any anticipated impact of the change in 
     the quantity or quality of effluent to be discharged from the 
     publicly owned treatment works, to the permitting agency of--
       ``(i) new introductions into the treatment works of 
     pollutants from any source that would be a new source (as 
     defined in section 306(a)) if the source were discharging 
     pollutants;
       ``(ii) new introductions of pollutants into the treatment 
     works from a source that would be subject to section 301 if 
     the source were discharging those pollutants; or
       ``(iii) a substantial change in volume or character of 
     pollutants being introduced into the treatment works by a 
     source introducing pollutants into the treatment works at the 
     time of issuance of the permit; and
       ``(I) to ensure that any industrial user of any publicly 
     owned treatment works will comply with sections 204(b), 307, 
     and 308.
       ``(3) Administration.--Notwithstanding paragraph (2), the 
     Administrator may not disapprove or withdraw approval of a 
     program under this subsection on the basis of the following:
       ``(A) The failure of the program to incorporate or comply 
     with guidance (as defined in subsection (s)(1)).
       ``(B) The implementation of a water quality standard that 
     has been adopted by the State and approved by the 
     Administrator under section 303(c).''.
       (2) Conforming amendments.--
       (A) Section 309 of the Federal Water Pollution Control Act 
     (33 U.S.C. 1319) is amended--
       (i) in subsection (c)--

       (I) in paragraph (1)(A), by striking ``402(b)(8)'' and 
     inserting ``402(b)(2)(H)''; and
       (II) in paragraph (2)(A), by striking ``402(b)(8)'' and 
     inserting ``402(b)(2)(H)''; and

       (ii) in subsection (d), in the first sentence, by striking 
     ``402(b)(8)'' and inserting ``402(b)(2)(H)''.
       (B) Section 402(m) of the Federal Water Pollution Control 
     Act (33 U.S.C. 1342(m)) is amended in the first sentence by 
     striking ``subsection (b)(8) of this section'' and inserting 
     ``subsection (b)(2)(H)''.
       (c) Suspension of Federal Program.--Section 402(c) of the 
     Federal Water Pollution Control Act (33 U.S.C. 1342(c)) is 
     amended--
       (1) by redesignating paragraph (4) as paragraph (5); and
       (2) by inserting after paragraph (3) the following:
       ``(4) Limitation on disapproval.--Notwithstanding 
     paragraphs (1) through (3), the Administrator may not 
     disapprove or withdraw approval of a State program under 
     subsection (b) on the basis of the failure of the following:
       ``(A) The failure of the program to incorporate or comply 
     with guidance (as defined in subsection (s)(1)).
       ``(B) The implementation of a water quality standard that 
     has been adopted by the State and approved by the 
     Administrator under section 303(c).''.
       (d) Notification of Administrator.--Section 402(d)(2) of 
     the Federal Water Pollution

[[Page 5291]]

     Control Act (33 U.S.C. 1342(d)(2)) is amended--
       (1) by striking ``(2)'' and all that follows through the 
     end of the first sentence and inserting the following:
       ``(2) Objection by administrator.--
       ``(A) In general.--Subject to subparagraph (C), no permit 
     shall issue if--
       ``(i) not later than 90 days after the date on which the 
     Administrator receives notification under subsection 
     (b)(2)(E), the Administrator objects in writing to the 
     issuance of the permit; or
       ``(ii) not later than 90 days after the date on which the 
     proposed permit of the State is transmitted to the 
     Administrator, the Administrator objects in writing to the 
     issuance of the permit as being outside the guidelines and 
     requirements of this Act.'';
       (2) in the second sentence, by striking ``Whenever the 
     Administrator'' and inserting the following:
       ``(B) Requirements.--If the Administrator''; and
       (3) by adding at the end the following:
       ``(C) Exception.--The Administrator shall not object to or 
     deny the issuance of a permit by a State under subsection (b) 
     or (s) based on the following:
       ``(i) Guidance, as that term is defined in subsection 
     (s)(1).
       ``(ii) The interpretation of the Administrator of a water 
     quality standard that has been adopted by the State and 
     approved by the Administrator under section 303(c).''.

     SEC. 2202. PERMITS FOR DREDGED OR FILL MATERIAL.

       (a) In General.--Section 404 of the Federal Water Pollution 
     Control Act (33 U.S.C. 1344) is amended--
       (1) by striking the section heading and all that follows 
     through ``Sec. 404. (a) The Secretary may issue'' and 
     inserting the following:

     ``SEC. 404. PERMITS FOR DREDGED OR FILL MATERIAL.

       ``(a) Permits.--
       ``(1) In general.--The Secretary may issue''; and
       (2) in subsection (a), by adding at the end the following:
       ``(2) Deadline for approval.--
       ``(A) Permit applications.--
       ``(i) In general.--Except as provided in clause (ii), if an 
     environmental assessment or environmental impact statement, 
     as appropriate, is required under the National Environmental 
     Policy Act of 1969 (42 U.S.C. 4321 et seq.), the Secretary 
     shall--

       ``(I) begin the process not later than 90 days after the 
     date on which the Secretary receives a permit application; 
     and
       ``(II) approve or deny an application for a permit under 
     this subsection not later than the latter of--

       ``(aa) if an agency carries out an environmental assessment 
     that leads to a finding of no significant impact, the date on 
     which the finding of no significant impact is issued; or
       ``(bb) if an agency carries out an environmental assessment 
     that leads to a record of decision, 15 days after the date on 
     which the record of decision on an environmental impact 
     statement is issued.
       ``(ii) Processes.--Notwithstanding clause (i), regardless 
     of whether the Secretary has commenced an environmental 
     assessment or environmental impact statement by the date 
     described in clause (i)(I), the following deadlines shall 
     apply:

       ``(I) An environmental assessment carried out under the 
     National Environmental Policy Act of 1969 (42 U.S.C. 4321 et 
     seq.) shall be completed not later than 1 year after the 
     deadline for commencing the permit process under clause 
     (i)(I).
       ``(II) An environmental impact statement carried out under 
     the National Environmental Policy Act of 1969 (42 U.S.C. 4321 
     et seq.) shall be completed not later than 2 years after the 
     deadline for commencing the permit process under clause 
     (i)(I).

       ``(B) Failure to act.--If the Secretary fails to act by the 
     deadline specified in clause (i) or (ii) of subparagraph 
     (A)--
       ``(i) the application, and the permit requested in the 
     application, shall be considered to be approved;
       ``(ii) the Secretary shall issue a permit to the applicant; 
     and
       ``(iii) the permit shall not be subject to judicial 
     review.''.
       (b) State Permitting Programs.--Section 404 of the Federal 
     Water Pollution Control Act (33 U.S.C. 1344) is amended by 
     striking subsection (c) and inserting the following:
       ``(c) Authority of Administrator.--
       ``(1) In general.--Subject to paragraphs (2) through (4), 
     until the Secretary has issued a permit under this section, 
     the Administrator is authorized to prohibit the specification 
     (including the withdrawal of specification) of any defined 
     area as a disposal site, and deny or restrict the use of any 
     defined area for specification (including the withdrawal of 
     specification) as a disposal site, if the Administrator 
     determines, after notice and opportunity for public hearings, 
     that the discharge of the materials into the area will have 
     an unacceptable adverse effect on municipal water supplies, 
     shellfish beds or fishery areas (including spawning and 
     breeding areas), wildlife, or recreational areas.
       ``(2) Consultation.--Before making a determination under 
     paragraph (1), the Administrator shall consult with the 
     Secretary.
       ``(3) Findings.--The Administrator shall set forth in 
     writing and make public the findings of the Administrator and 
     the reasons of the Administrator for making any determination 
     under this subsection.
       ``(4) Authority of state permitting programs.--This 
     subsection shall not apply to any permit if the State in 
     which the discharge originates or will originate does not 
     concur with the determination of the Administrator that the 
     discharge will result in an unacceptable adverse effect as 
     described in paragraph (1).''.
       (c) State Programs.--Section 404(g)(1) of the Federal Water 
     Pollution Control Act (33 U.S.C. 1344(g)(1)) is amended in 
     the first sentence by striking ``for the discharge'' and 
     inserting ``for all or part of the discharges''.

     SEC. 2203. IMPACTS OF ENVIRONMENTAL PROTECTION AGENCY 
                   REGULATORY ACTIVITY ON EMPLOYMENT AND ECONOMIC 
                   ACTIVITY.

       (a) Definitions.--In this section:
       (1) Administrator.--The term ``Administrator'' means the 
     Administrator of the Environmental Protection Agency.
       (2) Covered action.--The term ``covered action'' means any 
     of the following actions taken by the Administrator under the 
     Federal Water Pollution Control Act (33 U.S.C. 1251 et seq.):
       (A) Issuing a regulation, policy statement, guidance, 
     response to a petition, or other requirement.
       (B) Implementing a new or substantially altered program.
       (3) More than a de minimis negative impact.--The term 
     ``more than a de minimis negative impact'' means the 
     following:
       (A) With respect to employment levels, a loss of more than 
     100 jobs, except that any offsetting job gains that result 
     from the hypothetical creation of new jobs through new 
     technologies or government employment may not be used in the 
     job loss calculation.
       (B) With respect to economic activity, a decrease in 
     economic activity of more than $1,000,000 over any calendar 
     year, except that any offsetting economic activity that 
     results from the hypothetical creation of new economic 
     activity through new technologies or government employment 
     may not be used in the economic activity calculation.
       (b) Analysis of Impacts of Actions on Employment and 
     Economic Activity.--
       (1) Analysis.--Before taking a covered action, the 
     Administrator shall analyze the impact, disaggregated by 
     State, of the covered action on employment levels and 
     economic activity, including estimated job losses and 
     decreased economic activity.
       (2) Economic models.--
       (A) In general.--In carrying out paragraph (1), the 
     Administrator shall use the best available economic models.
       (B) Annual gao report.--Not later than December 31st of 
     each year, the Comptroller General of the United States shall 
     submit to Congress a report on the economic models used by 
     the Administrator to carry out this subsection.
       (3) Availability of information.--With respect to any 
     covered action, the Administrator shall--
       (A) post the analysis under paragraph (1) as a link on the 
     main page of the public Internet Web site of the 
     Environmental Protection Agency; and
       (B) request that the Governor of any State experiencing 
     more than a de minimis negative impact post the analysis in 
     the Capitol of the State.
       (c) Public Hearings.--
       (1) In general.--If the Administrator concludes under 
     subsection (b)(1) that a covered action will have more than a 
     de minimis negative impact on employment levels or economic 
     activity in a State, the Administrator shall hold a public 
     hearing in each such State at least 30 days prior to the 
     effective date of the covered action.
       (2) Time, location, and selection.--
       (A) In general.--A public hearing required under paragraph 
     (1) shall be held at a convenient time and location for 
     impacted residents.
       (B) Priority.--In selecting a location for such a public 
     hearing, the Administrator shall give priority to locations 
     in the State that will experience the greatest number of job 
     losses.
       (d) Notification.--If the Administrator concludes under 
     subsection (b)(1) that a covered action will have more than a 
     de minimis negative impact on employment levels or economic 
     activity in any State, the Administrator shall give notice of 
     such impact to the congressional delegation, Governor, and 
     legislature of the State at least 45 days before the 
     effective date of the covered action.

     SEC. 2204. IDENTIFICATION OF WATERS PROTECTED BY THE CLEAN 
                   WATER ACT.

       (a) In General.--The Secretary of the Army and the 
     Administrator of the Environmental Protection Agency may 
     not--
       (1) finalize, adopt, implement, administer, or enforce the 
     proposed guidance described in the notice of availability and 
     request for comments entitled ``EPA and Army Corps of 
     Engineers Guidance Regarding Identification of Waters 
     Protected by the Clean Water Act'' (EPA-HQ-OW-2011-0409) (76 
     Fed. Reg. 24479 (May 2, 2011)); and
       (2) use the guidance described in paragraph (1), any 
     successor document, or any substantially similar guidance 
     made publicly available on or after December 3, 2008, as the 
     basis

[[Page 5292]]

     for any decision regarding the scope of the Federal Water 
     Pollution Control Act (33 U.S.C. 1251 et seq.) or any 
     rulemaking.
       (b) Rules.--The use of the guidance described in subsection 
     (a)(1), or any successor document or substantially similar 
     guidance made publicly available on or after December 3, 
     2008, as the basis for any rule shall be grounds for vacating 
     the rule.

     SEC. 2205. LIMITATIONS ON AUTHORITY TO MODIFY STATE WATER 
                   QUALITY STANDARDS.

       (a) State Water Quality Standards.--Section 303(c)(4) of 
     the Federal Water Pollution Control Act (33 U.S.C. 
     1313(c)(4)) is amended--
       (1) by redesignating subparagraphs (A) and (B) as clauses 
     (i) and (ii), respectively, and indenting appropriately;
       (2) by striking ``(4) The'' and inserting the following:
       ``(4) Promulgation of revised or new standards.--
       ``(A) In general.--The'';
       (3) by striking ``The Administrator shall promulgate'' and 
     inserting the following:
       ``(B) Deadline.--The Administrator shall promulgate;'' and
       (4) by adding at the end the following:
       ``(C) State water quality standards.--Notwithstanding any 
     other provision of this paragraph, the Administrator may not 
     promulgate a revised or new standard for a pollutant in any 
     case in which the State has submitted to the Administrator 
     and the Administrator has approved a water quality standard 
     for that pollutant, unless the State concurs with the 
     determination of the Administrator that the revised or new 
     standard is necessary to meet the requirements of this 
     Act.''.
       (b) Federal Licenses and Permits.--Section 401(a) of the 
     Federal Water Pollution Control Act (33 U.S.C. 1341(a)) is 
     amended by adding at the end the following:
       ``(7) State or interstate agency determination.--With 
     respect to any discharge, if a State or interstate agency 
     having jurisdiction over the navigable waters at the point at 
     which the discharge originates or will originate determines 
     under paragraph (1) that the discharge will comply with the 
     applicable provisions of sections 301, 302, 303, 306, and 
     307, the Administrator may not take any action to supersede 
     the determination.''.

     SEC. 2206. STATE AUTHORITY TO IDENTIFY WATERS WITHIN 
                   BOUNDARIES OF THE STATE.

       Section 303(d) of the Federal Water Pollution Control Act 
     (33 U.S.C. 1313(d)) is amended by striking paragraph (2) and 
     inserting the following:
       ``(2) State authority to identify waters within boundaries 
     of the state.--
       ``(A) In general.--Each State shall submit to the 
     Administrator from time to time, with the first such 
     submission not later than 180 days after the date of 
     publication of the first identification of pollutants under 
     section 304(a)(2)(D), the waters identified and the loads 
     established under subparagraphs (A), (B), (C), and (D) of 
     paragraph (1).
       ``(B) Approval or disapproval by administrator.--
       ``(i) In general.--Not later than 30 days after the date of 
     submission, the Administrator shall approve the State 
     identification and load or announce the disagreement of the 
     Administrator with the State identification and load.
       ``(ii) Approval.--If the Administrator approves the 
     identification and load submitted by the State under this 
     subsection, the State shall incorporate the identification 
     and load into the current plan of the State under subsection 
     (e).
       ``(iii) Disapproval.--If the Administrator announces the 
     disagreement of the Administrator with the identification and 
     load submitted by the State under this subsection. the 
     Administrator shall submit, not later than 30 days after the 
     date that the Administrator announces the disagreement of the 
     Administrator with the submission of the State, to the State 
     the written recommendation of the Administrator of those 
     additional waters that the Administrator identifies and such 
     loads for such waters as the Administrator believes are 
     necessary to implement the water quality standards applicable 
     to the waters.
       ``(C) Action by state.--Not later than 30 days after 
     receipt of the recommendation of the Administrator, the State 
     shall--
       ``(i) disregard the recommendation of the Administrator in 
     full and incorporate its own identification and load into the 
     current plan of the State under subsection (e);
       ``(ii) accept the recommendation of the Administrator in 
     full and incorporate its identification and load as amended 
     by the recommendation of the Administrator into the current 
     plan of the State under subsection (e); or
       ``(iii) accept the recommendation of the Administrator in 
     part, identifying certain additional waters and certain 
     additional loads proposed by the Administrator to be added to 
     the State's identification and load and incorporate the 
     State's identification and load as amended into the current 
     plan of the State under subsection (e).
       ``(D) Noncompliance by administrator.--
       ``(i) In general.--If the Administrator fails to approve 
     the State identification and load or announce the 
     disagreement of the Administrator with the State 
     identification and load within the time specified in this 
     subsection--

       ``(I) the identification and load of the State shall be 
     considered approved; and
       ``(II) the State shall incorporate the identification and 
     load that the State submitted into the current plan of the 
     State under subsection (e).

       ``(ii) Recommendations not submitted.--If the Administrator 
     announces the disagreement of the Administrator with the 
     identification and load of the State but fails to submit the 
     written recommendation of the Administrator to the State 
     within 30 days as required by subparagraph (B)(iii)--

       ``(I) the identification and load of the State shall be 
     considered approved; and
       ``(II) the State shall incorporate the identification and 
     load that the State submitted into the current plan of the 
     State under subsection (e).

       ``(E) Application.--This section shall apply to any 
     decision made by the Administrator under this subsection 
     issued on or after March 1, 2013.''.
                                 ______
                                 
  SA 2956. Mr. REID (for Mr. Menendez) proposed an amendment to the 
resolution S. Res. 371, honoring the legacy and accomplishments of Jan 
Karski on the centennial of his birth; as follows:

       Beginning on page 2, strike line 2 and all that follows 
     through ``(3) applauds'' on page 3, line 3, and insert the 
     following:
       (1) recognizes the life and legacy of Dr. Jan Karski on the 
     centennial of his birth, and expresses its gratitude for his 
     efforts alerting the free world about the atrocities 
     committed by Nazi and totalitarian forces in occupied Poland 
     during World War II; and
       (2) applauds
                                 ______
                                 
  SA 2957. Mr. REID (for Mr. Menendez) proposed an amendment to the 
resolution S. Res. 371, 0; as follows:

       Amend the title so as to read: ``Honoring the legacy and 
     accomplishments of Jan Karski on the centennial of his 
     birth.''.

                          ____________________