[Senate Report 111-285]
[From the U.S. Government Publishing Office]
Calendar No. 556
111th Congress Report
SENATE
2d Session 111-285
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VETERAN EMPLOYMENT ASSISTANCE ACT OF 2010
_______
September 2, 2010.--Ordered to be printed
Filed, under authority of the order of the Senate of August 5, 2010
_______
Mr. Akaka, from the Committee on Veterans' Affairs,
submitted the following
R E P O R T
[To accompany S. 3234]
The Committee on Veterans' Affairs (hereinafter, ``the
Committee''), to which was referred the bill (S. 3234), to
improve employment, training, and placement services furnished
to veterans, especially those serving in Operation Iraqi
Freedom and Operation Enduring Freedom, and for other purposes,
reports favorably thereon with an amendment in the nature of a
substitute, and recommends that the bill, as amended, do pass.
Introduction
On April 20, 2010, Senator Murray introduced S. 3234, to
improve employment, training, and placement services furnished
to veterans, especially those serving in Operation Iraqi
Freedom (hereinafter, ``OIF'') and Operation Enduring Freedom
(hereinafter, ``OEF''), and for other purposes. Senators
Begich, Durbin, Klobuchar, Lincoln, Murkowski, and Reid were
original cosponsors. Later, Senators Boxer, Brown (OH),
Cantwell, Gillibrand, Lautenberg, Snowe, and Wyden were added
as cosponsors.
On May 19, 2010, the Committee held a hearing on pending
health and benefits legislation, including S. 3234. Testimony
was offered by: Thomas J. Pamperin, Associate Deputy Under
Secretary for Policy and Program Management, Veterans Benefits
Administration, Department of Veterans Affairs; Robert Jesse,
MD, Principal Deputy Under Secretary for Health, Veterans
Health Administration; The Honorable Raymond Jefferson,
Assistant Secretary for Veterans' Employment and Training
Service (hereinafter, ``VETS''), Department of Labor; Ian
DePlanque, Assistant Director, Veterans Affairs and
Rehabilitation Commission, The American Legion; Eric A.
Hilleman, National Legislative Director, Veterans of Foreign
Wars; Rick Weidman, Executive Director for Policy and
Government Affairs, Vietnam Veterans of America; and Tom
Tarantino, Legislative Associate, Iraq and Afghanistan Veterans
of America.
Committee Meeting
After carefully reviewing the testimony from the May 19
hearing, the Committee met in open session on August 5, 2010,
to consider, among other legislation, an amended version of
S. 3234. Pursuant to Rule I (G) of the Committee Rules, Ranking
Member Burr offered an amendment to section 5 of S. 3234, which
would include a military pathways demonstration project for
border security and immigration enforcement. At the Committee
meeting, the Chairman, on behalf of Senator Murray, offered a
second degree amendment to Ranking Member Burr's amendment,
which would broaden the focus of the military pathways
demonstration project so that, instead of focusing exclusively
on border security and immigration enforcement, the
demonstration project could focus on training for all law
enforcement and security jobs. The Committee accepted the
second degree amendment as well as the first degree amendment
by voice vote. S. 3234 was reported favorably as amended.
Summary of S. 3234 as Reported
S. 3234, as reported (hereinafter, ``the Committee bill''),
would improve employment, training, and placement services
furnished to veterans, especially those serving in OIF and OEF.
Section 1 would establish a short title for the bill,
``Veteran Employment Assistance Act of 2010.''
Section 2 would establish a Veterans' Business Center
Program within the Small Business Administration's Office of
Veterans Business Development (hereinafter, ``OVBD''), which
would provide financial assistance to a private nonprofit
organization to establish or operate a veterans' business
center in order to provide entrepreneurial training and
counseling to veterans, reservists, and their spouses or
surviving spouses. It would also require OVBD to create an
online mechanism through which the Veterans' Business Centers
could provide information to aid veterans' assistance providers
in carrying out services set forth in this section, and to be
able to distribute information and resource materials and
communicate with each other regarding best practices.
Section 3 would establish a reporting requirement for the
Interagency Task Force on Veterans Small Business Development,
established pursuant to section 657b(c) of title 15, United
States Code (hereinafter, ``U.S.C.'').
Section 4 would repeal the Small Business Administration's
authority to award new grants and renew previously awarded
grants for outreach programs for veterans.
Section 5 would authorize the Secretary of Labor to
establish demonstration projects designed to test the
feasibility of methods of enabling transitioning military
members to build on or continue to develop the technical skills
learned in many military jobs, to enter the information
technology, law enforcement and security, nursing, physician
assistant, and public health and allied health professional
workforces to meet the increasing demand in these particular
job markets.
Section 6 would require the Secretary of Veterans Affairs,
in consultation with the Secretary of Labor, to establish two
separate programs for grants to states to establish a veteran-
to-veteran corps and a veterans conservation corps.
Section 7 would require the Secretary of Defense and the
Secretary of Labor to report to Congress recommendations for
improving and enhancing the Transition Assistance Program
(hereinafter, ``TAP'') to better meet the needs of members of
the Armed Forces and veterans. This section would also require
the Secretary of Defense to complete a study of the National
Guard Employment Enhancement Program (hereinafter, ``NGEEP'')
of the Washington National Guard and evaluate possibly
expanding it to all members of reserve components of the Armed
Forces transitioning from active military service to civilian
life.
Section 8 would require the Secretary of Labor to conduct a
3-year longitudinal study to determine whether gender impacts
the need of unemployed veterans to collect unemployment
benefits.
Section 9 would extend for three fiscal years an expired
and never implemented pilot program for credentialing and
licensure of military skill sets for veterans and would add a
particular reference to and emphasis on emergency medical
service personnel for the purposes of the demonstration
project.
Background and Discussion
Sec. 2. Veterans' Business Center Program.
Section 2 of the Committee bill would establish a Veterans'
Business Center Program within OVBD which would provide
financial assistance to a private nonprofit organization to
establish or operate a veterans' business center in order to
provide entrepreneurial training and counseling to veterans,
reservists, and their spouses or surviving spouses. It would
also require OVBD to create an online mechanism through which
the Veterans' Business Centers could provide information to aid
veterans' assistance providers in carrying out services set
forth in this section, and to be able to distribute information
and resource materials and communicate with each other
regarding best practices.
Background. Section 2 of the Committee bill, along with
sections 3 and 4, are derived from title IV of S. 1229, the
proposed ``Entrepreneurial Development Act of 2009,'' which was
reported by the Senate Committee on Small Business and
Entrepreneurship on July 2, 2009. That Committee's report
accompanying S. 1229 is S. Rpt. 111-36.
Committee Bill. For a discussion of section 2 of the
Committee bill, see S. Rpt. 111-36.
Sec. 3. Reporting requirement for interagency task force on small
businesses owned and controlled by disabled veterans.
Section 3 of the Committee bill would establish a reporting
requirement for the Interagency Task Force on Veterans Small
Business Development, established pursuant to section 657b(c)
of title 15, U.S.C.
Background. As noted above, section 3 of the Committee bill
is derived from S. 1229, as reported by the Senate Committee on
Small Business and Entrepreneurship on July 2, 2009.
Committee Bill. For a discussion of section 3 of the
Committee bill, see S. Rpt. 111-36.
Sec. 4. Repeal of authority to award new grants and renewal of
previously awarded grants for outreach programs for veterans.
Section 4 of the Committee bill would repeal the Small
Business Administration's authority to award new grants and
renew previously awarded grants for outreach programs for
veterans.
Background. As stated above, section 4 of the Committee
bill is derived from S. 1229, as reported by the Senate
Committee on Small Business and Entrepreneurship on July 2,
2009.
Committee Bill. For a discussion of section 4 of the
Committee bill, see S. Rpt. 111-36.
Sec. 5. Military Pathways Demonstration Programs.
Section 5 of the Committee bill would authorize the
Secretary of Labor to establish demonstration projects designed
to test the feasibility of methods of enabling transitioning
military members to build on or continue to develop the
technical skills learned in many military jobs, to enter the
information technology, law enforcement and security, nursing,
physician assistant, and public health and allied health
professional workforces to meet the increasing demand in these
particular job markets.
Background. One challenge facing servicemembers leaving the
military is transferring valuable skills and experience gained
during their service into qualifications for civilian
employment. According to May 19, 2010, testimony by the Iraq
and Afghanistan Veterans of America:
America's newest veterans face serious employment
challenges. The process of returning to civilian life
is complicated by the most severe economic recession in
decades. Many Iraq and Afghanistan veterans, leaving
the active-duty military, find civilian employers who
do not understand the value of their skills and
military experience. As a result, unemployment rates
for Iraq and Afghanistan veterans are staggering.
Often, veterans are not given the opportunity to continue
to build on the skill sets they acquired in the military and
are forced to start from scratch after they leave the service.
This is not only frustrating to the veteran, but a disadvantage
to employers in their communities. Being able to properly
transfer and build upon skills learned in military jobs will
save money and time by not requiring that specialized military
training be duplicated in and by the civilian sector. It would
also expedite the hiring process in filling increasingly vacant
positions in certain occupations.
Committee Bill. Section 5 of the Committee bill would
authorize the Secretary of Labor, through the Assistant
Secretary for VETS, to establish and examine demonstration
programs and carry out the programs by making grants, on a
competitive basis, to not more than five entities each for the
demonstration projects in: (1) information technology; (2)
certain health care professional occupations; and (3) law
enforcement and security.
These demonstration projects would be designed to test the
feasibility of methods of enabling transitioning military
members to build on or continue to develop the technical skills
learned in many military jobs, to enter the information
technology, law enforcement and security, nursing, physician
assistant, and public health and allied health professional
workforces to meet the increasing demand in these particular
job markets. The medical and information technology industries
are high demand career fields where veterans would find great
portability of their skills. Given the demand for providers
such as physician assistants and nurses, being able to
determine best practices for transitioning these skills would
enable more servicemembers to enter their chosen field faster
while providing greater access to more skilled labor.
Transitioning from the military into a career in law
enforcement and security is, in some ways, a natural
progression; therefore, the third demonstration project would
ensure that military skills would be recognized and equated to
similar training provided in the civilian sector.
The Committee is concerned that veterans eager to join the
civilian workforce, but in need of additional education or
training prior to entering their career field, are being
stymied because their military training and experience are not
adequately transitioning. Servicemembers in the medical field,
for example, are conducting extensive training while perhaps
gathering significantly more professional experience than their
civilian counterparts before entering school. However, veterans
interested in joining the medical field are often required to
attend school or training certification programs as if they had
no previous experience. The Committee's intent is to establish
best practices through pilot programs that would enable
servicemembers to better transfer their military skills and
training to civilian professions.
Sec. 6. Veterans corps grant programs.
Section 6 of the Committee bill would require the Secretary
of Veterans Affairs, in consultation with the Secretary of
Labor, to establish two separate programs to award grants to
states. The programs would award grants to states for the
purpose of establishing a veteran-to-veteran corps and a
veterans conservation corps, respectively.
Background. While some veterans continue to succeed despite
the current economic climate, others may be better supported by
direct assistance with employment beyond what is currently
available under law. This may be true for recently
transitioning former troops of OIF and OEF and for veterans of
previous eras who face unemployment challenges that are related
to their military service. Some state governments have the
institutional infrastructure to provide additional assistance
to these veterans, but fiscal realities may have made it
difficult for some state and local governments to fund
employment opportunities specifically for veterans.
It is the Committee's view that grant programs directly
providing employment for veterans will receive a greater return
if those veterans are employed in work that capitalizes on
their existing training or understanding from their experiences
as servicemembers and veterans. In that vein, this section
would authorize the Secretary of Veterans Affairs, in
consultation with the Secretary of Labor, to establish two
separate programs employing veterans in lines of work that
simultaneously serves the public good while making use of their
training and experiences. The Veterans of Foreign Wars of the
United States testified on May 19, 2010, that its organization
``continues to support collaborative and innovative programs to
invest in communities and put veterans to work. This program
has the potential to put veterans to work and give them
practical experience organizing communities to care for the
environment while developing and marketing `green' industries
in a given area.''
Committee Bill. Section 6 of the Committee bill would
establish two separate grant programs for states to establish
veterans corps. The first program would authorize grants to
state governments for the purpose of establishing a veteran-to-
veteran corps. These veteran-to-veteran corps would be
established by a state or state-approved entity to provide
veterans with employment, volunteer, and entrepreneurial
opportunities that include: meeting the needs of homeless
veterans, helping veterans find meaningful employment and
business opportunities, and connecting veterans with the care
and benefits they may be eligible to receive.
The second program would authorize grants to state
governments for the purpose of establishing a veterans
conservation corps. These veterans conservation corps would be
established by a state or state-approved entity to provide
veterans with employment and volunteer opportunities with
respect to conservation projects.
In the case of both corps, states receiving grants under
this section would be required to ensure that corps partner
with one-stop centers, state and local workforce investment
boards, and other state agencies to assist enrolled veterans in
obtaining employment in related fields. States receiving grants
would also be required to partner with state and local
workforce investment boards.
The Secretary would be authorized to award no more than
five grants per year to each of the separate programs during
the three years they exist. Each state receiving a grant under
this section would be required to submit an annual report to
the Secretary of Veterans Affairs and the appropriate
committees of Congress.
Sec. 7. Report and study on Transition Assistance Program.
Section 7 would require the Secretary of Defense and the
Secretary of Labor to report to Congress on recommendations for
improving and enhancing TAP to better meet the needs of members
of the Armed Forces and veterans. This section would also
require the Secretary of Defense to complete a study of the
National Guard Employment Enhancement Program of the Washington
National Guard and evaluate the possibility of expanding that
program to all members of reserve components of the Armed
Forces transitioning from active military service to civilian
life.
Background. Section 502 of the National Defense
Authorization Act for fiscal year 1991, Public Law 101-510,
established chapter 58 of title 10, U.S.C., entitled ``Benefits
and Services for Members Being Separated or Recently
Separated.'' Section 1144 of that chapter requires the
Secretary of Labor, in conjunction with the Secretary of
Defense and the Secretary of Veterans Affairs (and has since
been amended to include the Secretary of Homeland Security), to
establish and maintain a program to give employment and
training information to servicemembers within 180 days of
separation or retirement. This program is TAP.
The concept of TAP is to prepare servicemembers for their
transition out of the military and into civilian life. This
preparation comes in the form of counseling, assistance in
identifying employment and training opportunities, help in
obtaining such employment and training, and other related
information and services. Despite the valuable information
provided by this program, the unemployment rate for young
recently separated veterans is high and many veterans remain
unaware of the myriad services available to them after they
leave active duty. According to testimony by the Iraq and
Afghanistan Veterans of America at the Committee's hearing on
pending legislation on May 19, 2010, ``The Department of
Defense has established a goal of 85 percent participation
across the services, yet only 60-65 percent of all separating
active-duty servicemembers attend the TAP employment seminars.
In the National Guard and Reserves, the usage rates are even
lower: only 30 percent of all separating reservists or national
guardsmen attend some portion of TAP.''
Section 582 of the National Defense Authorization Act for
Fiscal Year 2008, Public Law 110-181, required the Secretary of
Defense to establish ``a national combat veteran reintegration
program to provide National Guard and Reserve members and their
families with sufficient information, services, referral, and
proactive outreach opportunities throughout the entire
deployment cycle.'' This program is known as the Yellow Ribbon
Reintegration Program (hereinafter, ``Yellow Ribbon program'').
The Yellow Ribbon program delivers important family support
services but fails to address the need for transitional
employment assistance. The Washington NGEEP expands this Yellow
Ribbon program's outreach to address employment assistance gaps
that still exist among federal, state, and private sector
programs. The project works with union apprenticeship programs,
trade associations, government agencies, and others to help
Guard members acquire the civilian skills needed to obtain a
living-wage job. The Washington Military Department recently
devoted twelve full-time equivalent employees to this effort
and in just four months found full-time employment for 427
soldiers.
Reserve Component members can be mobilized for up to one
year and some might return from deployment to unemployment or
underemployment. Some servicemembers may have been displaced
from their civilian professions and need assistance readjusting
from their military service and finding ways to make their
experience marketable for new employers. While the Committee
commends VETS for examining the active duty TAP program, given
the frequency with which the Reserve Component deploys, it is
crucial that an evaluation of similar programs be developed and
deployed for members of the National Guard and Reserve who are
demobilized. Reaching these servicemembers prior to
demobilization, which NGEEP does, helps ensure that when they
have completed their active service they are aware of their
benefits and are able to market themselves in the event that
they return home and no longer have civilian employment.
Committee Bill. Section 7 of the Committee bill would
require the Secretary of Defense and the Secretary of Labor to
assess the current TAP program and jointly submit to the
appropriate committees of Congress a report setting forth
recommendations for improvements and enhancements of TAP in
order to better meet the needs of members of the Armed Forces
and veterans. It would also require the Secretary of Defense to
complete a study of NGEEP of the Washington National Guard to
assess the feasibility and advisability of carrying out a
program of assistance modeled after that program for all
members of reserve components of the Armed Forces who
transition from active military service to civilian life and
submit a report to the appropriate committees of Congress.
The Committee's intent is to look for best practices
transitioning National Guard and Reserve members who currently
may not be sufficiently served by TAP. Should programs such as
this be successful on a small scale, then, the Committee
believes, they can be examined for expansion to different
regions to ensure they would work in varying regions with
different industries.
Sec. 8. 3-year longitudinal study on the impact of gender in
unemployment among veterans.
Section 8 of the Committee bill would require the Secretary
of Labor to conduct a 3-year longitudinal study to determine
whether gender impacts the need of unemployed veterans to
collect unemployment benefits.
Background. According to the U.S. Bureau of Labor
Statistics, as of June 2010, the unemployment rate among Gulf
War-era II veterans, defined as those veterans who served in
the military since September 2001, was 11.5 percent. When this
group was broken down by gender, the rate of unemployed Gulf
War-era II male veterans was 10.8 percent, whereas the rate of
unemployed Gulf War-era II women veterans was 15.5 percent.
This discrepancy raises questions as to whether or not gender
impacts the likelihood of unemployment among Gulf War-era II
veterans. With women veterans being the fastest growing segment
of veterans, it is important to proactively look at how gender
may impact a woman veteran's ability to join the labor
workforce after leaving military service and address any
barriers that may contribute to any negative impact.
Committee Bill. Section 8 of the Committee bill would
require the Secretary of Labor, through the Assistant Secretary
for VETS and subject to the availability of appropriated funds,
to conduct a longitudinal study over three years, to determine
whether gender impacts the need of unemployed veterans to
collect unemployment benefits. The study would statistically be
required to use valid samples of the following groups: (1)
unemployed women veterans who do not have dependents and who
were discharged or released from the military within the past
10 years; (2) unemployed male veterans who do not have
dependents and who were discharged or released from the
military within the past 10 years; (3) unemployed women
veterans who have dependents and who were discharged or
released from the military within the past 10 years; and (4)
unemployed male veterans who have dependents and who were
discharged or released from the military within the past 10
years. No later than July 1st of each year covered by this
study, the Secretary would be required to submit a report on
the study to the House and Senate Committees on Veterans'
Affairs.
Sec. 9. Reauthorization of demonstration project on credentialing and
licensure of veterans.
Section 9 of the Committee bill would extend for three
fiscal years an expired and never implemented pilot program for
credentialing and licensure for veterans and would add a
particular reference to and emphasis on emergency medical
service personnel for the purposes of the demonstration
project.
Background. Public Law 109-461, the Veterans Benefits,
Health Care, and Information Technology Act of 2006,
established section 4114 of title 38, Credentialing and
licensure of veterans: demonstration project. This law
authorized the Assistant Secretary for VETS to carry out a
demonstration project on credentialing military skill sets for
the purpose of facilitating the seamless transition of members
of the Armed Forces from service on active duty to civilian
employment. The period of the project was authorized to begin
60 days after enactment of the bill through September 30, 2009.
Under section 4114, the Assistant Secretary of VETS was to
consult with the Secretary of Defense, the Secretary of
Veterans Affairs, appropriate federal and state officials,
private-sector employers, labor organizations, and industry
trade associations in carrying out this section. Under this
demonstration project, the Assistant Secretary of VETS was to
select not less than 10 military occupational specialties
(hereinafter, ``MOSs'') for purposes of the demonstration
project. Each specialty so selected by the Assistant Secretary
was to have required a skill or set of skills that is required
for civilian employment in an industry with high growth or high
worker demand. After the MOSs were selected, the Assistant
Secretary of VETS then was to have consulted with the
appropriate federal, state, and industry officials to identify
requirements for credentials, certifications, and licenses that
require a skill or set of skills required. Once this was done,
he was to have analyzed the requirements identified to
determine which requirements may be satisfied by the skills,
training, or experience acquired by members of the Armed Forces
with the MOSs.
Committee Bill. Section 9 of the Committee bill would
reauthorize this expired program from October 1, 2011, to
September 30, 2013. It would also expand the individuals the
Assistant Secretary of VETS has to consult with to include the
Secretary of Health and Human Services. It would also place
emphasis on the emergency medical services industry by
specifically mentioning it in section 4114(b)(1) of title 38 as
``an industry with high growth or high worker demand.''
Committee Bill Cost Estimate
In compliance with paragraph 11(a) of rule XXVI of the
Standing Rules of the Senate, the Committee, based on
information supplied by the Congressional Budget Office
(hereinafter, ``CBO''), estimates that enactment of the
Committee bill would, relative to current law, increase
discretionary spending by about $90 million over the 2011-2015
period, assuming the appropriation of the necessary amounts.
Enactment of the Committee bill would not affect direct
spending or revenues, based on the information supplied by CBO;
therefore, pay-as-you-go procedures do not apply. Enactment of
the Committee bill would not affect the budget of state, local,
or tribal governments. S. 3234 contains no intergovernmental or
private-sector mandates as defined in the Unfunded Mandates
Reform Act (UMRA).
The cost estimate provided by CBO, setting forth a detailed
breakdown of costs, follows:
Congressional Budget Office,
Washington, DC, August 27, 2010.
Hon. Daniel K. Akaka,
Chairman,
Committee on Veterans' Affairs,
U.S. Senate, Washington, DC.
Dear Mr. Chairman: The Congressional Budget Office has
prepared the enclosed cost estimate for S. 3234, the Veteran
Employment Assistance Act of 2010.
If you wish further details on this estimate, we will be
pleased to provide them. The CBO staff contact is William Ma.
Sincerely,
Douglas W. Elmendorf,
Director.
Enclosure.
S. 3234--Veteran Employment Assistance Act of 2010
Summary: S. 3234 would create and reauthorize programs
designed to provide employment, training, and placement
services to veterans. CBO estimates that implementing the bill
would cost about $90 million over the 2011-2015 period,
assuming the appropriation of the necessary amounts.
Enacting the legislation would not affect direct spending
or revenues; therefore, pay-as-you-go procedures do not apply.
S. 3234 contains no intergovernmental or private-sector
mandates as defined in the Unfunded Mandates Reform Act (UMRA).
Estimated cost to the Federal Government: The estimated
budgetary impact of S. 3234 is shown in the following table.
The costs of this legislation fall within budget function 370
(commerce and housing credit), 050 (national defense), and 700
(veterans benefits and services).
Basis of estimate: For this estimate, CBO assumes that the
bill will be enacted near the start of fiscal year 2011, that
the necessary amounts will be appropriated each year, and that
outlays will follow historical patterns for similar and
existing programs.
----------------------------------------------------------------------------------------------------------------
By fiscal year, in millions of dollars--
-----------------------------------------------------------------
2011 2012 2013 2014 2015 2011-2015
----------------------------------------------------------------------------------------------------------------
CHANGES IN SPENDING SUBJECT TO APPROPRIATION
Military Pathways Demonstration Program
Authorization Level....................... 12 12 12 0 0 36
Estimated Outlays......................... 9 12 12 3 0 36
Veterans Business Center Program
Authorization Level....................... 10 11 11 0 0 32
Estimated Outlays......................... 8 10 11 3 0 32
Credentialing and Licensure
Estimated Authorization Level............. 0 4 5 0 0 9
Estimated Outlays......................... 0 3 5 1 0 9
Grants to States
Estimated Authorization Level............. 2 3 3 0 0 7
Estimated Outlays......................... 2 2 2 1 0 7
Reports and Studies
Estimated Authorization Level............. 2 1 1 2 * 6
Estimated Outlays......................... 2 1 1 2 * 6
-----------------------------------------------------------------
Total Changes
Estimated Authorization Level......... 26 31 31 2 * 90
Estimated Outlays..................... 21 28 31 10 * 90
----------------------------------------------------------------------------------------------------------------
Notes: Components may not sum to totals because of rounding; * = less than $500,000.
Military Pathways Demonstration Program. Section 5 would
authorize the appropriation of $36 million over fiscal years
2011 through 2013 to establish three demonstration programs.
Under this section, the Secretary of Labor would award grants
to entities to test what types of assistance programs would
best enable former military members to leverage and build upon
the technical skills they acquired during military service. The
programs would focus on assisting such servicemembers to
establish professions in the information technology, health
care, and law enforcement fields. CBO estimates that
implementing this provision would cost $36 million over the
2011-2015 period, assuming appropriation of the authorized
amounts.
Veterans' Business Center Program. Section 2 would
authorize the appropriation of $32 million over fiscal years
2011 through 2013 to provide training and assistance to
veterans who own small businesses and to establish the
veterans' business center (VBC) program. Under the VBC program,
the Small Business Administration would be authorized to award
grants to nonprofit organizations to provide counseling and
assistance targeted to the needs of veterans and Reservists.
CBO estimates that implementing those provisions would cost $32
million over the 2011-2015 period, assuming appropriation of
the authorized amounts.
Credentialing and Licensure. Section 9 would reauthorize
the demonstration project on credentialing and licensure of
veterans from October 1, 2011, through September 30, 2013. The
authority to run that project ended September 30, 2009. This
section also would allow the emergency medical services
industry to be included in the demonstration project. Based on
information from the Department of Labor, CBO estimates that
about 10 contracts would be awarded each year at an average
cost of $450,000 per contract. CBO estimates that reauthorizing
this demonstration project would cost $9 million over the 2012-
2015 period, assuming appropriation of the necessary amounts.
Grants to States. Section 6 would require the Secretary of
Veterans Affairs, in conjunction with the Secretary of Labor,
to create a three-year program to award grants to states to
establish a veteran-to-veteran corps and a veteran conservation
corps. Under this provision, grants awarded to states could not
exceed $250,000 in any given year and the Secretary of Veterans
Affairs may not award more than five grants under each program
in any single 12-month period. CBO estimates these grants would
cost $7 million over the 2011-2015 period, assuming
appropriation of the necessary amounts.
Reports and Studies. S. 3234 would require a number of
reports and studies to be completed by the Comptroller General,
the Small Business Administration, the Secretary of Labor, and
the Secretary of Defense. CBO estimates these reports and
studies, collectively, would cost about $5 million over the
2011-2015 period, assuming appropriation of the necessary
amounts.
Pay-As-You-Go Considerations: None.
Intergovernmental and private-sector impact: S. 3234
contains no intergovernmental or private-sector mandates as
defined in UMRA. State, local, and tribal governments that
provide employment assistance to veterans would benefit from
grants authorized in the bill.
Estimate prepared by: Federal Costs: Small Business
Administration--Susan Willie; Veterans Benefits--William Ma;
Impact on State, Local, and Tribal Governments: Lisa Ramirez-
Branum; Impact on the Private Sector: Elizabeth Bass.
Estimate approved by: Theresa Gullo, Deputy Assistant
Director for Budget Analysis.
Regulatory Impact Statement
In compliance with paragraph 11(b) of rule XXVI of the
Standing Rules of the Senate, the Committee on Veterans'
Affairs has made an evaluation of the regulatory impact that
would be incurred in carrying out the Committee bill. The
Committee finds that S. 3234 would not entail any regulation of
individuals or businesses or result in any impact on the
personal privacy of any individuals and that the paperwork
resulting from enactment would be minimal.
Tabulation of Votes Cast in Committee
In compliance with paragraph 7(b) of rule XXVI of the
Standing Rules of the Senate, the following is a tabulation of
votes cast in person or by proxy by members of the Committee on
Veterans' Affairs at its August 5, 2010, meeting. On that date,
the Committee, by voice vote, without objection, ordered to
report S. 3234, a bill to improve employment, training, and
placement services furnished to veterans, especially those
serving in Operation Iraqi Freedom and Operation Enduring
Freedom, and for other purposes. Prior to adoption, the
Committee, by voice vote, accepted an amendment to the bill.
Agency Report
On May 19, 2010, Thomas J. Pamperin, Associate Deputy Under
Secretary for Policy and Program Management, Veterans Benefits
Administration, Department of Veterans Affairs, appeared before
the Committee on Veterans' Affairs and submitted testimony on,
among other things, S. 3234. Excerpts from his statement are
reprinted below:
THOMAS J. PAMPERIN, ASSOCIATE DEPUTY UNDER SECRETARY FOR POLICY AND
PROGRAM MANAGEMENT, VETERANS BENEFITS ADMINISTRATION, U.S. DEPARTMENT
OF VETERANS AFFAIRS
Mr. Chairman, I am pleased to be here today to provide the
Department of Veterans Affairs' (VA) views on pending
legislation.
* * * * * * *
S. 3234
S. 3234, the ``Veteran Employment Assistance Act of 2010,''
would create programs aimed at improving employment, training,
and placement services furnished to Veterans, especially those
serving in Operation Iraqi Freedom and Operation Enduring
Freedom.
Section 3(b) of the bill would require the Small Business
Administration, VA, and the Department of Labor (DOL) to assess
the efficacy of establishing a Federal direct loan program for
small business concerns owned and controlled by Veterans and to
submit to Congress a report on the assessment within 180 days
of enactment. VA has no objection to this provision.
Section 7 of the bill would provide benefits for
apprenticeship and on-the-job training (OJT) under the Post-9/
11 GI Bill. Section 7 would provide for payment of a monthly
benefit to individuals pursuing full-time programs of
apprenticeship or other OJT, using a graduated structure
similar to that applicable for such training under other VA
educational assistance programs, including the Montgomery GI
Bill-Active Duty (MGIB-AD) and Selected Reserve (MGIB-SR)
programs and the Post-Vietnam Era Veterans Educational
Assistance program. Section 7 also would amend current law to
include apprenticeship or other OJT training programs as
approved programs of education for purposes of the Post-9/11 GI
Bill.
Pursuant to section 7, for each of the first 6 months of an
individual's pursuit of an apprenticeship or other OJT program,
the individual would be paid 75 percent of the ``monthly
benefit payment otherwise payable to such individual'' under
chapter 33. For the second 6 months of such pursuit, the
individual would be paid 55 percent of such amount, and for
each of the following months the individual would be paid 35
percent of such amount. In addition, this bill would authorize
payment to such individuals of a monthly housing stipend equal
to the monthly amount of the basic allowance for housing
payable for a servicemember with dependents in pay grade E-5
residing in the military housing area that encompasses all or
the majority portion of the ZIP code area in which the
individual resides. We note that, unlike the monthly housing
stipend authorized under 38 U.S.C. Sec. 3313(c), this section
contains no provision requiring payment of reduced amounts of
such monthly stipend in cases where individuals' aggregated
active-duty service is less than 36 months.
For each month an individual receives a benefit under this
bill, VA would charge the individual's entitlement at a rate
that reflects the applicable percentage (i.e., 75, 55, or 35
percent, as appropriate).
The amendments made by section 7 would take effect as if
included in the enactment of the Post-9/11 Veterans Educational
Assistance Act of 2008 (Title V, Public Law 110-252). That is,
the effective date would be August 1, 2009.
VA supports allowing individuals who qualify for the Post-
9/11 GI Bill to receive benefits for OJT and apprenticeship
training, subject to Congress's identifying offsets for any
additional costs. However, VA cannot support enactment of this
section as drafted.
The bill would provide a monthly assistance benefit, plus a
monthly housing stipend amount to trainees. This would be in
addition to any wages a trainee may receive. Further, as noted,
this bill provides that the monthly benefit would be equal to a
percentage ``of the monthly benefit payment otherwise payable''
to an individual under chapter 33. However, unlike the MGIB-AD,
which provides for monthly payments of educational assistance
other than monthly housing stipends, no ``monthly'' benefits
are payable to a student or trainee under the Post-9/11 GI
Bill. VA's payment of educational assistance under 38 U.S.C.
Sec. 3313 (for actual charges of an individual's tuition and
fees) is made directly to the institution of higher learning on
a lump-sum basis for the entire quarter, semester, or term.
Thus, it is unclear to what monthly benefit the provision
refers in order to determine the amount of any payment to an
individual.
If enacted, this bill would take effect as if it had been
included in Public Law 110-252, the Post-9/11 Veterans
Educational Assistance Act of 2008. VA would have to manually
re-work all apprenticeship and OJT cases for individuals
wishing to elect to receive assistance under the Post-9/11 GI
Bill for training that occurred on or after August 1, 2009. VA
is currently programming a new payment system to implement the
provisions of the Post-9/11 GI Bill. Full deployment of the new
system is expected by December 2010. Incorporating new rules
for the payment of benefits for apprenticeship and OJT
training, as proposed, would require system changes that could
not be accommodated, at the earliest, until after that date.
Such changes would delay deployment of the new system and
require VA to continue processing claims on a manual basis.
Section 8 of the bill would authorize VA, in consultation
with DOL and the Department of the Interior, to establish a
program to award grants to States to establish a ``veterans
conservation corps'' (corps). Each State corps would be
established within, or in affiliation with, the ``veterans
agency'' of the State and would provide Veterans with volunteer
and employment opportunities in conservation projects that
would provide for training, education, and certification in
environmental restoration and management fields. These projects
would include: (1) restoring natural habitat; (2) maintaining
Federal, state, or local forest lands, parks and reserves, as
well as other reservations, water, and outdoor lands; (3)
maintaining and improving urban and suburban storm water
management facilities and other water management facilities;
and (4) carrying out hazardous materials and spills response,
energy efficiency and other environmental maintenance,
stewardship, and restoration projects.
Each corps, in order to incorporate training, education,
and certification into the volunteer and employment
opportunities afforded Veterans, would consult with: (1) State
and local workforce investment boards; (2) local institutions
of higher education, including community colleges; (3) private
schools; (4) State or local agencies, including State
employment agencies and State forest services; (5) labor
organizations; (6) business involved in the environmental
industry; and (7) such other entities as the Secretary of
Veterans Affairs considers appropriate.
In order to assist Veterans enrolled in the program to
obtain employment in the fields of environmental restoration
and management, the corps would partner with one-stop centers,
State and local workforce investment boards, and other State
agencies. The corps would also assist Veterans, in conjunction
with State and local workforce investment boards, to identify
appropriate employment opportunities in their local communities
that would use the skills developed while in the Armed Forces
and facilitate internships or job shadowing. The corps would
assist with, or provide, referrals for obtaining benefits
available to Veterans and match Veterans with conservation
projects that would be aligned with each Veteran's goals.
The grant amount that could be awarded to a State under the
conservation corps program established by section 8 could not
exceed $250,000 in any year.
Each State receiving a grant to establish a Veterans
conservation corps program would be required to submit a report
on the performance of the Veterans conservation corps in that
State to VA and the House and Senate Committees on
Appropriations and Veterans' Affairs. These reports would
include a description of how the grant amount was used and an
assessment of the performance of the corps, including a
description of the Veterans' labor market in that State for the
current and previous year.
VA supports efforts to expand volunteer and employment
opportunities to Veterans, particularly with respect to
environmental restoration and management. However, VA does not
support the provision of these services through grant programs
unless funds are expressly appropriated for this purpose. If
each of the 50 States received the maximum grant, we estimate
that $12.5 million would be needed annually. VA does not
currently have a mechanism for awarding such grants and
managing such grant programs, but DOL has extensive expertise
and experience in managing grants to States. DOL's Veterans'
Employment and Training Service (VETS) currently manages grants
to States to provide employment services and outreach to
Veterans at one-stop centers. The purpose and requirements of
this bill appear to be a very good match with the current
functionality of the VETS program.
Section 9 of the bill would authorize VA, in consultation
with the Assistant Secretary of Labor for Veterans' Employment
and Training, to establish a center of excellence to support
research, development, planning, implementation, and evaluation
of methods for educational institutions to give academic credit
for military experience and training to certain Veterans (those
discharged or released from service within 48 months of
application for admission to such institutions or those who
were members of the reserve components of the Armed Forces).
Acting through the center of excellence, VA would award
grants to, or enter into contracts with, eligible institutions
to achieve the purposes of the center. An eligible institution
for this purpose would be defined as any partnership that meets
such requirements as VA promulgated and consists of an
institution of higher education (IHE) and one or more of the
following entities: (1) a community college; (2) a university
teaching hospital; (3) a military installation, including a
facility of the National Guard; (4) a VA medical center; and
(5) a military medical treatment facility. VA could not award a
grant or contract in an amount less than $2 million or more
than $5 million.
To receive a grant or contract, an institution would be
required to submit to VA an application for this purpose. VA
would give priority to applicants who include as a partner an
IHE or other educational institution that: (1) affords
appropriate recognition to military experience and training in
screening candidates; (2) has a practice of, or would establish
a practice of (if proposing such a practice, would include with
the application a review of such a plan by a professional
organization) giving academic credit for military experience
and training; (3) has established a professional development
and delivery system using evidence-based practices; or (4) has
demonstrated experience working with the Department of Defense
or VA.
Each eligible institution receiving a grant or contract
would be required to use it for one or more of the following
purposes: (1) to develop or implement a plan to modify programs
of education and admissions programs at IHEs to give academic
credit to the Veterans and members described above; (2) to
develop standards for the identification of military experience
and training in individuals applying for enrollment at IHEs;
(3) to train professors, educators, and instructors at IHEs on
the means of best teaching students at such institutions with
military experience and training; (4) to develop curriculum for
IHEs that are appropriately tailored to individuals with
military experience and training; (5) to develop admissions and
recruitment guidelines for IHLs to attract Veterans and members
described above and afford them recognition for military
experience and training in their admissions processes; and (6)
to establish a program, a method, or standards to be utilized
by IHLs for assessing the education and training during the
pursuit of a program of education and at the completion of such
program.
Because the grants are to be used for admissions policies,
recruitment, granting of prior credit, instruction of
professors and other teaching staff, modifying the
institution's existing programs of education, and suggesting
modifications to curriculum, VA believes that the Department of
Education, in consultation with VA and DOL, is best positioned
to establish the center of excellence for the purposes of these
grants. Therefore, we do not support enactment of this section.
Section 11 would require DOL, in consultation with VA and
the Departments of Defense and Health and Human Services, to
establish a program to enable transitioning military members to
build on the technical skills learned during military service
to help them enter public health fields. VA defers to DOL
regarding this program.
------
On May 19, 2010, the Honorable Raymond Jefferson, Assistant
Secretary for Veterans' Employment and Training, Department of
Labor, appeared before the Committee on Veterans' Affairs and
submitted testimony on, among other things, S. 3234. Excerpts
from his statement are reprinted below:
RAYMOND M. JEFFERSON, ASSISTANT SECRETARY FOR VETERANS' EMPLOYMENT AND
TRAINING, U.S. DEPARTMENT OF LABOR
Chairman Akaka, Ranking Member Burr, and Members of the
Committee: I am pleased to appear before you today to discuss
legislation pending in this Committee.
* * * * * * *
Your letter of invitation indicates you are seeking input
on a significant number of bills at this hearing and you want
me to specifically provide my views on S. 3234, the proposed
``Veteran Employment Assistance Act of 2010.
* * * * * * *
S. 3234
The Veteran Employment Assistance Act of 2010, S. 3234, is
intended to ``improve employment, training, and placement
services furnished to Veterans, especially those serving in
Operation Iraqi Freedom and Operation Enduring Freedom, and for
other purposes''. The Department of Labor supports the goals of
the Veteran Employment Assistance Act of 2010.
This comprehensive legislation will address the unique
needs of our Veterans who have been struggling to find work and
to keep their jobs. The legislation fills a critical need. This
bill will help our Veterans gain the additional skills they
need to participate in today's modern economy. It will provide
them the opportunity to start their own businesses, if they
choose to. And, it encourages employers at all levels to
recognize that those who've given much in the service of their
country have much to offer to a prospective employer.
Much in S. 3234 if enacted would significantly help the
Veteran community. I would like to highlight some of the key
provisions of this bill.
The Veterans Business Center Program established in Section
3 of the bill would provide entrepreneurial training and
counseling to Veterans. As we all know, small business is the
main driver of job creation in our country. Veterans make ideal
entrepreneurs, they have the discipline, maturity and life
experiences to take on the tremendous challenges that small
business ownership entails. Targeting entrepreneurship programs
to this community makes sense. If enacted and fully funded, we
would be pleased to work with SBA on this initiative.
Section 5 requires all new state employees, Disabled
Veterans Outreach Program specialists (DVOP) and Local Veterans
Employment Representatives (LVER) to be trained by the National
Veterans' Training Institute (NVTI) within a one year period
from the date of hire. Current law requires it be done in three
years. Those employed before enactment of S. 3234 would have to
be trained within one year following enactment unless they have
already been trained. We believe that this training needs to be
provided as soon as practicable. However, these individuals are
not always hired at the same time and, depending on the number
of new hires, there may not be sufficient new hires to fill a
class.
Section 6 adds a new section 4216 to Chapter 42 of title 38
United States Code, that requires the Assistant Secretary for
Veterans' Employment and Training (ASVET) provide a monthly
training subsistence allowance to a Veteran who is enrolled in
a full time employment and training program. Covered Veterans
would include those who do not qualify for VA's educational and
training assistance under Title 38, have been unemployed for
four consecutive months, and can complete the training program.
The Department notes this section establishes an
entitlement to this assistance, which is a concern in light of
the long-term financial challenges the Nation faces. The
assistance would be available without regard to the financial
need of the Veteran or the need for training to enhance his or
her employment prospects.
The Department also notes that Veterans receive priority of
service within the wide array of training programs currently
available through the DOL-funded One-Stop Career Center system.
Moreover, Pell Grants and other financial assistance may also
be available for unemployed veterans, including eligibility for
unemployment insurance benefits, as well.
In the event this legislation is enacted and appropriations
are provided, the Department would need to address several
issues prior to its implementation, including:
Developing a system of certification and payment;
Determining options to include employment
specialists in One-Stop Career Centers certifying Veterans; and
Develop a payment system, which would include
collaborating with the Department of Defense to ascertain
payment amounts under section 403 of title 37, United States
Code.
The Department believes the training allowance program's
highest priority should be those eligible Veterans who, without
this benefit, would be unable to obtain the training necessary
to find a good job. It should be reserved for those who truly
need it or have significant barriers to employment.
Section 9 establishes within the VA a Center of Excellence
where the ASVET would have a consultative role to establish a
system of affording academic credit for military experience and
training under certain circumstances. This recognition of
military experience and training should be useful in preparing
a resume and establishing capabilities with prospective
employers. Additionally, it may also be helpful if the Service
Member is applying to a college or vocational institution.
These institutions want information on the Service Member's
military training and experience, as well as how this might
relate to the civilian world.
Current law codified at 38 U.S.C. Sec. 4212(d) requires
certain federal contractors to report data on their workforce
and on certain Veterans in their employ. This is accomplished
by filing a VETS 100A Report with DOL. Section 10 of this bill
would require DOL to publish the VETS 100A Reports on the
Internet. DOL supports this provision. However, the Committee
should recognize that some contractors might believe that
certain reported data, in particular data on the total number
of new hires, should not be made available to their
competitors.
There are many other components to S. 3234 and we would
like to work with the Committee to ensure that this legislation
effectively achieves its intended goals.
------
The Secretary of Veterans Affairs,
Washington, DC, July 30, 2010.
Hon. Daniel K. Akaka,
Chairman,
Committee on Veterans' Affairs,
U.S. Senate, Washington, DC.
Dear Mr. Chairman: I am pleased to provide the Committee
with the views of the Department of Veterans Affairs (VA) on
twelve of the thirteen bills listed in your May 21,2010,
letter. In addition, we are providing cost estimates for three
bills about which we testified at the Committee's May 19, 2010,
hearing but for which we were unable to develop cost estimates
in time for that hearing. We will provide views and costs on
S. 3486 to the Committee in a separate letter.
* * * * * * *
S. 3234
S. 3234, the ``Veteran Employment Assistance Act of 2010,''
would create programs aimed at improving employment, training,
and placement services furnished to Veterans, especially those
serving in Operation Enduring Freedom or Operation Iraqi
Freedom. We testified that VA does not object to section 3(b),
relating to the establishment of a direct loan program for
small business concerns owned and controlled by Veterans; that
VA does not support section 7 as drafted, despite supporting
the intent of allowing individuals who qualify for the Post-9/
11 GI Bill to receive benefits for on-the-job and
apprenticeship training, subject to Congress identifying
offsets for any additional costs; that, although VA supports
efforts to expand volunteer and employment opportunities to
Veterans, we do not support section 8 unless funds are
expressly appropriated for providing such services through
grant programs; that we do not support section 9, relating to
methods for educational institutions to give academic credit
for military experience and training to certain Veterans; and
that VA defers to the Department of Labor regarding section 11,
relating to enabling transitioning Servicemembers to build on
the technical skills learned during military service to help
them enter public health fields. The analysis below provides
cost information for S. 3234.
Section 3(b) of the bill would require VA, in conjunction
with the Small Business Administration (SBA) and the Department
of Labor, to prepare and submit to Congress a report on the
efficacy of establishing a Federal direct loan program for
small business concerns owned and controlled by Veterans.
Because SBA already runs a similar program, we would ask that
they take the lead in preparing the report, and our efforts
would be limited to staffing the report to existing offices.
Accordingly, we estimate that section 3(b) would not result in
additional costs to VA.
Section 7 of the bill would provide benefits for
apprenticeship and on-the-job training under the Post-9/11 GI
Bill. VA estimates that section 7 would result in mandatory
costs of $154.5 million during the first year, $806.6 million
over 5 years, and $1 .7 billion over 10 years.
Section 8 of the bill would authorize VA, in consultation
with the Department of Labor and the Department of the
Interior, to establish a program to award to states grants to
establish a ``veterans conservation corps.'' VA estimates
benefit costs for section 8 would be $12.5 million during the
first year, $62.5 million over 5 years, and $125 million over
10 years.
Section 9 of the bill would require the Secretary of
Veterans Affairs, in consultation with the Assistant Secretary
of Labor for Veterans' Employment and Training, to establish a
center of excellence to support research, development,
planning, implementation, and evaluation of methods for
educational institutions to afford academic credit for military
experience and training to certain Veterans. VA estimates that
section 9 would result in administrative costs of $587 thousand
for the first year, $4.6 million over 5 years, and $10.7
million over 10 years, as well as information technology costs
of $49 thousand the first year, $107 thousand over 5 years, and
$183 thousand over 10 years.
* * * * * * *
The Office of Management and Budget has advised that there
is no objection to the submission of this report from the
standpoint of the Administration's program.
Sincerely,
Eric K. Shinseki.
* * * * * * *
Changes in Existing Law
In compliance with rule XXVI paragraph 12 of the Standing
Rules of the Senate, changes in existing law made by the
Committee bill, as reported, are shown as follows (existing law
proposed to be omitted is enclosed in black brackets, new
matter is printed in italic, existing law in which no change is
proposed is shown in roman):
THE SMALL BUSINESS ACT
Section 8(b)
(15 U.S.C. 637(b))
Title 15. Commerce and Trade
* * * * * * *
Chapter 14A. Aid to Small Business
* * * * * * *
SEC. 637. ADDITIONAL POWERS
* * * * * * *
(b) * * *
(1) * * *
* * * * * * *
(15) to disseminate, without regard to the provisions
of section 3204 of title 39, United States Code, data
and information, in such form as it shall deem
appropriate, to public agencies, private organizations,
and the general public; and
(16) to make studies of matters materially affecting
the competitive strength of small business, and of the
effect on small business of Federal laws, programs, and
regulations, and to make recommendations to the
appropriate Federal agency or agencies for the
adjustment of such programs and regulations to the
needs of small business[; and] .
[(17) to make grants to, and enter into contracts and
cooperative agreements with, educational institutions,
private businesses, veterans' nonprofit community-based
organizations, and Federal, State, and local
departments and agencies for the establishment and
implementation of outreach programs for disabled
veterans (as defined in section 4211(3) of title 38,
United States Code), veterans, and members of a reserve
component of the Armed Forces.]
* * * * * * *
THE SMALL BUSINESS ACT
Section 32
(15 U.S.C. 657b)
* * * * * * *
SEC. 657B. VETERANS PROGRAMS
* * * * * * *
(c) * * *
(1) * * *
* * * * * * *
(4) Report.--Not less frequently than twice each
year, the Administrator shall submit to Congress a
report on the appointments made to and activities of
the task force.
* * * * * * *
[(f) Authorization of Appropriations.--There are authorized
to be appropriated to carry out this section--
[(1) $1,500,000 for fiscal year 2005; and
[(2) $2,000,000 for fiscal year 2006.]
(f) Online Coordination.--
(1) Definition.--In this subsection, the term
``veterans' assistance provider'' means--
(A) a veterans' business center established
under subsection (g);
(B) an employee of the Administration
assigned to the Office of Veterans Business
Development; and
(C) a veterans business ownership
representative designated under subsection
(g)(13)(B).
(2) Establishment.--The Associate Administrator shall
establish an online mechanism to--
(A) provide information that assists
veterans' assistance providers in carrying out
the activities of the veterans' assistance
providers; and
(B) coordinate and leverage the work of the
veterans' assistance providers, including by
allowing a veterans' assistance provider to--
(i) distribute best practices and
other materials;
(ii) communicate with other veterans'
assistance providers regarding the
activities of the veterans' assistance
provider on behalf of veterans; and
(iii) pose questions to and request
input from other veterans' assistance
providers.
(g) Veterans' Business Center Program.--
(1) Definitions.--In this subsection--
(A) the term ``active duty'' has the meaning
given that term in section 101 of title 10,
United States Code;
(B) the term ``private nonprofit
organization'' means an entity that is
described in section 501(c) of the Internal
Revenue Code of 1986 and exempt from taxation
under section 501(a) of such Code;
(C) the term ``Reservist'' means a member of
a reserve component of the Armed Forces, as
described in section 10101 of title 10, United
States Code;
(D) the term ``Service Corps of Retired
Executives'' means the Service Corps of Retired
Executives authorized under section 8(b)(1);
(E) the term ``small business concern owned
and controlled by veterans''--
(i) has the same meaning as in
section 3(q); and
(ii) includes a small business
concern--
(I) not less than 51 percent
of which is owned by one or
more spouses of veterans or, in
the case of any publicly owned
business, not less than 51
percent of the stock of which
is owned by one or more spouses
of veterans; and
(II) the management and daily
business operations of which
are controlled by one or more
spouses of veterans;
(F) the term ``spouse'' relating to a
veteran, service-disabled veteran, or
Reservist, includes an individual who is the
spouse of a veteran, service-disabled veteran,
or Reservist on the date on which the veteran,
service-disabled veteran, or Reservist died;
(G) the term ``veterans' business center
program'' means the program established under
paragraph (2)(A); and
(H) the term ``women's business center''
means a women's business center described in
section 29.
(2) Program established.--
(A) In general.--The Administrator, acting
through the Associate Administrator, shall
establish a veterans' business center program,
under which the Associate Administrator may
provide financial assistance to a private
nonprofit organization to conduct a 5-year
project for the benefit of small business
concerns owned and controlled by veterans,
which may be renewed for one or more additional
5-year periods.
(B) Form of financial assistance.--Financial
assistance under this subsection may be in the
form of a grant, a contract, or a cooperative
agreement.
(3) Veterans' business centers.--Each private
nonprofit organization that receives financial
assistance under this subsection shall establish or
operate a veterans' business center (which may include
establishing or operating satellite offices in the
region described in paragraph (5) served by that
private nonprofit organization) that provides to
veterans (including service-disabled veterans),
Reservists, and the spouses of veterans (including
service-disabled veterans) and Reservists--
(A) financial advice, including training and
counseling on applying for and securing
business credit and investment capital,
preparing and presenting financial statements,
and managing cash flow and other financial
operations of a small business concern;
(B) management advice, including training and
counseling on the planning, organization,
staffing, direction, and control of each major
activity and function of a small business
concern;
(C) marketing advice, including training and
counseling on identifying and segmenting
domestic and international market
opportunities, preparing and executing
marketing plans, developing pricing strategies,
locating contract opportunities, negotiating
contracts, and using public relations and
advertising techniques; and
(D) advice, including training and
counseling, for Reservists and the spouses of
Reservists.
(4) Application.--
(A) In general.--A private nonprofit
organization desiring to receive financial
assistance under this subsection shall submit
an application to the Associate Administrator
at such time and in such manner as the
Associate Administrator may require.
(B) 5-year plan.--Each application described
in subparagraph (A) shall include a 5-year plan
on proposed fundraising and training activities
relating to the veterans' business center.
(C) Determination and notification.--Not
later than 60 days after the date on which a
private nonprofit organization submits an
application under subparagraph (A), the
Associate Administrator shall approve or deny
the application and notify the applicant of the
determination.
(D) Availability of application.--The
Associate Administrator shall make every effort
to make the application under subparagraph (A)
available online.
(5) Eligibility.--The Associate Administrator may
select to receive financial assistance under this
subsection--
(A) a Veterans Business Outreach Center
established by the Administrator under section
8(b)(17) on or before the day before the date
of enactment of this subsection; or
(B) private nonprofit organizations located
in various regions of the United States, as the
Associate Administrator determines is
appropriate.
(6) Selection criteria.--
(A) In general.--The Associate Administrator
shall establish selection criteria, stated in
terms of relative importance, to evaluate and
rank applicants under paragraph (5)(C) for
financial assistance under this subsection.
(B) Criteria.--The selection criteria
established under this paragraph shall
include--
(i) the experience of the applicant
in conducting programs or ongoing
efforts designed to impart or upgrade
the business skills of veterans, and
the spouses of veterans, who own or may
own small business concerns;
(ii) for an applicant for initial
financial assistance under this
subsection--
(I) the ability of the
applicant to begin operating a
veterans' business center
within a minimum amount of
time; and
(II) the geographic region to
be served by the veterans'
business center;
(iii) the demonstrated ability of the
applicant to--
(I) provide managerial
counseling and technical
assistance to entrepreneurs;
and
(II) coordinate services
provided by veterans services
organizations and other public
or private entities; and
(iv) for any applicant for a renewal
of financial assistance under this
subsection, the results of the most
recent examination under paragraph (10)
of the veterans' business center
operated by the applicant.
(C) Criteria publicly available.--The
Associate Administrator shall--
(i) make publicly available the
selection criteria established under
this paragraph; and
(ii) include the criteria in each
solicitation for applications for
financial assistance under this
subsection.
(7) Amount of assistance.--The amount of financial
assistance provided under this subsection to a private
nonprofit organization for each fiscal year shall be--
(A) not less than $150,000; and
(B) not more than $200,000.
(8) Federal share.--
(A) In general.--
(i) Initial financial assistance.--
Except as provided in clause (ii) and
subparagraph (E), a private nonprofit
organization that receives financial
assistance under this subsection shall
provide non-Federal contributions for
the operation of the veterans' business
center established by the private
nonprofit organization in an amount
equal to--
(I) in each of the first and
second years of the project,
not less than 33 percent of the
amount of the financial
assistance received under this
subsection; and
(II) in each of the third
through fifth years of the
project, not less than 50
percent of the amount of the
financial assistance received
under this subsection.
(ii) Renewals.--A private nonprofit
organization that receives a renewal of
financial assistance under this
subsection shall provide non-Federal
contributions for the operation of the
veterans' business center established
by the private nonprofit organization
in an amount equal to not less than 50
percent of the amount of the financial
assistance received under this
subsection.
(B) Form of non-federal share.--Not more than
50 percent of the non-Federal share for a
project carried out using financial assistance
under this subsection may be in the form of in-
kind contributions.
(C) Timing of disbursement.--The Associate
Administrator may disburse not more than 25
percent of the financial assistance awarded to
a private nonprofit organization before the
private nonprofit organization obtains the non-
Federal share required under this paragraph
with respect to that award.
(D) Failure to obtain non-federal funding.--
(i) In general.--If a private
nonprofit organization that receives
financial assistance under this
subsection fails to obtain the non-
Federal share required under this
paragraph during any fiscal year, the
private nonprofit organization may not
receive a disbursement under this
subsection in a subsequent fiscal year
or a disbursement for any other project
funded by the Administration, unless
the Administrator makes a written
determination that the private
nonprofit organization will be able to
obtain a non-Federal contribution.
(ii) Restoration.--A private
nonprofit organization prohibited from
receiving a disbursement under clause
(i) in a fiscal year may receive
financial assistance in a subsequent
fiscal year if the organization obtains
the non-Federal share required under
this paragraph for the subsequent
fiscal year.
(E) Waiver of non-federal share.--
(i) In general.--Upon request by a
private nonprofit organization, and in
accordance with this subparagraph, the
Administrator may waive, in whole or in
part, the requirement to obtain non-
Federal funds under subparagraph (A)
for a fiscal year. The Administrator
may not waive the requirement for a
private nonprofit organization to
obtain non-Federal funds under this
subparagraph for more than a total of 2
fiscal years.
(ii) Considerations.--In determining
whether to waive the requirement to
obtain non-Federal funds under this
subparagraph, the Administrator shall
consider--
(I) the economic conditions
affecting the private nonprofit
organization;
(II) the impact a waiver
under this subparagraph would
have on the credibility of the
veterans' business center
program;
(III) the demonstrated
ability of the private
nonprofit organization to raise
non-Federal funds; and
(IV) the performance of the
private nonprofit organization.
(iii) Limitation.--The Administrator
may not waive the requirement to obtain
non-Federal funds under this
subparagraph if granting the waiver
would undermine the credibility of the
veterans' business center program.
(9) Contract authority.--A veterans' business center
may enter into a contract with a Federal department or
agency to provide specific assistance to veterans,
service-disabled veterans, Reservists, or the spouses
of veterans, service-disabled veterans, or Reservists.
Performance of such contract shall not hinder the
veterans' business center in carrying out the terms of
the grant received by the veterans' business centers
from the Administrator.
(10) Examination and determination of viability.--
(A) Examination.--
(i) In general.--The Associate
Administrator shall conduct an annual
examination of the programs and
finances of each veterans' business
center established or operated using
financial assistance under this
subsection.
(ii) Factors.--In conducting the
examination under clause (i), the
Associate Administrator shall consider
whether the veterans' business center
has failed--
(I) to provide the
information required to be
provided under subparagraph
(B), or the information
provided by the center is
inadequate;
(II) the center has failed to
comply with a requirement for
participation in the veterans'
business center program, as
determined by the Assistant
Administrator, including--
(aa) failure to
acquire or properly
document a non-Federal
share;
(bb) failure to
establish an
appropriate partnership
or program for
marketing and outreach
to small business
concerns;
(cc) failure to
achieve results
described in a
financial assistance
agreement; and
(dd) failure to
provide to the
Administrator a
description of the
amount and sources of
any non-Federal funding
received by the center;
(III) to carry out the 5-year
plan under in paragraph (4)(B);
or
(IV) to meet the eligibility
requirements under paragraph
(5).
(B) Information provided.--In the course of
an examination under subparagraph (A), the
veterans' business center shall provide to the
Associate Administrator--
(i) an itemized cost breakdown of
actual expenditures for costs incurred
during the most recent full fiscal
year;
(ii) documentation of the amount of
non-Federal contributions obtained and
expended by the veterans' business
center during the most recent full
fiscal year; and
(iii) with respect to any in-kind
contribution under paragraph (8)(B),
verification of the existence and
valuation of such contributions.
(C) Determination of viability.--The
Associate Administrator shall analyze the
results of each examination under this
paragraph and, based on that analysis, make a
determination regarding the viability of the
programs and finances of each veterans'
business center.
(D) Discontinuation of funding.--
(i) In general.--The Associate
Administrator may discontinue an award
of financial assistance to a private
nonprofit organization at any time if
the Associate Administrator determines
under subparagraph (C) that the
veterans' business center operated by
that organization is not viable.
(ii) Restoration.--The Associate
Administrator may continue to provide
financial assistance to a private
nonprofit organization in a subsequent
fiscal year if the Associate
Administrator determines under
subparagraph (C) that the veterans'
business center is viable.
(11) Privacy requirements.--
(A) In general.--Except as provided in
subparagraph (B), a veterans' business center
established or operated using financial
assistance provided under this subsection may
not disclose the name, address, or telephone
number of any individual or small business
concern that receives advice from the veterans'
business center without the consent of the
individual or small business concern.
(B) Exception.--A veterans' business center
may disclose information described in
subparagraph (A)--
(i) if the Administrator or Associate
Administrator is ordered to make such a
disclosure by a court in any civil or
criminal enforcement action initiated
by a Federal or State agency; or
(ii) to the extent that the
Administrator or Associate
Administrator determines that such a
disclosure is necessary to conduct a
financial audit of a veterans' business
center.
(C) Administration use of information.--This
paragraph does not--
(i) restrict access by the
Administrator to program activity data;
or
(ii) prevent the Administrator from
using information not described in
subparagraph (A) to conduct surveys of
individuals or small business concerns
that receive advice from a veterans'
business center.
(D) Regulations.--The Administrator shall
issue regulations to establish standards for
requiring disclosures under subparagraph
(B)(ii).
(12) Report.--
(A) In general.--Not later than 60 days after
the end of each fiscal year, the Associate
Administrator shall submit to the Committee on
Small Business and Entrepreneurship of the
Senate and the Committee on Small Business of
the House of Representatives a report on the
effectiveness of the veterans' business center
program in each region during the most recent
full fiscal year.
(B) Contents.--Each report under this
paragraph shall include, at a minimum, for each
veterans' business center established or
operated using financial assistance provided
under this subsection--
(i) the number of individuals
receiving assistance from the veterans'
business center, including the number
of such individuals who are--
(I) veterans or spouses of
veterans;
(II) service-disabled
veterans or spouses of service-
disabled veterans; or
(III) Reservists or spouses
of Reservists;
(ii) the number of startup small
business concerns formed by individuals
receiving assistance from the veterans'
business center, including--
(I) veterans or spouses of
veterans;
(II) service-disabled
veterans or spouses of service-
disabled veterans; or
(III) Reservists or spouses
of Reservists;
(iii) the gross receipts of small
business concerns that receive advice
from the veterans' business center;
(iv) the employment increases or
decreases of small business concerns
that receive advice from the veterans'
business center;
(v) to the maximum extent
practicable, the increases or decreases
in profits of small business concerns
that receive advice from the veterans'
business center; and
(vi) the results of the examination
of the veterans' business center under
paragraph (10).
(13) Coordination of efforts and consultation.--
(A) Coordination and consultation.--To the
extent practicable, the Associate Administrator
and each private nonprofit organization that
receives financial assistance under this
subsection shall--
(i) coordinate outreach and other
activities with other programs of the
Administration and the programs of
other Federal agencies;
(ii) consult with technical
representatives of the district offices
of the Administration in carrying out
activities using financial assistance
under this subsection; and
(iii) provide information to the
veterans business ownership
representatives designated under
subparagraph (B) and coordinate with
the veterans business ownership
representatives to increase the ability
of the veterans business ownership
representatives to provide services
throughout the area served by the
veterans business ownership
representatives.
(B) Veterans business ownership
representatives.--
(i) Designation.--The Administrator
shall designate not fewer than 1
individual in each district office of
the Administration as a veterans
business ownership representative, who
shall communicate and coordinate
activities of the district office with
private nonprofit organizations that
receive financial assistance under this
subsection.
(ii) Initial designation.--The first
individual in each district office of
the Administration designated by the
Administrator as a veterans business
ownership representative under clause
(i) shall be an individual that is
employed by the Administration on the
date of enactment of this subsection.
(14) Existing contracts.--An award of financial
assistance under this subsection shall not void any
contract between a private nonprofit organization and
the Administration that is in effect on the date of
such award.
(h) Authorization of Appropriations.--There are authorized
to be appropriated--
(1) to carry out subsections (a) through (f),
$2,000,000 for each of fiscal years 2011 through 2013;
and
(2) to carry out subsection (g)--
(A) $8,000,000 for fiscal year 2011;
(B) $8,500,000 for fiscal year 2012; and
(C) $9,000,000 for fiscal year 2013.
* * * * * * *
Title 38. Veterans' Benefits
* * * * * * *
Part III. Readjustment and Related Benefits
* * * * * * *
Chapter 41. Job Counseling, Training, and Placement Service for
Veterans
* * * * * * *
SEC. 4114. CREDENTIALING AND LICENSURE OF VETERANS: DEMONSTRATION
PROJECT
(a) * * *
(b) * * *
(1) The Assistant Secretary shall select not less
than 10 military occupational specialties for purposes
of the demonstration project. Each specialty so
selected by the Assistant Secretary shall require a
skill or set of skills that is required for civilian
employment in an industry with high growth or high
worker demand, including the emergency medical services
industry.
(2) * * *
(3) The Assistant Secretary shall analyze the
requirements identified under paragraph (2) to
determine which requirements may be satisfied by the
skills, training, or experience acquired by members of
the Armed Forces with the military occupational
specialties selected under paragraph (1) to ensure that
satisfaction of such requirements may take into
account, and be not duplicative of, previous coursework
and training received by such members while such
members were active members of the Armed Forces.
* * * * * * *
(e) Consultation. In carrying out this section, the
Assistant Secretary shall consult with the Secretary of
Defense, the Secretary of Veterans Affairs, the Secretary of
Health and Human Services, appropriate Federal and State
officials, private-sector employers, labor organizations, and
industry trade associations.
(f) * * *
(g) Period of project. [The period] The periods during
which the Assistant Secretary may carry out the demonstration
project under this section shall be the [period beginning on
the date that is 60 days after the date of the enactment of the
Veterans Benefits, Health Care, and Information Technology Act
of 2006 and ending on September 30, 2009.] periods as follows:
(1) The period beginning on the date that is 60 days
after the date of the enactment of the Veterans
Benefits, Health Care, and Information Technology Act
of 2006 and ending on September 30, 2009.
(2) The period beginning on October 1, 2011, and
ending on September 30, 2013.
* * * * * * *