SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Extended Unemployment Benefits 
Reform Act of 2012''.

SEC. 2. 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.

SEC. 3. ADDITIONAL REQUIREMENTS FOR RECEIPT OF EXTENDED UNEMPLOYMENT 
              BENEFITS.

    (a) In General.--Section 3304 of the Internal Revenue Code of 1986 
(relating to approval of State unemployment compensation laws) is 
amended--
            (1) in subsection (a)--
                    (A) in paragraph (18), by striking ``and'' at the 
                end;
                    (B) by redesignating paragraph (19) as paragraph 
                (20); and
                    (C) 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 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.''.
    (b) Effective Date.--
            (1) In general.--Except as provided in paragraph (2), the 
        amendments made by this section shall take effect on July 1, 
        2012.
            (2) 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 
        subsection (a), 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.
Extended Unemployment Benefits Reform Act of 2012 - Amends the Internal Revenue Code (relating to approval of state unemployment compensation [UC] laws) to prohibit state payment of extended UC to an individual, even under a temporary program, for any week in which he or she does not: (1) perform at least 20 hours of unpaid public service to a charitable organization, except in specified circumstances; and (2) engage in at least 20 hours of active job searching.

Authorizes a state to reduce the required 20 hours of active job searching, and prescribe alternative job search requirements, for any individual who has met both the public service and active job searching requirements for at least 12 weeks.
A bill to require participation in public service and engagement in an active job search as conditions for receipt of extended unemployment benefits.