In the Senate of the United States,

June 29, 2006.

Resolved, That the bill from the House of Representatives (H.R. 27) entitled ‘‘An Act to enhance the workforce investment system of the Nation by strengthening one-stop career centers, providing for more effective governance arrangements, promoting access to a more comprehensive array of

employment, training, and related services, establishing a targeted approach to serving youth, and improving performance

accountability, and for other purposes.’’, do pass with the following

AMENDMENT:

Strike out all after the enacting clause and insert:

1 SECTION 1. SHORT TITLE.

2 This Act may be cited as the ‘‘Workforce Investment

3 Act Amendments of 2005’’.
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1 SEC. 2. TABLE OF CONTENTS.

2 The table of contents of this Act is as follows:

Sec. 1. Short title.

Sec. 2. Table of contents.

Sec. 3. References.

TITLE I—AMENDMENTS TO TITLE I OF THE WORKFORCE

INVESTMENT ACT OF 1998

Subtitle A—Definitions

Sec. 101. Definitions.

Subtitle B—Statewide and Local Workforce Investment Systems

Sec. 111. Purpose.

Sec. 112. State workforce investment boards.

Sec. 113. State plan.

Sec. 114. Local workforce investment areas.

Sec. 115. Local workforce investment boards.

Sec. 116. Local plan.

Sec. 117. Establishment of one-stop delivery systems.

Sec. 118. Eligible providers of training services.

Sec. 119. Eligible providers of youth activities.

Sec. 120. Youth activities.

Sec. 121. Adult and dislocated worker employment and training activities.

Sec. 122. Performance accountability system.

Sec. 123. Authorization of appropriations.

Subtitle C—Job Corps

Sec. 131. Job Corps.

Subtitle D—National Programs

Sec. 141. Native American programs.

Sec. 142. Migrant and seasonal farmworker programs.

Sec. 143. Veterans’ workforce investment programs.

Sec. 144. Youth challenge grants.

Sec. 145. Technical assistance.

Sec. 146. Demonstration, pilot, multiservice, research, and multistate projects.

Sec. 147. National dislocated worker grants.

Sec. 148. Authorization of appropriations for national activities.

Subtitle E—Administration

Sec. 151. Requirements and restrictions.

Sec. 152. Reports.

Sec. 153. Administrative provisions.

Sec. 154. Use of certain real property.

Sec. 155. General program requirements.

Subtitle F—Incentive Grants

Sec. 161. Incentive grants.
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Subtitle G—Conforming Amendments

Sec. 171. Table of contents.

Sec. 172. Conforming amendments.

TITLE II—AMENDMENTS TO THE ADULT EDUCATION AND FAMILY

LITERACY ACT

Sec. 201. Short title; purpose.

Sec. 202. Definitions.

Sec. 203. Home schools.

Sec. 204. Authorization of appropriations.

Sec. 205. Reservation of funds; grants to eligible agencies; allotments.

Sec. 206. Performance accountability system.

Sec. 207. State administration.

Sec. 208. State distribution of funds; matching requirement.

Sec. 209. State leadership activities.

Sec. 210. State plan.

Sec. 211. Programs for corrections education and other institutionalized individuals.

Sec. 212. Grants and contracts for eligible providers.

Sec. 213. Local application.

Sec. 214. Local administrative cost limits.

Sec. 215. Administrative provisions.

Sec. 216. National Institute for Literacy.

Sec. 217. National leadership activities.

Sec. 218. Integrated English literacy and civics education.

Sec. 219. Transition.

TITLE III—AMENDMENTS TO OTHER PROVISIONS OF LAW

Sec. 301. Wagner-Peyser Act.

TITLE IV—REHABILITATION ACT AMENDMENTS

Sec. 401. Short title.

Sec. 402. Technical amendments to table of contents.

Sec. 403. Purpose.

Sec. 404. Rehabilitation Services Administration

Sec. 405. Definitions.

Sec. 406. Administration of the Act.

Sec. 407. Reports.

Sec. 408. Carryover.

Subtitle A—Vocational Rehabilitation Services

Sec. 411. Declaration of policy; authorization of appropriations.

Sec. 412. State plans.

Sec. 413. Eligibility and individualized plan for employment.

Sec. 414. Vocational rehabilitation services.

Sec. 415. State rehabilitation council.

Sec. 416. Evaluation standards and performance indicators.

Sec. 417. Monitoring and review.

Sec. 418. State allotments.

Sec. 419. Reservation for expanded transition services.

Sec. 420. Client assistance program.

Sec. 421. Incentive grants.
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Sec. 422. Vocational rehabilitation services grants.

Sec. 423. GAO studies.

Subtitle B—Research and Training

Sec. 431. Declaration of purpose.

Sec. 432. Authorization of appropriations.

Sec. 433. National Institute on Disability and Rehabilitation Research.

Sec. 434. Interagency committee.

Sec. 435. Research and other covered activities.

Sec. 436. Rehabilitation Research Advisory Council.

Sec. 437. Definition.

Subtitle C—Professional Development and Special Projects and Demonstrations

Sec. 441. Training.

Sec. 442. Demonstration and training programs.

Sec. 443. Migrant and seasonal farmworkers.

Sec. 444. Recreational programs.

Subtitle D—National Council on Disability

Sec. 451. Authorization of appropriations.

Subtitle E—Rights and Advocacy

Sec. 461. Architectural and Transportation Barriers Compliance Board.

Sec. 462. Protection and advocacy of individual rights.

Subtitle F—Employment Opportunities for Individuals With Disabilities

Sec. 471. Projects with industry.

Sec. 472. Projects with industry authorization of appropriations.

Sec. 473. Services for individuals with significant disabilities authorization of

appropriations.

Subtitle G—Independent Living Services and Centers for Independent Living

Sec. 481. State plan.

Sec. 482. Statewide Independent Living Council.

Sec. 483. Independent living services authorization of appropriations.

Sec. 484. Program authorization.

Sec. 485. Grants to centers for independent living in States in which Federal

funding exceeds State funding.

Sec. 486. Grants to centers for independent living in States in which State funding equals or exceeds Federal funding.

Sec. 487. Standards and assurances for centers for independent living.

Sec. 488. Centers for independent living authorization of appropriations.

Sec. 489. Independent living services for older individuals who are blind.

Sec. 490. Program of grants.

Sec. 491. Independent living services for older individuals who are blind authorization of appropriations.

Subtitle H—Miscellaneous

Sec. 495. Helen Keller National Center Act.
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TITLE V—TRANSITION AND EFFECTIVE DATE

Sec. 501. Transition provisions.

Sec. 502. Effective date.

1 SEC. 3. REFERENCES.

2 Except as otherwise expressly provided, wherever in

3 this Act an amendment or repeal is expressed in terms of

4 an amendment to, or repeal of, a section or other provision,

5 the reference shall be considered to be made to a section or

6 other provision of the Workforce Investment Act of 1998 (29

7 U.S.C. 2801 et seq.).

8 TITLE I—AMENDMENTS TO

9 TITLE I OF THE WORKFORCE

10 INVESTMENT ACT OF 1998

11 Subtitle A—Definitions

12 SEC. 101. DEFINITIONS.

13 Section 101 (29 U.S.C. 2801) is amended—

14 (1) by redesignating paragraphs (1) through (4),

15 (5) through (16), (17), (18) through (41), and (42)

16 through (53) as paragraphs (2) through (5), (7)

17 through (18), (20), (23) through (46), and (48)

18 through (59), respectively;

19 (2) by inserting before paragraph (2) (as redesig20 nated by paragraph (1)) the following:

21 ‘‘(1) ACCRUED EXPENDITURES.—The term ‘ac22 crued expenditures’ means charges incurred by recipi-
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1 ents of funds under this title for a given period re2 quiring the provision of funds for—

3 ‘‘(A) goods or other tangible property re4 ceived;

5 ‘‘(B) services performed by employees, con6 tractors, subgrantees, subcontractors, and other

7 payees; and

8 ‘‘(C) other amounts becoming owed under

9 programs assisted under this title for which no

10 current services or performance is required, such

11 as annuities, insurance claims, and other benefit

12 payments.’’;

13 (3) in paragraph (2) (as redesignated by para14 graph (1)), by striking ‘‘Except in sections 127 and

15 132,’’ and inserting ‘‘Except in section 132,’’;

16 (4) by striking paragraph (5) (as redesignated

17 by paragraph (1)) and inserting the following:

18 ‘‘(5) BASIC SKILLS DEFICIENT.—The term ‘basic

19 skills deficient’ means, with respect to an individual,

20 that the individual—

21 ‘‘(A) has English reading, writing, or com22 puting skills at or below the 8th grade level on

23 a generally accepted standardized test or a com24 parable score on a criterion-referenced test; or
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1 ‘‘(B) is unable to compute or solve problems,

2 read, write, or speak English at a level necessary

3 to function on the job, in the individual’s family,

4 or in society.’’;

5 (5) by inserting after paragraph (5) (as redesig6 nated by paragraph (1)) the following:

7 ‘‘(6) BUSINESS INTERMEDIARY.—The term ‘busi8 ness intermediary’ means an entity that brings to9 gether various stakeholders with an expertise in an

10 industry or business sector.’’;

11 (6) in paragraph (9) (as redesignated by para12 graph (1)), by inserting ‘‘, including a faith-based or13 ganization,’’ after ‘‘nonprofit organization’’;

14 (7) in paragraph (10) (as redesignated by para15 graph (1)), in subparagraph (C), by striking ‘‘for not

16 less than 50 percent of the cost of the training.’’ and

17 inserting ‘‘for—

18 ‘‘(i) a significant portion of the cost of

19 training as determined by the local board,

20 taking into account the size of the employer

21 and such other factors as the local board de22 termines to be appropriate; and

23 ‘‘(ii) in the case of customized training

24 (as defined in subparagraphs (A) and (B))

25 with an employer in multiple local areas in
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1 the State, a significant portion of the cost

2 of the training, as determined by the Gov3 ernor, taking into account the size of the

4 employer and such other factors as the Gov5 ernor determines to be appropriate.’’;

6 (8) in paragraph (11) (as redesignated by para7 graph (1))—

8 (A) in subparagraph (A)(ii)(II), by striking

9 ‘‘section 134(c)’’ and inserting ‘‘section 121(e)’’;

10 (B) in subparagraph (C), by striking ‘‘or’’

11 after the semicolon;

12 (C) in subparagraph (D), by striking the

13 period and inserting ‘‘; or’’; and

14 (D) by adding at the end the following:

15 ‘‘(E)(i) is the spouse of a member of the

16 Armed Forces on active duty for a period of

17 more than 30 days (as defined in section

18 101(d)(2) of title 10, United States Code) who

19 has experienced a loss of employment as a direct

20 result of relocation to accommodate a permanent

21 change in duty station of such member; or

22 ‘‘(ii) is the spouse of a member of the

23 Armed Forces on active duty who meets the cri24 teria described in paragraph (12)(B).’’;
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1 (9) in paragraph (12)(A) (as redesignated by

2 paragraph (1))—

3 (A) by striking ‘‘and’’ after the semicolon

4 and inserting ‘‘or’’;

5 (B) by striking ‘‘(A)’’ and inserting

6 ‘‘(A)(i)’’; and

7 (C) by adding at the end the following:

8 ‘‘(ii) is the dependent spouse of a member of

9 the Armed Forces on active duty for a period of

10 more than 30 days (as defined in section

11 101(d)(2) of title 10, United States Code) whose

12 family income is significantly reduced because of

13 a deployment (as defined in section 991(b) of

14 title 10, United States Code, or pursuant to

15 paragraph (4) of such section), a call or order to

16 active duty pursuant to a provision of law re17 ferred to in section 101(a)(13)(B) of title 10,

18 United States Code, a permanent change of sta19 tion, or the service-connected (as defined in sec20 tion 101(16) of title 38, United States Code)

21 death or disability of the member; and’’;

22 (10) in paragraph (14)(A) (as redesignated by

23 paragraph (1)), by striking ‘‘section 122(e)(3)’’ and

24 inserting ‘‘section 122’’;
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1 (11) by inserting after paragraph (18) (as redes2 ignated by paragraph (1)) the following:

3 ‘‘(19) HARD-TO-SERVE POPULATIONS.—The term

4 ‘hard-to-serve populations’ means populations of indi5 viduals who are hard to serve, including displaced

6 homemakers, low-income individuals, Native Ameri7 cans, individuals with disabilities, older individuals,

8 ex-offenders, homeless individuals, individuals with

9 limited English proficiency, individuals who do not

10 meet the definition of literacy in section 203, individ11 uals facing substantial cultural barriers, migrant and

12 seasonal farmworkers, individuals within 2 years of

13 exhausting lifetime eligibility under part A of title IV

14 of the Social Security Act (42 U.S.C. 601 et seq.), sin15 gle parents (including single pregnant women), and

16 such other groups as the Governor determines to be

17 hard to serve.’’;

18 (12) by inserting after paragraph (20) (as redes19 ignated by paragraph (1)) the following:

20 ‘‘(21) INTEGRATED TRAINING PROGRAM.—The

21 term ‘integrated training program’ means a program

22 that combines occupational skills training with

23 English language acquisition.

24 ‘‘(22) INSTITUTION OF HIGHER EDUCATION.—

25 The term ‘institution of higher education’ has the
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1 meaning given the term in section 101(a), and sub2 paragraphs (A) and (B) of section 102(a)(1), of the

3 Higher Education Act of 1965 (20 U.S.C. 1001(a),

4 1002(a)(1)).’’;

5 (13) in paragraph (30) (as redesignated by

6 paragraph (1))—

7 (A) by redesignating subparagraphs (D)

8 through (F) as subparagraphs (E) through (G),

9 respectively; and

10 (B) by inserting after subparagraph (C) the

11 following:

12 ‘‘(D) receives or is eligible to receive a free

13 or reduced price lunch under the Richard B.

14 Russell National School Lunch Act (42 U.S.C.

15 1751 et seq.);’’;

16 (14) in paragraph (31) (as redesignated by

17 paragraph (1)), by inserting after ‘‘fields of work’’ the

18 following: ‘‘, including occupations in computer

19 science and technology and other emerging high-skill

20 occupations,’’;

21 (15) in paragraph (35) (as redesignated by

22 paragraph (1)), by inserting ‘‘, subject to section

23 121(b)(1)(C)’’ after ‘‘121(b)(1)’’;

24 (16) by striking paragraph (38) (as redesignated

25 by paragraph (1)) and inserting the following:
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1 ‘‘(38) OUT-OF-SCHOOL YOUTH.—The term ‘out2 of-school youth’ means an out-of-school youth as de3 fined in section 129(a)(1)(B).’’;

4 (17) by inserting after paragraph (46) (as redes5 ignated by paragraph (1)) the following:

6 ‘‘(47) SELF-SUFFICIENCY.—The term ‘self-suffi7 ciency’ means self-sufficiency within the meaning of

8 subsections (a)(3)(A)(x) and (e)(1)(A)(xii) of section

9 134.’’;

10 (18) in paragraph (49) (as redesignated by

11 paragraph (1)), by striking ‘‘clause (iii) or (v) of sec12 tion 136(b)(3)(A)’’ and inserting ‘‘section

13 136(b)(3)(A)(iii)’’;

14 (19) in paragraph (58) (as redesignated by

15 paragraph (1)), by striking ‘‘(or as described in sec16 tion 129(c)(5))’’ and inserting ‘‘(or as described in

17 section 129(a)(2))’’; and

18 (20) in paragraph (59) (as redesignated by

19 paragraph (1)), by striking ‘‘established under section

20 117(h)’’ and inserting ‘‘that may be established under

21 section 117(h)(2)’’.
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1 Subtitle B—Statewide and Local

2 Workforce Investment Systems

3 SEC. 111. PURPOSE.

4 Section 106 (29 U.S.C. 2811) is amended to read as

5 follows:

6 ‘‘SEC. 106. PURPOSES.

7 ‘‘The purposes of this subtitle are the following:

8 ‘‘(1)(A) Primarily, to provide workforce invest9 ment activities, through statewide and local workforce

10 investment systems, that increase the employment, re11 tention, self-sufficiency, and earnings of participants,

12 and increase occupational skill attainment by partici13 pants.

14 ‘‘(B) As a result of the provision of the activities,

15 to improve the quality of the workforce, reduce welfare

16 dependency, increase self-sufficiency, and enhance the

17 productivity and competitiveness of the Nation.

18 ‘‘(2) To enhance the workforce investment system

19 of the Nation by strengthening one-stop centers, pro20 viding for more effective governance arrangements,

21 promoting access to a more comprehensive array of

22 employment and training and related services, estab23 lishing a targeted approach to serving youth, improv24 ing performance accountability, and promoting State

25 and local flexibility.
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1 ‘‘(3) To provide workforce investment activities

2 in a manner that promotes the informed choice of

3 participants and actively involves participants in de4 cisions affecting their participation in such activities.

5 ‘‘(4) To provide workforce investment systems

6 that are demand-driven and responsive to the needs

7 of all employers, including small employers.

8 ‘‘(5) To provide workforce investment systems

9 that work in all areas of the Nation, including urban

10 and rural areas.

11 ‘‘(6) To allow flexibility to meet State, local, re12 gional, and individual workforce investment needs.

13 ‘‘(7) To recognize and reinforce the vital link be14 tween economic development and workforce invest15 ment activities.

16 ‘‘(8) To provide for accurate data collection, re17 porting, and performance measures that are not un18 duly burdensome.

19 ‘‘(9) To address the ongoing shortage of essential

20 skills in the United States workforce related to both

21 manufacturing and knowledge-based economies to en22 sure that the United States remains competitive in

23 the global economy.

24 ‘‘(10) To equip workers with higher skills and

25 contribute to lifelong education.
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1 ‘‘(11) To eliminate training disincentives for

2 hard-to-serve populations and minority workers, in3 cluding effectively utilizing community programs,

4 services, and agencies.

5 ‘‘(12) To educate limited English proficient indi6 viduals about skills and language so the individuals

7 are employable.

8 ‘‘(13) To increase the employment, retention and

9 earnings of individuals with disabilities.’’.

10 SEC. 112. STATE WORKFORCE INVESTMENT BOARDS.

11 (a) MEMBERSHIP.—

12 (1) IN GENERAL.—Section 111(b) (29 U.S.C.

13 2821(b)) is amended—

14 (A) in paragraph (1), by striking subpara15 graph (C) and inserting the following:

16 ‘‘(C) representatives appointed by the Gov17 ernor, who—

18 ‘‘(i) are the lead State agency officials

19 with responsibility for the programs and ac20 tivities that are described in section 121(b)

21 and carried out by one-stop partners, except

22 that—

23 ‘‘(I) in any case in which no lead

24 State agency official has responsibility

25 for such a program or activity, the
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1 representative shall be a representative

2 in the State with expertise relating to

3 such program or activity; and

4 ‘‘(II) in the case of the programs

5 authorized under title I of the Reha6 bilitation Act of 1973 (29 U.S.C. 720

7 et seq.), the representative shall be the

8 director of the designated State unit,

9 as defined in section 7 of the Rehabili10 tation Act of 1973 (29 U.S.C. 705);

11 ‘‘(ii) are the State agency officials re12 sponsible for economic development;

13 ‘‘(iii) are representatives of business in

14 the State, including small businesses, who—

15 ‘‘(I) are owners of businesses, chief

16 executive or operating officers of busi17 nesses, or other business executives or

18 employers with optimum policymaking

19 or hiring authority;

20 ‘‘(II) represent businesses with

21 employment opportunities that reflect

22 employment opportunities in the State;

23 and

24 ‘‘(III) are appointed from among

25 individuals nominated by State busi-
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1 ness organizations, business trade asso2 ciations, and local boards;

3 ‘‘(iv) are chief elected officials (rep4 resenting cities and counties, where appro5 priate);

6 ‘‘(v) are representatives of labor orga7 nizations, who have been nominated by

8 State labor federations; and

9 ‘‘(vi) are such other State agency offi10 cials and other representatives as the Gov11 ernor may designate.’’; and

12 (B) in paragraph (3), by striking ‘‘para13 graph (1)(C)(i)’’ and inserting ‘‘paragraph

14 (1)(C)(iii)’’.

15 (2) CONFORMING AMENDMENT.—Section 111(c)

16 (29 U.S.C. 2821(c)) is amended by striking ‘‘sub17 section (b)(1)(C)(i)’’ and inserting ‘‘subsection

18 (b)(1)(C)(iii)’’.

19 (b) FUNCTIONS.—Section 111(d) (29 U.S.C. 2821(d))

20 is amended—

21 (1) in paragraph (1), by striking ‘‘development’’

22 and inserting ‘‘development, implementation, and re23 vision’’;

24 (2) in paragraph (2)—
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1 (A) by striking ‘‘section 134(c)’’ and insert2 ing ‘‘section 121(e)’’; and

3 (B) in subparagraph (A), by inserting after

4 ‘‘section 121(b)’’ the following: ‘‘, including

5 granting the authority for the State employment

6 service under the Wagner-Peyser Act (29 U.S.C.

7 49 et seq.) to plan and coordinate employment

8 and training activities with local boards’’;

9 (3) by striking paragraph (3) and inserting the

10 following:

11 ‘‘(3) reviewing and providing comment on the

12 State plans of all one-stop partner programs, where

13 applicable, in order to provide effective strategic lead14 ership in the development of a high quality, com15 prehensive statewide workforce investment system, in16 cluding commenting at least once annually on the

17 measures taken pursuant to section 113(b)(3) of the

18 Carl D. Perkins Vocational and Technical Education

19 Act of 1998 (20 U.S.C. 2323(b)(3)) and title II of this

20 Act;’’;

21 (4) by redesignating paragraphs (4) through (9)

22 as paragraphs (5) through (10), respectively;

23 (5) by inserting after paragraph (3) the fol24 lowing:
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1 ‘‘(4) development and review of statewide policies

2 affecting the coordinated provision of services through

3 the one-stop delivery system described in section

4 121(e) within the State, including—

5 ‘‘(A) the development of objective criteria

6 and procedures for use by local boards in assess7 ing the effectiveness and continuous improvement

8 of one-stop centers under section 121(g);

9 ‘‘(B) the development of guidance for the al10 location of one-stop center infrastructure funds

11 under section 121(h)(1)(B);

12 ‘‘(C) the development of—

13 ‘‘(i) statewide policies relating to the

14 appropriate roles and contributions of one15 stop partner programs within the one-stop

16 delivery system, including approaches to fa17 cilitating equitable and efficient cost alloca18 tion in the one-stop delivery system;

19 ‘‘(ii) statewide strategies for providing

20 effective outreach to individuals, including

21 hard-to-serve populations, and employers

22 who could benefit from services provided

23 through the one-stop delivery system;

24 ‘‘(iii) strategies for technology improve25 ments to facilitate access to services pro-
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1 vided through the one-stop delivery system,

2 in remote areas, and for individuals with

3 disabilities, which may be utilized through4 out the State; and

5 ‘‘(iv) strategies for the effective coordi6 nation of activities between the one-stop de7 livery system of the State and the State em8 ployment service under the Wagner-Peyser

9 Act (29 U.S.C. 49 et seq.);

10 ‘‘(D) identification and dissemination of in11 formation on best practices for effective operation

12 of one-stop centers, including use of innovative

13 business outreach, partnerships, and service de14 livery strategies, including for hard-to-serve pop15 ulations; and

16 ‘‘(E) conduct of such other matters as may

17 promote statewide objectives for, and enhance the

18 performance of, the one-stop delivery system;’’;

19 (6) in paragraph (5) (as redesignated by para20 graph (4)), by inserting ‘‘and the development of

21 statewide criteria to be used by chief elected officials

22 for the appointment of local boards consistent with

23 section 117’’ after ‘‘section 116’’;

24 (7) in paragraph (6) (as redesignated by para25 graph (4)), by striking ‘‘sections 128(b)(3)(B) and
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1 133(b)(3)(B)’’ and inserting ‘‘sections 128(b)(3) and

2 133(b)(3)(B)’’;

3 (8) in paragraph (9) (as redesignated by para4 graph (4))—

5 (A) by striking ‘‘employment statistics sys6 tem’’ and inserting ‘‘workforce and labor market

7 information system’’; and

8 (B) by striking ‘‘and’’ after the semicolon;

9 (9) in paragraph (10) (as redesignated by para10 graph (4))—

11 (A) by inserting ‘‘section 136(i) and’’ before

12 ‘‘section 503’’; and

13 (B) by striking the period and inserting ‘‘;

14 and’’; and

15 (10) by adding at the end the following:

16 ‘‘(11) increasing the availability of skills train17 ing, employment opportunities, and career advance18 ment, for hard-to-serve populations.’’.

19 (c) ALTERNATIVE ENTITY.—Section 111(e) (29 U.S.C.

20 2821(e)) is amended—

21 (1) in paragraph (1), by striking ‘‘For’’ and in22 serting ‘‘Subject to paragraph (3), for’’; and

23 (2) by adding at the end the following:

24 ‘‘(3) FAILURE TO MEET PERFORMANCE MEAS25 URES.—If a State fails to have performed successfully,
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1 as defined in section 116(a)(2), the Secretary may re2 quire the State to establish a State board in accord3 ance with subsections (a), (b), and (c) in lieu of the

4 alternative entity established under paragraph (1).’’.

5 (d) CONFLICT OF INTEREST.—Section 111(f)(1) (29

6 U.S.C. 2821(f)(1)) is amended by inserting ‘‘or participate

7 in action taken’’ after ‘‘vote’’.

8 (e) SUNSHINE PROVISION.—Section 111(g) (29 U.S.C.

9 2821(g)) is amended—

10 (1) by inserting ‘‘, and modifications to the

11 State plan,’’ before ‘‘prior’’; and

12 (2) by inserting ‘‘, and modifications to the

13 State plan’’ after ‘‘the plan’’.

14 (f) AUTHORITY TO HIRE STAFF.—Section 111 (29

15 U.S.C. 2821) is amended by adding at the end the following:

16 ‘‘(h) AUTHORITY TO HIRE STAFF.—

17 ‘‘(1) IN GENERAL.—The State board may hire

18 staff to assist in carrying out the functions described

19 in subsection (d) using funds allocated under sections

20 127(b)(1)(C) and 132(b).

21 ‘‘(2) LIMITATION ON RATE.—Funds appropriated

22 under this title shall not be used to pay staff em23 ployed by the State board, either as a direct cost or

24 through any proration as an indirect cost, at a rate

25 in excess of the maximum rate payable for a position
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1 at GS–15 of the General Schedule as in effect on the

2 date of enactment of the Workforce Investment Act

3 Amendments of 2005.’’.

4 SEC. 113. STATE PLAN.

5 (a) PLANNING CYCLE.—Section 112(a) (29 U.S.C.

6 2822(a)) is amended—

7 (1) by inserting ‘‘, or a State unified plan as de8 scribed in section 501,’’ before ‘‘that outlines’’;

9 (2) by striking ‘‘5-year strategy’’ and inserting

10 ‘‘4-year strategy’’; and

11 (3) by adding at the end the following: ‘‘At the

12 end of the first 2-year period of the 4-year State plan,

13 the State board shall review and, as needed, amend

14 the 4-year State plan to reflect labor market and eco15 nomic conditions. In addition, the State shall submit

16 a modification to the State plan at the end of the first

17 2-year period of the State plan, which may include

18 redesignation of local areas pursuant to section

19 116(a) and specification of the levels of performance

20 under sections 136 for the third and fourth years of

21 the plan.’’.

22 (b) CONTENTS.—Section 112(b) (29 U.S.C. 2822(b)) is

23 amended—

24 (1) in paragraph (8)(A)—
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1 (A) in clause (ix), by striking ‘‘and’’ after

2 the semicolon; and

3 (B) by adding at the end the following:

4 ‘‘(xi) programs authorized under title II of

5 the Social Security Act (42 U.S.C. 401 et seq.)

6 (relating to Federal old-age, survivors, and dis7 ability insurance benefits), title XVI of such Act

8 (42 U.S.C. 1381 et seq.) (relating to supple9 mental security income), title XIX of such Act

10 (42 U.S.C. 1396 et seq.) (relating to medicaid),

11 and title XX of such Act (42 U.S.C. 1397 et seq.)

12 (relating to block grants to States for social serv13 ices), programs authorized under title VII of the

14 Rehabilitation Act of 1973 (29 U.S.C. 796 et

15 seq.), and programs carried out by State agen16 cies relating to mental retardation and develop17 mental disabilities; and’’;

18 (2) by striking paragraph (10) and inserting the

19 following:

20 ‘‘(10) a description of how the State will use

21 funds the State received under this subtitle to leverage

22 other Federal, State, local, and private resources, in

23 order to maximize the effectiveness of such resources,

24 expand resources for the provision of education and

25 training services, and expand the participation of
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1 businesses, employees, and individuals in the state2 wide workforce investment system, including a de3 scription of incentives and technical assistance the

4 State will provide to local areas for such purposes;’’;

5 (3) in paragraph (12)(A), by striking ‘‘sections

6 128(b)(3)(B) and 133(b)(3)(B)’’ and inserting ‘‘sec7 tions 128(b)(3) and 133(b)(3)(B)’’;

8 (4) in paragraph (14), by striking ‘‘section

9 134(c)’’ and inserting ‘‘section 121(e)’’;

10 (5) in paragraph (15), by striking ‘‘section

11 116(a)(5)’’ and inserting ‘‘section 116(a)(4)’’;

12 (6) in paragraph (17)—

13 (A) in subparagraph (A)—

14 (i) in clause (iii)—

15 (I) by inserting ‘‘local’’ before

16 ‘‘customized training’’; and

17 (II) by striking ‘‘and’’ at the end;

18 (ii) in clause (iv), by striking ‘‘(in19 cluding displaced homemakers),’’ and all

20 that follows through ‘‘disabilities)’’ and in21 serting ‘‘, hard-to-serve populations, and in22 dividuals training for nontraditional em23 ployment’’; and

24 (iii) by adding after clause (iv) the fol25 lowing:
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1 ‘‘(v) how the State will serve the em2 ployment and training needs of individuals

3 with disabilities, consistent with section 188

4 and Executive Order 13217 (42 U.S.C.

5 12131 note; relating to community-based al6 ternatives for individuals with disabilities),

7 including the provision of outreach, intake,

8 the conduct of assessments, service delivery,

9 the development of adjustments to perform10 ance measures established under section

11 136, and the training of staff; and’’; and

12 (B) in subparagraph (B), by striking ‘‘and’’

13 at the end;

14 (7) in paragraph (18)(D)—

15 (A) by striking ‘‘youth opportunity grants

16 under section 169’’ and inserting ‘‘youth chal17 lenge grants authorized under section 169 and

18 other federally funded youth programs’’; and

19 (B) by striking the period and inserting a

20 semicolon; and

21 (8) by adding at the end the following:

22 ‘‘(19) a description of how the State will utilize

23 technology to facilitate access to services in remote

24 areas, which may be utilized throughout the State;
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1 ‘‘(20) a description of the State strategy for co2 ordinating workforce investment activities and eco3 nomic development activities, and promoting entre4 preneurial skills training and microenterprise serv5 ices;

6 ‘‘(21) a description of the State strategy and as7 sistance to be provided for ensuring regional coopera8 tion within the State and across State borders as ap9 propriate;

10 ‘‘(22) a description of how the State will use

11 funds the State receives under this subtitle to—

12 ‘‘(A) implement innovative programs and

13 strategies designed to meet the needs of all busi14 nesses in the State, including small businesses,

15 which may include incumbent worker training

16 programs, sectoral and industry cluster strate17 gies, regional skills alliances, career ladder pro18 grams, utilization of effective business inter19 mediaries, and other business services and strate20 gies that better engage employers in workforce

21 investment activities and make the statewide

22 workforce investment system more relevant to the

23 needs of State and local businesses, consistent

24 with the objectives of this title; and
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1 ‘‘(B) provide incentives and technical as2 sistance to assist local areas in more fully engag3 ing all employers, including small employers, in

4 local workforce investment activities, to make the

5 workforce investment system more relevant to the

6 needs of area businesses, and to better coordinate

7 workforce investment and economic development

8 efforts to contribute to the economic well-being of

9 the local area, as determined appropriate by the

10 local board;

11 ‘‘(23) a description of the State strategy—

12 ‘‘(A) for ensuring cooperation between

13 transportation providers, including public trans14 portation providers, and providers of workforce

15 investment activities; and

16 ‘‘(B) for ensuring coordination among ap17 propriate State agencies and programs to make

18 available skills training, employment services

19 and opportunities, and career advancement ac20 tivities, that will assist ex-offenders in reentering

21 the workforce;

22 ‘‘(24) a description of how the State will assist

23 local areas in assuring physical and programmatic

24 accessibility for individuals with disabilities at one25 stop centers;
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1 ‘‘(25) a description of the process and method2 ology that will be used by the State board to—

3 ‘‘(A) review statewide policies and provide

4 guidance on the coordinated provision of services

5 through the one-stop delivery system described in

6 section 121(e);

7 ‘‘(B) establish, in consultation with chief

8 elected officials and local boards, objective cri9 teria and procedures for use by local boards in

10 periodically assessing the effectiveness, physical

11 and programmatic accessibility, and continuous

12 improvement of one-stop centers and the one-stop

13 delivery system as described in section 121(g);

14 and

15 ‘‘(C) determine—

16 ‘‘(i) one-stop partner program con17 tributions for the costs of the infrastructure

18 of one-stop centers under section 121(h)(2);

19 and

20 ‘‘(ii) the formula for allocating the

21 funds described in section 121(h)(2) to local

22 areas;

23 ‘‘(26) a description of the State strategy for en24 suring that activities carried out under this title are
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1 placing men and women in jobs, education, or train2 ing that lead to comparable pay; and

3 ‘‘(27) a description of the technical assistance

4 available to one-stop operators and providers of train5 ing services for strategies to serve hard-to-serve popu6 lations and promote placement in nontraditional em7 ployment.’’.

8 (c) MODIFICATIONS TO PLAN.—Section 112(d) (29

9 U.S.C. 2822(d)) is amended—

10 (1) by striking ‘‘5-year period’’ and inserting

11 ‘‘4-year period’’; and

12 (2) by adding at the end the following: ‘‘In addi13 tion, the State shall submit the modifications to the

14 State plan required under subsection (a), under cir15 cumstances prescribed by the Secretary that are due

16 to changes in Federal law that significantly affect ele17 ments of the State plan.’’.

18 SEC. 114. LOCAL WORKFORCE INVESTMENT AREAS.

19 (a) DESIGNATION OF AREAS.—

20 (1) CONSIDERATIONS.—Section 116(a)(1) (29

21 U.S.C. 2831(a)(1)) is amended—

22 (A) in subparagraph (A), by striking

23 ‘‘paragraphs (2), (3), and (4)’’ and inserting

24 ‘‘paragraphs (2) and (3)’’; and
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1 (B) in subparagraph (B), by adding at the

2 end the following:

3 ‘‘(vi) The extent to which such local

4 areas will promote maximum effectiveness

5 in the administration and provision of serv6 ices.’’.

7 (2) AUTOMATIC DESIGNATION.—Section

8 116(a)(2) (29 U.S.C. 2831(a)(2)) is amended to read

9 as follows:

10 ‘‘(2) AUTOMATIC DESIGNATION.—

11 ‘‘(A) IN GENERAL.—The Governor shall ap12 prove a request for designation as a local area

13 that is submitted prior to the submission of the

14 State plan, or of a modification to the State

15 plan relating to area designation, from any area

16 that—

17 ‘‘(i) is a unit of general local govern18 ment with a population of 500,000 or more,

19 except that after the initial 2-year period

20 following such designation pursuant to this

21 clause that occurs after the date of enact22 ment of the Workforce Investment Act

23 Amendments of 2005, the Governor shall

24 only be required to approve a request for

25 designation from such area if such area—
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1 ‘‘(I) performed successfully; and

2 ‘‘(II) sustained fiscal integrity;

3 ‘‘(ii) was a local area under this title

4 for the preceding 2-year period (prior to the

5 date of approval), if such local area—

6 ‘‘(I) performed successfully; and

7 ‘‘(II) sustained fiscal integrity;

8 ‘‘(iii) is served by a rural concentrated

9 employment program grant recipient, ex10 cept that after the initial 2-year period fol11 lowing any such designation under the ini12 tial State plan submitted after the date of

13 enactment of the Workforce Investment Act

14 Amendments of 2005, the Governor shall

15 only be required to approve a request for

16 designation under this clause for such area

17 if such area—

18 ‘‘(I) performed successfully; and

19 ‘‘(II) sustained fiscal integrity; or

20 ‘‘(iv) was a local area under section

21 116(a)(2)(C) (as in effect on the day before

22 the date of enactment of the Workforce In23 vestment Act Amendments of 2005), except

24 that after the initial 2-year period following

25 such designation pursuant to this clause
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HR 27 EAS

1 that occurs after that date of enactment, the

2 Governor shall only be required to approve

3 a request for designation under this clause

4 for such area if such area—

5 ‘‘(I) performed successfully; and

6 ‘‘(II) sustained fiscal integrity.

7 ‘‘(B) DEFINITIONS.—For purposes of this

8 paragraph:

9 ‘‘(i) PERFORMED SUCCESSFULLY.—The

10 term ‘performed successfully’, when used

11 with respect to a local area, means the local

12 area performed at 80 percent or more of the

13 adjusted level of performance for core indi14 cators of performance described in section

15 136(b)(2)(A) for 2 consecutive years.

16 ‘‘(ii) SUSTAINED FISCAL INTEGRITY.—

17 The term ‘sustained fiscal integrity’, used

18 with respect to an area, means that the Sec19 retary has not made a formal determination

20 during the preceding 2-year period that ei21 ther the grant recipient or the administra22 tive entity of the area misexpended funds

23 provided under this title due to willful dis24 regard of the requirements of the Act in25 volved, gross negligence, or failure to comply
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1 with accepted standards of administra2 tion.’’.

3 (3) CONFORMING AMENDMENTS.—Section 116(a)

4 (29 U.S.C. 2831(a)) is amended—

5 (A) by striking paragraph (3);

6 (B) by redesignating paragraphs (4) and

7 (5) as paragraph (3) and (4), respectively;

8 (C) in paragraph (3) (as redesignated by

9 subparagraph (B))—

10 (i) by striking ‘‘(including temporary

11 designation)’’; and

12 (ii) by striking ‘‘(v)’’ and inserting

13 ‘‘(vi)’’; and

14 (D) in paragraph (4) (as redesignated by

15 subparagraph (B))—

16 (i) by striking ‘‘under paragraph (2)

17 or (3)’’ and inserting ‘‘under paragraph

18 (2)’’; and

19 (ii) by striking the second sentence.

20 (b) SINGLE LOCAL AREA STATES.—Section 116(b) (29

21 U.S.C. 2831(b)) is amended to read as follows:

22 ‘‘(b) SINGLE LOCAL AREA STATES.—

23 ‘‘(1) CONTINUATION OF PREVIOUS DESIGNA24 TION.—Notwithstanding subsection (a)(2), the Gov25 ernor of any State that was a single local area for
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1 purposes of this title as of July 1, 2004, may continue

2 to designate the State as a single local area for pur3 poses of this title if the Governor identifies the State

4 as a local area in the State plan under section

5 112(b)(5).

6 ‘‘(2) REDESIGNATION.—The Governor of a State

7 not described in paragraph (1) may designate the

8 State as a single local area if, prior to the submission

9 of the State plan or modification to such plan so des10 ignating the State, no local area meeting the require11 ments for automatic designation under subsection

12 (a)(2) requests such designation as a separate local

13 area.

14 ‘‘(3) EFFECT ON LOCAL PLAN.—In any case in

15 which a State is designated as a local area pursuant

16 to this subsection, the local plan prepared under sec17 tion 118 for the area shall be submitted to the Sec18 retary for approval as part of the State plan under

19 section 112.’’.

20 (c) REGIONAL PLANNING.—Section 116(c) (29 U.S.C.

21 2831(c)) is amended—

22 (1) by striking paragraph (1) and inserting the

23 following:

24 ‘‘(1) PLANNING.—
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1 ‘‘(A) IN GENERAL.—As part of the process

2 for developing the State plan, a State may re3 quire regional planning by local boards for a

4 designated region in the State. The State may

5 require the local boards for a designated region

6 to participate in a regional planning process

7 that results in the establishment of regional per8 formance measures for workforce investment ac9 tivities authorized under this subtitle. The State,

10 after consultation with local boards and chief

11 elected officials, may require the local boards for

12 the designated region to prepare, submit, and ob13 tain approval of a single regional plan that in14 corporates local plans for each of the local areas

15 in the region, as required under section 118. The

16 State may award regional incentive grants to

17 the designated regions that meet or exceed the re18 gional performance measures pursuant to section

19 134(a)(2)(B)(iii).

20 ‘‘(B) TECHNICAL ASSISTANCE.—If the State

21 requires regional planning as provided in sub22 paragraph (A), the State shall provide technical

23 assistance and labor market information to such

24 local areas in the designated regions to assist
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HR 27 EAS

1 with such regional planning and subsequent

2 service delivery efforts.’’;

3 (2) in paragraph (2), by inserting ‘‘information

4 about the skill requirements of existing and emerging

5 industries and industry clusters,’’ after ‘‘information

6 about employment opportunities and trends,’’; and

7 (3) in paragraph (3), by adding at the end the

8 following: ‘‘Such services may be required to be co9 ordinated with regional economic development serv10 ices and strategies.’’.

11 SEC. 115. LOCAL WORKFORCE INVESTMENT BOARDS.

12 (a) COMPOSITION.—Section 117(b) (29 U.S.C.

13 2832(b)) is amended—

14 (1) in paragraph (2)(A)—

15 (A) in clause (i), by striking subclause (II)

16 and inserting the following:

17 ‘‘(II) collectively, represent busi18 nesses with employment opportunities

19 that reflect the employment opportuni20 ties of the local area, and include rep21 resentatives of businesses that are in

22 high-growth and emerging industries,

23 and representatives of businesses, in24 cluding small businesses, in the local

25 area; and’’;
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1 (B) by striking clause (ii) and inserting the

2 following:

3 ‘‘(ii)(I) a superintendent representing

4 the local school districts involved or another

5 high-level official from such districts;

6 ‘‘(II) the president or highest ranking

7 official of an institution of higher education

8 participating in the workforce investment

9 activities in the local area; and

10 ‘‘(III) an administrator of local enti11 ties providing adult education and literacy

12 activities in the local area;’’;

13 (C) in clause (iv), by inserting ‘‘, hard-to14 serve populations,’’ after ‘‘disabilities’’;

15 (D) in clause (v), by striking ‘‘and’’ at the

16 end; and

17 (E) by striking clause (vi) and inserting the

18 following:

19 ‘‘(vi) a representative from the State

20 employment service under the Wagner21 Peyser Act (29 U.S.C. 49 et seq.) who is

22 serving the local area; and

23 ‘‘(vii) if the local board does not estab24 lish or continue a youth council, representa25 tives with experience serving out-of-school
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1 youth, particularly out-of-school youth fac2 ing barriers to employment; and’’; and

3 (2) by adding at the end the following:

4 ‘‘(6) SPECIAL RULE.—In the case that there are

5 multiple school districts or institutions of higher edu6 cation serving a local area, the representatives de7 scribed in subclause (I) or (II) of paragraph

8 (2)(A)(ii), respectively, shall be appointed from

9 among individuals nominated by regional or local

10 educational agencies, institutions, or organizations

11 representing such agencies or institutions.’’.

12 (b) AUTHORITY OF BOARD MEMBERS.—Section

13 117(b)(3) (29 U.S.C. 2832(b)(3)) is amended—

14 (1) in the heading, by inserting ‘‘AND REP15 RESENTATION’’ after ‘‘AUTHORITY’’; and

16 (2) by adding at the end the following: ‘‘The

17 members of the board shall represent diverse geo18 graphic sections within the local area.’’.

19 (c) CONFORMING AMENDMENT.—Section 117(c)(1)(C)

20 (29 U.S.C. 2832(c)(1)(C)) is amended by striking ‘‘section

21 116(a)(2)(B)’’ and inserting ‘‘section 116(a)(2)(A)(iii)’’.

22 (d) FUNCTIONS.—Section 117(d) (29 U.S.C. 2832(d))

23 is amended—

24 (1) in paragraph (1), insert after ‘‘Governor’’ the

25 following: ‘‘, and shall develop jointly with the head
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1 of the State employment service under the Wagner2 Peyser Act (29 U.S.C. 49 et seq.) appropriate compo3 nents of such plan to maximize coordination, improve

4 service delivery, and avoid duplication of services’’;

5 (2) in paragraph (2)—

6 (A) in subparagraph (B)—

7 (i) by inserting ‘‘(except as provided in

8 section 123(b))’’ after ‘‘basis’’; and

9 (ii) by inserting ‘‘(where appropriate)’’

10 after ‘‘youth council’’; and

11 (B) by adding at the end the following:

12 ‘‘(E) CONSUMER CHOICE REQUIREMENTS.—

13 Consistent with sections 122 and paragraphs (3)

14 and (4) of 134(d), the local board shall work to

15 ensure there are sufficient providers of intensive

16 services and training services serving the local

17 area in a manner that maximizes consumer

18 choice, including providers with expertise in as19 sisting individuals with disabilities.’’;

20 (3) in paragraph (3)(B), by striking clause (ii)

21 and inserting the following:

22 ‘‘(ii) STAFF.—

23 ‘‘(I) IN GENERAL.—The local

24 board may hire staff.
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1 ‘‘(II) LIMITATION ON RATE.—

2 Funds appropriated under this title

3 shall not be used to pay staff employed

4 by the local board, either as a direct

5 cost or through any proration as an

6 indirect cost, at a rate in excess of the

7 maximum rate payable for a position

8 at GS–15 of the General Schedule, as

9 in effect on the date of enactment of the

10 Workforce Investment Act Amendments

11 of 2005.’’;

12 (4) in paragraph (4), by inserting ‘‘, and shall

13 ensure the appropriate use and management of the

14 funds provided under this subtitle for such programs,

15 activities, and system’’ after ‘‘area’’;

16 (5) in paragraph (6)—

17 (A) by striking ‘‘EMPLOYMENT STATISTICS

18 SYSTEM’’ and inserting ‘‘WORKFORCE AND

19 LABOR MARKET INFORMATION SYSTEM’’; and

20 (B) by striking ‘‘employment statistics sys21 tem’’ and inserting ‘‘workforce and labor market

22 information system’’;

23 (6) in paragraph (8)—

24 (A) by inserting ‘‘, including small employ25 ers,’’ after ‘‘private sector employers’’; and
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1 (B) by striking the period and inserting ‘‘,

2 taking into account the unique needs of small

3 businesses.’’; and

4 (7) by adding at the end the following:

5 ‘‘(9) TECHNOLOGY IMPROVEMENTS.—The local

6 board shall develop strategies for technology improve7 ments to facilitate access to services, in remote areas,

8 for services authorized under this subtitle and carried

9 out in the local area.’’.

10 (e) CONFORMING AMENDMENT.—Section 117(f)(2) (29

11 U.S.C. 2832(f)(2)) is amended by striking ‘‘described in sec12 tion 134(c)’’.

13 (f) CONFLICT OF INTEREST.—Section 117(g)(1) (29

14 U.S.C. 2832(g)(1)) is amended by inserting ‘‘or participate

15 in action taken’’ after ‘‘vote’’.

16 (g) AUTHORITY TO ESTABLISH COUNCILS AND ELIMI17 NATION OF REQUIREMENT FOR YOUTH COUNCILS.—Section

18 117(h) (29 U.S.C. 2832(h)) is amended to read as follows:

19 ‘‘(h) COUNCILS.—The local board may establish or

20 continue councils to provide information and advice to as21 sist the local board in carrying out activities under this

22 title. Such councils may include—

23 ‘‘(1) a council composed of one-stop partners to

24 advise the local board on the operation of the one-stop

25 delivery system involved;
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1 ‘‘(2) a youth council composed of experts and

2 stakeholders in youth programs to advise the local

3 board on youth activities; and

4 ‘‘(3) such other councils as the local board deter5 mines are appropriate.’’.

6 (h) ALTERNATIVE ENTITY PROVISION.—Section

7 117(i)(1) (29 U.S.C. 2832(i)(1)) is amended—

8 (1) in the matter preceding subparagraph (A),

9 by striking ‘‘and paragraphs (1) and (2) of subsection

10 (h),’’;

11 (2) by striking subparagraph (B) and inserting

12 the following:

13 ‘‘(B) was in existence on August 7, 1998,

14 pursuant to State law; and’’;

15 (3) by striking subparagraph (C); and

16 (4) by redesignating subparagraph (D) as sub17 paragraph (C).

18 SEC. 116. LOCAL PLAN.

19 (a) PLANNING CYCLE.—Section 118(a) (29 U.S.C.

20 2833(a)) is amended—

21 (1) by striking ‘‘5-year’’ and inserting ‘‘4-year’’;

22 and

23 (2) by adding at the end the following: ‘‘At the

24 end of the first 2-year period of the 4-year plan, the

25 local board shall review and, as needed, amend the 4-
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1 year plan to reflect labor market and economic condi2 tions.’’.

3 (b) CONTENTS.—Section 118(b) (29 U.S.C. 2833(b)) is

4 amended—

5 (1) in paragraph (2)—

6 (A) in subparagraph (A), by striking ‘‘and’’

7 after the semicolon;

8 (B) by striking subparagraph (B) and in9 serting the following:

10 ‘‘(B) a description of how the local board

11 will facilitate access to services provided through

12 the one-stop delivery system involved, in remote

13 areas, including facilitating access through the

14 use of technology; and’’; and

15 (C) by adding at the end the following:

16 ‘‘(C) a description of how the local board

17 will ensure physical and programmatic accessi18 bility for individuals with disabilities at one19 stop centers;’’;

20 (2) in paragraph (9), by striking ‘‘; and’’ and

21 inserting a semicolon;

22 (3) by redesignating paragraph (10) as para23 graph (16); and

24 (4) by inserting after paragraph (9) the fol25 lowing:
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1 ‘‘(10) a description of how the local board will

2 coordinate workforce investment activities carried out

3 in the local area with economic development activities

4 carried out in the local area, and promote entrepre5 neurial skills training and microenterprise services;

6 ‘‘(11) a description of the strategies and services

7 that will be initiated in the local area to more fully

8 engage all employers, including small employers, in

9 workforce investment activities, to make the workforce

10 investment system more relevant to the needs of area

11 businesses, and to better coordinate workforce invest12 ment and economic development efforts, which may

13 include the implementation of innovative initiatives

14 such as incumbent worker training programs, sectoral

15 and industry cluster strategies, regional skills alliance

16 initiatives, career ladder programs, utilization of ef17 fective business intermediaries, and other business

18 services and strategies designed to meet the needs of

19 area employers and contribute to the economic well20 being of the local area, as determined appropriate by

21 the local board, consistent with the objectives of this

22 title;

23 ‘‘(12) a description of how the local board will

24 expand access to education and training services for
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1 eligible individuals who are in need of such services

2 through—

3 ‘‘(A) the utilization of programs funded

4 under this title; and

5 ‘‘(B) the increased leveraging of resources

6 other than those provided under this title, in7 cluding tax credits, private sector-provided

8 training, and other Federal, State, local, and

9 private funds that are brokered through the one10 stop centers for training services;

11 ‘‘(13) a description of how the local board will

12 coordinate workforce investment activities carried out

13 in the local area with the provision of transportation,

14 including public transportation, in the local area;

15 ‘‘(14) a description of plans for, assurances con16 cerning, and strategies for maximizing coordination

17 of services provided by the State employment service

18 under the Wagner-Peyser Act (29 U.S.C. 49 et seq.)

19 and services provided in the local area through the

20 one-stop delivery system described in section 121(e),

21 to improve service delivery and avoid duplication of

22 services;

23 ‘‘(15) a description of how the local board will

24 coordinate workforce investment activities carried out

25 in the local area with other Federal, State, and local
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1 area education, job training, and economic develop2 ment programs and activities; and’’.

3 SEC. 117. ESTABLISHMENT OF ONE-STOP DELIVERY SYS4 TEMS.

5 (a) ONE-STOP PARTNERS.—

6 (1) REQUIRED PARTNERS.—Section 121(b)(1)

7 (29 U.S.C. 2841(b)(1)) is amended—

8 (A) by striking subparagraph (A) and in9 serting the following:

10 ‘‘(A) ROLES AND RESPONSIBILITIES OF

11 ONE-STOP PARTNERS.—Each entity that carries

12 out a program or activities described in subpara13 graph (B) shall—

14 ‘‘(i) provide access through the one-stop

15 delivery system to the programs and activi16 ties carried out by the entity, including

17 making the core services described in section

18 134(d)(2) that are applicable to the pro19 gram of the entity available at the one-stop

20 centers (in addition to any other appro21 priate locations);

22 ‘‘(ii) use a portion of the funds avail23 able to the program of the entity to main24 tain the one-stop delivery system, including

25 payment of the infrastructure costs of one-
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1 stop centers in accordance with subsection

2 (h);

3 ‘‘(iii) enter into a local memorandum

4 of understanding with the local board relat5 ing to the operation of the one-stop system

6 that meets the requirements of subsection

7 (c);

8 ‘‘(iv) participate in the operation of

9 the one-stop system consistent with the

10 terms of the memorandum of under11 standing, the requirements of this title, and

12 the requirements of the Federal laws author13 izing the programs carried out by the enti14 ty; and

15 ‘‘(v) provide representation on the

16 State board to the extent provided under

17 section 111.’’;

18 (B) in subparagraph (B)—

19 (i) by striking clause (v);

20 (ii) by redesignating clauses (vi)

21 through (xii) as clauses (v) through (xi), re22 spectively;

23 (iii) in clause (x) (as redesignated by

24 clause (ii)), by striking ‘‘and’’ at the end;
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1 (iv) in clause (xi) (as redesignated by

2 clause (ii)), by striking the period and in3 serting ‘‘; and’’; and

4 (v) by adding at the end the following:

5 ‘‘(xii) programs authorized under part

6 A of title IV of the Social Security Act (42

7 U.S.C. 601 et seq.), subject to subparagraph

8 (C).’’; and

9 (C) by adding at the end the following:

10 ‘‘(C) DETERMINATION BY THE GOVERNOR.—

11 ‘‘(i) IN GENERAL.—An entity that car12 ries out programs referred to in subpara13 graph (B)(xii) shall be included in the one14 stop partners for the local area, as a re15 quired partner, for purposes of this title un16 less the Governor of the State provides the

17 notification described in clause (ii).

18 ‘‘(ii) NOTIFICATION.—The notification

19 referred to in clause (i) is a notification

20 that—

21 ‘‘(I) is made in writing of a deter22 mination by the Governor not to in23 clude such entity in the one-stop part24 ners described in clause (i); and
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1 ‘‘(II) is provided to the Secretary

2 and the Secretary of Health and

3 Human Services.’’.

4 (2) ADDITIONAL PARTNERS.—

5 (A) IN GENERAL.—Section 121(b)(2)(A) (29

6 U.S.C. 2841(b)(2)(A)) is amended to read as fol7 lows:

8 ‘‘(A) IN GENERAL.—With the approval of

9 the local board and chief elected official, in addi10 tion to the entities described in paragraph (1),

11 other entities that carry out human resource pro12 grams described in subparagraph (B) may be

13 one-stop partners and carry out the responsibil14 ities described in paragraph (1)(A).’’.

15 (B) ADDITIONAL PARTNERS.—Section

16 121(b)(2)(B) (29 U.S.C. 2841(b)(2)(B)) is

17 amended by striking clauses (i) through (iii) and

18 inserting the following:

19 ‘‘(i) employment and training pro20 grams administered by the Social Security

21 Administration, including the Ticket to

22 Work and Self-Sufficiency program estab23 lished under section 1148 of the Social Se24 curity Act (42 U.S.C. 1320b–19);
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1 ‘‘(ii) employment and training pro2 grams carried out by the Small Business

3 Administration;

4 ‘‘(iii) programs authorized under sec5 tion 6(d)(4) of the Food Stamp Act of 1977

6 (7 U.S.C. 2015(d)(4));’’.

7 (b) LOCAL MEMORANDUM OF UNDERSTANDING.—Sec8 tion 121(c)(2)(A) (29 U.S.C. 2841(c)(2)(A)) is amended to

9 read as follows:

10 ‘‘(A) provisions describing—

11 ‘‘(i) the services to be provided through

12 the one-stop delivery system consistent with

13 the requirements of this section, including

14 the manner in which the services will be co15 ordinated through such system;

16 ‘‘(ii) how the costs of such services and

17 the operating costs of such system will be

18 funded, through cash and in-kind contribu19 tions, to provide a stable and equitable

20 funding stream for ongoing one-stop system

21 operations, including the funding of the in22 frastructure costs of one-stop centers in ac23 cordance with subsection (h);

24 ‘‘(iii) methods of referral of individuals

25 between the one-stop operator and the one-
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1 stop partners for appropriate services and

2 activities;

3 ‘‘(iv) methods to ensure the needs of

4 hard-to-serve populations are addressed in

5 providing access to services through the one6 stop system; and

7 ‘‘(v) the duration of the memorandum

8 of understanding and the procedures for

9 amending the memorandum during the

10 term of the memorandum, and assurances

11 that such memorandum shall be reviewed

12 not less than once every 2-year period to en13 sure appropriate funding and delivery of

14 services; and’’.

15 (c) CONFORMING AMENDMENT.—Section 121(d)(2) (29

16 U.S.C. 2841(d)(2)) is amended by striking ‘‘section 134(c)’’

17 and inserting ‘‘section 121(e)’’.

18 (d) PROVISION OF SERVICES.—

19 (1) ELIMINATION OF PROVISIONS CONCERNING

20 ESTABLISHED SYSTEMS.—Section 121 (29 U.S.C.

21 2841) is amended by striking subsection (e).

22 (2) REDESIGNATION.—Subtitle B of title I is

23 amended—

24 (A) in section 134 (29 U.S.C. 2864), by re25 designating subsection (c) as subsection (e); and
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1 (B) by transferring that subsection (e) so

2 that the subsection appears after subsection (d)

3 of section 121.

4 (3) ONE-STOP DELIVERY SYSTEMS.—Paragraph

5 (1) of section 121(e) (29 U.S.C. 2841(e)) (as redesig6 nated by paragraph (2)) is amended—

7 (A) in subparagraph (A), by striking ‘‘sub8 section (d)(2)’’ and inserting ‘‘section

9 134(d)(2)’’;

10 (B) in subparagraph (B)—

11 (i) by striking ‘‘subsection (d)’’ and in12 serting ‘‘section 134(d)’’;

13 (ii) by striking ‘‘individual training

14 accounts’’ and inserting ‘‘career scholarship

15 accounts’’; and

16 (iii) by striking ‘‘subsection (d)(4)(G)’’

17 and inserting ‘‘section 134(d)(4)(G)’’;

18 (C) in subparagraph (C), by striking ‘‘sub19 section (e)’’ and inserting ‘‘section 134(e)’’;

20 (D) in subparagraph (D), by striking ‘‘sec21 tion 121(b)’’ and inserting ‘‘subsection (b)’’; and

22 (E) in subparagraph (E), by striking ‘‘in23 formation described in section 15’’ and inserting

24 ‘‘data, information, and analysis described in

25 section 15(a)’’.
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1 (e) CONTINUOUS IMPROVEMENT OF ONE-STOP CEN2 TERS.—Section 121 (29 U.S.C. 2841) is amended by add3 ing at the end the following:

4 ‘‘(g) CONTINUOUS IMPROVEMENT OF ONE-STOP CEN5 TERS.—

6 ‘‘(1) IN GENERAL.—The State board, in con7 sultation with chief local elected officials and local

8 boards, shall establish objective criteria and proce9 dures for use by local boards in periodically assessing

10 the effectiveness, physical and programmatic accessi11 bility, and continuous improvement of one-stop cen12 ters and the one-stop delivery system.

13 ‘‘(2) CRITERIA.—The procedures and criteria de14 veloped under this subsection shall include minimum

15 standards relating to the scope and degree of service

16 coordination achieved by the one-stop delivery system

17 with respect to the programs administered by the one18 stop partners at the one-stop centers, consistent with

19 the guidelines and guidance provided by the Governor

20 and by the State board, in consultation with the chief

21 elected official and local boards, for such partners’

22 participation under subsections (h)(1)(B) and sub23 section (i), respectively, and such other factors relat24 ing to the quality, accessibility, and effectiveness of
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1 the one-stop delivery system as the State board deter2 mines to be appropriate.

3 ‘‘(3) LOCAL BOARDS.—Consistent with the cri4 teria developed by the State, the local board may de5 velop additional criteria of higher standards to re6 spond to local labor market and demographic condi7 tions and trends.

8 ‘‘(h) FUNDING OF ONE-STOP INFRASTRUCTURE.—

9 ‘‘(1) IN GENERAL.—

10 ‘‘(A) OPTIONS FOR INFRASTRUCTURE FUND11 ING.—

12 ‘‘(i) LOCAL OPTIONS.—The local board,

13 chief elected officials, and one-stop partners

14 in a local area may choose to fund the costs

15 of the infrastructure of one-stop centers

16 through—

17 ‘‘(I) methods described in the local

18 memorandum of understanding, if, the

19 local board, chief elected officials, and

20 one-stop partners agree to such meth21 ods; or

22 ‘‘(II) the State infrastructure

23 funding mechanism described in para24 graph (2).
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1 ‘‘(ii) FAILURE TO REACH AGREEMENT

2 ON FUNDING METHODS.—If, as of July 1,

3 2006, the local board, chief elected officials,

4 and one-stop partners in a local area fail to

5 reach agreement on methods of sufficient

6 funding of the infrastructure costs of one7 stop centers, as determined by the local

8 area, the State infrastructure funding mech9 anism described in paragraph (2) shall be

10 applicable to such local area.

11 ‘‘(B) GUIDANCE FOR INFRASTRUCTURE

12 FUNDING.—In addition to carrying out the re13 quirements relating to the State mechanism for

14 one-stop center infrastructure funding described

15 in paragraph (2), the Governor, after consulta16 tion with chief local elected officials, local boards,

17 and the State board, and consistent with the

18 guidelines provided by the State board under

19 subsection (i), shall provide—

20 ‘‘(i) guidelines for State administered

21 one-stop partner programs in determining

22 such programs’ contributions to and par23 ticipation in the one-stop delivery system,

24 including funding for the costs of infra25 structure as defined in paragraph (2)(D),
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1 negotiated pursuant to the local memo2 randum of understanding under subsection

3 (c); and

4 ‘‘(ii) guidance to assist local areas in

5 identifying equitable and stable alternative

6 methods of funding of the costs of the infra7 structure of one-stop centers in local areas.

8 ‘‘(2) STATE ONE-STOP INFRASTRUCTURE FUND9 ING.—

10 ‘‘(A) PARTNER CONTRIBUTIONS.—

11 ‘‘(i) IN GENERAL.—Subject to clause

12 (iii), a portion determined under clause (ii)

13 of the Federal funds provided to the State

14 and areas within the State under the Fed15 eral laws authorizing the programs de16 scribed in subsection (b)(1) and adminis17 tered by one-stop partners for a fiscal year

18 shall be provided to the Governor from such

19 programs to assist in paying the costs of in20 frastructure of one-stop centers in those

21 local areas of the State not funded under

22 the option described in paragraph

23 (1)(A)(i)(I).

24 ‘‘(ii) DETERMINATION OF GOV25 ERNOR.—
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1 ‘‘(I) IN GENERAL.—Subject to

2 subclause (II) and clause (iii), the

3 Governor, after consultation with chief

4 local elected officials, local boards, and

5 the State board, shall determine the

6 portion of funds to be provided under

7 clause (i) by each one-stop partner

8 from each program described in clause

9 (i). In making such determination, the

10 Governor shall calculate the propor11 tionate use of the one-stop centers for

12 the purpose of determining funding

13 contributions pursuant to clause (i)(II)

14 or (ii) of paragraph (1)(A) by each

15 partner, and the costs of administra16 tion for purposes not related to one17 stop centers for each partner. The Gov18 ernor shall exclude from such deter19 mination the portion of funds and use

20 of one-stop centers attributable to the

21 programs of one-stop partners for those

22 local areas of the State where the infra23 structure of one-stop centers is funded

24 under the option described in para25 graph (1)(A)(i)(I).
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1 ‘‘(II) SPECIAL RULE.—In a State

2 in which the State constitution places

3 policymaking authority that is inde4 pendent of the authority of the Gov5 ernor in an entity or official with re6 spect to the funds provided for adult

7 education and literacy activities au8 thorized under title II and for postsec9 ondary vocational and technical edu10 cation activities authorized under the

11 Carl D. Perkins Vocational and Tech12 nical Education Act of 1998 (20

13 U.S.C. 2301 et seq.), or vocational re14 habilitation services offered under the

15 Rehabilitation Act of 1973 (29 U.S.C.

16 701 et seq.), the determination de17 scribed in subclause (I) with respect to

18 the programs authorized under that

19 title and those Acts shall be made by

20 the chief officer of the entity with such

21 authority in consultation with the

22 Governor.

23 ‘‘(III) APPEAL BY ONE-STOP

24 PARTNERS.—The Governor shall estab25 lish a procedure for the one-stop part-
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1 ner administering a program described

2 in subsection (b) to appeal a deter3 mination regarding the portion of

4 funds to be contributed under this

5 paragraph on the basis that such deter6 mination is inconsistent with the cri7 teria described in the State plan or

8 with the requirements of this para9 graph. Such procedure shall ensure

10 prompt resolution of the appeal.

11 ‘‘(iii) LIMITATIONS.—

12 ‘‘(I) PROVISION FROM ADMINIS13 TRATIVE FUNDS.—The funds provided

14 under this paragraph by each one-stop

15 partner shall be provided only from

16 funds available for the costs of admin17 istration under the program adminis18 tered by such partner, and shall be

19 subject to the program limitations with

20 respect to the portion of funds under

21 such program that may be used for ad22 ministration.

23 ‘‘(II) CAP ON REQUIRED CON24 TRIBUTIONS.—
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1 ‘‘(aa) WIA FORMULA PRO2 GRAMS AND EMPLOYMENT SERV3 ICE.—The portion of funds re4 quired to be contributed under

5 clause (i)(II) or (ii) of paragraph

6 (1)(A) by the programs authorized

7 under chapters 4 and 5 and under

8 the Wagner-Peyser Act (29 U.S.C.

9 49 et seq.) shall not be in excess of

10 3 percent of the amount of Fed11 eral funds provided to carry out

12 each such program in the State

13 for a fiscal year.

14 ‘‘(bb) OTHER ONE-STOP

15 PARTNERS.—The portion of funds

16 required to be contributed under

17 clause (i)(II) or (ii) of paragraph

18 (1)(A) by a one-stop partner from

19 a program described in subsection

20 (b)(1) other than the programs de21 scribed under item (aa) shall not

be in excess of 11 22 ⁄2 percent of the

23 amount of Federal funds provided

24 to carry out such program in the

25 State for a fiscal year.
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1 ‘‘(cc) SPECIAL RULE.—Not2 withstanding items (aa) and (bb),

3 an agreement, including a local

4 memorandum of understanding,

5 entered into prior to the date of

6 enactment of the Workforce Invest7 ment Act Amendments of 2005 by

8 an entity regarding contributions

9 under this title that permits the

10 percentages described in such

11 items to be exceeded, may con12 tinue to be in effect until termi13 nated by the parties.

14 ‘‘(dd) VOCATIONAL REHA15 BILITATION.—Notwithstanding

16 items (aa) and (bb), an entity ad17 ministering a program under title

18 I of the Rehabilitation Act of 1973

19 (29 U.S.C. 720 et seq.) shall not

20 be required to provide, for the

21 purposes of this paragraph, an

22 amount in excess of—

23 ‘‘(AA) 0.75 percent of

24 the amount provided for such

25 program in the State for the
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1 second program year that be2 gins after the date of enact3 ment of the Workforce Invest4 ment Act Amendments of

5 2005;

6 ‘‘(BB) 1.0 percent of the

7 amount provided for such

8 program in the State for the

9 third program year that be10 gins after such date;

11 ‘‘(CC) 1.25 percent of

12 the amount provided for such

13 program in the State for the

14 fourth program year that be15 gins after such date; and

16 ‘‘(DD) 1.5 percent of the

17 amount provided for such

18 program in the State for the

19 fifth and each succeeding

20 program year that begins

21 after such date.

22 ‘‘(III) FEDERAL DIRECT SPEND23 ING PROGRAMS.—An entity admin24 istering a program funded with direct

25 spending as defined in section
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1 250(c)(8) of the Balanced Budget and

2 Emergency Deficit Control Act of 1985

3 (2 U.S.C. 900(c)(8)) shall not be re4 quired to provide, for purposes of this

5 paragraph, an amount in excess of the

6 amount determined to be equivalent to

7 the cost of the proportionate use of the

8 one-stop centers for such program in

9 the State.

10 ‘‘(IV) NATIVE AMERICAN PRO11 GRAMS.—Native American programs

12 established under section 166 shall not

13 be subject to the provisions of this sub14 section or subsection (i). The method

15 for determining the appropriate por16 tion of funds to be provided by such

17 Native American programs to pay for

18 the costs of infrastructure of a one-stop

19 center shall be determined as part of

20 the development of the memorandum of

21 understanding under subsection (c) for

22 the one-stop center and shall be stated

23 in the memorandum.

24 ‘‘(B) ALLOCATION BY GOVERNOR.—From

25 the funds provided under subparagraph (A), the
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1 Governor shall allocate the funds to local areas

2 in accordance with the formula established under

3 subparagraph (C) for the purposes of assisting in

4 paying the costs of infrastructure of one-stop cen5 ters.

6 ‘‘(C) ALLOCATION FORMULA.—The State

7 board shall develop a formula to be used by the

8 Governor to allocate the funds provided under

9 subparagraph (A) to local areas not funding in10 frastructure costs under the option described in

11 paragraph (1)(A)(i)(I). The formula shall be

12 based on factors including the number of one13 stop centers in a local area, the population

14 served by such centers, the services provided by

15 such centers, and other factors relating to the

16 performance of such centers that the State board

17 determines are appropriate.

18 ‘‘(D) COSTS OF INFRASTRUCTURE.—In this

19 subsection, the term ‘costs of infrastructure’, used

20 with respect to a one-stop center, means the non21 personnel costs that are necessary for the general

22 operation of the one-stop center, including the

23 rental costs of the facilities, the costs of utilities

24 and maintenance, equipment (including assess25 ment-related products and adaptive technology
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1 for individuals with disabilities), and technology

2 to facilitate remote access to the one-stop center’s

3 strategic planning activities, and common out4 reach activities.

5 ‘‘(i) OTHER FUNDS.—

6 ‘‘(1) IN GENERAL.—Subject to the memorandum

7 of understanding described in subsection (c) for the

8 one-stop delivery system involved, in addition to the

9 funds provided to carry out subsection (h), a portion

10 of funds made available under Federal law author11 izing the programs described in subsection (b) and

12 administered by one-stop partners, or the noncash re13 sources available under such programs, shall be used

14 to pay the additional costs relating to the operation

15 of the one-stop delivery system that are not paid from

16 the funds provided under subsection (h), as deter17 mined in accordance with paragraph (2), to the ex18 tent not inconsistent with the Federal law involved.

19 Such costs shall include the costs of the provision of

20 core services described in section 134(d)(2) applicable

21 to each program and may include common costs that

22 are not paid from the funds provided under sub23 section (h).

24 ‘‘(2) DETERMINATION AND GUIDANCE.—The

25 method for determining the appropriate portion of
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1 funds and noncash resources to be provided by each

2 program under paragraph (1) for a one-stop center

3 shall be determined as part of the development of the

4 memorandum of understanding under subsection (c)

5 for the one-stop center and shall be stated in the

6 memorandum. The State board shall provide guidance

7 to facilitate the determination of an appropriate allo8 cation of the funds and noncash resources in local

9 areas.’’.

10 SEC. 118. ELIGIBLE PROVIDERS OF TRAINING SERVICES.

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

12 follows:

13 ‘‘SEC. 122. IDENTIFICATION OF ELIGIBLE PROVIDERS OF

14 TRAINING SERVICES.

15 ‘‘(a) ELIGIBILITY.—

16 ‘‘(1) IN GENERAL.—The Governor, after con17 sultation with the State board, shall establish criteria

18 and procedures regarding the eligibility of providers

19 of training services described in section 134(d)(4) (re20 ferred to in this section as ‘training services’) to re21 ceive funds provided under section 133(b) for the pro22 vision of training services.

23 ‘‘(2) PROVIDERS.—Subject to the provisions of

24 this section, to be eligible to receive the funds provided
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1 under section 133(b) for the provision of training

2 services, the provider shall be—

3 ‘‘(A) a postsecondary educational institu4 tion that—

5 ‘‘(i) is eligible to receive Federal funds

6 under title IV of the Higher Education Act

7 of 1965 (20 U.S.C. 1070 et seq.); and

8 ‘‘(ii) provides a program that leads to

9 an associate degree, baccalaureate degree, or

10 industry-recognized certification;

11 ‘‘(B) an entity that carries out programs

12 under the Act of August 16, 1937 (commonly

13 known as the ‘National Apprenticeship Act’; 50

14 Stat. 664, chapter 663; 29 U.S.C. 50 et seq.); or

15 ‘‘(C) another public or private provider of

16 a program of training services.

17 ‘‘(3) INCLUSION IN LIST OF ELIGIBLE PRO18 VIDERS.—A provider described in subparagraph (A)

19 or (C) of paragraph (2) shall comply with the criteria

20 and procedures established under this section to be in21 cluded on the list of eligible providers of training

22 services described in subsection (d). A provider de23 scribed in paragraph (2)(B) shall be included on the

24 list of eligible providers of training services described

25 in subsection (d) for so long as the provider remains
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1 certified by the Department of Labor to carry out the

2 programs described in paragraph (2)(B).

3 ‘‘(b) CRITERIA.—

4 ‘‘(1) IN GENERAL.—The criteria established by

5 the Governor pursuant to subsection (a) shall take

6 into account—

7 ‘‘(A) the performance of providers of train8 ing services with respect to the performance

9 measures and other matters for which informa10 tion is required under paragraph (2) and other

11 appropriate measures of performance outcomes

12 for those participants receiving training services

13 under this subtitle (taking into consideration the

14 characteristics of the population served and rel15 evant economic conditions);

16 ‘‘(B) the need to ensure access to training

17 services throughout the State, including any

18 rural areas;

19 ‘‘(C) the information such providers are re20 quired to report to State agencies with respect to

21 Federal and State programs (other than the pro22 gram carried out under this subtitle), including

23 one-stop partner programs;

24 ‘‘(D) the requirements for State licensing of

25 providers of training services, and the licensing
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1 status of each provider of training services if ap2 plicable;

3 ‘‘(E) to the extent practicable, encouraging

4 the use of industry-recognized standards and cer5 tification;

6 ‘‘(F) the ability of the providers to offer pro7 grams that lead to a degree or an industry-recog8 nized certification;

9 ‘‘(G) the ability to provide training services

10 to hard-to-serve populations, including individ11 uals with disabilities; and

12 ‘‘(H) such other factors as the Governor de13 termines are appropriate to ensure—

14 ‘‘(i) the quality of services provided;

15 ‘‘(ii) the accountability of the pro16 viders;

17 ‘‘(iii) that the one-stop centers in the

18 State will ensure that such providers meet

19 the needs of local employers and partici20 pants;

21 ‘‘(iv) the informed choice of partici22 pants under chapter 5; and

23 ‘‘(v) that the collection of information

24 required is not unduly burdensome or costly

25 to providers.
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1 ‘‘(2) INFORMATION.—The criteria established by

2 the Governor shall require that a provider of training

3 services submit appropriate, accurate, and timely in4 formation to the State for purposes of carrying out

5 subsection (d), with respect to participants receiving

6 training services under this subtitle in the applicable

7 program, including—

8 ‘‘(A) information on degrees and industry9 recognized certifications received by such partici10 pants;

11 ‘‘(B) information on costs of attendance for

12 such participants;

13 ‘‘(C) information on the program comple14 tion rate for such participants; and

15 ‘‘(D) information on the performance of the

16 provider with respect to the performance meas17 ures described in section 136 for such partici18 pants (taking into consideration the characteris19 tics of the population served and relevant eco20 nomic conditions), which may include informa21 tion specifying the percentage of such partici22 pants who entered unsubsidized employment in

23 an occupation related to the program.

24 ‘‘(3) RENEWAL.—The criteria established by the

25 Governor shall also provide for biennial review and
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1 renewal of eligibility under this section for providers

2 of training services.

3 ‘‘(4) LOCAL CRITERIA.—A local board in the

4 State may establish criteria in addition to the cri5 teria established by the Governor, or may require

6 higher levels of performance than required under the

7 criteria established by the Governor, for purposes of

8 determining the eligibility of providers of training

9 services to receive funds described in subsection (a) to

10 provide the services in the local area involved.

11 ‘‘(5) INFORMATION TO ESTABLISH INITIAL ELIGI12 BILITY.—

13 ‘‘(A) IN GENERAL.—In an effort to provide

14 the highest-quality training services and respon15 siveness to new and emerging industries, pro16 viders may seek initial eligibility under this sec17 tion as providers of training services. The cri18 teria established by the Governor shall require

19 that a provider who has not previously been an

20 eligible provider of training services under this

21 section provide the information described in sub22 paragraph (B).

23 ‘‘(B) INFORMATION.—The provider shall

24 provide verifiable program-specific performance

25 information supporting the provider’s ability to
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1 serve participants under this subtitle. The infor2 mation provided under this subparagraph may

3 include information on outcome measures such

4 as job placement and wage increases for individ5 uals participating in the program, information

6 on business partnerships and other factors that

7 indicate high-quality training services, and in8 formation on alignment with industries targeted

9 for potential employment opportunities.

10 ‘‘(C) PROVISION.—The provider shall pro11 vide the information described in subparagraph

12 (B) to the Governor and the local boards in a

13 manner that will permit the Governor and the

14 local boards to make a decision on inclusion of

15 the provider on the list of eligible providers de16 scribed in subsection (d).

17 ‘‘(c) PROCEDURES.—The procedures established under

18 subsection (a) shall identify the application process for a

19 provider of training services to become eligible to receive

20 funds provided under section 133(b) for the provision of

21 training services, and identify the respective roles of the

22 State and local areas in receiving and reviewing the appli23 cations and in making determinations of such eligibility

24 based on the criteria established under this section. The pro25 cedures shall also establish a process for a provider of train-
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1 ing services to appeal a denial or termination of eligibility

2 under this section, that includes an opportunity for a hear3 ing and prescribes appropriate time limits to ensure

4 prompt resolution of the appeal.

5 ‘‘(d) INFORMATION TO ASSIST PARTICIPANTS IN

6 CHOOSING PROVIDERS.—In order to facilitate and assist

7 participants in choosing employment and training activi8 ties under chapter 5 and in choosing providers of training

9 services, the Governor shall ensure that an appropriate list

10 of providers determined to be eligible under this section in

11 the State, accompanied by appropriate information, is pro12 vided to the one-stop delivery system in the State. The ac13 companying information shall consist of information pro14 vided by providers described in subparagraphs (A) and (C)

15 of subsection (a)(2) in accordance with subsection (b) (in16 cluding information on receipt of degrees and industry-rec17 ognized certifications, and costs of attendance, for partici18 pants receiving training services under this subtitle in ap19 plicable programs) and such other information as the Sec20 retary determines is appropriate. The list and the accom21 panying information shall be made available to such par22 ticipants and to members of the public through the one-stop

23 delivery system in the State.

24 ‘‘(e) ENFORCEMENT.—
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1 ‘‘(1) IN GENERAL.—The criteria and procedures

2 established under this section shall provide the fol3 lowing:

4 ‘‘(A) INTENTIONALLY SUPPLYING INAC5 CURATE INFORMATION.—Upon a determination,

6 by an individual or entity specified in the cri7 teria or procedures, that a provider of training

8 services, or individual providing information on

9 behalf of the provider, intentionally supplied in10 accurate information under this section, the eli11 gibility of such provider to receive funds under

12 chapter 5 shall be terminated for a period of

13 time that is not less than 2 years.

14 ‘‘(B) SUBSTANTIAL VIOLATIONS.—Upon a

15 determination, by an individual or entity speci16 fied in the criteria or procedures, that a provider

17 of training services substantially violated any re18 quirement under this title, the eligibility of such

19 provider to receive funds under the program in20 volved may be terminated, or other appropriate

21 action may be taken.

22 ‘‘(C) REPAYMENT.—A provider of training

23 services whose eligibility is terminated under

24 subparagraph (A) or (B) shall be liable for the

25 repayment of funds received under chapter 5
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1 during a period of noncompliance described in

2 such subparagraph.

3 ‘‘(2) CONSTRUCTION.—Paragraph (1) shall be

4 construed to provide remedies and penalties that sup5 plement, but do not supplant, other civil and crimi6 nal remedies and penalties.

7 ‘‘(f) AGREEMENTS WITH OTHER STATES.—States

8 may enter into agreements, on a reciprocal basis, to permit

9 eligible providers of training services to accept career schol10 arship accounts provided in another State.

11 ‘‘(g) OPPORTUNITY TO SUBMIT COMMENTS.—In estab12 lishing criteria, procedures, requirements for information,

13 and the list of eligible providers described in subsection (d),

14 the Governor shall provide an opportunity for interested

15 members of the public to make recommendations and sub16 mit comments regarding such criteria, procedures, require17 ments for information, and list.

18 ‘‘(h) TRANSITION PERIOD FOR IMPLEMENTATION.—

19 The requirements of this section shall be implemented not

20 later than December 31, 2006. In order to facilitate early

21 implementation of this section, the Governor may establish

22 transition procedures under which providers eligible to pro23 vide training services under chapter 5 as such chapter was

24 in effect on the day before the date of enactment of the Work25 force Investment Act Amendments of 2005 may continue to
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1 be eligible to provide such services until December 31, 2006,

2 or until such earlier date as the Governor determines to be

3 appropriate.

4 ‘‘(i) ON-THE-JOB TRAINING, CUSTOMIZED TRAINING,

5 OR INCUMBENT WORKER TRAINING EXCEPTION.—

6 ‘‘(1) IN GENERAL.—Providers of on-the-job train7 ing, customized training, or incumbent worker train8 ing shall not be subject to the requirements of sub9 sections (a) through (h).

10 ‘‘(2) COLLECTION AND DISSEMINATION OF INFOR11 MATION.—A one-stop operator in a local area shall

12 collect such performance information from providers

13 of on-the-job training, customized training, and in14 cumbent worker training as the Governor may re15 quire, determine whether the providers meet such per16 formance criteria as the Governor may require, and

17 disseminate information identifying providers that

18 meet the criteria as eligible providers, and the per19 formance information, through the one-stop delivery

20 system. Providers determined to meet the criteria

21 shall be considered to be identified as eligible pro22 viders of training services.’’.

23 SEC. 119. ELIGIBLE PROVIDERS OF YOUTH ACTIVITIES.

24 Section 123 (29 U.S.C. 2843) is amended to read as

25 follows:
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1 ‘‘SEC. 123. ELIGIBLE PROVIDERS OF YOUTH ACTIVITIES.

2 ‘‘(a) IN GENERAL.—From the funds allocated under

3 section 128(b) to a local area, the local board for such area

4 shall award grants or contracts on a competitive basis to

5 providers of youth activities identified based on the criteria

6 in the State plan described in section 112 and shall conduct

7 oversight with respect to such providers.

8 ‘‘(b) EXCEPTIONS.—A local board may award grants

9 or contracts on a sole-source basis if such board determines

10 there is an insufficient number of eligible providers of youth

11 activities in the local area involved (such as a rural area)

12 for grants and contracts to be awarded on a competitive

13 basis under subsection (a).’’.

14 SEC. 120. YOUTH ACTIVITIES.

15 (a) STATE ALLOTMENTS.—Section 127 (29 U.S.C.

16 2852) is amended—

17 (1) in subsection (a)—

18 (A) in paragraph (1), by striking ‘‘oppor19 tunity’’ and inserting ‘‘challenge’’; and

20 (B) in paragraph (2), by striking ‘‘make al21 lotments’’ and all that follows and inserting

22 ‘‘make allotments and grants, and enter into

23 contracts and cooperative agreements, in accord24 ance with subparagraphs (A)(iv), (B), and (C) of

25 subsection (b)(1).’’; and
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1 (2) by striking subsection (b) and inserting the

2 following:

3 ‘‘(b) ALLOTMENT AMONG STATES.—

4 ‘‘(1) YOUTH ACTIVITIES.—

5 ‘‘(A) YOUTH CHALLENGE GRANTS AND

6 YOUTH ACTIVITIES FOR FARMWORKERS AND NA7 TIVE AMERICANS.—

8 ‘‘(i) IN GENERAL.—For each fiscal

9 year in which the amount appropriated

10 under section 137(a) exceeds

11 $1,000,000,000, the Secretary shall reserve a

12 portion of the amount to provide youth ac13 tivities under section 167 (relating to mi14 grant and seasonal farmworker programs)

15 and provide youth challenge grants and

16 other activities under section 169 (relating

17 to youth challenge grants).

18 ‘‘(ii) PORTION.—The portion referred

19 to in clause (i) shall equal, for a fiscal

20 year—

21 ‘‘(I) except as provided in sub22 clause (II), the difference obtained by

23 subtracting $1,000,000,000 from the

24 amount appropriated under section

25 137(a) for the fiscal year; or
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1 ‘‘(II) for any fiscal year in which

2 the amount is $1,250,000,000 or great3 er, $250,000,000.

4 ‘‘(iii) YOUTH ACTIVITIES FOR FARM5 WORKERS.—For a fiscal year described in

6 clause (i), the Secretary shall reserve the

7 greater of $10,000,000 or 4 percent of the

8 portion described in clause (i) for a fiscal

9 year to provide youth activities under sec10 tion 167. For a fiscal year not described in

11 clause (i), the Secretary shall reserve

12 $10,000,000 of the amount appropriated

13 under section 137(a) to provide youth ac14 tivities under section 167.

15 ‘‘(iv) YOUTH ACTIVITIES FOR NATIVE

16 AMERICANS.—From the amount appro17 priated under section 137(a) for each fiscal

18 year that is not reserved under clause (i) or

19 (iii), the Secretary shall reserve not more

than 11 20 ⁄2 percent of such appropriated

21 amount to provide youth activities under

22 section 166 (relating to Native Americans).

23 ‘‘(B) OUTLYING AREAS.—

24 ‘‘(i) IN GENERAL.—From the amount

25 appropriated under section 137(a) for each
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1 fiscal year that is not reserved under sub2 paragraph (A), the Secretary shall reserve

not more than 1 3 ⁄4 of 1 percent of the appro4 priated amount to provide assistance to the

5 outlying areas to carry out youth activities

6 and statewide workforce investment activi7 ties.

8 ‘‘(ii) LIMITATION FOR FREELY ASSOCI9 ATED STATES.—

10 ‘‘(I) COMPETITIVE GRANTS.—The

11 Secretary shall use funds described in

12 clause (i) to award grants to Guam,

13 American Samoa, the Commonwealth

14 of the Northern Mariana Islands, and

15 the Freely Associated States to carry

16 out youth activities and statewide

17 workforce investment activities.

18 ‘‘(II) AWARD BASIS.—The Sec19 retary shall award grants pursuant to

20 subclause (I) on a competitive basis

21 and pursuant to the recommendations

22 of experts in the field of employment

23 and training, working through the Pa24 cific Region Educational Laboratory

25 in Honolulu, Hawaii.
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1 ‘‘(III) ASSISTANCE REQUIRE2 MENTS.—Any Freely Associated State

3 that desires to receive assistance under

4 this subparagraph shall submit an ap5 plication to the Secretary and shall in6 clude in the application for

7 assistance—

8 ‘‘(aa) information dem9 onstrating that the Freely Associ10 ated State will meet all conditions

11 that apply to States under this

12 title;

13 ‘‘(bb) an assurance that, not14 withstanding any other provision

15 of this title, the Freely Associated

16 State will use such assistance only

17 for the direct provision of services;

18 and

19 ‘‘(cc) such other information

20 and assurances as the Secretary

21 may require.

22 ‘‘(IV) ADMINISTRATIVE COSTS.—

23 The Secretary may provide not more

24 than 5 percent of the funds made

25 available for grants under subclause (I)
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1 to pay the administrative costs of the

2 Pacific Region Educational Labora3 tory in Honolulu, Hawaii, regarding

4 activities assisted under this clause.

5 ‘‘(iii) ADDITIONAL REQUIREMENT.—

6 The provisions of Public Law 95–134, per7 mitting the consolidation of grants by the

8 outlying areas, shall not apply to assistance

9 provided to those areas, including the Free10 ly Associated States, under this subpara11 graph.

12 ‘‘(C) STATES.—

13 ‘‘(i) IN GENERAL.—From the remain14 der of the amount appropriated under sec15 tion 137(a) for a fiscal year that exists after

16 the Secretary determines the amounts to be

17 reserved under subparagraphs (A) and (B),

18 the Secretary shall allot to the States—

19 ‘‘(I) an amount of the remainder

20 that is less than or equal to the total

21 amount that was allotted to States for

22 fiscal year 2005 under section

23 127(b)(1)(C) of this Act (as in effect on

24 the day before the date of enactment of

25 the Workforce Investment Act Amend-
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1 ments of 2005), in accordance with the

2 requirements of clause (ii) of such sec3 tion 127(b)(1)(C); and

4 ‘‘(II) the amount of the remain5 der, if any, in excess of the amount re6 ferred to in subclause (I), in accord7 ance with clause (ii).

8 ‘‘(ii) FORMULA.—Of the amount de9 scribed in clause (i)(II)—

‘‘(I) 331 10 ⁄3 percent shall be allotted

11 on the basis of the relative number of

12 individuals in the civilian labor force

13 who are ages 16 through 21 in each

14 State, compared to the total number of

15 individuals in the civilian labor force

16 who are ages 16 through 21 in all

17 States;

‘‘(II) 331 18 ⁄3 percent shall be allot19 ted on the basis of the relative number

20 of unemployed individuals in each

21 State, compared to the total number of

22 unemployed individuals in all States;

23 and

‘‘(III) 331 24 ⁄3 percent shall be allot25 ted on the basis of the relative number
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1 of disadvantaged youth who are ages

2 16 through 21 in each State, compared

3 to the total number of disadvantaged

4 youth who are ages 16 through 21 in

5 all States.

6 ‘‘(iii) MINIMUM AND MAXIMUM PER7 CENTAGES.—

8 ‘‘(I) MINIMUM PERCENTAGE.—The

9 Secretary shall ensure that no State

10 shall receive an allotment percentage

11 under this subparagraph for a fiscal

12 year that is less than 90 percent of the

13 allotment percentage of the State for

14 the preceding fiscal year.

15 ‘‘(II) MAXIMUM PERCENTAGE.—

16 Subject to subclause (I), the Secretary

17 shall ensure that no State shall receive

18 an allotment percentage under this

19 subparagraph for a fiscal year that is

20 more than 130 percent of the allotment

21 percentage of the State for the pre22 ceding fiscal year.

23 ‘‘(iv) SMALL STATE MINIMUM ALLOT24 MENT.—Subject to clause (iii), the Sec25 retary shall ensure that no State shall re-
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1 ceive an allotment under this subparagraph

2 that is less than the total of—

‘‘(I) 3 3 ⁄10 of 1 percent of

4 $1,000,000,000 of the remainder de5 scribed in clause (i) for the fiscal year;

6 and

7 ‘‘(II) if the remainder described

8 in clause (i) for the fiscal year exceeds

$1,000,000,000, 2 9 ⁄5 of 1 percent of the

10 excess.

11 ‘‘(2) DEFINITIONS.—For the purposes of para12 graph (1):

13 ‘‘(A) ALLOTMENT PERCENTAGE.—The term

14 ‘allotment percentage’, used with respect to fiscal

15 year 2006 or a subsequent fiscal year, means a

16 percentage of the remainder described in para17 graph (1)(C)(i) that is received by the State in18 volved through an allotment made under this

19 subsection for the fiscal year. The term, used

20 with respect to fiscal year 2005, means the per21 centage of the amounts allotted to States under

22 this chapter (as in effect on the day before the

23 date of enactment of the Workforce Investment

24 Act Amendments of 2005) that is received by the

25 State involved for fiscal year 2005.
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1 ‘‘(B) DISADVANTAGED YOUTH.—Subject to

2 paragraph (3), the term ‘disadvantaged youth’

3 means an individual who is age 16 through 21

4 who received an income, or is a member of a

5 family that received a total family income, that,

6 in relation to family size, does not exceed the

7 higher of—

8 ‘‘(i) the poverty line; or

9 ‘‘(ii) 70 percent of the lower living

10 standard income level.

11 ‘‘(C) FREELY ASSOCIATED STATE.—The

12 term ‘Freely Associated State’ means the Repub13 lic of the Marshall Islands, the Federated States

14 of Micronesia, and the Republic of Palau.

15 ‘‘(3) SPECIAL RULE.—For purposes of the for16 mula specified in paragraph (1)(C), the Secretary

17 shall, as appropriate and to the extent practicable, ex18 clude college students and members of the Armed

19 Forces from the determination of the number of dis20 advantaged youth.’’.

21 (b) REALLOTMENT.—

22 (1) AMENDMENT.—Section 127(c) (29 U.S.C.

23 2852(c)) is amended—

24 (A) by striking paragraph (2) and inserting

25 the following:
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1 ‘‘(2) AMOUNT.—The amount available for real2 lotment for a program year is equal to the amount

3 by which the unexpended balance at the end of the

4 program year prior to the program year for which the

5 determination is made exceeds 30 percent of the total

6 amount of funds available to the State under this sec7 tion during such prior program year (including

8 amounts allotted to the State in all prior program

9 years that remained available). For purposes of this

10 paragraph, the unexpended balance is the amount

11 that is the difference between—

12 ‘‘(A) the total amount of funds available to

13 the State under this section during the program

14 year prior to the program year for which the de15 termination is made (including amounts allotted

16 to the State in all prior program years that re17 mained available); and

18 ‘‘(B) the accrued expenditures during such

19 prior program year.’’;

20 (B) in paragraph (3)—

21 (i) by striking ‘‘for the prior program

22 year’’ and inserting ‘‘for the program year

23 for which the determination is made’’; and

24 (ii) by striking ‘‘such prior program

25 year’’ and inserting ‘‘such program year’’;
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1 (C) by striking paragraph (4) and inserting

2 the following:

3 ‘‘(4) ELIGIBILITY.—For purposes of this sub4 section, an eligible State means a State that does not

5 have an amount available for reallotment under para6 graph (2) for the program year for which the deter7 mination under paragraph (2) is made.’’; and

8 (D) in paragraph (5), by striking ‘‘obliga9 tion’’ and inserting ‘‘accrued expenditure’’.

10 (2) EFFECTIVE DATE.—The amendment made by

11 paragraph (1) shall take effect for the program year

12 that begins after the date of enactment of this Act.

13 (c) WITHIN STATE ALLOCATIONS.—

14 (1) RESERVATION FOR STATEWIDE ACTIVITIES.—

15 Section 128(a) (29 U.S.C. 2853(a)) is amended to

16 read as follows:

17 ‘‘(a) RESERVATIONS FOR STATEWIDE ACTIVITIES.—

18 ‘‘(1) IN GENERAL.—The Governor of a State

19 shall reserve not more than 15 percent of each of the

20 amounts allotted to the State under section

21 127(b)(1)(C) and paragraphs (1)(B) and (2)(B) of

22 section 132(b) for a fiscal year for statewide workforce

23 investment activities.

24 ‘‘(2) USE OF FUNDS.—Regardless of whether the

25 reserved amounts were allotted under section
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1 127(b)(1)(C), or under paragraph (1)(B) or (2)(B) of

2 section 132(b), the Governor may use the reserved

3 amounts to carry out statewide activities under sec4 tion 129(b) or statewide employment and training ac5 tivities, for adults or dislocated workers, under section

6 134(a).’’.

7 (2) WITHIN STATE ALLOCATION.—Section 128(b)

8 (29 U.S.C. 2853(b)) is amended to read as follows:

9 ‘‘(b) WITHIN STATE ALLOCATIONS.—

10 ‘‘(1) IN GENERAL.—Of the amount allotted to the

11 State under section 127(b)(1)(C) and not reserved

12 under subsection (a)(1)—

13 ‘‘(A) a portion equal to not less than 80

14 percent of such amount shall be allocated by the

15 Governor to local areas in accordance with para16 graph (2); and

17 ‘‘(B) a portion equal to not more than 20

18 percent of such amount may be allocated by the

19 Governor to local areas in accordance with para20 graph (3).

21 ‘‘(2) ESTABLISHED FORMULA.—

22 ‘‘(A) IN GENERAL.—Of the portion de23 scribed in paragraph (1)(A), the Governor shall

24 allocate—
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‘‘(i) 331 1 ⁄3 percent on the basis of the

2 relative number of individuals in the civil3 ian labor force who are ages 16 through 21

4 in each local area, compared to the total

5 number of individuals in the civilian labor

6 force who are ages 16 through 21 in all

7 local areas in the State;

‘‘(ii) 331 8 ⁄3 percent on the basis of the

9 relative number of unemployed individuals

10 in each local area, compared to the total

11 number of unemployed individuals in all

12 local areas in the State; and

‘‘(iii) 331 13 ⁄3 percent on the basis of the

14 relative number of disadvantaged youth who

15 are ages 16 through 21 in each local area,

16 compared to the total number of disadvan17 taged youth who are ages 16 through 21 in

18 all local areas in the State.

19 ‘‘(B) MINIMUM AND MAXIMUM PERCENT20 AGES.—

21 ‘‘(i) MINIMUM PERCENTAGE.—The

22 Governor shall ensure that no local area

23 shall receive an allocation percentage under

24 this paragraph for a fiscal year that is less

25 than 90 percent of the allocation percentage
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1 of the local area for the preceding fiscal

2 year.

3 ‘‘(ii) MAXIMUM PERCENTAGE.—Subject

4 to clause (i), the Governor shall ensure that

5 no local area shall receive an allocation per6 centage under this paragraph for a fiscal

7 year that is more than 130 percent of the

8 allocation percentage of the local area for

9 the preceding fiscal year.

10 ‘‘(C) DEFINITIONS.—In this paragraph:

11 ‘‘(i) ALLOCATION PERCENTAGE.—The

12 term ‘allocation percentage’, used with re13 spect to fiscal year 2006 or a subsequent fis14 cal year, means a percentage of the portion

15 described in paragraph (1)(A) that is re16 ceived by the local area involved through an

17 allocation made under this paragraph for

18 the fiscal year. The term, used with respect

19 to fiscal year 2005, means the percentage of

20 the amounts allocated to local areas under

21 this chapter (as in effect on the day before

22 the date of enactment of the Workforce In23 vestment Act Amendments of 2005) that is

24 received by the local area involved for fiscal

25 year 2005.
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1 ‘‘(ii) DISADVANTAGED YOUTH.—The

2 term ‘disadvantaged youth’ means an indi3 vidual who—

4 ‘‘(I) is age 16 through 21;

5 ‘‘(II) is not a college student or

6 member of the Armed Forces; and

7 ‘‘(III) received an income, or is a

8 member of a family that received a

9 total family income, that, in relation

10 to family size, does not exceed the high11 er of—

12 ‘‘(aa) the poverty line; or

13 ‘‘(bb) 70 percent of the lower

14 living standard income level.

15 ‘‘(3) YOUTH DISCRETIONARY ALLOCATION.—The

16 Governor may allocate the portion described in para17 graph (1)(B) to local areas where there are a signifi18 cant number of eligible youth, after consultation with

19 the State board and local boards.

20 ‘‘(4) LOCAL ADMINISTRATIVE COST LIMIT.—

21 ‘‘(A) IN GENERAL.—Of the amount allo22 cated to a local area under this subsection and

23 section 133(b) for a fiscal year, not more than 10

24 percent of the amount may be used by the local

25 board involved for the administrative costs of
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1 carrying out local workforce investment activities

2 under this chapter or chapter 5.

3 ‘‘(B) USE OF FUNDS.—Funds made avail4 able for administrative costs under subparagraph

5 (A) may be used for the administrative costs of

6 any of the local workforce investment activities

7 described in this chapter or chapter 5, regardless

8 of whether the funds were allocated under this

9 subsection or section 133(b).’’.

10 (3) REALLOCATION.—

11 (A) AMENDMENT.—Section 128(c) (29

12 U.S.C. 2853(c)) is amended—

13 (i) in paragraph (1), by striking

14 ‘‘paragraph (2)(A) or (3) of’’;

15 (ii) by striking paragraph (2) and in16 serting the following:

17 ‘‘(2) AMOUNT.—The amount available for re18 allocation for a program year is equal to the amount

19 by which the unexpended balance at the end of the

20 program year prior to the program year for which the

21 determination is made exceeds 30 percent of the total

22 amount of funds available to the local area under this

23 section during such prior program year (including

24 amounts allocated to the local area in all prior pro25 gram years that remained available). For purposes of
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1 this paragraph, the unexpended balance is the

2 amount that is the difference between—

3 ‘‘(A) the total amount of funds available to

4 the local area under this section during the pro5 gram year prior to the program year for which

6 the determination is made (including amounts

7 allocated to the local area in all prior program

8 years that remained available); and

9 ‘‘(B) the accrued expenditures during such

10 prior program year.’’;

11 (iii) by amending paragraph (3)—

12 (I) by striking ‘‘subsection (b)(3)’’

13 each place it appears and inserting

14 ‘‘subsection (b)’’;

15 (II) by striking ‘‘for the prior

16 program year’’ the first place it ap17 pears and inserting ‘‘for the program

18 year for which the determination is

19 made’’;

20 (III) by striking ‘‘such prior pro21 gram year’’ and inserting ‘‘such pro22 gram year’’; and

23 (IV) by striking the last sentence;

24 and
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1 (iv) by striking paragraph (4) and in2 serting the following:

3 ‘‘(4) ELIGIBILITY.—For purposes of this sub4 section, an eligible local area means a local area that

5 does not have an amount available for reallocation

6 under paragraph (2) for the program year for which

7 the determination under paragraph (2) is made.’’.

8 (B) EFFECTIVE DATE.—The amendments

9 made by subparagraph (A) shall take effect for

10 the later of—

11 (i) the program year that begins after

12 the date of enactment of this Act; or

13 (ii) program year 2006.

14 (d) YOUTH PARTICIPANT ELIGIBILITY.—Section

15 129(a) (29 U.S.C. 2854(a)) is amended to read as follows:

16 ‘‘(a) YOUTH PARTICIPANT ELIGIBILITY.—

17 ‘‘(1) ELIGIBILITY.—

18 ‘‘(A) IN GENERAL.—To be eligible to par19 ticipate in activities carried out under this chap20 ter during any program year an individual

21 shall, at the time the eligibility determination is

22 made, be an out-of-school youth or an in-school

23 youth.
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1 ‘‘(B) OUT-OF-SCHOOL YOUTH.—In this title

2 the term ‘out-of-school youth’ means an indi3 vidual who is—

4 ‘‘(i) not younger than age 16 nor older

5 than age 21; and

6 ‘‘(ii) one of the following:

7 ‘‘(I) A school dropout.

8 ‘‘(II) A youth who is within the

9 age for compulsory school attendance,

10 but has not attended school for at least

11 1 school year calendar quarter.

12 ‘‘(III) A recipient of a secondary

13 school diploma or its equivalent who

14 is—

15 ‘‘(aa) deficient in basic skills,

16 including limited English pro17 ficiency;

18 ‘‘(bb) a low-income indi19 vidual; and

20 ‘‘(cc) not attending any

21 school.

22 ‘‘(IV) Subject to the juvenile or

23 adult justice system or ordered by a

24 court to an alternative school.
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1 ‘‘(V) A low-income individual who

2 is pregnant or parenting and not at3 tending any school.

4 ‘‘(VI) A youth who is not attend5 ing school or a youth attending an al6 ternative school, who is homeless, a

7 runaway, a foster child, a child eligible

8 for assistance under section 477 of the

9 Social Security Act (42 U.S.C. 677), or

10 in an out-of-home placement.

11 ‘‘(VII) A low-income individual

12 who is not attending school and re13 quires additional assistance to enter or

14 complete an educational program or to

15 secure or hold employment.

16 ‘‘(C) IN-SCHOOL YOUTH.—In this section

17 the term ‘in-school youth’ means an individual

18 who is—

19 ‘‘(i) not younger than age 14 nor older

20 than age 21;

21 ‘‘(ii) a low-income individual; and

22 ‘‘(iii) one or more of the following:

23 ‘‘(I) Deficient in basic literacy

24 skills, including limited English pro25 ficiency.
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1 ‘‘(II) Homeless, a runaway, a fos2 ter child, a child eligible for assistance

3 under section 477 of the Social Secu4 rity Act (42 U.S.C. 677), or in an out5 of-home placement.

6 ‘‘(III) Pregnant or parenting.

7 ‘‘(IV) An offender (other than an

8 individual described in subparagraph

9 (B)(ii)(IV)).

10 ‘‘(V) An individual who requires

11 additional assistance to complete an

12 educational program or to secure or

13 hold employment.

14 ‘‘(2) EXCEPTION.—Not more than 5 percent of

15 the individuals assisted under this section in each

16 local area, in the case of individuals for whom low

17 income is a requirement for eligibility under this sec18 tion, may be individuals who are not low income.

19 ‘‘(3) LIMITATIONS ON ACTIVITIES FOR IN-SCHOOL

20 YOUTH.—

21 ‘‘(A) IN GENERAL.—For any program year,

22 not more than 60 percent of the funds available

23 for statewide activities under subsection (b), and

24 not more than 60 percent of funds available to

25 local areas under subsection (c), may be used to
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1 provide activities for in-school youth meeting the

2 requirements of paragraph (1)(B).

3 ‘‘(B) EXCEPTION.—A State that receives a

4 minimum allotment under section 127(b)(1) in

5 accordance with section 127(b)(1)(C)(iv) or

6 under section 132(b)(1) in accordance with sec7 tion 132(b)(1)(B)(iv)(II) may increase the per8 centage described in subparagraph (A) for a

9 local area in the State, if—

10 ‘‘(i) after an analysis of the eligible

11 youth population in the local area, the

12 State determines that the local area will be

13 unable to use at least 40 percent of the

14 funds available for activities under sub15 section (b) or (c) to serve out-of-school youth

16 due to a low number of out-of-school youth;

17 and

18 ‘‘(ii)(I) the State submits to the Sec19 retary, for the local area, a request includ20 ing a proposed increased percentage for

21 purposes of subparagraph (A), and the sum22 mary of the eligible youth population anal23 ysis; and

24 ‘‘(II) the request is approved by the

25 Secretary.
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1 ‘‘(4) CONSISTENCY WITH COMPULSORY SCHOOL

2 ATTENDANCE LAWS.—In providing assistance under

3 this section to an individual who is required to attend

4 school under applicable State compulsory school at5 tendance laws, the priority in providing such assist6 ance shall be for the individual to attend school regu7 larly.’’.

8 (e) STATEWIDE ACTIVITIES.—Section 129(b) (29

9 U.S.C. 2854(b)) is amended to read as follows:

10 ‘‘(b) STATEWIDE ACTIVITIES.—

11 ‘‘(1) IN GENERAL.—Funds reserved by a Gov12 ernor for a State as described in sections 128(a) and

13 133(a)(1) shall be used, regardless of whether the

14 funds were allotted to the State under section

15 127(b)(1)(C) or under paragraph (1)(B) or (2)(B) of

16 section 132(b) for statewide activities, which may

17 include—

18 ‘‘(A) conducting—

19 ‘‘(i) evaluations under section 136(e) of

20 activities authorized under this chapter and

21 chapter 5 in coordination with evaluations

22 carried out by the Secretary under section

23 172;

24 ‘‘(ii) research; and

25 ‘‘(iii) demonstration projects;
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1 ‘‘(B) providing incentive grants to local

2 areas for regional cooperation among local

3 boards (including local boards in a designated

4 region as described in section 116(c)), for local

5 coordination of activities carried out under this

6 title, and for performance by local areas as de7 scribed in section 136(i)(2);

8 ‘‘(C) providing technical assistance and ca9 pacity building activities to local areas, one-stop

10 operators, one-stop partners, and eligible pro11 viders, including the development and training

12 of staff, the development of exemplary program

13 activities, the provision of technical assistance to

14 local areas that fail to meet local performance

15 measures described in section 136(c), and the

16 provision of technology to facilitate remote access

17 to services provided through the one-stop delivery

18 system in the State;

19 ‘‘(D) operating a fiscal and management

20 accountability information system under section

21 136(f);

22 ‘‘(E) carrying out monitoring and oversight

23 of activities carried out under this chapter and

24 chapter 5, which may include a review com-
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1 paring the services provided to male and female

2 youth;

3 ‘‘(F) providing additional assistance to

4 local areas that have high concentrations of eligi5 ble youth;

6 ‘‘(G) supporting the development of alter7 native programs and other activities that en8 hance the choices available to eligible youth and

9 encourage such youth to reenter secondary edu10 cation, enroll in postsecondary education and

11 advanced training, and obtain career path em12 ployment;

13 ‘‘(H) supporting the provision of core serv14 ices described in section 134(d)(2) in the one15 stop delivery system in the State; and

16 ‘‘(I) supporting financial literacy,

17 including—

18 ‘‘(i) supporting the ability to create

19 household budgets, initiate savings plans,

20 and make strategic investment decisions for

21 education, retirement, home ownership,

22 wealth building, or other savings goals;

23 ‘‘(ii) supporting the ability to manage

24 spending, credit, and debt, including credit

25 card debt, effectively;
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1 ‘‘(iii) increasing awareness of the

2 availability and significance of credit re3 ports and credit scores in obtaining credit,

4 the importance of their accuracy (and how

5 to correct inaccuracies), their effect on cred6 it terms, and the effect common financial

7 decisions may have on credit scores;

8 ‘‘(iv) supporting the ability to ascer9 tain fair and favorable credit terms;

10 ‘‘(v) supporting the ability to avoid

11 abusive, predatory, or deceptive credit offers

12 and financial products;

13 ‘‘(vi) supporting the ability to under14 stand, evaluate, and compare financial

15 products, services, and opportunities;

16 ‘‘(vii) supporting the ability to under17 stand resources that are easily accessible

18 and affordable, and that inform and edu19 cate an investor as to the investor’s rights

20 and avenues of recourse when the investor

21 believes the investor’s rights have been vio22 lated by unprofessional conduct of market

23 intermediaries;

24 ‘‘(viii) increasing awareness of the

25 particular financial needs and financial
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1 transactions (such as the sending of remit2 tances) of consumers who are targeted in

3 multilingual financial literacy and edu4 cation programs and improving the devel5 opment and distribution of multilingual fi6 nancial literacy and education materials;

7 ‘‘(ix) promoting bringing individuals

8 who lack basic banking services into the fi9 nancial mainstream by opening and main10 taining accounts with financial institu11 tions; and

12 ‘‘(x) improving financial literacy and

13 education through all other related skills,

14 including personal finance and related eco15 nomic education, with the primary goal of

16 programs not simply to improve knowledge,

17 but rather to improve consumers’ financial

18 choices and outcomes.

19 ‘‘(2) LIMITATION.—Not more than 5 percent of

20 the funds allotted to a State under section

21 127(b)(1)(C) shall be used by the State for adminis22 trative activities carried out under this subsection or

23 section 134(a).
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1 ‘‘(3) PROHIBITION.—No funds described in this

2 subsection may be used to develop or implement edu3 cation curricula for school systems in the State.’’.

4 (f) LOCAL ELEMENTS AND REQUIREMENTS.—

5 (1) PROGRAM DESIGN.—Section 129(c)(1) (29

6 U.S.C. 2854(c)(1)) is amended—

7 (A) in the matter that precedes subpara8 graph (A), by striking ‘‘paragraph (2)(A) or (3),

9 as appropriate, of’’;

10 (B) in subparagraph (B), by inserting ‘‘are

11 directly linked to 1 or more of the performance

12 measures relating to this chapter under section

13 136, and that’’ after ‘‘for each participant that’’;

14 and

15 (C) in subparagraph (C)—

16 (i) by redesignating clauses (i) through

17 (iv) as clauses (ii) through (v), respectively;

18 (ii) by inserting before clause (ii) (as

19 redesignated by clause (i)) the following:

20 ‘‘(i) activities leading to the attain21 ment of a secondary school diploma or its

22 equivalent, or another recognized creden23 tial;’’;
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1 (iii) in clause (ii) (as redesignated by

2 clause (i)), by inserting ‘‘and advanced

3 training’’ after ‘‘opportunities’’;

4 (iv) in clause (iii) (as redesignated by

5 clause (i))—

6 (I) by inserting ‘‘instruction

7 based on State academic content and

8 student academic achievement stand9 ards established under section 1111 of

10 the Elementary and Secondary Edu11 cation Act of 1965 (20 U.S.C. 6311)’’

12 after ‘‘academic’’; and

13 (II) by inserting ‘‘that lead to the

14 attainment of recognized credentials’’

15 after ‘‘learning’’; and

16 (v) by striking clause (v) (as redesig17 nated by clause (i)) and inserting the fol18 lowing:

19 ‘‘(v) effective connections to all employ20 ers, including small employers, in sectors of

21 the local and regional labor markets that

22 are experiencing high growth in employ23 ment opportunities.’’.

24 (2) PROGRAM ELEMENTS.—Section 129(c)(2) (29

25 U.S.C. 2854(c)(2)) is amended—
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1 (A) in subparagraph (A), by striking ‘‘sec2 ondary school, including dropout prevention

3 strategies’’ and inserting ‘‘the requirements for a

4 secondary school diploma or its recognized equiv5 alent (including recognized alternative standards

6 for individuals with disabilities) or for another

7 recognized credential, including dropout preven8 tion strategies’’;

9 (B) in subparagraph (B), by inserting ‘‘,

10 with a priority on exposing youth to technology

11 and nontraditional jobs’’ before the semicolon;

12 (C) in subparagraph (F), by striking ‘‘dur13 ing nonschool hours’’;

14 (D) in subparagraph (I), by striking ‘‘and’’

15 at the end;

16 (E) in subparagraph (J), by striking the

17 period at the end and inserting a semicolon; and

18 (F) by adding at the end the following:

19 ‘‘(K) on-the-job training opportunities;

20 ‘‘(L) opportunities to acquire financial lit21 eracy skills;

22 ‘‘(M) entrepreneurial skills training and

23 microenterprise services; and
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1 ‘‘(N) information about average wages for a

2 range of jobs available in the local area, includ3 ing technology jobs.’’.

4 (3) ADDITIONAL REQUIREMENTS.—Section

5 129(c)(3)(A) (29 U.S.C. 2854(c)(3)(A)) is amended in

6 the matter preceding clause (i) by striking ‘‘or appli7 cant who meets the minimum income criteria to be

8 considered an eligible youth’’.

9 (4) PRIORITY AND EXCEPTIONS.—Section 129(c)

10 (29 U.S.C. 2854(c)) is amended by striking para11 graphs (4) and (5).

12 (5) PROHIBITIONS AND LINKAGES.—Section

13 129(c) (29 U.S.C. 2854(c)), as amended by paragraph

14 (4), is further amended—

15 (A) by redesignating paragraphs (6), (7),

16 and (8) as paragraphs (4), (5), and (6), respec17 tively;

18 (B) in paragraph (4) (as redesignated by

19 subparagraph (A))—

20 (i) by striking subparagraph (B); and

21 (ii) by redesignating subparagraph (C)

22 as subparagraph (B); and

23 (C) in paragraph (5) (as redesignated by

24 subparagraph (A)), by striking ‘‘youth councils’’

25 and inserting ‘‘local boards’’.
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1 SEC. 121. ADULT AND DISLOCATED WORKER EMPLOYMENT

2 AND TRAINING ACTIVITIES.

3 (a) STATE ALLOTMENTS.—

4 (1) RESERVATIONS.—Section 132(a)(2)(A) (29

5 U.S.C. 2862 (a)(2)(A)) is amended by striking ‘‘na6 tional emergency grants, other than under subsection

7 (a)(4), (f), and (g)’’ and inserting ‘‘national dis8 located worker grants, other than under subparagraph

9 (D) or (E) of subsection (a)(1), subsection (e), and

10 subsection (f)’’.

11 (2) ALLOTMENT AMONG STATES.—Section 132(b)

12 (29 U.S.C. 2862(b)) is amended—

13 (A) in paragraph (1)(A)(ii), by striking

14 ‘‘section 127(b)(1)(B),’’ and all that follows and

15 inserting ‘‘section 127(b)(1)(B).’’;

16 (B) by striking paragraph (1)(B)(ii) and

17 inserting the following:

18 ‘‘(ii) FORMULA.—Subject to clauses

19 (iii) and (iv), of the remainder—

20 ‘‘(I) 40 percent shall be allotted

21 on the basis of the relative number of

22 unemployed individuals in areas of

23 substantial unemployment in each

24 State, compared to the total number of

25 unemployed individuals in areas of
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1 substantial unemployment in all

2 States;

3 ‘‘(II) 25 percent shall be allotted

4 on the basis of the relative number of

5 individuals in the civilian labor force

6 in each State, compared to the total

7 number of such individuals in all

8 States; and

9 ‘‘(III) 35 percent shall be allotted

10 on the basis of the relative number of

11 disadvantaged adults in each State,

12 compared to the total number of dis13 advantaged adults in all States, except

14 as described in clause (iii).’’;

15 (C) in paragraph (1)(B)—

16 (i) in clause (iii), by striking ‘‘section

17 116(a)(2)(B)’’ and inserting ‘‘section

18 116(a)(2)(A)(iii)’’;

19 (ii) in clause (iv)—

20 (I) in subclause (I)—

21 (aa) by striking ‘‘Subject to

22 subclause (IV), the’’ and inserting

23 ‘‘The’’; and

24 (bb) by striking ‘‘than the

25 greater of’’ and all that follows
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1 and inserting ‘‘than an amount

2 based on 90 percent of the allot3 ment percentage of the State for

4 the preceding fiscal year.’’;

5 (II) in subclause (II), by striking

6 ‘‘subclauses (I), (III), and (IV)’’ and

7 inserting ‘‘subclauses (I) and (III)’’;

8 and

9 (III) by striking subclause (IV);

10 and

11 (iii) in clause (v), by striking sub12 clause (VI); and

13 (D) in paragraph (2)(A)(ii), by striking

14 ‘‘section 127(b)(1)(B)’’ and all that follows and

15 inserting ‘‘section 127(b)(1)(B).’’.

16 (3) REALLOTMENT.—Section 132(c) (29 U.S.C.

17 2862(c)) is amended—

18 (A) by striking paragraph (2) and inserting

19 the following:

20 ‘‘(2) AMOUNT.—The amount available for real21 lotment for a program year for programs funded

22 under subsection (b)(1)(B) (relating to adult employ23 ment and training) and subsection (b)(2)(B) (relating

24 to dislocated worker employment and training), re25 spectively, is equal to the amount by which the unex-
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1 pended balance at the end of the program year prior

2 to the program year for which the determination is

3 made exceeds 30 percent of the total amount of funds

4 available to the State under subsection (b)(1)(B) or

5 (b)(2)(B), respectively, during such prior program

6 year (including amounts allotted to the State in all

7 prior program years under such provisions that re8 mained available). For purposes of this paragraph,

9 the unexpended balance is the amount that is the dif10 ference between—

11 ‘‘(A) the total amount of funds available to

12 the State under subsection (b)(1)(B) or (b)(2)(B),

13 respectively, during the program year prior to

14 the program year for which the determination is

15 made (including amounts allotted to the State in

16 all prior program years under such provisions

17 that remained available); and

18 ‘‘(B) the accrued expenditures from such

19 total amount of funds available under subsection

20 (b)(1)(B) or (b)(2)(B), respectively, during such

21 prior program year.’’;

22 (B) in paragraph (3)—

23 (i) by striking ‘‘under this section for

24 such activities for the prior program year’’

25 and inserting ‘‘under subsection (b)(1)(B)
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1 or (b)(2)(B), as appropriate, for the pro2 gram year for which the determination is

3 made’’; and

4 (ii) by striking ‘‘under this section for

5 such activities for such prior program year’’

6 and inserting ‘‘under subsection (b)(1)(B)

7 or (b)(2)(B), as appropriate, for such pro8 gram year’’;

9 (C) by striking paragraph (4) and inserting

10 the following:

11 ‘‘(4) ELIGIBILITY.—For purposes of this sub12 section, an eligible State means—

13 ‘‘(A) with respect to funds allotted under

14 subsection (b)(1)(B), a State that does not have

15 an amount of such funds available for reallot16 ment under paragraph (2) for the program year

17 for which the determination under paragraph (2)

18 is made; and

19 ‘‘(B) with respect to funds allotted under

20 subsection (b)(2)(B), a State that does not have

21 an amount of such funds available for reallot22 ment under paragraph (2) for the program year

23 for which the determination under paragraph (2)

24 is made.’’; and
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1 (D) in paragraph (5), by striking ‘‘obliga2 tion’’ and inserting ‘‘accrued expenditure’’.

3 (4) EFFECTIVE DATE.—The amendments made

4 by paragraph (3) shall take effect for the later of—

5 (A) the program year that begins after the

6 date of enactment of this Act; or

7 (B) program year 2006.

8 (b) WITHIN STATE ALLOCATIONS.—

9 (1) ALLOCATION.—Section 133(b)(2)(A)(i) (29

10 U.S.C. 2863(b)(2)(A)(i)) is amended—

(A) in subclause (I), by striking ‘‘331 11 ⁄3 per12 cent’’ and inserting ‘‘40 percent’’;

(B) in subclause (II), by striking ‘‘331 13 ⁄3 per14 cent’’ and inserting ‘‘25 percent’’; and

(C) in subclause (III), by striking ‘‘331 15 ⁄3

16 percent’’ and inserting ‘‘35 percent’’.

17 (2) TRANSFER AUTHORITY.—Section 133(b)(4)

18 (29 U.S.C. 2863(b)(4)) is amended by striking ‘‘20

19 percent’’ each place it appears and inserting ‘‘100

20 percent’’.

21 (3) REQUIREMENTS.—Clauses (i) and (ii) of sec22 tion 133(b)(5)(B) (29 U.S.C. 2863(b)(5)(B)) are

23 amended by striking ‘‘section 134(c)’’ and inserting

24 ‘‘section 121(e)’’.
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1 (4) REALLOCATION.—Section 133(c) (29 U.S.C.

2 2863(c)) is amended—

3 (A) in paragraph (1), by inserting ‘‘, and

4 under subsection (b)(2)(B) for dislocated worker

5 employment and training activities,’’ after ‘‘ac6 tivities’’;

7 (B) by striking paragraph (2) and inserting

8 the following:

9 ‘‘(2) AMOUNT.—The amount available for re10 allocation for a program year for programs funded

11 under paragraphs (2)(A) and (3) of subsection (b)

12 (relating to adult employment and training) and sub13 section (b)(2)(B) (relating to dislocated worker em14 ployment and training), respectively, is equal to the

15 amount by which the unexpended balance at the end

16 of the program year prior to the program year for

17 which the determination is made exceeds 30 percent

18 of the total amount of funds available to the local

19 area under paragraphs (2)(A) and (3) of subsection

20 (b), or subsection (b)(2)(B), respectively, during such

21 prior program year (including amounts allocated to

22 the local area in all prior program years under such

23 provisions that remained available). For purposes of

24 this paragraph, the unexpended balance is the

25 amount that is the difference between—
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1 ‘‘(A) the total amount of funds available to

2 the local area under paragraphs (2)(A) and (3)

3 of subsection (b), or subsection (b)(2)(B), respec4 tively, during the program year prior to the pro5 gram year for which the determination is made

6 (including amounts allotted to the local area in

7 all prior program years under such provisions

8 that remained available); and

9 ‘‘(B) the accrued expenditures from such

10 total amount of funds available under para11 graphs (2)(A) and (3) of subsection (b), or sub12 section (b)(2)(B), respectively, during such prior

13 program year.’’;

14 (C) by striking paragraph (3) and inserting

15 the following:

16 ‘‘(3) REALLOCATION.—In making reallocations

17 to eligible local areas of amounts available pursuant

18 to paragraph (2) for a program year, the Governor

19 shall allocate to each eligible local area within the

20 State—

21 ‘‘(A) with respect to amounts that are avail22 able for reallocation under paragraph (2) that

23 were allocated under paragraphs (2)(A) or (3) of

24 subsection (b), an amount based on the relative

25 amount allocated to such local area under para-
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1 graphs (2)(A) or (3) of subsection (b), as appro2 priate, for the program year for which the deter3 mination is made, as compared to the total

4 amount allocated to all eligible local areas under

5 paragraphs (2)(A) or (3) of subsection (b), as ap6 propriate, for such program year; and

7 ‘‘(B) with respect to amounts that are

8 available for reallocation under paragraph (2)

9 that were allocated under subsection (b)(2)(B),

10 an amount based on the relative amount allo11 cated to such local area under subsection

12 (b)(2)(B) for the program year for which the de13 termination is made, as compared to the total

14 amount allocated to all eligible local areas under

15 subsection (b)(2)(B) for such program year.’’;

16 and

17 (D) by striking paragraph (4) and insert18 ing the following:

19 ‘‘(4) ELIGIBILITY.—For purposes of this sub20 section, an eligible local area means—

21 ‘‘(A) with respect to funds allocated under

22 paragraphs (2)(A) or (3) of subsection (b), a

23 local area that does not have an amount of such

24 funds available for reallocation under paragraph
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1 (2) for the program year for which the deter2 mination under paragraph (2) is made; and

3 ‘‘(B) with respect to funds allocated under

4 subsection (b)(2)(B), a local area that does not

5 have an amount of such funds available for re6 allocation under paragraph (2) for the program

7 year for which the determination under para8 graph (2) is made.’’.

9 (5) EFFECTIVE DATE.—The amendments made

10 by paragraph (3) shall take effect for the later of—

11 (A) the program year that begins after the

12 date of enactment of this Act; or

13 (B) program year 2006.

14 (c) USE OF FUNDS FOR EMPLOYMENT AND TRAINING

15 ACTIVITIES.—

16 (1) STATEWIDE EMPLOYMENT AND TRAINING AC17 TIVITIES.—

18 (A) STATEWIDE RAPID RESPONSE ACTIVI19 TIES.—Section 134(a)(2)(A) (29 U.S.C.

20 2864(a)(2)(A)) is amended to read as follows:

21 ‘‘(A) STATEWIDE RAPID RESPONSE ACTIVI22 TIES.—

23 ‘‘(i) IN GENERAL.—A State shall carry

24 out statewide rapid response activities using

25 funds reserved by a Governor for a State
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1 under section 133(a)(2). Such activities

2 shall include—

3 ‘‘(I) provision of rapid response

4 activities, carried out in local areas by

5 the State or by an entity designated by

6 the State, working in conjunction with

7 the local boards and the chief elected

8 officials for the local areas; and

9 ‘‘(II) provision of additional as10 sistance to local areas that experience

11 disasters, mass layoffs, or plant clos12 ings, or other events that precipitate

13 substantial increases in the number of

14 unemployed individuals, carried out in

15 local areas by the State, working in

16 conjunction with the local boards and

17 the chief elected officials for the local

18 areas.

19 ‘‘(ii) USE OF UNEXPENDED FUNDS.—

20 Funds reserved under section 133(a)(2) to

21 carry out this subparagraph that remain

22 unexpended after the first program year for

23 which such funds were allotted may be used

24 by the Governor to carry out statewide ac25 tivities authorized under subparagraph (B)
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1 and paragraph (3)(A) in addition to activi2 ties under this subparagraph.’’.

3 (B) STATEWIDE EMPLOYMENT AND TRAIN4 ING ACTIVITIES.—Section 134(a)(2) (29 U.S.C.

5 2864(a)(2)) is amended by striking subpara6 graph (B) and inserting the following:

7 ‘‘(B) STATEWIDE EMPLOYMENT AND TRAIN8 ING ACTIVITIES.—Funds reserved by a Governor

9 for a State under sections 128(a)(1) and

10 133(a)(1) and not used under paragraph (1)(A)

11 (regardless of whether the funds were allotted to

12 the States under section 127(b)(1)(C) or para13 graphs (1)(B) or (2)(B) of section 132(b)) shall

14 be used for statewide employment and training

15 activities, including—

16 ‘‘(i) disseminating—

17 ‘‘(I) the State list of eligible pro18 viders of training services, including

19 eligible providers of nontraditional

20 training services and eligible providers

21 of apprenticeship programs described

22 in section 122(a)(2)(B);

23 ‘‘(II) information identifying eli24 gible providers of on-the-job training,
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1 customized training, and incumbent

2 worker training;

3 ‘‘(III) information on effective

4 business outreach, partnerships, and

5 services;

6 ‘‘(IV) performance information

7 and information on costs of attend8 ance, as described in subsections (d)

9 and (i) of section 122; and

10 ‘‘(V) information on physical and

11 programmatic accessibility for individ12 uals with disabilities;

13 ‘‘(ii) conducting evaluations under sec14 tion 136(e) of activities authorized under

15 this chapter and chapter 5 in coordination

16 with evaluations carried out by the Sec17 retary under section 172;

18 ‘‘(iii) providing incentive grants to

19 local areas, in accordance with section

20 136(i);

21 ‘‘(iv) developing strategies for ensuring

22 that activities carried out under this section

23 are placing men and women in jobs, edu24 cation, and training that lead to com25 parable pay;
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1 ‘‘(v) providing technical assistance and

2 capacity building to local areas, one-stop

3 operators, one-stop partners, and eligible

4 providers, including the development and

5 training of staff, the development of exem6 plary program activities, and the provision

7 of technical assistance to local areas that

8 fail to meet local performance measures de9 scribed in section 136(c), which may in10 clude the development and training of staff

11 to provide opportunities for hard-to-serve

12 populations to enter high-wage, high-skilled,

13 and nontraditional occupations;

14 ‘‘(vi) operating a fiscal and manage15 ment accountability system under section

16 136(f); and

17 ‘‘(vii) carrying out monitoring and

18 oversight of activities carried out under this

19 chapter and chapter 4.’’.

20 (C) ALLOWABLE STATEWIDE EMPLOYMENT

21 AND TRAINING ACTIVITIES.—Section

22 134(a)(3)(A) (29 U.S.C. 2864(a)(3)(A)) is

23 amended to read as follows:

24 ‘‘(A) IN GENERAL.—Funds reserved by a

25 Governor for a State under sections 128(a)(1)
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1 and 133(a)(1) and not used under paragraph

2 (1)(A) or (2)(B) (regardless of whether the funds

3 were allotted to the State under section

4 127(b)(1)(C) or paragraph (1)(B) or (2)(B) of

5 section 132(b)) may be used to carry out addi6 tional statewide employment and training ac7 tivities, which may include—

8 ‘‘(i) implementing innovative pro9 grams and strategies designed to meet the

10 needs of all businesses in the State, includ11 ing small businesses, which may include in12 cumbent worker training programs, sectoral

13 and industry cluster strategies and partner14 ships, including regional skills alliances,

15 sectoral skills partnerships (in which rep16 resentatives of multiple employers for a spe17 cific industry sector or group of related oc18 cupations, economic development agencies,

19 providers of training services described in

20 subsection (d)(4), labor federations, and

21 other entities that can provide needed sup22 portive services tailored to the needs of

23 workers in that sector or group, for a local

24 area or region, identify gaps between the

25 current and expected demand and supply of
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1 labor and skills in that sector or group for

2 that area or region and develop a strategic

3 skills gap action plan), career ladder pro4 grams, micro-enterprise and entrepreneurial

5 training and support programs, utilization

6 of effective business intermediaries, activi7 ties to improve linkages between the one8 stop delivery system in the State and all

9 employers (including small employers) in

10 the State, and other business services and

11 strategies that better engage employers in

12 workforce investment activities and make

13 the workforce investment system more rel14 evant to the needs of State and local busi15 nesses, consistent with the objectives of this

16 title;

17 ‘‘(ii) developing strategies for effec18 tively serving hard-to-serve populations and

19 for coordinating programs and services

20 among one-stop partners;

21 ‘‘(iii) implementing innovative pro22 grams for displaced homemakers, which for

23 purposes of this clause may include an in24 dividual who is receiving public assistance

25 and is within 2 years of exhausting lifetime
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1 eligibility under part A of title IV of the

2 Social Security Act (42 U.S.C. 601 et seq.);

3 ‘‘(iv) implementing programs to in4 crease the number of individuals training

5 for and placed in nontraditional employ6 ment;

7 ‘‘(v) carrying out activities to facilitate

8 remote access to services, including training

9 services described in subsection (d)(4), pro10 vided through a one-stop delivery system,

11 including facilitating access through the use

12 of technology;

13 ‘‘(vi) supporting the provision of core

14 services described in subsection (d)(2) in the

15 one-stop delivery system in the State;

16 ‘‘(vii) coordinating with the child wel17 fare system to facilitate services for children

18 in foster care and those who are eligible for

19 assistance under section 477 of the Social

20 Security Act (42 U.S.C. 677);

21 ‘‘(viii) activities—

22 ‘‘(I) to improve coordination be23 tween workforce investment activities

24 carried out within the State involved

25 and economic development activities,
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1 and to promote entrepreneurial skills

2 training and microenterprise services;

3 ‘‘(II) to improve coordination be4 tween employment and training assist5 ance, child support services, and assist6 ance provided by State and local agen7 cies carrying out part D of title IV of

8 the Social Security Act (42 U.S.C. 651

9 et seq.);

10 ‘‘(III) to improve coordination be11 tween employment and training assist12 ance and cooperative extension pro13 grams carried out by the Department

14 of Agriculture;

15 ‘‘(IV) to improve coordination be16 tween employment and training assist17 ance and programs carried out in the

18 local area for individuals with disabil19 ities, including programs carried out

20 by State agencies relating to mental re21 tardation and developmental disabil22 ities, Statewide Independent Living

23 Councils established under section 705

24 of the Rehabilitation Act of 1973 (29

25 U.S.C. 796d), and centers for inde-
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1 pendent living defined in section 702

2 of the Rehabilitation Act of 1973 (29

3 U.S.C. 796a);

4 ‘‘(V) to develop and disseminate

5 workforce and labor market informa6 tion;

7 ‘‘(VI) to improve coordination

8 with the corrections system to facilitate

9 provision of training services and em10 ployment opportunities that will assist

11 ex-offenders in reentering the work12 force; and

13 ‘‘(VII) to promote financial lit14 eracy, including carrying out activities

15 described in section 129(b)(1)(I);

16 ‘‘(ix) conducting—

17 ‘‘(I) research; and

18 ‘‘(II) demonstration projects; and

19 ‘‘(x) adopting, calculating, or commis20 sioning a minimum self-sufficiency stand21 ard that specifies the income needs of fami22 lies, by family size, the number and ages of

23 children in the family, and sub-State geo24 graphical considerations.’’.
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1 (2) REQUIRED LOCAL EMPLOYMENT AND TRAIN2 ING ACTIVITIES.—

3 (A) ALLOCATED FUNDS.—Section

4 134(d)(1)(A) (29 U.S.C. 2864(d)(1)(A)) is

5 amended—

6 (i) in clause (i), by striking ‘‘described

7 in subsection (c)’’;

8 (ii) in clause (iii), by striking ‘‘and’’

9 at the end;

10 (iii) in clause (iv), by striking the pe11 riod and inserting a semicolon; and

12 (iv) by adding at the end the following:

13 ‘‘(v) to designate a dedicated business

14 liaison in the local area who may be funded

15 with funds provided under this title or from

16 other sources to establish and develop rela17 tionships and networks with large and

18 small employers and their intermediaries;

19 and

20 ‘‘(vi) in order to improve service deliv21 ery to avoid duplication of services and en22 hance coordination of services, to require the

23 colocation of employment services provided

24 under the Wagner-Peyser Act (29 U.S.C. 49

25 et seq.) at the one-stop centers.’’.
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1 (B) CORE SERVICES.—Section 134(d)(2)

2 (29 U.S.C. 2864(d)(2)) is amended—

3 (i) in the matter preceding subpara4 graph (A), by striking ‘‘paragraph (1)(A)’’

5 and inserting ‘‘paragraph (1)’’;

6 (ii) in subparagraph (C), by inserting

7 ‘‘(including literacy, numeracy, and

8 English language proficiency)’’ after ‘‘skill

9 levels’’;

10 (iii) by striking subparagraph (D) and

11 inserting the following:

12 ‘‘(D) labor exchange services, including—

13 ‘‘(i) job search and placement assist14 ance and, in appropriate cases, career coun15 seling, including—

16 ‘‘(I) exposure to high wage, high

17 skill jobs; and

18 ‘‘(II) nontraditional employment;

19 and

20 ‘‘(ii) appropriate recruitment and

21 other business services for all employers, in22 cluding small employers, in the local area,

23 which may include services described in this

24 subsection, including information and refer25 ral to specialized business services not tra-
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1 ditionally offered through the one-stop deliv2 ery system;’’;

3 (iv) in subparagraph (E)(iii)—

4 (I) by inserting ‘‘, career ladders,’’

5 after ‘‘earnings’’; and

6 (II) by striking ‘‘and’’ at the end;

7 (v) in subparagraph (F)—

8 (I) by striking ‘‘and program cost

9 information’’; and

10 (II) by striking ‘‘described in sec11 tion 123’’;

12 (vi) by striking subparagraph (H) and

13 inserting the following:

14 ‘‘(H) provision of accurate information, in

15 formats that are usable and understandable to

16 all one-stop center customers, relating to the

17 availability of supportive services or assistance,

18 including child care, child support, medical or

19 child health assistance under title XIX or XXI of

20 the Social Security Act (42 U.S.C. 1396 et seq.

21 and 1397aa et seq.), benefits under the Food

22 Stamp Act of 1977 (7 U.S.C. 2011 et seq.), the

23 earned income tax credit under section 32 of the

24 Internal Revenue Code of 1986, and assistance

25 under a State program funded under part A of
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1 title IV of the Social Security Act (42 U.S.C.

2 601 et seq.) and other supportive services and

3 transportation provided through funds made

4 available under such part, available in the local

5 area, and referral to such services or assistance

6 as appropriate;’’; and

7 (vii) in subparagraph (J), by striking

8 ‘‘for—’’ and all that follows through ‘‘(ii)

9 programs’’ and inserting ‘‘for programs’’.

10 (C) INTENSIVE SERVICES.—Section

11 134(d)(3) (29 U.S.C. 2864(d)(3)) is amended—

12 (i) by striking subparagraph (A) and

13 inserting the following:

14 ‘‘(A) IN GENERAL.—

15 ‘‘(i) ELIGIBILITY.—Except as provided

16 in clause (ii), funds allocated to a local

17 area for adults under paragraph (2)(A) or

18 (3), as appropriate, of section 133(b), and

19 funds allocated to the local area for dis20 located workers under section 133(b)(2)(B),

21 shall be used to provide intensive services to

22 adults and dislocated workers,

23 respectively—

24 ‘‘(I) who are unemployed and

25 who, after an interview, evaluation, or
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1 assessment, have been determined by a

2 one-stop operator or one-stop partner

3 to be—

4 ‘‘(aa) unlikely or unable to

5 obtain employment, that leads to

6 self-sufficiency or wages com7 parable to or higher than previous

8 employment, through core services

9 described in paragraph (2); and

10 ‘‘(bb) in need of intensive

11 services to obtain employment

12 that leads to self-sufficiency or

13 wages comparable to or higher

14 than previous employment; or

15 ‘‘(II) who are employed, but who,

16 after an interview, evaluation, or as17 sessment are determined by a one-stop

18 operator or one-stop partner to be in

19 need of intensive services to obtain or

20 retain employment that leads to self21 sufficiency.

22 ‘‘(ii) SPECIAL RULE.—A new inter23 view, evaluation, or assessment of a partici24 pant is not required under clause (i) if the

25 one-stop operator or one-stop partner deter-
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1 mines that it is appropriate to use a recent

2 assessment of the participant conducted

3 pursuant to another education or training

4 program.’’; and

5 (ii) in subparagraph (C)—

6 (I) in clause (v), by striking ‘‘for

7 participants seeking training services

8 under paragraph (4)’’; and

9 (II) by adding at the end the fol10 lowing:

11 ‘‘(vii) Internships and work experience.

12 ‘‘(viii) Literacy activities relating to

13 basic work readiness.

14 ‘‘(ix) Financial literacy services, such

15 as activities described in section

16 129(b)(1)(I).

17 ‘‘(x) Out-of-area job search assistance

18 and relocation assistance.

19 ‘‘(xi) English language acquisition and

20 integrated training programs.’’.

21 (D) TRAINING SERVICES.—Section

22 134(d)(4) (29 U.S.C. 2864(d)(4)) is amended—

23 (i) by striking subparagraph (A) and

24 inserting the following:

25 ‘‘(A) IN GENERAL.—
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1 ‘‘(i) ELIGIBILITY.—Except as provided

2 in clause (ii), funds allocated to a local

3 area for adults under paragraph (2)(A) or

4 (3), as appropriate, of section 133(b), and

5 funds allocated to the local area for dis6 located workers under section 133(b)(2)(B),

7 shall be used to provide training services to

8 adults and dislocated workers,

9 respectively—

10 ‘‘(I) who, after an interview, eval11 uation, or assessment, and case man12 agement, have been determined by a

13 one-stop operator or one-stop partner,

14 as appropriate, to—

15 ‘‘(aa) be unlikely or unable

16 to obtain or retain employment,

17 that leads to self-sufficiency or

18 wages comparable to or higher

19 than previous employment,

20 through the intensive services de21 scribed in paragraph (3);

22 ‘‘(bb) be in need of training

23 services to obtain or retain em24 ployment that leads to self-suffi25 ciency or wages comparable to or
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1 higher than previous employment;

2 and

3 ‘‘(cc) have the skills and

4 qualifications to successfully par5 ticipate in the selected program of

6 training services;

7 ‘‘(II) who select programs of

8 training services that are directly

9 linked to the employment opportunities

10 in the local area or region involved or

11 in another area to which the adults or

12 dislocated workers are willing to com13 mute or relocate;

14 ‘‘(III) who meet the requirements

15 of subparagraph (B); and

16 ‘‘(IV) who are determined to be el17 igible in accordance with the priority

18 system in effect under subparagraph

19 (E).

20 ‘‘(ii) SPECIAL RULE.—A new inter21 view, evaluation, or assessment of a partici22 pant is not required under clause (i) if the

23 one-stop operator or one-stop partner deter24 mines that it is appropriate to use a recent

25 assessment of the participant conducted
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1 pursuant to another education or training

2 program.’’;

3 (ii) in subparagraph (B)(i), by strik4 ing ‘‘Except’’ and inserting ‘‘Notwith5 standing section 479B of the Higher Edu6 cation Act of 1965 (20 U.S.C. 1087uu) and

7 except’’;

8 (iii) in subparagraph (D)—

9 (I) in clause (viii), by striking

10 ‘‘and’’ after the semicolon;

11 (II) in clause (ix), by striking the

12 period and inserting ‘‘; and’’; and

13 (III) by adding at the end the fol14 lowing:

15 ‘‘(x) English language acquisition and

16 integrated training programs.’’;

17 (iv) in subparagraph (F)—

18 (I) in clause (ii), by striking ‘‘re19 ferred to in subsection (c), shall make

20 available—’’ and all that follows and

21 inserting ‘‘shall make available a list

22 of eligible providers of training serv23 ices, and accompanying information,

24 in accordance with section 122(d).’’;
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1 (II) in the heading of clause (iii),

2 by striking ‘‘INDIVIDUAL TRAINING AC3 COUNTS’’ and inserting ‘‘CAREER

4 SCHOLARSHIP ACCOUNTS’’;

5 (III) in clause (iii)—

6 (aa) by striking ‘‘identifying

7 information’’ and inserting ‘‘ac8 companying information’’;

9 (bb) by striking ‘‘clause

10 (ii)(I)’’ and inserting ‘‘clause

11 (ii)’’; and

12 (cc) by striking ‘‘an indi13 vidual training account’’ and in14 serting ‘‘a career scholarship ac15 count’’; and

16 (IV) by adding at the end the fol17 lowing:

18 ‘‘(iv) COORDINATION.—Each local

19 board may, through one-stop centers, coordi20 nate career scholarship accounts with other

21 Federal, State, local, or private job training

22 programs or sources to assist the individual

23 in obtaining training services.’’; and

24 (v) in subparagraph (G)—
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1 (I) in the subparagraph heading,

2 by striking ‘‘INDIVIDUAL TRAINING AC3 COUNTS’’ and inserting ‘‘CAREER

4 SCHOLARSHIP ACCOUNTS’’;

5 (II) in clause (i), by striking ‘‘in6 dividual training accounts’’ and in7 serting ‘‘career scholarship accounts’’;

8 (III) in clause (ii)—

9 (aa) by striking ‘‘an indi10 vidual training account’’ and in11 serting ‘‘a career scholarship ac12 count’’;

13 (bb) in subclause (II), by

14 striking ‘‘individual training ac15 counts’’ and inserting ‘‘career

16 scholarship accounts’’;

17 (cc) in subclause (II) by

18 striking ‘‘or’’ after the semicolon;

19 (dd) in subclause (III), by

20 striking ‘‘special participant pop21 ulations that face multiple bar22 riers to employment’’ and insert23 ing ‘‘hard-to-serve populations’’;
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1 (ee) in subclause (III), by

2 striking the period and inserting

3 ’‘‘; or’’; and

4 (ff) by adding at the end the

5 following:

6 ‘‘(IV) the local board determines

7 that it would be most appropriate to

8 award a contract to an institution of

9 higher education in order to facilitate

10 the training of multiple individuals in

11 high-demand occupations, if such con12 tract does not limit customer choice.’’;

13 and

14 (IV) by striking clause (iv).

15 (3) PERMISSIBLE ACTIVITIES.—Section 134(e)

16 (29 U.S.C. 2864(e)) is amended—

17 (A) by striking the matter preceding para18 graph (2) and inserting the following:

19 ‘‘(e) PERMISSIBLE LOCAL EMPLOYMENT AND TRAIN20 ING ACTIVITIES.—

21 ‘‘(1) IN GENERAL.—

22 ‘‘(A) ACTIVITIES.—Funds allocated to a

23 local area for adults under paragraph (2)(A) or

24 (3), as appropriate, of section 133(b), and funds

25 allocated to the local area for dislocated workers
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1 under section 133(b)(2)(B), may be used to pro2 vide, through the one-stop delivery system

3 involved—

4 ‘‘(i) customized screening and referral

5 of qualified participants in training serv6 ices described in subsection (d)(4) to em7 ployers;

8 ‘‘(ii) customized employment-related

9 services to employers on a fee-for-service

10 basis;

11 ‘‘(iii) customer support to enable mem12 bers of hard-to-serve populations, including

13 individuals with disabilities, to navigate

14 among multiple services and activities for

15 such populations;

16 ‘‘(iv) technical assistance and capacity

17 building for serving individuals with dis18 abilities in local areas, for one-stop opera19 tors, one-stop partners, and eligible pro20 viders, including the development and

21 training of staff, the provision of outreach,

22 intake, assessments, and service delivery,

23 and the development of performance meas24 ures;
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1 ‘‘(v) employment and training assist2 ance provided in coordination with child

3 support enforcement activities of the State

4 and local agencies carrying out part D of

5 title IV of the Social Security Act (42

6 U.S.C. 651 et seq.);

7 ‘‘(vi) activities to improve coordination

8 among employment and training assistance,

9 child support services, and assistance pro10 vided by State and local agencies carrying

11 out part D of title IV of the Social Security

12 Act (42 U.S.C. 651 et seq.);

13 ‘‘(vii) activities to improve coordina14 tion between employment and training as15 sistance and cooperative extension programs

16 carried out by the Department of Agri17 culture;

18 ‘‘(viii) activities to facilitate remote

19 access to services provided through a one20 stop delivery system, including facilitating

21 access through the use of technology;

22 ‘‘(ix) activities—

23 ‘‘(I) to improve coordination be24 tween workforce investment activities

25 carried out within the local area in-
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1 volved and economic development ac2 tivities, and to promote entrepre3 neurial skills training and microenter4 prise services; and

5 ‘‘(II) to improve services and

6 linkages between the local workforce in7 vestment system including the local

8 one-stop delivery system, and all em9 ployers, including small employers in

10 the local area, through services de11 scribed in this section, including sub12 paragraph (B);

13 ‘‘(x) training programs for displaced

14 homemakers and for individuals training

15 for nontraditional occupations, in conjunc16 tion with programs operated in the local

17 area;

18 ‘‘(xi) using a portion of the funds allo19 cated under section 133(b), activities to

20 carry out business services and strategies

21 that meet the workforce investment needs of

22 local area employers, as determined by the

23 local board, consistent with the local plan

24 under section 118, which services—
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1 ‘‘(I) may be provided through ef2 fective business intermediaries working

3 in conjunction with the local board,

4 and may also be provided on a fee-for5 service basis or through the leveraging

6 of economic development and other re7 sources as determined appropriate by

8 the local board; and

9 ‘‘(II) may include—

10 ‘‘(aa) identifying and dis11 seminating to business, educators,

12 and job seekers, information re13 lated to the workforce, economic

14 and community development

15 needs, and opportunities of the

16 local economy;

17 ‘‘(bb) development and deliv18 ery of innovative workforce invest19 ment services and strategies for

20 area businesses, which may in21 clude sectoral, industry cluster, re22 gional skills alliances, career lad23 der, skills upgrading, skill stand24 ard development and certification,

25 apprenticeship, and other effective
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1 initiatives for meeting the work2 force investment needs of area em3 ployers and workers;

4 ‘‘(cc) participation in semi5 nars and classes offered in part6 nership with relevant organiza7 tions focusing on the workforce-re8 lated needs of area employers and

9 job seekers;

10 ‘‘(dd) training consulting,

11 needs analysis, and brokering

12 services for area businesses, in13 cluding the organization and ag14 gregation of training (which may

15 be paid for with funds other than

16 those provided under this title),

17 for individual employers and coa18 litions of employers with similar

19 interests, products, or workforce

20 needs;

21 ‘‘(ee) assistance to area em22 ployers in the aversion of layoffs

23 and in managing reductions in

24 force in coordination with rapid

25 response activities;
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1 ‘‘(ff) the marketing of busi2 ness services offered under this

3 title, to appropriate area employ4 ers, including small and mid5 sized employers;

6 ‘‘(gg) information referral on

7 concerns affecting local employers;

8 and

9 ‘‘(hh) other business services

10 and strategies designed to better

11 engage employers in workforce in12 vestment activities and to make

13 the workforce investment system

14 more relevant to the workforce in15 vestment needs of area businesses,

16 as determined by the local board

17 to be consistent with the objectives

18 of this title;

19 ‘‘(xii) activities to adjust the self-suffi20 ciency standards for local factors, or activi21 ties to adopt, calculate, or commission a

22 self-sufficiency standard that specifies the

23 income needs of families, by family size, the

24 number and ages of children in the family,
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1 and sub-State geographical considerations;

2 and

3 ‘‘(xiii) improved coordination between

4 employment and training assistance and

5 programs carried out in the local area for

6 individuals with disabilities, including pro7 grams carried out by State agencies relating

8 to mental retardation and developmental

9 disabilities, Statewide Independent Living

10 Councils established under section 705 of the

11 Rehabilitation Act of 1973 (29 U.S.C.

12 796d), and centers for independent living

13 defined in section 702 of the Rehabilitation

14 Act of 1973 (29 U.S.C. 796a).

15 ‘‘(B) WORK SUPPORT ACTIVITIES FOR LOW16 WAGE WORKERS.—

17 ‘‘(i) IN GENERAL.—Funds allocated to

18 a local area for adults under paragraph

19 (2)(A) or (3), as appropriate, of section

20 133(b), and funds allocated to the local area

21 for dislocated workers under section

22 133(b)(2)(B), may be used to provide,

23 through the one-stop delivery system in24 volved, work support activities designed to

25 assist low-wage workers in retaining and
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1 enhancing employment. The one-stop part2 ners shall coordinate the appropriate pro3 grams and resources of the partners with

4 the activities and resources provided under

5 this subparagraph.

6 ‘‘(ii) ACTIVITIES.—The activities de7 scribed in clause (i) may include the provi8 sion of activities described in this section

9 through the one-stop delivery system in a

10 manner that enhances the opportunities of

11 such workers to participate in the activities,

12 such as the provision of activities described

13 in this section during nontraditional hours

14 and the provision of onsite child care while

15 such activities are being provided.’’; and

16 (B) by adding at the end the following:

17 ‘‘(4) INCUMBENT WORKER TRAINING PRO18 GRAMS.—

19 ‘‘(A) IN GENERAL.—The local board may

20 use up to 10 percent of the funds allocated to the

21 local area involved under section 133(b) to pay

22 for the Federal share of the cost of providing

23 training through an incumbent worker training

24 program carried out in accordance with this

25 paragraph. The Governor or State board may
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1 make recommendations to the local board regard2 ing incumbent worker training with statewide

3 impact.

4 ‘‘(B) TRAINING ACTIVITIES.—The training

5 program for incumbent workers carried out

6 under this paragraph shall be carried out by the

7 local board in conjunction with the employers or

8 groups of employers of such workers for the pur9 pose of assisting such workers in obtaining the

10 skills necessary to retain employment or avert

11 layoffs.

12 ‘‘(C) EMPLOYER SHARE REQUIRED.—

13 ‘‘(i) IN GENERAL.—Employers partici14 pating in the program carried out under

15 this paragraph shall be required to pay the

16 non-Federal share of the costs of providing

17 the training to incumbent workers of the

18 employers. The local board shall establish

19 the non-Federal share of such costs, which

20 may include in-kind contributions. The

21 non-Federal share shall not be less than—

22 ‘‘(I) 10 percent of the costs, for

23 employers with 50 or fewer employees;
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1 ‘‘(II) 25 percent of the costs, for

2 employers with more than 50 employ3 ees but fewer than 100 employees; and

4 ‘‘(III) 50 percent of the costs, for

5 employers with 100 or more employees.

6 ‘‘(ii) CALCULATION OF EMPLOYER

7 SHARE.—The non-Federal share paid by

8 such an employer may include the amount

9 of the wages paid by the employer to a

10 worker while the worker is attending a

11 training program under this paragraph.’’.

12 SEC. 122. PERFORMANCE ACCOUNTABILITY SYSTEM.

13 (a) STATE PERFORMANCE MEASURES.—

14 (1) INDICATORS OF PERFORMANCE.—Section

15 136(b)(2)(A) (29 U.S.C. 2871(b)(2)(A)) is amended—

16 (A) in clause (i)—

17 (i) in the matter preceding subclause

18 (I), by striking ‘‘and (for participants who

19 are eligible youth age 19 through 21) for

20 youth activities authorized under section

21 129’’;

22 (ii) by striking subclause (III) and in23 serting the following:

24 ‘‘(III) increases in earnings from

25 unsubsidized employment; and’’; and
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1 (iii) in subclause (IV), by striking ‘‘,

2 or by participants’’ and all that follows

3 through ‘‘unsubsidized employment’’; and

4 (B) by striking clause (ii) and inserting the

5 following:

6 ‘‘(ii) CORE INDICATORS FOR ELIGIBLE

7 YOUTH.—The core indicators of performance

8 for youth activities authorized under section

9 129 shall consist of—

10 ‘‘(I) entry into employment, edu11 cation or advanced training, or mili12 tary service;

13 ‘‘(II) school retention, and attain14 ment of secondary school diplomas or

15 their recognized equivalents and of

16 postsecondary certificates; and

17 ‘‘(III) literacy or numeracy

18 gains.’’.

19 (2) ADDITIONAL INDICATORS.—Section

20 136(b)(2)(C) (29 U.S.C. 2871(b)(2)(C)) is amended to

21 read as follows:

22 ‘‘(C) ADDITIONAL INDICATORS.—A State

23 may identify in the State plan additional indi24 cators for workforce investment activities under

25 this subtitle, including indicators identified in
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1 collaboration with State business and industry

2 associations, with employee representatives where

3 applicable, and with local boards, to measure the

4 performance of the workforce investment system

5 in serving the workforce needs of business and

6 industry in the State.’’.

7 (3) LEVELS OF PERFORMANCE.—Section

8 136(b)(3)(A) (29 U.S.C. 2871(b)(3)(A)) is amended—

9 (A) in clause (iii)—

10 (i) in the heading, by striking ‘‘FOR

11 FIRST 3 YEARS’’;

12 (ii) by striking ‘‘and the customer sat13 isfaction indicator of performance, for the

14 first 3’’ and inserting ‘‘described in clauses

15 (i) and (ii) of paragraph (2)(A) and the

16 customer satisfaction indicator of perform17 ance, for the first 2’’; and

18 (iii) by inserting at the end the fol19 lowing: ‘‘Agreements on levels of perform20 ance for each of the core indicators of per21 formance for the third and fourth program

22 years covered by the State plan shall be

23 reached prior to the beginning of the third

24 program year covered by the State plan,
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1 and incorporated as a modification to the

2 State plan.’’;

3 (B) in clause (iv)—

4 (i) in the matter preceding subclause

5 (I), by striking ‘‘or (v)’’;

6 (ii) in subclause (II)—

7 (I) by striking ‘‘taking into ac8 count’’ and inserting ‘‘and shall ensure

9 that the levels involved are adjusted,

10 using objective statistical methods,

11 based on’’;

12 (II) by inserting ‘‘(such as dif13 ferences in unemployment rates and

14 job losses or gains in particular indus15 tries)’’ after ‘‘economic conditions’’;

16 (III) by inserting ‘‘(such as indi17 cators of poor work history, lack of

18 work experience, lack of educational or

19 occupational skills attainment, disloca20 tion from high-wage and benefit em21 ployment, low levels of literacy or

22 English proficiency, disability status,

23 homelessness, ex-offender status, and

24 welfare dependency)’’ after ‘‘program’’;

25 and
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1 (IV) by striking ‘‘and’’ at the end;

2 (iii) in subclause (III), by striking the

3 period and inserting ‘‘; and’’; and

4 (iv) by adding at the end the following:

5 ‘‘(IV) the extent to which the levels

6 involved will assist the State in meet7 ing the national goals described in

8 clause (v).’’;

9 (C) by striking clause (v) and inserting the

10 following:

11 ‘‘(v) ESTABLISHMENT OF NATIONAL

12 GOALS.—In order to promote enhanced per13 formance outcomes on the performance

14 measures and to facilitate the process of

15 reaching agreements with the States under

16 clause (iii) and to measure systemwide per17 formance for the one-stop delivery systems

18 of the States, the Secretary shall establish

19 long-term national goals for the adjusted

20 levels of performance for that systemwide

21 performance to be achieved by the programs

22 assisted under chapters 4 and 5 on the core

23 indicators of performance described in sub24 paragraphs (A) and (B) of subsection

25 (b)(2). Such goals shall be established in ac-
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1 cordance with the Government Performance

2 and Results Act of 1993 in consultation

3 with the States and other appropriate par4 ties.’’; and

5 (D) in clause (vi)—

6 (i) by striking ‘‘or (v)’’; and

7 (ii) by striking ‘‘with the representa8 tives described in subsection (i)’’ and insert9 ing ‘‘with the States and other interested

10 parties’’.

11 (b) LOCAL PERFORMANCE MEASURES.—Section

12 136(c)(3) (29 U.S.C. 2871(c)(3)) is amended—

13 (1) by striking ‘‘shall take into account’’ and in14 serting ‘‘shall ensure that the levels involved are ad15 justed, using objective statistical methods, based on’’;

16 (2) by inserting ‘‘characteristics (such as unem17 ployment rates and job losses or gains in particular

18 industries)’’ after ‘‘economic’’; and

19 (3) by inserting ‘‘characteristics (such as indica20 tors of poor work history, lack of work experience,

21 lack of educational and occupational skills attain22 ment, dislocation from high-wage and benefit employ23 ment, low levels of literacy or English proficiency,

24 disability status, homelessness, ex-offender status, and

25 welfare dependency)’’ after ‘‘demographic’’.
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1 (c) REPORT.—Section 136(d) (29 U.S.C. 2871(d)) is

2 amended—

3 (1) in paragraph (1), by adding at the end the

4 following: ‘‘In the case of a State or local area that

5 chooses to expend funds for activities under subsection

6 (a)(3)(A)(i) or (e)(1)(A)(xi), respectively, of section

7 134, the report also shall include the amount of such

8 funds so expended and the percentage that such funds

9 are of the funds available for activities under section

10 134.’’;

11 (2) in paragraph (2)—

12 (A) in subparagraph (E)—

13 (i) by striking ‘‘(excluding partici14 pants who received only self-service and in15 formational activities)’’; and

16 (ii) by striking ‘‘and’’ after the semi17 colon;

18 (B) in subparagraph (F)—

19 (i) by inserting ‘‘noncustodial parents

20 with child support obligations, homeless in21 dividuals,’’ after ‘‘displaced homemakers,’’;

22 and

23 (ii) by striking the period and insert24 ing a semicolon; and

25 (C) by adding at the end the following:
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1 ‘‘(G) the number of participants who have

2 received services, other than followup services,

3 authorized under this title;

4 ‘‘(H) the number of participants who have

5 received services, other than followup services,

6 authorized under this title, in the form of core

7 services described in section 134(d)(2), intensive

8 services described in section 134(d)(3), and

9 training services described in section 134(d)(4),

10 respectively;

11 ‘‘(I) the number of participants who have

12 received followup services authorized under this

13 title;

14 ‘‘(J) the cost per participant for services au15 thorized under this title; and

16 ‘‘(K) the amount of adult and dislocated

17 worker funds spent on—

18 ‘‘(i) core, intensive, and training serv19 ices, respectively; and

20 ‘‘(ii) services provided under subsection

21 (a)(3)(A)(i) or (e)(1)(A)(xi) of section 134,

22 if applicable.’’; and

23 (3) by adding at the end the following:

24 ‘‘(4) DATA VALIDATION.—In preparing the re25 ports described in this subsection, the States shall es-
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1 tablish procedures, consistent with guidelines issued

2 by the Secretary, to ensure that the information con3 tained in the reports is valid and reliable.’’.

4 (d) EVALUATION OF STATE PROGRAMS.—Section

5 136(e)(3) (29 U.S.C. 2871(e)(3)) is amended by inserting

6 ‘‘, including information on promoting self-sufficiency and

7 comparable pay between men and women’’ after ‘‘employ8 ers’’.

9 (e) SANCTIONS FOR STATE.—Section 136(g)(1)(B) (29

10 U.S.C. 2871(g)(1)(B)) is amended by striking ‘‘If such fail11 ure continues for a second consecutive year’’ and inserting

12 ‘‘If a State performs at less than 80 percent of the adjusted

13 level of performance for core indicators of performance de14 scribed in subsection (b)(2)(A) for 2 consecutive years’’.

15 (f) SANCTIONS FOR LOCAL AREA.—Section

16 136(h)(2)(A) (29 U.S.C. 2871(h)(2)(A)) is amended—

17 (1) in the matter preceding clause (i), by strik18 ing ‘‘If such failure continues for a second consecutive

19 year’’ and inserting ‘‘If a local area performs at less

20 than 80 percent of the adjusted level of performance

21 for core indicators of performance described in sub22 section (b)(2)(A) for 2 consecutive years’’;

23 (2) in clause (ii), by striking ‘‘or’’ after the semi24 colon;
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1 (3) by redesignating clause (iii) as clause (iv);

2 and

3 (4) by inserting after clause (ii) the following:

4 ‘‘(iii) redesignate the local area in ac5 cordance with section 116(b)(2); or’’.

6 (g) INCENTIVE GRANTS.—Section 136(i) (29 U.S.C.

7 2871(i)) is amended to read as follows:

8 ‘‘(i) INCENTIVE GRANTS FOR LOCAL AREAS.—

9 ‘‘(1) IN GENERAL.—From funds reserved under

10 sections 128(a) and 133(a)(1), the Governor involved

11 shall award incentive grants to local areas for per12 formance described in paragraph (2).

13 ‘‘(2) BASIS.—The Governor shall award the

14 grants on the basis that the local areas—

15 ‘‘(A) have exceeded the performance meas16 ures established under subsection (c)(2) relating

17 to indicators described in subsection

18 (b)(3)(A)(iii); or

19 ‘‘(B) have—

20 ‘‘(i) met the performance measures es21 tablished under subsection (c)(2) relating to

22 indicators described in subsection

23 (b)(3)(A)(iii); and

24 ‘‘(ii) demonstrated—
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1 ‘‘(I) exemplary coordination of

2 one-stop partner programs described in

3 section 121 with statewide economic

4 development or business needs;

5 ‘‘(II) exemplary performance in

6 the one-stop partner programs in the

7 State in serving hard-to-serve popu8 lations; or

9 ‘‘(III) effective—

10 ‘‘(aa) coordination of mul11 tiple systems for the one-stop

12 partner programs into a com13 prehensive workforce investment

14 system, including coordination of

15 employment services under the

16 Wagner-Peyser Act (29 U.S.C. 49

17 et seq.) and core services under

18 section 134(d)(2);

19 ‘‘(bb) expansion of access to

20 training through the one-stop

21 partner programs, including ex22 pansion of access through in23 creased leveraging of resources

24 other than those provided through

25 programs under this title;
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1 ‘‘(cc) implementation of co2 ordination activities relating to

3 the one-stop partner programs,

4 through agreements with relevant

5 regional or local agencies and of6 fices, including those responsible

7 for programs under the Adult

8 Education and Family Literacy

9 Act (20 U.S.C. 9201 et seq.) and

10 the Rehabilitation Act of 1973 (29

11 U.S.C. 701 et seq.);

12 ‘‘(dd) regional coordination

13 relating to the one-stop partner

14 programs, with other local boards

15 or local areas;

16 ‘‘(ee) alignment of manage17 ment information systems to inte18 grate participant information

19 across the one-stop partner pro20 grams; or

21 ‘‘(ff) integration of perform22 ance information systems and

23 common measures for account24 ability across the one-stop partner

25 programs.
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1 ‘‘(3) USE OF FUNDS.—The funds awarded to a

2 local area under this subsection may be used to carry

3 out activities authorized for local areas in programs

4 carried out under this title, the Adult Education and

5 Family Literacy Act, and the Rehabilitation Act of

6 1973 (referred to in this subsection as ‘workforce and

7 education programs’), and such innovative projects or

8 programs that increase coordination and enhance

9 service to participants in such programs, particularly

10 hard-to-serve populations, as may be approved by the

11 Governor, including—

12 ‘‘(A) activities that support business needs,

13 especially for incumbent workers and enhancing

14 opportunities for retention and advancement;

15 ‘‘(B) activities that support linkages be16 tween the workforce and education programs,

17 and secondary, postsecondary, or career and

18 technical education programs, including activi19 ties under the Carl D. Perkins Vocational and

20 Technical Education Act of 1998 (20 U.S.C.

21 2301 et seq.), the Adult Education and Family

22 Literacy Act (20 U.S.C. 9201 et seq.), and the

23 Rehabilitation Act of 1973 (29 U.S.C. 701 et

24 seq.);
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1 ‘‘(C) activities that support regional eco2 nomic development plans that support high3 wage, high-skill, or high-demand occupations

4 leading to self-sufficiency;

5 ‘‘(D) activities that coordinate the workforce

6 and education programs with other Federal and

7 State programs related to the workforce and edu8 cation programs;

9 ‘‘(E) activities that support the development

10 of an integrated performance information system

11 that includes common measures for one-stop

12 partner programs described in section 121;

13 ‘‘(F) activities that align management in14 formation systems with integrated performance

15 information across the one-stop partner pro16 grams;

17 ‘‘(G) activities that support activities to im18 prove performance in workforce and education

19 programs and program coordination of workforce

20 and education programs; or

21 ‘‘(H) activities that leverage additional

22 training resources, other than those provided

23 through workforce and education programs, for

24 adults and youth.
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1 ‘‘(4) TECHNICAL ASSISTANCE.—The Governor

2 shall reserve 4 percent of the funds available for

3 grants under this subsection to provide technical as4 sistance to local areas—

5 ‘‘(A) to replicate best practices for workforce

6 and education programs;

7 ‘‘(B) to develop integrated performance in8 formation systems for the one-stop partner pro9 grams;

10 ‘‘(C) to strengthen coordination between

11 workforce and education programs, and other

12 education programs; or

13 ‘‘(D) to strengthen regional economic devel14 opment.’’.

15 (h) USE OF CORE MEASURES IN OTHER DEPARTMENT

16 OF LABOR PROGRAMS.—Section 136 (29 U.S.C. 2871) is

17 amended by adding at the end the following:

18 ‘‘(j) USE OF CORE INDICATORS FOR OTHER PRO19 GRAMS.—In addition to the programs carried out under

20 chapters 4 and 5, and consistent with the requirements of

21 the applicable authorizing laws, the Secretary shall use the

22 indicators of performance described in subparagraphs (A)

23 and (B) of subsection (b)(2) to assess the effectiveness of the

24 programs described in clauses (i), (ii), and (vi) of section

25 121(b)(1)(B) that are carried out by the Secretary.’’.
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1 (i) PREVIOUS DEFINITIONS OF CORE INDICATORS.—

2 Section 502 (29 U.S.C. 9272) is repealed.

3 SEC. 123. AUTHORIZATION OF APPROPRIATIONS.

4 (a) YOUTH ACTIVITIES.—Section 137(a) (29 U.S.C.

5 2872(a)) is amended by striking ‘‘such sums as may be nec6 essary for each of fiscal years 1999 through 2003’’ and in7 serting ‘‘such sums as may be necessary for each of fiscal

8 years 2006 through 2011’’.

9 (b) ADULT EMPLOYMENT AND TRAINING ACTIVI10 TIES.—Section 137(b) (29 U.S.C. 2872(b)) is amended by

11 striking ‘‘such sums as may be necessary for each of fiscal

12 years 1999 through 2003’’ and inserting ‘‘such sums as may

13 be necessary for each of fiscal years 2006 through 2011’’.

14 (c) DISLOCATED WORKER EMPLOYMENT AND TRAIN15 ING ACTIVITIES.—Section 137(c) (29 U.S.C. 2872(c)) is

16 amended by striking ‘‘such sums as may be necessary for

17 each of fiscal years 1999 through 2003’’ and inserting ‘‘such

18 sums as may be necessary for each of fiscal years 2006

19 through 2011’’.

20 Subtitle C—Job Corps

21 SEC. 131. JOB CORPS.

22 (a) ELIGIBILITY.—Section 144(3) (29 U.S.C. 2884(3))

23 is amended by adding at the end the following:
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1 ‘‘(F) A child eligible for assistance under

2 section 477 of the Social Security Act (42 U.S.C.

3 677).’’.

4 (b) IMPLEMENTATION OF STANDARDS AND PROCE5 DURES.—Section 145(a)(3) (29 U.S.C. 2885(a)(3)) is

6 amended—

7 (1) in subparagraph (B), by striking ‘‘and’’ after

8 the semicolon;

9 (2) in subparagraph (C), by striking the period

10 and inserting ‘‘; and’’; and

11 (3) by adding at the end the following:

12 ‘‘(D) child welfare agencies that are respon13 sible for children in foster care and children eli14 gible for assistance under section 477 of the So15 cial Security Act (42 U.S.C. 677).’’.

16 (c) INDUSTRY COUNCILS.—Section 154(b) (29 U.S.C.

17 2894(b)) is amended—

18 (1) in paragraph (1)(A), by striking ‘‘local and

19 distant’’; and

20 (2) by adding at the end the following:

21 ‘‘(3) EMPLOYERS OUTSIDE OF LOCAL AREA.—

22 The industry council may include, or otherwise pro23 vide for consultation with, employers from outside the

24 local area who are likely to hire a significant number

25 of enrollees from the Job Corps center.
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1 ‘‘(4) SPECIAL RULE FOR SINGLE LOCAL AREA

2 STATES.—In the case of a single local area State des3 ignated under section 116(b), the industry council

4 shall include a representative of the State Board.’’.

5 (d) INDICATORS OF PERFORMANCE.—Section 159 (29

6 U.S.C. 2899) is amended—

7 (1) in subsection (c)—

8 (A) by striking paragraph (1) and inserting

9 the following:

10 ‘‘(1) PERFORMANCE INDICATORS.—The Secretary

11 shall annually establish expected levels of performance

12 for Job Corps centers and the Job Corps program re13 lating to each of the core indicators of performance

14 for youth activities identified in section

15 136(b)(2)(A)(ii).’’;

16 (B) in paragraph (2), by striking ‘‘meas17 ures’’ each place it appears and inserting ‘‘indi18 cators’’; and

19 (C) in paragraph (3)—

20 (i) in the first sentence, by striking

21 ‘‘core performance measures, as compared to

22 the expected performance level for each per23 formance measure’’ and inserting ‘‘perform24 ance indicators described in paragraph (1),

25 as compared to the expected level of per-
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1 formance established under paragraph (1)

2 for each performance measure’’; and

3 (ii) in the second sentence, by striking

4 ‘‘measures’’ each place it appears and in5 serting ‘‘indicators’’; and

6 (2) in subsection (f)(2), in the first sentence, by

7 striking ‘‘core performance measures’’ and inserting

8 ‘‘indicators of performance’’.

9 (e) AUTHORIZATION OF APPROPRIATIONS.—Section

10 161 (29 U.S.C. 2901) is amended by striking ‘‘1999 through

11 2003’’ and inserting ‘‘2006 through 2011’’.

12 Subtitle D—National Programs

13 SEC. 141. NATIVE AMERICAN PROGRAMS.

14 (a) ADVISORY COUNCIL.—Section 166(h)(4)(C) (29

15 U.S.C. 2911(h)(4)(C)) is amended to read as follows:

16 ‘‘(C) DUTIES.—The Council shall advise the

17 Secretary on the operation and administration

18 of the programs assisted under this section, in19 cluding the selection of the individual appointed

20 as head of the unit established under paragraph

21 (1).’’.

22 (b) ASSISTANCE TO UNIQUE POPULATIONS IN ALASKA

23 AND HAWAII.—Section 166(j) (29 U.S.C. 2911(j)) is

24 amended to read as follows:
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1 ‘‘(j) ASSISTANCE TO UNIQUE POPULATIONS IN ALASKA

2 AND HAWAII.—

3 ‘‘(1) IN GENERAL.—Notwithstanding any other

4 provision of law, the Secretary is authorized to pro5 vide assistance to the Cook Inlet Tribal Council, In6 corporated, and the University of Hawaii at Maui,

7 for the unique populations who reside in Alaska or

8 Hawaii, to improve job training and workforce in9 vestment activities.

10 ‘‘(2) AUTHORIZATION OF APPROPRIATIONS.—

11 There are authorized to be appropriated to carry out

12 this subsection such sums as may be necessary for

13 each of fiscal years 2006 through 2011.’’.

14 (c) PERFORMANCE INDICATORS.—Section 166 (29

15 U.S.C. 2911) is amended by adding at the end the following:

16 ‘‘(k) PERFORMANCE INDICATORS.—

17 ‘‘(1) DEVELOPMENT OF INDICATORS.—The Sec18 retary, in consultation with the Native American

19 Employment and Training Council, shall develop a

20 set of performance indicators and standards which

21 shall be applicable to programs under this section.

22 ‘‘(2) SPECIAL CONSIDERATIONS.—Such perform23 ance indicators and standards shall take into

24 account—
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1 ‘‘(A) the purpose of this section as described

2 in subsection (a)(1);

3 ‘‘(B) the needs of the groups served by this

4 section, including the differences in needs among

5 such groups in various geographic service areas;

6 and

7 ‘‘(C) the economic circumstances of the com8 munities served, including differences in cir9 cumstances among various geographic service

10 areas.’’.

11 SEC. 142. MIGRANT AND SEASONAL FARMWORKER PRO12 GRAMS.

13 Section 167 (29 U.S.C. 2912) is amended—

14 (1) in subsection (a), by striking ‘‘2’’ and insert15 ing ‘‘2 to 4’’;

16 (2) in subsection (b), by inserting ‘‘and deliver’’

17 after ‘‘administer’’;

18 (3) in subsection (c)—

19 (A) in paragraph (1), by striking ‘‘2-year’’

20 and inserting ‘‘4-year’’;

21 (B) in paragraph (2)—

22 (i) in subparagraph (A)—

23 (I) by inserting ‘‘describe the pop24 ulation to be served and’’ before ‘‘iden25 tify’’; and
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1 (II) by inserting ‘‘, including up2 graded employment in agriculture’’ be3 fore the semicolon;

4 (ii) in subparagraph (B), by striking

5 ‘‘and’’ at the end;

6 (iii) in subparagraph (C), by striking

7 the period and inserting a semicolon; and

8 (iv) by adding at the end the following:

9 ‘‘(D) describe the availability and accessi10 bility of local resources such as supportive serv11 ices, services provided through one-stop delivery

12 systems, and education and training services,

13 and how the resources can be made available to

14 the population to be served; and

15 ‘‘(E) describe the plan for providing services

16 under this section, including strategies and sys17 tems for outreach, case management, assessment,

18 and delivery through one-stop delivery systems.’’;

19 and

20 (C) by striking paragraph (4) and inserting

21 the following:

22 ‘‘(4) COMPETITION.—The competition for grants

23 made and contracts entered into under this section

24 shall be conducted every 2 to 4 years.’’;
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1 (4) in subsection (d), by striking ‘‘include’’ and

2 all that follows and inserting ‘‘include outreach, em3 ployment, training, educational assistance, literary

4 assistance, English language and literacy instruction,

5 pesticide and worker safety training, housing (includ6 ing permanent housing), supportive services, school

7 dropout prevention activities, followup services for

8 those individuals placed in employment, self-employ9 ment and related business or micro-enterprise devel10 opment or education as needed by eligible individuals

11 and as identified pursuant to the plan required by

12 subsection (c), customized career and technical edu13 cation in occupations that will lead to higher wages,

14 enhanced benefits, and long-term employment in agri15 culture or another area, and technical assistance to

16 improve coordination of services and implement best

17 practices relating to service delivery through one-stop

18 delivery systems.’’;

19 (5) in subsection (f), by striking ‘‘take into ac20 count the economic circumstances and demographics

21 of eligible migrant and seasonal farmworkers.’’ and

22 inserting ‘‘are adjusted based on the economic and de23 mographic barriers to employment of eligible migrant

24 and seasonal farmworkers.’’;
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1 (6) in subsection (g), by striking ‘‘(enacted by

2 the Single Audit Act of 1984)’’;

3 (7) in subsection (h)—

4 (A) by striking paragraph (1) and inserting

5 the following:

6 ‘‘(1) DEPENDENT.—The term ‘dependent’, used

7 with respect to an eligible migrant or seasonal farm8 worker, means an individual who—

9 ‘‘(A) was claimed as a dependent on the

10 farmworker’s Federal income tax return for the

11 previous year;

12 ‘‘(B) is the spouse of the farmworker; or

13 ‘‘(C) is able to establish—

14 ‘‘(i) a relationship as the

15 farmworker’s—

16 ‘‘(I) biological or legally adopted

17 child, grandchild, or great-grandchild;

18 ‘‘(II) foster child;

19 ‘‘(III) stepchild;

20 ‘‘(IV) brother, sister, half-brother,

21 half-sister, stepbrother, or stepsister;

22 ‘‘(V) parent, grandparent, or

23 other direct ancestor (but not foster

24 parent);

25 ‘‘(VI) stepfather or stepmother;
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1 ‘‘(VII) uncle or aunt;

2 ‘‘(VIII) niece or nephew; or

3 ‘‘(IX) father-in-law, mother-in4 law, son-in-law, daughter-in-law,

5 brother-in-law, or sister-in-law; and

6 ‘‘(ii) the receipt of over half of the in7 dividual’s total support from the farm8 worker’s family during the eligibility deter9 mination period for the farmworker.’’; and

10 (B) in paragraph (4)(A)—

11 (i) by striking ‘‘disadvantaged person’’

12 and inserting ‘‘low-income individual’’; and

13 (ii) by inserting ‘‘and who faces mul14 tiple barriers to self-sufficiency’’ before the

15 semicolon;

16 (8) by redesignating subsection (h) as subsection

17 (i); and

18 (9) by inserting before subsection (i) the fol19 lowing:

20 ‘‘(h) FUNDING ALLOCATION.—From the funds appro21 priated and made available to carry out this section, the

22 Secretary shall reserve not more than 1 percent for discre23 tionary purposes, such as providing technical assistance to

24 eligible entities.’’
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1 SEC. 143. VETERANS’ WORKFORCE INVESTMENT PRO2 GRAMS.

3 Section 168(a)(3) (29 U.S.C. 2913(a)(3)) is

4 amended—

5 (1) in subparagraph (A), by inserting ‘‘, includ6 ing services provided by one-stop operators and one7 stop partners’’ before the semicolon; and

8 (2) in subparagraph (C), by striking ‘‘section

9 134(c)’’ and inserting ‘‘section 121(e)’’.

10 SEC. 144. YOUTH CHALLENGE GRANTS.

11 Section 169 (29 U.S.C. 2914) is amended to read as

12 follows:

13 ‘‘SEC. 169. YOUTH CHALLENGE GRANTS.

14 ‘‘(a) IN GENERAL.—Of the amounts reserved by the

15 Secretary under section 127(b)(1)(A) for a fiscal year—

16 ‘‘(1) the Secretary shall use not less than 80 per17 cent to award competitive grants under subsection

18 (b); and

19 ‘‘(2) the Secretary may use not more than 20

20 percent to award competitive grants under subsection

21 (c).

22 ‘‘(b) COMPETITIVE GRANTS TO STATES AND LOCAL

23 AREAS.—

24 ‘‘(1) ESTABLISHMENT.—From the funds de25 scribed in subsection (a)(1), the Secretary shall award

26 competitive grants to eligible entities to carry out ac-
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1 tivities authorized under this subsection to assist eli2 gible youth in acquiring the skills, credentials, and

3 employment experience necessary to achieve the per4 formance outcomes for youth described in section 136.

5 ‘‘(2) ELIGIBLE ENTITY.—In this subsection, the

6 term ‘eligible entity’ means—

7 ‘‘(A) a State or consortium of States;

8 ‘‘(B) a local board or consortium of local

9 boards;

10 ‘‘(C) a recipient of a grant under section

11 166 (relating to Native American programs); or

12 ‘‘(D) a public or private entity (including

13 a consortium of such entities) with expertise in

14 the provision of youth activities, applying in

15 partnership with a local board or consortium of

16 local boards.

17 ‘‘(3) APPLICATIONS.—To be eligible to receive a

18 grant under this subsection, an eligible entity shall

19 submit an application to the Secretary at such time,

20 in such manner, and containing such information as

21 the Secretary may require, including—

22 ‘‘(A) a description of the activities the eligi23 ble entity will provide to eligible youth under

24 this subsection, and how the eligible entity will

25 collaborate with State and local workforce invest-
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1 ment systems established under this title in the

2 provision of such activities;

3 ‘‘(B) a description of the programs of dem4 onstrated effectiveness on which the provision of

5 the activities under subparagraph (A) are based,

6 and a description of how such activities will ex7 pand the base of knowledge relating to the provi8 sion of activities for youth;

9 ‘‘(C) a description of the State, local, and

10 private resources that will be leveraged to pro11 vide the activities described under subparagraph

12 (A) in addition to funds provided under this

13 subsection, and a description of the extent of the

14 involvement of employers in the activities;

15 ‘‘(D) the levels of performance the eligible

16 entity expects to achieve with respect to the indi17 cators of performance for youth specified in sec18 tion 136(b)(2)(A)(ii); and

19 ‘‘(E) except in the case of an application

20 submitted by an eligible entity described in

21 paragraph (2)(C)—

22 ‘‘(i) an assurance that the State board

23 of each State in which the proposed activi24 ties are to be carried out had the oppor25 tunity to review the application; and
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1 ‘‘(ii) the comments, if any, of the af2 fected State boards on the application.

3 ‘‘(4) FACTORS FOR AWARD.—

4 ‘‘(A) IN GENERAL.—In awarding grants

5 under this subsection the Secretary shall

6 consider—

7 ‘‘(i) the quality of the proposed activi8 ties;

9 ‘‘(ii) the goals to be achieved;

10 ‘‘(iii) the likelihood of successful imple11 mentation;

12 ‘‘(iv) the extent to which the proposed

13 activities are based on proven strategies or

14 the extent to which the proposed activities

15 will expand the base of knowledge relating

16 to the provision of activities for eligible

17 youth;

18 ‘‘(v) the extent of collaboration with the

19 State and local workforce investment sys20 tems in carrying out the proposed activities;

21 ‘‘(vi) the extent of employer involve22 ment in the proposed activities;

23 ‘‘(vii) whether there are other Federal

24 and non-Federal funds available for similar

25 activities to the proposed activities, and the
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1 additional State, local, and private re2 sources that will be provided to carry out

3 the proposed activities;

4 ‘‘(viii) the quality of the proposed ac5 tivities in meeting the needs of the eligible

6 youth to be served; and

7 ‘‘(ix) the extent to which the proposed

8 activities will expand on services provided

9 under section 129.

10 ‘‘(B) EQUITABLE GEOGRAPHIC DISTRIBU11 TION.—In awarding grants under this subsection

12 the Secretary shall ensure an equitable distribu13 tion of such grants across geographically diverse

14 areas.

15 ‘‘(5) USE OF FUNDS.—

16 ‘‘(A) IN GENERAL.—An eligible entity that

17 receives a grant under this subsection shall use

18 the grant funds to carry out activities that are

19 designed to assist eligible youth in acquiring the

20 skills, credentials, and employment experience

21 that are necessary to succeed in the labor market,

22 including the activities identified in section 129.

23 ‘‘(B) ACTIVITIES.—The activities carried

24 out pursuant to subparagraph (A) may include

25 the following:
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1 ‘‘(i) Training and internships for out2 of-school youth in sectors of the economy ex3 periencing, or projected to experience, high

4 growth.

5 ‘‘(ii) Dropout prevention activities for

6 in-school youth.

7 ‘‘(iii) Activities designed to assist spe8 cial youth populations, such as court-in9 volved youth and youth with disabilities.

10 ‘‘(iv) Activities combining remediation

11 of academic skills, work readiness training,

12 and work experience, and including link13 ages to postsecondary education, apprentice14 ships, and career-ladder employment.

15 ‘‘(v) Activities, including work experi16 ence, paid internships, and entrepreneurial

17 training, in areas where there is a migra18 tion of youth out of the areas.

19 ‘‘(C) PARTICIPANT ELIGIBILITY.—Youth

20 who are 14 years of age through 21 years of age,

21 as of the time the eligibility determination is

22 made, may be eligible to participate in activities

23 carried out under this subsection.

24 ‘‘(6) GRANT PERIOD.—The Secretary shall make

25 a grant under this subsection for a period of 2 years
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1 and may renew the grant, if the eligible entity has

2 performed successfully, for a period of not more than

3 3 succeeding years.

4 ‘‘(7) MATCHING FUNDS REQUIRED.—The Sec5 retary shall require that an eligible entity that re6 ceives a grant under this subsection provide non-Fed7 eral matching funds in an amount to be determined

8 by the Secretary that is not less than 10 percent of

9 the cost of activities carried out under the grant. The

10 Secretary may require that such non-Federal match11 ing funds be provided in cash resources, noncash re12 sources, or a combination of cash and noncash re13 sources.

14 ‘‘(8) EVALUATION.—The Secretary shall reserve

15 not more than 3 percent of the funds described in sub16 section (a)(1) to provide technical assistance to, and

17 conduct evaluations of (using appropriate techniques

18 as described in section 172(c)), the projects funded

19 under this subsection.

20 ‘‘(c) COMPETITIVE FIRST JOBS FOR YOUTH.—

21 ‘‘(1) ELIGIBLE ENTITY.—In this subsection, the

22 term ‘eligible entity’ means a consortium that—

23 ‘‘(A) shall include—

24 ‘‘(i)(I) a State board; or

25 ‘‘(II) a local board; and
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1 ‘‘(ii) a consortium of businesses, in2 cluding small businesses;

3 ‘‘(B) may include 1 or more—

4 ‘‘(i) local educational agencies;

5 ‘‘(ii) institutions of higher education;

6 ‘‘(iii) business intermediaries;

7 ‘‘(iv) community-based organizations;

8 or

9 ‘‘(v) entities carrying out programs

10 under the Act of August 16, 1937 (com11 monly known as the ‘National Apprentice12 ship Act’; 50 Stat. 664, chapter 663; 29

13 U.S.C. 50 et seq.); and

14 ‘‘(C) submits an application under para15 graph (3).

16 ‘‘(2) AUTHORIZATION.—From the funds de17 scribed in subsection (a)(2), the Secretary may award

18 grants to eligible entities to provide activities that

19 will assist youth in preparing for, entering, and re20 taining employment.

21 ‘‘(3) APPLICATIONS.—To be eligible to receive a

22 grant under this subsection, an entity shall submit an

23 application to the Secretary at such time, in such

24 manner, and containing such information as the Sec25 retary may require, including—
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1 ‘‘(A) a description of the area to be served,

2 including information demonstrating that the

3 area has—

4 ‘‘(i) high unemployment among indi5 viduals ages 16 through 21;

6 ‘‘(ii) high unemployment among youth

7 who are individuals with disabilities; or

8 ‘‘(iii) high job loss;

9 ‘‘(B) a description of the proposed program,

10 including activities, compensation, and expected

11 outcomes;

12 ‘‘(C) an assurance that the participating

13 employers in the proposed program are located

14 in the area to be served, and a demonstration of

15 the commitment of the participating employers

16 to hire individuals who—

17 ‘‘(i) have successfully completed the

18 program; or

19 ‘‘(ii) continue to work in the program;

20 ‘‘(D) demographic information about the

21 targeted populations to be served by the proposed

22 program, including information on gender, age,

23 and race;
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1 ‘‘(E) a description of how the proposed pro2 gram will address the barriers to employment of

3 the targeted populations;

4 ‘‘(F) a description of the manner in which

5 the eligible entity will evaluate the program; and

6 ‘‘(G) a description of the ability of the eligi7 ble entity to carry out and expand the program

8 after the expiration of the grant period.

9 ‘‘(4) EQUITABLE DISTRIBUTION TO RURAL

10 AREAS.—In awarding grants under this subsection,

11 the Secretary shall ensure an equitable distribution of

12 such grants to rural areas.

13 ‘‘(5) USE OF FUNDS.—

14 ‘‘(A) IN GENERAL.—An eligible entity that

15 receives a grant under this subsection shall use

16 the grant funds to carry out—

17 ‘‘(i) activities that will assist youth in

18 preparing for, entering, and retaining em19 ployment, including the activities described

20 in section 129 for out-of-school youth (as de21 fined in section 129(a));

22 ‘‘(ii) activities designed to strengthen

23 academic skills that would assist—

24 ‘‘(I) in-school youth (as so de25 fined) to be successful in secondary
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1 school and continue such participants’

2 education; and

3 ‘‘(II) out-of-school youth (as so de4 fined) to earn a high school diploma or

5 its recognized equivalent, or prepare

6 for postsecondary programs;

7 ‘‘(iii) activities designed to assist youth

8 in economically distressed areas;

9 ‘‘(iv) subsidized employment for not

10 more than 9 months that provides direct ex11 perience in a sector that has opportunities

12 for full-time employment;

13 ‘‘(v) career and academic advisement,

14 activities to promote financial literacy and

15 the attainment of entrepreneurial skills, and

16 provision of labor market information on

17 high-skill, high-wage, and nontraditional

18 occupations; and

19 ‘‘(vi) such other activities as the Sec20 retary determines are appropriate to ensure

21 that youth entering the workforce have the

22 skills needed by employers.

23 ‘‘(B) PARTICIPANT ELIGIBILITY.—An indi24 vidual who is not younger than 16 years of age

25 and not older than 21 years of age, as of the
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1 time the eligibility determination is made, who

2 faces barriers to employment, including an indi3 vidual who is an individual with a disability,

4 may be eligible to participate in activities under

5 this subsection.

6 ‘‘(6) SPECIAL RULE.—An eligible entity that re7 ceives a grant under this subsection shall coordinate

8 activities with the designated State agency (as defined

9 in section 7 of the Rehabilitation Act of 1973 (29

10 U.S.C. 705)) and other appropriate State agencies in

11 the State to be served.

12 ‘‘(7) MATCHING FUNDS REQUIRED.—The Sec13 retary shall require that an eligible entity that re14 ceives a grant under this subsection provide non-Fed15 eral matching funds in an amount to be determined

16 by the Secretary that is not less than 10 percent of

17 the cost of activities carried out with assistance pro18 vided under the grant. The Secretary may require

19 that such non-Federal matching funds be provided in

20 cash resources, noncash resources, or a combination of

21 cash and noncash resources.

22 ‘‘(8) EVALUATIONS.—The Secretary may require

23 that an eligible entity that receives a grant under this

24 subsection participate in an evaluation of activities

25 carried out under this subsection, including an eval-
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1 uation using the techniques described in section

2 172(c).’’.

3 SEC. 145. TECHNICAL ASSISTANCE.

4 Section 170 (29 U.S.C. 2915) is amended—

5 (1) in subsection (a)(1), by—

6 (A) inserting ‘‘the training of staff pro7 viding rapid response services, the training of

8 other staff of recipients of funds under this title,

9 the training of members of State boards and

10 local boards, peer review activities under this

11 title,’’ after ‘‘localities,’’; and

12 (B) striking ‘‘from carrying out activities’’

13 and all that follows through the period and in14 serting ‘‘to implement the amendments made by

15 the Workforce Investment Act Amendments of

16 2005.’’;

17 (2) in subsection (a)(2), by adding at the end the

18 following: ‘‘The Secretary shall also hire staff quali19 fied to provide the assistance described in paragraph

20 (1).’’;

21 (3) in subsection (b)(2), by striking the last sen22 tence and inserting ‘‘Such projects shall be adminis23 tered by the Employment and Training Administra24 tion.’’; and

25 (4) by adding at the end the following:
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1 ‘‘(c) BEST PRACTICES COORDINATION.—The Secretary

2 shall—

3 ‘‘(1) establish a system through which States

4 may share information regarding best practices with

5 regard to the operation of workforce investment ac6 tivities under this Act;

7 ‘‘(2) evaluate and disseminate information re8 garding best practices and identify knowledge gaps;

9 and

10 ‘‘(3) commission research under section 171(c) to

11 address knowledge gaps identified under paragraph

12 (2).’’.

13 SEC. 146. DEMONSTRATION, PILOT, MULTISERVICE, RE14 SEARCH, AND MULTISTATE PROJECTS.

15 (a) DEMONSTRATION AND PILOT PROJECTS.—Section

16 171(b) (29 U.S.C. 2916(b)) is amended—

17 (1) in paragraph (1)—

18 (A) by striking ‘‘Under a’’ and inserting

19 ‘‘Consistent with the priorities specified in the’’;

20 (B) by redesignating subparagraphs (F)

21 through (H) as subparagraphs (H) through (J),

22 respectively;

23 (C) by striking subparagraphs (A) through

24 (E) and inserting the following:
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1 ‘‘(A) projects that assist national employers

2 in connecting with the workforce investment sys3 tem established under this title in order to facili4 tate the recruitment and employment of needed

5 workers for career ladder jobs and to provide in6 formation to such system on skills and occupa7 tions in demand;

8 ‘‘(B) projects that promote the development

9 of systems that will improve the maximum effec10 tiveness of programs carried out under this title;

11 ‘‘(C) projects that focus on opportunities for

12 employment in industries and sectors of indus13 tries that are experiencing, or are likely to expe14 rience, high rates of growth and jobs with wages

15 leading to self-sufficiency;

16 ‘‘(D) projects that focus on collaborations

17 among local boards, institutions of higher edu18 cation, medical facilities, and other community

19 stakeholders, to promote opportunities for dis20 located workers to receive training and related

21 services for employment in the high-demand

22 health care sector;

23 ‘‘(E) projects that focus on career ladder ad24 vancement for nursing care providers, including
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1 faculty education and distance learning pro2 grams;

3 ‘‘(F) computerized, individualized, self4 paced training projects targeted to dislocated,

5 disadvantaged, or incumbent workers utilizing

6 equipment and curriculum designed in partner7 ship with industries for employment in the oper8 ations, repair, and maintenance of high-tech

9 equipment that is used in integrated systems

10 technology;

11 ‘‘(G) projects carried out by States and

12 local areas to test innovative approaches to deliv13 ering employment-related services;’’;

14 (D) in subparagraph (I) (as redesignated by

15 subparagraph (B)), by striking ‘‘and’’ after the

16 semicolon; and

17 (E) by striking subparagraph (J) (as redes18 ignated by subparagraph (B)), and inserting the

19 following:

20 ‘‘(J) projects that provide retention grants,

21 which shall—

22 ‘‘(i) be made to qualified job training

23 programs offering instruction, assessment,

24 or professional coaching, upon placement of

25 a low-income individual trained by the pro-
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1 gram involved in employment with an em2 ployer and retention of the low-income indi3 vidual in that employment with that em4 ployer for a period of 1 year, if that em5 ployment provides the low-income indi6 vidual with an annual salary—

7 ‘‘(I) that is at least $10,000 more

8 than the individual’s federally adjusted

9 income for the previous year; and

10 ‘‘(II) that is not less than twice

11 the poverty line applicable to the indi12 vidual; and

13 ‘‘(ii) be made taking into account the

14 economic benefit received by the Federal

15 Government from the employment and re16 tention of the individual, including the eco17 nomic benefit from tax revenue and de18 creased public subsidies;

19 ‘‘(K) targeted innovation projects that im20 prove access to and delivery of employment and

21 training services, with emphasis given to projects

22 that incorporate advanced technologies to facili23 tate the connection of individuals to the informa24 tion and tools the individuals need to upgrade

25 skills;
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1 ‘‘(L) projects that promote the use of dis2 tance learning, enabling students to take courses

3 through the use of media technology such as vid4 eos, teleconferencing computers, and the Internet;

5 and

6 ‘‘(M) projects that provide comprehensive

7 education and training services, and support

8 services, in coordination with local boards, for

9 populations in targeted high poverty areas where

10 the greatest barriers to employment exist, includ11 ing ex-offenders, out-of-school youth, and public

12 assistance recipient populations.’’; and

13 (2) in paragraph (2)—

14 (A) by striking subparagraph (B); and

15 (B) by redesignating subparagraph (C) as

16 subparagraph (B).

17 (b) MULTISERVICE PROJECTS.—Section 171(c)(2)(B)

18 (29 U.S.C. 2916(c)(2)(B)) is amended to read as follows:

19 ‘‘(B) STUDIES AND REPORTS.—

20 ‘‘(i) NET IMPACT STUDIES AND RE21 PORTS.—

22 ‘‘(I) IN GENERAL.—The Secretary,

23 in coordination with the Secretary of

24 Education, shall conduct studies to de25 termine the net impacts of, including
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1 best practices of, programs, services,

2 and activities carried out under this

3 title.

4 ‘‘(II) REPORTS.—The Secretary

5 shall prepare and disseminate to the

6 public reports containing the results of

7 the studies conducted under subclause

8 (I).

9 ‘‘(ii) STUDY ON RESOURCES AVAILABLE

10 TO ASSIST OUT-OF-SCHOOL YOUTH.—The

11 Secretary, in coordination with the Sec12 retary of Education, may conduct a study

13 examining the resources available at the

14 Federal, State, and local levels to assist out15 of-school youth in obtaining the skills, cre16 dentials, and work experience necessary to

17 become successfully employed, including the

18 availability of funds provided through aver19 age daily attendance and other methodolo20 gies used by States and local areas to dis21 tribute funds.

22 ‘‘(iii) STUDY OF INDUSTRY-BASED CER23 TIFICATION AND CREDENTIALS.—

24 ‘‘(I) IN GENERAL.—The Secretary

25 shall conduct a study concerning the
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1 role and benefits of credentialing and

2 certification to businesses and workers

3 in the economy and the implications of

4 certification to the services provided

5 through the workforce investment sys6 tem. The study may examine issues

7 such as—

8 ‘‘(aa) the characteristics of

9 successful credentialing and cer10 tification systems that serve busi11 ness and individual needs;

12 ‘‘(bb) the relative proportions

13 of certificates and credentials at14 tained with assistance from the

15 public sector, with private-sector

16 training of new hires or incum17 bent workers, and by individuals

18 on their own initiative without

19 other assistance, respectively;

20 ‘‘(cc) the return on human

21 capital investments from occupa22 tional credentials and industry23 based skill certifications, includ24 ing the extent to which acquisi25 tion of such credentials or certifi-
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1 cates enhances outcomes such as

2 entry into employment, retention,

3 earnings (including the number

4 and amount of wage increases),

5 career advancement, and layoff

6 aversion;

7 ‘‘(dd) the implications of the

8 effects of skill certifications and

9 credentials to the types and deliv10 ery of services provided through

11 the workforce investment system;

12 ‘‘(ee) the role that Federal

13 and State governments play in

14 fostering the development of and

15 disseminating credentials and

16 skill standards; and

17 ‘‘(ff) the use of credentials by

18 businesses to achieve goals for

19 workforce skill upgrading and

20 greater operating efficiency.

21 ‘‘(II) REPORT TO CONGRESS.—

22 The Secretary shall prepare and sub23 mit to Congress a report containing

24 the results of the study conducted pur25 suant to subclause (I). Such report
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1 may include any recommendations

2 that the Secretary determines are ap3 propriate to include in such report re4 lating to promoting the acquisition of

5 industry-based certification and cre6 dentials, and the appropriate role of

7 the Department of Labor and the work8 force investment system in supporting

9 the needs of business and individuals

10 with respect to such certification and

11 credentials.

12 ‘‘(iv) STUDY OF EFFECTIVENESS OF

13 WORKFORCE INVESTMENT SYSTEM IN MEET14 ING BUSINESS NEEDS.—

15 ‘‘(I) IN GENERAL.—Using funds

16 available to carry out this section

17 jointly with funds available to the Sec18 retary of Commerce and Administrator

19 of the Small Business Administration,

20 the Secretary, in coordination with the

21 Secretary of Commerce and the Ad22 ministrator of the Small Business Ad23 ministration, may conduct a study of

24 the effectiveness of the workforce invest25 ment system in meeting the needs of
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1 business, with particular attention to

2 the needs of small business, including

3 in assisting workers to obtain the skills

4 needed to utilize emerging technologies.

5 In conducting the study, the Secretary,

6 in coordination with the Secretary of

7 Commerce and the Administrator of

8 the Small Business Administration,

9 may examine issues such as—

10 ‘‘(aa) methods for identifying

11 the workforce needs of businesses

12 and how the requirements of small

13 businesses may differ from larger

14 establishments;

15 ‘‘(bb) business satisfaction

16 with the workforce investment sys17 tem, with particular emphasis on

18 the satisfaction of small busi19 nesses;

20 ‘‘(cc) the extent to which

21 business is engaged as a collabo22 rative partner in the workforce

23 investment system, including the

24 extent of business involvement as

25 members of State boards and local
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1 boards, and the extent to which

2 such boards and one-stop centers

3 effectively collaborate with busi4 ness and industry leaders in de5 veloping workforce investment

6 strategies, including strategies to

7 identify high growth opportuni8 ties;

9 ‘‘(dd) ways in which the

10 workforce investment system ad11 dresses changing skill needs of

12 business that result from changes

13 in technology and work processes;

14 ‘‘(ee) promising practices for

15 serving small businesses;

16 ‘‘(ff) the extent and manner

17 in which the workforce investment

18 system uses technology to serve

19 business and individual needs,

20 and how uses of technology could

21 enhance efficiency and effective22 ness in providing services; and

23 ‘‘(gg) the extent to which var24 ious segments of the labor force

25 have access to and utilize tech-
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1 nology to locate job openings and

2 apply for jobs, and characteristics

3 of individuals utilizing such tech4 nology (such as age, gender, race

5 or ethnicity, industry sector, and

6 occupational groups).

7 ‘‘(II) REPORT TO CONGRESS.—

8 The Secretary shall prepare and sub9 mit to Congress a report containing

10 the results of the study described in

11 subclause (I). Such report may include

12 any recommendations the Secretary de13 termines are appropriate to include in

14 such report, including ways to enhance

15 the effectiveness of the workforce invest16 ment system in meeting the needs of

17 business for skilled workers.’’.

18 (c) ADMINISTRATION.—Section 171(d) (29 U.S.C.

19 2916(d)) is amended by striking the last sentence and in20 serting the following: ‘‘Such projects shall be administered

21 by the Employment and Training Administration.’’.

22 (d) NEXT GENERATION TECHNOLOGIES.—Section 171

23 (29 U.S.C. 2916) is amended by adding at the end the fol24 lowing:

25 ‘‘(e) SKILL CERTIFICATION PILOT PROJECTS.—
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1 ‘‘(1) PILOT PROJECTS.—In accordance with sub2 section (b) and from funds appropriated pursuant to

3 paragraph (10), the Secretary shall establish and

4 carry out not more than 10 pilot projects to establish

5 a system of industry-validated national certifications

6 of skills, including—

7 ‘‘(A) not more than 8 national certifications

8 of skills in high-technology and high-growth in9 dustries, including biotechnology, telecommuni10 cations, highly automated manufacturing (in11 cluding semiconductors), nanotechnology, energy

12 technology, and nursing; and

13 ‘‘(B) not more than 2 cross-disciplinary na14 tional certifications of skills in homeland secu15 rity technology.

16 ‘‘(2) GRANTS TO ELIGIBLE ENTITIES.—In car17 rying out the pilot projects, the Secretary shall make

18 grants to eligible entities, for periods of not less than

19 36 months and not more than 48 months, to carry out

20 the authorized activities described in paragraph (7)

21 with respect to the certifications described in para22 graph (1). In awarding grants under this subsection

23 the Secretary shall take into consideration awarding

24 grants to eligible entities from diverse geographic

25 areas, including rural areas.
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1 ‘‘(3) ELIGIBLE ENTITIES.—

2 ‘‘(A) DEFINITION OF ELIGIBLE ENTITY.—In

3 this subsection the term ‘eligible entity’ means

4 an entity that shall work in conjunction with a

5 local board and shall include as a principal par6 ticipant 1 or more of the following:

7 ‘‘(i) An educational institution, in8 cluding a 2- or 4-year college, or a technical

9 or vocational school.

10 ‘‘(ii) An advanced technology edu11 cation center.

12 ‘‘(iii) A local board.

13 ‘‘(iv) A representative of a business in

14 a target industry for the certification in15 volved.

16 ‘‘(v) A representative of an industry

17 association, labor organization, or commu18 nity development organization.

19 ‘‘(B) HISTORY OF DEMONSTRATED CAPA20 BILITY REQUIRED.—To be eligible to receive a

21 grant under this subsection, an eligible entity

22 shall have a history of demonstrated capability

23 for effective collaboration with industry on work24 force investment activities that is consistent with

25 the objectives of this title.
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1 ‘‘(4) APPLICATIONS.—To be eligible to receive a

2 grant under this subsection, an eligible entity shall

3 submit an application to the Secretary at such time,

4 in such manner, and containing such information as

5 the Secretary may require.

6 ‘‘(5) CRITERIA.—The Secretary shall establish

7 criteria, consistent with paragraph (6), for awarding

8 grants under this subsection.

9 ‘‘(6) PRIORITY.—In selecting eligible entities to

10 receive grants under this subsection, the Secretary

11 shall give priority to eligible entities that demonstrate

12 the availability of and ability to provide matching

13 funds from industry or nonprofit sources. Such

14 matching funds may be provided in cash or in kind.

15 ‘‘(7) AUTHORIZED ACTIVITIES.—

16 ‘‘(A) IN GENERAL.—An eligible entity that

17 receives a grant under this subsection shall use

18 the funds made available through the grant—

19 ‘‘(i) to facilitate the establishment of

20 certification requirements for a certification

21 described in paragraph (1) for an industry;

22 ‘‘(ii) to develop and initiate a certifi23 cation program that includes preparatory

24 courses, course materials, procedures, and

25 examinations, for the certification; and
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1 ‘‘(iii) to collect and analyze data re2 lated to the program at the program’s com3 pletion, and to identify best practices (con4 sistent with paragraph (8)) that may be

5 used by State and local workforce invest6 ment boards in the future.

7 ‘‘(B) BASIS FOR REQUIREMENTS.—The cer8 tification requirements established under the

9 grant shall be based on applicable skill standards

10 for the industry involved that have been devel11 oped by or linked to national centers of excellence

12 under the National Science Foundation’s Ad13 vanced Technological Education Program. The

14 requirements shall require an individual to dem15 onstrate an identifiable set of competencies rel16 evant to the industry in order to receive certifi17 cation. The requirements shall be designed to

18 provide evidence of a transferable skill set that

19 allows flexibility and mobility of workers within

20 a high technology industry.

21 ‘‘(C) RELATIONSHIP TO TRAINING AND EDU22 CATION PROGRAMS.—The eligible entity shall en23 sure that—

24 ‘‘(i) a training and education program

25 related to competencies for the industry in-
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1 volved, that is flexible in mode and time2 frame for delivery and that meets the needs

3 of those seeking the certification, is offered;

4 and

5 ‘‘(ii) the certification program is of6 fered at the completion of the training and

7 education program.

8 ‘‘(D) RELATIONSHIP TO THE ASSOCIATE

9 DEGREE.—The eligible entity shall ensure that

10 the certification program is consistent with the

11 requirements for a 2-year associate degree.

12 ‘‘(E) AVAILABILITY.—The eligible entity

13 shall ensure that the certification program is

14 open to students pursuing associate degrees, em15 ployed workers, and displaced workers.

16 ‘‘(8) CONSULTATION.—The Secretary shall con17 sult with the Director of the National Science Foun18 dation to ensure that the pilot projects build on the

19 expertise and information about best practices gained

20 through the implementation of the National Science

21 Foundation’s Advanced Technological Education Pro22 gram.

23 ‘‘(9) CORE COMPONENTS; GUIDELINES; RE24 PORTS.—After collecting and analyzing the data ob25 tained from the pilot programs, the Secretary shall—
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1 ‘‘(A) establish the core components of a

2 model high-technology certification program;

3 ‘‘(B) establish guidelines to assure develop4 ment of a uniform set of standards and policies

5 for such programs;

6 ‘‘(C) prepare and submit a report on the

7 pilot projects to the Committee on Health, Edu8 cation, Labor, and Pensions of the Senate and

9 the Committee on Education and the Workforce

10 of the House of Representatives; and

11 ‘‘(D) make available to the public both the

12 data and the report.

13 ‘‘(10) AUTHORIZATION OF APPROPRIATIONS.—In

14 addition to amounts authorized to be appropriated

15 under section 174(b), there is authorized to be appro16 priated $30,000,000 for fiscal year 2006 to carry out

17 this subsection.’’.

18 (e) INTEGRATED WORKFORCE TRAINING PROGRAMS

19 FOR ADULTS WITH LIMITED ENGLISH PROFICIENCY.—Sec20 tion 171 (29 U.S.C. 2916), as amended by subsection (d),

21 is further amended by adding at the end the following:

22 ‘‘(f) INTEGRATED WORKFORCE TRAINING PROGRAMS

23 FOR ADULTS WITH LIMITED ENGLISH PROFICIENCY.—

24 ‘‘(1) DEFINITIONS.—In this subsection:
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1 ‘‘(A) INTEGRATED WORKFORCE TRAINING.—

2 The term ‘integrated workforce training’ means

3 training that integrates occupational skills

4 training with language acquisition.

5 ‘‘(B) SECRETARY.—The term ‘Secretary’

6 means the Secretary of Labor in consultation

7 with the Secretary of Education.

8 ‘‘(2) DEMONSTRATION PROJECT.—In accordance

9 with subsection (b) and from funds appropriated pur10 suant to paragraph (11), the Secretary shall establish

11 and implement a national demonstration project de12 signed to both analyze and provide data on workforce

13 training programs that integrate English language

14 acquisition and occupational training.

15 ‘‘(3) GRANTS.—

16 ‘‘(A) IN GENERAL.—In carrying out the

17 demonstration project, the Secretary shall make

18 not less than 10 grants, on a competitive basis,

19 to eligible entities to provide the integrated work20 force training programs. In awarding grants

21 under this subsection the Secretary shall take

22 into consideration awarding grants to eligible

23 entities from diverse geographic areas, including

24 rural areas.
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1 ‘‘(B) PERIODS.—The Secretary shall make

2 the grants for periods of not less than 24 months

3 and not more than 48 months.

4 ‘‘(4) ELIGIBLE ENTITIES.—

5 ‘‘(A) IN GENERAL.—To be eligible to receive

6 a grant under this subsection, an eligible entity

7 shall work in conjunction with a local board and

8 shall include as a principal participant 1 or

9 more of the following:

10 ‘‘(i) An employer or employer associa11 tion.

12 ‘‘(ii) A nonprofit provider of English

13 language instruction.

14 ‘‘(iii) A provider of occupational or

15 skills training.

16 ‘‘(iv) A community-based organization.

17 ‘‘(v) An educational institution, in18 cluding a 2- or 4-year college, or a technical

19 or vocational school.

20 ‘‘(vi) A labor organization.

21 ‘‘(vii) A local board.

22 ‘‘(B) EXPERTISE.—To be eligible to receive

23 a grant under this subsection, an eligible entity

24 shall have proven expertise in—
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1 ‘‘(i) serving individuals with limited

2 English proficiency, including individuals

3 with lower levels of oral and written

4 English; and

5 ‘‘(ii) providing workforce programs

6 with training and English language in7 struction.

8 ‘‘(5) APPLICATIONS.—

9 ‘‘(A) IN GENERAL.—To be eligible to receive

10 a grant under this subsection, an eligible entity

11 shall submit an application to the Secretary at

12 such time, in such manner, and containing such

13 information as the Secretary may require.

14 ‘‘(B) CONTENTS.—Each application sub15 mitted under subparagraph (A) shall—

16 ‘‘(i) contain information, including ca17 pability statements, that demonstrates that

18 the eligible entity has the expertise described

19 in paragraph (4)(B); and

20 ‘‘(ii) include an assurance that the

21 program to be assisted shall—

22 ‘‘(I) establish a generalized adult

23 bilingual workforce training and edu24 cation model that integrates English

25 language acquisition and occupational
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1 training, and incorporates the unique

2 linguistic and cultural factors of the

3 participants;

4 ‘‘(II) establish a framework by

5 which the employer, employee, and

6 other relevant members of the eligible

7 entity can create a career development

8 and training plan that assists both the

9 employer and the employee to meet

10 their long-term needs;

11 ‘‘(III) ensure that the framework

12 established under subclause (II) takes

13 into consideration the knowledge, skills,

14 and abilities of the employee with re15 spect to both the current and economic

16 conditions of the employer and future

17 labor market conditions relevant to the

18 local area; and

19 ‘‘(IV) establish identifiable meas20 ures so that the progress of the em21 ployee and employer and the relative

22 efficacy of the program can be evalu23 ated and best practices identified.

24 ‘‘(6) CRITERIA.—The Secretary shall establish

25 criteria for awarding grants under this subsection.
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1 ‘‘(7) INTEGRATED WORKFORCE TRAINING PRO2 GRAMS.—

3 ‘‘(A) PROGRAM COMPONENTS.—

4 ‘‘(i) REQUIRED COMPONENTS.—Each

5 program that receives funding under this

6 subsection shall—

7 ‘‘(I) test an individual’s English

8 language proficiency levels to assess

9 oral and literacy gains from the begin10 ning and throughout program enroll11 ment;

12 ‘‘(II) combine training specific to

13 a particular occupation or occupa14 tional cluster, with—

15 ‘‘(aa) English language in16 struction, such as instruction

17 through an English as a Second

18 Language program, or an English

19 for Speakers of Other Languages

20 program;

21 ‘‘(bb) basic skills instruction;

22 and

23 ‘‘(cc) supportive services;

24 ‘‘(III) effectively integrate public

25 and private sector entities, including
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1 the local workforce investment system

2 and its functions, to achieve the goals

3 of the program; and

4 ‘‘(IV) require matching or in-kind

5 resources from private and nonprofit

6 entities.

7 ‘‘(ii) PERMISSIBLE COMPONENTS.—The

8 program may offer other services, as nec9 essary to promote successful participation

10 and completion, including work-based

11 learning, substance abuse treatment, and

12 mental health services.

13 ‘‘(B) GOAL.—Each program that receives

14 funding under this subsection shall be designed

15 to prepare limited English proficient adults for,

16 and place such adults in employment in, grow17 ing industries with identifiable career ladder

18 paths.

19 ‘‘(C) PROGRAM TYPES.—In selecting pro20 grams to receive funding under this subsection,

21 the Secretary shall select programs that meet 1

22 or more of the following criteria:

23 ‘‘(i) A program—

24 ‘‘(I) that serves unemployed, lim25 ited English proficient individuals
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1 with significant work experience or

2 substantial education but persistently

3 low wages;

4 ‘‘(II) that aims to prepare such

5 individuals for, and place such indi6 viduals in, higher paying employment,

7 defined for purposes of this subpara8 graph as employment that provides at

9 least 75 percent of the median wage in

10 the local area; and

11 ‘‘(III) with funding that includes

12 funds from private and nonprofit enti13 ties.

14 ‘‘(ii) A program—

15 ‘‘(I) that serves limited English

16 proficient individuals with lower levels

17 of oral and written fluency, who are

18 working but at persistently low wages;

19 ‘‘(II) that aims to prepare such

20 individuals for, and place such indi21 viduals in, higher paying employment,

22 through services provided at the work23 site, or at a location central to several

24 work sites, during work hours; and
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1 ‘‘(III) with funding that includes

2 funds from private and nonprofit enti3 ties.

4 ‘‘(iii) A program—

5 ‘‘(I) that serves unemployed, lim6 ited English proficient individuals

7 with lower levels of oral and written

8 fluency, who have little or no work ex9 perience;

10 ‘‘(II) that aims to prepare such

11 individuals for, and place such indi12 viduals in, employment through serv13 ices that include subsidized employ14 ment, in addition to the components

15 required in subparagraph (A)(i); and

16 ‘‘(III) with funding that includes

17 funds from private and nonprofit enti18 ties.

19 ‘‘(D) PROGRAM APPROACHES.—In selecting

20 programs to receive funding under this sub21 section, the Secretary shall select programs with

22 different approaches to integrated workforce

23 training, in different contexts, in order to obtain

24 comparative data on multiple approaches to in25 tegrated workforce training and English lan-
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1 guage instruction, to ensure programs are tai2 lored to characteristics of individuals with vary3 ing skill levels, and to assess how different cur4 ricula work for limited English proficient popu5 lations. Such approaches may include—

6 ‘‘(i) bilingual programs in which the

7 workplace language component and the

8 training are conducted in a combination of

9 an individual’s native language and

10 English;

11 ‘‘(ii) integrated workforce training

12 programs that combine basic skills, lan13 guage instruction, and job specific skills

14 training; or

15 ‘‘(iii) sequential programs that provide

16 a progression of skills, language, and train17 ing to ensure success upon an individual’s

18 completion of the program.

19 ‘‘(8) EVALUATION BY ELIGIBLE ENTITY.—Each

20 eligible entity that receives a grant under this sub21 section for a program shall carry out a continuous

22 program evaluation and an evaluation specific to the

23 last phase of the program operations.

24 ‘‘(9) EVALUATION BY SECRETARY.—
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1 ‘‘(A) IN GENERAL.—The Secretary shall

2 conduct an evaluation of program impacts of the

3 programs funded under the demonstration

4 project, using an impact study with a random

5 assignment experimental design at each worksite

6 at which such a program is carried out.

7 ‘‘(B) DATA COLLECTION AND ANALYSIS.—

8 The Secretary shall collect and analyze the data

9 from the demonstration project to determine pro10 gram effectiveness, including gains in language

11 proficiency, acquisition of skills, and job ad12 vancement for program participants.

13 ‘‘(C) REPORT.—The Secretary shall prepare

14 and submit to the Committee on Health, Edu15 cation, Labor, and Pensions of the Senate and

16 the Committee on Education and the Workforce

17 of the House of Representatives, and make avail18 able to the public, a report on the demonstration

19 project, including the results of the evaluation.

20 ‘‘(10) TECHNICAL ASSISTANCE.—The Secretary

21 shall provide technical assistance to recipients of

22 grants under this subsection throughout the grant pe23 riods.

24 ‘‘(11) AUTHORIZATION OF APPROPRIATIONS.—In

25 addition to amounts authorized to be appropriated
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1 under section 174(b), there is authorized to be appro2 priated $10,000,000 for fiscal year 2006 to carry out

3 this subsection.’’.

4 (f) COMMUNITY-BASED JOB TRAINING.—Section 171

5 (29 U.S.C. 2916), as amended by subsection (e), is further

6 amended by adding at the end the following:

7 ‘‘(g) COMMUNITY-BASED JOB TRAINING.—

8 ‘‘(1) DEFINITIONS.—In this subsection:

9 ‘‘(A) COMMUNITY COLLEGE.—The term

10 ‘community college’ means—

11 ‘‘(i) an institution of higher education,

12 as defined in section 101 of the Higher

13 Education Act of 1965 (20 U.S.C. 1001),

14 that provides a 2-year degree that is accept15 able for full credit toward a bachelor’s de16 gree; or

17 ‘‘(ii) a tribally controlled college or

18 university, as defined in section 2 of the

19 Tribally Controlled College or University

20 Assistance Act of 1978 (25 U.S.C. 1801).

21 ‘‘(B) ELIGIBLE ENTITY.—The term ‘eligible

22 entity’ means a community college, a consortium

23 of community colleges, or a consortium composed

24 of a community college and 1 or more institu25 tions of higher education, that shall work with—
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1 ‘‘(i) a local board;

2 ‘‘(ii) a business in the qualified indus3 try or an industry association in the quali4 fied industry, as identified in the applica5 tion of the entity; and

6 ‘‘(iii) an economic development entity.

7 ‘‘(C) INSTITUTION OF HIGHER EDU8 CATION.—Except as otherwise provided in sub9 paragraph (A)(i), the term ‘institution of higher

10 education’ has the meaning given the term in

11 section 101 of the Higher Education Act of 1965

12 (20 U.S.C. 1001) and the meaning given the

13 term ‘postsecondary vocational institution’ in

14 section 102(a)(1)(B) of such Act (20 U.S.C.

15 1002(a)(1)(B)).

16 ‘‘(D) QUALIFIED INDUSTRY.—The term

17 ‘qualified industry’ means an industry or eco18 nomic sector that is projected to experience sig19 nificant growth, such as an industry or economic

20 sector that—

21 ‘‘(i) is projected to add substantial

22 numbers of new jobs to the regional econ23 omy;

24 ‘‘(ii) has or is projected to have signifi25 cant impact on the regional economy;
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1 ‘‘(iii) impacts or is projected to impact

2 the growth of other industries or economic

3 sectors in the regional economy;

4 ‘‘(iv) is being transformed by tech5 nology and innovation requiring new

6 knowledge or skill sets for workers;

7 ‘‘(v) is a new or emerging industry or

8 economic sector that is projected to grow; or

9 ‘‘(vi) requires high skills and has sig10 nificant labor shortages in the regional

11 economy.

12 ‘‘(2) DEMONSTRATION PROJECT.—In addition to

13 the demonstration projects authorized under sub14 section (b), the Secretary may establish and imple15 ment a national demonstration project designed—

16 ‘‘(A) to develop local innovative solutions to

17 the workforce challenges facing high-growth,

18 high-skill industries with labor shortages; and

19 ‘‘(B) to increase employment opportunities

20 for workers in high-growth, high-demand occupa21 tions by establishing partnerships among edu22 cation entities, the State workforce investment

23 systems, and businesses in high-growth, high-skill

24 industries or sectors.
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1 ‘‘(3) GRANTS.—In carrying out the national

2 demonstration project authorized under this sub3 section, the Secretary shall award grants, on a com4 petitive basis, for 2, 3, or 4 years, in accordance with

5 generally applicable Federal requirements, to eligible

6 entities to enable the eligible entities to carry out ac7 tivities authorized under this subsection.

8 ‘‘(4) APPLICATIONS.—To be eligible to receive a

9 grant under this subsection, an eligible entity shall

10 submit an application to the Secretary at such time,

11 in such manner, and containing such information as

12 the Secretary may require, including—

13 ‘‘(A) a description of the eligible entity that

14 will offer training under the grant;

15 ‘‘(B) a justification of the need for discre16 tionary funding under the grant, including the

17 need for external funds to create a program to

18 carry out the activities described in paragraph

19 (6);

20 ‘‘(C) an economic analysis of the local labor

21 market to identify—

22 ‘‘(i) high-growth, high-demand indus23 tries;

24 ‘‘(ii) the workforce issues faced by such

25 industries; and
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1 ‘‘(iii) potential participants in pro2 grams funded under this subsection;

3 ‘‘(D) a description of the qualified industry

4 for which the training will occur, the avail5 ability of competencies on which the training

6 will be based, and how the grant will help work7 ers acquire the competencies and skills necessary

8 for employment;

9 ‘‘(E) a description of the involvement of the

10 local board and businesses, including small busi11 nesses, in the geographic area where the proposed

12 grant will be implemented;

13 ‘‘(F) performance measures for the grant,

14 including performance measures for the expected

15 number of individuals to be trained in a quali16 fied industry, the employment and retention

17 rates for such individuals in a qualified indus18 try, and initial earnings and earnings increases

19 for such individuals;

20 ‘‘(G) a description of how the activities

21 funded by the grant will be coordinated with ac22 tivities provided through the one-stop center in

23 the local area; and

24 ‘‘(H) a description of the local or private

25 resources that will—
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1 ‘‘(i) support the activities carried out

2 under this subsection; and

3 ‘‘(ii) enable the entity to carry out and

4 expand such activities after the expiration

5 of the grant.

6 ‘‘(5) FACTORS FOR AWARD OF GRANT.—

7 ‘‘(A) IN GENERAL.—In awarding grants

8 under this subsection, the Secretary shall

9 consider—

10 ‘‘(i) the extent of public and private

11 collaboration, including existing partner12 ships among qualified industries, the eligi13 ble entity, and the public workforce invest14 ment system;

15 ‘‘(ii) the extent to which the grant will

16 provide job seekers with high-quality train17 ing for employment in high-growth, high-de18 mand occupations;

19 ‘‘(iii) the extent to which the grant will

20 expand the eligible entity and local one-stop

21 center’s capacity to be demand-driven and

22 responsive to local economic needs;

23 ‘‘(iv) the extent to which local busi24 nesses commit to hire, retain, or advance
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1 individuals who receive training through

2 the grant; and

3 ‘‘(v) the extent to which the eligible en4 tity commits to make any newly developed

5 products, such as skill standards, assess6 ments, or industry-recognized training cur7 ricula, available for dissemination nation8 ally.

9 ‘‘(B) LEVERAGING OF RESOURCES.—In

10 awarding grants under this subsection, the Sec11 retary shall also consider—

12 ‘‘(i) the extent to which local or private

13 resources will be made available to support

14 the activities carried out under this sub15 section, taking into account the resources of

16 the eligible entity and the entity’s partners;

17 and

18 ‘‘(ii) the ability of an eligible entity to

19 continue to carry out and expand such ac20 tivities after the expiration of the grant.

21 ‘‘(C) DISTRIBUTION OF GRANTS.—In

22 awarding grants under this subsection, the Sec23 retary shall ensure an equitable distribution of

24 such grants across diverse industries and geo25 graphic areas.
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1 ‘‘(6) USE OF FUNDS.—An eligible entity that re2 ceives a grant under this subsection—

3 ‘‘(A) shall use the grant funds for—

4 ‘‘(i) the development by the community

5 college that is a part of the eligible entity

6 in collaboration with other partners identi7 fied in the application, and, if applicable,

8 other representatives of qualified industries,

9 of rigorous training and education pro10 grams leading to an industry-recognized

11 credential or degree and employment in the

12 qualified industry; and

13 ‘‘(ii) training of adults, incumbent

14 workers, dislocated workers, or out-of-school

15 youth in the skills and competencies needed

16 to obtain or upgrade employment in a

17 qualified industry identified in the eligible

18 entity’s application; and

19 ‘‘(B) may use the grant funds for—

20 ‘‘(i) disseminating information on

21 training available for high-growth, high-de22 mand occupations in qualified industries

23 through the one-stop delivery system to pro24 spective participants, businesses, business

25 intermediaries, and community-based orga-
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1 nizations in the region, including training

2 available through the grant;

3 ‘‘(ii) referring individuals trained

4 under the grant for employment in qualified

5 industries;

6 ‘‘(iii) enhancing integration of commu7 nity colleges, training and education with

8 businesses, and the one-stop system to meet

9 the training needs of qualified industries for

10 new and incumbent workers;

11 ‘‘(iv) providing training and relevant

12 job skills to small business owners or opera13 tors to facilitate small business development

14 in high-growth, high-skill industries; or

15 ‘‘(v) expanding or creating programs

16 for distance, evening, weekend, modular, or

17 compressed learning opportunities that pro18 vide training and relevant job skills for

19 high-growth, high-demand occupations.

20 ‘‘(7) AUTHORITY TO REQUIRE NON-FEDERAL

21 SHARE.—The Secretary may require that recipients of

22 grants under this subsection provide a non-Federal

23 share, from either cash or noncash resources, of the

24 costs of activities carried out under a grant awarded

25 under this subsection.
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1 ‘‘(8) PERFORMANCE ACCOUNTABILITY AND EVAL2 UATION.—

3 ‘‘(A) PERFORMANCE ACCOUNTABILITY.—The

4 Secretary shall require an eligible entity that re5 ceives a grant under this subsection to submit an

6 interim and final report to the Secretary on the

7 impact on business partners and employment

8 outcomes obtained by individuals receiving

9 training under this subsection using the perform10 ance measures identified in the eligible entity’s

11 grant application.

12 ‘‘(B) EVALUATION.—The Secretary shall re13 quire that an eligible entity that receives a grant

14 under this subsection participate in an evalua15 tion of activities carried out under this sub16 section, including an evaluation using the tech17 niques described in section 172(c).’’.

18 SEC. 147. NATIONAL DISLOCATED WORKER GRANTS.

19 (a) IN GENERAL.—Section 173 (29 U.S.C. 2918) is

20 amended—

21 (1) by striking the heading and inserting the fol22 lowing:

23 ‘‘SEC. 173. NATIONAL DISLOCATED WORKER GRANTS.’’;

24 and

25 (2) in subsection (a)—
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1 (A) by redesignating paragraphs (1)

2 through (3) as subparagraphs (A) through (C),

3 respectively, and aligning the margins of the

4 subparagraphs with the margins of subpara5 graph (A) of paragraph (4);

6 (B) by striking paragraph (4);

7 (C) by striking the matter preceding para8 graph (1) and inserting the following:

9 ‘‘(a) IN GENERAL.—

10 ‘‘(1) GRANTS.—The Secretary is authorized to

11 award national dislocated worker grants—’’;

12 (D) in paragraph (1)(A), by striking ‘‘sub13 section (c)’’ and inserting ‘‘subsection (b)’’;

14 (E) in paragraph (1)(C), by striking ‘‘and’’

15 after the semicolon; and

16 (F) by adding at the end the following:

17 ‘‘(D) to a State or entity (as defined in sub18 section (b)(1)(B)) to carry out subsection (e), in19 cluding providing assistance to eligible individ20 uals;

21 ‘‘(E) to a State or entity (as defined in sub22 section (b)(1)(B)) to carry out subsection (f), in23 cluding providing assistance to eligible individ24 uals;
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1 ‘‘(F) to provide additional assistance to a

2 State board or local board where a higher than

3 average demand for employment and training

4 activities for dislocated members of the Armed

5 Forces, or spouses, as described in section

6 101(11)(E), of members of the Armed Forces, de7 scribed in subsection (b)(2)(A)(iv), exceeds State

8 and local resources for providing such services,

9 and where such programs are to be carried out

10 in partnership with the Department of Defense

11 and Department of Veterans Affairs transition

12 assistance programs; and

13 ‘‘(G) to provide assistance to a State for

14 statewide or local use in order to—

15 ‘‘(i) address cases in which there have

16 been worker dislocations across multiple sec17 tors, across multiple businesses within a sec18 tor, or across multiple local areas, and such

19 workers remain dislocated;

20 ‘‘(ii) meet emerging economic develop21 ment needs; and

22 ‘‘(iii) train eligible individuals who

23 are dislocated workers described in clause

24 (i).
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1 ‘‘(2) DECISIONS AND OBLIGATIONS.—The Sec2 retary shall issue a final decision on an application

3 for a national dislocated worker grant under this sub4 section not later than 45 calendar days after receipt

5 of the application. The Secretary shall issue a notice

6 of obligation for such a grant not later than 10 days

7 after the award of the grant.’’.

8 (b) ADMINISTRATION AND ADDITIONAL ASSISTANCE.—

9 Section 173 (29 U.S.C. 2918) is amended—

10 (1) by striking subsection (b);

11 (2) by redesignating subsections (c) through (g)

12 as subsections (b) through (f), respectively;

13 (3) in subsection (b) (as redesignated by para14 graph (2))—

15 (A) in paragraph (1)(A), by striking ‘‘sub16 section (a)(1)’’ and inserting ‘‘subsection

17 (a)(1)(A)’’; and

18 (B) in paragraph (2)—

19 (i) in subparagraph (A), in the matter

20 preceding clause (i), by striking ‘‘national

21 emergency grant awarded pursuant to sub22 section (a)(1)’’ and inserting ‘‘national dis23 located worker grant awarded pursuant to

24 subsection (a)(1)(A)’’; and
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1 (ii) in subparagraph (C), by striking

2 ‘‘national emergency grants’’ and inserting

3 ‘‘national dislocated worker grants’’;

4 (4) in paragraphs (1), (2), and (3) of subsection

5 (c) (as redesignated by paragraph (3)), by striking

6 ‘‘subsection (a)(2)’’ and inserting ‘‘subsection

7 (a)(1)(B)’’;

8 (5) by striking subsection (d) (as redesignated by

9 paragraph (2)) and inserting the following:

10 ‘‘(d) ADDITIONAL ASSISTANCE.—

11 ‘‘(1) IN GENERAL.—From the amount appro12 priated and made available to carry out this section

13 for any program year, the Secretary shall use not

14 more than $20,000,000 to make grants to States to

15 provide employment and training activities under

16 section 134, in accordance with subtitle B.

17 ‘‘(2) ELIGIBLE STATES.—The Secretary shall

18 make a grant under paragraph (1) to a State for a

19 program year if—

20 ‘‘(A) the amount of the allotment that was

21 made to the State for the program year 2003

22 under the formula specified in section

23 132(b)(1)(B) as such section was in effect on

24 July 1, 2003, is greater than
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1 ‘‘(B) the amount of the allotment that

2 would be made to the State for the program year

3 under the formula specified in section

4 132(b)(1)(B).

5 ‘‘(3) AMOUNT OF GRANTS.—Subject to paragraph

6 (1), the amount of the grant made under paragraph

7 (1) to a State for a program year shall be based on

8 the difference between—

9 ‘‘(A) the amount of the allotment that was

10 made to the State for the program year 2003

11 under the formula specified in section

12 132(b)(1)(B) as such section was in effect on

13 July 1, 2003; and

14 ‘‘(B) the amount of the allotment that

15 would be made to the State for the program year

16 under the formula specified in section

17 132(b)(1)(B).’’;

18 (5) in subsection (e) (as redesignated by para19 graph (2))—

20 (A) in paragraph (1), by striking ‘‘para21 graph (4)(A)’’ and inserting ‘‘paragraph

22 (1)(D)’’;

23 (B) in paragraph (2), by striking ‘‘sub24 section (g)’’ and inserting ‘‘subsection (f)’’;
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1 (C) in paragraph (3)(B), by striking ‘‘sub2 section (a)(4)(A)’’ and inserting ‘‘subsection

3 (a)(1)(D)’’;

4 (D) in paragraph (4), by striking ‘‘sub5 section (g)’’ and inserting ‘‘subsection (f)’’;

6 (E) in paragraph (5), by striking ‘‘sub7 section (g)’’ and inserting ‘‘subsection (f)’’; and

8 (F) in paragraph (6)—

9 (i) by striking ‘‘subsection (g)’’ and in10 serting ‘‘subsection (f)’’; and

11 (ii) by striking ‘‘subsection (c)(1)(B)’’

12 and inserting ‘‘subsection (b)(1)(B)’’; and

13 (6) in subsection (f) (as redesignated by para14 graph (2))—

15 (A) in paragraph (1)—

16 (i) by striking ‘‘paragraph (4)(B)’’

17 and inserting ‘‘paragraph (1)(E)’’; and

18 (ii) by striking ‘‘subsection (f)(1)(A)’’

19 and inserting ‘‘subsection (e)(1)(A)’’; and

20 (B) in paragraph (4)(B), by striking ‘‘sub21 section (a)(4)(B)’’ and inserting ‘‘subsection

22 (a)(1)(E)’’.
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1 SEC. 148. AUTHORIZATION OF APPROPRIATIONS FOR NA2 TIONAL ACTIVITIES.

3 (a) IN GENERAL.—Section 174(a)(1) (29 U.S.C.

4 2919(a)(1)) is amended by striking ‘‘1999 through 2003’’

5 and inserting ‘‘2006 through 2011’’.

6 (b) RESERVATIONS.—Section 174(b) (29 U.S.C.

7 2919(b)) is amended to read as follows:

8 ‘‘(b) TECHNICAL ASSISTANCE; DEMONSTRATION AND

9 PILOT PROJECTS, EVALUATIONS, INCENTIVE GRANTS.—

10 ‘‘(1) IN GENERAL.—Subject to paragraph (2),

11 there are authorized to be appropriated to carry out

12 sections 170 through 172 and section 503 such sums

13 as may be necessary for each of fiscal years 2006

14 through 2011.

15 ‘‘(2) RESERVATION.—Of the amount appro16 priated pursuant to the authorization of appropria17 tions under paragraph (1) for a fiscal year, the Sec18 retary shall, for each of the fiscal years 2006 through

19 2011, reserve not less than 25 percent for carrying out

20 section 503.’’.

21 (c) ASSISTANCE FOR ELIGIBLE WORKERS.—Section

22 174(c) (29 U.S.C. 2919(c)) is amended—

23 (1) in paragraphs (1)(A) and (2)(A), by striking

24 ‘‘subsection (a)(4)(A)’’ and inserting ‘‘subsection

25 (a)(1)(D)’’; and
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1 (2) in paragraphs (1)(B) and (2)(B), by striking

2 ‘‘subsection (a)(4)(B)’’ and inserting ‘‘subsection

3 (a)(1)(E)’’.

4 Subtitle E—Administration

5 SEC. 151. REQUIREMENTS AND RESTRICTIONS.

6 Section 181(e) (29 U.S.C. 2931(e)) is amended by

7 striking ‘‘economic development activities,’’.

8 SEC. 152. REPORTS.

9 Section 185(c) (29 U.S.C. 2935(c)) is amended—

10 (1) in paragraph (2), by striking ‘‘and’’ after the

11 semicolon;

12 (2) in paragraph (3), by striking the period and

13 inserting ‘‘; and’’; and

14 (3) by adding at the end the following:

15 ‘‘(4) shall have the option to submit or dissemi16 nate electronically any reports, records, plans, or any

17 other data that are required to be collected or dissemi18 nated under this title.’’.

19 SEC. 153. ADMINISTRATIVE PROVISIONS.

20 (a) ANNUAL REPORT.—Section 189(d) (29 U.S.C.

21 2939(d)) is amended—

22 (1) in paragraph (3), by striking ‘‘and’’ after the

23 semicolon;

24 (2) by redesignating paragraph (4) as para25 graph (5); and
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1 (3) by inserting after paragraph (3) the fol2 lowing:

3 ‘‘(4) the negotiated levels of performance of the

4 States, the States’ requests for adjustments of such

5 levels, and the adjustments of such levels that are

6 made; and’’.

7 (b) AVAILABILITY.—Section 189(g)(2) (29 U.S.C.

8 2939(g)(2)) is amended, in the first sentence—

9 (1) by striking ‘‘Funds’’ and inserting ‘‘Except

10 as otherwise provided in this paragraph, funds’’; and

11 (2) by striking ‘‘each State receiving’’ and in12 serting ‘‘each recipient of’’.

13 (c) GENERAL WAIVERS.—Section 189(i)(4) (29 U.S.C.

14 2939(i)(4)) is amended—

15 (1) in subparagraph (A)(i), by inserting ‘‘the

16 funding of infrastructure costs for one-stop centers,’’

17 after ‘‘local boards,’’;

18 (2) in subparagraph (C), by striking ‘‘90’’ and

19 inserting ‘‘60’’; and

20 (3) by adding at the end the following:

21 ‘‘(D) EXPEDITED REQUESTS.—The Sec22 retary shall expedite requests for waivers of stat23 utory or regulatory requirements that have been

24 approved for a State pursuant to subparagraph
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1 (B), if the requirements of this paragraph have

2 been satisfied.

3 ‘‘(E) SPECIAL RULE.—With respect to any

4 State that has a waiver under this paragraph re5 lating to the transfer authority under section

6 133(b)(4), and has the waiver in effect on the

7 date of enactment of the Workforce Investment

8 Act Amendments of 2005 or subsequently receives

9 such a waiver, the waiver shall continue to

10 apply for so long as the State meets or exceeds

11 State performance measures relating to the indi12 cators described in section 136(b)(2)(A)(i).’’.

13 SEC. 154. USE OF CERTAIN REAL PROPERTY.

14 Section 193 (29 U.S.C. 2943) is amended to read as

15 follows:

16 ‘‘SEC. 193. TRANSFER OF FEDERAL EQUITY IN STATE EM17 PLOYMENT SECURITY AGENCY REAL PROP18 ERTY TO THE STATES.

19 ‘‘(a) TRANSFER OF FEDERAL EQUITY.—Notwith20 standing any other provision of law, any Federal equity

21 acquired in real property through grants to States awarded

22 under title III of the Social Security Act (42 U.S.C. 501

23 et seq.) or under the Wagner-Peyser Act (29 U.S.C. 49 et

24 seq.) is transferred to the States that used the grants for

25 the acquisition of such equity. The portion of any real prop-
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1 erty that is attributable to the Federal equity transferred

2 under this section shall be used to carry out activities au3 thorized under title III of the Social Security Act or the

4 Wagner-Peyser Act. Any disposition of such real property

5 shall be carried out in accordance with the procedures pre6 scribed by the Secretary and the portion of the proceeds

7 from the disposition of such real property that is attrib8 utable to the Federal equity transferred under this section

9 shall be used to carry out activities authorized under title

10 III of the Social Security Act or the Wagner-Peyser Act.

11 ‘‘(b) LIMITATION ON USE.—A State shall not use funds

12 awarded under title III of the Social Security Act or the

13 Wagner-Peyser Act to amortize the costs of real property

14 that is purchased by any State on or after the effective date

15 of this provision.’’.

16 SEC. 155. GENERAL PROGRAM REQUIREMENTS.

17 Section 195 (29 U.S.C. 2945) is amended by adding

18 at the end the following:

19 ‘‘(14) Funds provided under this title shall not

20 be used to establish or operate stand-alone fee-for-serv21 ice enterprises that compete with private sector em22 ployment agencies (as defined in section 701(c) of the

23 Civil Rights Act of 1964 (42 U.S.C. 2000e(c))). For

24 purposes of this paragraph, such an enterprise does
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1 not include a one-stop service delivery system de2 scribed in section 121(e).’’.

3 Subtitle F—Incentive Grants

4 SEC. 161. INCENTIVE GRANTS.

5 Section 503 (20 U.S.C. 9273) is amended—

6 (1) by striking subsection (a) and inserting the

7 following:

8 ‘‘(a) IN GENERAL.—

9 ‘‘(1) TIMELINE.—

10 ‘‘(A) PRIOR TO JULY 1, 2006.—Prior to July

11 1, 2006, the Secretary shall award a grant to

12 each State in accordance with the provisions of

13 this section as this section was in effect on July

14 1, 2003.

15 ‘‘(B) BEGINNING JULY 1, 2006.—Beginning

16 on July 1, 2006, the Secretary shall award in17 centive grants to States for performance de18 scribed in paragraph (2), to implement or en19 hance innovative and coordinated programs as

20 described in paragraph (3), consistent with the

21 statewide economic, workforce, and educational

22 interests of the State.

23 ‘‘(2) BASIS.—The Secretary shall award the

24 grants on the basis that the States—
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1 ‘‘(A) have exceeded the State performance

2 measures established under section 136(b), the

3 performance measures established under section

4 212(b) of the Adult Education and Family Lit5 eracy Act (20 U.S.C. 9212(b)), and the State

6 performance measures established under section

7 113(b) of the Carl D. Perkins Vocational and

8 Technical Education Act of 1998 (20 U.S.C.

9 2323(b)); or

10 ‘‘(B) have—

11 ‘‘(i) met the State performance meas12 ures established under section 136(b), the

13 performance measures established under sec14 tion 212(b) of the Adult Education and

15 Family Literacy Act, and the State per16 formance measures established under section

17 113(b) of the Carl D. Perkins Vocational

18 and Technical Education Act of 1998; and

19 ‘‘(ii) demonstrated—

20 ‘‘(I) exemplary coordination of

21 one-stop partner programs described in

22 section 121 with statewide economic

23 development or business needs;

24 ‘‘(II) exemplary performance in

25 the one-stop partner programs in the
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1 State in serving hard-to-serve popu2 lations; or

3 ‘‘(III) effective—

4 ‘‘(aa) coordination of mul5 tiple systems for the one-stop

6 partner programs into a com7 prehensive workforce investment

8 system, including coordination of

9 employment activities under the

10 Wagner-Peyser Act (29 U.S.C. 49

11 et seq.) and core services under

12 section 134(d)(2);

13 ‘‘(bb) expansion of access to

14 training through the one-stop

15 partner programs, including ex16 pansion of access through in17 creased leveraging of resources

18 other than those provided through

19 programs under title I;

20 ‘‘(cc) implementation of

21 statewide coordination activities

22 relating to the one-stop partner

23 programs, through agreements

24 with relevant State agencies and

25 offices, including those responsible
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1 for programs under the Adult

2 Education and Family Literacy

3 Act (20 U.S.C. 9201 et seq.) and

4 the Rehabilitation Act of 1973 (29

5 U.S.C. 701 et seq.);

6 ‘‘(dd) statewide coordination

7 relating to the one-stop partner

8 programs, through arrangements

9 with local boards or local areas;

10 ‘‘(ee) alignment of manage11 ment information systems to inte12 grate participant information

13 across the one-stop partner pro14 grams; or

15 ‘‘(ff) integration of perform16 ance information systems and

17 common measures for account18 ability across the one-stop partner

19 programs.

20 ‘‘(3) USE OF FUNDS.—The funds awarded to a

21 State under this section may be used to carry out ac22 tivities authorized for States in programs carried out

23 under title I, the Adult Education and Family Lit24 eracy Act, and the Carl D. Perkins Vocational and

25 Technical Education Act of 1998 (20 U.S.C. 2301 et
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1 seq.) (referred to in this subsection as ‘workforce and

2 education programs’), including demonstration

3 projects, and innovative projects or programs that in4 crease coordination and enhance service to partici5 pants in such programs, particularly hard-to-serve

6 populations, including—

7 ‘‘(A) activities that support business needs,

8 especially for incumbent workers and enhancing

9 opportunities for retention and advancement;

10 ‘‘(B) activities that support linkages be11 tween the workforce and education programs,

12 and secondary, postsecondary, or career and

13 technical education programs, including activi14 ties under the Carl D. Perkins Vocational and

15 Technical Education Act of 1998 (20 U.S.C.

16 2301 et seq.), the Adult Education and Family

17 Literacy Act (20 U.S.C. 9201 et seq.), and the

18 Rehabilitation Act of 1973 (29 U.S.C. 701 et

19 seq.);

20 ‘‘(C) activities that support statewide eco21 nomic development plans that support high22 wage, high-skill, or high-demand occupations

23 leading to self-sufficiency;

24 ‘‘(D) activities that coordinate the workforce

25 and education programs with other Federal and
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1 State programs related to the workforce and edu2 cation programs;

3 ‘‘(E) activities that support the development

4 of a statewide integrated performance informa5 tion system that includes common measures for

6 one-stop partner programs described in section

7 121;

8 ‘‘(F) activities that align management in9 formation systems with integrated performance

10 information across the one-stop partner pro11 grams; or

12 ‘‘(G) activities that support local workforce

13 investment boards or areas in improving per14 formance in workforce and education programs

15 and program coordination of workforce and edu16 cation programs.

17 ‘‘(4) WAIVER.—For States that have developed

18 and implemented a statewide integrated performance

19 information system with common measures, as de20 scribed in paragraph (3)(E), for the one-stop partner

21 programs, the Secretary may waive for the State such

22 reporting requirements for the one-stop partner pro23 grams as the Secretary has authority or agreement to

24 waive.
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1 ‘‘(5) TECHNICAL ASSISTANCE.—The Secretary

2 shall reserve 4 percent of the funds available for

3 grants under this section to provide technical assist4 ance to States—

5 ‘‘(A) to replicate best practices for workforce

6 and education programs;

7 ‘‘(B) to develop integrated performance in8 formation systems for the one-stop partner pro9 grams;

10 ‘‘(C) to strengthen coordination between

11 workforce and education programs and other

12 education programs; or

13 ‘‘(D) to strengthen economic development.

14 ‘‘(6) DEFINITION.—As used in this subsection,

15 the term ‘hard-to-serve populations’ has the meaning

16 given the term in section 101.’’;

17 (2) in subsection (b)(2)—

18 (A) in the matter preceding subparagraph

19 (A), by striking ‘‘only’’ and all that follows

20 through ‘‘assurances:’’ and inserting ‘‘to ensure

21 that the application contains, and to determine

22 the accuracy of, the following assurances:’’; and

23 (B) by striking subparagraph (C) and in24 serting the following:
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1 ‘‘(C) the State meets the requirements of

2 subparagraph (A) or (B) of subsection (a)(2).’’;

3 and

4 (3) by striking subsection (d).

5 Subtitle G—Conforming

6 Amendments

7 SEC. 171. TABLE OF CONTENTS.

8 Section 1(b) (29 U.S.C. 9201 note) is amended—

9 (1) by striking the item relating to section 106

10 and inserting the following:

‘‘Sec. 106. Purposes.’’;

11 (2) by striking the item relating to section 123

12 and inserting the following:

‘‘Sec. 123. Eligible providers of youth activities.’’;

13 (3) by striking the item relating to section 169

14 and inserting the following:

‘‘Sec. 169. Youth challenge grants.’’;

15 (4) by striking the item relating to section 173

16 and inserting the following:

‘‘Sec. 173. National dislocated worker grants.’’;

17 (5) by striking the item relating to section 193

18 and inserting the following:

‘‘Sec. 193. Transfer of Federal equity in State employment security agency real

property to the States.’’;

19 (6) by inserting after the item relating to section

20 243 the following:

‘‘Sec. 244. Integrated English literacy and civics education.’’;
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1 and

2 (7) by striking the item relating to section 502.

3 SEC. 172. CONFORMING AMENDMENTS.

4 (a) TRADE ACT OF 1974.—Section 235 of the Trade

5 Act of 1974 (19 U.S.C. 2295) is amended by striking ‘‘sec6 tion 134(c) of the Workforce Investment Act of 1998 (29

7 U.S.C. 2864(c))’’ and inserting ‘‘section 121(e) of the Work8 force Investment Act of 1998 (29 U.S.C. 2841(e))’’.

9 (b) ADULT EDUCATION AND FAMILY LITERACY ACT.—

10 Section 212(b)(3)(A)(vi) of the Adult Education and Fam11 ily Literacy Act (20 U.S.C. 9212(b)(3)(A)(vi)) is amended

12 by striking ‘‘the representatives described in section

13 136(i)(1)’’ and inserting ‘‘representatives of appropriate

14 Federal agencies, and representatives of States and political

15 subdivisions, business and industry, employees, eligible pro16 viders of employment and training activities (as defined in

17 section 101), educators, and participants (as defined in sec18 tion 101), with expertise regarding workforce investment

19 policies and workforce investment activities (as defined in

20 section 101)’’.

21 (c) OLDER AMERICANS ACT OF 1965.—

22 (1) Subparagraphs (H) and (O) of section

23 502(b)(1) of the Older Americans Act of 1965 (42

24 U.S.C. 3056(b)(1)) are amended by striking ‘‘section

25 134(c) of the Workforce Investment Act of 1998 (29
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1 U.S.C. 2864(c))’’ and inserting ‘‘section 121(e) of the

2 Workforce Investment Act of 1998 (29 U.S.C.

3 2841(e))’’.

4 (2) Section 505(c)(1) of the Older Americans Act

5 of 1965 (42 U.S.C. 3056c(c)(1)) is amended by strik6 ing ‘‘section 134(c) of such Act (29 U.S.C. 2864(c))’’

7 and inserting ‘‘section 121(e) of such Act (29 U.S.C.

8 2841(e))’’.

9 (3) Section 512(a) of the Older Americans Act of

10 1965 (42 U.S.C. 3056j(a)) is amended—

11 (A) by striking ‘‘(B)(vi)’’ and inserting

12 ‘‘(B)(v)’’; and

13 (B) by striking ‘‘section 134(c) of such Act

14 (29 U.S.C. 2864(c))’’ and inserting ‘‘section

15 121(e) of such Act (29 U.S.C. 2841(e))’’.

16 TITLE II—AMENDMENTS TO THE

17 ADULT EDUCATION AND FAM18 ILY LITERACY ACT

19 SEC. 201. SHORT TITLE; PURPOSE.

20 (a) SHORT TITLE.—This title may be cited as the

21 ‘‘Adult Education and Family Literacy Act Amendments

22 of 2005’’.

23 (b) PURPOSE.—Section 202 of the Adult Education

24 and Family Literacy Act (20 U.S.C. 9201) is amended—
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1 (1) in paragraph (2), by striking ‘‘and’’ after the

2 semicolon;

3 (2) in paragraph (3), by striking ‘‘education.’’

4 and inserting ‘‘education and in the transition to

5 postsecondary education; and’’; and

6 (3) by adding at the end the following:

7 ‘‘(4) assist immigrants and other individuals

8 with limited English proficiency in improving their

9 reading, writing, speaking, and mathematics skills

10 and acquiring an understanding of the American free

11 enterprise system, individual freedom, and the re12 sponsibilities of citizenship.’’.

13 SEC. 202. DEFINITIONS.

14 Section 203 of the Adult Education and Family Lit15 eracy Act (20 U.S.C. 9202) is amended—

16 (1) in paragraph (1)—

17 (A) in the matter preceding subparagraph

18 (A), by striking ‘‘services or instruction below

19 the postsecondary level’’ and inserting ‘‘academic

20 instruction and education services below the

21 postsecondary level that increase an individual’s

22 ability to read, write, and speak in English and

23 perform mathematics’’; and

24 (B) by striking subparagraph (C)(i) and in25 serting the following:
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1 ‘‘(i) are basic skills deficient as defined

2 in section 101;’’;

3 (2) in paragraph (2), by striking ‘‘activities de4 scribed in section 231(b)’’ and inserting ‘‘programs

5 and services which include reading, writing, speaking,

6 or mathematics skills, workplace literacy activities,

7 family literacy activities, English language acquisi8 tion activities, or other activities necessary for the at9 tainment of a secondary school diploma or its State

10 recognized equivalent’’;

11 (3) in paragraph (5)—

12 (A) by inserting ‘‘an organization that has

13 demonstrated effectiveness in providing adult

14 education, that may include’’ after ‘‘means’’;

15 (B) in subparagraph (B), by striking ‘‘of

16 demonstrated effectiveness’’;

17 (C) in subparagraph (C), by striking ‘‘of

18 demonstrated effectiveness’’; and

19 (D) in subparagraph (I), by inserting ‘‘or

20 coalition’’ after ‘‘consortium’’;

21 (4) in paragraph (6)—

22 (A) by striking ‘‘LITERACY PROGRAM’’ and

23 inserting ‘‘LANGUAGE ACQUISITION PROGRAM’’;

24 (B) by striking ‘‘literacy program’’ and in25 serting ‘‘language acquisition program’’; and
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1 (C) by inserting ‘‘reading, writing, and

2 speaking’’ after ‘‘competence in’’;

3 (5) by striking paragraph (10);

4 (6) by redesignating paragraphs (7) through (9)

5 and (12) through (18) as paragraphs (8) through (10)

6 and (13) through (19), respectively;

7 (7) by inserting after paragraph (6) the fol8 lowing:

9 ‘‘(7) ESSENTIAL COMPONENTS OF READING IN10 STRUCTION.—The term ‘essential components of read11 ing instruction’ has the meaning given the term in

12 section 1208 of the Elementary and Secondary Edu13 cation Act of 1965 (20 U.S.C. 6368).’’;

14 (8) by inserting after paragraph (11) the fol15 lowing:

16 ‘‘(12) LIMITED ENGLISH PROFICIENCY.—The

17 term ‘limited English proficiency’, when used with re18 spect to an individual, means an adult or out-of19 school youth who has limited ability in speaking,

20 reading, writing, or understanding the English lan21 guage, and—

22 ‘‘(A) whose native language is a language

23 other than English; or
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1 ‘‘(B) who lives in a family or community

2 environment where a language other than

3 English is the dominant language.’’;

4 (9) by striking paragraph (15), as redesignated

5 by paragraph (6), and inserting the following:

6 ‘‘(15) OUTLYING AREA.—The term ‘outlying

7 area’ means the United States Virgin Islands, Guam,

8 American Samoa, and the Commonwealth of the

9 Northern Mariana Islands.’’; and

10 (10) by striking paragraph (19), as redesignated

11 by paragraph (6), and inserting the following:

12 ‘‘(19) WORKPLACE LITERACY PROGRAM.—The

13 term ‘workplace literacy program’ means an edu14 cational program designed to improve the produc15 tivity of the workforce through the improvement of lit16 eracy skills that is offered by an eligible provider in

17 collaboration with an employer or an employee orga18 nization at a workplace, at an off-site location, or in

19 a simulated workplace environment.’’.

20 SEC. 203. HOME SCHOOLS.

21 Section 204 of the Adult Education and Family Lit22 eracy Act (20 U.S.C. 9203) is amended to read as follows:

23 ‘‘SEC. 204. HOME SCHOOLS.

24 ‘‘Nothing in this title shall be construed to affect home

25 schools, whether a home school is treated as a home school
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1 or a private school under State law, or to compel a parent

2 engaged in home schooling to participate in an English lan3 guage acquisition program, family literacy services, or

4 adult education.’’.

5 SEC. 204. AUTHORIZATION OF APPROPRIATIONS.

6 Section 205 of the Adult Education and Family Lit7 eracy Act (20 U.S.C. 9204) is amended—

8 (1) by striking ‘‘1999’’ and inserting ‘‘2006’’;

9 and

10 (2) by striking ‘‘2003’’ and inserting ‘‘2011’’.

11 SEC. 205. RESERVATION OF FUNDS; GRANTS TO ELIGIBLE

12 AGENCIES; ALLOTMENTS.

13 Section 211 of the Adult Education and Family Lit14 eracy Act (20 U.S.C. 9211) is amended—

15 (1) by striking subsection (a) and inserting the

16 following:

17 ‘‘(a) RESERVATION OF FUNDS.—From the sum appro18 priated under section 205 for a fiscal year, the Secretary—

19 ‘‘(1) shall reserve 1.5 percent to carry out section

20 242, except that the amount so reserved shall not ex21 ceed $10,000,000;

22 ‘‘(2) shall reserve 1.5 percent to carry out section

23 243 and subsection (f)(4), except that the amount so

24 reserved shall not exceed $8,000,000;
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1 ‘‘(3) shall make available, to the Secretary of

2 Labor, 1.72 percent for incentive grants under section

3 503; and

4 ‘‘(4) shall reserve 12 percent of the amount that

5 remains after reserving funds under paragraphs (1),

6 (2) and (3) to carry out section 244.’’;

7 (2) in subsection (c)(2)—

8 (A) by inserting ‘‘and the sole agency re9 sponsible for administering or supervising policy

10 for adult education and literacy in the Republic

11 of Palau’’ after ‘‘an initial allotment under

12 paragraph (1)’’;

13 (B) by inserting ‘‘or served by the agency

14 for the Republic of Palau’’ after ‘‘by the eligible

15 agency’’; and

16 (C) by striking ‘‘States and outlying areas’’

17 and inserting ‘‘States, outlying areas, and the

18 Republic of Palau’’;

19 (3) in subsection (e)—

20 (A) in paragraph (1)—

21 (i) by striking ‘‘the Republic of the

22 Marshall Islands, the Federated States of

23 Micronesia, and’’; and
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1 (ii) by striking ‘‘the Republic of the

2 Marshall Islands, the Federated States of

3 Micronesia, or’’ and inserting ‘‘or’’; and

4 (B) in paragraph (3)—

5 (i) by striking ‘‘the Republic of the

6 Marshall Islands, the Federated States of

7 Micronesia, and’’; and

8 (ii) by striking ‘‘2001’’ and inserting

9 ‘‘2007’’;

10 (4) by striking subsection (f) and inserting the

11 following:

12 ‘‘(f) HOLD-HARMLESS PROVISIONS.—

13 ‘‘(1) IN GENERAL.—Notwithstanding subsection

14 (c) and subject to paragraph (2), for fiscal year 2005

15 and each succeeding fiscal year, no eligible agency

16 shall receive an allotment under this section that is

17 less than 90 percent of the allotment the eligible agen18 cy received for the preceding fiscal year under this

19 section.

20 ‘‘(2) 100 PERCENT ALLOTMENT.—Notwith21 standing paragraphs (1) and (2) of subsection (e), an

22 eligible agency that receives only an initial allotment

23 under subsection (c)(1) (and no additional allotment

24 under subsection (c)(2)) shall receive an allotment
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1 under this section that is equal to 100 percent of the

2 initial allotment under subsection (c)(1).

3 ‘‘(3) RATABLE REDUCTION.—If for any fiscal

4 year the amount available for allotment under this

5 subtitle is insufficient to satisfy the provisions of

6 paragraphs (1) and (2), the Secretary shall ratably

7 reduce the payments to all eligible agencies, as nec8 essary.

9 ‘‘(4) ADDITIONAL ASSISTANCE.—

10 ‘‘(A) IN GENERAL.—From amounts reserved

11 under subsection (a)(2), the Secretary shall make

12 grants to eligible agencies described in subpara13 graph (B) to enable such agencies to provide ac14 tivities authorized under chapter 2.

15 ‘‘(B) ELIGIBILITY.—An eligible agency is

16 eligible to receive a grant under this paragraph

17 for a fiscal year if the amount of the allotment

18 such agency receives under this section for the

19 fiscal year is less than the amount such agency

20 would have received for the fiscal year if the al21 lotment formula under this section as in effect on

22 September 30, 2003, were in effect for such year.

23 ‘‘(C) AMOUNT OF GRANT.—The amount of a

24 grant made to an eligible agency under this
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1 paragraph for a fiscal year shall be the difference

2 between—

3 ‘‘(i) the amount of the allotment such

4 agency would have received for the fiscal

5 year if the allotment formula under this sec6 tion as in effect on September 30, 2003,

7 were in effect for such year; and

8 ‘‘(ii) the amount of the allotment such

9 agency receives under this section for the

10 fiscal year.’’; and

11 (5) by adding at the end the following:

12 ‘‘(h) STUDY AND REPORT.—

13 ‘‘(1) STUDY.—The Comptroller General of the

14 United States shall conduct a study concerning the

15 formula described in this section and, in conducting

16 the study, shall at a minimum—

17 ‘‘(A) examine whether the formula results in

18 a distribution of funds that sufficiently serves the

19 entire population of individuals eligible for adult

20 education and literacy activities under this sub21 title;

22 ‘‘(B) examine whether the data used to

23 count qualified adults, for purposes of the for24 mula, accurately measure the population of indi25 viduals eligible for the activities; and
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1 ‘‘(C) develop recommendations for improv2 ing the formula so that the formula results in a

3 distribution of funds that better serves that popu4 lation and the data used to count qualified

5 adults accurately measure that population.

6 ‘‘(2) REPORT.—Not later than 3 years after the

7 date of enactment of the Workforce Investment Act

8 Amendments of 2005, the Comptroller General shall

9 submit to Congress a report containing the results of

10 the study described in paragraph (1).’’.

11 SEC. 206. PERFORMANCE ACCOUNTABILITY SYSTEM.

12 Section 212 of the Adult Education and Family Lit13 eracy Act (20 U.S.C. 9212) is amended—

14 (1) in subsection (b)—

15 (A) in paragraph (1)(A)(ii), by striking

16 ‘‘additional indicators of performance (if any)’’

17 and inserting ‘‘the employment performance in18 dicators’’;

19 (B) by striking paragraph (2) and inserting

20 the following:

21 ‘‘(2) INDICATORS OF PERFORMANCE.—

22 ‘‘(A) CORE INDICATORS OF PERFORM23 ANCE.—An eligible agency shall identify in the

24 State plan individual academic performance in-
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1 dicators that include, at a minimum, the fol2 lowing:

3 ‘‘(i) Measurable improvements in lit4 eracy skill levels in reading, writing, and

5 speaking the English language, numeracy,

6 problem solving, English language acquisi7 tion, and other literacy skills.

8 ‘‘(ii) Placement in, retention in, or

9 completion of, postsecondary education or

10 other training programs.

11 ‘‘(iii) Completion of a secondary school

12 diploma, its recognized equivalent, or a rec13 ognized alternative standard for individuals

14 with disabilities.

15 ‘‘(B) EMPLOYMENT PERFORMANCE INDICA16 TORS.—

17 ‘‘(i) IN GENERAL.—An eligible agency

18 shall identify in the State plan individual

19 participant employment performance indi20 cators that include, at a minimum, the fol21 lowing:

22 ‘‘(I) Entry into unsubsidized em23 ployment.
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1 ‘‘(II) Retention in unsubsidized

2 employment 6 months after entry into

3 the employment.

4 ‘‘(III) Increases in earnings from

5 unsubsidized employment.

6 ‘‘(ii) DATA COLLECTION.—The State

7 workforce investment board shall assist the

8 eligible agency in obtaining and using

9 quarterly wage records to collect data for

10 each of the indicators described in clause

11 (i), consistent with applicable Federal and

12 State privacy laws.

13 ‘‘(C) INDICATORS FOR WORKPLACE LIT14 ERACY PROGRAMS.—Special accountability

15 measures may be negotiated for workplace lit16 eracy programs.’’; and

17 (C) in paragraph (3)—

18 (i) in subparagraph (A)—

19 (I) in clause (i)(II), by striking

20 ‘‘in performance’’ and inserting ‘‘the

21 agency’s performance outcomes in an

22 objective, quantifiable, and measurable

23 form’’;
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1 (II) in clause (ii), by striking ‘‘3

2 program years’’ and inserting ‘‘2 pro3 gram years’’;

4 (III) in clause (iii), by striking

5 ‘‘FIRST 3 YEARS’’ and inserting ‘‘FIRST

6 2 YEARS’’;

7 (IV) in clause (iii), by striking

8 ‘‘first 3 program years’’ and inserting

9 ‘‘first 2 program years’’;

10 (V) in clause (v), by striking ‘‘4TH

11 AND 5TH’’ and inserting ‘‘3RD AND

12 4TH’’;

13 (VI) in clause (v), by striking ‘‘to

14 the fourth’’ and inserting ‘‘to the

15 third’’;

16 (VII) in clause (v), by striking

17 ‘‘fourth and fifth’’ and inserting ‘‘third

18 and fourth’’; and

19 (VIII) in clause (vi), by striking

20 ‘‘(II)’’ and inserting ‘‘(I)’’;

21 (ii) in subparagraph (B)—

22 (I) by striking the heading and

23 inserting ‘‘LEVELS OF EMPLOYMENT

24 PERFORMANCE’’;
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1 (II) by striking ‘‘may’’ and in2 serting ‘‘shall’’; and

3 (III) by striking ‘‘additional’’ and

4 inserting ‘‘employment performance’’;

5 and

6 (iii) by adding at the end the fol7 lowing:

8 ‘‘(C) ALTERNATIVE ASSESSMENT SYS9 TEMS.—Eligible agencies may approve the use of

10 assessment systems that are not commercially

11 available standardized systems if such systems

12 meet the Standards for Educational and Psycho13 logical Testing issued by the Joint Committee on

14 Standards for Educational and Psychological

15 Testing of the American Educational Research

16 Association, the American Psychological Associa17 tion, and the National Council on Measurement

18 in Education.’’;

19 (2) in subsection (c)—

20 (A) in paragraph (1)—

21 (i) by inserting ‘‘, the Governor, the

22 State legislature, and the State workforce

23 investment board’’ after ‘‘Secretary’’; and
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1 (ii) by striking ‘‘including’’ and all

2 that follows through the period and insert3 ing ‘‘including the following:

4 ‘‘(A) Information on the levels of perform5 ance achieved by the eligible agency with respect

6 to the core indicators of performance, and em7 ployment performance indicators.

8 ‘‘(B) Information on the number or percent9 age of qualifying adults (as defined in section

10 211(d)) who are participants in adult education

11 programs under this subtitle and making satis12 factory progress toward 1 or more of each of the

13 following:

14 ‘‘(i) Core indicators of performance.

15 ‘‘(ii) Employment performance indica16 tors.

17 ‘‘(iii) Other long-term objectives.

18 ‘‘(C) The number and type of each eligible

19 provider that receives funding under such grant.

20 ‘‘(D) The number of enrollees 16 to 18 years

21 of age who enrolled in adult education not later

22 than 1 year after participating in secondary

23 school education.’’;

24 (B) in paragraph (2)(A), by inserting ‘‘eli25 gible providers and’’ after ‘‘available to’’; and
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1 (C) by adding at the end the following:

2 ‘‘(3) DATA ACCESS.—The report made available

3 under paragraph (2) shall indicate which eligible

4 agencies did not have access to State unemployment

5 insurance wage data in measuring employment per6 formance indicators.’’; and

7 (3) by adding at the end the following:

8 ‘‘(d) PROGRAM IMPROVEMENT.—

9 ‘‘(1) IN GENERAL.—If the Secretary determines

10 that an eligible agency did not meet its adjusted levels

11 of performance for the core indicators of performance

12 described in subsection (b)(2)(A) for any program

13 year, the eligible agency shall—

14 ‘‘(A) work with the Secretary to develop and

15 implement a program improvement plan for the

16 2 program years succeeding the program year in

17 which the eligible agency did not meet its ad18 justed levels of performance; and

19 ‘‘(B) revise its State plan under section

20 224, if necessary, to reflect the changes agreed to

21 in the program improvement plan.

22 ‘‘(2) FURTHER ASSISTANCE.—If, after the period

23 described in paragraph (1)(A), the Secretary has pro24 vided technical assistance to the eligible agency but

25 determines that the eligible agency did not meet its
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1 adjusted levels of performance for the core indicators

2 of performance described in subsection (b)(2)(A), the

3 Secretary may require the eligible agency to make

4 further revisions to the program improvement plan

5 described in paragraph (1). Such further revisions

6 shall be accompanied by further technical assistance

7 from the Secretary.’’.

8 SEC. 207. STATE ADMINISTRATION.

9 Section 221(1) of the Adult Education and Family

10 Literacy Act (20 U.S.C. 9221(1)) is amended by striking

11 ‘‘and implementation’’ and inserting ‘‘implementation, and

12 monitoring’’.

13 SEC. 208. STATE DISTRIBUTION OF FUNDS; MATCHING RE14 QUIREMENT.

15 Section 222 of the Adult Education and Family Lit16 eracy Act (20 U.S.C. 9222) is amended—

17 (1) in subsection (a)—

18 (A) in paragraph (1)—

19 (i) by striking ‘‘82.5’’ the first place

20 such term appears and inserting ‘‘80’’; and

21 (ii) by striking ‘‘the 82.5 percent’’ and

22 inserting ‘‘such amount’’;

23 (B) in paragraph (2), by striking ‘‘not more

24 than 12.5 percent’’ and inserting ‘‘not more than

25 15 percent’’; and
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1 (C) in paragraph (3), by striking ‘‘$65,000’’

2 and inserting ‘‘$75,000’’; and

3 (2) in subsection (b)(1), by striking ‘‘equal to’’

4 and inserting ‘‘that is not less than’’.

5 SEC. 209. STATE LEADERSHIP ACTIVITIES.

6 Section 223 of the Adult Education and Family Lit7 eracy Act (20 U.S.C. 9223) is amended—

8 (1) in subsection (a)—

9 (A) in the matter preceding paragraph (1),

10 by inserting ‘‘to develop or enhance the adult

11 education system of the State or outlying area’’

12 after ‘‘activities’’;

13 (B) in paragraph (1), by striking ‘‘instruc14 tion incorporating’’ and all that follows through

15 the period and inserting ‘‘instruction incor16 porating the essential components of reading in17 struction and instruction provided by volunteers

18 or by personnel of a State or outlying area.’’;

19 (C) in paragraph (2), by inserting ‘‘, in20 cluding development and dissemination of in21 structional and programmatic practices based on

22 the most rigorous research available and appro23 priate, including scientifically based research

24 that is available and appropriate, in reading,

25 writing, speaking, mathematics, English lan-
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1 guage acquisition programs, distance learning,

2 and staff training’’ after ‘‘activities’’;

3 (D) in paragraph (5), by striking ‘‘moni4 toring and’’;

5 (E) by striking paragraph (6) and inserting

6 the following:

7 ‘‘(6) The development and implementation of

8 technology applications, translation technology, or

9 distance learning, including professional development

10 to support the use of instructional technology.’’; and

11 (F) by striking paragraph (7) through

12 paragraph (11) and inserting the following:

13 ‘‘(7) Coordination with—

14 ‘‘(A) other partners carrying out activities

15 authorized under this Act; and

16 ‘‘(B) existing support services, such as

17 transportation, child care, mental health services,

18 and other assistance designed to increase rates of

19 enrollment in, and successful completion of,

20 adult education and literacy activities, for adults

21 enrolled in such activities.

22 ‘‘(8) Developing and disseminating curricula, in23 cluding curricula incorporating the essential compo24 nents of reading instruction as such components re25 late to adults.
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1 ‘‘(9) The provision of assistance to eligible pro2 viders in developing, implementing, and reporting

3 measurable progress in achieving the objectives of this

4 subtitle.

5 ‘‘(10) The development and implementation of a

6 system to assist in the transition from adult basic

7 education to postsecondary education, including link8 ages with postsecondary educational institutions.

9 ‘‘(11) Integration of literacy and English lan10 guage instruction with occupational skill training,

11 and promoting linkages with employers.

12 ‘‘(12) Activities to promote workplace literacy

13 programs.

14 ‘‘(13) Activities to promote and complement local

15 outreach initiatives described in section 243(b)(3)(F).

16 ‘‘(14) In cooperation with efforts funded under

17 sections 242 and 243, the development of curriculum

18 frameworks and rigorous content standards that—

19 ‘‘(A) specify what adult learners should

20 know and be able to do in the areas of reading

21 and language arts, mathematics, and English

22 language acquisition; and

23 ‘‘(B) take into consideration the following:
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1 ‘‘(i) State academic standards estab2 lished under section 1111(b) of the Elemen3 tary and Secondary Education Act of 1965.

4 ‘‘(ii) The current adult skills and lit5 eracy assessments used in the State or out6 lying area.

7 ‘‘(iii) The core indicators of perform8 ance established under section 212(b)(2)(A).

9 ‘‘(iv) Standards and academic require10 ments for enrollment in non-remedial, for11 credit, courses in postsecondary education

12 institutions supported by the State or out13 lying area.

14 ‘‘(v) Where appropriate, the basic and

15 literacy skill content of occupational and

16 industry skill standards widely used by

17 business and industry in the State or out18 lying area.

19 ‘‘(15) In cooperation with efforts funded under

20 sections 242 and 243, development and piloting of—

21 ‘‘(A) new assessment tools and strategies

22 that—

23 ‘‘(i) are based on scientifically based

24 research, where available and appropriate;

25 and
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1 ‘‘(ii) identify the needs and capture the

2 gains of students at all levels, with par3 ticular emphasis on—

4 ‘‘(I) students at the lowest

5 achievement level;

6 ‘‘(II) students who have limited

7 English proficiency; and

8 ‘‘(III) adults with learning dis9 abilities;

10 ‘‘(B) options for improving teacher quality

11 and retention; and

12 ‘‘(C) assistance in converting research into

13 practice.

14 ‘‘(16) The development and implementation of

15 programs and services to meet the needs of adult

16 learners with learning disabilities or limited English

17 proficiency.

18 ‘‘(17) Other activities of statewide significance

19 that promote the purpose of this title.’’; and

20 (2) in subsection (c), by striking ‘‘being State- or

21 outlying area-imposed’’ and inserting ‘‘being imposed

22 by the State or outlying area’’.

23 SEC. 210. STATE PLAN.

24 Section 224 of the Adult Education and Family Lit25 eracy Act (20 U.S.C. 9224) is amended—
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1 (1) in subsection (a)—

2 (A) by striking the heading and inserting

3 ‘‘4-YEAR PLANS’’; and

4 (B) in paragraph (1), by striking ‘‘5’’ and

5 inserting ‘‘4’’;

6 (2) in subsection (b)—

7 (A) in paragraph (1), by inserting ‘‘and the

8 role of provider and cooperating agencies in pre9 paring the assessment’’ after ‘‘serve’’;

10 (B) by striking paragraph (2) and inserting

11 the following:

12 ‘‘(2) a description of how the eligible agency will

13 address the adult education and literacy needs identi14 fied under paragraph (1) in each workforce develop15 ment area of the State, using funds received under

16 this subtitle, as well as other Federal, State, or local

17 funds received in partnership with other agencies for

18 the purpose of adult literacy as applicable;’’;

19 (C) in paragraph (3)—

20 (i) by inserting ‘‘and measure’’ after

21 ‘‘evaluate’’;

22 (ii) by inserting ‘‘and improvement’’

23 after ‘‘effectiveness’’; and

24 (iii) by striking ‘‘212’’ and inserting

25 ‘‘212, including—
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1 ‘‘(A) how the eligible agency will evaluate

2 and measure annually such effectiveness on a

3 grant-by-grant basis; and

4 ‘‘(B) how the eligible agency—

5 ‘‘(i) will hold eligible providers ac6 countable regarding the progress of such

7 providers in improving the academic

8 achievement of participants in adult edu9 cation programs under this subtitle and re10 garding the core indicators of performance

11 described in section 212(b)(2)(A); and

12 ‘‘(ii) will use technical assistance,

13 sanctions, and rewards (including alloca14 tion of grant funds based on performance

15 and termination of grant funds based on

16 performance)’’;

17 (D) by redesignating paragraphs (5)

18 through (12) as paragraphs (6) through (13), re19 spectively;

20 (E) by inserting after paragraph (4) the fol21 lowing:

22 ‘‘(5) a description of how the eligible agency will

23 improve teacher quality, the professional development

24 of eligible providers, and instruction;’’;
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1 (F) in paragraph (6) (as redesignated by

2 subparagraph (D)), by striking ‘‘who’’ and all

3 that follows through the semicolon and inserting

4 ‘‘that—

5 ‘‘(A) offers flexible schedules and coordinates

6 with necessary Federal, State, and local support

7 services (such as child care, transportation, men8 tal health services, and case management) to en9 able individuals, including individuals with dis10 abilities or individuals with other special needs,

11 to participate in adult education and literacy

12 activities; and

13 ‘‘(B) attempts to coordinate with support

14 services that are not provided under this subtitle

15 prior to using funds for adult education and lit16 eracy activities provided under this subtitle for

17 support services;’’;

18 (G) in paragraph (10) (as redesignated by

19 subparagraph (D)), by striking ‘‘plan;’’ and in20 serting ‘‘plan, which process—

21 ‘‘(A) shall include the State workforce in22 vestment board, the Governor, State officials rep23 resenting public schools, community colleges, wel24 fare agencies, agencies that provide services to

25 individuals with disabilities, other State agencies
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1 that promote or operate adult education and lit2 eracy activities, and direct providers of such

3 adult literacy services; and

4 ‘‘(B) may include consultation with the

5 State agency for higher education, institutions

6 responsible for professional development of adult

7 education and literacy education program in8 structors, institutions of higher education, rep9 resentatives of business and industry, refugee as10 sistance programs, and community-based organi11 zations (as such term is defined in section

12 101);’’;

13 (H) in paragraph (11) (as redesignated by

14 subparagraph (D))—

15 (i) by inserting ‘‘assess potential popu16 lation needs and’’ after ‘‘will’’;

17 (ii) in subparagraph (A), by striking

18 ‘‘students’’ and inserting ‘‘individuals’’;

19 (iii) in subparagraph (C), by striking

20 ‘‘and’’ after the semicolon; and

21 (iv) by adding at the end the following:

22 ‘‘(E) the unemployed; and

23 ‘‘(F) those individuals who are employed,

24 but at levels below self-sufficiency, as defined in

25 section 101;’’;
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1 (I) in paragraph (12) (as redesignated by

2 subparagraph (D))—

3 (i) by inserting ‘‘and how the plan

4 submitted under this subtitle is coordinated

5 with the plan submitted by the State under

6 title I’’ after ‘‘eligible agency’’; and

7 (ii) by striking ‘‘and’’ after the semi8 colon;

9 (J) in paragraph (13) (as redesignated by

10 subparagraph (D)), by striking ‘‘231(c)(1).’’ and

11 inserting ‘‘231(c)(1), including—

12 ‘‘(A) how the State will build the capacity

13 of organizations that provide adult education

14 and literacy activities; and

15 ‘‘(B) how the State will increase the partici16 pation of business and industry in adult edu17 cation and literacy activities;’’; and

18 (K) by adding at the end the following:

19 ‘‘(14) a description of how the eligible agency

20 will consult with any State agency responsible for

21 postsecondary education to develop adult education

22 programs and services (including academic skill de23 velopment and support services) that prepare students

24 to enter postsecondary education upon the attainment
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1 of a secondary school diploma or its recognized equiv2 alent;

3 ‘‘(15) a description of how the eligible agency

4 will consult with the State agency responsible for

5 workforce development to develop adult education pro6 grams and services that are designed to prepare stu7 dents to enter the workforce; and

8 ‘‘(16) a description of how the eligible agency

9 will improve the professional development of eligible

10 providers of adult education and literacy activities.’’;

11 (3) in subsection (c), by adding at the end the

12 following: ‘‘At the end of the first 2-year period of the

13 4-year State plan, the eligible agency shall review

14 and, as needed, revise the 4-year State plan.’’; and

15 (4) in subsection (d)—

16 (A) in paragraph (1), by inserting ‘‘, the

17 chief State school officer, the State officer respon18 sible for administering community and technical

19 colleges, and the State workforce investment

20 board’’ after ‘‘Governor’’; and

21 (B) in paragraph (2), by striking ‘‘com22 ments’’ and all that follows through the period

23 and inserting ‘‘comments regarding the State

24 plan by the Governor, the chief State school offi25 cer, the State officer responsible for admin-
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1 istering community and technical colleges, and

2 the State workforce investment board, and any

3 revision to the State plan, are submitted to the

4 Secretary.’’.

5 SEC. 211. PROGRAMS FOR CORRECTIONS EDUCATION AND

6 OTHER INSTITUTIONALIZED INDIVIDUALS.

7 Section 225 of the Adult Education and Family Lit8 eracy Act (20 U.S.C. 9225) is amended—

9 (1) in subsection (b)—

10 (A) in paragraph (1), by striking ‘‘basic

11 education’’ and inserting ‘‘adult education and

12 literacy activities’’;

13 (B) in paragraph (2), by inserting ‘‘and’’

14 after the semicolon;

15 (C) by striking paragraph (3); and

16 (D) by redesignating paragraph (4) as

17 paragraph (3); and

18 (2) in subsection (d), by striking ‘‘DEFINITION

19 OF CRIMINAL OFFENDER.—’’ and inserting ‘‘DEFINI20 TIONS.—In this section:’’.

21 SEC. 212. GRANTS AND CONTRACTS FOR ELIGIBLE PRO22 VIDERS.

23 Section 231 of the Adult Education and Family Lit24 eracy Act (20 U.S.C. 9241) is amended—

25 (1) in subsection (b)—
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1 (A) in paragraph (1), by striking ‘‘work2 place literacy services’’ and inserting ‘‘workplace

3 literacy programs’’; and

4 (B) in paragraph (3), by striking ‘‘literacy’’

5 and inserting ‘‘language acquisition’’; and

6 (2) in subsection (e)—

7 (A) in paragraph (1), by inserting ‘‘to be

8 achieved annually on the core indicators of per9 formance and employment performance indica10 tors described in section 212(b)(2)’’ after ‘‘out11 comes’’;

12 (B) by striking paragraph (3) and inserting

13 the following:

14 ‘‘(3) the commitment of the eligible provider to

15 be responsive to local needs and to serve individuals

16 in the community who were identified by the assess17 ment as most in need of adult literacy services, in18 cluding individuals who are low-income, have mini19 mal literacy skills, have learning disabilities, or have

20 limited English proficiency;’’;

21 (C) in paragraph (4)(B), by striking ‘‘,

22 such as’’ and all that follows through the semi23 colon and inserting ‘‘that include the essential

24 components of reading instruction;’’;
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1 (D) in paragraph (5), by striking ‘‘re2 search’’ and inserting ‘‘the most rigorous re3 search available, including scientifically based

4 research,’’;

5 (E) in paragraph (9), by inserting ‘‘edu6 cation, job training, and social service’’ after

7 ‘‘other available’’;

8 (F) in paragraph (10)—

9 (i) by inserting ‘‘coordination with

10 Federal, State, and local’’ after ‘‘schedules

11 and’’; and

12 (ii) by striking ‘‘and transportation’’

13 and inserting ‘‘, transportation, mental

14 health services, and case management’’;

15 (G) in paragraph (11)—

16 (i) by inserting ‘‘measurable’’ after

17 ‘‘report’’;

18 (ii) by striking ‘‘eligible agency’’;

19 (iii) by inserting ‘‘established by the el20 igible agency’’ after ‘‘performance meas21 ures’’; and

22 (iv) by striking ‘‘and’’ after the semi23 colon;

24 (H) in paragraph (12), by striking ‘‘lit25 eracy programs.’’ and inserting ‘‘language acqui-
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1 sition programs and civics education pro2 grams;’’; and

3 (I) by adding at the end the following:

4 ‘‘(13) the capacity of the eligible provider to

5 produce information on performance results, includ6 ing enrollments and measurable participant out7 comes;

8 ‘‘(14) whether reading, writing, speaking, mathe9 matics, and English language acquisition instruction

10 provided by the eligible provider are based on the best

11 practices derived from the most rigorous research

12 available and appropriate, including scientifically

13 based research that is available and appropriate;

14 ‘‘(15) whether the eligible provider’s applications

15 of technology and services to be provided are sufficient

16 to increase the amount and quality of learning and

17 lead to measurable learning gains within specified

18 time periods; and

19 ‘‘(16) the capacity of the eligible provider to

20 serve adult learners with learning disabilities.’’.

21 SEC. 213. LOCAL APPLICATION.

22 Section 232 of the Adult Education and Family Lit23 eracy Act (20 U.S.C. 9242) is amended—

24 (1) in paragraph (1)—
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1 (A) by inserting ‘‘consistent with the re2 quirements of this subtitle’’ after ‘‘spent’’; and

3 (B) by striking ‘‘and’’ after the semicolon;

4 (2) in paragraph (2), by striking the period at

5 the end and inserting ‘‘; and’’; and

6 (3) by adding at the end the following:

7 ‘‘(3) information that addresses each of the con8 siderations required under section 231(e).’’.

9 SEC. 214. LOCAL ADMINISTRATIVE COST LIMITS.

10 Section 233 of the Adult Education and Family Lit11 eracy Act (20 U.S.C. 9243) is amended—

12 (1) in subsection (a)(2)—

13 (A) by inserting ‘‘and professional’’ after

14 ‘‘personnel’’; and

15 (B) by inserting ‘‘development of measur16 able goals in reading, writing, and speaking the

17 English language, and in mathematical com18 putation,’’ after ‘‘development,’’; and

19 (2) in subsection (b)—

20 (A) by inserting ‘‘and professional’’ after

21 ‘‘personnel’’; and

22 (B) by inserting ‘‘development of measur23 able goals in reading, writing, and speaking the

24 English language, and in mathematical com25 putation,’’ after ‘‘development,’’.
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1 SEC. 215. ADMINISTRATIVE PROVISIONS.

2 Section 241(b) of the Adult Education and Family

3 Literacy Act (20 U.S.C. 9251(b)) is amended—

4 (1) in paragraph (1)(A)—

5 (A) by striking ‘‘adult education and lit6 eracy activities’’ each place the term appears

7 and inserting ‘‘activities under this subtitle’’;

8 and

9 (B) by striking ‘‘was’’ and inserting

10 ‘‘were’’; and

11 (2) in paragraph (4)—

12 (A) by inserting ‘‘not more than’’ after

13 ‘‘this subsection for’’; and

14 (B) by striking ‘‘only’’.

15 SEC. 216. NATIONAL INSTITUTE FOR LITERACY.

16 Section 242 of the Adult Education and Family Lit17 eracy Act (20 U.S.C. 9252) is amended—

18 (1) in subsection (a)—

19 (A) in paragraph (1), by striking ‘‘literacy’’

20 and inserting ‘‘effective literacy programs for

21 children, youth, adults, and families’’;

22 (B) in paragraph (2), by inserting ‘‘and

23 disseminates information on’’ after ‘‘coordi24 nates’’; and

25 (C) by striking paragraph (3)(A) and in26 serting the following:
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1 ‘‘(A) coordinating and participating in the

2 Federal effort to identify and disseminate infor3 mation on literacy that is derived from scientif4 ically based research, or the most rigorous re5 search available, and effective programs that

6 serve children, youth, adults, and families; and’’;

7 (2) by striking subsection (b)(3) and inserting

8 the following:

9 ‘‘(3) RECOMMENDATIONS.—The Interagency

10 Group, in consultation with the National Institute for

11 Literacy Advisory Board (in this section referred to

12 as the ‘Board’) established under subsection (e), shall

13 plan the goals of the Institute and the implementation

14 of any programs to achieve the goals. The Board may

15 also request a meeting of the Interagency Group to

16 discuss any recommendations the Board may make.’’;

17 (3) in subsection (c)—

18 (A) in paragraph (1)—

19 (i) in subparagraph (A)—

20 (I) by striking ‘‘to establish’’ and

21 inserting ‘‘to maintain’’;

22 (II) in clause (i), by striking

23 ‘‘phonemic awareness, systematic

24 phonics, fluency, and reading com25 prehension’’ and inserting ‘‘the essen-
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1 tial components of reading instruc2 tion’’;

3 (III) in clause (iii), by striking

4 ‘‘and’’ after the semicolon;

5 (IV) in clause (iv), by inserting

6 ‘‘and’’ after the semicolon; and

7 (V) by adding at the end the fol8 lowing:

9 ‘‘(v) a list of local adult education and

10 literacy programs;’’;

11 (ii) in subparagraph (C)—

12 (I) by striking ‘‘reliable and

13 replicable research’’ and inserting ‘‘re14 liable and replicable research as de15 fined by the Institute of Education

16 Sciences’’; and

17 (II) by striking ‘‘especially with

18 the Office of Educational Research and

19 Improvement in the Department of

20 Education,’’;

21 (iii) in subparagraph (D), by striking

22 ‘‘phonemic awareness, systematic phonics,

23 fluency, and reading comprehension based

24 on’’ and inserting ‘‘the essential components

25 of reading instruction and’’;
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1 (iv) in subparagraph (H), by striking

2 ‘‘and’’ after the semicolon;

3 (v) in subparagraph (I), by striking

4 the period at the end and inserting a semi5 colon; and

6 (vi) by adding at the end the following:

7 ‘‘(J) to work cooperatively with the Depart8 ment of Education to assist States that are pur9 suing the implementation of standards-based

10 educational improvements for adults through the

11 dissemination of training, technical assistance,

12 and related support and through the development

13 and dissemination of related standards-based as14 sessment instruments; and

15 ‘‘(K) to identify scientifically based research

16 where available and appropriate, or the most

17 rigorous research available and appropriate, on

18 the effectiveness of instructional practices and or19 ganizational strategies relating to literacy pro20 grams on the acquisition of skills in reading,

21 writing, English acquisition, and mathematics.’’;

22 and

23 (B) by adding at the end the following:

24 ‘‘(3) COORDINATION.—In identifying the reliable

25 and replicable research the Institute will support, the
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1 Institute shall use standards for research quality that

2 are consistent with those of the Institute of Education

3 Sciences.’’;

4 (4) in subsection (e)—

5 (A) in paragraph (1)(B)—

6 (i) in clause (i), by striking ‘‘literacy

7 programs’’ and inserting ‘‘language acquisi8 tion programs’’;

9 (ii) in clause (ii), by striking ‘‘literacy

10 programs’’ and inserting ‘‘or have partici11 pated in or partnered with workplace lit12 eracy programs’’;

13 (iii) in clause (iv), by inserting ‘‘, in14 cluding adult literacy research’’ after ‘‘re15 search’’;

16 (iv) in clause (vi), by striking ‘‘and’’

17 after the semicolon;

18 (v) in clause (vii), by striking the pe19 riod at the end and inserting ‘‘; and’’; and

20 (vi) by adding at the end the following:

21 ‘‘(viii) institutions of higher edu22 cation.’’;

23 (B) in paragraph (2)—

24 (i) in subparagraph (B), by striking

25 ‘‘and’’ after the semicolon;
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1 (ii) in subparagraph (C), by striking

2 the period at the end and inserting ‘‘; and’’;

3 and

4 (iii) by adding at the end the fol5 lowing:

6 ‘‘(D) review the biennial report submitted to

7 Congress pursuant to subsection (k).’’; and

8 (C) in paragraph (5), by striking the second

9 sentence and inserting the following: ‘‘A rec10 ommendation of the Board may be passed only

11 by a majority of the Board’s members present at

12 a meeting for which there is a quorum.’’; and

13 (5) in subsection (k)—

14 (A) by striking ‘‘Labor and Human Re15 sources’’ and inserting ‘‘Health, Education,

16 Labor, and Pensions’’; and

17 (B) by striking ‘‘The Institute shall submit

18 a report biennially to’’ and inserting ‘‘Not later

19 than 1 year after the date of enactment of the

20 Adult Education and Family Literacy Act

21 Amendments of 2005, and biennially thereafter,

22 the Institute shall submit a report to’’.

23 SEC. 217. NATIONAL LEADERSHIP ACTIVITIES.

24 Section 243 of the Adult Education and Family Lit25 eracy Act (20 U.S.C. 9253) is amended to read as follows:
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1 ‘‘SEC. 243. NATIONAL LEADERSHIP ACTIVITIES.

2 ‘‘(a) IN GENERAL.—The Secretary shall establish and

3 carry out a program of national leadership activities to en4 hance the quality of adult education and literacy programs

5 nationwide.

6 ‘‘(b) PERMISSIVE ACTIVITIES.—The national leader7 ship activities described in subsection (a) may include the

8 following:

9 ‘‘(1) Technical assistance, including—

10 ‘‘(A) assistance provided to eligible pro11 viders in developing and using performance

12 measures for the improvement of adult education

13 and literacy activities, including family literacy

14 services;

15 ‘‘(B) assistance related to professional devel16 opment activities, and assistance for the pur17 poses of developing, improving, identifying, and

18 disseminating the most successful methods and

19 techniques for providing adult education and lit20 eracy activities, including family literacy serv21 ices, based on scientific evidence where available;

22 ‘‘(C) assistance in distance learning and

23 promoting and improving the use of technology

24 in the classroom;

25 ‘‘(D) assistance in developing valid, meas26 urable, and reliable performance data, including
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1 data about employment and employment out2 come, and using performance information for the

3 improvement of adult education and literacy

4 programs; and

5 ‘‘(E) assistance to help States, particularly

6 low-performing States, meet the requirements of

7 section 212.

8 ‘‘(2) A program of grants, contracts, or coopera9 tive agreements awarded on a competitive basis to na10 tional, regional, or local networks of private nonprofit

11 organizations, public libraries, or institutions of high12 er education to build the capacity of such networks’

13 members to meet the performance requirements of eli14 gible providers under this title and involve adult

15 learners in program improvement.

16 ‘‘(3) Funding national leadership activities that

17 are not described in paragraph (1), either directly or

18 through grants, contracts, or cooperative agreements

19 awarded on a competitive basis to or with postsec20 ondary educational institutions, public or private or21 ganizations or agencies, or consortia of such institu22 tions, organizations, or agencies, such as—

23 ‘‘(A) developing, improving, and identifying

24 the most successful methods and techniques for

25 addressing the education needs of adults, includ-
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1 ing instructional practices using the essential

2 components of reading instruction based on the

3 work of the National Institute of Child Health

4 and Human Development;

5 ‘‘(B) increasing the effectiveness of, and im6 proving the quality of, adult education and lit7 eracy activities, including family literacy serv8 ices;

9 ‘‘(C) carrying out rigorous research, includ10 ing scientifically based research where appro11 priate, on national literacy basic skill acquisi12 tion for adult learning, including estimating the

13 number of adults functioning at the lowest levels

14 of literacy proficiency;

15 ‘‘(D)(i) carrying out demonstration pro16 grams;

17 ‘‘(ii) disseminating best practices informa18 tion, including information regarding promising

19 practices resulting from federally funded dem20 onstration programs; and

21 ‘‘(iii) developing and replicating best prac22 tices and innovative programs, including—

23 ‘‘(I) the development of models for

24 basic skill certificates;
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1 ‘‘(II) the identification of effective

2 strategies for working with adults with

3 learning disabilities and with adults with

4 limited English proficiency;

5 ‘‘(III) integrated basic and workplace

6 skills education programs;

7 ‘‘(IV) coordinated literacy and employ8 ment services; and

9 ‘‘(V) postsecondary education transi10 tion programs;

11 ‘‘(E) providing for the conduct of an inde12 pendent evaluation and assessment of adult edu13 cation and literacy activities through studies

14 and analyses conducted independently through

15 grants and contracts awarded on a competitive

16 basis, which evaluation and assessment shall in17 clude descriptions of—

18 ‘‘(i) the effect of performance measures

19 and other measures of accountability on the

20 delivery of adult education and literacy ac21 tivities, including family literacy services;

22 ‘‘(ii) the extent to which the adult edu23 cation and literacy activities, including

24 family literacy services, increase the lit25 eracy skills of adults (and of children, in
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1 the case of family literacy services), lead the

2 participants in such activities to involve3 ment in further education and training, en4 hance the employment and earnings of such

5 participants, and, if applicable, lead to

6 other positive outcomes, such as reductions

7 in recidivism in the case of prison-based

8 adult education and literacy activities;

9 ‘‘(iii) the extent to which the provision

10 of support services to adults enrolled in

11 adult education and family literacy pro12 grams increase the rate of enrollment in,

13 and successful completion of, such pro14 grams; and

15 ‘‘(iv) the extent to which different types

16 of providers measurably improve the skills

17 of participants in adult education and lit18 eracy programs;

19 ‘‘(F) supporting efforts aimed at capacity

20 building of programs at the State and local levels

21 such as technical assistance in program plan22 ning, assessment, evaluation, and monitoring of

23 activities carried out under this subtitle;

24 ‘‘(G) collecting data, such as data regarding

25 the improvement of both local and State data
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1 systems, through technical assistance and devel2 opment of model performance data collection sys3 tems;

4 ‘‘(H) supporting the development of an enti5 ty that would produce and distribute technology6 based programs and materials for adult edu7 cation and literacy programs using an inter8 connection system (as defined in section 397 of

9 the Communications Act of 1934 (47 U.S.C.

10 397)) and expand the effective outreach and use

11 of such programs and materials to adult edu12 cation eligible providers;

13 ‘‘(I) determining how participation in

14 adult education and literacy activities prepares

15 individuals for entry into postsecondary edu16 cation and employment and, in the case of pris17 on-based services, has an effect on recidivism;

18 and

19 ‘‘(J) other activities designed to enhance the

20 quality of adult education and literacy activities

21 nationwide.’’.

22 SEC. 218. INTEGRATED ENGLISH LITERACY AND CIVICS

23 EDUCATION.

24 Chapter 4 of subtitle A of title II (29 U.S.C. 9251 et

25 seq.) is amended by adding at the end the following:
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1 ‘‘SEC. 244. INTEGRATED ENGLISH LITERACY AND CIVICS

2 EDUCATION.

3 ‘‘(a) IN GENERAL.—From funds made available under

4 section 211(a)(4) for each fiscal year, the Secretary shall

5 award grants to States, from allotments under subsection

6 (b), for integrated English literacy and civics education.

7 ‘‘(b) ALLOTMENT.—

8 ‘‘(1) IN GENERAL.—Subject to paragraph (2),

9 from amounts made available under section 211(a)(4)

10 for a fiscal year, the Secretary shall allocate—

11 ‘‘(A) 65 percent to the States on the basis

12 of a State’s need for integrated English literacy

13 and civics education, as determined by calcu14 lating each State’s share of a 10-year average of

15 the data of the Office of Immigration Statistics

16 of the Department of Homeland Security for im17 migrants admitted for legal permanent residence

18 for the 10 most recent years; and

19 ‘‘(B) 35 percent to the States on the basis

20 of whether the State experienced growth, as

21 measured by the average of the 3 most recent

22 years for which the data of the Office of Immi23 gration Statistics of the Department of Home24 land Security for immigrants admitted for legal

25 permanent residence are available.
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1 ‘‘(2) MINIMUM.—No State shall receive an allot2 ment under paragraph (1) in an amount that is less

3 than $60,000.’’.

4 SEC. 219. TRANSITION.

5 The Secretary shall take such steps as the Secretary

6 determines to be appropriate to provide for the orderly tran7 sition to the authority of the Adult Education and Family

8 Literacy Act (as amended by this title) from any authority

9 under provisions of the Adult Education and Family Lit10 eracy Act (as such Act was in effect on the day before the

11 date of enactment of the Adult Education and Family Lit12 eracy Act Amendments of 2005).

13 TITLE III—AMENDMENTS TO

14 OTHER PROVISIONS OF LAW

15 SEC. 301. WAGNER-PEYSER ACT.

16 (a) CONFORMING AMENDMENT.—Section 2(3) of the

17 Wagner-Peyser Act (29 U.S.C. 49a(3)) is amended by strik18 ing ‘‘section 134(c)’’ and inserting ‘‘section 121(e)’’.

19 (b) COLOCATION.—Section 3 of the Wagner-Peyser Act

20 (29 U.S.C. 49b) is amended by adding at the end the fol21 lowing:

22 ‘‘(d) In order to avoid duplication of services and en23 hance integration of services, employment services offices in

24 each State shall be colocated with one-stop centers estab-
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1 lished under title I of the Workforce Investment Act of 1998

2 (29 U.S.C. 2801 et seq.).

3 ‘‘(e) The Secretary, in consultation with States, is au4 thorized to assist in the development of national electronic

5 tools that may be used to improve access to workforce infor6 mation for individuals through—

7 ‘‘(1) the one-stop delivery systems established

8 under section 121(e) of the Workforce Investment Act

9 of 1998 (29 U.S.C. 2841(e)); and

10 ‘‘(2) such other delivery systems as the Secretary

11 determines to be appropriate.’’.

12 (c) WORKFORCE AND LABOR MARKET INFORMATION

13 SYSTEM.—Section 15 of the Wagner-Peyser Act (29 U.S.C.

14 49l–2) is amended—

15 (1) by striking the section heading and inserting

16 the following:

17 ‘‘SEC. 15. WORKFORCE AND LABOR MARKET INFORMATION

18 SYSTEM.’’;

19 (2) by striking ‘‘employment statistics system’’

20 each place it appears and inserting ‘‘workforce and

21 labor market information system’’;

22 (3) in subsection (a)(1), by striking ‘‘of employ23 ment statistics’’;

24 (4) in subsection (b)—

25 (A) in paragraph (1)—
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1 (i) by striking ‘‘The’’ and inserting the

2 following:

3 ‘‘(A) STRUCTURE.—The’’; and

4 (ii) by adding at the end the following:

5 ‘‘(B) GRANTS OR COOPERATIVE AGREE6 MENTS.—

7 ‘‘(i) IN GENERAL.—The Secretary shall

8 carry out the provisions of this section in a

9 timely manner through grants or coopera10 tive agreements with States.

11 ‘‘(ii) DISTRIBUTION OF FUNDS.—With

12 regard to distributing funds appropriated

13 under subsection (g) (relating to workforce

14 and labor market information funding) for

15 fiscal years 2006 through 2011, the Sec16 retary shall continue to distribute the funds

17 to States in the manner in which the Sec18 retary distributed funds to the States under

19 this section for fiscal years 1999 through

20 2003.’’; and

21 (B) in paragraph (2)(E)—

22 (i) in clause (i), by adding ‘‘and’’ at

23 the end;

24 (ii) in clause (ii), by striking ‘‘; and’’

25 and inserting a period; and
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1 (iii) by striking clause (iii);

2 (5) by striking subsections (c) and (d) and in3 serting the following:

4 ‘‘(c) TWO-YEAR PLAN.—The Secretary, working

5 through the Commissioner of Labor Statistics, and in co6 operation with the States and with the assistance of the As7 sistant Secretary for Employment and Training and heads

8 of other appropriate Federal agencies, shall prepare a 2-

9 year plan which shall be the mechanism for achieving coop10 erative management of the nationwide workforce and labor

11 market information system described in subsection (a) and

12 the statewide workforce and labor market information sys13 tems that comprise the nationwide system. The plan shall—

14 ‘‘(1) describe the steps the to be taken in the fol15 lowing 2 years to carry out the duties described in

16 subsection (b)(2);

17 ‘‘(2) evaluate the performance of the system and

18 recommend needed improvements, with particular at19 tention to the improvements needed at the State and

20 local levels; and

21 ‘‘(3) describe the involvement of States in the de22 velopment of the plan, through consultation between

23 the Secretary and representatives from State agencies

24 in accordance with subsection (d).
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1 ‘‘(d) COORDINATION WITH THE STATES.—The Sec2 retary, working though the Commissioner of Labor Statis3 tics and in coordination with the Assistant Secretary for

4 Employment and Training, shall formally consult at least

5 twice annually with representatives of each of the Federal

6 regions of the Department of Labor, elected (pursuant to

7 a process established by the Secretary) by and from the

8 State workforce and labor market information directors af9 filiated with the State agencies that perform the duties de10 scribed in subsection (e)(2).’’;

11 (6) in subsection (e)—

12 (A) in paragraph (1)(A), by striking ‘‘an13 nual plan’’ and inserting ‘‘plan described in sub14 section (c)’’; and

15 (B) in paragraph (2)—

16 (i) in subparagraph (G), by adding

17 ‘‘and’’ at the end;

18 (ii) by striking subparagraph (H); and

19 (iii) by redesignating subparagraph (I)

20 as subparagraph (H); and

21 (7) in subsection (g), by striking ‘‘1999 through

22 2004’’ and inserting ‘‘2006 through 2011’’.
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1 TITLE IV—REHABILITATION ACT

2 AMENDMENTS

3 SEC. 401. SHORT TITLE.

4 This title may be cited as the ‘‘Rehabilitation Act

5 Amendments of 2005’’.

6 SEC. 402. TECHNICAL AMENDMENTS TO TABLE OF CON7 TENTS.

8 (a) EXPANDED TRANSITION SERVICES.—Section 1(b)

9 of the Rehabilitation Act of 1973 is amended by inserting

10 after the item relating to section 110 the following:

‘‘Sec. 110A. Reservation for expanded transition services.’’.

11 (b) INCENTIVE GRANTS.—Section 1(b) of the Rehabili12 tation Act of 1973 is amended by inserting after the item

13 relating to section 112 the following:

‘‘Sec. 113. Incentive grants.’’.

14 (c) INDEPENDENT LIVING SERVICES FOR OLDER INDI15 VIDUALS WHO ARE BLIND.—Section 1(b) of the Rehabilita16 tion Act of 1973 is amended by striking the items relating

17 to sections 752 and 753 and inserting the following:

‘‘Sec. 752. Training and technical assistance.

‘‘Sec. 753. Program of grants.

‘‘Sec. 754. Authorization of appropriations.’’.

18 SEC. 403. PURPOSE.

19 Section 2 of the Rehabilitation Act of 1973 (29 U.S.C.

20 701) is amended—

21 (1) in subsection (a)—
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1 (A) in paragraph (5), by striking ‘‘and’’

2 after the semicolon;

3 (B) in paragraph (6), by striking the period

4 at the end and inserting ‘‘; and’’; and

5 (C) by adding at the end the following:

6 ‘‘(7)(A) a high proportion of youth who are indi7 viduals with disabilities is leaving special education

8 without being employed or being enrolled in con9 tinuing education; and

10 ‘‘(B) there is a substantial need to support those

11 youth as the youth transition from school to postsec12 ondary life.’’; and

13 (2) in subsection (b)—

14 (A) in paragraph (1)(F), by striking ‘‘and’’

15 after the semicolon;

16 (B) in paragraph (2), by striking the period

17 at the end and inserting ‘‘; and’’; and

18 (C) by adding at the end the following:

19 ‘‘(3) to provide opportunities for employers and

20 vocational rehabilitation service providers to provide

21 meaningful input at all levels of government to ensure

22 successful employment of individuals with disabil23 ities.’’.
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1 SEC. 404. REHABILITATION SERVICES ADMINISTRATION.

2 Section 3 of the Rehabilitation Act of 1973 (29 U.S.C.

3 702) is amended—

4 (1) by redesignating subsection (b) as subsection

5 (c); and

6 (2) by inserting after subsection (a) the fol7 lowing:

8 ‘‘(b) The Secretary shall ensure that—

9 ‘‘(1) the Rehabilitation Services Administration

10 has sufficient staff to provide oversight of, conduct au11 diting of, and provide technical assistance to, the des12 ignated State agencies funded under this Act; and

13 ‘‘(2) such staff include individuals who have

14 training in and experience with the provision of voca15 tional rehabilitation services.’’.

16 SEC. 405. DEFINITIONS.

17 Section 7 of the Rehabilitation Act of 1973 (29 U.S.C.

18 705) is amended—

19 (1) in paragraph (2)(B)—

20 (A) in the matter preceding clause (i), by

21 inserting ‘‘and literacy services’’ after ‘‘sup22 ported employment’’; and

23 (B) in clause (iii), by inserting ‘‘and lit24 eracy skills’’ after ‘‘educational achievements’’;

25 (2) by striking paragraphs (3) and (4) and in26 serting the following:
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1 ‘‘(3) ASSISTIVE TECHNOLOGY DEFINITIONS.—

2 ‘‘(A) ASSISTIVE TECHNOLOGY.—The term

3 ‘assistive technology’ has the meaning given such

4 term in section 3 of the Assistive Technology Act

5 of 1998 (29 U.S.C. 3002).

6 ‘‘(B) ASSISTIVE TECHNOLOGY DEVICE.—The

7 term ‘assistive technology device’ has the mean8 ing given such term in section 3 of the Assistive

9 Technology Act of 1998, except that the reference

10 in such section to the term ‘individuals with dis11 abilities’ shall be deemed to mean more than one

12 individual with a disability as defined in para13 graph (20)(A).

14 ‘‘(C) ASSISTIVE TECHNOLOGY SERVICE.—

15 The term ‘assistive technology service’ has the

16 meaning given such term in section 3 of the As17 sistive Technology Act of 1998, except that the

18 reference in such section—

19 ‘‘(i) to the term ‘individual with a dis20 ability’ shall be deemed to mean an indi21 vidual with a disability, as defined in

22 paragraph (20)(A); and

23 ‘‘(ii) to the term ‘individuals with dis24 abilities’ shall be deemed to mean more than

25 one such individual.’’;
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1 (3) by inserting after paragraph (6) the fol2 lowing:

3 ‘‘(7) CONSUMER ORGANIZATION.—The term ‘con4 sumer organization’ means a membership organiza5 tion, or disability advocacy group, for which a major6 ity of the members of the board of directors of the or7 ganization or group are individuals with disabilities

8 or family members of individuals with disabilities.’’;

9 (4) in paragraph (17)—

10 (A) in subparagraph (C), by striking ‘‘and’’

11 after the semicolon;

12 (B) in subparagraph (D), by striking the

13 period at the end and inserting ‘‘; and’’; and

14 (C) by adding at the end the following:

15 ‘‘(E)(i) facilitating transitions of—

16 ‘‘(I) youth who are individuals with

17 significant disabilities and have completed

18 individualized education programs under

19 section 614(d) of the Individuals with Dis20 abilities Education Act (20 U.S.C. 1414(d))

21 to postsecondary life, including employ22 ment; and

23 ‘‘(II) individuals with significant dis24 abilities from nursing homes and other in25 stitutions, including institutions serving in-
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1 dividuals with cognitive disabilities, to com2 munity-based residences; and

3 ‘‘(ii) assisting individuals with significant

4 disabilities at risk of entering institutions to re5 main in the community.’’;

6 (5) by redesignating paragraphs (24) through

7 (28), (29) through (34), (35) through (37), and (38)

8 through (39), as paragraphs (25) through (29), (31)

9 through (36), (38) through (40), and (42) through

10 (43), respectively;

11 (6) by inserting after paragraph (23) the fol12 lowing:

13 ‘‘(24) LITERACY.—The term ‘literacy’ has the

14 meaning given the term in section 203 of the Adult

15 Education and Family Literacy Act (20 U.S.C.

16 9202).’’;

17 (7) by inserting after paragraph (29), as redesig18 nated by paragraph (5), the following:

19 ‘‘(30) POST-EMPLOYMENT SERVICE.—The term

20 ‘post-employment’ service means a service identified

21 in section 103(a) that is—

22 ‘‘(A) provided subsequent to the achievement

23 of an employment outcome; and

24 ‘‘(B) necessary for an individual to main25 tain, regain, or advance in employment, con-
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1 sistent with the individual’s strengths, resources,

2 priorities, concerns, abilities, capabilities, inter3 ests, and informed choice.’’;

4 (8) by inserting after paragraph (36), as redesig5 nated by paragraph (5), the following:

6 ‘‘(37) STUDENT WITH A DISABILITY.—

7 ‘‘(A) IN GENERAL.—The term ‘student with

8 a disability’ means an individual with a dis9 ability who attends an elementary school or sec10 ondary school and who—

11 ‘‘(i) is not younger than 16 years of

12 age;

13 ‘‘(ii) is not older than 22 years of age;

14 ‘‘(iii) has been determined to be eligible

15 under section 102(a) for assistance under

16 title I; and

17 ‘‘(iv)(I) is eligible for, and receiving,

18 special education or related services under

19 part B of the Individuals with Disabilities

20 Education Act (20 U.S.C. 1411 et seq.); or

21 ‘‘(II) is an individual with a dis22 ability, for purposes of section 504.

23 ‘‘(B) STUDENTS WITH DISABILITIES.—The

24 term ‘students with disabilities’ means more

25 than 1 student with a disability.’’;
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1 (9) in paragraph (38)(A)(ii), as redesignated by

2 paragraph (5), by striking ‘‘paragraph (36)(C)’’ and

3 inserting ‘‘paragraph (39)(C)’’; and

4 (10) by inserting after paragraph (40), as redes5 ignated by paragraph (5), the following:

6 ‘‘(41) TRANSITION SERVICES EXPANSION YEAR.—

7 The term ‘transition services expansion year’

8 means—

9 ‘‘(A) the first fiscal year for which the

10 amount appropriated under section 100(b) ex11 ceeds the amount appropriated under section

12 100(b) for fiscal year 2006 by not less than

13 $100,000,000; and

14 ‘‘(B) each fiscal year subsequent to that first

15 fiscal year.’’.

16 SEC. 406. ADMINISTRATION OF THE ACT.

17 Section 12(a)(1) of the Rehabilitation Act of 1973 (29

18 U.S.C. 709(a)(1)) is amended—

19 (1) by inserting ‘‘(A)’’ after ‘‘(1)’’; and

20 (2) by adding at the end the following:

21 ‘‘(B) provide technical assistance to the des22 ignated State units on developing successful partner23 ships with local and multi-State businesses in an ef24 fort to employ individuals with disabilities; and
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1 ‘‘(C) provide technical assistance on developing

2 self-employment opportunities and outcomes for indi3 viduals with disabilities;’’.

4 SEC. 407. REPORTS.

5 Section 13 of the Rehabilitation Act of 1973 (29 U.S.C.

6 710) is amended by adding at the end the following:

7 ‘‘(d)(1)(A) The Commissioner shall ensure that the re8 ports, information, and data described in subparagraph (B)

9 will be posted in a timely manner on the website of the

10 Department of Education, in order to inform the public

11 about the administration and performance of programs in

12 each State under this Act.

13 ‘‘(B) The reports, information, and data referred to in

14 subparagraph (A) shall consist of—

15 ‘‘(i) reports submitted by a designated State unit

16 under this Act;

17 ‘‘(ii) accountability information (including State

18 performance information relating to evaluation

19 standards and performance indicators under section

20 106 and State performance information relating to

21 State performance measures under section 136 of the

22 Workforce Investment Act of 1998 (29 U.S.C. 2871))

23 submitted by a designated State unit under this Act

24 or submitted by a State to the Secretary of Labor

25 under subsection (d) of such section 136;
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1 ‘‘(iii) data collected from each designated State

2 unit under this Act with the approval of the Office of

3 Management and Budget; and

4 ‘‘(iv) monitoring reports conducted under this

5 Act.

6 ‘‘(C) The Commissioner shall maintain, and post on

7 the website, a listing of the reports, information, and data

8 required to be submitted by designated State units under

9 this Act.

10 ‘‘(D) The Commissioner shall post on the website, or

11 establish links on the website to, evaluations, studies, and

12 audits, including evaluations, studies, and audits conducted

13 by agencies of the Federal Government, concerning pro14 grams carried out under this Act.

15 ‘‘(E) The Commissioner shall maintain on the website

16 a list of the designated State units and shall establish links

17 on the website to websites maintained by those units.

18 ‘‘(2) The Commissioner shall maintain public use

19 read-only access to the State and aggregated reports and

20 analyzed data filed and maintained on the Rehabilitation

21 Services Administration management information system

22 or a similar system maintained by the Department of Edu23 cation.’’.
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1 SEC. 408. CARRYOVER.

2 Section 19 of the Rehabilitation Act of 1973 (29 U.S.C.

3 716) is amended—

4 (1) in subsection (a)(1)—

5 (A) by inserting ‘‘(except for the client as6 sistance program funded under section 112)’’

7 after ‘‘any grant program under part B of title

8 I’’;

9 (B) by striking ‘‘, section 509 (except as

10 provided in section 509(b))’’;

11 (C) by striking ‘‘or C’’; and

12 (D) by striking ‘‘752(b)’’ and inserting

13 ‘‘753(b)’’; and

14 (2) by adding at the end the following:

15 ‘‘(c) CLIENT ASSISTANCE PROGRAM; PROTECTION AND

16 ADVOCACY OF INDIVIDUAL RIGHTS.—

17 ‘‘(1) APPROPRIATED AMOUNTS.—Notwith18 standing any other provision of law, any funds ap19 propriated for a fiscal year to carry out a grant pro20 gram under section 112 or 509 (except as provided in

21 section 509(b)), including any funds reallotted under

22 such grant program, that are not obligated and ex23 pended by recipients prior to the beginning of the suc24 ceeding fiscal year shall remain available for obliga25 tion and expenditure by such recipients during such

26 succeeding fiscal year.
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1 ‘‘(2) PROGRAM INCOME.—Notwithstanding any

2 other provision of law, any amounts of program in3 come received by recipients under a grant program

4 under section 112 or 509 in a fiscal year that are not

5 obligated and expended by recipients prior to the be6 ginning of the succeeding fiscal year, shall remain

7 available until expended.’’.

8 Subtitle A—Vocational

9 Rehabilitation Services

10 SEC. 411. DECLARATION OF POLICY; AUTHORIZATION OF

11 APPROPRIATIONS.

12 Section 100(b)(1) of the Rehabilitation Act of 1973 (29

13 U.S.C. 720(b)(1)) is amended by striking ‘‘fiscal years 1999

14 through 2003’’ and inserting ‘‘fiscal years 2006 through

15 2011’’.

16 SEC. 412. STATE PLANS.

17 (a) IN GENERAL.—Section 101(a) of the Rehabilita18 tion Act of 1973 (29 U.S.C. 721(a)) is amended—

19 (1) in paragraph (2), by adding at the end the

20 following:

21 ‘‘(D) STATE AGENCY FOR REIMBURSEMENT

22 PURPOSES.—A governing body of an Indian

23 tribe that receives a grant under section 121

24 shall be considered, for purposes of the cost reim25 bursement provisions—
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1 ‘‘(i) in section 222(d)(1) of the Social

2 Security Act (42 U.S.C. 422(d)(1)), to be a

3 State; and

4 ‘‘(ii) in subsections (d) and (e) of sec5 tion 1615 of the Social Security Act (42

6 U.S.C. 1382d), to be a State agency de7 scribed in subsection (d) of that section.’’;

8 (2) in paragraph (6)(B), by striking ‘‘to employ

9 and advance in employment’’ and inserting ‘‘to re10 cruit, employ, and advance in employment’’;

11 (3) in paragraph (7)(A)(v), by striking subclause

12 (I) and inserting the following:

13 ‘‘(I) a system for the continuing

14 education of rehabilitation profes15 sionals and paraprofessionals within

16 the designated State unit, particularly

17 with respect to rehabilitation tech18 nology, including training imple19 mented in coordination with State pro20 grams carried out under section 4 of

21 the Assistive Technology Act of 1998

22 (29 U.S.C. 3003); and’’;

23 (4) in paragraph (10)—

24 (A) in subparagraph (B), by striking ‘‘an25 nual reporting on the eligible individuals receiv-
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1 ing the services, on those specific data elements

2 described in section 136(d)(2) of the Workforce

3 Investment Act of 1998’’ and inserting ‘‘annual

4 reporting of information on eligible individuals

5 receiving the services that is needed to assess per6 formance on the core indicators of performance

7 described in section 136(b)(2)(A)(i) of the Work8 force Investment Act of 1998 (29 U.S.C.

9 2871(b)(2)(A)(i))’’;

10 (B) in subparagraph (C), by striking

11 clauses (iii) and (iv) and inserting the following:

12 ‘‘(iii) the number of applicants and el13 igible recipients, including the number of

14 individuals with significant disabilities,

15 who exited the program carried out under

16 this title and the number of such individ17 uals who achieved employment outcomes

18 after receiving vocational rehabilitation

19 services; and

20 ‘‘(iv) the number of individuals who

21 received vocational rehabilitation services

22 who entered and retained employment and

23 the earnings of such individuals, as such

24 entry, retention, and earnings are defined

25 for purposes of the core indicators of per-
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1 formance described in section

2 136(b)(2)(A)(i) of the Workforce Investment

3 Act of 1998 (29 U.S.C. 2871(b)(2)(A)(i)).’’;

4 and

5 (C) in subparagraph (E)(ii), by striking

6 ‘‘in meeting’’ and all that follows through the pe7 riod and inserting ‘‘in meeting the standards

8 and indicators established pursuant to section

9 106.’’;

10 (5) in paragraph (11)—

11 (A) by striking subparagraph (C) and in12 serting the following:

13 ‘‘(C) INTERAGENCY COOPERATION WITH

14 OTHER AGENCIES.—The State plan shall include

15 descriptions of interagency cooperation with, and

16 utilization of the services and facilities of, Fed17 eral, State, and local agencies and programs, in18 cluding the State programs carried out under

19 section 4 of the Assistive Technology Act of 1998

20 (29 U.S.C. 3003), programs carried out by the

21 Under Secretary for Rural Development of the

22 Department of Agriculture, and State use con23 tracting programs, to the extent that such agen24 cies and programs are not carrying out activities
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1 through the statewide workforce investment sys2 tem.’’;

3 (B) by striking subparagraph (D)(ii) and

4 inserting the following:

5 ‘‘(ii) transition planning by personnel

6 of the designated State agency and the State

7 educational agency that will facilitate the

8 development and completion of the individ9 ualized education programs under section

10 614(d) of the Individuals with Disabilities

11 Education Act (20 U.S.C. 1414(d)) and, as

12 appropriate, the development and comple13 tion of the individualized plan for employ14 ment, in order to achieve post-school em15 ployment outcomes of students with disabil16 ities;’’; and

17 (C) by adding at the end the following:

18 ‘‘(G) COORDINATION WITH ASSISTIVE TECH19 NOLOGY PROGRAMS.—The State plan shall in20 clude an assurance that the designated State

21 unit, and the lead agency and implementing

22 agency (if any) designated by the Governor of

23 the State under section 4 of the Assistive Tech24 nology Act of 1998 (29 U.S.C. 3003), have devel25 oped working relationships and will enter into
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1 agreements for the coordination of their activi2 ties, including the referral of individuals with

3 disabilities to programs and activities described

4 in that section.

5 ‘‘(H) COORDINATION WITH TICKET TO

6 WORK AND SELF-SUFFICIENCY PROGRAM.—The

7 State plan shall include an assurance that the

8 designated State unit will coordinate activities

9 with any other State agency that is functioning

10 as an employment network under the Ticket to

11 Work and Self-Sufficiency Program established

12 under section 1148 of the Social Security Act (42

13 U.S.C. 1320b–19).’’;

14 (6) in paragraph (15)—

15 (A) in subparagraph (A)—

16 (i) in clause (i)—

17 (I) in subclause (II), by striking

18 ‘‘and’’ after the semicolon;

19 (II) in subclause (III), by insert20 ing ‘‘and’’ after the semicolon; and

21 (III) by adding at the end the fol22 lowing:

23 ‘‘(IV) for purposes of addressing

24 needs in a transition services expan25 sion year, students with disabilities,
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1 including their need for transition

2 services;’’;

3 (ii) by redesignating clauses (ii) and

4 (iii) as clauses (iii) and (iv), respectively;

5 and

6 (iii) by inserting after clause (i) the

7 following:

8 ‘‘(ii) include an assessment of the needs

9 of individuals with disabilities for transi10 tion services provided under this Act, and

11 coordinated with transition services pro12 vided under the Individuals with Disabil13 ities Education Act (20 U.S.C. 1400 et

14 seq.), and an assessment as to whether the

15 transition services provided under those

16 Acts meet the needs of individuals with dis17 abilities;’’; and

18 (B) in subparagraph (D)—

19 (i) by redesignating clauses (iii), (iv),

20 and (v) as clauses (iv), (v), and (vi), respec21 tively; and

22 (ii) by inserting after clause (ii) the

23 following:

24 ‘‘(iii) for use in a transition services

25 expansion year, the methods to be used to
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1 improve and expand vocational rehabilita2 tion services for students with disabilities,

3 including the coordination of services de4 signed to facilitate the transition of such

5 students from the receipt of educational

6 services in school to postsecondary life, in7 cluding the receipt of vocational rehabilita8 tion services under this title, postsecondary

9 education, or employment;’’;

10 (7) in paragraph (20)—

11 (A) by redesignating subparagraph (B) as

12 subparagraph (C);

13 (B) by inserting after subparagraph (A) the

14 following:

15 ‘‘(B) INFORMATION ON ASSISTANCE FOR

16 BENEFICIARIES OF ASSISTANCE UNDER TITLE II

17 OR XVI OF THE SOCIAL SECURITY ACT.—The

18 State plan shall include an assurance that the

19 designated State agency will make available to

20 individuals entitled to benefits under title II or

21 XVI of the Social Security Act (42 U.S.C. 401

22 et seq., 1381 et seq.) on the basis of a disability

23 or blindness—

24 ‘‘(i) information on the availability of

25 benefits and medical assistance authorized
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1 under the State medicaid program under

2 title XIX of the Social Security Act (42

3 U.S.C. 1396 et seq.) or under the medicare

4 program under title XVIII of the Social Se5 curity Act (42 U.S.C. 1395 et seq.), and

6 medical assistance authorized under other

7 federally funded programs;

8 ‘‘(ii) information on the availability of

9 assistance through benefits planning and

10 assistance programs authorized under sec11 tion 1149 of the Social Security Act (42

12 U.S.C. 1320b–20) and services provided by

13 the State protection and advocacy system

14 and authorized under section 1150 of the

15 Social Security Act (42 U.S.C. 1320b–21);

16 and

17 ‘‘(iii) in the case of individuals who

18 are also eligible for a ticket under the Ticket

19 to Work and Self-Sufficiency Program es20 tablished under section 1148 of the Social

21 Security Act (42 U.S.C. 1320b–19), general

22 information regarding the options for using

23 the ticket and information on how to con24 tact a program manager of the Ticket to

25 Work and Self-Sufficiency Program to ob-
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1 tain information on approved employment

2 networks, on providers for the benefits plan3 ning and assistance programs described in

4 subparagraph (B) in the State, and on the

5 services provided by the State protection

6 and advocacy system and described in sub7 paragraph (B).’’; and

8 (C) in subparagraph (C)(ii), as redesig9 nated by subparagraph (A)—

10 (i) in subclause (II), by inserting ‘‘, to

11 the maximum extent possible,’’ after ‘‘point

12 of contact’’; and

13 (ii) in subclause (III), by striking ‘‘or

14 regain’’ and inserting ‘‘regain, or advance

15 in’’; and

16 (8) by adding at the end the following:

17 ‘‘(25) SERVICES FOR STUDENTS WITH DISABIL18 ITIES.—The State plan for a transition services ex19 pansion year shall provide an assurance satisfactory

20 to the Commissioner that the State—

21 ‘‘(A) has developed and shall implement, in

22 each transition services expansion year, strate23 gies to address the needs identified in the assess24 ment described in paragraph (15), and achieve

25 the goals and priorities identified by the State,
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1 to improve and expand vocational rehabilitation

2 services for students with disabilities on a state3 wide basis in accordance with paragraph (15);

4 and

5 ‘‘(B) in each transition services expansion

6 year—

7 ‘‘(i) shall not use more than 5 percent

8 of the funds reserved under section 110A

9 and available for this subparagraph, to pay

10 for administrative costs; and

11 ‘‘(ii) shall use the remaining funds to

12 carry out programs or activities designed to

13 improve and expand vocational rehabilita14 tion services for students with disabilities,

15 through partnerships described in subpara16 graph (C), that—

17 ‘‘(I) facilitate the transition of the

18 students with disabilities from the re19 ceipt of educational services in school,

20 to the receipt of vocational rehabilita21 tion services under this title, including,

22 at a minimum, those services specified

23 in the interagency agreement required

24 in paragraph (11)(D);
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1 ‘‘(II) improve the achievement of

2 post-school goals of students with dis3 abilities through the provision of tran4 sition services, including improving

5 the achievement through participation

6 (as appropriate when vocational goals

7 are discussed) in meetings regarding

8 individualized education programs de9 veloped under section 614 of the Indi10 viduals with Disabilities Education

11 Act (20 U.S.C. 1414);

12 ‘‘(III) provide vocational guid13 ance, career exploration services, and

14 job search skills and strategies and

15 technical assistance to students with

16 disabilities;

17 ‘‘(IV) support the provision of

18 training and technical assistance to

19 local educational agency personnel re20 sponsible for the planning and provi21 sion of services to students with dis22 abilities; and

23 ‘‘(V) support outreach activities to

24 students with disabilities who are eligi-
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1 ble for, and need, services under this

2 title; and

3 ‘‘(C) in each transition services expansion

4 year, shall ensure that the funds described in

5 subparagraph (B)(ii) are awarded only to part6 nerships that—

7 ‘‘(i) shall include local vocational reha8 bilitation services providers and local edu9 cational agencies; and

10 ‘‘(ii) may include (or may have link11 ages with)—

12 ‘‘(I) other agencies such as em13 ployment, social service, and health or14 ganizations, that contribute funds for

15 the provision of vocational rehabilita16 tion services described in subparagraph

17 (B)(ii) for eligible students with dis18 abilities; and

19 ‘‘(II) businesses and business-led

20 intermediaries.’’.

21 (b) CONSTRUCTION.—Section 101 of the Rehabilitation

22 Act of 1973 (29 U.S.C. 721) is amended by adding at the

23 end the following:

24 ‘‘(c) CONSTRUCTION.—
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1 ‘‘(1) DEFINITIONS.—In this subsection, the terms

2 ‘child with a disability’, ‘free appropriate public edu3 cation’, ‘related services’, and ‘special education’ have

4 the meanings given the terms in section 602 of the In5 dividuals with Disabilities Education Act (20 U.S.C.

6 1401).

7 ‘‘(2) OBLIGATION TO PROVIDE OR PAY FOR TRAN8 SITION SERVICES.—Nothing in this part shall be con9 strued to reduce the obligation of a local educational

10 agency or any other agency to provide or pay for any

11 transition services that are also considered special

12 education or related services and that are necessary

13 for ensuring a free appropriate public education to

14 children with disabilities within the State involved.’’.

15 SEC. 413. ELIGIBILITY AND INDIVIDUALIZED PLAN FOR EM16 PLOYMENT.

17 Section 102 of the Rehabilitation Act of 1973 (29

18 U.S.C. 722) is amended—

19 (1) in subsection (b)—

20 (A) in paragraph (1)—

21 (i) in subparagraph (A), by striking

22 the semicolon at the end and inserting ‘‘,

23 including a listing of all the community re24 sources (including resources from consumer

25 organizations (including advocacy organi-
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1 zations)), to the maximum extent possible,

2 to assist in the development of such individ3 ual’s individualized plan for employment to

4 enable the individual to make informed and

5 effective choices in developing the individ6 ualized plan for employment;’’; and

7 (ii) in subparagraph (D)—

8 (I) in clause (i), by striking

9 ‘‘and’’ after the semicolon;

10 (II) in clause (ii), by striking the

11 period at the end and inserting a semi12 colon; and

13 (III) by adding at the end the fol14 lowing:

15 ‘‘(iii) for individuals entitled to benefits

16 under title II or XVI of the Social Security Act

17 (42 U.S.C. 401 et seq., 1381 et seq.) on the basis

18 of a disability or blindness—

19 ‘‘(I) information on the availability of

20 benefits and medical assistance authorized

21 under the State medicaid program under

22 title XIX of the Social Security Act (42

23 U.S.C. 1396 et seq.) or under the medicare

24 program under title XVIII of the Social Se25 curity Act (42 U.S.C. 1395 et seq.), and
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1 medical assistance authorized under other

2 federally funded programs;

3 ‘‘(II) information on the availability of

4 assistance through benefits planning and

5 assistance programs authorized under sec6 tion 1149 of the Social Security Act (42

7 U.S.C. 1320b–20) and services provided by

8 the State protection and advocacy system

9 and authorized under section 1150 of the

10 Social Security Act (42 U.S.C. 1320b–21);

11 and

12 ‘‘(III) in the case of individuals who

13 are also eligible for a ticket under the Ticket

14 to Work and Self-Sufficiency Program es15 tablished under section 1148 of the Social

16 Security Act (42 U.S.C. 1320b–19), general

17 information regarding the options for using

18 the ticket and information on how to con19 tact a program manager of the Ticket to

20 Work and Self-Sufficiency Program to ob21 tain information on approved employment

22 networks, on providers for the benefits plan23 ning and assistance programs described in

24 subparagraph (B) in the State, and on the

25 services provided by the State protection
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1 and advocacy system and described in sub2 paragraph (B).’’;

3 (B) in paragraph (2)(E)—

4 (i) in clause (i)(II), by striking ‘‘and’’

5 after the semicolon;

6 (ii) in clause (ii), by striking the pe7 riod at the end and inserting ‘‘; and’’; and

8 (iii) by adding at the end the fol9 lowing:

10 ‘‘(iii) amended, as necessary, to in11 clude the post-employment services and

12 service providers that are necessary for the

13 individual to maintain, regain, or advance

14 in employment, consistent with the individ15 ual’s strengths, resources, priorities, con16 cerns, abilities, capabilities, interests, and

17 informed choice.’’; and

18 (C) in paragraph (3)—

19 (i) in subparagraph (B)(i)(I), by strik20 ing ‘‘and personal assistance services’’ and

21 all that follows and inserting ‘‘mentoring

22 services, and personal assistance services,

23 including training in the management of

24 such services, and referrals described in sec25 tion 103(a)(3) to the device reutilization
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1 programs and device demonstrations de2 scribed in subparagraphs (B) and (D) of

3 section 4(e)(2) of the Assistive Technology

4 Act of 1998 (42 U.S.C. 3003(e)(2)) through

5 agreements developed under section

6 101(a)(11)(G); and’’;

7 (ii) in subparagraph (F)(ii), by strik8 ing ‘‘and’’ after the semicolon;

9 (iii) in subparagraph (G), by striking

10 the period at the end and inserting a semi11 colon; and

12 (iv) by adding at the end the following:

13 ‘‘(H) for a student with a disability, the de14 scription specified—

15 ‘‘(i) in subparagraph (A), which may

16 be a description of the student’s projected

17 post-school employment outcome; and

18 ‘‘(ii) in subparagraph (B)(i), which

19 shall include the specific transition services

20 (including, as appropriate, work experience

21 and mentoring activities) needed to achieve

22 the student’s employment outcome or pro23 jected employment outcome; and

24 ‘‘(I) for an individual who is receiving as25 sistance from an employment network under the
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1 Ticket to Work and Self-Sufficiency Program es2 tablished under section 1148 of the Social Secu3 rity Act (42 U.S.C. 1320b–19), a list of the serv4 ices that are listed in the individual work plan

5 that the individual developed with the employ6 ment network under subsection (g) of that sec7 tion.’’; and

8 (2) in subsection (c)(7), by inserting ‘‘that take

9 into consideration the informed choice of the indi10 vidual’’ after ‘‘plan development’’.

11 SEC. 414. VOCATIONAL REHABILITATION SERVICES.

12 Section 103 of the Rehabilitation Act of 1973 (29

13 U.S.C. 723) is amended—

14 (1) in subsection (a)—

15 (A) in paragraph (5), by inserting ‘‘literacy

16 services,’’ after ‘‘vocational adjustment services,’’;

17 (B) by striking paragraph (15) and insert18 ing the following:

19 ‘‘(15) transition services for students with dis20 abilities, that facilitate the transition from school to

21 postsecondary life (including employment through the

22 achievement of the employment outcome identified in

23 the individualized plan for employment), including,

24 in a transition services expansion year, services de-
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1 scribed in subclauses (I) through (III) of section

2 101(a)(25)(B)(ii);’’;

3 (C) in paragraph (17), by striking ‘‘and’’

4 after the semicolon;

5 (D) in paragraph (18), by striking the pe6 riod at the end and inserting ‘‘; and’’; and

7 (E) by adding at the end the following:

8 ‘‘(19) mentoring services.’’; and

9 (2) in subsection (b), by striking paragraph (6)

10 and inserting the following:

11 ‘‘(6)(A)(i) Consultation and technical assistance

12 services to assist State and local educational agencies

13 in planning for the transition of students with dis14 abilities from school to postsecondary life, including

15 employment.

16 ‘‘(ii) In a transition services expansion year,

17 training and technical assistance described in section

18 101(a)(25)(B)(ii)(IV).

19 ‘‘(B) In a transition services expansion year,

20 services for groups of individuals with disabilities

21 who meet the requirements of clauses (i), (ii), and (iv)

22 of section 7(37)(A), including services described in

23 subclauses (I), (II), (III), and (V) of section

24 101(a)(25)(B)(ii), to assist in the transition from

25 school to postsecondary life, including employment.’’.
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1 SEC. 415. STATE REHABILITATION COUNCIL.

2 Section 105 of the Rehabilitation Act of 1973 (29

3 U.S.C. 725) is amended—

4 (1) in subsection (b)—

5 (A) in paragraph (1)(A)—

6 (i) by striking clause (ix) and insert7 ing the following:

8 ‘‘(ix) in a State in which one or more

9 projects provide services under section 121,

10 at least one representative of the directors of

11 the projects;’’;

12 (ii) in clause (x), by striking the

13 ‘‘and’’ after the semicolon;

14 (iii) in clause (xi), by striking the pe15 riod at the end and inserting ‘‘; and’’; and

16 (iv) by adding at the end the following:

17 ‘‘(xii) the director of the State’s com18 prehensive statewide program of technology19 related assistance funded under section 4 of

20 the Assistive Technology Act of 1998 (29

21 U.S.C. 3003).’’; and

22 (B) by striking paragraph (5) and inserting

23 the following:

24 ‘‘(5) CHAIRPERSON.—The Council shall select a

25 chairperson from among the voting membership of the

26 Council.’’; and
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1 (2) in subsection (c)(6), by inserting before the

2 semicolon the following: ‘‘and with the activities of

3 entities carrying out programs under the Assistive

4 Technology Act of 1998 (29 U.S.C. 3001 et seq.)’’.

5 SEC. 416. EVALUATION STANDARDS AND PERFORMANCE IN6 DICATORS.

7 Section 106 of the Rehabilitation Act of 1973 (29

8 U.S.C. 726) is amended—

9 (1) in subsection (a), by striking paragraph

10 (1)(C) and all that follows through paragraph (2) and

11 inserting the following:

12 ‘‘(2) MEASURES.—The standards and indicators

13 shall include outcome and related measures of pro14 gram performance that include measures of the pro15 gram’s performance with respect to the transition

16 from school to postsecondary life, including employ17 ment, and achievement of the postsecondary voca18 tional goals, of students with disabilities served under

19 the program.’’; and

20 (2) in subsection (b)(2)(B)(i), by striking ‘‘, if

21 necessary’’ and all that follows through the semicolon

22 and inserting ‘‘, if the State has not improved its per23 formance to acceptable levels, as determined by the

24 Commissioner, direct the State to make further revi25 sions to the plan to improve performance, which may
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1 include revising the plan to allocate a higher propor2 tion of the State’s resources (from allotments made

3 under section 110) for services to individuals with

4 disabilities if the State agency’s spending on such

5 services is low in comparison to spending on such

6 services by comparable agencies in other States;’’.

7 SEC. 417. MONITORING AND REVIEW.

8 Section 107(b)(1) of the Rehabilitation Act of 1973 (29

9 U.S.C. 727(b)(1)) is amended by inserting before the semi10 colon the following: ‘‘, including—

11 ‘‘(A) consulting with the Department of

12 Labor, the Small Business Administration, other

13 appropriate Federal agencies, and businesses or

14 business-led intermediaries; and

15 ‘‘(B) based on information obtained through

16 the consultations, providing technical assistance

17 that improves that quality by enabling des18 ignated State units to develop successful partner19 ships with local and multi-State businesses in an

20 effort to employ individuals with disabilities,

21 and technical assistance on developing self-em22 ployment opportunities and improving employ23 ment outcomes for individuals with disabilities’’.
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1 SEC. 418. STATE ALLOTMENTS.

2 Section 110 of the Rehabilitation Act of 1973 (29

3 U.S.C. 730) is amended—

4 (1) by striking subsection (b) and inserting the

5 following:

6 ‘‘(b)(1) Not later than 45 days prior to the end of the

7 fiscal year, the Commissioner shall determine, after reason8 able opportunity for the submission to the Commissioner

9 of comments by the State agency administering or super10 vising the program established under this title, that any

11 amount from the payment of an allotment to a State under

12 section 111(a) for any fiscal year will not be utilized by

13 such State in carrying out the purposes of this title.

14 ‘‘(2)(A) As soon as practicable but not later than the

15 end of the fiscal year, the Commissioner shall reallot the

16 amount available under paragraph (1) to other States, con17 sistent with subparagraphs (B) and (C), for carrying out

18 the purposes of this title to the extent the Commissioner de19 termines such other State will be able to use such additional

20 amount during that fiscal year or the subsequent fiscal year

21 for carrying out such purposes.

22 ‘‘(B)(i) The Commissioner shall reallot a portion of the

23 amount available under paragraph (1) for a fiscal year to

24 each State whose allotment under subsection (a) for such

25 fiscal year is less than such State’s allotment under sub26 section (a) for the immediately preceding fiscal year ad-
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1 justed by the percentage change in the funds available for

2 subsection (a) from the immediately preceding fiscal year.

3 ‘‘(ii)(I) A State that is eligible to receive a reallotment

4 under clause (i) shall receive a portion for a fiscal year

5 from the amount available for reallotment under paragraph

6 (1) that is equal to the difference between—

7 ‘‘(aa) the amount such State was allotted under

8 subsection (a) for such fiscal year; and

9 ‘‘(bb) the amount such State was allotted under

10 subsection (a) for the immediately preceding fiscal

11 year adjusted by the percentage change in the funds

12 available for subsection (a) from the immediately pre13 ceding fiscal year.

14 ‘‘(II) If the amount available for reallotment under

15 paragraph (1) is insufficient to provide each State eligible

16 to receive a reallotment with the portion described in sub17 clause (I), the amount reallotted to each eligible State shall

18 be determined by the Commissioner.

19 ‘‘(C) If there are funds remaining after each State eli20 gible to receive a reallotment under subparagraph (B)(i) re21 ceives the portion described in subparagraph (B)(ii), the

22 Commissioner shall reallot the remaining funds among the

23 States requesting a reallotment.

24 ‘‘(3) The Commissioner shall reallot an amount to a

25 State under this subsection only if the State will be able
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1 to make sufficient payments from non-Federal sources to

2 pay for the non-Federal share of the cost of vocational reha3 bilitation services under the State plan for the fiscal year

4 for which the amount was appropriated.

5 ‘‘(4) For the purposes of this part, any amount made

6 available to a State for any fiscal year pursuant to this

7 subsection shall be regarded as an increase of such State’s

8 allotment (as determined under the preceding provisions of

9 this section) for such year.’’; and

10 (2) by striking subsection (c)(2) and inserting

11 the following:

12 ‘‘(2)(A) In this paragraph:

13 ‘‘(i) The term ‘appropriated amount’ means the

14 amount appropriated under section 100(b)(1) for al15 lotment under this section.

16 ‘‘(ii) The term ‘covered year’ means a fiscal

17 year—

18 ‘‘(I) that begins after September 30, 2005;

19 and

20 ‘‘(II) for which the appropriated amount

21 exceeds the total of—

22 ‘‘(aa) the appropriated amount for the

23 preceding fiscal year; and

24 ‘‘(bb) 0.075 percent of the appropriated

25 amount for the preceding fiscal year.
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1 ‘‘(B) For each covered year, the sum referred to in

2 paragraph (1) shall be, as determined by the Secretary—

3 ‘‘(i) not more than 1.5 percent of the appro4 priated amount for the covered year; and

5 ‘‘(ii) not less than the total of the sum reserved

6 under this subsection for the preceding fiscal year and

7 0.1 percent of the appropriated amount for the cov8 ered year, subject to clause (i).

9 ‘‘(C) For each fiscal year that is not a covered year,

10 the sum referred to in paragraph (1) shall be, as determined

11 by the Secretary—

12 ‘‘(i) not more than 1.5 percent of the appro13 priated amount for the fiscal year; and

14 ‘‘(ii) not less than the sum reserved under this

15 subsection for the preceding fiscal year, subject to

16 clause (i).’’.

17 SEC. 419. RESERVATION FOR EXPANDED TRANSITION SERV18 ICES.

19 The Rehabilitation Act of 1973 is amended by insert20 ing after section 110 (29 U.S.C. 730) the following:

21 ‘‘SEC. 110A. RESERVATION FOR EXPANDED TRANSITION

22 SERVICES.

23 ‘‘(a) RESERVATION.—From the State allotment under

24 section 110 in a transition services expansion year, each

25 State shall reserve an amount calculated by the Commis-
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1 sioner under subsection (b) to carry out programs and ac2 tivities under sections 101(a)(25)(B) and 103(b)(6).

3 ‘‘(b) CALCULATION.—The Commissioner shall calculate

4 the amount to be reserved for such programs and activities

5 for a fiscal year by each State by multiplying $50,000,000

6 by the percentage determined by dividing—

7 ‘‘(1) the amount allotted to that State under sec8 tion 110 for the prior fiscal year; by

9 ‘‘(2) the total amount allotted to all States under

10 section 110 for that prior fiscal year.’’.

11 SEC. 420. CLIENT ASSISTANCE PROGRAM.

12 Section 112 of the Rehabilitation Act of 1973 (29

13 U.S.C. 732) is amended—

14 (1) in subsection (a)—

15 (A) in the first sentence, by striking

16 ‘‘States’’ and inserting ‘‘agencies designated

17 under subsection (c)’’; and

18 (B) in the second sentence, by striking

19 ‘‘State’’ and inserting ‘‘State in which the pro20 gram is located’’;

21 (2) in subsection (b), by striking ‘‘the State has

22 in effect not later than October 1, 1984, a client as23 sistance program which’’ and inserting ‘‘the State has

24 designated under subsection (c) an agency that’’;

25 (3) in subsection (e)—
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1 (A) in paragraph (1)—

2 (i) in subparagraph (A), by striking

3 ‘‘The Secretary’’ and all that follows

4 through the period and inserting the fol5 lowing: ‘‘After reserving funds under sub6 paragraphs (E) and (F), the Secretary shall

7 allot the remainder of the sums appro8 priated for each fiscal year under this sec9 tion among the agencies designated under

10 subsection (c) within the States (referred to

11 individually in this subsection as a ‘des12 ignated agency’) on the basis of relative

13 population of each State, except that no

14 such agency shall receive less than

15 $50,000.’’;

16 (ii) in subparagraph (B), by inserting

17 ‘‘the designated agencies located in’’ after

18 ‘‘each to’’;

19 (iii) in subparagraph (D)(i)—

20 (I) by inserting ‘‘the designated

21 agencies located in’’ after ‘‘$100,000

22 for’’; and

23 (II) by inserting ‘‘the designated

24 agencies located in’’ after ‘‘$45,000

25 for’’; and
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1 (iv) by adding at the end the following:

2 ‘‘(E)(i) For any fiscal year for which the amount ap3 propriated to carry out this section equals or exceeds

4 $13,000,000, the Secretary shall reserve funds appropriated

5 under this section to make a grant to the protection and

6 advocacy system serving the American Indian Consortium

7 to provide client assistance services in accordance with this

8 section. The amount of such a grant shall be the same

9 amount as is provided to a territory under subparagraph

10 (B), as increased under clauses (i) and (ii) of subparagraph

11 (D).

12 ‘‘(ii) In this subparagraph:

13 ‘‘(I) The term ‘American Indian Consortium’

14 has the meaning given the term in section 102 of the

15 Developmental Disabilities Assistance and Bill of

16 Rights Act of 2000 (42 U.S.C. 15002).

17 ‘‘(II) The term ‘protection and advocacy system’

18 means a protection and advocacy system established

19 under subtitle C of title I of the Developmental Dis20 abilities Assistance and Bill of Rights Act of 2000 (42

21 U.S.C. 15041 et seq.).

22 ‘‘(F) For any fiscal year for which the amount appro23 priated to carry out this section equals or exceeds

24 $14,000,000, the Secretary shall reserve not less than 1.8

25 percent and not more than 2.2 percent of such amount to
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1 provide a grant for training and technical assistance for

2 the programs established under this section. Such training

3 and technical assistance shall be coordinated with activities

4 provided under section 509(c)(1)(A).’’; and

5 (B) in paragraph (2)—

6 (i) by striking ‘‘State’’ each place such

7 term appears and inserting ‘‘designated

8 agency’’; and

9 (ii) by striking ‘‘States’’ each place

10 such term appears and inserting ‘‘des11 ignated agencies’’;

12 (4) in subsection (f), by striking ‘‘State’’ and in13 serting ‘‘agency designated under subsection (c)’’;

14 (5) in subsection (g)(1), by striking ‘‘State’’ and

15 inserting ‘‘State in which the program is located’’;

16 and

17 (6) in subsection (h), by striking ‘‘fiscal years

18 1999 through 2003’’ and inserting ‘‘fiscal years 2006

19 through 2011’’.

20 SEC. 421. INCENTIVE GRANTS.

21 Part B of title I of the Rehabilitation Act of 1973 (29

22 U.S.C. 730 et seq.) is amended by adding at the end the

23 following:
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1 ‘‘SEC. 113. INCENTIVE GRANTS.

2 ‘‘(a) AUTHORITY.—The Commissioner is authorized to

3 make incentive grants to States that, based on the criteria

4 established under subsection (b)(1), demonstrate—

5 ‘‘(1) a high level of performance; or

6 ‘‘(2) a significantly improved level of perform7 ance in a reporting period as compared to the pre8 vious reporting period or periods.

9 ‘‘(b) CRITERIA.—

10 ‘‘(1) ESTABLISHMENT.—Not later than 180 days

11 after the date of enactment of this section, the Com12 missioner shall establish, and publish in the Federal

13 Register, criteria for making grant awards under sub14 section (a).

15 ‘‘(2) DEVELOPMENT AND EVALUATION STAND16 ARDS.—The criteria established under paragraph (1)

17 shall—

18 ‘‘(A) be developed with input from des19 ignated State agencies and other vocational reha20 bilitation stakeholders, including vocational re21 habilitation consumers and consumer organiza22 tions (including advocacy organizations); and

23 ‘‘(B) be based upon the evaluation stand24 ards and performance indicators established

25 under section 106 and other performance-related
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1 measures that the Commissioner determines to be

2 appropriate.

3 ‘‘(c) USE OF FUNDS.—A State that receives a grant

4 under subsection (a) shall use the grant funds for any ap5 proved activities in the State’s State plan submitted under

6 section 101.

7 ‘‘(d) NO NON-FEDERAL SHARE REQUIREMENT.—The

8 provisions of sections 101(a)(3) and 111(a)(2) shall not

9 apply to this section.

10 ‘‘(e) AUTHORIZATION OF APPROPRIATIONS.—There are

11 authorized to be appropriated to carry out this section such

12 sums as may be necessary for each of fiscal years 2006

13 through 2011.’’.

14 SEC. 422. VOCATIONAL REHABILITATION SERVICES

15 GRANTS.

16 Section 121 of the Rehabilitation Act of 1973 (29

17 U.S.C. 741) is amended—

18 (1) in subsection (a), in the first sentence, by in19 serting ‘‘, consistent with such individuals’ strengths,

20 resources, priorities, concerns, abilities, capabilities,

21 interests, and informed choice, so that such individ22 uals may prepare for, and engage in, gainful employ23 ment’’ before the period at the end; and

24 (2) in subsection (b)—

25 (A) in paragraph (1)—
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1 (i) in subparagraph (B), by striking

2 ‘‘and’’ after the semicolon;

3 (ii) in subparagraph (C), by striking

4 the period at the end and inserting ‘‘; and’’;

5 and

6 (iii) by adding at the end the fol7 lowing:

8 ‘‘(D) contains assurances that—

9 ‘‘(i) all decisions affecting eligibility for vo10 cational rehabilitation services, the nature and

11 scope of available services, and the provision of

12 such services, will be made by a representative of

13 the tribal vocational rehabilitation program; and

14 ‘‘(ii) such decisions will not be delegated to

15 another agency or individual.’’;

16 (B) in paragraph (3), by striking the first

17 sentence and inserting the following: ‘‘An appli18 cation approved under this part that complies

19 with the program requirements set forth in the

20 regulations promulgated to carry out this part

21 shall be effective for 5 years and shall be renewed

22 for additional 5-year periods if the Commis23 sioner determines that the grant recipient dem24 onstrated acceptable past performance and the

25 grant recipient submits a plan, including a pro-
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1 posed budget, to the Commissioner that the Com2 missioner approves that identifies future per3 formance criteria, goals, and objectives.’’; and

4 (C) by striking paragraph (4) and inserting

5 the following:

6 ‘‘(4) In allocating funds under this part, the Commis7 sioner shall give priority to paying the continuation costs

8 of projects in existence on the date of the allocation and

9 may provide for increases in funding for such projects that

10 the Commissioner determines to be necessary.’’.

11 SEC. 423. GAO STUDIES.

12 (a) STUDY ON TITLE I AND TICKET TO WORK.—

13 (1) IN GENERAL.—The Comptroller General of

14 the United States shall conduct a study on the inter15 action of programs carried out under title I of the Re16 habilitation Act of 1973 (29 U.S.C. 720 et seq.) with

17 the Ticket to Work and Self-Sufficiency Program es18 tablished under section 1148 of the Social Security

19 Act (42 U.S.C. 1320b–19), including the impact of

20 the interaction on beneficiaries, community rehabili21 tation programs (as defined in section 7 of the Reha22 bilitation Act of 1973 (29 U.S.C. 705)), and State vo23 cational rehabilitation agencies.

24 (2) CONDUCT OF STUDY.—In conducting the

25 study under paragraph (1), the Comptroller General
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1 of the United States shall consult with all types of

2 participants in the Ticket to Work and Self-Suffi3 ciency Program, including the Social Security Ad4 ministration, the Rehabilitation Services Administra5 tion, ticketholders, designated State agencies, entities

6 carrying out such community rehabilitation programs

7 (including employment networks and nonemployment

8 networks), protection and advocacy agencies,

9 MAXIMUS, and organizations representing the inter10 ests of ticketholders.

11 (3) REPORT TO CONGRESS.—Not later than 18

12 months after the date of enactment of this Act, the

13 Comptroller General of the United States shall submit

14 the study conducted pursuant to this subsection to the

15 appropriate committees of Congress.

16 (b) STUDY ON THE ALLOTMENT FORMULA.—

17 (1) IN GENERAL.—The Comptroller General of

18 the United States shall conduct a study on the rela19 tionship between the State allotment formula under

20 section 110 of the Rehabilitation Act of 1973 (29

21 U.S.C. 730) and the ability of States to provide voca22 tional rehabilitation services in accordance with the

23 States’ State plans under section 101 of such Act (29

24 U.S.C. 721).
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1 (2) CONDUCT OF STUDY.—In conducting the

2 study under paragraph (1), the Comptroller General

3 of the United States shall consult with appropriate

4 entities.

5 (3) REPORT TO CONGRESS.—Not later than 12

6 months after the date of enactment of this Act, the

7 Comptroller General of the United States shall submit

8 the study conducted pursuant to this subsection to the

9 appropriate committees of Congress.

10 Subtitle B—Research and Training

11 SEC. 431. DECLARATION OF PURPOSE.

12 Section 200(3) of the Rehabilitation Act of 1973 (29

13 U.S.C. 760(3)) is amended by inserting ‘‘, in a timely and

14 efficient manner,’’ before ‘‘through’’.

15 SEC. 432. AUTHORIZATION OF APPROPRIATIONS.

16 Section 201 of the Rehabilitation Act of 1973 (29

17 U.S.C. 761) is amended—

18 (1) in subsection (a)—

19 (A) in paragraph (1), by striking ‘‘fiscal

20 years 1999 through 2003’’ and inserting ‘‘fiscal

21 years 2006 through 2011’’; and

22 (B) in paragraph (2), by striking ‘‘fiscal

23 years 1999 through 2003’’ and inserting ‘‘fiscal

24 years 2006 through 2011’’; and

25 (2) by adding at the end the following:
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1 ‘‘(c) Of the sums appropriated under subsection (a)(1)

2 for a fiscal year, the Secretary may reserve not more than

3 $200,000 for activities related to convening a national as4 sistive technology summit under section 202(b)(6).’’.

5 SEC. 433. NATIONAL INSTITUTE ON DISABILITY AND REHA6 BILITATION RESEARCH.

7 Section 202 of the Rehabilitation Act of 1973 (29

8 U.S.C. 762) is amended—

9 (1) in subsection (b)—

10 (A) in paragraph (6), by inserting before

11 the semicolon the following: ‘‘, including con12 vening a national assistive technology summit,

13 to be held at or in conjunction with a national

14 conference relating to assistive technology with

15 respect to all categories of disabilities’’; and

16 (B) in paragraph (10), by striking ‘‘and

17 telecommuting’’ and inserting ‘‘, supported em18 ployment, and telecommuting’’;

19 (2) in subsection (f)(1)—

20 (A) by striking ‘‘Federal employees’’ and in21 serting ‘‘Department of Education employees’’;

22 and

23 (B) by adding at the end the following:

24 ‘‘The peer review panel shall include a director

25 of a designated State unit. Such panel shall in-
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1 clude a member of the covered school community

2 (for an activity resulting in educational mate3 rials or a product to be used in a covered school),

4 a member of the business community (for an ac5 tivity resulting in a product to be used in an

6 employment activity), an assistive technology de7 veloper or manufacturer (for an activity relating

8 to assistive technology), or an accessible elec9 tronic and information technology vendor or

10 manufacturer (for an activity relating to acces11 sible electronic and information technology).’’;

12 (3) by redesignating subsections (i), (j), and (k)

13 as subsections (j), (k), and (l), respectively;

14 (4) by inserting after subsection (h) the fol15 lowing:

16 ‘‘(i)(1) The Director, with the assistance of the Reha17 bilitation Research Advisory Council established under sec18 tion 205, shall determine if entities that receive financial

19 assistance under this title are complying with the applica20 ble requirements of this Act and achieving measurable goals,

21 described in section 204(d)(2), that are consistent with the

22 requirements of the programs under which the entities re23 ceived the financial assistance.

24 ‘‘(2) To assist the Director in carrying out the respon25 sibilities described in paragraph (1), the Director shall re-
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1 quire recipients of financial assistance under this title to

2 submit relevant information to evaluate program outcomes

3 with respect to the measurable goals described in section

4 204(d)(2).’’; and

5 (5) by adding at the end the following:

6 ‘‘(m)(1) Not later than December 31 of each year, the

7 Director shall prepare, and submit to the Secretary, the

8 Committee on Education and the Workforce of the House

9 of Representatives, and the Committee on Health, Edu10 cation, Labor, and Pensions of the Senate, a report on the

11 activities funded under this title.

12 ‘‘(2) Such report shall include—

13 ‘‘(A) a compilation and summary of the infor14 mation provided by recipients of financial assistance

15 for such activities under this title; and

16 ‘‘(B) a summary of the applications for finan17 cial assistance received under this title and the

18 progress of the recipients of financial assistance in

19 achieving the measurable goals described in section

20 204(d)(2).

21 ‘‘(n)(1) If the Director determines that an entity that

22 receives financial assistance under this title fails to comply

23 with the applicable requirements of this Act, or to make

24 progress toward achieving the measurable goals described

25 in section 204(d)(2), with respect to the covered activities
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1 involved, the Director shall assist the entity through tech2 nical assistance or other means, within 90 days after such

3 determination, to develop a corrective action plan.

4 ‘‘(2) If the entity fails to develop and comply with a

5 corrective action plan described in paragraph (1) during

6 a fiscal year, the entity shall be subject to 1 of the following

7 corrective actions selected by the Director:

8 ‘‘(A) Partial or complete termination of finan9 cial assistance for the covered activities, until the en10 tity develops and complies with such a plan.

11 ‘‘(B) Ineligibility to receive financial assistance

12 for such covered activities for the following year.

13 ‘‘(3) The Secretary shall establish appeals procedures

14 for entities described in paragraph (1) that the Secretary

15 determines fail to comply with the applicable requirements

16 of this Act, or to make progress toward achieving the meas17 urable goals.

18 ‘‘(4) As part of the annual report required under sub19 section (m), the Director shall describe each action taken

20 by the Director under paragraph (1) or (2) and the out21 comes of such action.’’.

22 SEC. 434. INTERAGENCY COMMITTEE.

23 Section 203 of the Rehabilitation Act of 1973 (29

24 U.S.C. 763) is amended—
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1 (1) in subsection (a)(1), by striking ‘‘and the Di2 rector of the National Science Foundation’’ and in3 serting ‘‘the Director of the National Science Founda4 tion, the Secretary of Commerce, and the Adminis5 trator of the Small Business Administration’’; and

6 (2) in subsection (b)(2)—

7 (A) in subparagraph (D), by striking ‘‘and’’

8 after the semicolon;

9 (B) in subparagraph (E), by striking the

10 period at the end and inserting ‘‘; and’’; and

11 (C) by adding at the end the following:

12 ‘‘(F) conduct a study, on the assistive technology

13 industry, for which the Committee shall—

14 ‘‘(i) determine the number of individuals

15 who use assistive technology and the scope of the

16 technologies they use;

17 ‘‘(ii) separately identify categories of assist18 ive technology companies by the disability group

19 served, and the type of product or service pro20 vided, categorized by—

21 ‘‘(I) size (small, medium, and large) of

22 the companies;

23 ‘‘(II) capitalization of the companies;

24 ‘‘(III) region in which the companies

25 are located; and
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1 ‘‘(IV) products or services produced by

2 the companies;

3 ‘‘(iii) compile aggregate data on revenues

4 and unit sales of such companies, including in5 formation on international sales, for a recent re6 porting period, categorized by institution or user

7 type acquiring the products or services, dis8 ability for which the products or services are

9 used, and industry segment for the companies;

10 ‘‘(iv) identify platform availability and

11 usage, for those products and services that are

12 electronic and information technology-related;

13 ‘‘(v) identify the types of clients of the com14 panies, such as Government, school, business,

15 private payor, and charitable clients, and fund16 ing sources for the clients; and

17 ‘‘(vi) specify geographic segments for the

18 companies, to determine whether there are sig19 nificant distinctions in industry opportunities

20 on the basis of geography, other than distinctions

21 related to population.’’.

22 SEC. 435. RESEARCH AND OTHER COVERED ACTIVITIES.

23 Section 204 of the Rehabilitation Act of 1973 (29

24 U.S.C. 764) is amended—

25 (1) in subsection (a)—
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1 (A) in paragraph (2)(B)—

2 (i) in clause (vi), by striking ‘‘and’’

3 after the semicolon;

4 (ii) in clause (vii), by striking the pe5 riod at the end and inserting ‘‘; and’’; and

6 (iii) by adding at the end the fol7 lowing:

8 ‘‘(viii) studies, analyses, and other activities af9 fecting employment outcomes, including self-employ10 ment and telecommuting, of individuals with disabil11 ities.’’; and

12 (B) by adding at the end the following:

13 ‘‘(3) In carrying out this section, the Director shall

14 emphasize covered activities that are collaborations

15 between—

16 ‘‘(A) for-profit companies working in the assist17 ive technology, rehabilitative engineering, or informa18 tion technology fields; and

19 ‘‘(B) States or public or private agencies and or20 ganizations.

21 ‘‘(4) In carrying out this section, the Director shall

22 emphasize covered activities that include plans for—

23 ‘‘(A) dissemination of educational materials, re24 search results, or findings, conclusions, and rec25 ommendations resulting from covered activities; or
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1 ‘‘(B) the commercialization of marketable prod2 ucts resulting from the covered activities.’’;

3 (2) in subsection (b)—

4 (A) in paragraph (1), by striking ‘‘(18)’’

5 each place it appears and inserting ‘‘(19)’’;

6 (B) in paragraph (2)—

7 (i) in subparagraph (A)(i), by striking

8 ‘‘rehabilitation services or’’ and inserting

9 ‘‘rehabilitation services, developers or pro10 viders of assistive technology devices, assist11 ive technology services, or information tech12 nology devices or services, or providers of’’;

13 (ii) in subparagraph (B)—

14 (I) in clause (i), by inserting ‘‘im15 prove the evaluation process for deter16 mining the assistive technology needs

17 of individuals with disabilities,’’after

18 ‘‘conditions,’’;

19 (II) in clause (ii), by inserting

20 ‘‘and assistive technology services’’ be21 fore the semicolon; and

22 (III) in clause (iii), by inserting

23 ‘‘, assistive technology services per24 sonnel,’’ before ‘‘and other’’;

25 (iii) in subparagraph (C)—
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1 (I) in clause (i), by inserting ‘‘,

2 including research on assistive tech3 nology devices, assistive technology

4 services, and accessible electronic and

5 information technology devices’’ before

6 the semicolon; and

7 (II) in clause (iii), by inserting ‘‘,

8 including the use of assistive tech9 nology devices and accessible electronic

10 and information technology devices in

11 employment’’ before the semicolon;

12 (iv) in subparagraph (D), by inserting

13 ‘‘, including training to provide knowledge

14 about assistive technology devices, assistive

15 technology services, and accessible electronic

16 and information technology devices and

17 services,’’ after ‘‘personnel’’; and

18 (v) in subparagraph (G)(i), by insert19 ing ‘‘, assistive technology-related, and ac20 cessible electronic and information tech21 nology-related’’ before ‘‘courses’’;

22 (C) in paragraph (3)—

23 (i) in subparagraph (D)(ii), by adding

24 at the end the following: ‘‘Each such Center

25 conducting an activity relating to assistive
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1 technology or relating to accessible elec2 tronic and information technology shall in3 clude in the committee an assistive tech4 nology developer or manufacturer, or an ac5 cessible electronic and information tech6 nology vendor or manufacturer, respectively.

7 Each such Center conducting an activity re8 sulting in educational materials or a prod9 uct to be used in a covered school, or result10 ing in a product to be used in an employ11 ment activity, shall include in the com12 mittee a member of the covered school com13 munity, or a member of the business com14 munity, respectively.’’; and

15 (ii) in subparagraph (G)(ii) by insert16 ing ‘‘the success of any commercialized

17 product researched or developed through the

18 Center,’’ after ‘‘disabilities,’’;

19 (D) in paragraph (8), by inserting ‘‘the De20 partment of Commerce, the Small Business Ad21 ministration, the Department of Labor,’’ before

22 ‘‘other Federal agencies,’’;

23 (E) in paragraph (13), in the matter pre24 ceding subparagraph (A), by striking ‘‘employ25 ment needs of individuals with disabilities’’ and
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1 inserting ‘‘employment needs, opportunities, and

2 outcomes, including needs, opportunities, and

3 outcomes relating to self-employment, supported

4 employment, and telecommuting, of individuals

5 with disabilities, including older individuals

6 with disabilities, and students with disabilities

7 who are transitioning from school to postsec8 ondary life, including employment’’; and

9 (F) by adding at the end the following:

10 ‘‘(19) Research grants may be used to provide for re11 search and demonstration projects that—

12 ‘‘(A) explore methods and practices for pro13 moting access to electronic commerce activities for in14 dividuals with disabilities; and

15 ‘‘(B) will—

16 ‘‘(i) ensure dissemination of research find17 ings;

18 ‘‘(ii) provide encouragement and support

19 for initiatives and new approaches by companies

20 engaged in electronic commerce activities; and

21 ‘‘(iii) result in the establishment and main22 tenance of close working relationships between

23 the disability, research, and business commu24 nities.’’;
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1 (3) in subsection (c)(2), by striking ‘‘$500,000’’

2 and inserting ‘‘$750,000’’; and

3 (4) by adding at the end the following:

4 ‘‘(d)(1) In awarding grants, contracts, or other finan5 cial assistance under this title, the Director shall award the

6 financial assistance on a competitive basis.

7 ‘‘(2)(A) To be eligible to receive financial assistance

8 described in paragraph (1) for a covered activity, an entity

9 shall submit an application to the Director at such time,

10 in such manner, and containing such information as the

11 Director may require.

12 ‘‘(B) The application shall include information

13 describing—

14 ‘‘(i) measurable goals, and a timeline and spe15 cific plan for meeting the goals, that the applicant

16 has set for addressing priorities related to—

17 ‘‘(I) commercialization of a marketable

18 product (including a marketable curriculum or

19 research) resulting from the covered activity;

20 ‘‘(II) in the case of a covered activity relat21 ing to technology, technology transfer;

22 ‘‘(III) in the case of research, dissemination

23 of research results to, as applicable, Government

24 entities, individuals with disabilities, covered

25 schools, the business community, the assistive
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1 technology community, and the accessible elec2 tronic and information technology community;

3 and

4 ‘‘(IV) other matters as required by the Di5 rector; and

6 ‘‘(ii) information describing how the applicant

7 will quantifiably measure the goals to determine

8 whether the goals have been accomplished.

9 ‘‘(3)(A) In the case of an application for financial as10 sistance under this title to carry out a covered activity that

11 results in the development of a marketable product, the ap12 plication shall also include a commercialization and dis13 semination plan, containing commercialization and mar14 keting strategies for the product involved, and strategies for

15 disseminating information about the product. The financial

16 assistance shall not be used to carry out the commercializa17 tion and marketing strategies.

18 ‘‘(B) In the case of any other application for financial

19 assistance to carry out a covered activity under this title,

20 the application shall also include a dissemination plan,

21 containing strategies for disseminating educational mate22 rials, research results, or findings, conclusions, and rec23 ommendations, resulting from the covered activity.’’.
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1 SEC. 436. REHABILITATION RESEARCH ADVISORY COUNCIL.

2 Section 205 of the Rehabilitation Act of 1973 (29

3 U.S.C. 765) is amended—

4 (1) in subsection (a), by inserting ‘‘at least’’ be5 fore ‘‘12’’; and

6 (2) in subsection (c), by inserting after ‘‘rehabili7 tation researchers,’’ the following: ‘‘the directors of

8 community rehabilitation programs, the business

9 community (and shall include a representative of the

10 small business community) that has experience with

11 the system of vocational rehabilitation services carried

12 out under this Act and with hiring individuals with

13 disabilities, the community of assistive technology de14 velopers and manufacturers, the community of infor15 mation technology vendors and manufacturers, the

16 community of entities carrying out programs under

17 the Assistive Technology Act of 1998 (29 U.S.C. 3001

18 et seq.), the community of covered school profes19 sionals,’’.

20 SEC. 437. DEFINITION.

21 Title II of the Rehabilitation Act of 1973 (29 U.S.C.

22 760 et seq.) is amended by adding at the end the following:

23 ‘‘SEC. 206. DEFINITION.

24 ‘‘In this title, the term ‘covered school’ means an ele25 mentary school or secondary school (as such terms are de26 fined in section 9101 of the Elementary and Secondary
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1 Education Act of 1965 (20 U.S.C. 7801)) or an institution

2 of higher education.’’.

3 Subtitle C—Professional Develop4 ment and Special Projects and

5 Demonstrations

6 SEC. 441. TRAINING.

7 Section 302 of the Rehabilitation Act of 1973 (29

8 U.S.C. 772) is amended—

9 (1) in subsection (a)—

10 (A) in paragraph (1)—

11 (i) in subparagraph (F), by striking

12 the ‘‘and’’ after the semicolon;

13 (ii) in subparagraph (G), by striking

14 the period at the end and inserting ‘‘; and’’;

15 and

16 (iii) by adding at the end the fol17 lowing:

18 ‘‘(H) personnel trained in providing assist19 ive technology services.’’; and

20 (B) in paragraph (4)(B), by striking ‘‘sec21 tion 134(c)’’ and inserting ‘‘section 121(e)’’;

22 (2) in subsection (b)(1)(B)(i), by striking ‘‘or

23 prosthetics and orthotics’’ and inserting ‘‘prosthetics

24 and orthotics, rehabilitation teaching for the blind, or

25 orientation and mobility instruction’’; and
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1 (3) in subsection (i), by striking ‘‘fiscal years

2 1999 through 2003’’ and inserting ‘‘fiscal years 2006

3 through 2011’’.

4 SEC. 442. DEMONSTRATION AND TRAINING PROGRAMS.

5 Section 303 of the Rehabilitation Act of 1973 (29

6 U.S.C. 773) is amended—

7 (1) in subsection (b)(5)(A)(i), by striking ‘‘spe8 cial projects’’ and inserting ‘‘not less than 2 special

9 projects’’;

10 (2) by redesignating subsections (c), (d), and (e)

11 as subsections (h), (i), and (j), respectively;

12 (3) by inserting after subsection (b) the fol13 lowing:

14 ‘‘(c) DEMONSTRATION PROJECTS FOR EMPLOYMENT

15 OF STUDENTS WITH INTELLECTUAL DISABILITIES OR

16 MENTAL ILLNESS.—

17 ‘‘(1) PURPOSE.—The purpose of this subsection

18 is to support model demonstration projects to provide

19 supported and competitive employment experiences

20 for students with intellectual disabilities or students

21 with mental illness, and training for personnel that

22 work with students described in this paragraph, to

23 enable the students to gain employment skills and ex24 perience that will promote effective transitions from

25 school to postsecondary life, including employment.
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1 ‘‘(2) AWARDS AUTHORIZED.—

2 ‘‘(A) COMPETITIVE AWARDS AUTHORIZED.—

3 The Commissioner may award grants, contracts,

4 and cooperative agreements, on a competitive

5 basis, to eligible organizations described in para6 graph (3), to enable the organizations to carry

7 out demonstration projects described in para8 graph (1).

9 ‘‘(B) DURATION.—The Commissioner shall

10 award grants, contracts, and cooperative agree11 ments under this subsection for periods of 3 to

12 5 years.

13 ‘‘(3) ELIGIBLE ORGANIZATIONS.—To be eligible

14 to receive a grant, contract, or cooperative agreement

15 under this subsection, an organization shall—

16 ‘‘(A) have expertise in providing employ17 ment and support services for individuals with

18 intellectual disabilities or individuals with men19 tal illness;

20 ‘‘(B) have a proven track record in success21 fully running supported employment programs;

22 ‘‘(C) provide employment services that are

23 exclusively integrated community-based sup24 ported employment services;
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1 ‘‘(D) have expertise in creating natural sup2 ports for employment;

3 ‘‘(E) have expertise in providing computer

4 training for the targeted population for the

5 project involved; and

6 ‘‘(F) have experience operating mentoring

7 programs for the target population in middle

8 and high schools for at least a decade in diverse

9 communities throughout the Nation.

10 ‘‘(4) APPLICATIONS.—Each organization desir11 ing to receive a grant, contract, or cooperative agree12 ment under this subsection shall submit an applica13 tion to the Commissioner at such time, in such man14 ner, and including such information as the Commis15 sioner may require. Each application shall include—

16 ‘‘(A) a description of how the organization

17 plans to carry out the activities authorized in

18 this subsection through a demonstration project;

19 ‘‘(B) a description of how the organization

20 will evaluate the project;

21 ‘‘(C) a description of how the organization

22 will disseminate information about the activities

23 and the impact of the activities on the lives of

24 students served by the project; and
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1 ‘‘(D) a description of how the organization

2 will coordinate activities with any other relevant

3 service providers in the locality where the orga4 nization is based, including federally supported

5 independent living centers.

6 ‘‘(5) AUTHORIZED ACTIVITIES.—An organization

7 that receives a grant, contract, or cooperative agree8 ment under this subsection shall use the funds made

9 available through the grant, contract, or cooperative

10 agreement to carry out 1 or more of the following ac11 tivities for individuals, ages 14 through 21, who are

12 students with intellectual disabilities or students with

13 mental illness:

14 ‘‘(A) PROVIDING SUPPORTED AND COMPETI15 TIVE EMPLOYMENT EXPERIENCES.—The develop16 ment of innovative and effective supported and

17 competitive employment experiences after school,

18 on weekends, and in the summer, utilizing nat19 ural supports that lead to competitive high-pay20 ing jobs.

21 ‘‘(B) PROVIDING TRAINING TO SCHOOL AND

22 TRANSITION PERSONNEL.—The development and

23 deployment of experts to work with transition

24 programs (including personnel working with stu25 dents on transition) so that personnel from the
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1 programs develop skills needed to train students

2 with intellectual disabilities or students with

3 mental illness to be successful in competitive em4 ployment in a range of settings, including office

5 settings. The training shall include training for

6 the personnel in providing instruction to stu7 dents in computer skills, office skills, interview

8 etiquette, and appropriate social behavior re9 quired for successful long-term employment in

10 professional environments.

11 ‘‘(6) AUTHORIZATION OF APPROPRIATIONS.—

12 There are authorized to be appropriated to carry out

13 this subsection $5,000,000 for fiscal year 2006 and

14 such sums as may be necessary for fiscal years 2007

15 through 2011.

16 ‘‘(d) DEMONSTRATION PROJECT FOR EMPLOYMENT OF

17 INDIVIDUALS WHO ARE DEAF AND LOW FUNCTIONING.—

18 ‘‘(1) PURPOSE.—The purpose of this subsection

19 is to support a model demonstration project to pro20 vide training and employment and support services

21 for individuals who are deaf and low functioning to

22 enable them to gain employment skills that will allow

23 them to become employed and economically self-suffi24 cient.

25 ‘‘(2) DEFINITION.—
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1 ‘‘(A) IN GENERAL.—In this subsection, the

2 term ‘individual who is deaf and low func3 tioning’ means an individual who has been deaf

4 from birth or very early childhood, reads at or

5 below the second grade level, has little or no in6 telligible speech, and lacks a secondary school di7 ploma or its recognized equivalent.

8 ‘‘(B) SECONDARY DISABILITIES.—Such

9 term may include an individual with a sec10 ondary disability.

11 ‘‘(3) GRANTS AUTHORIZED.—

12 ‘‘(A) COMPETITIVE GRANTS AUTHORIZED.—

13 The Commissioner may award grants to State

14 agencies, other public agencies or organizations,

15 or not-for-profit organizations with expertise in

16 providing training and employment and support

17 services for individuals who are deaf and low

18 functioning to support model demonstration

19 projects.

20 ‘‘(B) DURATION.—Grants under this sub21 section shall be awarded for a period not to ex22 ceed 5 years.

23 ‘‘(4) AUTHORIZED ACTIVITIES.—

24 ‘‘(A) DEVELOPING A COMPREHENSIVE

25 TRAINING PROGRAM.—Each grant recipient
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1 under this subsection shall develop an innova2 tive, comprehensive training program for indi3 viduals who are deaf and low functioning that

4 can be implemented at multiple training loca5 tions through such means as distance learning

6 and use of advanced technology, as appropriate.

7 Such training program shall be developed to

8 maximize the potential for replication of the pro9 gram by other training providers.

10 ‘‘(B) IMPLEMENTATION.—Each grant re11 cipient under this subsection shall implement the

12 comprehensive training program developed under

13 subparagraph (A) as soon as feasible. Such

14 training shall provide instruction on the job and

15 the social skills necessary for successful long-term

16 employment of individuals who are deaf and low

17 functioning.

18 ‘‘(C) ESTABLISHING A POST-TRAINING PRO19 GRAM OF EMPLOYMENT AND SUPPORT SERV20 ICES.—Each grant recipient under this sub21 section shall implement employment and support

22 services to assist individuals who complete the

23 training program under subparagraph (A) in se24 curing employment and transitioning to the
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1 workplace, for a period of not less than 90 days

2 subsequent to placement in the employment.

3 ‘‘(5) APPLICATIONS.—Each entity desiring to re4 ceive a grant under this subsection for a model dem5 onstration project shall submit an application to the

6 Commissioner at such time, in such manner, and ac7 companied by such information as the Commissioner

8 may require including—4 ‘‘(A) a description of

9 how the applicant plans to address the activities au10 thorized under this subsection;

11 ‘‘(B) a description of the evaluation plan to

12 be used in the model demonstration project;

13 ‘‘(C) a description of how the applicant will

14 disseminate information about the training pro15 gram developed and the results of the project;

16 and

17 ‘‘(D) a description of how the entity will co18 ordinate activities with any other relevant serv19 ice providers or entities providing training and

20 employment and support services for individuals

21 who are deaf and low functioning.

22 ‘‘(6) MANDATED EVALUATION AND DISSEMINA23 TION ACTIVITIES.—

24 ‘‘(A) ANNUAL REPORT.—Not later than 2

25 years after the date on which a grant under this
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1 subsection is awarded and annually thereafter,

2 the grant recipient shall submit to the Commis3 sioner a report containing information on—

4 ‘‘(i) the number of individuals who are

5 participating in the demonstration project

6 funded under this subsection;

7 ‘‘(ii) the employment and other skills

8 being taught in the project;

9 ‘‘(iii) the number of individuals par10 ticipating in the project that are placed in

11 employment;

12 ‘‘(iv) the job sites in which those indi13 viduals are placed and the type of jobs the

14 individuals are placed in; and

15 ‘‘(v) the number of individuals who

16 have dropped out of the project and the rea17 sons for their terminating participation in

18 the project.

19 ‘‘(B) EVALUATION OF THE PROJECT.—Each

20 grant recipient under this subsection shall imple21 ment the evaluation plan approved in its appli22 cation for determining the results of the project

23 within the timeframe specified in, and following

24 the provisions of, the approved application.
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1 ‘‘(C) PARTICIPANT EVALUATION PROCESS;

2 FINAL EVALUATION.—In the final year of the

3 project, the grant recipient will prepare and sub4 mit to the Commissioner a final evaluation re5 port of the results of the model demonstration

6 project containing—

7 ‘‘(i) information on—

8 ‘‘(I) the number of individuals

9 who participated in the demonstration

10 project;

11 ‘‘(II) the number of those individ12 uals that are placed in employment;

13 ‘‘(III) the job sites in which those

14 individuals were placed and the type

15 of jobs the individuals were placed in;

16 ‘‘(IV) the number of those individ17 uals who have dropped out of the

18 project and the reasons for their termi19 nating participation in the project;

20 and

21 ‘‘(V) the number of those individ22 uals who participated in the project

23 and who remain employed as of 2

24 months prior to the date on which the
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1 final report is submitted to the Com2 missioner;

3 ‘‘(ii) a written analysis of the project,

4 including both the strengths and weaknesses

5 of the project, to assist other entities in rep6 licating the training program developed

7 through the project; and

8 ‘‘(iii) such other information as the

9 Commissioner determines appropriate.

10 ‘‘(D) DISSEMINATION.—Not later than 5

11 years after the date on which a grant is awarded

12 under this subsection, the evaluation report con13 taining results of activities funded by such grant

14 shall be disseminated to designated State agen15 cies, school systems providing instruction to stu16 dents who are individuals who are deaf and low

17 functioning, supported employment providers,

18 postsecondary vocational training programs, em19 ployers, the Social Security Administration, and

20 other interested parties.

21 ‘‘(7) AUTHORIZATION OF APPROPRIATIONS.—

22 There are authorized to be appropriated to carry out

23 this subsection, $5,000,000 for fiscal year 2006 and

24 such sums as may be necessary for each of fiscal years

25 2007 through 2011.
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1 ‘‘(e) TRAINING AND TECHNICAL ASSISTANCE CENTER

2 TO PROMOTE HIGH-QUALITY EMPLOYMENT OUTCOMES

3 FOR INDIVIDUALS RECEIVING SERVICES FROM DESIGNATED

4 STATE AGENCIES.—

5 ‘‘(1) IN GENERAL.—The Commissioner shall

6 award a grant, contract, or cooperative agreement to

7 an entity to support a training and technical assist8 ance program that—

9 ‘‘(A) responds to State-specific information

10 requests concerning high-quality employment

11 outcomes, from designated State agencies funded

12 under title I, including—

13 ‘‘(i) requests for information on the ex14 pansion of self-employment, business owner15 ship, and business development opportuni16 ties, and other types of entrepreneurial em17 ployment opportunities for individuals with

18 disabilities;

19 ‘‘(ii) requests for information on the

20 expansion and improvement of transition

21 services to facilitate the transition of stu22 dents with disabilities from school to post23 secondary life, including employment;

24 ‘‘(iii) requests for examples of policies,

25 practices, procedures, or regulations, that
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1 have enhanced or may enhance access to

2 funding for assistive technology devices and

3 assistive technology services for individuals

4 with disabilities;

5 ‘‘(iv) requests for information on effec6 tive approaches to enhance informed choice

7 and a consumer-directed State vocational

8 rehabilitation system;

9 ‘‘(v) requests for assistance developing

10 corrective action plans;

11 ‘‘(vi) requests for assistance in devel12 oping and implementing effective data col13 lection and reporting systems that measure

14 the outcomes of the vocational rehabilitation

15 services, and preparing reports for the Com16 missioner as described in section 106(b)(1);

17 and

18 ‘‘(vii) requests for information on effec19 tive approaches that enhance employment

20 outcomes for individuals with disabilities,

21 including conducting outreach and forming

22 partnerships with business and industry;

23 and

24 ‘‘(B) provides State-specific, regional, and

25 national training and technical assistance con-
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1 cerning vocational rehabilitation services and re2 lated information to designated State agencies,

3 including—

4 ‘‘(i) facilitating onsite and electronic

5 information sharing using state-of-the-art

6 Internet technologies such as real-time on7 line discussions, multipoint video confer8 encing, and web-based audio/video broad9 casts, on emerging topics that affect voca10 tional rehabilitation programs authorized

11 under title I;

12 ‘‘(ii) enabling the designated State

13 agencies to coordinate training and data

14 collection efforts with one-stop centers estab15 lished under section 121(e) of the Workforce

16 Investment Act of 1998 (29 U.S.C. 2841(e));

17 ‘‘(iii) enabling the designated State

18 agencies to provide information on how the

19 vocational rehabilitation programs author20 ized under title I can provide technical as21 sistance to the one-stop centers on making

22 programs offered through the centers phys23 ically and programmatically accessible to

24 individuals with disabilities;
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1 ‘‘(iv) sharing evidence-based and prom2 ising practices among the vocational reha3 bilitation programs;

4 ‘‘(v) maintaining an accessible website

5 that includes links to—

6 ‘‘(I) the vocational rehabilitation

7 programs;

8 ‘‘(II) appropriate Federal depart9 ments and agencies, and private asso10 ciations;

11 ‘‘(III) State assistive technology

12 device and assistive technology service

13 demonstration programs, device loan

14 programs, device reutilization pro15 grams, alternative financing systems,

16 or State financing activities, operated

17 through, or independently of, com18 prehensive statewide programs of tech19 nology-related assistance carried out

20 under section 4 of the Assistive Tech21 nology Act of 1998 (29 U.S.C. 3003),

22 telework programs, and other programs

23 that provide sources of funding for as24 sistive technology devices; and
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1 ‘‘(IV) various programs, including

2 programs with tax credits, available to

3 employers for hiring or accommodating

4 employees who are individuals with

5 disabilities;

6 ‘‘(vi) enhancing employment outcomes

7 for individuals with mental illness and in8 dividuals with cognitive disabilities;

9 ‘‘(vii) convening experts from the voca10 tional rehabilitation programs to discuss

11 and make recommendations with regard to

12 the employment of individuals with disabil13 ities and national emerging issues of impor14 tance to individuals with vocational reha15 bilitation needs;

16 ‘‘(viii) enabling the designated State

17 agencies to provide practical information

18 on effective approaches for business and in19 dustry to use in employing individuals with

20 disabilities, including provision of reason21 able accommodations;

22 ‘‘(ix) providing information on other

23 emerging issues concerning the delivery of

24 publicly funded employment and training

25 services and supports to assist individuals
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1 with disabilities to enter the workforce,

2 achieve improved employment outcomes,

3 and become economically self-sufficient; and

4 ‘‘(x) carrying out such other activities

5 as the Commissioner may require.

6 ‘‘(2) ELIGIBLE ENTITIES.—To be eligible to re7 ceive a grant, contract, or cooperative agreement

8 under this subsection, an entity shall have (or agree

9 to award a grant or contract to an entity that has)—

10 ‘‘(A) experience and expertise in admin11 istering vocational rehabilitation services;

12 ‘‘(B) documented experience with and

13 knowledge about self-employment, business own14 ership, business development, and other types of

15 entrepreneurial employment opportunities and

16 outcomes for individuals with disabilities, pro17 viding transition services for students with dis18 abilities, and assistive technology; and

19 ‘‘(C) the expertise necessary to identify the

20 additional data elements needed to provide com21 prehensive reporting of activities and outcomes

22 of the vocational rehabilitation programs author23 ized under title I, and experience in utilizing

24 data to provide annual reports.
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1 ‘‘(3) COLLABORATION.—In developing and pro2 viding training and technical assistance under this

3 subsection, a recipient of a grant, contract, or cooper4 ative agreement under this subsection shall collaborate

5 with other organizations, in particular—

6 ‘‘(A) agencies carrying out vocational reha7 bilitation programs under title I and national

8 organizations representing such programs;

9 ‘‘(B) organizations representing individuals

10 with disabilities;

11 ‘‘(C) organizations representing State offi12 cials and agencies engaged in the delivery of as13 sistive technology;

14 ‘‘(D) relevant employees from Federal de15 partments and agencies, other than the Depart16 ment of Education;

17 ‘‘(E) representatives of businesses;

18 ‘‘(F) individuals with disabilities who use

19 assistive technology and understand the barriers

20 to the acquisition of such technology and assist21 ive technology services; and

22 ‘‘(G) family members, guardians, advocates,

23 and authorized representatives of such individ24 uals.

25 ‘‘(f) ACCESS TO TELEWORK.—
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1 ‘‘(1) DEFINITION OF TELEWORK.—In this sub2 section, the term ‘telework’ means work from home

3 and other telework sites with the assistance of a com4 puter and with reasonable accommodations, including

5 the necessary equipment to facilitate successful work

6 from home and other telework sites.

7 ‘‘(2) AUTHORIZATION OF PROGRAM.—The Com8 missioner is authorized to make grants to States and

9 governing bodies of Indian tribes located on Federal

10 and State reservations (and consortia of such gov11 erning bodies) to pay for the Federal share of the cost

12 of establishing or expanding a telework program.

13 ‘‘(3) APPLICATION.—A State or Indian tribe that

14 desires to receive a grant under this subsection shall

15 submit an application to the Commissioner at such

16 time, in such manner, and containing such informa17 tion as the Commissioner may require.

18 ‘‘(4) USE OF FUNDS.—

19 ‘‘(A) IN GENERAL.—A State or Indian tribe

20 that receives a grant under this subsection shall

21 establish or expand a telework program that

22 shall provide assistance through loans or other

23 alternative financing mechanisms to individuals

24 with disabilities. The State or Indian tribe shall

25 provide the assistance through the program to
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1 enable such individuals to purchase computers or

2 other equipment, including adaptive equipment,

3 to facilitate access to employment and enhance

4 employment outcomes by providing the indi5 vidual with the opportunity—

6 ‘‘(i) to work from home or other

7 telework sites so that such individuals are

8 able to telework; or

9 ‘‘(ii) to become self-employed on a full10 time or part-time basis from home or other

11 telework sites.

12 ‘‘(B) DEVELOPMENT OF TELEWORK OPPOR13 TUNITIES AND BUSINESS PLANS.—A State or In14 dian tribe that receives a grant under this sub15 section may use not more than 10 percent of the

16 grant award to develop telework opportunities

17 with employers and assist in the development of

18 business plans for individuals with disabilities

19 interested in self-employment, before such indi20 viduals apply for assistance through the telework

21 program.

22 ‘‘(C) SELF EMPLOYMENT.—A State or In23 dian tribe that receives a grant under this sub24 section shall enter into cooperative agreements

25 with small business development centers for the
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1 development of business plans as described in

2 section 103(a)(13) for individuals described in

3 subparagraph (B), and provide assurances that

4 the State or Indian tribe will, through plans to

5 achieve self-support, vocational rehabilitation

6 services, or other means, identify ways for the

7 individuals described in subparagraph (B) to

8 pay for the development of business plans, before

9 such individuals apply for assistance through the

10 telework program.

11 ‘‘(D) DEFINITIONS.—In this paragraph:

12 ‘‘(i) PLAN TO ACHIEVE SELF-SUP13 PORT.—The term ‘plan to achieve self-sup14 port’ means a plan described in sections

15 416.1180 through 416.1182 of title 20, Code

16 of Federal Regulations (or any cor17 responding similar regulation or ruling).

18 ‘‘(ii) SMALL BUSINESS DEVELOPMENT

19 CENTER.—The term ‘small business develop20 ment center’ means a center established

21 under section 21 of the Small Business Act

22 (15 U.S.C. 648).

23 ‘‘(5) FEDERAL SHARE.—The Federal share of the

24 cost of establishing or expanding a telework program

25 under this section shall be 90 percent of the cost.
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1 ‘‘(6) EXISTING GRANT RECIPIENTS.—An entity

2 that receives a grant under the Access to Telework

3 Fund Program under subsection (b) for a fiscal year

4 may use the funds made available through that grant

5 for that fiscal year in accordance with this subsection

6 rather than subsection (b).

7 ‘‘(7) ANNUAL REPORT.—

8 ‘‘(A) IN GENERAL.—A State or Indian tribe

9 that receives a grant under this subsection shall

10 prepare and submit an annual report to the

11 Commissioner.

12 ‘‘(B) CONTENTS.—The report under sub13 paragraph (A) shall include the following:

14 ‘‘(i) Information on the characteristics

15 of each individual with a disability that re16 ceives assistance through a loan or other al17 ternative financing mechanism under the

18 program, including information about the

19 individual such as the following:

20 ‘‘(I) Age.

21 ‘‘(II) Employment status at the

22 time of application for assistance

23 through a loan or other alternative fi24 nancing mechanism under this sub25 section.
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1 ‘‘(III) Whether the individual at2 tempted to secure financial support

3 from other sources to enable the indi4 vidual to telework and, if so, a descrip5 tion of such sources.

6 ‘‘(IV) Whether the individual is

7 working and, if so, whether the indi8 vidual teleworks, the occupation in

9 which the individual is working, the

10 hourly salary the individual receives,

11 and the hourly salary of the individual

12 prior to receiving assistance through a

13 loan or other alternative financing

14 mechanism under the program.

15 ‘‘(V) Whether the individual has

16 repaid assistance from the loan or

17 other alternative financing mechanism

18 received under the program, is in re19 payment status, is delinquent on re20 payments, or has defaulted on the as21 sistance from the loan or other alter22 native financing mechanism.

23 ‘‘(ii) An analysis of the individuals

24 with disabilities that have benefited from

25 the program.
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1 ‘‘(iii) Any other information that the

2 Commissioner may require.

3 ‘‘(g) GRANTS FOR DISABILITY CAREER PATHWAYS

4 PROGRAM.—

5 ‘‘(1) DEFINITIONS.—In this subsection:

6 ‘‘(A) CENTER FOR INDEPENDENT LIVING.—

7 The term ‘center for independent living’ means a

8 center for independent living funded under sub9 title C of title VII.

10 ‘‘(B) COVERED INSTITUTION.—The term

11 ‘covered institution’ means—

12 ‘‘(i) a secondary school; and

13 ‘‘(ii) in the discretion of the eligible

14 consortium involved, an institution of high15 er education.

16 ‘‘(C) ELIGIBLE CONSORTIUM.—The term ‘el17 igible consortium’ means a consortium described

18 in paragraph (3)(A).

19 ‘‘(D) SECONDARY SCHOOL.—The term ‘sec20 ondary school’ has the meaning given the term

21 in section 9101 of the Elementary and Sec22 ondary Education Act of 1965 (20 U.S.C. 7801).

23 ‘‘(2) PURPOSE OF PROGRAM.—The Commissioner

24 may establish a Disability Career Pathways program,

25 through which the Commissioner may make grants,
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1 for periods of not more than 5 years, to institutions

2 of higher education that establish eligible consortia, to

3 enable the consortia to develop and carry out training

4 and education related to disability studies and leader5 ship development. The consortia shall provide the

6 training and education for the purpose of providing

7 career pathways for students at a covered institution,

8 in fields pertinent to individuals with disabilities,

9 and particularly pertinent to the employment of indi10 viduals with disabilities.

11 ‘‘(3) APPLICATION.—To be eligible to receive a

12 grant under this subsection on behalf of a consortium,

13 an institution of higher education shall submit an ap14 plication to the Commissioner at such time, in such

15 manner, and containing such information as the

16 Commissioner may require, including information

17 demonstrating—

18 ‘‘(A) that the institution of higher education

19 has established a consortium of members that

20 represent—

21 ‘‘(i) the institution of higher education;

22 ‘‘(ii) a community college;

23 ‘‘(iii) a secondary school;

24 ‘‘(iv) a center for independent living;

25 ‘‘(v) a designated State agency;
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1 ‘‘(vi) a one-stop center established

2 under section 121(e) of the Workforce In3 vestment Act of 1998 (29 U.S.C. 2841(e));

4 and

5 ‘‘(vii) the local business community;

6 ‘‘(B) the collaborative working relationships

7 between the institution of higher education and

8 the other members of the consortium, and de9 scribing the activities that each member shall

10 undertake; and

11 ‘‘(C) the capacity and expertise of the insti12 tution of higher education—

13 ‘‘(i) to coordinate training and edu14 cation related to disability studies and lead15 ership development with educational insti16 tutions and disability-related organizations;

17 and

18 ‘‘(ii) to conduct such training and edu19 cation effectively.

20 ‘‘(4) DISTRIBUTION OF GRANTS.—In making

21 grants under this subsection, the Commissioner shall

22 ensure that the grants shall be distributed for a geo23 graphically diverse set of eligible consortia throughout

24 all regions.
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1 ‘‘(5) MANDATORY USES OF FUNDS.—An institu2 tion of higher education that receives a grant under

3 this subsection on behalf of a consortium shall ensure

4 that the consortium shall use the grant funds to—

5 ‘‘(A) encourage interest in, enhance aware6 ness and understanding of, and provide edu7 cational opportunities in, disability-related

8 fields, and encourage leadership development

9 among students served by a covered institution,

10 including such students who are individuals

11 with disabilities;

12 ‘‘(B) enable the students at a covered insti13 tution to gain practical skills and identify work

14 experience opportunities, including opportunities

15 developed by the consortium in conjunction with

16 the private sector, that benefit individuals with

17 disabilities;

18 ‘‘(C) develop postsecondary school career

19 pathways leading to gainful employment, the at20 tainment of an associate or baccalaureate degree,

21 or the completion of further coursework or a fur22 ther degree, in a disability-related field;

23 ‘‘(D) offer credit-bearing, college-level

24 coursework in a disability-related field to quali25 fied students served by a covered institution; and
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1 ‘‘(E) ensure faculty and staff employed by

2 the members of the consortium are available to—

3 ‘‘(i) students at a covered institution

4 for educational and career advising; and

5 ‘‘(ii) teachers and staff of a covered in6 stitution for disability-related training.

7 ‘‘(6) PERMISSIBLE USES OF FUNDS.—An institu8 tion of higher education that receives a grant under

9 this subsection on behalf of a consortium may permit

10 the consortium to use the grant funds to develop or

11 adapt disabilities studies curricula, including cur12 ricula with distance learning opportunities, for use at

13 covered institutions, to encourage students served by

14 such covered institutions to enter careers in dis15 ability-related fields.

16 ‘‘(7) CONSULTATION.—The consortium shall con17 sult with appropriate agencies that serve or assist in18 dividuals with disabilities, and the parents, family

19 members, guardians, advocates, or authorized rep20 resentatives of the individuals, located in the jurisdic21 tion served by the consortium, concerning the pro22 gram of education and training carried out by the

23 consortium.

24 ‘‘(8) REVIEWS.—
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1 ‘‘(A) ADVISORY COMMITTEE.—For an insti2 tution of higher education to be eligible to receive

3 a grant under this subsection on behalf of a con4 sortium, the consortium shall have an advisory

5 committee that consists of members that rep6 resent the interests of individuals with disabil7 ities, including—

8 ‘‘(i) a professional in the field of voca9 tional rehabilitation;

10 ‘‘(ii) an individual with a disability

11 or a family member of such an individual;

12 and

13 ‘‘(iii) a representative of each type of

14 entity or community represented on the con15 sortium.

16 ‘‘(B) QUARTERLY REVIEWS.—The advisory

17 committee shall meet at least once during each

18 calendar quarter to conduct a review of the pro19 gram of education and training carried out by

20 the consortium. The committee shall directly ad21 vise the governing board of the institution of

22 higher education in the consortium about the

23 views and recommendations of the advisory com24 mittee resulting from the review.
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1 ‘‘(9) ACCOUNTABILITY.—Every 2 years, the Com2 missioner shall—

3 ‘‘(A) using information collected from the

4 reviews required in paragraph (8), assess the ef5 fectiveness of the Disability Career Pathways

6 program carried out under this subsection, in7 cluding assessing how many individuals were

8 served by each eligible consortium and how

9 many of those individuals received postsecondary

10 education, or entered into employment, in a dis11 ability-related field; and

12 ‘‘(B) prepare and submit to Congress a re13 port containing the results of the assessments de14 scribed in subparagraph (A).’’; and

15 (4) in subsection (j), as redesignated by para16 graph (2)—

17 (A) by striking ‘‘There’’ and inserting the

18 following:

19 ‘‘(1) IN GENERAL.—There’’;

20 (B) in paragraph (1), as designated by sub21 paragraph (A)—

22 (i) by striking ‘‘this section’’ and in23 serting ‘‘this section (other than subsections

24 (c) and (d))’’; and
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1 (ii) by striking ‘‘fiscal years 1999

2 through 2003’’ and inserting ‘‘fiscal years

3 2006 through 2011’’; and

4 (C) by adding at the end the following:

5 ‘‘(2) RESERVATIONS.—Of the sums appropriated

6 under paragraph (1) for a fiscal year, the Secretary

7 may reserve—

8 ‘‘(A) not more than $500,000 to carry out

9 subsection (e);

10 ‘‘(B) not more than $5,000,000 to carry out

11 subsection (f); and

12 ‘‘(C) not more than $5,000,000 to carry out

13 subsection (g).’’.

14 SEC. 443. MIGRANT AND SEASONAL FARMWORKERS.

15 Section 304(b) of the Rehabilitation Act of 1973 (29

16 U.S.C. 774(b)) is amended by striking ‘‘fiscal years 1999

17 through 2003’’ and inserting ‘‘fiscal years 2006 through

18 2011’’.

19 SEC. 444. RECREATIONAL PROGRAMS.

20 Section 305 of the Rehabilitation Act of 1973 (29

21 U.S.C. 775) is amended—

22 (1) in subsection (a)(1)(B), by striking ‘‘con23 struction of facilities for aquatic rehabilitation ther24 apy,’’; and
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1 (2) in subsection (b), by striking ‘‘fiscal years

2 1999 through 2003’’ and inserting ‘‘fiscal years 2006

3 through 2011’’.

4 Subtitle D—National Council on

5 Disability

6 SEC. 451. AUTHORIZATION OF APPROPRIATIONS.

7 Section 405 of the Rehabilitation Act of 1973 (29

8 U.S.C. 785) is amended by striking ‘‘fiscal years 1999

9 through 2003’’ and inserting ‘‘fiscal years 2006 through

10 2011’’.

11 Subtitle E—Rights and Advocacy

12 SEC. 461. ARCHITECTURAL AND TRANSPORTATION BAR13 RIERS COMPLIANCE BOARD.

14 Section 502(j) of the Rehabilitation Act of 1973 (29

15 U.S.C. 792(j)) is amended by striking ‘‘fiscal years 1999

16 through 2003’’ and inserting ‘‘fiscal years 2006 through

17 2011’’.

18 SEC. 462. PROTECTION AND ADVOCACY OF INDIVIDUAL

19 RIGHTS.

20 Section 509 of the Rehabilitation Act of 1973 (29

21 U.S.C. 794e) is amended—

22 (1) in subsection (c)(1)(A), by inserting ‘‘a grant

23 for’’ after ‘‘to provide’’;

24 (2) in subsection (g)(2), by striking ‘‘was paid’’

25 and inserting ‘‘was paid, except that program income
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1 generated from the amount paid to an eligible system

2 shall remain available to such system until ex3 pended’’;

4 (3) in subsection (l), by striking ‘‘fiscal years

5 1999 through 2003’’ and inserting ‘‘fiscal years 2006

6 through 2011’’;

7 (4) by redesignating subsections (l) and (m) as

8 subsections (m) and (n), respectively; and

9 (5) by inserting after subsection (k) the fol10 lowing:

11 ‘‘(l) SYSTEM AUTHORITY.—For purposes of serving

12 persons eligible for services under this section, an eligible

13 system shall have the same general authorities, including

14 access to records, as the system is afforded under subtitle

15 C of title I of the Developmental Disabilities Assistance and

16 Bill of Rights Act of 2000 (29 U.S.C. 796c et seq.), as deter17 mined by the Commissioner.’’.

18 Subtitle F—Employment Opportuni19 ties for Individuals With Dis20 abilities

21 SEC. 471. PROJECTS WITH INDUSTRY.

22 Section 611(a) of the Rehabilitation Act of 1973 (29

23 U.S.C. 795(a)) is amended—

24 (1) in paragraph (1), by inserting ‘‘, locally and

25 nationally’’ before the period at the end; and
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1 (2) in paragraph (2)—

2 (A) in the matter preceding subparagraph

3 (A), by inserting ‘‘local and national’’ before

4 ‘‘Projects With Industry’’; and

5 (B) in subparagraph (A)—

6 (i) in clause (iii), by striking ‘‘and’’

7 after the semicolon;

8 (ii) in clause (iv), by inserting ‘‘and’’

9 after the semicolon; and

10 (iii) by adding at the end the fol11 lowing:

12 ‘‘(v) coordinate activities with the Job

13 Corps center industry councils established under

14 section 154 of the Workforce Investment Act of

15 1998 (29 U.S.C. 2894);’’.

16 SEC. 472. PROJECTS WITH INDUSTRY AUTHORIZATION OF

17 APPROPRIATIONS.

18 Section 612 of the Rehabilitation Act of 1973 (29

19 U.S.C. 795a) is amended by striking ‘‘fiscal years 1999

20 through 2003’’ and inserting ‘‘fiscal years 2006 through

21 2011’’.
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1 SEC. 473. SERVICES FOR INDIVIDUALS WITH SIGNIFICANT

2 DISABILITIES AUTHORIZATION OF APPRO3 PRIATIONS.

4 Section 628 of the Rehabilitation Act of 1973 (29

5 U.S.C. 795n) is amended by striking ‘‘fiscal years 1999

6 through 2003’’ and inserting ‘‘fiscal years 2006 through

7 2011’’.

8 Subtitle G—Independent Living

9 Services and Centers for Inde10 pendent Living

11 SEC. 481. STATE PLAN.

12 Section 704 of the Rehabilitation Act of 1973 (29

13 U.S.C. 796c) is amended by adding at the end the following:

14 ‘‘(o) PROMOTING FULL ACCESS TO COMMUNITY

15 LIFE.—

16 ‘‘(1) IN GENERAL.—The plan shall describe how

17 the State will provide independent living services that

18 promote full access to community life for individuals

19 with significant disabilities.

20 ‘‘(2) SERVICES.—The services shall include, as

21 appropriate—

22 ‘‘(A) facilitating transitions of—

23 ‘‘(i) youth who are individuals with

24 significant disabilities and have completed

25 individualized education programs under

26 section 614(d) of the Individuals with Dis-
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1 abilities Education Act (20 U.S.C. 1414(d))

2 to postsecondary life, including employ3 ment; and

4 ‘‘(ii) individuals with significant dis5 abilities from nursing homes and other in6 stitutions, including institutions serving in7 dividuals with cognitive disabilities, to com8 munity-based residences;

9 ‘‘(B) assisting individuals with significant

10 disabilities at risk of entering institutions to re11 main in the community; and

12 ‘‘(C) promoting home ownership among in13 dividuals with significant disabilities.’’.

14 SEC. 482. STATEWIDE INDEPENDENT LIVING COUNCIL.

15 (a) ESTABLISHMENT.—Section 705(a) of the Rehabili16 tation Act of 1973 (29 U.S.C. 796d(a)) is amended by strik17 ing the second sentence and inserting the following: ‘‘The

18 Council shall not be established as an entity within a State

19 agency, and shall not provide independent living services

20 directly to individuals with significant disabilities or man21 age such services.’’.

22 (b) COMPOSITION.—Section 705(b) of the Rehabilita23 tion Act of 1973 (29 U.S.C. 796d(b)) is amended—

24 (1) in paragraph (2), by striking subparagraph

25 (C) and inserting the following:
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1 ‘‘(C) in a State in which 1 or more projects

2 provide services under section 121, not less than

3 1 representative of the directors of the projects.’’;

4 and

5 (2) by striking paragraph (5) and inserting the

6 following:

7 ‘‘(5) CHAIRPERSON.—The Council shall select a

8 chairperson from among the voting membership of the

9 Council.’’.

10 (c) DUTIES.—Section 705(c) of the Rehabilitation Act

11 of 1973 (29 U.S.C. 796d(c)) is amended—

12 (1) by redesignating paragraphs (1) through (5)

13 as subparagraphs (A) through (E), respectively, and

14 aligning the margins of those subparagraphs with the

15 margins of subparagraph (E) of subsection (b)(3);

16 (2) by striking ‘‘(c)’’ and all that follows through

17 ‘‘shall—’’ and inserting the following:

18 ‘‘(c) FUNCTIONS.—

19 ‘‘(1) DUTIES.—The Council shall—’’; and

20 (3) by adding at the end the following:

21 ‘‘(2) AUTHORITIES.—The Council may, con22 sistent with the State plan described in section 704,

23 unless prohibited by State law—
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1 ‘‘(A) provide advice and assistance to the

2 designated State unit regarding the performance

3 of its responsibilities under this title;

4 ‘‘(B) facilitate the improvement and coordi5 nation of services provided to individuals with

6 disabilities by centers for independent living, the

7 designated State unit, other Government agen8 cies, and community organizations;

9 ‘‘(C) conduct resource development activities

10 to obtain funding from public and private re11 sources to support the activities described in this

12 subsection or to support the provision of inde13 pendent living services by centers for inde14 pendent living; and

15 ‘‘(D) perform such other functions, con16 sistent with the purpose of this chapter and com17 parable to other functions described in this sub18 section, as the Council determines to be appro19 priate.’’.

20 SEC. 483. INDEPENDENT LIVING SERVICES AUTHORIZA21 TION OF APPROPRIATIONS.

22 Section 714 of the Rehabilitation Act of 1973 (29

23 U.S.C. 796e–3) is amended by striking ‘‘fiscal years 1999

24 through 2003’’ and inserting ‘‘fiscal years 2006 through

25 2011’’.
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1 SEC. 484. PROGRAM AUTHORIZATION.

2 Section 721 of the Rehabilitation Act of 1973 (29

3 U.S.C. 796f) is amended—

4 (1) by striking subsection (c) and inserting the

5 following:

6 ‘‘(c) ALLOTMENTS TO STATES.—

7 ‘‘(1) DEFINITIONS.—In this subsection:

8 ‘‘(A) ADDITIONAL APPROPRIATION.—The

9 term ‘additional appropriation’ means the

10 amount (if any) by which the appropriation for

11 a fiscal year exceeds the total of—

12 ‘‘(i) the amount reserved under sub13 section (b) for that fiscal year; and

14 ‘‘(ii) the appropriation for fiscal year

15 2005.

16 ‘‘(B) APPROPRIATION.—The term ‘appro17 priation’ means the amount appropriated to

18 carry out this part.

19 ‘‘(C) BASE APPROPRIATION.—The term

20 ‘base appropriation’ means the portion of the ap21 propriation for a fiscal year that is equal to the

22 lesser of—

23 ‘‘(i) an amount equal to 100 percent of

24 the appropriation, minus the amount re25 served under subsection (b) for that fiscal

26 year; or
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1 ‘‘(ii) the appropriation for fiscal year

2 2005.

3 ‘‘(2) ALLOTMENTS TO STATES FROM BASE AP4 PROPRIATION.—After the reservation required by sub5 section (b) has been made, the Commissioner shall

6 allot to each State whose State plan has been ap7 proved under section 706 an amount that bears the

8 same ratio to the base appropriation as the amount

9 the State received under this subsection for fiscal year

10 2005 bears to the total amount that all States received

11 under this subsection for fiscal year 2005.

12 ‘‘(3) ALLOTMENTS TO STATES OF ADDITIONAL

13 APPROPRIATION.—From any additional appropria14 tion for each fiscal year, the Commissioner shall allot

15 to each State whose State plan has been approved

16 under section 706 an amount equal to the sum of—

17 ‘‘(A) an amount that bears the same ratio

18 to 50 percent of the additional appropriation as

19 the population of the State bears to the popu20 lation of all States; and

‘‘(B) 1 21 ⁄56 of 50 percent of the additional ap22 propriation.’’; and

23 (2) by adding at the end the following:

24 ‘‘(e) CARRYOVER AUTHORITY.—Notwithstanding any

25 other provision of law—
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1 ‘‘(1) any funds appropriated for a fiscal year to

2 carry out a grant program under section 722 or 723,

3 that are not obligated and expended by recipients

4 prior to the beginning of the succeeding fiscal year

5 shall remain available for obligation and expenditure

6 by such recipients during that succeeding fiscal year

7 and the subsequent fiscal year; and

8 ‘‘(2) any amounts of program income received by

9 recipients under a grant program under section 722

10 or 723 in a fiscal year, that are not obligated and ex11 pended by recipients prior to the beginning of the suc12 ceeding fiscal year, shall remain available for obliga13 tion and expenditure by such recipients during that

14 succeeding fiscal year and the subsequent fiscal

15 year.’’.

16 SEC. 485. GRANTS TO CENTERS FOR INDEPENDENT LIVING

17 IN STATES IN WHICH FEDERAL FUNDING EX18 CEEDS STATE FUNDING.

19 Section 722(c) of the Rehabilitation Act of 1973 (29

20 U.S.C. 796f–1(c)) is amended—

21 (1) by striking ‘‘grants’’ and inserting ‘‘grants

22 for a fiscal year’’; and

23 (2) by striking ‘‘by September 30, 1997’’ and in24 serting ‘‘for the preceding fiscal year’’.
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1 SEC. 486. GRANTS TO CENTERS FOR INDEPENDENT LIVING

2 IN STATES IN WHICH STATE FUNDING

3 EQUALS OR EXCEEDS FEDERAL FUNDING.

4 Section 723(c) of the Rehabilitation Act of 1973 (29

5 U.S.C. 796f–2(c)) is amended—

6 (1) by striking ‘‘grants’’ and inserting ‘‘grants

7 for a fiscal year’’; and

8 (2) by striking ‘‘by September 30, 1997’’ and in9 serting ‘‘for the preceding fiscal year’’.

10 SEC. 487. STANDARDS AND ASSURANCES FOR CENTERS FOR

11 INDEPENDENT LIVING.

12 Section 725(b) of the Rehabilitation Act of 1973 (29

13 U.S.C. 796f–4(b)) is amended by adding at the end the fol14 lowing:

15 ‘‘(8) PROMOTING FULL ACCESS TO COMMUNITY

16 LIFE.—

17 ‘‘(A) IN GENERAL.—The center shall pro18 vide independent living services that promote full

19 access to community life for individuals with

20 significant disabilities.

21 ‘‘(B) SERVICES.—The services shall include,

22 as appropriate—

23 ‘‘(i) facilitating transitions of—

24 ‘‘(I) youth who are individuals

25 with significant disabilities and have

26 completed individualized education
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1 programs under section 614(d) of the

2 Individuals with Disabilities Edu3 cation Act (20 U.S.C. 1414(d)) to post4 secondary life, including employment;

5 and

6 ‘‘(II) individuals with significant

7 disabilities from nursing homes and

8 other institutions, including institu9 tions serving individuals with cog10 nitive disabilities, to community-based

11 residences;

12 ‘‘(ii) assisting individuals with signifi13 cant disabilities at risk of entering institu14 tions to remain in the community; and

15 ‘‘(iii) promoting home ownership

16 among individuals with significant disabil17 ities.’’.

18 SEC. 488. CENTERS FOR INDEPENDENT LIVING AUTHORIZA19 TION OF APPROPRIATIONS.

20 Section 727 of the Rehabilitation Act of 1973 (29

21 U.S.C. 796f–6) is amended by striking ‘‘fiscal years 1999

22 through 2003’’ and inserting ‘‘fiscal years 2006 through

23 2011’’.
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1 SEC. 489. INDEPENDENT LIVING SERVICES FOR OLDER IN2 DIVIDUALS WHO ARE BLIND.

3 Chapter 2 of title VII of the Rehabilitation Act of 1973

4 (29 U.S.C. 796j et seq.) is amended—

5 (1) by redesignating sections 752 and 753 as sec6 tions 753 and 754, respectively; and

7 (2) by inserting after section 751 the following:

8 ‘‘SEC. 752. TRAINING AND TECHNICAL ASSISTANCE.

9 ‘‘(a) GRANTS; CONTRACTS; OTHER ARRANGEMENTS.—

10 For any fiscal year for which the funds appropriated to

11 carry out this chapter exceed the funds appropriated to

12 carry out this chapter for fiscal year 2005, the Commis13 sioner shall first reserve from such excess, to provide train14 ing and technical assistance to designated State agencies

15 for such fiscal year, not less than 1.8 percent, and not more

16 than 2 percent, of the funds appropriated to carry out this

17 chapter for the fiscal year involved.

18 ‘‘(b) ALLOCATION.—From the funds reserved under

19 subsection (a), the Commissioner shall make grants to, and

20 enter into contracts and other arrangements with, entities

21 that demonstrate expertise in the provision of services to

22 older individuals who are blind to provide training and

23 technical assistance with respect to planning, developing,

24 conducting, administering, and evaluating independent liv25 ing programs for older individuals who are blind.
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1 ‘‘(c) FUNDING PRIORITIES.—The Commissioner shall

2 conduct a survey of designated State agencies that receive

3 grants under section 753 regarding training and technical

4 assistance needs in order to determine funding priorities

5 for grants, contracts, and other arrangements under this

6 section.

7 ‘‘(d) REVIEW.—To be eligible to receive a grant or

8 enter into a contract or other arrangement under this sec9 tion, an entity shall submit an application to the Commis10 sioner at such time, in such manner, containing a proposal

11 to provide such training and technical assistance, and con12 taining such additional information as the Commissioner

13 may require.

14 ‘‘(e) PROHIBITION ON COMBINED FUNDS.—No funds

15 reserved by the Commissioner under this section may be

16 combined with funds appropriated under any other Act or

17 part of this Act if the purpose of combining funds is to

18 make a single discretionary grant or a single discretionary

19 payment, unless such reserved funds are separately identi20 fied in the agreement for such grant or payment and are

21 used for the purposes of this chapter.’’.

22 SEC. 490. PROGRAM OF GRANTS.

23 Section 753 of the Rehabilitation Act of 1973, as redes24 ignated by section 489, is amended—

25 (1) by striking subsection (h);
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1 (2) by redesignating subsections (i) and (j) as

2 subsections (h) and (i), respectively;

3 (3) in subsection (b), by striking ‘‘section 753’’

4 and inserting ‘‘section 754’’;

5 (4) in subsection (c)—

6 (A) in paragraph (1), by striking ‘‘section

7 753’’ and inserting ‘‘section 754’’; and

8 (B) in paragraph (2)—

9 (i) by striking ‘‘subsection (j)’’ and in10 serting ‘‘subsection (i)’’; and

11 (ii) by striking ‘‘subsection (i)’’ and

12 inserting ‘‘subsection (h)’’;

13 (5) in subsection (g), by inserting ‘‘, or contracts

14 with,’’ after ‘‘grants to’’;

15 (6) in subsection (h), as redesignated by para16 graph (2)—

17 (A) in paragraph (1), by striking ‘‘sub18 section (j)(4)’’ and inserting ‘‘subsection (i)(4)’’;

19 and

20 (B) in paragraph (2)—

21 (i) in subparagraph (A)(vi), by adding

22 ‘‘and’’ after the semicolon;

23 (ii) in subparagraph (B)(ii)(III), by

24 striking ‘‘; and’’ and inserting a period;

25 and
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1 (iii) by striking subparagraph (C);

2 and

3 (7) in subsection (i), as redesignated by para4 graph (2)—

5 (A) by striking paragraph (2) and inserting

6 the following:

7 ‘‘(2) MINIMUM ALLOTMENT.—

8 ‘‘(A) STATES.—In the case of any of the

9 several States, the District of Columbia, or the

10 Commonwealth of Puerto Rico, the amount re11 ferred to in paragraph (1)(A) for a fiscal year

12 is the greater of—

13 ‘‘(i) $350,000;

14 ‘‘(ii) an amount equal to the amount

15 the State, the District of Columbia, or the

16 Commonwealth of Puerto Rico received to

17 carry out this chapter for fiscal year 2005;

18 or

‘‘(iii) an amount equal to 1 19 ⁄3 of 1 per20 cent of the amount appropriated under sec21 tion 754, and not reserved under section

22 752, for the fiscal year and available for al23 lotments under subsection (a).

24 ‘‘(B) CERTAIN TERRITORIES.—In the case

25 of Guam, American Samoa, the United States
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1 Virgin Islands, or the Commonwealth of the

2 Northern Mariana Islands, the amount referred

3 to in paragraph (1)(A) for a fiscal year is

4 $60,000.’’;

5 (B) in paragraph (3)(A), by striking ‘‘sec6 tion 753’’ and inserting ‘‘section 754, and not

7 reserved under section 752,’’; and

8 (C) in paragraph (4)(B)(i), by striking

9 ‘‘subsection (i)’’ and inserting ‘‘subsection (h)’’.

10 SEC. 491. INDEPENDENT LIVING SERVICES FOR OLDER IN11 DIVIDUALS WHO ARE BLIND AUTHORIZATION

12 OF APPROPRIATIONS.

13 Section 754 of the Rehabilitation Act of 1973, as redes14 ignated by section 489, is amended by striking ‘‘fiscal years

15 1999 through 2003’’ and inserting ‘‘fiscal years 2006

16 through 2011’’.

17 Subtitle H—Miscellaneous

18 SEC. 495. HELEN KELLER NATIONAL CENTER ACT.

19 (a) GENERAL AUTHORIZATION OF APPROPRIATIONS.—

20 The first sentence of section 205(a) of the Helen Keller Na21 tional Center Act (29 U.S.C. 1904(a)) is amended by strik22 ing ‘‘1999 through 2003’’ and inserting ‘‘2006 through

23 2011’’.

24 (b) HELEN KELLER NATIONAL CENTER FEDERAL EN25 DOWMENT FUND.—The first sentence of section 208(h) of
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1 the Helen Keller National Center Act (29 U.S.C. 1907(h))

2 is amended by striking ‘‘1999 through 2003’’ and inserting

3 ‘‘2006 through 2011’’.

4 TITLE V—TRANSITION AND

5 EFFECTIVE DATE

6 SEC. 501. TRANSITION PROVISIONS.

7 The Secretary of Labor shall, at the discretion of the

8 Secretary, take such actions as the Secretary determines to

9 be appropriate to provide for the orderly implementation

10 of titles I and III of this Act. The Secretary of Education

11 shall, at the discretion of the Secretary, take such actions

12 as the Secretary determines to be appropriate to provide

13 for the orderly implementation of titles II and IV of this

14 Act.

15 SEC. 502. EFFECTIVE DATE.

16 Except as otherwise provided in this Act, this Act and

17 the amendments made by this Act shall take effect on the

18 date of enactment of this Act.

Attest:

Secretary.
109TH CONGRESS

2D SESSION H. R. 27

AMENDMENT