89–006 

116TH CONGRESS REPORT " ! HOUSE OF REPRESENTATIVES 1st Session 116–38 

BUILDING ON REEMPLOYMENT IMPROVEMENTS TO 

DELIVER GOOD EMPLOYMENT FOR WORKERS ACT 

APRIL 9, 2019.—Committed to the Committee of the Whole House on the State of 

the Union and ordered to be printed 

Mr. NEAL, from the Committee on Ways and Means, 

submitted the following 

R E P O R T 

[To accompany H.R. 1759] 

[Including cost estimate of the Congressional Budget Office] 

The Committee on Ways and Means, to whom was referred the 

bill (H.R. 1759) to amend title III of the Social Security Act to extend reemployment services and eligibility assessments to all 

claimants for unemployment compensation, and for other purposes, 

having considered the same, report favorably thereon with amendments and recommend that the bill as amended do pass. 

CONTENTS 

Page 

I. SUMMARY AND BACKGROUND ................................................................. 2 

A. Purpose and Summary ......................................................................... 2 

B. Background and Need for Legislation ................................................ 3 

C. Legislative History ............................................................................... 4 

II. EXPLANATION OF THE BILL ...................................................................... 5 

A. The BRIDGE for Workers Act ............................................................. 5 

III. VOTES OF THE COMMITTEE ...................................................................... 5 

IV. BUDGET EFFECTS OF THE BILL ............................................................... 6 

A. Committee Estimate of Budgetary Effects ......................................... 6 

B. Statement Regarding New Budget Authority .................................... 6 

C. Cost Estimate Prepared by the Congressional Budget Office ........... 6 

V. OTHER MATTERS TO BE DISCUSSED UNDER THE RULES OF THE 

HOUSE .......................................................................................................... 7 

A. Committee Oversight Findings and Recommendations .................... 7 

B. Statement of General Performance Goals and Objectives ................ 7 

C. Information Relating to Unfunded Mandates .................................... 8 

D. Congressional Earmarks, Limited Tax Benefits, and Limited Tariff 

Benefits ............................................................................................... 8 

E. Duplication of Federal Programs ........................................................ 8 

F. Hearings ................................................................................................ 8 

VI. CHANGES IN EXISTING LAW MADE BY THE BILL, AS REPORTED 8 

2 

The amendments are as follows: 

Strike all after the enacting clause and insert the following: 

SECTION 1. SHORT TITLE. 

This Act may be cited as the ‘‘Building on Reemployment Improvements to Deliver Good Employment for Workers Act’’ or the ‘‘BRIDGE for Workers Act’’. 

SEC. 2. FINDINGS. 

Congress finds the following: 

(1) The Bipartisan Budget Act of 2018 (Public Law 115-123) improved program accountability for effectively serving unemployed workers and made a significant new investment in reemployment services. 

(2) Research shows the longer workers are out of work, the harder it can be 

to maintain their skills, professional network, and stable home life. 

(3) Reemployment services give workers who might otherwise struggle to find 

new jobs the tools that they need to get back to work—such as individualized 

career counseling and job search help as well as local labor market information—and they can serve as an entry point to the workforce development system. 

(4) Reemployment services have been demonstrated to reduce the number of 

weeks that program participants receive unemployment benefits by improving 

their employment outcomes, including earnings. 

(5) Unemployment benefits replace less than half of working income, on average, so workers who find new jobs quickly suffer less financial hardship. 

(6) Combining targeted reemployment services with unemployment benefits 

helps keep people attached to the labor force who might otherwise become discouraged and drop out. 

(7) The Congressional Budget Office estimates that, over time, investments in 

reemployment services create savings for taxpayers and unemployment trust 

funds by reducing spending on unemployment benefits. 

(8) Many different types of workers can benefit from reemployment services. 

Reemployment services should be used to shorten the duration of unemployment for workers even if they are not projected to fully exhaust their unemployment benefits. 

SEC. 3. ELIGIBILITY FOR REEMPLOYMENT SERVICES. 

Section 306(a) of the Social Security Act (42 U.S.C. 506(a)) is amended— 

(1) by striking ‘‘individuals referred to reemployment services as described in 

section 303(j)’’ and inserting ‘‘claimants for unemployment compensation, including claimants referred to reemployment services as described in section 

303(j),’’; and 

(2) by striking ‘‘such individuals’’ and inserting ‘‘such claimants’’. 

Amend the long title to read as follows: ‘‘To amend title III of the 

Social Security Act to extend reemployment services and eligibility 

assessments to all claimants for unemployment benefits, and for 

other purposes.’’. 

Amend the title so as to read: 

A bill to amend title III of the Social Security Act to extend reemployment services and eligibility assessments to all claimants 

for unemployment benefits, and for other purposes. 

I. SUMMARY AND BACKGROUND

A. PURPOSE AND SUMMARY

H.R. 1759, as amended, the ‘‘Building on Reemployment Improvements to Deliver Good Employment for Workers Act,’’ or 

‘‘BRIDGE for Workers Act,’’ as ordered favorably reported by the 

Committee on Ways and Means on April 2, 2019, modifies Reemployment Services and Eligibility Assessment (RESEA) grants to 

allow states and territories to provide services to any recipient of 

unemployment insurance benefits who could return to work more 

quickly, if provided with services. 

3 

1Michaelides et al, ‘‘Impact of the Reemployment and Eligibility Assessment (REA) in Nevada.’’ Impaq International, LLC. https://www.impaqint.com/sites/default/files/files/ 

ETAOP_2012_08_REA_Nevada_Follow_up_Report.pdf. 2Wentworth, George, ‘‘Reemployment services and eligibility assessments and the Bipartisan 

Budget Act of 2018.’’ National Employment Law Project. https://www.nelp.org/blog/reemployment-services-eligibility-assessments-bipartisan-budget-act-2018/. 3 ‘‘How States are Using Reemployment Services and Eligibility Assessments.’’ National Association of State Workforce Agencies. https://www.naswa.org/news/how-states-are-using-reemployment-services-and-eligibility-assessments-resea-march-27-2019. 4 Bipartisan Budget Act of 2018, Pub. L. 115–123. https://www.congress.gov/115/plaws/ 

publ123/PLAW-115publ123.pdf. 5 ‘‘CBO Estimate for Senate Amendment 1930, the Bipartisan Budget Act of 2018.’’ Congressional Budget Office. https://www.cbo.gov/system/files/115th-congress-2017-2018/costestimate/ 

bipartisanbudgetactof2018.pdf. 6Department of Defense and Labor, Health and Human Services, and Education Appropriations Act, 2019 and Continuing Appropriations Act, 2019, Pub. L. 115–245. https:// 

www.congress.gov/115/bills/hr6157/BILLS-115hr6157enr.pdf. 

B. BACKGROUND AND NEED FOR LEGISLATION

The Unemployment Insurance (UI) program is a federal-state 

partnership to provide earned benefits to individuals who lose their 

job through no fault of their own. RESEAs pair weekly UI benefits 

with services to improve program integrity and provide workers 

who might otherwise struggle to find new jobs with tools that help 

them return to work, such as individualized career counseling, job 

search help and local labor market information. RESEAs can also 

serve as an entry point to the workforce development system, when 

needed. Rigorous research conducted for the Department of Labor 

(DOL) found that RESEAs, and in particular, an approach that 

combined personalized assessment and the provision of reemployment services, were effective in increasing employment and reducing the duration of unemployment benefit receipt.1

Between 2005 and 2018,2 Congress provided modest appropriated 

funding for RESEAs, which the DOL then used to award grants to 

states and territories.3 Sec. 30206 of the Bipartisan Budget Act of 

2018 (P.L. 115–123) codified the authority for the DOL to administer the RESEA program in a new Sec. 306 of the Social Security 

Act. It also set out various requirements for states to use certain 

types of evidence-based interventions for UI claimants under 

RESEA, provided for reasonable notice and accommodations to participating beneficiaries, allocated discretionary funding for RESEA 

across three categories (base funding, outcome payments, and research and technical assistance) and provided for a funding increase of $2.5 billion over 10 years.4 The Congressional Budget Office estimated that if the Appropriations Committee were to fully 

fund the new investments in RESEAs, it would reduce the budget 

deficit by $600 million between 2022 and 2027.5

Under current law, in fiscal year 2020 and future years, the DOL 

will require states to limit RESEA programs to serving only those 

workers who are profiled as likely to exhaust their unemployment 

benefits before finding work. Temporary flexibility to serve any recipient of unemployment benefits provided in the Department of 

Defense and Labor, Health and Human Services, and Education 

Appropriations Act, 2019 and Continuing Appropriations Act, 2019 

(P.L. 115–245) will expire at the end of fiscal year 2019.6

In a survey conducted by the National Association of State Workforce Agencies (NASWA), 59 percent of states said they were using 

4 

7 ‘‘How States are Using Reemployment Services and Eligibility Assessments.’’ National Association of State Workforce Agencies. https://www.naswa.org/news/how-states-are-using-reemployment-services-and-eligibility-assessments-resea-march-27-2019. 8Pierpont, Jon. ‘‘To Richard Neal, Danny Davis, Kevin Brady, and Jackie Walorski.’’ 8 March 

2019. 

the temporary flexibility to serve a wider array of workers.7

NAWSA Board President Jon Pierpont wrote to the Ways and 

Means Committee: 

Until the passage of the [Bipartisan Budget] Act, federal 

RESEA had been limited to a widely-successful pilot grant 

program. Today, States around the nation now have the 

ability to accelerate unemployment insurance (UI) claimants’ transition back to employment faster than non-participants, which is particularly important in an economy 

desperately in need of skilled workers. 

To enhance these efforts, we encourage a minor statutory fix to the Act that reflects your intent to ensure any 

UI claimant, not just those most likely to exhaust their 

benefits, are eligible for RESEA services and assessments. 

The current language in Section 306 of Act needs to be 

modified to ensure this intent is actualized and while the 

Appropriations Committee made such a modification in 

their FYI9 Labor-HHS Appropriations bill, a permanent 

fix would provide clarity and stability for states actively focused on helping claimants return to work expeditiously.8

C. LEGISLATIVE HISTORY

Background 

H.R. 1759, the ‘‘Building on Reemployment Improvements to Deliver Good Employment for Workers Act,’’ was introduced on March 

14, 2019, by Representative Stephanie Murphy and was referred to 

the Committee on Ways and Means. 

Committee hearings 

On March 7, the Ways and Means Subcommittee on Worker and 

Family Support held a hearing on ways to better support workers 

and their families. The hearing entitled ‘‘Leveling the Playing Field 

for Working Families: Challenges and Opportunities’’ provided 

Members with the opportunity to hear from workers about challenges they faced in finding and maintaining employment, and also 

to discuss supports and programs that help individuals enter and 

re-enter the workforce. 

The House Ways and Means Human Resources Subcommittee 

also held hearings focusing on obstacles to reemployment and unemployment insurance in previous Congresses, including: 

• Jobs and Opportunity: Employer Perspectives on the Jobs 

Gap, April 25, 2018 

• Jobs and Opportunity: Federal Perspectives on the Jobs 

Gap, April 17, 2018 

• Jobs and Opportunity: Local Perspectives on the Jobs Gap, 

April 12, 2018 

• The Geography of U.S. Poverty, February 15, 2017 

• Missing from the Labor Force: Examining Declining Employment Among Working-Age Men, September 6, 2017 

5 

9Sections 306(a) and 303(j) of the Social Security Act, as amended through Pub. L. 115–123. 

• Unemployment Insurance: An Overview of the Challenges 

and Strengths of Today’s System, September 7, 2016 

Committee action 

The Committee on Ways and Means marked up H.R. 1759, the 

BRIDGE for Workers Act, on April 2, 2019. The bill, as amended 

was ordered favorably reported to the House of Representatives 

(with a quorum being present) by voice vote. 

II. EXPLANATION OF THE BILL

A. THE BRIDGE FOR WORKERS ACT

Current law 

Eligibility for RESEA services is limited to individuals who are 

receiving regular unemployment compensation and are referred to 

reemployment services after a state system using statistical 

profiling identifies the worker as likely to exhaust regular Unemployment Compensation (UC) benefits.9

Reasons for change 

The Committee believes that allowing states and territories the 

flexibility to provide RESEA services to recipients of earned unemployment benefits who could return to work more quickly, if provided with additional assistance, is cost-effective and will benefit 

both workers and employers. 

Explanation of provisions 

Section 1. Short title. Building on Reemployment Improvements 

to Deliver Good Employment for Workers Act (BRIDGE for Workers Act) of 2019. 

Section 2. Findings. This section outlines a number of findings 

concerning the demonstrated effectiveness and cost-effectiveness of 

RESEAs. 

Section 3. Eligibility for reemployment services. This section 

amends Sec. 306(a) to define the population eligible for services 

under RESEA to include all recipients of regular and extended UC 

benefits, not just regular UC claimants identified through state UI 

worker profiling. With the change, states would be able to use 

RESEA funds to assist workers who could return to work more 

quickly if provided assistance, even if they are not profiled to exhaust all benefits. 

Effective Date 

The changes made by the bill are effective upon enactment. 

III. VOTES OF THE COMMITTEE

In compliance with clause 3(b) of rule XIII of the Rules of the 

House of Representatives, the following statement is made concerning the vote of the Committee on Ways and Means during the 

markup consideration of H.R. 1759, ‘‘BRIDGE for Workers Act’’ on 

April 2, 2019. 

6 

The Chairman’s amendment in the nature of a substitute was 

adopted by a voice vote (with a quorum being present). 

The bill, H.R. 1759, was ordered favorably reported as amended 

by voice vote (with a quorum being present). 

IV. BUDGET EFFECTS OF THE BILL

A. COMMITTEE ESTIMATE OF BUDGETARY EFFECTS

In compliance with clause 3(d) of rule XIII of the Rules of the 

House of Representatives, the following statement is made concerning the effects on the budget of the bill, H.R. 1759, as reported. 

The Committee agrees with the estimate prepared by the Congressional Budget Office (CBO), which is included below. 

B. STATEMENT REGARDING NEW BUDGET AUTHORITY

In compliance with clause 3(c)(2) of rule XIII of the Rules of the 

House of Representatives, the Committee states that the bill involves no new or increased budget authority. The Committee states 

further that the bill involves no new or increased tax expenditures. 

C. COST ESTIMATE PREPARED BY THE CONGRESSIONAL BUDGET OFFICE

In compliance with clause 3(c)(3) of rule XIII of the Rules of the 

House of Representatives, requiring a cost estimate prepared by 

the CBO, the following statement by CBO is provided. 

U.S. CONGRESS, CONGRESSIONAL BUDGET OFFICE, Washington, DC, April 5, 2019. 

Hon. RICHARD NEAL, 

Chairman, Committee on Ways and Means, 

House of Representatives, Washington, DC. 

DEAR MR. CHAIRMAN: The Congressional Budget Office has prepared the enclosed cost estimate for H.R. 1759, the BRIDGE for 

Workers Act. 

If you wish further details on this estimate, we will be pleased 

to provide them. The CBO staff contact is Meredith Decker. 

Sincerely, 

KEITH HALL, 

Director. 

Enclosure. 

7 

H.R. 1759 would allow the Department of Labor (DOL) to award 

grants to states to conduct reemployment services and eligibility 

assessments for all unemployment claimants. Currently, states can 

only use those grants to serve claimants that are identified as likely to exhaust regular compensation and thus need job search assistance. DOL requires states, as a condition of receiving the 

grants, to prioritize those claimants who are unlikely to return to 

work quickly. 

CBO assumes that under H.R. 1759 states would continue to operate the program under that long-standing DOL guidance and 

that DOL would continue to require states to provide reemployment services to high-priority people. However, the states would 

have more flexibility in how and when they serve claimants for reemployment services. As a result, CBO estimates that implementing H.R. 1759 would not significantly change the number of 

people who receive reemployment services and eligibility assessments. Thus, CBO estimates that enacting H.R. 1759 would have 

no effect on the federal budget. 

The CBO staff contact for this estimate is Meredith Decker. The 

estimate was reviewed by H. Samuel Papenfuss, Deputy Assistant 

Director for Budget Analysis. 

V. OTHER MATTERS TO BE DISCUSSED UNDER THE RULES OF THE

HOUSE

A. COMMITTEE OVERSIGHT FINDINGS AND RECOMMENDATIONS

With respect to clause 3(c)(1) of rule XIII and clause 2(b)(1) of 

rule X of the Rules of the House of Representatives, the Committee 

made findings and recommendations that are reflected in this report. 

B. STATEMENT OF GENERAL PERFORMANCE GOALS AND OBJECTIVES

With respect to clause 3(c)(4) of rule XIII of the Rules of the 

House of Representatives, the Committee advises that the bill contains no measure that authorizes funding, so no statement of general performance goals and objectives for which any measure authorizes funding is required. 


Insert graphic folio 10 HR038.001
8 

C. INFORMATION RELATING TO UNFUNDED MANDATES

This information is provided in accordance with Sec. 423 of the 

Unfunded Mandates Reform Act of 1995 (Pub. L. No. 104–4). 

The Committee has determined that the bill does not contain 

Federal mandates on the private sector. The Committee has determined that the bill does not impose a Federal intergovernmental 

mandate on State, local, or tribal governments. 

D. CONGRESSIONAL EARMARKS, LIMITED TAX BENEFITS, AND LIMITED

TARIFF BENEFITS

With respect to clause 9 of rule XXI of the Rules of the House 

of Representatives, the Committee has carefully reviewed the provisions of the bill, and states that the provisions of the bill do not 

contain any congressional earmarks, limited tax benefits, or limited 

tariff benefits within the meaning of the rule. 

E. DUPLICATION OF FEDERAL PROGRAMS

With respect to clause 3(c)(5) of rule XIII of the Rules of the 

House of Representatives, the Committee states that the bill contains no provision establishing or authorizing a federal program so 

no statement on duplication of federal programs is required. 

F. HEARINGS

In compliance with Sec. 103(i) of H. Res. 6 (116th Congress) the 

following hearing was used to develop or consider H.R. 1759: ‘‘Leveling the Playing Field for Working Families: Challenges and Opportunities,’’ held March 7, 2019, and described in the legislative 

history section. 

VI. CHANGES IN EXISTING LAW MADE BY THE BILL, AS REPORTED

In compliance with clause 3(e)(1)(B) of rule XIII of the Rules of 

the House of Representatives, changes in existing law proposed by 

the bill, as reported, are shown as follows (existing law proposed 

to be omitted is enclosed in black brackets, new matter is printed 

in italic, existing law in which no change is proposed is shown in 

roman): 

CHANGES IN EXISTING LAW MADE BY THE BILL, AS REPORTED

In compliance with clause 3(e) of rule XIII of the Rules of the 

House of Representatives, changes in existing law made by the bill, 

as reported, are shown as follows (existing law proposed to be omitted is enclosed in black brackets, new matter is printed in italic, 

and existing law in which no change is proposed is shown in 

roman): 

SOCIAL SECURITY ACT 

* * * * * * * 

TITLE III—GRANTS TO STATES FOR UNEMPLOYMENT 

COMPENSATION ADMINISTRATION 

* * * * * * * 

9 

SEC. 306. GRANTS TO STATES FOR REEMPLOYMENT SERVICES AND 

ELIGIBILITY ASSESSMENTS. 

(a) IN GENERAL.—The Secretary of Labor (in this section referred 

to as the ‘‘Secretary’’) shall award grants under this section for a 

fiscal year to eligible States to conduct a program of reemployment 

services and eligibility assessments for øindividuals referred to reemployment services as described in section 303(j)¿ claimants for 

unemployment compensation, including claimants referred to reemployment services as described in section 303(j), for weeks in such 

fiscal year for which øsuch individuals¿ such claimants receive unemployment compensation. 

(b) PURPOSES.—The purposes of this section are to accomplish 

the following goals: 

(1) To improve employment outcomes of individuals that receive unemployment compensation and to reduce the average 

duration of receipt of such compensation through employment. 

(2) To strengthen program integrity and reduce improper 

payments of unemployment compensation by States through 

the detection and prevention of such payments to individuals 

who are not eligible for such compensation. 

(3) To promote alignment with the broader vision of the 

Workforce Innovation and Opportunity Act (29 U.S.C. 3101 et 

seq.) of increased program integration and service delivery for 

job seekers, including claimants for unemployment compensation. 

(4) To establish reemployment services and eligibility assessments as an entry point for individuals receiving unemployment compensation into other workforce system partner programs. 

(c) EVIDENCE-BASED STANDARDS.— 

(1) IN GENERAL.—In carrying out a State program of reemployment services and eligibility assessments using grant 

funds awarded to the State under this section, a State shall 

use such funds only for interventions demonstrated to reduce 

the number of weeks for which program participants receive 

unemployment compensation by improving employment outcomes for program participants. 

(2) EXPANDING EVIDENCE-BASED INTERVENTIONS.—In addition 

to the requirement imposed by paragraph (1), a State shall— 

(A) for fiscal years 2023 and 2024, use no less than 25 

percent of the grant funds awarded to the State under this 

section for interventions with a high or moderate causal 

evidence rating that show a demonstrated capacity to improve employment and earnings outcomes for program participants; 

(B) for fiscal years 2025 and 2026, use no less than 40 

percent of such grant funds for interventions described in 

subparagraph (A); and 

(C) for fiscal years beginning after fiscal year 2026, use 

no less than 50 percent of such grant funds for interventions described in subparagraph (A). 

(d) EVALUATIONS.— 

(1) REQUIRED EVALUATIONS.—Any intervention without a 

high or moderate causal evidence rating used by a State in carrying out a State program of reemployment services and eligiVerDate Sep 11 2014 05:06 Apr 11, 2019 Jkt 089006 PO 00000 Frm 00009 Fmt 6659 Sfmt 6602 E:\HR\OC\HR038.XXX HR038
10 

bility assessments under this section shall be under evaluation 

at the time of use. 

(2) FUNDING LIMITATION.—A State shall use not more than 

10 percent of grant funds awarded to the State under this section to conduct or cause to be conducted evaluations of interventions used in carrying out a program under this section (including evaluations conducted pursuant to paragraph (1)). 

(e) STATE PLAN.— (1) IN GENERAL.—As a condition of eligibility to receive a 

grant under this section for a fiscal year, a State shall submit 

to the Secretary, at such time and in such manner as the Secretary may require, a State plan that outlines how the State 

intends to conduct a program of reemployment services and eligibility assessments under this section, including— 

(A) assurances that, and a description of how, the program will provide— 

(i) proper notification to participating individuals of 

the program’s eligibility conditions, requirements, and 

benefits, including the issuance of warnings and simple, clear notifications to ensure that participating individuals are fully aware of the consequences of failing 

to adhere to such requirements, including policies related to non-attendance or non-fulfillment of work 

search requirements; and 

(ii) reasonable scheduling accommodations to maximize participation for eligible individuals; 

(B) assurances that, and a description of how, the program will conform with the purposes outlined in subsection (b) and satisfy the requirement to use evidencebased standards under subsection (c), including— 

(i) a description of the evidence-based interventions 

the State plans to use to speed reemployment; 

(ii) an explanation of how such interventions are appropriate to the population served; and 

(iii) if applicable, a description of the evaluation 

structure the State plans to use for interventions without at least a moderate or high causal evidence rating, 

which may include national evaluations conducted by 

the Department of Labor or by other entities; and 

(C) a description of any reemployment activities and 

evaluations conducted in the prior fiscal year, and any 

data collected on— 

(i) characteristics of program participants; 

(ii) the number of weeks for which program participants receive unemployment compensation; and 

(iii) employment and other outcomes for program 

participants consistent with State performance accountability measures provided by the State unemployment compensation program and in section 116(b) 

of the Workforce Innovation and Opportunity Act (29 

U.S.C. 3141(b)). 

(2) APPROVAL.—The Secretary shall approve any State plan, 

that is timely submitted to the Secretary, in such manner as 

the Secretary may require, that satisfies the conditions described in paragraph (1). 

11 

(3) DISAPPROVAL AND REVISION.—If the Secretary determines 

that a State plan submitted pursuant to this subsection fails 

to satisfy the conditions described in paragraph (1), the Secretary shall— 

(A) disapprove such plan; 

(B) provide to the State, not later than 30 days after the 

date of receipt of the State plan, a written notice of such 

disapproval that includes a description of any portion of 

the plan that was not approved and the reason for the disapproval of each such portion; and 

(C) provide the State with an opportunity to correct any 

such failure and submit a revised State plan. 

(f) ALLOCATION OF FUNDS.— 

(1) BASE FUNDING.— 

(A) IN GENERAL.—For each fiscal year after fiscal year 

2020, the Secretary shall allocate a percentage equal to the 

base funding percentage for such fiscal year of the funds 

made available for grants under this section among the 

States awarded such a grant for such fiscal year using a 

formula prescribed by the Secretary based on the rate of 

insured unemployment (as defined in section 203(e)(1) of 

the Federal-State Extended Unemployment Compensation 

Act of 1970 (26 U.S.C. 3304 note)) in the State for a period 

to be determined by the Secretary. In developing such formula with respect to a State, the Secretary shall consider 

the importance of avoiding sharp reductions in grant funding to a State over time. 

(B) BASE FUNDING PERCENTAGE.—For purposes of subparagraph (A), the term ‘‘base funding percentage’’ 

means— 

(i) for fiscal years 2021 through 2026, 89 percent; 

and 

(ii) for fiscal years after 2026, 84 percent. 

(2) RESERVATION FOR OUTCOME PAYMENTS.— 

(A) IN GENERAL.—Of the amounts made available for 

grants under this section for each fiscal year after 2020, 

the Secretary shall reserve a percentage equal to the outcome reservation percentage for such fiscal year for outcome payments to increase the amount otherwise awarded 

to a State under paragraph (1). Such outcome payments 

shall be paid to States conducting reemployment services 

and eligibility assessments under this section that, during 

the previous fiscal year, met or exceeded the outcome goals 

provided in subsection (b)(1) related to reducing the average duration of receipt of unemployment compensation by 

improving employment outcomes. 

(B) OUTCOME RESERVATION PERCENTAGE.—For purposes 

of subparagraph (A), the term ‘‘outcome reservation percentage’’ means— 

(i) for fiscal years 2021 through 2026, 10 percent; 

and 

(ii) for fiscal years after 2026, 15 percent. 

(3) RESERVATION FOR RESEARCH AND TECHNICAL ASSISTANCE.—Of the amounts made available for grants under this 

section for each fiscal year after 2020, the Secretary may reVerDate Sep 11 2014 05:06 Apr 11, 2019 Jkt 089006 PO 00000 Frm 00011 Fmt 6659 Sfmt 6602 E:\HR\OC\HR038.XXX HR038
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serve not more than 1 percent to conduct research and provide 

technical assistance to States. 

(4) CONSULTATION AND PUBLIC COMMENT.—Not later than 

September 30, 2019, the Secretary shall— 

(A) consult with the States and seek public comment in 

developing the allocation formula under paragraph (1) and 

the criteria for carrying out the reservations under paragraph (2); and 

(B) make publicly available the allocation formula and 

criteria developed pursuant to subclause (A). 

(g) NOTIFICATION TO CONGRESS.—Not later than 90 days prior to 

making any changes to the allocation formula or the criteria developed pursuant to subsection (f)(5)(A), the Secretary shall submit to 

Congress, including to the Committee on Ways and Means and the 

Committee on Appropriations of the House of Representatives and 

the Committee on Finance and the Committee on Appropriations of 

the Senate, a notification of any such change. 

(h) SUPPLEMENT NOT SUPPLANT.—Funds made available to carry 

out this section shall be used to supplement the level of Federal, 

State, and local public funds that, in the absence of such availability, would be expended to provide reemployment services and 

eligibility assessments to individuals receiving unemployment compensation, and in no case to supplant such Federal, State, or local 

public funds. 

(i) DEFINITIONS.—In this section: 

(1) CAUSAL EVIDENCE RATING.—The terms ‘‘high causal evidence rating’’ and ‘‘moderate causal evidence rating’’ shall have 

the meaning given such terms by the Secretary of Labor. 

(2) ELIGIBLE STATE.—The term ‘‘eligible State’’ means a State 

that has in effect a State plan approved by the Secretary in accordance with subsection (e). 

(3) INTERVENTION.—The term ‘‘intervention’’ means a service 

delivery strategy for the provision of State reemployment services and eligibility assessment activities under this section. 

(4) STATE.—The term ‘‘State’’ has the meaning given the 

term in section 205 of the Federal-State Extended Unemployment Compensation Act of 1970 (26 U.S.C. 3304 note). 

(5) UNEMPLOYMENT COMPENSATION.—The term unemployment compensation means ‘‘regular compensation’’, ‘‘extended 

compensation’’, and ‘‘additional compensation’’ (as such terms 

are defined by section 205 of the Federal-State Extended Unemployment Compensation Act of 1970 (26 U.S.C. 3304 note)). 

Æ