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[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[S. 3825 Introduced in Senate (IS)]

<DOC>

118th CONGRESS
  2d Session
                                S. 3825

 To amend the Workforce Innovation and Opportunity Act to establish a 
               State innovation demonstration authority.

_______________________________________________________________________

                   IN THE SENATE OF THE UNITED STATES

                           February 28, 2024

  Mr. Romney introduced the following bill; which was read twice and 
  referred to the Committee on Health, Education, Labor, and Pensions

_______________________________________________________________________

                                 A BILL

 
 To amend the Workforce Innovation and Opportunity Act to establish a 
               State innovation demonstration authority.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``One Door to Work Act''.

SEC. 2. STATE INNOVATION DEMONSTRATION AUTHORITY.

    Section 190 of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3250) is amended to read as follows:

``SEC. 190. STATE INNOVATION DEMONSTRATION AUTHORITY.

    ``(a) Purpose.--The purpose of this section is to authorize any 
State to apply under this section on behalf of the entire State, or a 
local area or a consortium of local areas in the State, to receive the 
allotments or allocations of the State or the local areas, 
respectively, for youth workforce investment activities and adult and 
dislocated worker employment and training activities under this Act, 
and for activities under the Wagner-Peyser Act, as a consolidated grant 
for 5 years for the purpose of carrying out a demonstration project to 
pursue innovative reforms to achieve better outcomes for jobseekers, 
employers, and taxpayers.
    ``(b) General Authority.--
            ``(1) Waivers and demonstration grant amounts.--
        Notwithstanding any other provision of law, during the 
        demonstration period applicable to a demonstration project 
        approved for a State pursuant to subsection (d)(3), the 
        Secretary shall comply with each of the following:
                    ``(A) Waivers.--Subject to paragraph (2), waive for 
                the State as a whole, or for the local area or the 
                consortium of local areas in such State selected by the 
                State to carry out such demonstration project--
                            ``(i) all the statutory and regulatory 
                        requirements of subtitle A, subtitle B, and 
                        this subtitle; and
                            ``(ii) all the statutory or regulatory 
                        requirements of the Wagner-Peyser Act (29 
                        U.S.C. 49g et seq.).
                    ``(B) Demonstration grant amounts.--For each fiscal 
                year applicable to such demonstration period:
                            ``(i) State as a whole.--In a case of a 
                        State approved to carry out a demonstration 
                        project under this section on behalf of the 
                        State as a whole, distribute as a consolidated 
                        sum to the State, for purposes of carrying out 
                        the project, the State's total allotment for 
                        such fiscal year under--
                                    ``(I) subsections (b)(1)(C) and (c) 
                                of section 127;
                                    ``(II) paragraphs (1)(B) and (2)(B) 
                                of section 132(b), and section 132(c); 
                                and
                                    ``(III) section 6 of the Wagner-
                                Peyser Act (29 U.S.C. 49e).
                            ``(ii) Local area.--In a case of a local 
                        area selected by a State to carry out a 
                        demonstration project under this section, 
                        require the State to--
                                    ``(I) distribute as a consolidated 
                                sum to the local board for such local 
                                area, for purposes of carrying out the 
                                project--
                                            ``(aa) the local area's 
                                        allocation for such fiscal year 
                                        under--

                                                    ``(AA) subsections 
                                                (b) and (c) of section 
                                                128; and

                                                    ``(BB) subsections 
                                                (b) and (c) of section 
                                                133; and

                                            ``(bb) any funds under 
                                        section 6 of the Wagner-Peyser 
                                        Act (29 U.S.C. 49e) that the 
                                        State would otherwise allocate 
                                        for such fiscal year to the 
                                        one-stop delivery system in the 
                                        local area; or
                                    ``(II) if the local board of the 
                                local area enters into a written 
                                agreement with the State for the State 
                                to serve as the fiscal agent for the 
                                local board during the demonstration 
                                project, use the funds described in 
                                items (aa) and (bb) of subclause (I) 
                                for purposes of carrying out the 
                                project on behalf of the local board.
                            ``(iii) Consortium of local areas.--In a 
                        case of a consortium of local areas selected by 
                        a State to carry out a demonstration project 
                        under this section, require the State to--
                                    ``(I) distribute as a consolidated 
                                sum to the consortium, for purposes of 
                                carrying out the project--
                                            ``(aa) the total amount of 
                                        the allocations for the local 
                                        areas in such consortium for 
                                        such fiscal year under--

                                                    ``(AA) subsections 
                                                (b) and (c) of section 
                                                128; and

                                                    ``(BB) subsections 
                                                (b) and (c) of section 
                                                133; and

                                            ``(bb) any funds under 
                                        section 6 of the Wagner-Peyser 
                                        Act (29 U.S.C. 49e) that the 
                                        State would otherwise allocate 
                                        for such fiscal year to the 
                                        one-stop delivery systems in 
                                        the local areas in such 
                                        consortium; or
                                    ``(II) if the consortium enters 
                                into a written agreement with the State 
                                for the State to serve as the fiscal 
                                agent for the local boards represented 
                                in the consortium during the 
                                demonstration project, use the funds 
                                described in items (aa) and (bb) of 
                                subclause (I) for purposes of carrying 
                                out the project on behalf of such 
                                consortium.
            ``(2) Exceptions.--A State, local area, or consortium of 
        local areas carrying out a demonstration project under this 
        section--
                    ``(A) shall comply with statutory or regulatory 
                requirements of--
                            ``(i) this Act relating to--
                                    ``(I) wage and labor standards;
                                    ``(II) nondisplacement protections;
                                    ``(III) participation and 
                                protection of workers and participants;
                                    ``(IV) nondiscrimination;
                                    ``(V) grievance procedures and 
                                judicial review; and
                                    ``(VI) performance accountability 
                                and reporting, except as otherwise 
                                provided in this section; and
                            ``(ii) the Wagner-Peyser Act relating to 
                        provision of services to unemployed insurance 
                        claimants and veterans, and relating to 
                        universal access to basic labor exchange 
                        services without cost to jobseekers; and
                    ``(B) may choose to comply with any other statutory 
                or regulatory requirement of this Act or the Wagner-
                Peyser Act.
    ``(c) Demonstration Period; Limitations.--
            ``(1) In general.--A demonstration project approved under 
        this section for a State, local area, or consortium--
                    ``(A) shall be carried out for a 5-year 
                demonstration period; and
                    ``(B) may be renewed for additional 5-year 
                demonstration periods, if the State, local area, or 
                consortium meets its expected levels of performance 
                established under subsection (f)(1) for each of the 
                final 3 years of the preceding 5-year period.
            ``(2) Limitations.--
                    ``(A) Demonstration period limitations.--For each 
                5-year demonstration period (including renewals of such 
                period)--
                            ``(i) not more than 8 States may carry out 
                        demonstration projects approved for a State as 
                        a whole under this section; and
                            ``(ii) not more than 8 local areas (or 
                        consortia of local areas) may carry out 
                        demonstration projects approved for a local 
                        area (or a consortium) under this section.
                    ``(B) State limitations.--Not more than 1 
                demonstration project may be approved under this 
                section per State. For purposes of this paragraph, a 
                demonstration project approved for a local area or a 
                consortium of local areas in a State shall be 
                considered a demonstration project approved under this 
                section for the State.
    ``(d) Application.--
            ``(1) In general.--To be eligible to carry out a 
        demonstration project under this section, a State shall submit 
        to the Secretary an application at such time, and in such 
        manner, as the Secretary may reasonably require, and containing 
        the information described in paragraph (2).
            ``(2) Content.--Each application submitted by a State under 
        this subsection shall include the following:
                    ``(A) A description of the demonstration project to 
                be carried out under this section, including--
                            ``(i) whether the project will be carried 
                        out--
                                    ``(I) by the State as a whole;
                                    ``(II) by a local area, and if so--
                                            ``(aa) an identification 
                                        of--

                                                    ``(AA) such local 
                                                area; and

                                                    ``(BB) whether the 
                                                local board for such 
                                                local area is the 
                                                fiscal agent for the 
                                                project, or whether the 
                                                local board has entered 
                                                into a written 
                                                agreement with the 
                                                State for the State to 
                                                serve as the fiscal 
                                                agent during the 
                                                project; and

                                            ``(bb) written verification 
                                        from the local board for such 
                                        local area that such local 
                                        board agrees--

                                                    ``(AA) to carry out 
                                                such project; and

                                                    ``(BB) to the 
                                                fiscal agent identified 
                                                in item (aa)(BB); and

                                    ``(III) by a consortium of local 
                                areas in the State, and if so--
                                            ``(aa) an identification 
                                        of--

                                                    ``(AA) each local 
                                                area that comprises the 
                                                consortium; and

                                                    ``(BB) the local 
                                                area that will serve as 
                                                the fiscal agent for 
                                                the consortium during 
                                                the project, or whether 
                                                the consortium has 
                                                entered into a written 
                                                agreement with the 
                                                State for the State to 
                                                serve as the fiscal 
                                                agent; and

                                            ``(bb) written verification 
                                        from each local board of each 
                                        local area identified in item 
                                        (aa)(AA) that such local board 
                                        agrees--

                                                    ``(AA) to carry out 
                                                such project as a 
                                                consortium; and

                                                    ``(BB) to the 
                                                fiscal agent for the 
                                                consortium identified 
                                                in item (aa)(BB);

                            ``(ii) a description of the activities to 
                        be carried out under the project; and
                            ``(iii) the goals the State, local area, or 
                        consortium intends to achieve through such 
                        activities, which shall be aligned with purpose 
                        described in subsection (a).
                    ``(B) A description of the performance outcomes the 
                State, the local area, or consortium expects to achieve 
                for such activities for each year of the demonstration 
                period as described in subsection (f)(1).
                    ``(C) A description of how the State, local area, 
                or consortium consulted with employers, the State 
                board, and the local boards in the State in determining 
                the activities to carry out under the demonstration 
                project.
                    ``(D) A description of how the State will make such 
                activities available to jobseekers and employers in 
                each of the local areas in the State or, in a case of a 
                project that will be carried out by a local area or a 
                consortium, a description of how such services will be 
                made available to jobseekers and employers in such 
                local area or each of the local areas in the 
                consortium.
                    ``(E) A description, if appropriate, of how the 
                State, local area, or consortium will integrate the 
                funds received, and the activities carried out, under 
                the demonstration project under this section with State 
                workforce development programs and other Federal or 
                State workforce, education, or social service programs 
                (including the programs and activities listed in 
                section 103(a)(2), the program of adult education and 
                literacy activities authorized under title II, and the 
                program authorized under title I of the Rehabilitation 
                Act of 1973 (29 U.S.C. 720 et seq.)).
                    ``(F) An assurance that the State, local area, or 
                consortium will meet the requirements of this section.
            ``(3) Secretarial approval.--
                    ``(A) In general.--Not later than 60 days after the 
                date on which a State submits an application under this 
                subsection, the Secretary shall--
                            ``(i) in a case in which the application 
                        meets the requirements of this section and is 
                        not subject to the limitations described in 
                        subsection (c)(2), approve such application and 
                        the demonstration project described in such 
                        application; or
                            ``(ii) provide to the State a written 
                        explanation of initial disapproval that meets 
                        the requirements of subparagraph (C).
                    ``(B) Default approval.--With respect to an 
                application submitted by a State under this subsection 
                that is not subject to the limitations described in 
                subsection (c)(2), if the Secretary fails to approve 
                such application or provide an explanation of initial 
                disapproval for such application as required under 
                subparagraph (A), the application and the demonstration 
                project described in such application shall be deemed 
                approved by the Secretary.
                    ``(C) Initial disapproval.--An explanation of 
                initial disapproval provided by the Secretary to a 
                State under subparagraph (A)(ii) shall provide the 
                State--
                            ``(i) detailed reasons for why the 
                        application does not meet the requirements of 
                        this section; and
                            ``(ii) if the State is not subject to the 
                        limitations described in subsection (c)(2), an 
                        opportunity to revise and resubmit the State's 
                        application under this section.
    ``(e) State Demonstration Project Requirements.--A State, local 
area, or consortium that has been approved to carry out a demonstration 
project under this section shall meet each of the following 
requirements:
            ``(1) Use of funds.--Use the funds received pursuant to 
        subsection (b)(1)(B) solely to carry out the activities of the 
        demonstration project to achieve the goals described in 
        subsection (d)(2)(A)(iii).
            ``(2) Administrative costs limitation.--Use not more than 
        10 percent of the funds received pursuant to subsection 
        (b)(1)(B) for a fiscal year for the administrative costs of 
        carrying out the demonstration project.
            ``(3) Priority for services.--Give priority for services 
        under the project to veterans and their eligible spouses in 
        accordance with the requirements of section 4215 of title 38, 
        United States Code, recipients of public assistance, low-income 
        individuals, and individuals who are basic skills deficient.
            ``(4) Number of participants.--Serve a number of 
        participants under the activities of the demonstration project 
        for each year of the demonstration period that--
                    ``(A) is greater than the number of participants 
                served by such State, local area, or consortium under 
                the programs described in subparagraphs (A) and (C) of 
                section 3(13) for the most recent program year that 
                ended prior to the beginning of the first year of the 
                demonstration period; or
                    ``(B) is not less than the number of participants 
                to be served under the activities of the demonstration 
                project that is agreed upon between the State, local 
                area, or consortium, and the Secretary--
                            ``(i) prior to the Secretary's approval of 
                        the application submitted under subsection (d);
                            ``(ii) after the Secretary takes into 
                        account--
                                    ``(I) the goals the State, local 
                                area, or consortium intends to achieve 
                                through the demonstration project; and
                                    ``(II) the participants the State, 
                                local area, or consortium intends to 
                                serve under such project; and
                            ``(iii) prior to approval of the 
                        application submitted under subsection (d).
            ``(5) Reporting outcomes.--Submit, on an annual basis, to 
        the Secretary a report, with respect to such State, local area, 
        or consortium, on--
                    ``(A) participant outcomes for each indicator of 
                performance described in subsection (f)(1)(A) for the 
                activities carried out under the project; and
                    ``(B) the applicable requirements of section 
                116(d)(2), including subparagraphs (B) through (G) and 
                subparagraph (J), as such subparagraphs are applicable 
                to activities under the demonstration project.
            ``(6) Compliance with certain existing requirements.--
        Comply with the statutory or regulatory requirements listed in 
        subsection (b)(2)(A).
            ``(7) Evaluation.--Prior to the end of the demonstration 
        period--
                    ``(A) conduct a rigorous evaluation of the 
                employment and earnings outcomes of participants in 
                activities carried out under the demonstration project, 
                compared to the outcomes of similarly situated 
                individuals in such State, local area, or a local area 
                in the consortium that do not participate in such 
                activities; and
                    ``(B) submit to Congress and the Secretary the 
                results of such evaluation.
    ``(f) Performance Accountability.--
            ``(1) Establishment of expected performance indicators.--
                    ``(A) In general.--Each State, local area, or 
                consortium shall establish in the application submitted 
                under subsection (d), for each year of the 
                demonstration period--
                            ``(i) with respect to participants who are 
                        at least 25 years old, the expected levels of 
                        performance for each of the indicators of 
                        performance under section 116(b)(2)(A)(i) for 
                        the activities carried out under the project 
                        under this section, which shall meet the 
                        requirements of subparagraph (B); and
                            ``(ii) with respect to participants who are 
                        at least 16 years old and no older than 24 
                        years old, the expected levels of performance 
                        for each of the indicators of performance under 
                        section 116(b)(2)(A)(ii) for the activities 
                        carried out under the project under this 
                        section, which shall meet the requirements of 
                        subparagraph (B).
                    ``(B) 5th year.--Each of the expected levels of 
                performance established for each of the indicators of 
                performance under clauses (i) and (ii) of section 
                116(b)(2)(A) pursuant to subparagraph (A) for the 5th 
                year of the demonstration period shall be higher than--
                            ``(i) the highest level of performance for 
                        the corresponding indicator of performance for 
                        the programs described in subparagraphs (A) and 
                        (C) of section 3(13) for the most recent 
                        program year that ended prior to the beginning 
                        of the first year of the demonstration period; 
                        or
                            ``(ii) an alternate baseline level of 
                        performance that is agreed upon between the 
                        State, local area, or consortium, and the 
                        Secretary--
                                    ``(I) prior to the Secretary's 
                                approval of the application submitted 
                                under subsection (d); and
                                    ``(II) after the Secretary takes 
                                into account--
                                            ``(aa) the goals the State, 
                                        local area, or consortium 
                                        intends to achieve through the 
                                        demonstration project; and
                                            ``(bb) the participants the 
                                        State, local area, or 
                                        consortium intends to serve 
                                        under such project.
            ``(2) Sanctions.--
                    ``(A) In general.--The sanctions described in 
                section 116(f)(1)(B) shall apply to a State, local 
                area, or consortium beginning on the 3rd year of the 
                demonstration period for such State, local area, or 
                consortium, except that the levels of performance 
                established under paragraph (1) shall be--
                            ``(i) deemed to be the State negotiated 
                        levels of performance for purposes of this 
                        paragraph; and
                            ``(ii) adjusted at the end of each program 
                        year to reflect the actual characteristics of 
                        participants served and the actual economic 
                        conditions experienced using a statistical 
                        adjustment model similar to the model described 
                        in section 116(b)(3)(A)(viii).
                    ``(B) Ineligibility for renewal.--A State, local 
                area, or consortium that is subject to sanctions under 
                this paragraph shall be ineligible to renew its 
                demonstration period under subsection (c).
            ``(3) Impact of local or consortium demonstrations on 
        statewide accountability.--With respect to a State with an 
        approved demonstration project for a local area or consortium 
        of local areas in the State--
                    ``(A) the performance of such local area or 
                consortium for the programs described in subparagraphs 
                (A) and (C) of section 3(13) shall not be included in 
                the levels of performance for such State for any of 
                such programs for purposes of section 116 for any 
                program year that is applicable to any year of the 
                demonstration period; and
                    ``(B) with respect to any local areas of the State 
                that are not part of the demonstration project, the 
                State shall reach a new agreement with the Secretary, 
                for purposes of section 116(b)(3)(A), on levels of 
                performance for such programs for such program 
                years.''.
                                 <all>
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