I 

113TH CONGRESS 

1ST SESSION H. R. 3524 

To amend the Workforce Investment Act of 1998 to provide grants to States 

for on-the-job training programs for adults in economically disadvantaged 

areas. 

IN THE HOUSE OF REPRESENTATIVES 

NOVEMBER 18, 2013 

Mr. MCKINLEY (for himself and Mr. SCHNEIDER) introduced the following 

bill; which was referred to the Committee on Education and the Workforce 

A BILL 

To amend the Workforce Investment Act of 1998 to provide 

grants to States for on-the-job training programs for 

adults in economically disadvantaged areas. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Economic Recovery 

5 On-the-Job Training Act of 2013’’. 

6 SEC. 2. ON-THE-JOB TRAINING FOR ECONOMICALLY DIS7 ADVANTAGED AREAS. 

8 (a) AMENDMENT TO THE WORKFORCE INVESTMENT

9 ACT OF 1998.—The Workforce Investment Act of 1998 


tkelley on DSK3SPTVN1PROD with BILLS
2 

•HR 3524 IH

1 (29 U.S.C. 2801 et seq.) is amended by inserting after 

2 section 173A (29 U.S.C. 2918a) the following: 

3 ‘‘SEC. 173B. ON-THE-JOB TRAINING FOR ECONOMICALLY 

4 AND EXTREMELY ECONOMICALLY DISADVAN5 TAGED AREAS. 

6 ‘‘(a) DEFINITIONS.—As used in this section— 

7 ‘‘(1) the term ‘economically disadvantaged area’ 

8 means an area for which there is a single 5-digit 

9 postal zip code, and which includes any portion of a 

10 census tract in which the median annual household 

11 income is less than $40,000 per year; 

12 ‘‘(2) the term ‘extremely economically disadvan13 taged area’ means any area which there is a single 

14 5-digit postal zip code, and includes any portion of 

15 a census tract in which the median household in16 come is less than $32,000 per year; and 

17 ‘‘(3) the term ‘median household income’ means 

18 the median annual household income as determined 

19 by the 2010 census and as updated by the American 

20 Community Survey of the Bureau of the Census. 

21 ‘‘(b) GRANTS.— 

22 ‘‘(1) IN GENERAL.—From the amounts made 

23 available under subsection (h), and subject to para24 graph (2) and subsection (d), the Secretary shall 

25 make grants, on a discretionary basis, to State and 


tkelley on DSK3SPTVN1PROD with BILLS
3 

•HR 3524 IH

1 local boards, for adult on-the-job training, or dis2 located worker on-the-job training, carried out under 

3 section 134 and for State and local board functions 

4 described in subsection (f) within economically dis5 advantaged areas and extremely economically dis6 advantaged areas. 

7 ‘‘(2) EXTREMELY ECONOMICALLY DISADVAN8 TAGED AREAS.—In making grants under this sub9 section for a fiscal year, the Secretary shall ensure 

10 that of the amount made available under subsection 

11 (h) for such fiscal year, the Secretary uses 25 per12 cent more of such funds to make grants to State 

13 and local boards located within extremely economi14 cally disadvantaged areas than to such boards lo15 cated within economically disadvantaged areas. 

16 ‘‘(c) APPLICATION.—To be eligible to receive a grant 

17 under subsection (b), a State or a local board shall submit 

18 an application to the Secretary at such time, in such man19 ner, and containing such information as the Secretary may 

20 require. In preparing such an application for a grant 

21 under subsection (b), a local board shall consult with the 

22 corresponding State. 

23 ‘‘(d) REIMBURSEMENT OF WAGE RATES.—Notwith24 standing the limitation in section 101(31)(B), in making 

25 the grants described in subsection (b), the Secretary may 


tkelley on DSK3SPTVN1PROD with BILLS
4 

•HR 3524 IH

1 allow for higher levels of reimbursement of wage rates the 

2 Secretary determines are appropriate based on factors 

3 such as— 

4 ‘‘(1) employer size, in order to facilitate the 

5 participation of small- and medium-sized employers; 

6 ‘‘(2) target populations, in order to enhance job 

7 creation for persons with barriers to employment; 

8 and 

9 ‘‘(3) the number of employees that will partici10 pate in the on-the-job training, the wage and benefit 

11 levels of the employees (before the training and an12 ticipated on completion of the training), the relation13 ship of the training to the competitiveness of the 

14 employer and employees, and the existence of other 

15 employer-provided training and advancement oppor16 tunities. 

17 ‘‘(e) ADMINISTRATION BY SECRETARY.—The Sec18 retary may use an amount that is not more than 1 percent 

19 of the funds made available under subsection (h) for the 

20 administration, management, and oversight of the pro21 grams, activities, and grants, funded under subsection (b), 

22 including the evaluation of, and dissemination of informa23 tion on lessons learned through, the use of such funds. 

24 ‘‘(f) STATE OVERSIGHT AND MONITORING.—A local 

25 board that receives a grant under subsection (b) and is 


tkelley on DSK3SPTVN1PROD with BILLS
5 

•HR 3524 IH

1 located in a State, shall provide not less than 5 percent 

2 of the grant funds to the State for State functions de3 scribed in sections 136(f), 184, and 185. 

4 ‘‘(g) RULE OF CONSTRUCTION.—Nothing in this sec5 tion shall be construed to affect the manner in which sub6 title B is implemented, for activities funded through 

7 amounts appropriated under section 137. 

8 ‘‘(h) AUTHORIZATION OF APPROPRIATIONS.—There 

9 is authorized to be appropriated to carry out this section 

10 such sums as may be necessary for fiscal year 2014 and 

11 each subsequent fiscal year. 

12 ‘‘(i) AREAS NOT WITHIN CENSUS TRACTS.—In the 

13 case of an area which is not tracted for population census 

14 tracts, the equivalent county divisions (as defined by the 

15 Bureau of the Census for purposes of defining poverty 

16 areas) shall be used for purposes of determining median 

17 annual household income.’’. 

18 (b) TABLE OF CONTENTS AMENDMENT.—The table 

19 of contents in section 1(b) of the Workforce Investment 

20 Act of 1998 (20 U.S.C. 9201 note) is amended by insert21 ing after the item relating to section 173A the following 

22 new item: 

‘‘Sec. 173B. On-the-job training for economically and extremely economically 

disadvantaged areas.’’. 

Æ 


tkelley on DSK3SPTVN1PROD with BILLS