I 

114TH CONGRESS 

1ST SESSION H. R. 2721 

To strengthen and expand proven anti-poverty programs and initiatives. 

IN THE HOUSE OF REPRESENTATIVES 

JUNE 10, 2015 

Ms. LEE (for herself, Ms. BASS, Mrs. BEATTY, Mr. CARSON of Indiana, Mr. 

CICILLINE, Mr. CONYERS, Mr. COURTNEY, Mr. CROWLEY, Mrs. DAVIS of 

California, Mr. DESAULNIER, Mrs. DINGELL, Mr. ELLISON, Ms. 

FRANKEL of Florida, Mr. GALLEGO, Ms. HAHN, Ms. JACKSON LEE, Mr. 

JOHNSON of Georgia, Ms. KUSTER, Mrs. LOWEY, Ms. MCCOLLUM, Mr. 

MCNERNEY, Ms. MOORE, Mr. NADLER, Mr. NORCROSS, Mr. PAYNE, Mr. 

RANGEL, Mr. RUSH, Ms. SCHAKOWSKY, Ms. SEWELL of Alabama, Mr. 

SCOTT of Virginia, Ms. SLAUGHTER, Ms. SPEIER, Mr. TAKANO, Mrs. 

WATSON COLEMAN, Ms. WILSON of Florida, Mr. VARGAS, Ms. NORTON, 

Mrs. TORRES, Mrs. LAWRENCE, and Mr. MCGOVERN) introduced the following bill; which was referred to the Committee on Ways and Means, 

and in addition to the Committees on House Administration, Education 

and the Workforce, Financial Services, Agriculture, Transportation and 

Infrastructure, Rules, the Budget, Oversight and Government Reform, 

and the Judiciary, for a period to be subsequently determined by the 

Speaker, in each case for consideration of such provisions as fall within 

the jurisdiction of the committee concerned 

A BILL 

To strengthen and expand proven anti-poverty programs and 

initiatives. 

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


SSpencer on DSK4SPTVN1PROD with BILLS
2 

•HR 2721 IH

1 SECTION 1. SHORT TITLE. 

2 This Act may be cited as the ‘‘Pathways Out of Pov3 erty Act of 2015’’. 

4 SEC. 2. TABLE OF CONTENTS. 

5 The table of contents for this Act is as follows: 

Sec. 1. Short title. 

Sec. 2. Table of contents. 

DIVISION A—EDUCATION 

TITLE I—STRONG START FOR AMERICA’S CHILDREN 

Subtitle A—Access to Voluntary Prekindergarten for Low- and ModerateIncome Families 

Sec. 111. Purposes. 

Sec. 112. Definitions. 

Sec. 113. Program authorization. 

Sec. 114. Allotments and reservations of funds. 

Sec. 115. State eligibility criteria. 

Sec. 116. State applications. 

Sec. 117. State use of funds. 

Sec. 118. Additional prekindergarten services. 

Sec. 119. Performance measures and targets. 

Sec. 120. Matching requirements. 

Sec. 121. Eligible local entity applications. 

Sec. 122. Required subgrant activities. 

Sec. 123. Report and evaluation. 

Sec. 124. Prohibition of required participation or use of funds for assessments. 

Sec. 125. Coordination with Head Start programs. 

Sec. 126. Technical assistance in program administration. 

Sec. 127. Authorization of appropriations. 

Subtitle B—Prekindergarten Development Grants 

Sec. 151. Prekindergarten development grants. 

TITLE II—RESTORING SUMMER PELL GRANTS 

Sec. 201. Federal Pell Grants. 

TITLE III—RESTORING TITLE IV ABILITY-TO-BENEFIT 

ELIGIBILITY 

Sec. 301. Ability-to-benefit eligibility. 

TITLE IV—YOUTH PROMISE/FEDERAL COORDINATION OF LOCAL 

AND TRIBAL JUVENILE JUSTICE INFORMATION AND EFFORTS 

Sec. 401. PROMISE Advisory Panel. 

Sec. 402. Geographic assessment of resource allocation. 


SSpencer on DSK4SPTVN1PROD with BILLS
3 

•HR 2721 IH

TITLE V—PROMISE GRANTS 

Sec. 501. Purposes. 

Sec. 502. Definitions. 

Subtitle A—PROMISE Assessment and Planning Grants 

Sec. 510. PROMISE Assessment and Planning grants authorized. 

Sec. 511. PROMISE Coordinating Councils. 

Sec. 512. Needs and strengths assessment. 

Sec. 513. PROMISE Plan components. 

Sec. 514. Authorization of appropriations. 

Subtitle B—PROMISE Implementation Grants 

Sec. 530. PROMISE Implementation grants authorized. 

Sec. 531. PROMISE Implementation grant application requirements. 

Sec. 532. Grant award guidelines. 

Sec. 533. Reports. 

Sec. 534. Authorization of appropriations. 

Subtitle C—General PROMISE Grant Provisions 

Sec. 540. Nonsupplanting clause. 

Sec. 541. Grant application review panel. 

Sec. 542. Evaluation of PROMISE grant programs. 

DIVISION B—HOUSING 

TITLE VI—COMMON SENSE HOUSING INVESTMENT 

Sec. 601. Congressional findings. 

Sec. 602. Replacement of mortgage interest deduction with mortgage interest 

credit. 

Sec. 603. Deduction allowed for interest and taxes relating to land for dwelling 

purposes owned or leased by cooperative housing corporations. 

Sec. 604. Use of mortgage interest savings to increase low-income housing tax 

credit. 

Sec. 605. Use of mortgage interest savings for affordable housing programs. 

TITLE VII—LOW-INCOME HOUSING TAX CREDIT FOR HOMELESS 

YOUTH 

Sec. 701. Students who were homeless youths or homeless veterans permitted 

to occupy low-income housing units. 

TITLE VIII—RENTERS TAX CREDIT 

Sec. 801. Renters tax credit. 

DIVISION C—NUTRITION 

TITLE IX—IMPROVING TEMPORARY ASSISTANCE TO NEEDY 

FAMILIES PROGRAM 

Sec. 901. References. 

Sec. 902. State plans required to address whether and how States will provide 

assistance to neediest geographic areas. 

Sec. 903. Funding of the TANF program. 


SSpencer on DSK4SPTVN1PROD with BILLS
4 

•HR 2721 IH

Sec. 904. Work requirements. 

Sec. 905. Work rules. 

Sec. 906. Prohibition on imposing limit of less than 60 months on duration of 

assistance. 

Sec. 907. Response of TANF program to economic recessions. 

Sec. 908. Requirement that States use merit-based system in administration of 

TANF programs. 

Sec. 909. Ban on using Federal TANF funds to replace State and local spending that does not meet the definition of qualified State expenditures. 

Sec. 910. TANF assistance to meet basic family economic needs. 

Sec. 911. State plans and reports on child poverty. 

Sec. 912. Requirement that States adopt standards and procedures to address 

domestic and sexual violence among TANF recipients. 

Sec. 913. Child care entitlement. 

Sec. 914. Child support enforcement. 

Sec. 915. State option to extend eligibility for assistance to children through 

age 21; prohibition on considering financial aid tied to education of child in determining eligibility for, or amount of assistance; prohibition on imposing additional requirements based 

on educational enrollment of child. 

Sec. 916. Elimination of certain other bars to TANF assistance. 

Sec. 917. Effective date. 

TITLE X—EMPLOYMENT ADVANCEMENT, RETENTION, AND 

NAVIGATION ACT 

Sec. 1011. Focus on employment. 

Sec. 1012. Modification relating to the Contingency Fund. 

Sec. 1013. Training for in-demand jobs. 

Sec. 1014. Effective date. 

TITLE XI—RESTORING SUPPLEMENTAL NUTRITION ASSISTANCE 

PROGRAMS FUNDING CUTS INSTITUTED IN FARM BILL (HEATAND-EAT) 

Sec. 1101. Restoration of standard utility allowances based on the receipt of 

energy assistance payments. 

TITLE XII—HELPING HUNGRY STUDENTS LEARN 

Sec. 1201. Findings. 

Sec. 1202. School Lunch Program. 

Sec. 1203. School Breakfast Program. 

Sec. 1204. Summer Electronic Benefits Transfer for Children program. 

Sec. 1205. Weekends and holidays without hunger. 

TITLE XIII—FOOD ASSISTANCE TO IMPROVE REINTEGRATION 

ACT 

Sec. 1301. Repeal of denial of benefits. 

DIVISION D—LABOR/JOB TRAINING 

TITLE XIV—ASSISTANCE FOR THE UNEMPLOYED AND 

PATHWAYS BACK TO WORK 


SSpencer on DSK4SPTVN1PROD with BILLS
5 

•HR 2721 IH

Subtitle A—Supporting Unemployed Workers 

Sec. 1401. Short title. 

PART I—EXTENSION OF EMERGENCY UNEMPLOYMENT COMPENSATION AND

CERTAIN EXTENDED BENEFITS PROVISIONS, AND ESTABLISHMENT OF

SELF-EMPLOYMENT ASSISTANCE PROGRAM

Sec. 1411. Extension of Emergency Unemployment Compensation program. 

Sec. 1412. Temporary extension of extended benefit provisions. 

Sec. 1413. Additional extended unemployment benefits under the Railroad Unemployment Insurance Act. 

PART II—REEMPLOYMENT NOW PROGRAM

Sec. 1421. Establishment of Reemployment NOW program. 

Sec. 1422. Distribution of funds. 

Sec. 1423. State plan. 

Sec. 1424. Bridge to Work program. 

Sec. 1425. Wage insurance. 

Sec. 1426. Enhanced reemployment strategies. 

Sec. 1427. Self-employment programs. 

Sec. 1428. Additional innovative programs. 

Sec. 1429. Guidance and additional requirements. 

Sec. 1430. Report of information and evaluations to Congress and the public. 

Sec. 1431. State. 

PART III—SHORT-TIME COMPENSATION PROGRAM

Sec. 1441. Temporary financing of short-time compensation payments in States 

with programs in law. 

Sec. 1442. Temporary financing of short-time compensation agreements. 

Sec. 1443. Grants for short-time compensation programs. 

Sec. 1444. Assistance and guidance in implementing programs. 

Sec. 1445. Reports. 

Subtitle B—Long-Term Unemployed Hiring Preferences 

Sec. 1451. Long-term unemployed workers work opportunity tax credits. 

Subtitle C—Pathways Back to Work 

Sec. 1461. Short title. 

Sec. 1462. Authorization of appropriations. 

Sec. 1463. Availability of funds. 

Sec. 1464. Subsidized employment for unemployed, low-income adults. 

Sec. 1465. Summer employment and year-round employment opportunities for 

low-income youth. 

Sec. 1466. Work-based employment strategies of demonstrated effectiveness. 

Sec. 1467. General requirements. 

Sec. 1468. Definitions. 

Subtitle D—Prohibition of Discrimination in Employment on the Basis of an 

Individual’s Status as Unemployed 

Sec. 1471. Short title. 

Sec. 1472. Findings and purpose. 

Sec. 1473. Definitions. 


SSpencer on DSK4SPTVN1PROD with BILLS
6 

•HR 2721 IH

Sec. 1474. Prohibited acts. 

Sec. 1475. Enforcement. 

Sec. 1476. Federal and State immunity. 

Sec. 1477. Relationship to other laws. 

Sec. 1478. Severability. 

Sec. 1479. Effective date. 

TITLE XV—LIVING AMERICAN WAGE 

Sec. 1501. Findings; sense of Congress. 

Sec. 1502. Minimum wage. 

DIVISION E—ANTI-POVERTY TAX PROVISION 

TITLE XVI—CHILD TAX CREDIT PERMANENCY 

Sec. 1601. Modifications of the child tax credit. 

TITLE XVII—EARNED INCOME TAX CREDIT 

Sec. 1701. Expansion of Earned Income Credit. 

TITLE XVIII—CHILD CARE ACCESS AND REFUNDABILITY 

EXPANSION ACT 

Sec. 1801. Credit for dependent care expenses. 

DIVISION F—MISCELLANEOUS 

TITLE XIX—POVERTY IMPACT TRIGGER 

Sec. 1901. Certain poverty impact legislation subject to point of order. 

Sec. 1902. Congressional Budget Office Poverty Impact Division. 

Sec. 1903. Exercise of rulemaking powers. 

Sec. 1904. Effective date. 

TITLE XX—HALF IN TEN ACT TO CREATE A NATIONAL 

STRATEGY TO REDUCE POVERTY 

Sec. 2001. Findings. 

Sec. 2002. Definitions. 

Sec. 2003. Establishment of the Federal Interagency Working Group on Reducing Poverty. 

Sec. 2004. Appointment and responsibilities of the Director. 

Sec. 2005. Consultation. 

Sec. 2006. Reports to Congress and the public. 


SSpencer on DSK4SPTVN1PROD with BILLS
7 

•HR 2721 IH

1 DIVISION A—EDUCATION 

2 TITLE I—STRONG START FOR 

3 AMERICA’S CHILDREN 

4 Subtitle A—Access to Voluntary 

5 Prekindergarten for Low- and 

6 Moderate-Income Families 

7 SEC. 111. PURPOSES. 

8 The purposes of this subtitle are to— 

9 (1) establish a Federal-State partnership to 

10 provide access to high-quality public prekindergarten 

11 programs for all children from low-income and mod12 erate-income families to ensure that they enter kin13 dergarten prepared for success; 

14 (2) broaden participation in such programs to 

15 include children from additional middle-class fami16 lies; and 

17 (3) promote access to high-quality kindergarten, 

18 and high-quality early childhood education programs 

19 and settings for children. 

20 SEC. 112. DEFINITIONS. 

21 In this subtitle: 

22 (1) CHILD WITH A DISABILITY.—The term 

23 ‘‘child with a disability’’ has the meaning given the 

24 term in section 602 of the Individuals with Disabil25 ities Education Act (20 U.S.C. 1401). 


SSpencer on DSK4SPTVN1PROD with BILLS
8 

•HR 2721 IH

1 (2) COMPREHENSIVE EARLY LEARNING ASSESS2 MENT SYSTEM.—The term ‘‘comprehensive early 

3 learning assessment system’’— 

4 (A) means a coordinated and comprehen5 sive system of multiple assessments, each of 

6 which is valid and reliable for its specified pur7 pose and for the population with which it will 

8 be used, that— 

9 (i) organizes information about the 

10 process and context of young children’s 

11 learning and development to help early 

12 childhood educators make informed in13 structional and programmatic decisions; 

14 and 

15 (ii) conforms to the recommendations 

16 of the National Research Council reports 

17 on early childhood; and 

18 (B) includes, at a minimum— 

19 (i) child screening measures; 

20 (ii) child formative assessments; 

21 (iii) measures of environmental qual22 ity; and 

23 (iv) measures of the quality of adult24 child interactions. 


SSpencer on DSK4SPTVN1PROD with BILLS
9 

•HR 2721 IH

1 (3) DUAL LANGUAGE LEARNER.—The term 

2 ‘‘dual language learner’’ means an individual who is 

3 limited English proficient. 

4 (4) EARLY CHILDHOOD EDUCATION PRO5 GRAM.—The term ‘‘early childhood education pro6 gram’’ has the meaning given the term under section 

7 103 of the Higher Education Act of 1965 (20 

8 U.S.C. 1003). 

9 (5) ELEMENTARY SCHOOL.—The term ‘‘elemen10 tary school’’ has the meaning given the term in sec11 tion 9101 of the Elementary and Secondary Edu12 cation Act of 1965 (20 U.S.C. 7801). 

13 (6) ELIGIBILITY DETERMINATION DATE.—The 

14 term ‘‘eligibility determination date’’ means the date 

15 used to determine eligibility for public elementary 

16 school in the community in which the eligible local 

17 entity involved is located. 

18 (7) ELIGIBLE LOCAL ENTITY.—The term ‘‘eligi19 ble local entity’’ means— 

20 (A) a local educational agency, including— 

21 (i) a charter school or a charter man22 agement organization that acts as a local 

23 educational agency; or 


SSpencer on DSK4SPTVN1PROD with BILLS
10 

•HR 2721 IH

1 (ii) an educational service agency in 

2 partnership with a local educational agen3 cy; 

4 (B) an entity that carries out an early 

5 childhood education program; or 

6 (C) a consortium of entities described in 

7 subparagraph (A) or (B). 

8 (8) FULL-DAY.—The term ‘‘full-day’’ means a 

9 day that is— 

10 (A) equivalent to a full school day at the 

11 public elementary schools in a State; and 

12 (B) not less than 5 hours a day. 

13 (9) HIGH-QUALITY PREKINDERGARTEN PRO14 GRAM.—The term ‘‘high-quality prekindergarten 

15 program’’ means a prekindergarten program sup16 ported by an eligible local entity that includes, at a 

17 minimum, the following elements based on nationally 

18 recognized standards: 

19 (A) Serves children who— 

20 (i) are age 4 or children who are age 

21 3 or 4, by the eligibility determination date 

22 (including children who turn age 5 while 

23 attending the program); or 

24 (ii) have attained the legal age for 

25 State-funded prekindergarten. 


SSpencer on DSK4SPTVN1PROD with BILLS
11 

•HR 2721 IH

1 (B) Requires high qualifications for staff, 

2 including that teachers meet the requirements 

3 of 1 of the following clauses: 

4 (i) The teacher has a bachelor’s de5 gree in early childhood education or a re6 lated field with coursework that dem7 onstrates competence in early childhood 

8 education. 

9 (ii) The teacher— 

10 (I) has a bachelor’s degree in any 

11 field; 

12 (II) has demonstrated knowledge 

13 of early childhood education by pass14 ing a State-approved assessment in 

15 early childhood education; 

16 (III) while employed as a teacher 

17 in the prekindergarten program, is en18 gaged in on-going professional devel19 opment in early childhood education 

20 for not less than 2 years; and 

21 (IV) not more than 3 years after 

22 starting employment as a teacher in 

23 the prekindergarten program, enrolls 

24 in and completes a State-approved ed25 ucator preparation program in which 


SSpencer on DSK4SPTVN1PROD with BILLS
12 

•HR 2721 IH

1 the teacher receives training and sup2 port in early childhood education. 

3 (iii) The teacher has a bachelor’s de4 gree with a credential, license, or endorse5 ment that demonstrates competence in 

6 early childhood education. 

7 (C) Maintains an evidence-based maximum 

8 class size. 

9 (D) Maintains an evidence-based child to 

10 instructional staff ratio. 

11 (E) Offers a full-day program. 

12 (F) Provides developmentally appropriate, 

13 evidence-based curricula and learning environ14 ments that are aligned with the State’s early 

15 learning and development standards described 

16 in section 115(1). 

17 (G) Offers instructional staff salaries com18 parable to kindergarten through grade 12 

19 teaching staff. 

20 (H) Provides for ongoing monitoring and 

21 program evaluation to ensure continuous im22 provement. 

23 (I) Offers accessible comprehensive services 

24 for children that include, at a minimum— 


SSpencer on DSK4SPTVN1PROD with BILLS
13 

•HR 2721 IH

1 (i) screenings for vision, dental, health 

2 (including mental health), and development 

3 and referrals, and assistance obtaining 

4 services, when appropriate; 

5 (ii) family engagement opportunities 

6 that take into account home language, 

7 such as parent conferences (including par8 ent input about their child’s development) 

9 and support services, such as parent edu10 cation; 

11 (iii) nutrition services, including nutri12 tious meals and snack options aligned with 

13 requirements set by the most recent Child 

14 and Adult Care Food Program guidelines 

15 promulgated by the Department of Agri16 culture as well as regular, age-appropriate, 

17 nutrition education for children and their 

18 families; 

19 (iv) programs coordinated with local 

20 educational agencies and entities providing 

21 programs authorized under section 619 

22 and part C of the Individuals with Disabil23 ities Education Act (20 U.S.C. 1419 and 

24 1431 et seq.); 


SSpencer on DSK4SPTVN1PROD with BILLS
14 

•HR 2721 IH

1 (v) physical activity programs aligned 

2 with evidence-based guidelines, such as 

3 those recommended by the Institute of 

4 Medicine, and which take into account and 

5 accommodate children with disabilities; 

6 (vi) additional support services, as ap7 propriate, based on the findings of the 

8 needs analysis as described in section 120; 

9 and 

10 (vii) on-site coordination, to the max11 imum extent feasible. 

12 (J) Provides high-quality professional de13 velopment for all staff, including regular in14 classroom observation for teachers and teacher 

15 assistants by individuals trained in such obser16 vation. 

17 (K) Meets the education performance 

18 standards in effect under section 641A(a)(1)(B) 

19 of the Head Start Act (42 U.S.C. 

20 9836a(a)(1)(B)). 

21 (L) Maintains evidence-based health and 

22 safety standards. 

23 (10) GOVERNOR.—The term ‘‘Governor’’ means 

24 the chief executive officer of a State. 


SSpencer on DSK4SPTVN1PROD with BILLS
15 

•HR 2721 IH

1 (11) HOMELESS CHILD.—The term ‘‘homeless 

2 child’’ means a child or youth described in section 

3 725(2) of the McKinney-Vento Homeless Assistance 

4 Act (42 U.S.C. 11434a(2)). 

5 (12) INSTITUTION OF HIGHER EDUCATION.— 

6 The term ‘‘institution of higher education’’ has the 

7 meaning given the term in section 102 of the Higher 

8 Education Act of 1965 (20 U.S.C. 1002). 

9 (13) INDIAN TRIBE; TRIBAL ORGANIZATION.— 

10 The terms ‘‘Indian tribe’’ and ‘‘tribal organization’’ 

11 have the meanings given the terms in 658P of the 

12 Child Care and Development Block Grant of 1990 

13 (42 U.S.C. 9858n). 

14 (14) LIMITED ENGLISH PROFICIENT.—The 

15 term ‘‘limited English proficient’’ has the meaning 

16 given the term in section 637 of the Head Start Act 

17 (42 U.S.C. 9832). 

18 (15) LOCAL EDUCATIONAL AGENCY; STATE

19 EDUCATIONAL AGENCY; EDUCATIONAL SERVICE

20 AGENCY.—The terms ‘‘local educational agency’’, 

21 ‘‘State educational agency’’, and ‘‘educational service 

22 agency’’ have the meanings given the terms in sec23 tion 9101 of the Elementary and Secondary Edu24 cation Act of 1965 (20 U.S.C. 7801). 


SSpencer on DSK4SPTVN1PROD with BILLS
16 

•HR 2721 IH

1 (16) MIGRATORY CHILD.—The term ‘‘migratory 

2 child’’ has the meaning given the term in section 

3 1309 of the Elementary and Secondary Education 

4 Act of 1965 (20 U.S.C. 6399). 

5 (17) OUTLYING AREA.—The term ‘‘outlying 

6 area’’ means each of the United States Virgin Is7 lands, Guam, American Samoa, the Commonwealth 

8 of the Northern Mariana Islands, and the Republic 

9 of Palau. 

10 (18) POVERTY LINE.—The term ‘‘poverty line’’ 

11 means the official poverty line (as defined by the Of12 fice of Management and Budget)— 

13 (A) adjusted to reflect the percentage 

14 change in the Consumer Price Index for All 

15 Urban Consumers published by the Bureau of 

16 Labor Statistics of the Department of Labor 

17 for the most recent 12-month period or other 

18 interval for which the data are available; and 

19 (B) applicable to a family of the size in20 volved. 

21 (19) SECONDARY SCHOOL.—The term ‘‘sec22 ondary school’’ has the meaning given the term in 

23 section 9101 of the Elementary and Secondary Edu24 cation Act of 1965 (20 U.S.C. 7801). 


SSpencer on DSK4SPTVN1PROD with BILLS
17 

•HR 2721 IH

1 (20) SECRETARY.—The term ‘‘Secretary’’ 

2 means the Secretary of Education. 

3 (21) STATE.—Except as otherwise provided in 

4 this subtitle, the term ‘‘State’’ means each of the 50 

5 States, the District of Columbia, the Commonwealth 

6 of Puerto Rico, and each of the outlying areas. 

7 (22) STATE ADVISORY COUNCIL ON EARLY

8 CHILDHOOD EDUCATION AND CARE.—The term 

9 ‘‘State Advisory Council on Early Childhood Edu10 cation and Care’’ means the State Advisory Council 

11 on Early Childhood Education and Care established 

12 under section 642B(b) of the Head Start Act (42 

13 U.S.C. 9837b(b)). 

14 SEC. 113. PROGRAM AUTHORIZATION. 

15 From amounts made available to carry out this sub16 title, the Secretary, in consultation with the Secretary of 

17 Health and Human Services, shall award grants to States 

18 to implement high-quality prekindergarten programs, con19 sistent with the purposes of this subtitle described in sec20 tion 111. For each fiscal year, the funds provided under 

21 a grant by a State shall equal the allotment determined 

22 for the State under section 114. 


SSpencer on DSK4SPTVN1PROD with BILLS
18 

•HR 2721 IH

1 SEC. 114. ALLOTMENTS AND RESERVATIONS OF FUNDS. 

2 (a) RESERVATION.—From the amount made avail3 able each fiscal year to carry out this subtitle, the Sec4 retary shall— 

5 (1) reserve not less than 1 percent and not 

6 more than 2 percent for payments to Indian tribes 

7 and tribal organizations; 

(2) reserve 1 8 ⁄2 of 1 percent for the outlying 

9 areas to be distributed among the outlying areas on 

10 the basis of their relative need, as determined by the 

11 Secretary in accordance with the purposes of this 

12 subtitle; 

(3) reserve 1 13 ⁄2 of 1 percent for eligible local en14 tities that serve children in families who are engaged 

15 in migrant or seasonal agricultural labor; and 

16 (4) reserve not more than 1 percent or 

17 $30,000,000, whichever amount is less, for national 

18 activities, including administration, technical assist19 ance, and evaluation. 

20 (b) ALLOTMENTS.— 

21 (1) IN GENERAL.—From the amount made 

22 available each fiscal year to carry out this subtitle 

23 and not reserved under subsection (a), the Secretary 

24 shall make allotments to States in accordance with 

25 paragraph (2) that have submitted an approved ap26 plication. 


SSpencer on DSK4SPTVN1PROD with BILLS
19 

•HR 2721 IH

1 (2) ALLOTMENT AMOUNT.— 

2 (A) IN GENERAL.—Subject to subpara3 graph (B), the Secretary shall allot the amount 

4 made available under paragraph (1) for a fiscal 

5 year among the States in proportion to the 

6 number of children who are age 4 who reside 

7 within the State and are from families with in8 comes at or below 200 percent of the poverty 

9 line for the most recent year for which satisfac10 tory data are available, compared to the num11 ber of such children who reside in all such 

12 States for that fiscal year. 

13 (B) MINIMUM ALLOTMENT AMOUNT.—No 

14 State receiving an allotment under subparagraph (A) may receive less than 1 15 ⁄2 of 1 percent 

16 of the total amount allotted under such sub17 paragraph. 

18 (3) REALLOTMENT AND CARRY OVER.— 

19 (A) IN GENERAL.—If one or more States 

20 do not receive an allotment under this sub21 section for any fiscal year, the Secretary may 

22 use the amount of the allotment for that State 

23 or States, in such amounts as the Secretary de24 termines appropriate, for either or both of the 

25 following: 


SSpencer on DSK4SPTVN1PROD with BILLS
20 

•HR 2721 IH

1 (i) To increase the allotments of 

2 States with approved applications for the 

3 fiscal year, consistent with subparagraph 

4 (B). 

5 (ii) To carry over the funds to the 

6 next fiscal year. 

7 (B) REALLOTMENT.—In increasing allot8 ments under subparagraph (A)(i), the Secretary 

9 shall allot to each State with an approved appli10 cation an amount that bears the same relation11 ship to the total amount to be allotted under 

12 subparagraph (A)(i), as the amount the State 

13 received under paragraph (2) for that fiscal 

14 year bears to the amount that all States re15 ceived under paragraph (2) for that fiscal year. 

16 (4) STATE.—For purposes of this subsection, 

17 the term ‘‘State’’ means each of the 50 States, the 

18 District of Columbia, and the Commonwealth of 

19 Puerto Rico. 

20 (c) FLEXIBILITY.—The Secretary may make minimal 

21 adjustments to allotments under this subsection, which 

22 shall neither lead to a significant increase or decrease in 

23 a State’s allotment determined under subsection (b), based 

24 on a set of factors, such as the level of program participaVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00020 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
21 

•HR 2721 IH

1 tion and the estimated cost of the activities specified in 

2 the State plan under section 116(a)(2). 

3 SEC. 115. STATE ELIGIBILITY CRITERIA. 

4 A State is eligible to receive a grant under this sub5 title if the State demonstrates to the Secretary that the 

6 State— 

7 (1) has established or will establish early learn8 ing and development standards that describe what 

9 children from birth to kindergarten entry should 

10 know and be able to do, are universally designed and 

11 developmentally, culturally, and linguistically appro12 priate, are aligned with the State’s challenging aca13 demic content standards and challenging student 

14 academic achievement standards, as adopted under 

15 section 1111(b)(1) of the Elementary and Secondary 

16 Education Act of 1965 (20 U.S.C. 6311(b)(1)), and 

17 cover the essential domains of school readiness, 

18 which address— 

19 (A) physical well-being and motor develop20 ment; 

21 (B) social and emotional development; 

22 (C) approaches to learning, including cre23 ative arts expression; 

24 (D) developmentally appropriate oral and 

25 written language and literacy development; and 


SSpencer on DSK4SPTVN1PROD with BILLS
22 

•HR 2721 IH

1 (E) cognition and general knowledge, in2 cluding early mathematics and early scientific 

3 development; 

4 (2) has the ability or will develop the ability to 

5 link prekindergarten data with its elementary school 

6 and secondary school data for the purpose of col7 lecting longitudinal information for all children par8 ticipating in the State’s high-quality prekindergarten 

9 program and any other federally funded early child10 hood program that will remain with the child 

11 through the child’s public education through grade 

12 12; 

13 (3) offers State-funded kindergarten for chil14 dren who are eligible children for that service in the 

15 State; and 

16 (4) has established a State Advisory Council on 

17 Early Childhood Education and Care. 

18 SEC. 116. STATE APPLICATIONS. 

19 (a) IN GENERAL.—To receive a grant under this sub20 title, the Governor of a State, in consultation with the In21 dian tribes and tribal organizations in the State, if any, 

22 shall submit an application to the Secretary at such time, 

23 in such manner, and containing such information as the 

24 Secretary may reasonably require. At a minimum, each 

25 such application shall include— 


SSpencer on DSK4SPTVN1PROD with BILLS
23 

•HR 2721 IH

1 (1) an assurance that the State— 

2 (A) will coordinate with and continue to 

3 participate in the programs authorized under 

4 section 619 and part C of the Individuals with 

5 Disabilities Education Act (20 U.S.C. 1419 and 

6 1431 et seq.), the Child Care and Development 

7 Block Grant Act of 1990 (42 U.S.C. 9858 et 

8 seq.), and the maternal, infant, and early child9 hood home visiting programs funded under sec10 tion 511 of the Social Security Act (42 U.S.C. 

11 711) for the duration of the grant; 

12 (B) will designate a State-level entity (such 

13 as an agency or joint interagency office), se14 lected by the Governor, for the administration 

15 of the grant, which shall coordinate and consult 

16 with the State educational agency if the entity 

17 is not the State educational agency; and 

18 (C) will establish, or certify the existence 

19 of, program standards for all State prekinder20 garten programs consistent with the definition 

21 of a high-quality prekindergarten program 

22 under section 112; 

23 (2) a description of the State’s plan to— 

24 (A) use funds received under this subtitle 

25 and the State’s matching funds to provide highVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00023 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
24 

•HR 2721 IH

1 quality prekindergarten programs, in accord2 ance with section 117(d), with open enrollment 

3 for all children in the State who— 

4 (i) are described in section 112(9)(A); 

5 and 

6 (ii) are from families with incomes at 

7 or below 200 percent of the poverty line; 

8 (B) develop or enhance a system for moni9 toring eligible local entities that are receiving 

10 funds under this subtitle for compliance with 

11 quality standards developed by the State and to 

12 provide program improvement support, which 

13 may be accomplished through the use of a 

14 State-developed system for quality rating and 

15 improvement; 

16 (C) if applicable, expand participation in 

17 the State’s high-quality prekindergarten pro18 grams to children from families with incomes 

19 above 200 percent of the poverty line; 

20 (D) carry out the State’s comprehensive 

21 early learning assessment system, or how the 

22 State plans to develop such a system, ensuring 

23 that any assessments are culturally, develop24 mentally, and age-appropriate and consistent 

25 with the recommendations from the study on 


SSpencer on DSK4SPTVN1PROD with BILLS
25 

•HR 2721 IH

1 Developmental Outcomes and Assessments for 

2 Young Children by the National Academy of 

3 Sciences, consistent with section 649(j) of the 

4 Head Start Act (42 U.S.C. 9844); 

5 (E) develop, implement, and make publicly 

6 available the performance measures and targets 

7 described in section 119; 

8 (F) increase the number of teachers with 

9 bachelor’s degrees in early childhood education, 

10 or with bachelor’s degrees in another closely re11 lated field and specialized training in early 

12 childhood education, including how institutions 

13 of higher education will support increasing the 

14 number of teachers with such degrees and 

15 training, including through the use of assess16 ments of prior learning, knowledge, and skills 

17 to facilitate and expedite attainment of such de18 grees; 

19 (G) coordinate and integrate the activities 

20 funded under this subtitle with Federal, State, 

21 and local services and programs that support 

22 early childhood education and care, including 

23 programs supported under this subtitle, the El24 ementary and Secondary Education Act of 1965 

25 (20 U.S.C. 6301 et seq.), the Individuals with 


SSpencer on DSK4SPTVN1PROD with BILLS
26 

•HR 2721 IH

1 Disabilities Education Act (20 U.S.C. 1400 et 

2 seq.), the Head Start Act (42 U.S.C. 9831 et 

3 seq.), the Community Services Block Grant Act 

4 (42 U.S.C. 9901 et seq.), the Child Care and 

5 Development Block Grant Act of 1990 (42 

6 U.S.C. 9858 et seq.), the temporary assistance 

7 for needy families program under part A of title 

8 IV of the Social Security Act (42 U.S.C. 601 et 

9 seq.), the State incentive grant program under 

10 section 14006 of the American Recovery and 

11 Reinvestment Act of 2009 (Public Law 111–5), 

12 federally funded early literacy programs, the 

13 maternal, infant, and early childhood home vis14 iting programs funded under section 511 of the 

15 Social Security Act (42 U.S.C. 711), health im16 provements to child care funded under title 

17 XIX of the Social Security Act (42 U.S.C. 1396 

18 et seq.), the program under subtitle B of title 

19 VII of the McKinney-Vento Homeless Assist20 ance Act (42 U.S.C. 11431 et seq.), the Invest21 ing In Innovation program under section 14007 

22 of the American Recovery and Reinvestment 

23 Act of 2009 (Public Law 111–5), programs au24 thorized under part E of title IV of the Social 

25 Security Act (42 U.S.C. 670 et seq.), the FosVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00026 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
27 

•HR 2721 IH

1 tering Connections to Success and Increasing 

2 Adoptions Act of 2008 (Public Law 110–351), 

3 and any other Federal, State, or local early 

4 childhood education programs used in the 

5 State; 

6 (H) award subgrants to eligible local enti7 ties, and in awarding such subgrants, facilitate 

8 a delivery system of high-quality prekinder9 garten programs that includes diverse pro10 viders, such as providers in community-based, 

11 public school, and private settings, and consider 

12 the system’s impact on options for families; 

13 (I) in the case of a State that does not 

14 have a funding mechanism for subgranting 

15 funds to implement high-quality prekinder16 garten, use objective criteria in awarding sub17 grants to eligible local entities that will imple18 ment high-quality prekindergarten programs, 

19 including actions the State will take to ensure 

20 that eligible local entities will coordinate with 

21 local educational agencies or other early learn22 ing providers, as appropriate, to carry out ac23 tivities to provide children served under this 

24 subtitle with a successful transition from preVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00027 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
28 

•HR 2721 IH

1 school into kindergarten, which activities shall 

2 include— 

3 (i) aligning curricular objectives and 

4 instruction; 

5 (ii) providing staff professional devel6 opment, including opportunities for joint7 professional development on early learning 

8 and kindergarten through grade 3 stand9 ards, assessments, and curricula; 

10 (iii) coordinating family engagement 

11 and support services; and 

12 (iv) encouraging the shared use of fa13 cilities and transportation, as appropriate; 

14 (J) use the State early learning and devel15 opment standards described in section 115(1) 

16 to address the needs of dual language learners, 

17 including by incorporating benchmarks related 

18 to English language development; 

19 (K) identify barriers, and propose solutions 

20 to overcome such barriers, which may include 

21 seeking assistance under section 126, in the 

22 State to effectively use and integrate Federal, 

23 State, and local public funds and private funds 

24 for early childhood education that are available 


SSpencer on DSK4SPTVN1PROD with BILLS
29 

•HR 2721 IH

1 to the State on the date on which the applica2 tion is submitted; 

3 (L) support articulation agreements (as 

4 defined in section 486A of the Higher Edu5 cation Act of 1965 (20 U.S.C. 1093a)) between 

6 public 2-year and public 4-year institutions of 

7 higher education in the State for early child8 hood teacher preparation programs and related 

9 fields; 

10 (M) ensure that the higher education pro11 grams in the State have the capacity to prepare 

12 a workforce to provide high-quality prekinder13 garten programs; 

14 (N) support workforce development, in15 cluding State and local policies that support 

16 prekindergarten instructional staff’s ability to 

17 earn a degree, certification, or other specializa18 tions or qualifications, including policies on 

19 leave, substitutes, and child care services, in20 cluding non-traditional hour child care; 

21 (O) hold eligible local entities accountable 

22 for use of funds; 

23 (P) ensure that the State’s early learning 

24 and development standards are integrated into 

25 the instructional and programmatic practices of 


SSpencer on DSK4SPTVN1PROD with BILLS
30 

•HR 2721 IH

1 high-quality prekindergarten programs and re2 lated programs and services, such as those pro3 vided to children under section 619 and part C 

4 of the Individuals with Disabilities Education 

5 Act (20 U.S.C. 1419 and 1431 et seq.); 

6 (Q) increase the number of children in the 

7 State who are enrolled in high-quality kinder8 garten programs and carry out a strategy to 

9 implement such a plan; 

10 (R) coordinate the State’s activities sup11 ported by grants under this subtitle with activi12 ties in State plans required under the Elemen13 tary and Secondary Education Act of 1965 (20 

14 U.S.C. 6301 et seq.), the Individuals with Dis15 abilities Education Act (20 U.S.C. 1400 et 

16 seq.), the Head Start Act (42 U.S.C. 9831 et 

17 seq.), the Child Care and Development Block 

18 Grant Act of 1990 (42 U.S.C. 9858 et seq.), 

19 and the Adult Education and Family Literacy 

20 Act (20 U.S.C. 9201 et seq.); 

21 (S) encourage eligible local entities to co22 ordinate with community-based learning re23 sources, such as libraries, arts and arts edu24 cation programs, appropriate media programs, 

25 family literacy programs, public parks and 


SSpencer on DSK4SPTVN1PROD with BILLS
31 

•HR 2721 IH

1 recreation programs, museums, nutrition edu2 cation programs, and programs supported by 

3 the Corporation for National and Community 

4 Service; 

5 (T) work with eligible local entities, in con6 sultation with elementary school principals, to 

7 ensure that high-quality prekindergarten pro8 grams have sufficient facilities to meet the 

9 needs of children eligible for prekindergarten; 

10 (U) support local early childhood coordi11 nating entities, such as local early childhood 

12 councils, if applicable, and help such entities to 

13 coordinate early childhood education programs 

14 with high-quality prekindergarten programs to 

15 ensure effective and efficient delivery of early 

16 childhood education program services; 

17 (V) ensure that the provision of high-qual18 ity prekindergarten programs will not lead to a 

19 diminution of services for infants and toddlers 

20 or disrupt the care of infants and toddlers in 

21 the geographic area served by the eligible local 

22 entity, which may include demonstrating that 

23 the State will direct funds to provide high-qual24 ity early childhood education and care to inVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00031 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
32 

•HR 2721 IH

1 fants and toddlers in accordance with section 

2 117(d); and 

3 (W) ensure that all high-quality prekinder4 garten programs the State supports under this 

5 Act will conduct criminal history background 

6 checks that meet the requirements of subsection 

7 (b) on employees and applicants for employ8 ment with direct access to children; and 

9 (3) an inventory of the State’s higher education 

10 programs that prepare individuals for work in a 

11 high-quality prekindergarten program, including— 

12 (A) certification programs; 

13 (B) associate degree programs; 

14 (C) baccalaureate degree programs; 

15 (D) master’s degree programs; and 

16 (E) other programs that lead to a speciali17 zation in early childhood education, or a related 

18 field. 

19 (b) CRIMINAL HISTORY BACKGROUND CHECKS.— 

20 (1) IN GENERAL.—The criminal history back21 ground checks required under subsection (a)(2)(Z) 

22 shall include— 

23 (A) a search of the State criminal registry 

24 or repository in the State in which the employee 

25 resides and previously resided; 


SSpencer on DSK4SPTVN1PROD with BILLS
33 

•HR 2721 IH

1 (B) a search of the State-based child abuse 

2 and neglect registries and databases in the 

3 State in which the employee resides and pre4 viously resided; 

5 (C) a Federal Bureau of Investigation fin6 gerprint check using the Integrated Automated 

7 Fingerprint Identification System; and 

8 (D) a search of the National Sex Offender 

9 Registry established under section 119 of the 

10 Adam Walsh Child Protection and Safety Act of 

11 2006 (42 U.S.C. 16919). 

12 (2) PROHIBITION OF EMPLOYMENT.—To be eli13 gible to receive a grant under this subtitle, a State 

14 shall prohibit an individual with direct access to chil15 dren from employment with a program supported 

16 with grant funds under this subtitle if the individual 

17 has been convicted of a violent felony or any violent 

18 or sexual crime against a minor, as defined by the 

19 State. 

20 (3) UPDATED CHECKS.—To be eligible to re21 ceive a grant under this subtitle, each criminal his22 tory background check conducted on an employee as 

23 required under subsection (a)(2)(Z) shall be periodi24 cally repeated or updated in accordance with State 

25 law. 


SSpencer on DSK4SPTVN1PROD with BILLS
34 

•HR 2721 IH

1 (4) APPEAL PROCESS.—To be eligible to receive 

2 a grant under this subtitle, a State shall provide an 

3 individual with a timely process by which to— 

4 (A) appeal the results of a criminal history 

5 background check conducted under this section 

6 to challenge the accuracy or completeness of the 

7 information produced by such background 

8 check; and 

9 (B) seek appropriate relief for any final 

10 employment decision based on materially inac11 curate or incomplete information produced by 

12 such background check. 

13 (c) DEVELOPMENT OF APPLICATION.—In developing 

14 an application for a grant under this subtitle, a State shall 

15 consult with the State Advisory Council on Early Child16 hood Education and Care and incorporate such Council’s 

17 recommendations, where applicable. 

18 (d) CONSTRUCTION.—Nothing in this section shall be 

19 construed to alter or otherwise affect the rights, remedies, 

20 and procedures afforded school employees, local edu21 cational agency employees, and the employees of early 

22 childhood education programs under Federal, State, or 

23 local laws (including applicable regulations or court or24 ders) or under the terms of collective bargaining agreeVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00034 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
35 

•HR 2721 IH

1 ments, memoranda of understanding, or other agreements 

2 between such employees and their employers. 

3 SEC. 117. STATE USE OF FUNDS. 

4 (a) RESERVATION FOR QUALITY IMPROVEMENT AC5 TIVITIES.— 

6 (1) IN GENERAL.—A State that receives a 

7 grant under this subtitle may reserve for, not more 

8 than the first 4 years such State receives such a 

9 grant, not more than 20 percent of the grant funds 

10 for quality improvement activities if such activities 

11 support the elements of high-quality prekindergarten 

12 programs. Such quality improvement activities may 

13 include supporting teachers and principals in a 

14 State’s high-quality prekindergarten program, li15 censed or regulated child care, or Head Start pro16 grams to enable such teachers to earn a bacca17 laureate degree in early childhood education, or 

18 closely related field, through activities which may in19 clude— 

20 (A) expanding or establishing scholarships, 

21 counseling, and compensation initiatives to 

22 cover the cost of tuition, fees, materials, trans23 portation, and release time for such teachers; 

24 and 


SSpencer on DSK4SPTVN1PROD with BILLS
36 

•HR 2721 IH

1 (B) providing ongoing professional develop2 ment opportunities, including regular in-class3 room observation by individuals trained in such 

4 observation, for such teachers, principals, and 

5 teachers assistants to enable such teachers, 

6 principals, and teachers assistants to carry out 

7 the elements of high-quality prekindergarten 

8 programs, which may include activities that ad9 dress— 

10 (i) promoting children’s development 

11 across the essential domains of early learn12 ing and development; 

13 (ii) developmentally appropriate teach14 er-child interaction; 

15 (iii) effective family engagement; 

16 (iv) providing culturally competent in17 struction; 

18 (v) working with a diversity of chil19 dren and families, including children with 

20 special needs and dual language learners; 

21 (vi) childhood nutrition and physical 

22 education programs; and 

23 (vii) supporting the implementation of 

24 evidence-based curricula. 


SSpencer on DSK4SPTVN1PROD with BILLS
37 

•HR 2721 IH

1 (2) NOT SUBJECT TO MATCHING.—The amount 

2 reserved under paragraph (1) shall not be subject to 

3 the matching requirements under section 120. 

4 (3) COORDINATION.—A State that reserves an 

5 amount under paragraph (1) shall coordinate the 

6 use of such amount with activities funded under sec7 tion 658G of the Child Care and Development Block 

8 Grant Act of 1990 (42 U.S.C. 9858e) and the Head 

9 Start Act (42 U.S.C. 9831 et seq.). 

10 (4) CONSTRUCTION.—A State may not use 

11 funds reserved under this subsection to meet the re12 quirement described in section 112(9)(G). 

13 (b) SUBGRANTS FOR HIGH-QUALITY PREKINDER14 GARTEN PROGRAMS.—A State that receives a grant under 

15 this subtitle shall award subgrants of sufficient size to eli16 gible local entities to enable such eligible local entities to 

17 implement high-quality prekindergarten programs for chil18 dren who— 

19 (1) are described in section 112(9)(A); 

20 (2) reside within the State; and 

21 (3) are from families with incomes at or below 

22 200 percent of the poverty line. 

23 (c) ADMINISTRATION.—A State that receives a grant 

24 under this subtitle may reserve not more than 1 percent 

25 of the grant funds for administration of the grant, and 


SSpencer on DSK4SPTVN1PROD with BILLS
38 

•HR 2721 IH

1 may use part of that reservation for the maintenance of 

2 the State Advisory Council on Early Childhood Education 

3 and Care. 

4 (d) EARLY CHILDHOOD EDUCATION AND CARE PRO5 GRAMS FOR INFANTS AND TODDLERS.— 

6 (1) USE OF ALLOTMENT FOR INFANTS AND

7 TODDLERS.—An eligible State may apply to use, and 

8 the appropriate Secretary may grant permission for 

9 the State to use, not more than 15 percent of the 

10 funds made available through a grant received under 

11 this subtitle to award subgrants to early childhood 

12 education programs to provide, consistent with the 

13 State’s early learning and development guidelines for 

14 infants and toddlers, high-quality early childhood 

15 education and care to infants and toddlers who re16 side within the State and are from families with in17 comes at or below 200 percent of the poverty line. 

18 (2) APPLICATION.—To be eligible to use the 

19 grant funds as described in paragraph (1), the State 

20 shall submit an application to the appropriate Sec21 retary at such time, in such manner, and containing 

22 such information as the Secretary may require. Such 

23 application shall, at a minimum, include a descrip24 tion of how the State will— 


SSpencer on DSK4SPTVN1PROD with BILLS
39 

•HR 2721 IH

1 (A) designate a lead agency which shall ad2 minister such funds; 

3 (B) ensure that such lead agency, in co4 ordination with the State’s Advisory Council on 

5 Early Childhood Education and Care, will col6 laborate with other agencies in administering 

7 programs supported under this subsection for 

8 infants and toddlers in order to obtain input 

9 about the appropriate use of such funds and en10 sure coordination with programs for infants and 

11 toddlers funded under the Child Care and De12 velopment Block Grant Act of 1990 (42 U.S.C. 

13 9858 et seq.), the Head Start Act (42 U.S.C. 

14 9831 et seq.) (including any Early Learning 

15 Quality Partnerships established in the State 

16 under section 645B of the Head Start Act, as 

17 added by section 202), the Race to the Top and 

18 Early Learning Challenge program under sec19 tion 14006 of Public Law 111–5 (123 Stat. 

20 283), the maternal, infant, and early childhood 

21 home visiting programs funded under section 

22 511 of the Social Security Act (42 U.S.C. 711), 

23 and part C of the Individuals with Disabilities 

24 Education Act (20 U.S.C. 1431 et seq.); 


SSpencer on DSK4SPTVN1PROD with BILLS
40 

•HR 2721 IH

1 (C) ensure that infants and toddlers who 

2 benefit from amounts made available under this 

3 subsection will transition to and have the oppor4 tunity to participate in a high-quality pre5 kindergarten program supported under this 

6 subtitle; 

7 (D) in awarding subgrants, give preference 

8 to early childhood education programs that 

9 have a plan to increase services to children with 

10 special needs, including children with develop11 mental delays or disabilities, children who are 

12 dual language learners, homeless children, chil13 dren who are in foster care, children of migrant 

14 families, children eligible for free or reduced15 price lunch under the Richard B. Russell Na16 tional School Lunch Act (42 U.S.C. 1751 et 

17 seq.), or children in the child welfare system; 

18 and 

19 (E) give priority to activities carried out 

20 under this subsection that will increase access 

21 to high-quality early childhood education pro22 grams for infants and toddlers in local areas 

23 with significant concentrations of low-income 

24 families that do not currently benefit from such 

25 programs. 


SSpencer on DSK4SPTVN1PROD with BILLS
41 

•HR 2721 IH

1 (3) ELIGIBLE PROVIDERS.—A State may use 

2 the grant funds as described in paragraph (1) to 

3 serve infants and toddlers only by working with 

4 early childhood education program providers that— 

5 (A) offer full-day, full-year care, or other6 wise meet the needs of working families; and 

7 (B) meet high-quality standards, such as— 

8 (i) Early Head Start program per9 formance standards under the Head Start 

10 Act (42 U.S.C. 9831 et seq.); or 

11 (ii) high quality, demonstrated, valid, 

12 and reliable program standards that have 

13 been established through a national entity 

14 that accredits early childhood education 

15 programs. 

16 (4) FEDERAL ADMINISTRATION.— 

17 (A) IN GENERAL.—The Secretary of Edu18 cation shall bear responsibility for obligating 

19 and disbursing funds to support activities under 

20 this subsection and ensuring compliance with 

21 applicable laws and administrative require22 ments, subject to paragraph (3). 

23 (B) INTERAGENCY AGREEMENT.—The Sec24 retary of Education and the Secretary of 

25 Health and Human Services shall jointly adVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00041 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
42 

•HR 2721 IH

1 minister activities supported under this sub2 section on such terms as such Secretaries shall 

3 set forth in an interagency agreement. The Sec4 retary of Health and Human Services shall be 

5 responsible for any final approval of a State’s 

6 application under this subsection that addresses 

7 the use of funds designated for services to in8 fants and toddlers. 

9 (C) APPROPRIATE SECRETARY.—In this 

10 subsection, the term ‘‘appropriate Secretary’’ 

11 used with respect to a function, means the Sec12 retary designated for that function under the 

13 interagency agreement. 

14 SEC. 118. ADDITIONAL PREKINDERGARTEN SERVICES. 

15 (a) PREKINDERGARTEN FOR 3-YEAR-OLDS.—Each 

16 State that certifies to the Secretary that the State pro17 vides universally available, voluntary, high-quality pre18 kindergarten programs for 4-year-old children who reside 

19 within the State and are from families with incomes at 

20 or below 200 percent of the poverty line may use the 

21 State’s allocation under section 114(b) to provide high22 quality prekindergarten programs for 3-year-old children 

23 who reside within the State and are from families with 

24 incomes at or below 200 percent of the poverty line. 


SSpencer on DSK4SPTVN1PROD with BILLS
43 

•HR 2721 IH

1 (b) SUBGRANTS.—In each State that has a city, 

2 county, or local educational agency that provides univer3 sally available high-quality prekindergarten programs for 

4 4-year-old children who reside within the State and are 

5 from families with incomes at or below 200 percent of the 

6 poverty line the State may use amounts from the State’s 

7 allocation under section 114(b) to award subgrants to eli8 gible local entities to enable such eligible local entities to 

9 provide high-quality prekindergarten programs for 3-year10 old children who are from families with incomes at or 

11 below 200 percent of the poverty line and who reside in 

12 such city, county or local educational agency. 

13 SEC. 119. PERFORMANCE MEASURES AND TARGETS. 

14 (a) IN GENERAL.—A State that receives a grant 

15 under this subtitle shall develop, implement, and make 

16 publicly available the performance measures and targets 

17 for the activities carried out with grant funds. Such meas18 ures shall, at a minimum, track the State’s progress in— 

19 (1) increasing school readiness across all do20 mains for all categories of children, as described in 

21 section 123(b)(7), including children with disabilities 

22 and dual language learners; 

23 (2) narrowing school readiness gaps between 

24 minority and nonminority children, and low-income 


SSpencer on DSK4SPTVN1PROD with BILLS
44 

•HR 2721 IH

1 children and more advantaged children, in prepara2 tion for kindergarten entry; 

3 (3) decreasing placement for children in ele4 mentary school in special education programs and 

5 services as described in part B of the Individuals 

6 with Disabilities Education Act (20 U.S.C. 1411 et 

7 seq.); 

8 (4) increasing the number of programs meeting 

9 the criteria for high-quality prekindergarten pro10 grams, as defined by the State and in accordance 

11 with section 112; 

12 (5) decreasing the need for grade-to-grade re13 tention in elementary school; 

14 (6) if applicable, ensuring that high-quality pre15 kindergarten programs do not experience instances 

16 of chronic absence among the children who partici17 pate in such programs; 

18 (7) increasing the number and percentage of 

19 low-income children in high-quality early childhood 

20 education programs that receive financial support 

21 through funds provided under this subtitle; and 

22 (8) providing high-quality nutrition services, 

23 nutrition education, physical activity, and obesity 

24 prevention programs. 


SSpencer on DSK4SPTVN1PROD with BILLS
45 

•HR 2721 IH

1 (b) PROHIBITION OF MISDIAGNOSIS PRACTICES.—A 

2 State shall not, in order to meet the performance meas3 ures and targets described in subsection (a), engage in 

4 practices or policies that will lead to the misdiagnosis or 

5 under-diagnosis of disabilities or developmental delays 

6 among children who are served through programs sup7 ported under this subtitle. 

8 SEC. 120. MATCHING REQUIREMENTS. 

9 (a) MATCHING FUNDS.— 

10 (1) IN GENERAL.—Except as provided in para11 graph (2), a State that receives a grant under this 

12 subtitle shall provide matching funds from non-Fed13 eral sources, as described in subsection (c), in an 

14 amount equal to— 

15 (A) 10 percent of the Federal funds pro16 vided under the grant in the first year of grant 

17 administration; 

18 (B) 10 percent of the Federal funds pro19 vided under the grant in the second year of 

20 grant administration; 

21 (C) 20 percent of the Federal funds pro22 vided under the grant in the third year of grant 

23 administration; 


SSpencer on DSK4SPTVN1PROD with BILLS
46 

•HR 2721 IH

1 (D) 30 percent of the Federal funds pro2 vided under the grant in the fourth year of 

3 grant administration; 

4 (E) 40 percent of the Federal funds pro5 vided under the grant in the fifth year of grant 

6 administration; 

7 (F) 50 percent of the Federal funds pro8 vided under the grant in the sixth year of grant 

9 administration; 

10 (G) 75 percent of the Federal funds pro11 vided under the grant in the seventh year of 

12 grant administration; and 

13 (H) 100 percent of the Federal funds pro14 vided under the grant in the eighth and fol15 lowing years of grant administration. 

16 (2) REDUCED MATCH RATE.—A State that 

17 meets the requirements under subsection (b) may 

18 provide matching funds from non-Federal sources at 

19 a reduced rate. The full reduced matching funds 

20 rate shall be in an amount equal to— 

21 (A) 5 percent of the Federal funds pro22 vided under the grant in the first year of grant 

23 administration; 


SSpencer on DSK4SPTVN1PROD with BILLS
47 

•HR 2721 IH

1 (B) 5 percent of the Federal funds pro2 vided under the grant in the second year of 

3 grant administration; 

4 (C) 10 percent of the Federal funds pro5 vided under the grant in the third year of grant 

6 administration; 

7 (D) 20 percent of the Federal funds pro8 vided under the grant in the fourth year of 

9 grant administration; 

10 (E) 30 percent of the Federal funds pro11 vided under the grant in the fifth year of grant 

12 administration; 

13 (F) 40 percent of the Federal funds pro14 vided under the grant in the sixth year of grant 

15 administration; 

16 (G) 50 percent of the Federal funds pro17 vided under the grant in the seventh year of 

18 grant administration; 

19 (H) 75 percent of the Federal funds pro20 vided under the grant in the eighth year of 

21 grant administration; and 

22 (I) 100 percent of the Federal funds pro23 vided under the grant in the ninth and fol24 lowing years of the grant administration. 


SSpencer on DSK4SPTVN1PROD with BILLS
48 

•HR 2721 IH

1 (b) REDUCED MATCH RATE ELIGIBILITY.—A State 

2 that receives a grant under this subtitle may provide 

3 matching funds from non-Federal sources at the full re4 duced rate under subsection (a)(2) if the State— 

5 (1)(A) offers enrollment in high-quality pre6 kindergarten programs to not less than half of chil7 dren in the State who are— 

8 (i) age 4 on the eligibility determination 

9 date; and 

10 (ii) from families with incomes at or below 

11 200 percent of the poverty line; and 

12 (B) has a plan for continuing to expand access 

13 to high-quality prekindergarten programs for such 

14 children in the State; and 

15 (2) has a plan to expand access to high-quality 

16 prekindergarten programs to children from moderate 

17 income families whose income exceeds 200 percent of 

18 the poverty line. 

19 (c) NON-FEDERAL RESOURCES.— 

20 (1) IN CASH.—A State shall provide the match21 ing funds under this section in cash. 

22 (2) FUNDS TO BE CONSIDERED AS MATCHING

23 FUNDS.—A State may include, as part of the State’s 

24 matching funds under this section, not more than 10 

25 percent of the amount of State funds designated for 


SSpencer on DSK4SPTVN1PROD with BILLS
49 

•HR 2721 IH

1 State prekindergarten programs or to supplement 

2 Head Start programs under the Head Start Act (42 

3 U.S.C. 9831 et seq.) as of the date of enactment of 

4 this Act, but may not include any funds that are at5 tributed as matching funds, as part of a non-Federal 

6 share, or as a maintenance of effort requirement, for 

7 any other Federal program. 

8 (d) MAINTENANCE OF EFFORT.— 

9 (1) IN GENERAL.—If a State reduces its com10 bined fiscal effort per student or the aggregate ex11 penditures within the State to support early child12 hood education programs for any fiscal year that a 

13 State receives a grant authorized under this subtitle 

14 relative to the previous fiscal year, the Secretary 

15 shall reduce support for such State under this sub16 title by the same amount as the decline in State and 

17 local effort for such fiscal year. 

18 (2) WAIVER.—The Secretary may waive the re19 quirements of paragraph (1) if— 

20 (A) the Secretary determines that a waiver 

21 would be appropriate due to a precipitous de22 cline in the financial resources of a State as a 

23 result of unforeseen economic hardship or a 

24 natural disaster that has necessitated acrossVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00049 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
50 

•HR 2721 IH

1 the-board reductions in State services, including 

2 early childhood education programs; or 

3 (B) due to the circumstances of a State re4 quiring reductions in specific programs, includ5 ing early childhood education, if the State pre6 sents to the Secretary a justification and dem7 onstration why other programs could not be re8 duced and how early childhood programs in the 

9 State will not be disproportionately harmed by 

10 such State action. 

11 (e) SUPPLEMENT NOT SUPPLANT.—Grant funds re12 ceived under this title shall be used to supplement and 

13 not supplant other Federal, State, and local public funds 

14 expended on public prekindergarten programs in the 

15 State. 

16 SEC. 121. ELIGIBLE LOCAL ENTITY APPLICATIONS. 

17 (a) IN GENERAL.—An eligible local entity desiring to 

18 receive a subgrant under section 117(b) shall submit an 

19 application to the State, at such time, in such manner, 

20 and containing such information as the State may reason21 ably require. 

22 (b) CONTENTS.—Each application submitted under 

23 subsection (a) shall include the following: 

24 (1) PARENT AND FAMILY ENGAGEMENT.—A de25 scription of how the eligible local entity plans to enVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00050 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
51 

•HR 2721 IH

1 gage the parents and families of the children such 

2 entity serves and ensure that parents and families of 

3 eligible children are aware of the services provided 

4 by the eligible local entity, which shall include a plan 

5 to— 

6 (A) carry out meaningful parent and fam7 ily engagement, through the implementation 

8 and replication of evidence-based or promising 

9 practices and strategies, which shall be coordi10 nated with parent and family engagement strat11 egies supported under the Individuals with Dis12 abilities Education Act (20 U.S.C. 1400 et seq.) 

13 and part A of title I and title V of the Elemen14 tary and Secondary Education Act of 1965 (20 

15 U.S.C. 6311 et seq. and 7201 et seq.), if appli16 cable, to— 

17 (i) provide parents and family mem18 bers with the skills and opportunities nec19 essary to become full partners in their chil20 dren’s education, particularly the families 

21 of dual language learners and children 

22 with disabilities; 

23 (ii) improve child development; and 


SSpencer on DSK4SPTVN1PROD with BILLS
52 

•HR 2721 IH

1 (iii) strengthen relationships among 

2 prekindergarten staff and parents and 

3 family members; and 

4 (B) perform community outreach to en5 courage families with eligible children to partici6 pate in the eligible local entity’s high-quality 

7 prekindergarten program, including— 

8 (i) homeless children; 

9 (ii) dual language learners; 

10 (iii) children in foster care; 

11 (iv) children with disabilities; and 

12 (v) migrant children. 

13 (2) COORDINATION AND ALIGNMENT.—A de14 scription of how the eligible local entity will— 

15 (A) coordinate, if applicable, the eligible 

16 local entity’s activities with— 

17 (i) Head Start agencies (consistent 

18 with section 642(e)(5) of the Head Start 

19 Act (42 U.S.C. 9837(e)(5))), if the local 

20 entity is not a Head Start agency; 

21 (ii) local educational agencies, if the 

22 eligible local entity is not a local edu23 cational agency; 


SSpencer on DSK4SPTVN1PROD with BILLS
53 

•HR 2721 IH

1 (iii) providers of services under part C 

2 of the Individuals with Disabilities Edu3 cation Act (20 U.S.C. 1431 et seq.); 

4 (iv) programs carried out under sec5 tion 619 of the Individuals with Disabil6 ities Education Act (20 U.S.C. 1419); and 

7 (v) if feasible, other entities carrying 

8 out early childhood education programs 

9 and services within the area served by the 

10 local educational agency; 

11 (B) if applicable, develop and implement a 

12 systematic procedure for transferring, with pa13 rental consent, early childhood education pro14 gram records for each participating child to the 

15 school in which such child will enroll in kinder16 garten; 

17 (C) develop a plan to promote continuity of 

18 developmentally appropriate instructional pro19 grams and shared expectations with local ele20 mentary schools for children’s learning and de21 velopment as children transition to kinder22 garten; 

23 (D) organize, if feasible, and participate in 

24 joint training, when available, including transiVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00053 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
54 

•HR 2721 IH

1 tion-related training for school staff and early 

2 childhood education program staff; 

3 (E) establish comprehensive transition poli4 cies and procedures, with applicable elementary 

5 schools and principals, for the children served 

6 by the eligible local entity that support the 

7 school readiness of children transitioning to kin8 dergarten; 

9 (F) conduct outreach to parents, families, 

10 and elementary school teachers and principals 

11 to discuss the educational, developmental, and 

12 other needs of children entering kindergarten; 

13 (G) help parents, including parents of chil14 dren who are dual language learners, under15 stand and engage with the instructional and 

16 other services provided by the kindergarten in 

17 which such child will enroll after participation 

18 in a high-quality prekindergarten program; and 

19 (H) develop and implement a system to in20 crease program participation of underserved 

21 populations of eligible children, especially home22 less children, children eligible for a free or re23 duced-price lunch under the Richard B. Russell 

24 National School Lunch Act (42 U.S.C. 1751 et 

25 seq.), parents of children who are dual language 


SSpencer on DSK4SPTVN1PROD with BILLS
55 

•HR 2721 IH

1 learners, and parents of children with disabil2 ities. 

3 (3) PROTECTIONS FOR SPECIAL POPU4 LATIONS.—A description of how the eligible local en5 tity will meet the diverse needs of children in the 

6 community to be served, including children with dis7 abilities, children whose native language is not 

8 English, children with other special needs, children 

9 in the State foster care system, and homeless chil10 dren. Such description shall demonstrate, at a min11 imum, how the entity plans to— 

12 (A) ensure the eligible local entity’s high13 quality prekindergarten program is accessible 

14 and appropriate for children with disabilities 

15 and dual language learners; 

16 (B) establish effective procedures for pro17 viding necessary early intervening services to 

18 children with disabilities prior to an eligibility 

19 determination by the State or local agency re20 sponsible for providing services under section 

21 619 or part C of the Individuals with Disabil22 ities Education Act (20 U.S.C. 1419 and 1431 

23 et seq.); 

24 (C) establish effective procedures for time25 ly referral of children with disabilities to the 


SSpencer on DSK4SPTVN1PROD with BILLS
56 

•HR 2721 IH

1 State or local agency described in subparagraph 

2 (B); 

3 (D) ensure that the eligible local entity’s 

4 high-quality prekindergarten program works 

5 with appropriate entities to address the elimi6 nation of barriers to immediate and continuous 

7 enrollment for homeless children; and 

8 (E) ensure access to and continuity of en9 rollment in high-quality prekindergarten pro10 grams for migratory children, if applicable, and 

11 homeless children, including through policies 

12 and procedures that require— 

13 (i) outreach to identify migratory chil14 dren and homeless children; 

15 (ii) immediate enrollment, including 

16 enrollment during the period of time when 

17 documents typically required for enroll18 ment, including health and immunization 

19 records, proof of eligibility, and other docu20 ments, are obtained; 

21 (iii) continuous enrollment and par22 ticipation in the same high-quality pre23 kindergarten program for a child, even if 

24 the child moves out of the program’s serv25 ice area, if that enrollment and participaVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00056 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
57 

•HR 2721 IH

1 tion are in the child’s best interest, includ2 ing by providing transportation when nec3 essary; 

4 (iv) professional development for high5 quality prekindergarten program staff re6 garding migratory children and homeless7 ness among families with young children; 

8 and 

9 (v) in serving homeless children, col10 laboration with local educational agency li11 aisons designated under section 

12 722(g)(1)(J)(ii) of the McKinney-Vento 

13 Homeless Assistance Act (42 U.S.C. 

14 11432(g)(1)(J)(ii)), and local homeless 

15 service providers. 

16 (4) ACCESSIBLE COMPREHENSIVE SERVICES.— 

17 A description of how the eligible local entity plans to 

18 provide accessible comprehensive services, described 

19 in section 112(9)(I), to the children the eligible local 

20 entity serves. Such description shall provide informa21 tion on how the entity will— 

22 (A) conduct a data-driven community as23 sessment in coordination with members of the 

24 community, including parents and community 


SSpencer on DSK4SPTVN1PROD with BILLS
58 

•HR 2721 IH

1 organizations, or use a recently conducted data2 driven assessment, which— 

3 (i) may involve an external partner 

4 with expertise in conducting such needs 

5 analysis, to determine the most appro6 priate social or other support services to 

7 offer through the eligible local entity’s on8 site comprehensive services to children who 

9 participate in high-quality prekindergarten 

10 programs; and 

11 (ii) shall consider the resources avail12 able at the school, local educational agen13 cy, and community levels to address the 

14 needs of the community and improve child 

15 outcomes; and 

16 (B) have a coordinated system to facilitate 

17 the screening, referral, and provision of services 

18 related to health, nutrition, mental health, dis19 ability, and family support for children served 

20 by the eligible local entity. 

21 (5) WORKFORCE.—A description of how the eli22 gible local entity plans to support the instructional 

23 staff of such entity’s high-quality prekindergarten 

24 program, which shall, at a minimum, include a plan 

25 to provide high-quality professional development, or 


SSpencer on DSK4SPTVN1PROD with BILLS
59 

•HR 2721 IH

1 facilitate the provision of high-quality professional 

2 development through an external partner with exper3 tise and a demonstrated track record of success, 

4 based on scientifically valid research, that will im5 prove the knowledge and skills of high-quality pre6 kindergarten teachers and staff through activities, 

7 which may include— 

8 (A) acquiring content knowledge and learn9 ing teaching strategies needed to provide effec10 tive instruction that addresses the State’s early 

11 learning and development standards described 

12 under section 115(1); 

13 (B) enabling high-quality prekindergarten 

14 teachers and staff to pursue specialized training 

15 in early childhood development; 

16 (C) enabling high-quality prekindergarten 

17 teachers and staff to acquire the knowledge and 

18 skills to provide instruction and appropriate 

19 language and support services to increase the 

20 English language skills of dual language learn21 ers; 

22 (D) enabling high-quality prekindergarten 

23 teachers and staff to acquire the knowledge and 

24 skills to provide developmentally appropriate in25 struction for children with disabilities; 


SSpencer on DSK4SPTVN1PROD with BILLS
60 

•HR 2721 IH

1 (E) promoting classroom management; 

2 (F) providing high-quality induction and 

3 support for incoming high-quality prekinder4 garten teachers and staff in high-quality pre5 kindergarten programs, including through the 

6 use of mentoring programs that have a dem7 onstrated track record of success; 

8 (G) promoting the acquisition of relevant 

9 credentials, including in ways that support ca10 reer advancement through career ladders; and 

11 (H) enabling high-quality prekindergarten 

12 teachers and staff to acquire the knowledge and 

13 skills to provide culturally competent instruc14 tion for children from diverse backgrounds. 

15 SEC. 122. REQUIRED SUBGRANT ACTIVITIES. 

16 (a) IN GENERAL.—An eligible local entity that re17 ceives a subgrant under section 117(b) shall use subgrant 

18 funds to implement the elements of a high-quality pre19 kindergarten program for the children described in section 

20 117(b). 

21 (b) COORDINATION.— 

22 (1) LOCAL EDUCATIONAL AGENCY PARTNER23 SHIPS WITH LOCAL EARLY CHILDHOOD EDUCATION

24 PROGRAMS.—A local educational agency that re25 ceives a subgrant under this subtitle shall provide an 


SSpencer on DSK4SPTVN1PROD with BILLS
61 

•HR 2721 IH

1 assurance that the local educational agency will 

2 enter into strong partnerships with local early child3 hood education programs, including programs sup4 ported through the Head Start Act (42 U.S.C. 9831 

5 et seq.). 

6 (2) ELIGIBLE LOCAL ENTITIES THAT ARE NOT

7 LOCAL EDUCATIONAL AGENCIES.—An eligible local 

8 entity that is not a local educational agency that re9 ceives a subgrant under this subtitle shall provide an 

10 assurance that such entity will enter into strong 

11 partnerships with local educational agencies. 

12 SEC. 123. REPORT AND EVALUATION. 

13 (a) IN GENERAL.—Each State that receives a grant 

14 under this subtitle shall prepare an annual report, in such 

15 manner and containing such information as the Secretary 

16 may reasonably require. 

17 (b) CONTENTS.—A report prepared under subsection 

18 (a) shall contain, at a minimum— 

19 (1) a description of the manner in which the 

20 State has used the funds made available through the 

21 grant and a report of the expenditures made with 

22 the funds; 

23 (2) a summary of the State’s progress toward 

24 providing access to high-quality prekindergarten pro25 grams for children eligible for such services, as deVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00061 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
62 

•HR 2721 IH

1 termined by the State, from families with incomes at 

2 or below 200 percent of the poverty line, including 

3 the percentage of funds spent on children from fami4 lies with incomes— 

5 (A) at or below 100 percent of the poverty 

6 line; 

7 (B) at or below between 101 and 150 per8 cent of the poverty line; and 

9 (C) at or below between 151 and 200 per10 cent of the poverty line; 

11 (3) an evaluation of the State’s progress toward 

12 achieving the State’s performance targets, described 

13 in section 119; 

14 (4) data on the number of high-quality pre15 kindergarten program teachers and staff in the 

16 State (including teacher turnover rates and teacher 

17 compensation levels compared to teachers in elemen18 tary schools and secondary schools), according to the 

19 setting in which such teachers and staff work (which 

20 settings shall include, at a minimum, Head Start 

21 programs, public prekindergarten, and child care 

22 programs) who received training or education during 

23 the period of the grant and remained in the early 

24 childhood education program field; 


SSpencer on DSK4SPTVN1PROD with BILLS
63 

•HR 2721 IH

1 (5) data on the kindergarten readiness of chil2 dren in the State; 

3 (6) a description of the State’s progress in over4 coming barriers to the effective use of Federal, 

5 State, and local public funds and private funds, for 

6 early childhood education; 

7 (7) the number and percentage of children in 

8 the State participating in high-quality prekinder9 garten programs, disaggregated by race, ethnicity, 

10 family income, child age, disability, whether the chil11 dren are homeless children, and whether the children 

12 are dual language learners; 

13 (8) data on the availability, affordability, and 

14 quality of infant and toddler care in the State; 

15 (9) the number of operational minutes per week 

16 and per year for each eligible local entity that re17 ceives a subgrant; 

18 (10) the local educational agency and ZIP code 

19 in which each eligible local entity that receives a 

20 subgrant operates; 

21 (11) information, for each of the local edu22 cational agencies described in paragraph (10), on 

23 the percentage of the costs of the public early child24 hood education programs that is funded from FedVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00063 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
64 

•HR 2721 IH

1 eral, from State, and from local sources, including 

2 the percentages from specific funding programs; 

3 (12) data on the number and percentage of 

4 children in the State participating in public kinder5 garten programs, disaggregated by race, family in6 come, child age, disability, whether the children are 

7 homeless children, and whether the children are dual 

8 language learners, with information on whether such 

9 programs are offered— 

10 (A) for a full-day; and 

11 (B) at no cost to families; and 

12 (13) data on the number of individuals in the 

13 State who are supported with scholarships, if appli14 cable, to meet the baccalaureate degree requirement 

15 for high-quality prekindergarten programs, as de16 fined in section 112. 

17 (c) SUBMISSION.—A State shall submit the annual 

18 report prepared under subsection (a), at the end of each 

19 fiscal year, to the Secretary, the Secretary of Health and 

20 Human Services, and the State Advisory Council on Early 

21 Childhood Education and Care. 

22 (d) COOPERATION.—An eligible local entity that re23 ceives a subgrant under this subtitle shall cooperate with 

24 all Federal and State efforts to evaluate the effectiveness 

25 of the program the entity implements with subgrant funds. 


SSpencer on DSK4SPTVN1PROD with BILLS
65 

•HR 2721 IH

1 (e) NATIONAL REPORT.—The Secretary shall compile 

2 and summarize the annual State reports described under 

3 subsection (c) and shall prepare and submit an annual re4 port to Congress that includes a summary of such State 

5 reports. 

6 SEC. 124. PROHIBITION OF REQUIRED PARTICIPATION OR 

7 USE OF FUNDS FOR ASSESSMENTS. 

8 (a) PROHIBITION ON REQUIRED PARTICIPATION.—A 

9 State receiving a grant under this subtitle shall not re10 quire any child to participate in any Federal, State, local, 

11 or private early childhood education program, including a 

12 high-quality prekindergarten program. 

13 (b) PROHIBITION ON USE OF FUNDS FOR ASSESS14 MENT.—A State receiving a grant under this subtitle and 

15 an eligible local entity receiving a subgrant under this sub16 title shall not use any grant or subgrant funds to carry 

17 out any of the following activities: 

18 (1) An assessment that provides rewards or 

19 sanctions for individual children, teachers, or prin20 cipals. 

21 (2) An assessment that is used as the primary 

22 or sole method for assessing program effectiveness. 

23 (3) Evaluating children, other than for the pur24 poses of— 


SSpencer on DSK4SPTVN1PROD with BILLS
66 

•HR 2721 IH

1 (A) improving instruction or the classroom 

2 environment; 

3 (B) targeting professional development; 

4 (C) determining the need for health, men5 tal health, disability, or family support services; 

6 (D) program evaluation for the purposes of 

7 program improvement and parent information; 

8 and 

9 (E) improving parent and family engage10 ment. 

11 SEC. 125. COORDINATION WITH HEAD START PROGRAMS. 

12 (a) INCREASED ACCESS FOR YOUNGER CHILDREN.— 

13 Not later than 1 year after the date of enactment of this 

14 Act, the Secretary and the Secretary of Health and 

15 Human Services shall develop a process— 

16 (1) for use in the event that Head Start pro17 grams funded under the Head Start Act (42 U.S.C. 

18 9831 et seq.) operate in States or regions that have 

19 achieved sustained universal, voluntary access to 4- 

20 year-old children who reside within the State and 

21 who are from families with incomes at or below 200 

22 percent of the poverty line to high-quality prekinder23 garten programs; and 

24 (2) for how such Head Start programs will 

25 begin converting slots for children who are age 4 on 


SSpencer on DSK4SPTVN1PROD with BILLS
67 

•HR 2721 IH

1 the eligibility determination date to children who are 

2 age 3 on the eligibility determination date, or, when 

3 appropriate, converting Head Start programs into 

4 Early Head Start programs to serve infants and tod5 dlers. 

6 (b) COMMUNITY NEED AND RESOURCES.—The proc7 ess described in subsection (a) shall— 

8 (1) be carried out on a case-by-case basis and 

9 shall ensure that sufficient resources and time are 

10 allocated for the development of such a process so 

11 that no child or cohort is excluded from currently 

12 available services; and 

13 (2) ensure that any conversion shall be based 

14 on community need and not on the aggregate num15 ber of children served in a State or region that has 

16 achieved sustained, universal, voluntary access to 

17 high-quality prekindergarten programs. 

18 (c) PUBLIC COMMENT AND NOTICE.—Not fewer than 

19 90 days after the development of the proposed process de20 scribed in subsection (a), the Secretary and the Secretary 

21 of Health and Human Services shall publish a notice de22 scribing such proposed process for conversion in the Fed23 eral Register providing at least 90 days for public com24 ment. The Secretaries shall review and consider public 


SSpencer on DSK4SPTVN1PROD with BILLS
68 

•HR 2721 IH

1 comments prior to finalizing the process for conversion of 

2 Head Start slots and programs. 

3 (d) REPORTS TO CONGRESS.—Concurrently with 

4 publishing a notice in the Federal Register as described 

5 in subsection (c), the Secretaries shall provide a report 

6 to the Committee on Education and the Workforce of the 

7 House of Representatives and the Committee on Health, 

8 Education, Labor, and Pensions of the Senate that pro9 vides a detailed description of the proposed process de10 scribed in subsection (a), including a description of the 

11 degree to which Head Start programs are providing State12 funded high-quality prekindergarten programs as a result 

13 of the grant opportunity provided under this subtitle in 

14 States where Head Start programs are eligible for conver15 sion described in subsection (a). 

16 SEC. 126. TECHNICAL ASSISTANCE IN PROGRAM ADMINIS17 TRATION. 

18 In providing technical assistance to carry out activi19 ties under this title, the Secretary shall coordinate that 

20 technical assistance, in appropriate cases, with technical 

21 assistance provided by the Secretary of Health and 

22 Human Services to carry out the programs authorized 

23 under the Head Start Act (42 U.S.C. 9831 et seq.), the 

24 Child Care and Development Block Grant Act of 1990 (42 

25 U.S.C. 9858 et seq.), and the maternal, infant and early 


SSpencer on DSK4SPTVN1PROD with BILLS
69 

•HR 2721 IH

1 childhood home visiting programs assisted under section 

2 511 of the Social Security Act (42 U.S.C. 711). 

3 SEC. 127. AUTHORIZATION OF APPROPRIATIONS. 

4 There are authorized to be appropriated to carry out 

5 this subtitle— 

6 (1) $1,300,000,000 for fiscal year 2016; 

7 (2) $3,250,000,000 for fiscal year 2017; 

8 (3) $5,780,000,000 for fiscal year 2018; 

9 (4) $7,580,000,000 for fiscal year 2019; 

10 (5) $8,960,000,000 for fiscal year 2020; and 

11 (6) such sums as may be necessary for each of 

12 fiscal years 2021 through 2025. 

13 Subtitle B—Prekindergarten 

14 Development Grants 

15 SEC. 151. PREKINDERGARTEN DEVELOPMENT GRANTS. 

16 (a) IN GENERAL.—From the amounts appropriated 

17 under subsection (f), the Secretary of Education, in con18 sultation with the Secretary of Health and Human Serv19 ices, shall award competitive grants to States that wish 

20 to increase the capacity and build the infrastructure with21 in the State to offer high-quality prekindergarten pro22 grams. 

23 (b) ELIGIBILITY.—A State that is not receiving funds 

24 under section 115 may compete for grant funds under this 

25 subtitle if the State provides an assurance that the State 


SSpencer on DSK4SPTVN1PROD with BILLS
70 

•HR 2721 IH

1 will, through the support of grant funds awarded under 

2 this subtitle, meet the eligibility requirements of section 

3 115 not later than 3 years after the date the State first 

4 receives grant funds under this subtitle. 

5 (c) GRANTS.— 

6 (1) DURATION.—The Secretary shall award 

7 grants to States under this subtitle for a period of 

8 not more than 3 years and such grants shall not be 

9 renewed. 

10 (2) AUTHORITY TO SUBGRANT.— 

11 (A) IN GENERAL.—A State receiving a 

12 grant under this subtitle may use the grant 

13 funds to make subgrants to eligible local enti14 ties (defined in section 112(7)) to carry out ac15 tivities under the grant. 

16 (B) ELIGIBLE LOCAL ENTITIES.—An eligi17 ble local entity receiving a subgrant under sub18 paragraph (A) shall comply with the require19 ments for States receiving a grant under this 

20 subtitle, as appropriate. 

21 (d) APPLICATION.— 

22 (1) IN GENERAL.—A Governor of a State that 

23 desires to receive a grant under this subtitle shall 

24 submit an application to the Secretary of Education 

25 at such time, in such manner, and accompanied by 


SSpencer on DSK4SPTVN1PROD with BILLS
71 

•HR 2721 IH

1 such information as the Secretary may reasonably 

2 require, including a description of how the State 

3 plans to become eligible for grants under section 115 

4 by not later than 3 years after the date the State 

5 first receives grant funds under this subtitle. 

6 (2) DEVELOPMENT OF APPLICATION.—In devel7 oping an application for a grant under this subtitle, 

8 a Governor of a State shall consult with the State 

9 Advisory Council on Early Childhood Education and 

10 Care, and incorporate their recommendations, where 

11 applicable. 

12 (e) MATCHING REQUIREMENT.— 

13 (1) IN GENERAL.—To be eligible to receive a 

14 grant under this subtitle, a State shall contribute for 

15 the activities for which the grant was awarded non16 Federal matching funds in an amount equal to not 

17 less than 20 percent of the amount of the grant. 

18 (2) NON-FEDERAL FUNDS.—To satisfy the re19 quirement of paragraph (1), a State may use— 

20 (A) cash; or 

21 (B) an in-kind contribution. 

22 (3) FINANCIAL HARDSHIP WAIVER.—The Sec23 retary may waive paragraph (1) or reduce the 

24 amount of matching funds required under that para25 graph for a State that has submitted an application 


SSpencer on DSK4SPTVN1PROD with BILLS
72 

•HR 2721 IH

1 for a grant under this subtitle if the State dem2 onstrates, in the application, a need for such a waiv3 er or reduction due to extreme financial hardship, as 

4 determined by the Secretary of Education. 

5 (f) AUTHORIZATION OF APPROPRIATIONS.—There 

6 are authorized to be appropriated to carry out this sub7 title— 

8 (1) $750,000,000 for fiscal year 2016; and 

9 (2) such sums as may be necessary for each of 

10 fiscal years 2017 through 2025. 

11 TITLE II—RESTORING SUMMER 

12 PELL GRANTS 

13 SEC. 201. FEDERAL PELL GRANTS. 

14 Section 401(b) of the Higher Education Act of 1965 

15 (20 U.S.C. 1070a) is amended— 

16 (1) by redesignating paragraphs (5) through 

17 (7) as paragraphs (6) through (8), respectively; 

18 (2) in paragraph (2)(A)(ii), by striking ‘‘para19 graph (7)(B)’’ each place it appears and inserting 

20 ‘‘paragraph (8)(B)’’; and 

21 (3) by inserting after paragraph (4), the fol22 lowing: 

23 ‘‘(5)(A) The Secretary shall award a student 

24 not more than two Federal Pell Grants during a sin25 gle award year to permit such student to accelerate 


SSpencer on DSK4SPTVN1PROD with BILLS
73 

•HR 2721 IH

1 the student’s progress toward a degree or certificate 

2 if the student is enrolled— 

3 ‘‘(i) on at least a half-time basis for a pe4 riod of more than one academic year, or more 

5 than two semesters or an equivalent period of 

6 time, during a single award year; and 

7 ‘‘(ii) in a program of instruction at an in8 stitution of higher education for which the insti9 tution awards an associate or baccalaureate de10 gree or a certificate. 

11 ‘‘(B) In the case of a student receiving more 

12 than one Federal Pell Grant in a single award year 

13 under subparagraph (A), the total amount of Fed14 eral Pell Grants awarded to such student for the 

15 award year may exceed the maximum basic grant 

16 level specified in the appropriate appropriations Act 

17 for such award year.’’. 

18 TITLE III—RESTORING TITLE IV 

19 ABILITY-TO-BENEFIT ELIGI20 BILITY 

21 SEC. 301. ABILITY-TO-BENEFIT ELIGIBILITY. 

22 (a) IN GENERAL.—Section 484(d) of the Higher 

23 Education Act of 1965 (20 U.S.C. 1091(d)) is amended 

24 to read as follows: 


SSpencer on DSK4SPTVN1PROD with BILLS
74 

•HR 2721 IH

1 ‘‘(d) STUDENTS WHO ARE NOT HIGH SCHOOL

2 GRADUATES.—In order for a student who does not have 

3 a certificate of graduation from a school providing sec4 ondary education, or the recognized equivalent of such cer5 tificate, to be eligible for any assistance under subparts 

6 1, 3, and 4 of part A and parts B, C, D, and E of this 

7 title, the student shall meet one of the following standards: 

8 ‘‘(1) The student shall take an independently 

9 administered examination and shall achieve a score, 

10 specified by the Secretary, demonstrating that such 

11 student can benefit from the education or training 

12 being offered. Such examination shall be approved 

13 by the Secretary on the basis of compliance with 

14 such standards for development, administration, and 

15 scoring as the Secretary may prescribe in regula16 tions. 

17 ‘‘(2) The student shall be determined as having 

18 the ability to benefit from the education or training 

19 in accordance with such process as the State shall 

20 prescribe. Any such process described or approved 

21 by a State for the purposes of this section shall be 

22 effective 6 months after the date of submission to 

23 the Secretary unless the Secretary disapproves such 

24 process. In determining whether to approve or dis25 approve such process, the Secretary shall take into 


SSpencer on DSK4SPTVN1PROD with BILLS
75 

•HR 2721 IH

1 account the effectiveness of such process in enabling 

2 students without high school diplomas or the equiva3 lent thereof to benefit from the instruction offered 

4 by institutions utilizing such process, and shall also 

5 take into account the cultural diversity, economic 

6 circumstances, and educational preparation of the 

7 populations served by the institutions. 

8 ‘‘(3) The student has completed a secondary 

9 school education in a home school setting that is 

10 treated as a home school or private school under 

11 State law. 

12 ‘‘(4) The student shall be determined by the in13 stitution of higher education as having the ability to 

14 benefit from the education or training offered by the 

15 institution of higher education upon satisfactory 

16 completion of six credit hours or the equivalent 

17 coursework that are applicable toward a degree or 

18 certificate offered by the institution of higher edu19 cation.’’. 

20 (b) CONFORMING AMENDMENT.—Section 

21 401(b)(2)(A)(ii) of the Higher Education Act of 1965 (20 

22 U.S.C. 1070a(b)(2)(A)(ii)) is amended by striking 

23 ‘‘484(d)(1)(A)’’ and inserting ‘‘484(d)’’. 


SSpencer on DSK4SPTVN1PROD with BILLS
76 

•HR 2721 IH

1 TITLE IV—YOUTH PROMISE/FED2 ERAL COORDINATION OF 

3 LOCAL AND TRIBAL JUVE4 NILE JUSTICE INFORMATION 

5 AND EFFORTS 

6 SEC. 401. PROMISE ADVISORY PANEL. 

7 (a) ORGANIZATION OF STATE ADVISORY GROUP

8 MEMBER REPRESENTATIVES.—Section 223(f) of the Ju9 venile Justice and Delinquency Prevention Act of 1974 

10 (42 U.S.C. 5633(f)) is amended— 

11 (1) in paragraph (1), by striking ‘‘an eligible 

12 organization composed of member representatives of 

13 the State advisory groups appointed under sub14 section (a)(3)’’ and inserting ‘‘a nonpartisan, non15 profit organization that is described in section 

16 501(c)(3) of the Internal Revenue Code of 1986,’’; 

17 and 

18 (2) by amending paragraph (2) to read as fol19 lows: 

20 ‘‘(2) ASSISTANCE.—To be eligible to receive 

21 such assistance, such organization shall— 

22 ‘‘(A) be governed by individuals who— 

23 ‘‘(i) have been appointed by a chief 

24 executive of a State to serve as a State adVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00076 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
77 

•HR 2721 IH

1 visory group member under subsection 

2 (a)(3); and 

3 ‘‘(ii) are elected to serve as a gov4 erning officer of such organization by a 

5 majority of the Chairs (or Chair-designees) 

6 of all such State advisory groups; 

7 ‘‘(B) include member representatives from 

8 a majority of such State advisory groups, who 

9 shall be representative of regionally and demo10 graphically diverse States and jurisdictions; 

11 ‘‘(C) annually seek appointments by the 

12 chief executive of each State of one State advi13 sory group member and one alternate State ad14 visory group member from each such State to 

15 implement the advisory functions specified in 

16 clauses (iv) and (v) of subparagraph (D), in17 cluding serving on the PROMISE Advisory 

18 Panel, and make a record of any such appoint19 ments available to the public; and 

20 ‘‘(D) agree to carry out activities that in21 clude— 

22 ‘‘(i) conducting an annual conference 

23 of such member representatives for pur24 poses relating to the activities of such 

25 State advisory groups; 


SSpencer on DSK4SPTVN1PROD with BILLS
78 

•HR 2721 IH

1 ‘‘(ii) disseminating information, data, 

2 standards, advanced techniques, and pro3 gram models; 

4 ‘‘(iii) reviewing Federal policies re5 garding juvenile justice and delinquency 

6 prevention; 

7 ‘‘(iv) advising the Administrator with 

8 respect to particular functions or aspects 

9 of the work of the Office, and appointing 

10 a representative, diverse group of members 

11 of such organization under subparagraph 

12 (C) to serve as an advisory panel of State 

13 juvenile justice advisors (referred to as the 

14 ‘PROMISE Advisory Panel’) to carry out 

15 the functions specified in subsection (g); 

16 and 

17 ‘‘(v) advising the President and Con18 gress with regard to State perspectives on 

19 the operation of the Office and Federal 

20 legislation pertaining to juvenile justice 

21 and delinquency prevention.’’. 

22 (b) PROMISE ADVISORY PANEL.—Section 223 of 

23 the Juvenile Justice and Delinquency Prevention Act of 

24 1974 (42 U.S.C. 5633) is further amended by adding at 

25 the end the following new subsection: 


SSpencer on DSK4SPTVN1PROD with BILLS
79 

•HR 2721 IH

1 ‘‘(g) PROMISE ADVISORY PANEL.— 

2 ‘‘(1) FUNCTIONS.—The PROMISE Advisory 

3 Panel required under subsection (f)(2)(D) shall— 

4 ‘‘(A) assess successful evidence-based and 

5 promising practices related to juvenile delin6 quency and criminal street gang activity preven7 tion and intervention carried out by PROMISE 

8 Coordinating Councils under section 511 of title 

9 V of division A of the Pathways Out of Poverty 

10 Act of 2015; 

11 ‘‘(B) provide the Administrator with a list 

12 of individuals and organizations with experience 

13 in administering or evaluating practices that 

14 serve youth involved in, or at risk of involve15 ment in, juvenile delinquency and criminal 

16 street gang activity, from which the Adminis17 trator shall select individuals who shall— 

18 ‘‘(i) provide to the Administrator peer 

19 reviews of applications submitted by units 

20 of local government and Indian tribes pur21 suant to title V of division A of the Path22 ways Out of Poverty Act of 2015, to en23 sure that such applications demonstrate a 

24 clear plan to— 


SSpencer on DSK4SPTVN1PROD with BILLS
80 

•HR 2721 IH

1 ‘‘(I) serve youth as part of an en2 tire family unit; and 

3 ‘‘(II) coordinate the delivery of 

4 service to youth among agencies; and 

5 ‘‘(ii) advise the Administrator with re6 spect to the award and allocation of 

7 PROMISE Planning grants to local and 

8 tribal governments that develop PROMISE 

9 Coordinating Councils, and of PROMISE 

10 Implementation grants to such PROMISE 

11 Coordinating Councils, pursuant to of title 

12 V of division A of the Pathways Out of 

13 Poverty Act of 2015; and 

14 ‘‘(C) develop performance standards to be 

15 used to evaluate programs and activities carried 

16 out with grants under of title V of division A 

17 of the Pathways Out of Poverty Act of 2015, 

18 including the evaluation of changes achieved as 

19 a result of such programs and activities related 

20 to decreases in juvenile delinquency and crimi21 nal street gang activity, including— 

22 ‘‘(i) prevention of involvement by at23 risk youth in juvenile delinquency or crimi24 nal street gang activity; 


SSpencer on DSK4SPTVN1PROD with BILLS
81 

•HR 2721 IH

1 ‘‘(ii) diversion of youth with a high 

2 risk of continuing involvement in juvenile 

3 delinquency or criminal street gang activ4 ity; and 

5 ‘‘(iii) financial savings from deferred 

6 or eliminated costs, or other benefits, as a 

7 result of such programs and activities, and 

8 the reinvestment by the unit or tribe of 

9 any such savings. 

10 ‘‘(2) ANNUAL REPORT.—Not later than 18 

11 months after the date of the effective date of this 

12 subsection, and annually thereafter, the PROMISE 

13 Advisory Panel shall prepare a report containing the 

14 findings and determinations under paragraph (1)(A) 

15 and shall submit such report to Congress, the Presi16 dent, the Attorney General, and the chief executive 

17 and chief law enforcement officer of each State, unit 

18 of local government, and Indian tribe.’’. 

19 (c) AUTHORIZATION OF APPROPRIATIONS.—Section 

20 299(a)(1) of the Juvenile Justice and Delinquency Preven21 tion Act of 1974 (42 U.S.C. 5671(a)(1)) is amended to 

22 read as follows: 

23 ‘‘(1) There are authorized to be appropriated 

24 such sums as may be necessary to carry out this 


SSpencer on DSK4SPTVN1PROD with BILLS
82 

•HR 2721 IH

1 title for each of the fiscal years 2015 through 

2 2017.’’. 

3 SEC. 402. GEOGRAPHIC ASSESSMENT OF RESOURCE ALLO4 CATION. 

5 (a) GRANT FOR COLLECTION OF DATA TO DETER6 MINE NEED.—Subject to the availability of appropria7 tions, the Administrator of the Office of Juvenile Justice 

8 and Delinquency Prevention shall award a grant, on a 

9 competitive basis, to an organization to— 

10 (1) collect and analyze data related to the exist11 ing juvenile delinquency and criminal street gang ac12 tivity prevention and intervention needs and re13 sources in each designated geographic area; 

14 (2) use the data collected and analyzed under 

15 paragraph (1) to compile a list of designated geo16 graphic areas that have the most need of resources, 

17 based on such data, to carry out juvenile delin18 quency and criminal street gang activity prevention 

19 and intervention; 

20 (3) use the data collected and analyzed under 

21 paragraph (1) to rank the areas listed under para22 graph (2) in descending order by the amount of need 

23 for resources to carry out juvenile delinquency and 

24 criminal street gang activity prevention and interVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00082 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
83 

•HR 2721 IH

1 vention, ranking the area with the greatest need for 

2 such resources highest; and 

3 (4) periodically update the list and rankings 

4 under paragraph (3) as the Administrator deter5 mines to be appropriate. 

6 (b) DATA SOURCES.—In compiling such list and de7 termining such rankings, the organization shall collect and 

8 analyze data relating to juvenile delinquency and criminal 

9 street gang activity prevention and intervention— 

10 (1) using the geographic information system 

11 and Web-based mapping application known as the 

12 Socioeconomic Mapping and Resource Topography 

13 (SMART) system; 

14 (2) from the Department of Health and Human 

15 Services, the Department of Labor, the Department 

16 of Housing and Urban Development, and the De17 partment of Education; and 

18 (3) from the annual KIDS Count Data Book 

19 and other data made available by the KIDS Count 

20 initiative of the Annie E. Casey Foundation. 

21 (c) USE OF DATA BY THE ADMINISTRATOR.—The list 

22 and rankings required by this section shall be provided 

23 to the Administrator to be used to provide funds under 

24 this section in the most strategic and effective manner to 

25 ensure that resources and services are provided to youth 


SSpencer on DSK4SPTVN1PROD with BILLS
84 

•HR 2721 IH

1 in the communities with the greatest need for such re2 sources and services. 

3 (d) LIMITATION ON USE OF COLLECTED DATA.— 

4 The information collected and analyzed under this section 

5 may not be used for any purpose other than to carry out 

6 the purposes of this section. Such information may not 

7 be used for any purpose related to the investigation or 

8 prosecution of any person, or for profiling of individuals 

9 based on race, ethnicity, socio-economic status, or any 

10 other characteristic. 

11 (e) AUTHORIZATION AND LIMITATION OF APPRO12 PRIATIONS.—Of the amount appropriated for fiscal year 

13 2015 to carry out this section and subtitle A of title V 

14 of this Act, not more than 1 percent of such amount, or 

15 $1,000,000, whichever is less, shall be available to carry 

16 out this section. 

17 TITLE V—PROMISE GRANTS 

18 SEC. 501. PURPOSES. 

19 The purposes of the grant programs established 

20 under this title are to— 

21 (1) enable local and tribal communities to as22 sess the unmet needs of youth who are involved in, 

23 or are at risk of involvement in, juvenile delinquency 

24 or criminal street gangs; 


SSpencer on DSK4SPTVN1PROD with BILLS
85 

•HR 2721 IH

1 (2) develop plans appropriate for a community 

2 to address those unmet needs with juvenile delin3 quency and gang prevention and intervention prac4 tices; and 

5 (3) implement and evaluate such plans in a 

6 manner consistent with this title. 

7 SEC. 502. DEFINITIONS. 

8 In this title: 

9 (1) ADMINISTRATOR.—The term ‘‘Adminis10 trator’’ means the Administrator of the Office of Ju11 venile Justice and Delinquency Prevention. 

12 (2) COMMUNITY.—The term ‘‘community’’ 

13 means a unit of local government or an Indian tribe, 

14 or part of such a unit or tribe, as determined by 

15 such a unit or tribe for the purpose of applying for 

16 a grant under this title. 

17 (3) DESIGNATED GEOGRAPHIC AREA.—The 

18 term ‘‘designated geographic area’’ means a 5-digit 

19 postal ZIP Code assigned to a geographic area by 

20 the United States Postal Service. 

21 (4) EVIDENCE-BASED.— 

22 (A) IN GENERAL.—The term ‘‘evidence23 based’’, when used with respect to a practice re24 lating to juvenile delinquency and criminal 

25 street gang activity prevention and intervention, 


SSpencer on DSK4SPTVN1PROD with BILLS
86 

•HR 2721 IH

1 means a practice (including a service, program, 

2 activity, intervention, technology, or strategy) 

3 for which the Administrator has determined— 

4 (i) causal evidence documents a rela5 tionship between the practice and its in6 tended outcome, based on measures of the 

7 direction and size of a change, and the ex8 tent to which a change may be attributed 

9 to the practice; and 

10 (ii) the use of scientific methods rules 

11 out, to the extent possible, alternative ex12 planations for the documented change. 

13 (B) SCIENTIFIC METHODS.—For the pur14 poses of subparagraph (A), the term ‘‘scientific 

15 methods’’ means— 

16 (i) evaluation by an experimental trial, 

17 in which participants are randomly as18 signed to participate in the practice that is 

19 subject to such trial; or 

20 (ii) evaluation by a quasi-experimental 

21 trial, in which the outcomes for partici22 pants are compared with outcomes for a 

23 control group that is made up of individ24 uals who are similar to such participants. 


SSpencer on DSK4SPTVN1PROD with BILLS
87 

•HR 2721 IH

1 (5) INTERVENTION.—The term ‘‘intervention’’ 

2 means the provision of programs and services that 

3 are supported by research, are evidence-based or 

4 promising practices, and are provided to youth who 

5 are involved in, or who are identified by evidence6 based risk assessment methods as being at high risk 

7 of continued involvement in, juvenile delinquency or 

8 criminal street gangs, as a result of indications that 

9 demonstrate involvement with problems such as tru10 ancy, substance abuse, mental health treatment 

11 needs, or siblings who have had involvement with ju12 venile or criminal justice systems. 

13 (6) JUVENILE DELINQUENCY AND CRIMINAL

14 STREET GANG ACTIVITY PREVENTION.—The term 

15 ‘‘juvenile delinquency and criminal street gang activ16 ity prevention’’ means the provision of programs and 

17 resources to children and families who have not yet 

18 had substantial contact with criminal justice or juve19 nile justice systems, that— 

20 (A) are designed to reduce potential juve21 nile delinquency and criminal street gang activ22 ity risks; and 

23 (B) are evidence-based or promising edu24 cational, health, mental health, school-based, 

25 community-based, faith-based, parenting, job 


SSpencer on DSK4SPTVN1PROD with BILLS
88 

•HR 2721 IH

1 training, social opportunities and experiences, 

2 or other programs, for youth and their families, 

3 that have been demonstrated to be effective in 

4 reducing juvenile delinquency and criminal 

5 street gang activity risks. 

6 (7) PROMISING.—The term ‘‘promising’’, when 

7 used with respect to a practice relating to juvenile 

8 delinquency and criminal street gang activity preven9 tion and intervention, means a practice (including a 

10 service, program, activity, intervention, technology, 

11 or strategy) that, based on statistical analyses or a 

12 theory of change, the Administrator has deter13 mined— 

14 (A) has outcomes from an evaluation that 

15 demonstrate such practice reduces juvenile de16 linquency and criminal street gang activity; and 

17 (B) is part of a study being conducted to 

18 determine if such a practice is evidence-based. 

19 (8) STATE.—The term ‘‘State’’ means each of 

20 the several States, the District of Columbia, the 

21 Commonwealth of Puerto Rico, the United States 

22 Virgin Islands, American Samoa, Guam, the North23 ern Mariana Islands, and any other territories or 

24 possessions of the United States. 


SSpencer on DSK4SPTVN1PROD with BILLS
89 

•HR 2721 IH

1 (9) THEORY OF CHANGE.—The term ‘‘theory of 

2 change’’ means a program planning strategy ap3 proved by the Administrator that outlines the types 

4 of interventions and outcomes essential to achieving 

5 a set of program goals. 

6 (10) YOUTH.—The term ‘‘youth’’ means— 

7 (A) an individual who is 18 years of age or 

8 younger; or 

9 (B) in any State in which the maximum 

10 age at which the juvenile justice system of such 

11 State has jurisdiction over individuals exceeds 

12 18 years of age, an individual who is such max13 imum age or younger. 

14 Subtitle A—PROMISE Assessment 

15 and Planning Grants 

16 SEC. 510. PROMISE ASSESSMENT AND PLANNING GRANTS 

17 AUTHORIZED. 

18 (a) GRANTS AUTHORIZED.—The Administrator is 

19 authorized to award grants to units of local government 

20 and Indian tribes to assist PROMISE Coordinating Coun21 cils with planning and assessing evidence-based and prom22 ising practices relating to juvenile delinquency and crimi23 nal street gang activity prevention and intervention, espe24 cially for youth who are involved in, or who are at risk 

25 of involvement in, juvenile delinquency and criminal street 


SSpencer on DSK4SPTVN1PROD with BILLS
90 

•HR 2721 IH

1 gang activity. Such PROMISE Coordinating Councils 

2 shall— 

3 (1) conduct an objective needs and strengths 

4 assessment in accordance with section 512; and 

5 (2) develop a PROMISE Plan in accordance 

6 with section 513, based on the assessment conducted 

7 in accordance with section 512. 

8 (b) GRANT DURATION, AMOUNT, AND ALLOCA9 TION.— 

10 (1) DURATION.—A grant awarded under this 

11 section shall be for a period not to exceed one year. 

12 (2) MAXIMUM GRANT AMOUNT.—A grant 

13 awarded under this section shall not exceed 

14 $300,000. 

15 (c) ALLOCATION.— 

16 (1) MINIMUM ALLOCATION.—Subject to the 

17 availability of appropriations, the Administrator 

18 shall ensure that the total funds allocated under this 

19 section to units of local governments and Indian 

20 tribes in a State shall not be less than $1,000,000. 

21 (2) RATABLE REDUCTION.—If the amount 

22 made available for grants under this section for any 

23 fiscal year is less than the amount required to pro24 vide the minimum allocation of funds under para25 graph (1) to units of local government and Indian 


SSpencer on DSK4SPTVN1PROD with BILLS
91 

•HR 2721 IH

1 tribes in each State, then the amount of such min2 imum allocation shall be ratably reduced. 

3 SEC. 511. PROMISE COORDINATING COUNCILS. 

4 To be eligible to receive a grant under this subtitle, 

5 a unit of local government or an Indian tribe shall estab6 lish a PROMISE Coordinating Council for each commu7 nity of such unit or tribe, respectively, for which such unit 

8 or tribe is applying for a grant under this subtitle. Each 

9 such community shall include one or more designated geo10 graphic areas identified on the list required under section 

11 402(a)(2). The members of such a PROMISE Coordi12 nating Council shall be representatives of public and pri13 vate sector entities and individuals that— 

14 (1) shall include, to the extent possible, at least 

15 one representative from each of the following: 

16 (A) the local chief executive’s office; 

17 (B) a local educational agency; 

18 (C) a local health agency or provider; 

19 (D) a local mental health agency or pro20 vider, unless the representative under subpara21 graph (C) also meets the requirements of this 

22 subparagraph; 

23 (E) a local public housing agency; 

24 (F) a local law enforcement agency; 

25 (G) a local child welfare agency; 


SSpencer on DSK4SPTVN1PROD with BILLS
92 

•HR 2721 IH

1 (H) a local juvenile court; 

2 (I) a local juvenile prosecutor’s office; 

3 (J) a private juvenile residential care enti4 ty; 

5 (K) a local juvenile public defender’s office; 

6 (L) a State juvenile correctional entity; 

7 (M) a local business community represent8 ative; and 

9 (N) a local faith-based community rep10 resentative; 

11 (2) shall include two representatives from each 

12 of the following: 

13 (A) parents who have minor children, and 

14 who have an interest in the local juvenile or 

15 criminal justice systems; 

16 (B) youth between the ages of 15 and 24 

17 who reside in the jurisdiction of the unit or 

18 tribe; and 

19 (C) members from nonprofit community20 based organizations that provide effective delin21 quency prevention and intervention to youth in 

22 the jurisdiction of the unit or tribe; and 

23 (3) may include other members, as the unit or 

24 tribe determines to be appropriate. 


SSpencer on DSK4SPTVN1PROD with BILLS
93 

•HR 2721 IH

1 SEC. 512. NEEDS AND STRENGTHS ASSESSMENT. 

2 (a) ASSESSMENT.—Each PROMISE Coordinating 

3 Council receiving funds from a unit of local government 

4 or Indian tribe under this subtitle shall conduct an objec5 tive strengths and needs assessment of the resources of 

6 the community for which such PROMISE Coordinating 

7 Council was established, to identify the unmet needs of 

8 youth in the community with respect to evidence-based 

9 and promising practices related to juvenile delinquency 

10 and criminal street gang activity prevention and interven11 tion. Such assessment shall include, with respect to the 

12 community for which such PROMISE Coordinating Coun13 cil was established— 

14 (1) the number of youth who are at-risk of in15 volvement in juvenile delinquency or street gang ac16 tivity; 

17 (2) the number of youth who are involved in ju18 venile delinquency or criminal street gang activity, 

19 including the number of such youth who are at high 

20 risk of continued involvement; 

21 (3) youth unemployment rates during the sum22 mer; 

23 (4) the number of individuals on public finan24 cial assistance (including a breakdown of the num25 bers of men, women, and children on such assist26 ance); 


SSpencer on DSK4SPTVN1PROD with BILLS
94 

•HR 2721 IH

1 (5) the estimated number of youth who are 

2 chronically truant; 

3 (6) the number of youth who have dropped out 

4 of school in the previous year; 

5 (7) for the year before such assessment, the es6 timated total amount expended (by the community 

7 and other entities) for the incarceration of offenders 

8 who were convicted or adjudicated delinquent for an 

9 offense that was committed in such community, in10 cluding amounts expended for the incarceration of 

11 offenders in prisons, jails, and juvenile facilities that 

12 are located in the United States but are not located 

13 in such community; 

14 (8) a comparison of the amount under para15 graph (7) with an estimation of the amount that 

16 would be expended for the incarceration of offenders 

17 described in such paragraph if the number of offend18 ers described in such paragraph was equal to the na19 tional average incarceration rate per 100,000 popu20 lation; 

21 (9) a description of evidence-based and prom22 ising practices related to juvenile delinquency and 

23 criminal street gang activity prevention available for 

24 youth in the community, including school-based pro25 grams, after school programs (particularly programs 


SSpencer on DSK4SPTVN1PROD with BILLS
95 

•HR 2721 IH

1 that have activities available for youth between 

2 3 p.m. and 6 p.m. in the afternoon), weekend ac3 tivities and programs, youth mentoring programs, 

4 faith and community-based programs, summer ac5 tivities, and summer jobs, if any; and 

6 (10) a description of evidence-based and prom7 ising intervention practices available for youth in the 

8 community. 

9 (b) LIMITATION ON USE OF ASSESSMENT INFORMA10 TION.—Information gathered pursuant to this section may 

11 be used for the sole purpose of developing a PROMISE 

12 Plan in accordance with this subtitle. 

13 SEC. 513. PROMISE PLAN COMPONENTS. 

14 (a) IN GENERAL.—Each PROMISE Coordinating 

15 Council receiving funds from a unit of local government 

16 or Indian tribe under this subtitle shall develop a PROM17 ISE Plan to provide for the coordination of, and, as appro18 priate, to support the delivery of, evidence-based and 

19 promising practices related to juvenile delinquency and 

20 criminal street gang activity prevention and intervention 

21 to youth and families who reside in the community for 

22 which such PROMISE Coordinating Council was estab23 lished. Such a PROMISE Plan shall— 

24 (1) include the strategy by which the PROM25 ISE Coordinating Council plans to prioritize and alVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00095 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
96 

•HR 2721 IH

1 locate resources and services toward the unmet 

2 needs of youth in the community, consistent with the 

3 needs and available resources of communities with 

4 the greatest need for assistance, as determined pur5 suant to section 402; 

6 (2) include a combination of evidence-based and 

7 promising prevention and intervention practices that 

8 are responsive to the needs of the community; and 

9 (3) ensure that cultural and linguistic needs of 

10 the community are met. 

11 (b) MANDATORY COMPONENTS.—Each PROMISE 

12 Plan shall— 

13 (1) include a plan to connect youth identified in 

14 paragraphs (1) and (2) of section 512(a) to evi15 dence-based and promising practices related to juve16 nile delinquency and criminal street gang activity 

17 prevention and intervention; 

18 (2) identify the amount or percentage of local 

19 funds that are available to the PROMISE Coordi20 nating Council to carry out the PROMISE Plan; 

21 (3) provide strategies to improve indigent de22 fense delivery systems, with particular attention 

23 given to groups of children who are disproportion24 ately represented in the State delinquency system 

25 and Federal criminal justice system, as compared to 


SSpencer on DSK4SPTVN1PROD with BILLS
97 

•HR 2721 IH

1 the representation of such groups in the general 

2 population of the State; 

3 (4) provide for training (which complies with 

4 the American Bar Association Juvenile Justice 

5 Standards for the representation and care of youth 

6 in the juvenile justice system) of prosecutors, de7 fenders, probation officers, judges and other court 

8 personnel related to issues concerning the develop9 mental needs, challenges, and potential of youth in 

10 the juvenile justice system (including training re11 lated to adolescent development and mental health 

12 issues, and the expected impact of evidence-based 

13 practices and cost reduction strategies); 

14 (5) ensure that the number of youth involved in 

15 the juvenile delinquency and criminal justice systems 

16 does not increase as a result of the activities under17 taken with the funds provided under this subtitle; 

18 (6) describe the coordinated strategy that will 

19 be used by the PROMISE Coordinating Council to 

20 provide at-risk youth with evidence-based and prom21 ising practices related to juvenile delinquency and 

22 criminal street gang activity prevention and inter23 vention; 

24 (7) propose the performance evaluation process 

25 to be used to carry out section 530(d), which shall 


SSpencer on DSK4SPTVN1PROD with BILLS
98 

•HR 2721 IH

1 include performance measures to assess efforts to 

2 address the unmet needs of youth in the community 

3 with evidence-based and promising practices related 

4 to juvenile delinquency and criminal street gang ac5 tivity prevention and intervention; and 

6 (8) identify the research partner the PROMISE 

7 Coordinating Council will use to obtain information 

8 on evidence-based and promising practices related to 

9 juvenile delinquency and criminal street gang activ10 ity prevention and intervention, and for the evalua11 tion under section 530(d) of the results of the activi12 ties carried out with funds under this subtitle. 

13 (c) VOLUNTARY COMPONENTS.—In addition to the 

14 components under subsection (b), a PROMISE Plan may 

15 include evidence-based or promising practices related to 

16 juvenile delinquency and criminal street gang activity pre17 vention and intervention in the following categories: 

18 (1) Early childhood development services (such 

19 as pre-natal and neo-natal health services), early 

20 childhood prevention, voluntary home visiting pro21 grams, nurse-family partnership programs, par22 enting and healthy relationship skills training, child 

23 abuse prevention programs, Early Head Start, and 

24 Head Start. 


SSpencer on DSK4SPTVN1PROD with BILLS
99 

•HR 2721 IH

1 (2) Child protection and safety services (such as 

2 foster care and adoption assistance programs), fam3 ily stabilization programs, child welfare services, and 

4 family violence intervention programs. 

5 (3) Youth and adolescent development services, 

6 including job training and apprenticeship programs, 

7 job placement and retention training, education and 

8 after school programs (such as school programs with 

9 shared governance by students, teachers, and par10 ents, and activities for youth between the hours of 

11 3 p.m. and 6 p.m. in the afternoon), mentoring pro12 grams, conflict resolution skills training, sports, 

13 arts, life skills, employment and recreation pro14 grams, summer jobs, and summer recreation pro15 grams, and alternative school resources for youth 

16 who have dropped out of school or demonstrate 

17 chronic truancy. 

18 (4) Health and mental health services, includ19 ing cognitive behavioral therapy, play therapy, and 

20 peer mentoring and counseling. 

21 (5) Substance abuse counseling and treatment 

22 services, including harm-reduction strategies. 

23 (6) Emergency, transitional, and permanent 

24 housing assistance (such as safe shelter and housing 

25 for runaway and homeless youth). 


SSpencer on DSK4SPTVN1PROD with BILLS
100 

•HR 2721 IH

1 (7) Targeted gang prevention, intervention, and 

2 exit services such as tattoo removal, successful mod3 els of anti-gang crime outreach programs (such as 

4 ‘‘street worker’’ programs), and other criminal street 

5 gang truce or peacemaking activities. 

6 (8) Training and education programs for preg7 nant teens and teen parents. 

8 (9) Alternatives to detention and confinement 

9 programs (such as mandated participation in com10 munity service, restitution, counseling, and intensive 

11 individual and family therapeutic approaches). 

12 (10) Pre-release, post-release, and reentry serv13 ices to assist detained and incarcerated youth with 

14 transitioning back into and reentering the commu15 nity. 

16 SEC. 514. AUTHORIZATION OF APPROPRIATIONS. 

17 Subject to the limitation under section 402(e), there 

18 are authorized to be appropriated for fiscal year 2015, 

19 such sums as may be necessary to carry out this subtitle 

20 and section 402. 


SSpencer on DSK4SPTVN1PROD with BILLS
101 

•HR 2721 IH

1 Subtitle B—PROMISE 

2 Implementation Grants 

3 SEC. 530. PROMISE IMPLEMENTATION GRANTS AUTHOR4 IZED. 

5 (a) PROMISE IMPLEMENTATION GRANTS AUTHOR6 IZED.—The Administrator of the Office of Juvenile Jus7 tice and Delinquency Prevention is authorized to award 

8 grants to units of local government and Indian tribes to 

9 assist PROMISE Coordinating Councils with imple10 menting PROMISE Plans developed pursuant to subtitle 

11 A. 

12 (b) GRANT DURATION AND AMOUNT.— 

13 (1) DURATION.—A grant awarded under this 

14 subtitle shall be for a three-year period. 

15 (2) MAXIMUM GRANT AMOUNT.—A grant 

16 awarded under this subtitle shall not be for more 

17 than $10,000,000 per year for each year of the 

18 grant period. 

19 (c) NON-FEDERAL FUNDS REQUIRED.—For each fis20 cal year during the three-year grant period for a grant 

21 under this subtitle, each unit of local government or In22 dian tribe receiving such a grant for a PROMISE Coordi23 nating Council shall provide, from non-Federal funds, in 

24 cash or in-kind, 25 percent of the costs of the activities 

25 carried out with such grant. 


SSpencer on DSK4SPTVN1PROD with BILLS
102 

•HR 2721 IH

1 (d) EVALUATION.—Of any funds provided to a unit 

2 of local government or an Indian tribe for a grant under 

3 this subtitle, not more than $100,000 shall be used to pro4 vide a contract to a competitively selected organization to 

5 assess the progress of the unit or tribe in addressing the 

6 unmet needs of youth in the community, in accordance 

7 with the performance measures under section 513(b)(7). 

8 SEC. 531. PROMISE IMPLEMENTATION GRANT APPLICA9 TION REQUIREMENTS. 

10 (a) APPLICATION REQUIRED.—To be eligible to re11 ceive a PROMISE Implementation grant under this sub12 title, a unit of local government or Indian tribe that re13 ceived a PROMISE Assessment and Planning grant under 

14 subtitle A shall submit an application to the Administrator 

15 of the Office of Juvenile Justice and Delinquency Preven16 tion not later than one year after the date such unit of 

17 local government or Indian tribe was awarded such grant 

18 under subtitle A, in such manner, and accompanied by 

19 such information, as the Administrator, after consultation 

20 with the organization under section 223(f)(1) of the Juve21 nile Justice and Delinquency Prevention Act of 1974 (42 

22 U.S.C. 5633(f)(1)), may require. 

23 (b) CONTENTS OF APPLICATION.—Each application 

24 submitted under subsection (a) shall— 


SSpencer on DSK4SPTVN1PROD with BILLS
103 

•HR 2721 IH

1 (1) identify potential savings from criminal jus2 tice costs, public assistance costs, and other costs 

3 avoided by utilizing evidence-based and promising 

4 practices related to juvenile delinquency and crimi5 nal street gang activity prevention and intervention; 

6 (2) document— 

7 (A) investment in evidence-based and 

8 promising practices related to juvenile delin9 quency and criminal street gang activity preven10 tion and intervention to be provided by the unit 

11 of local government or Indian tribe; 

12 (B) the activities to be undertaken with 

13 the grants funds; 

14 (C) any expected efficiencies in the juvenile 

15 justice or other local systems to be attained as 

16 a result of implementation of the programs 

17 funded by the grant; and 

18 (D) outcomes from such activities, in 

19 terms of the expected numbers related to re20 duced criminal activity; 

21 (3) describe how savings sustained from invest22 ment in prevention and intervention practices will be 

23 reinvested in the continuing implementation of the 

24 PROMISE Plan; and 


SSpencer on DSK4SPTVN1PROD with BILLS
104 

•HR 2721 IH

1 (4) provide an assurance that the local fiscal 

2 contribution with respect to evidence-based and 

3 promising practices related to juvenile delinquency 

4 and criminal street gang activity prevention and 

5 intervention in the community for which the PROM6 ISE Coordinating Council was established for each 

7 year of the grant period will not be less than the 

8 local fiscal contribution with respect to such prac9 tices in the community for the year preceding the 

10 first year of the grant period. 

11 SEC. 532. GRANT AWARD GUIDELINES. 

12 (a) SELECTION AND DISTRIBUTION.—Grants award13 ed under this subtitle shall be awarded on a competitive 

14 basis. The Administrator shall— 

15 (1) take such steps as may be necessary to en16 sure that grants are awarded to units of local gov17 ernments and Indian tribes in areas with the highest 

18 concentrations of youth who are— 

19 (A) at-risk of involvement in juvenile delin20 quency or criminal street gang activity; and 

21 (B) involved in juvenile delinquency or 

22 street gang activity and who are at high-risk of 

23 continued involvement; and 

24 (2) give consideration to the need for grants to 

25 be awarded to units of local governments and Indian 


SSpencer on DSK4SPTVN1PROD with BILLS
105 

•HR 2721 IH

1 tribes in each region of the United States, and 

2 among urban, suburban, and rural areas. 

3 (b) EXTENSION OF GRANT AWARD.—The Adminis4 trator may extend the grant period under section 

5 530(b)(1) for a PROMISE Implementation grant to a unit 

6 of local government or an Indian tribe, in accordance with 

7 regulations issued by the Administrator. 

8 (c) RENEWAL OF GRANT AWARD.—Subject to the 

9 availability of appropriations, the Administrator may 

10 renew a PROMISE Implementation grant to a unit of 

11 local government or an Indian tribe to provide such unit 

12 or tribe with additional funds to continue implementation 

13 of a PROMISE Plan. Such a renewal— 

14 (1) shall be initiated by an application for re15 newal from a unit of local government or an Indian 

16 tribe; 

17 (2) shall be carried out in accordance with reg18 ulations issued by the Administrator; and 

19 (3) shall not be granted unless the Adminis20 trator determines such a renewal to be appropriate 

21 based on the results of the evaluation conducted 

22 under section 523(a) with respect to the community 

23 of such unit or tribe for which a PROMISE Coordi24 nating Council was established, and for which such 

25 unit or tribe is applying for renewal. 


SSpencer on DSK4SPTVN1PROD with BILLS
106 

•HR 2721 IH

1 SEC. 533. REPORTS. 

2 Not later than one year after the end of the grant 

3 period for which a unit of local government or an Indian 

4 tribe receives a PROMISE Implementation grant, and an5 nually thereafter for as long as such unit or tribe con6 tinues to receive Federal funding for a PROMISE Coordi7 nating Council, such unit or tribe shall report to the Ad8 ministrator regarding the use of Federal funds to imple9 ment the PROMISE Plan developed under subtitle A. 

10 SEC. 534. AUTHORIZATION OF APPROPRIATIONS. 

11 There are authorized to be appropriated to carry out 

12 this subtitle such sums as may be necessary for each of 

13 the fiscal years 2015 through 2017. 

14 Subtitle C—General PROMISE 

15 Grant Provisions 

16 SEC. 540. NONSUPPLANTING CLAUSE. 

17 A unit of local government or Indian tribe receiving 

18 a grant under this title shall use such grant only to supple19 ment, and not supplant, the amount of funds that, in the 

20 absence of such grant, would be available to address the 

21 needs of youth in the community with respect to evidence22 based and promising practices related to juvenile delin23 quency and criminal street gang activity prevention and 

24 intervention. 


SSpencer on DSK4SPTVN1PROD with BILLS
107 

•HR 2721 IH

1 SEC. 541. GRANT APPLICATION REVIEW PANEL. 

2 The Administrator of the Office of Juvenile Justice 

3 and Delinquency Prevention, in conjunction with the 

4 PROMISE Advisory Panel, shall establish and utilize a 

5 transparent, reliable, and valid system for evaluating ap6 plications for PROMISE Assessment and Planning grants 

7 and for PROMISE Implementation grants, and shall de8 termine which applicants meet the criteria for funding, 

9 based primarily on a determination of greatest need (in 

10 accordance with section 402), with due consideration to 

11 other enumerated factors and the indicated ability of the 

12 applicant to successfully implement the program described 

13 in the application. 

14 SEC. 542. EVALUATION OF PROMISE GRANT PROGRAMS. 

15 Subject to the availability of appropriations under 

16 this title, the Administrator shall, in consultation with the 

17 organization provided assistance under section 223(f)(1) 

18 of the Juvenile Justice and Delinquency Prevention Act 

19 of 1974 (42 U.S.C. 5633(f)(1)), provide for an evaluation 

20 of the programs and activities carried out with grants 

21 under this title. In carrying out this section, the Adminis22 trator shall— 

23 (1) award grants to institutions of higher edu24 cation (including institutions that are eligible to re25 ceive funds under part F of title III of the Higher 

26 Education Act of 1965 (20 U.S.C. 1067q et seq.)), 


SSpencer on DSK4SPTVN1PROD with BILLS
108 

•HR 2721 IH

1 to facilitate the evaluation process and measurement 

2 of achieved outcomes; 

3 (2) identify evidence-based and promising prac4 tices used by PROMISE Coordinating Councils 

5 under PROMISE Implementation grants that have 

6 proven to be effective in preventing involvement in, 

7 or diverting further involvement in, juvenile delin8 quency or criminal street gang activity; and 

9 (3) ensure— 

10 (A) that such evaluation is based on the 

11 performance standards that are developed by 

12 the PROMISE Advisory Panel in accordance 

13 with section 223(g) of the Juvenile Justice and 

14 Delinquency Prevention Act of 1974 (as added 

15 by section 401(b) of title IV of this division); 

16 (B) the development of longitudinal and 

17 clinical trial evaluation and performance meas18 urements with regard to the evidence-based and 

19 promising practices funded under this title; and 

20 (C) the dissemination of the practices iden21 tified in paragraph (2) to units of local govern22 ment and Indian tribes to promote the use of 

23 such practices by such units and tribes to pre24 vent involvement in, or to divert further involveVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00108 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
109 

•HR 2721 IH

1 ment in, juvenile delinquency or criminal street 

2 gang activity. 

3 DIVISION B—HOUSING 

4 TITLE VI—COMMON SENSE 

5 HOUSING INVESTMENT 

6 SEC. 601. CONGRESSIONAL FINDINGS. 

7 The Congress finds the following: 

8 (1) Two principal Federal housing goals are to 

9 increase the rate of home ownership and make rent10 al housing affordable for low-income families and in11 dividuals. 

12 (2) Much more progress has been achieved on 

13 the first goal than on the second goal. 

14 (3) The Federal Government devotes more than 

15 three times the amount of budgetary resources to 

16 supporting home ownership than it devotes to mak17 ing affordable rental housing available. 

18 (4) The burden of housing costs is more pro19 nounced among renters than among owners. 

20 (5) There is a shortage of more than 7 million 

21 homes affordable to families in the bottom 20 per22 cent of income, meaning that there are only 30 af23 fordable units for every 100 families. 

24 (6) Only one in four families that qualify for 

25 rental housing assistance receives benefits. 


SSpencer on DSK4SPTVN1PROD with BILLS
110 

•HR 2721 IH

1 (7) Housing assistance waiting lists can be 10 

2 years long and in many communities are closed. 

3 (8) The shortage of rental homes that are af4 fordable for extremely low-income households to be 

5 the principal cause of homelessness in the United 

6 States. 

7 (9) Public housing facilities in the United 

8 States have more than $26 billion in deferred main9 tenance after decades of neglect which results in a 

10 loss of 10,000 units each year. 

11 (10) The low-income housing tax credit success12 fully provides 100,000 units of affordable housing 

13 every year. 

14 (11) Every tax reform commission has rec15 ommended capping the mortgage interest deduction 

16 and converting it to a fairer and simpler credit. 

17 (12) More than 75 percent of the value of the 

18 mortgage interest deduction inures to the benefit of 

19 the top 20 percent of earners. 

20 (13) Fewer than half of tax filers with a home 

21 mortgage claim the mortgage interest deduction. 

22 (14) Only 9 percent of rural tax filers claim the 

23 mortgage interest deduction. 

24 (15) Ninety-six percent of homes sold between 

25 2005 and 2011 sold for less than $500,000. 


SSpencer on DSK4SPTVN1PROD with BILLS
111 

•HR 2721 IH

1 (16) A better approach that provides equitable 

2 benefits for families who buy homes, enables more 

3 low- and moderate-income homeowners to receive a 

4 benefit, and invests in affordable rental housing to 

5 assist those who used to be homeless or who have 

6 extremely or very low incomes is needed to strength7 en families and communities. 

8 SEC. 602. REPLACEMENT OF MORTGAGE INTEREST DEDUC9 TION WITH MORTGAGE INTEREST CREDIT. 

10 (a) NONREFUNDABLE CREDIT.—Subpart A of part 

11 IV of subchapter A of chapter 1 of the Internal Revenue 

12 Code of 1986 (relating to nonrefundable personal credits) 

13 is amended by inserting after section 25D the following 

14 new section: 

15 ‘‘SEC. 25E. INTEREST ON INDEBTEDNESS SECURED BY 

16 QUALIFIED RESIDENCE. 

17 ‘‘(a) ALLOWANCE OF CREDIT.—In the case of an in18 dividual, there shall be allowed as a credit against the tax 

19 imposed by this chapter for the taxable year an amount 

20 equal to 15 percent of the qualified residence interest paid 

21 or accrued during the taxable year. 

22 ‘‘(b) QUALIFIED RESIDENCE INTEREST.—For pur23 poses of this section— 


SSpencer on DSK4SPTVN1PROD with BILLS
112 

•HR 2721 IH

1 ‘‘(1) IN GENERAL.—The term ‘qualified resi2 dence interest’ means interest which is paid or ac3 crued during the taxable year on— 

4 ‘‘(A) acquisition indebtedness with respect 

5 to any qualified residence of the taxpayer, or 

6 ‘‘(B) home equity indebtedness with re7 spect to any qualified residence of the taxpayer. 

8 For purposes of the preceding sentence, the deter9 mination of whether any property is a qualified resi10 dence of the taxpayer shall be made as of the time 

11 the interest is accrued. 

12 ‘‘(2) OVERALL LIMITATION.—The aggregate 

13 amount of indebtedness taken into account for any 

14 period for purposes of this section shall not exceed 

15 $500,000 ($250,000 in the case of a married indi16 vidual filing a separate return). 

17 ‘‘(3) ACQUISITION INDEBTEDNESS.—The term 

18 ‘acquisition indebtedness’ means any indebtedness 

19 which— 

20 ‘‘(A) is incurred in acquiring, constructing, 

21 or substantially improving any qualified resi22 dence of the taxpayer, and 

23 ‘‘(B) is secured by such residence. 

24 Such term also includes any indebtedness secured by 

25 such residence resulting from the refinancing of inVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00112 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
113 

•HR 2721 IH

1 debtedness meeting the requirements of the pre2 ceding sentence (or this sentence), but only to the 

3 extent the amount of the indebtedness resulting 

4 from such refinancing does not exceed the amount of 

5 the refinanced indebtedness. 

6 ‘‘(4) HOME EQUITY INDEBTEDNESS.— 

7 ‘‘(A) IN GENERAL.—The term ‘home eq8 uity indebtedness’ means any indebtedness 

9 (other than acquisition indebtedness) secured 

10 by a qualified residence to the extent the aggre11 gate amount of such indebtedness does not ex12 ceed— 

13 ‘‘(i) the fair market value of such 

14 qualified residence, reduced by 

15 ‘‘(ii) the amount of acquisition indebt16 edness with respect to such residence. 

17 ‘‘(B) LIMITATION.—The aggregate amount 

18 treated as home equity indebtedness for any pe19 riod shall not exceed $100,000 ($50,000 in the 

20 case of a married individual filing a separate re21 turn). 

22 ‘‘(c) SPECIAL RULES.—For purposes of this sec23 tion— 

24 ‘‘(1) QUALIFIED RESIDENCE.—The term ‘quali25 fied residence’ means— 


SSpencer on DSK4SPTVN1PROD with BILLS
114 

•HR 2721 IH

1 ‘‘(A) the principal residence (within the 

2 meaning of section 121) of the taxpayer, and 

3 ‘‘(B) 1 other residence of the taxpayer 

4 which is selected by the taxpayer for purposes 

5 of this subsection for the taxable year and 

6 which is used by the taxpayer as a residence 

7 (within the meaning of section 280A(d)(1)). 

8 ‘‘(2) MARRIED INDIVIDUALS FILING SEPARATE

9 RETURNS.—If a married couple does not file a joint 

10 return for the taxable year— 

11 ‘‘(A) such couple shall be treated as 1 tax12 payer for purposes of paragraph (1), and 

13 ‘‘(B) each individual shall be entitled to 

14 take into account 1 residence unless both indi15 viduals consent in writing to 1 individual taking 

16 into account the principal residence and 1 other 

17 residence. 

18 ‘‘(3) RESIDENCE NOT RENTED.—For purposes 

19 of paragraph (1)(B), notwithstanding section 

20 280A(d)(1), if the taxpayer does not rent a dwelling 

21 unit at any time during a taxable year, such unit 

22 may be treated as a residence for such taxable year. 

23 ‘‘(4) UNENFORCEABLE SECURITY INTERESTS.— 

24 Indebtedness shall not fail to be treated as secured 

25 by any property solely because, under any applicable 


SSpencer on DSK4SPTVN1PROD with BILLS
115 

•HR 2721 IH

1 State or local homestead or other debtor protection 

2 law in effect on August 16, 1986, the security inter3 est is ineffective or the enforceability of the security 

4 interest is restricted. 

5 ‘‘(5) SPECIAL RULES FOR ESTATES AND

6 TRUSTS.—For purposes of determining whether any 

7 interest paid or accrued by an estate or trust is 

8 qualified residence interest, any residence held by 

9 such estate or trust shall be treated as a qualified 

10 residence of such estate or trust if such estate or 

11 trust establishes that such residence is a qualified 

12 residence of a beneficiary who has a present interest 

13 in such estate or trust or an interest in the resid14 uary of such estate or trust. 

15 ‘‘(d) COORDINATION WITH DEDUCTION.—In the case 

16 of any taxable year beginning in calendar years 2016 

17 through 2020, the taxpayer may elect to apply this section 

18 in lieu of the deduction under section 163 for qualified 

19 residence interest.’’. 

20 (b) PHASEOUT OF DEDUCTION.—Section 163(h) of 

21 such Code is amended by adding at the end the following 

22 new paragraph: 

23 ‘‘(6) PHASEOUT.— 

24 ‘‘(A) IN GENERAL.—In the case of any 

25 taxable year beginning in a calendar year after 


SSpencer on DSK4SPTVN1PROD with BILLS
116 

•HR 2721 IH

1 2015, the amount otherwise allowable as a de2 duction by reason of paragraph (2)(D) shall be 

3 the applicable percentage of such amount. 

4 ‘‘(B) APPLICABLE PERCENTAGE.—For 

5 purposes of subparagraph (A), the applicable 

6 percentage shall be determined in accordance 

7 with the following table: 

‘‘For taxable years beginning in calendar year: The applicable 

percentage is: 

2016 ............................................................................................ 100%

2017 ............................................................................................ 80%

2018 ............................................................................................ 60%

2019 ............................................................................................ 40%

2020 ............................................................................................ 20%

2021 and thereafter .................................................................... 0%.’’. 

8 (c) PHASEDOWN OF MORTGAGE LIMIT.—Subpara9 graph (B) of section 163(h)(3) of such Code is amended 

10 by adding at the end the following: 

11 ‘‘(iii) PHASEDOWN.— 

12 ‘‘(I) IN GENERAL.—In the case 

13 of any taxable year beginning in cal14 endar years 2016 through 2020, 

15 clause (ii) shall be applied by sub16 stituting the amounts specified in the 

17 table in subclause (II) of this clause 

18 for ‘$1,000,000’ and ‘$500,000’, re19 spectively. 


SSpencer on DSK4SPTVN1PROD with BILLS
117 

•HR 2721 IH

1 ‘‘(II) PHASEDOWN AMOUNTS.— 

2 For purposes of subclause (I), the 

3 amounts specified in this subclause 

4 for a taxable year shall be the 

5 amounts specified in the following 

6 table: 

‘‘For taxable years beginning in calendar year: 

Amount 

substituted 

for 

$1,000,000: 

Amount 

substituted 

for 

$500,000: 

2016 ........................................................................ $1,000,000 $500,000

2017 ........................................................................ $900,000 $450,000

2018 ........................................................................ $800,000 $400,000

2019 ........................................................................ $700,000 $350,000

2020 ........................................................................ $600,000 $300,000.’’. 

7 (d) CLERICAL AMENDMENT.—The table of sections 

8 for subpart A of part IV of subchapter A of chapter 1 

9 of such Code is amended by inserting after section 25D 

10 the following new item: 

‘‘Sec. 25E. Interest on indebtedness secured by qualified residence.’’. 

11 (e) EFFECTIVE DATE.—The amendments made by 

12 this section shall apply with respect to interest paid or 

13 accrued after December 31, 2015. 


SSpencer on DSK4SPTVN1PROD with BILLS
118 

•HR 2721 IH

1 SEC. 603. DEDUCTION ALLOWED FOR INTEREST AND TAXES 

2 RELATING TO LAND FOR DWELLING PUR3 POSES OWNED OR LEASED BY COOPERATIVE 

4 HOUSING CORPORATIONS. 

5 (a) IN GENERAL.—Subparagraph (B) of section 

6 216(b)(1) of the Internal Revenue Code of 1986 is amend7 ed by inserting ‘‘or land,’’ after ‘‘building,’’. 

8 (b) EFFECTIVE DATE.—The amendment made by 

9 subsection (a) shall apply to amounts paid or accrued after 

10 December 31, 2014. 

11 SEC. 604. USE OF MORTGAGE INTEREST SAVINGS TO IN12 CREASE LOW-INCOME HOUSING TAX CREDIT. 

13 (a) IN GENERAL.—Subclause (I) of section 

14 42(h)(3)(C)(ii) of the Internal Revenue Code of 1986 is 

15 amended by striking ‘‘$1.75’’ and inserting ‘‘$2.70’’. 

16 (b) INFLATION ADJUSTMENT.—Subparagraph (H) of 

17 section 42(h)(3) of such Code is amended to read as fol18 lows: 

19 ‘‘(H) COST-OF-LIVING ADJUSTMENT.— 

20 ‘‘(i) IN GENERAL.—In the case of a 

21 calendar year after 2002, the $2,000,000 

22 amount in subparagraph (C) shall be in23 creased by an amount equal to— 

24 ‘‘(I) such dollar amount, multi25 plied by 


SSpencer on DSK4SPTVN1PROD with BILLS
119 

•HR 2721 IH

1 ‘‘(II) the cost-of-living adjust2 ment determined under section 1(f)(3) 

3 for such calendar year by substituting 

4 ‘calendar year 2001’ for ‘calendar 

5 year 1992’ in subparagraph (B) there6 of. 

7 ‘‘(ii) PER CAPITA AMOUNT.—In the 

8 case of a calendar year after 2015, the 

9 $2.70 amount in subparagraph (C) shall 

10 be increased by an amount equal to— 

11 ‘‘(I) such dollar amount, multi12 plied by 

13 ‘‘(II) the cost-of-living adjust14 ment determined under section 1(f)(3) 

15 for such calendar year by substituting 

16 ‘calendar year 2014’ for ‘calendar 

17 year 1992’ in subparagraph (B) there18 of. 

19 ‘‘(iii) ROUNDING.— 

20 ‘‘(I) In the case of the 

21 $2,000,000 amount, any increase 

22 under clause (i) which is not a mul23 tiple of $5,000 shall be rounded to the 

24 next lowest multiple of $5,000. 


SSpencer on DSK4SPTVN1PROD with BILLS
120 

•HR 2721 IH

1 ‘‘(II) In the case of the $2.70 

2 amount, any increase under clause (ii) 

3 which is not a multiple of 5 cents 

4 shall be rounded to the next lowest 

5 multiple of 5 cents.’’. 

6 (c) ELIGIBLE BASIS.—Clause (i) of section 

7 42(d)(5)(B) of such Code is amended by striking ‘‘and’’ 

8 at the end of subclause (I), by striking the period at the 

9 end of subclause (II) and inserting ‘‘, and’’, and by adding 

10 at the end the following: 

11 ‘‘(III) in the case of a building 

12 containing units which are designated 

13 to serve extremely low-income house14 holds by the State housing credit 

15 agency and require the increase in 

16 credit under this subparagraph in 

17 order for such building to be finan18 cially feasible as part of a qualified 

19 low-income housing project, the eligi20 ble basis of such building determined 

21 by the portion of such units shall be 

22 150 percent of such basis determined 

23 without regard to this subpara24 graph.’’. 


SSpencer on DSK4SPTVN1PROD with BILLS
121 

•HR 2721 IH

1 (d) EFFECTIVE DATE.—The amendments made by 

2 this section shall apply to allocations made in calendar 

3 years beginning after December 31, 2014. 

4 SEC. 605. USE OF MORTGAGE INTEREST SAVINGS FOR AF5 FORDABLE HOUSING PROGRAMS. 

6 (a) USE OF SAVINGS.—For each year, the Secretary 

7 of the Treasury shall determine the amount of revenues 

8 accruing to the general fund of the Treasury by reason 

9 of the enactment of section 602 that remain after use of 

10 such revenues in accordance with section 604 and shall 

11 credit an amount equal to such remaining revenues as fol12 lows: 

13 (1) HOUSING TRUST FUND.—The Secretary 

14 shall credit the Housing Trust Fund established 

15 under section 1338 of the Federal Housing Enter16 prises Financial Safety and Soundness Act of 1992 

17 (12 U.S.C. 4568) with an amount equal to 60 per18 cent of the amount of such remaining revenues. 

19 (2) SECTION 8 RENTAL ASSISTANCE.—The Sec20 retary shall credit an amount equal to 30 percent of 

21 the amount of such remaining revenues to the Sec22 retary of Housing and Urban Development for use 

23 only for providing tenant- and project-based rental 

24 assistance under section 8 of the United States 

25 Housing Act of 1937 (42 U.S.C. 1437f). 


SSpencer on DSK4SPTVN1PROD with BILLS
122 

•HR 2721 IH

1 (3) PUBLIC HOUSING CAPITAL FUND.—The 

2 Secretary shall credit an amount equal to 10 percent 

3 of the amount of such remaining revenues to the 

4 Public Housing Capital Fund under section 9(d) of 

5 the United States Housing Act of 1937 (42 U.S.C. 

6 1437g(d)). 

7 (b) CHANGES TO HOUSING TRUST FUND.—Not later 

8 than the expiration of the 6-month period beginning on 

9 the date of the enactment of this Act, the Secretary of 

10 Housing and Urban Development shall revise the regula11 tions relating to the Housing Trust Fund established 

12 under section 1338 of the Federal Housing Enterprises 

13 Financial Safety and Soundness Act of 1992 (12 U.S.C. 

14 4568) to provide that such section is carried out with the 

15 maximum amount of flexibility possible while complying 

16 with such section, which shall include revising such regula17 tions— 

18 (1) to increase the limitation on amounts from 

19 the Fund that are available for use for operating as20 sistance for housing; 

21 (2) to allow public housing agencies and tribally 

22 designated housing entities to be recipient of grants 

23 amounts from the Fund that are allocated to a State 

24 or State designated entity; and 


SSpencer on DSK4SPTVN1PROD with BILLS
123 

•HR 2721 IH

1 (3) eliminate the applicability of rules for the 

2 Fund that are based on the HOME Investment 

3 Partnerships Act (42 U.S.C. 1721 et seq.). 

4 TITLE VII—LOW-INCOME HOUS5 ING TAX CREDIT FOR HOME6 LESS YOUTH 

7 SEC. 701. STUDENTS WHO WERE HOMELESS YOUTHS OR 

8 HOMELESS VETERANS PERMITTED TO OC9 CUPY LOW-INCOME HOUSING UNITS. 

10 (a) IN GENERAL.—Section 42(i)(3)(D)(i) of the In11 ternal Revenue Code of 1986 is amended by redesignating 

12 subclauses (II) and (III) as subclauses (IV) and (V) and 

13 inserting after subclause (I) the following new subclauses: 

14 ‘‘(II) a student who was (prior to 

15 occupying such unit) a homeless child 

16 or youth (as defined in section 725 of 

17 the McKinney-Vento Homeless Assist18 ance Act), 

19 ‘‘(III) a student who was (prior 

20 to occupying such unit) a homeless 

21 veteran (as defined in section 2002 of 

22 title 38, United States Code),’’. 

23 (b) EFFECTIVE DATE.—The amendments made by 

24 this section shall apply to determinations made on or after 

25 the date of the enactment of this Act. 


SSpencer on DSK4SPTVN1PROD with BILLS
124 

•HR 2721 IH

1 TITLE VIII—RENTERS TAX 

2 CREDIT 

3 SEC. 801. RENTERS TAX CREDIT. 

4 (a) IN GENERAL.—Subpart D of part IV of sub5 chapter A of chapter 1 of the Internal Revenue Code of 

6 1986 is amended by adding at the end the following new 

7 section: 

8 ‘‘SEC. 45S. RENTERS CREDIT. 

9 ‘‘(a) IN GENERAL.—For purposes of section 38, in 

10 the case of a qualified credit recipient, the renters credit 

11 for any taxable year is an amount equal to the sum of 

12 the renters credit amounts allocated to such qualified 

13 credit recipient under this section for months ending dur14 ing the taxable year. 

15 ‘‘(b) RENTERS CREDIT AMOUNT.— 

16 ‘‘(1) IN GENERAL.—For purposes of this sec17 tion, the term ‘renters credit amount’ means the 

18 rent reduction amount with respect to each rental 

19 unit which is occupied by a qualified renter. 

20 ‘‘(2) QUALIFIED RENTER.—For purposes of 

21 this section, the term ‘qualified renter’ means a fam22 ily unit with income not greater than the higher of— 

23 ‘‘(A) 60 percent of local median income, or 

24 ‘‘(B) 150 percent of the Federal poverty 

25 line, 


SSpencer on DSK4SPTVN1PROD with BILLS
125 

•HR 2721 IH

1 in each case as determined by the Secretary of 

2 Housing and Urban Development for a family of the 

3 size involved. 

4 ‘‘(3) RENT REDUCTION AMOUNT.—For pur5 poses of this section— 

6 ‘‘(A) IN GENERAL.—The term ‘rent reduc7 tion amount’ is the amount by which the fair 

8 market rent for the unit involved exceeds the 

9 rent charged to the qualified renter. 

10 ‘‘(B) LIMITATION.—The rent reduction 

11 amount taken into account under this section 

12 shall not exceed the excess of— 

13 ‘‘(i) the rent charged to the qualified 

14 renter (or, if lower, specified modest rent), 

15 over 

16 ‘‘(ii) 30 percent of the qualified rent17 ers income (prorated monthly) as deter18 mined by the renters credit agency of the 

19 State. 

20 ‘‘(C) SPECIFIED MODEST RENT.—The 

21 term ‘specified modest rent’ means— 

22 ‘‘(i) the Fair Market Rent determined 

23 by the Secretary of Housing and Urban 

24 Development for the ZIP code (if the unit 


SSpencer on DSK4SPTVN1PROD with BILLS
126 

•HR 2721 IH

1 is located in a metropolitan area) or non2 metropolitan county, or 

3 ‘‘(ii) such amount as may be deter4 mined by the State with respect to the 

5 area in which the unit is located if such 

6 amount is within 25 percent of the amount 

7 determined under clause (i) with respect to 

8 such unit. 

9 ‘‘(D) UTILITIES.—The renters credit agen10 cy of the State may determine whether and how 

11 to take into account the cost of utilities in de12 termining the rent reduction amount. 

13 ‘‘(E) CREDIT ADJUSTMENT.—The renters 

14 credit agency of the State may elect to increase 

15 the rent reduction amount such that such 

16 amount does not exceed 110 percent of such 

17 amount as determined without regard to this 

18 subparagraph. 

19 ‘‘(c) QUALIFIED CREDIT RECIPIENT.—For purposes 

20 of this section, the term ‘qualified credit recipient’ means, 

21 with respect to any rental unit occupied by a qualified 

22 renter, the owner of such unit but only to the extent of 

23 the renters credit amounts which have been allocated to 

24 such person by the renters credit agency. In lieu of the 

25 owner of the unit, the renters credit agency may treat the 


SSpencer on DSK4SPTVN1PROD with BILLS
127 

•HR 2721 IH

1 lender of any loan to such owner as the qualified credit 

2 recipient if such unit secures such loan. 

3 ‘‘(d) ALLOCATIONS BY RENTERS CREDIT AGENCY TO

4 CREDIT RECIPIENTS.— 

5 ‘‘(1) IN GENERAL.—The renters credit agency 

6 may make allocations of renters credit amounts to 

7 qualified credit recipients under this section on the 

8 basis of— 

9 ‘‘(A) the identity of the qualified renter, 

10 such that the renters credit amount is allowed 

11 to the owner of any rental unit which such 

12 qualified renter occupies (or the lender referred 

13 to in subsection (c)) for any month, or 

14 ‘‘(B) one or more rental units, such that 

15 the renters credit amount is allowed to the 

16 owner of such units (or the lender referred to 

17 in subsection (c)) for such months as such units 

18 are occupied by a qualified renter. 

19 ‘‘(2) RESTRICTIONS ON UNIT BASED ALLOCA20 TIONS.—A renters credit agency may make alloca21 tions of renters credit as described in paragraph 

22 (1)(B) only if— 

23 ‘‘(A) such units are part of a project or 

24 building in which not more than 40 percent of 

25 the units receive allocations under this section 


SSpencer on DSK4SPTVN1PROD with BILLS
128 

•HR 2721 IH

1 (the Secretary may provide such exceptions to 

2 the requirement of this subparagraph as the 

3 Secretary determines appropriate for small 

4 buildings or buildings with respect to which 

5 more than 40 percent of the units were pre6 viously subsidized under other Federal pro7 grams), and 

8 ‘‘(B) the Secretary has approved a mobility 

9 plan submitted by such renters credit agency 

10 which provides for an adequate method to en11 sure that qualified renters have the ability to 

12 move from a unit which is eligible for credit 

13 under this section without losing the rent sub14 sidy provided by this section. 

15 ‘‘(e) ALLOCATIONS OF CREDIT AUTHORITY TO

16 STATE AGENCIES.— 

17 ‘‘(1) RENTERS CREDIT DOLLAR AMOUNT FOR

18 AGENCIES.— 

19 ‘‘(A) STATE LIMITATION.—The aggregate 

20 credit amounts which a renters credit agency 

21 may allocate for any calendar year is the por22 tion of the State renters credit ceiling allocated 

23 under this paragraph for such calendar year to 

24 such agency. 


SSpencer on DSK4SPTVN1PROD with BILLS
129 

•HR 2721 IH

1 ‘‘(B) STATE CEILING INITIALLY ALLO2 CATED TO STATE HOUSING CREDIT AGEN3 CIES.—Except as provided in subparagraphs 

4 (D) and (E), the State renters credit ceiling for 

5 each calendar year shall be allocated to the 

6 renters credit agency of such State. If there is 

7 more than 1 renters credit agency of a State, 

8 all such agencies shall be treated as a single 

9 agency. 

10 ‘‘(C) STATE RENTERS CREDIT CEILING.— 

11 The State renters credit ceiling applicable to 

12 any State and any calendar year shall be an 

13 amount equal to the sum of— 

14 ‘‘(i) the unused State renters credit 

15 ceiling (if any) of such State for the pre16 ceding calendar year, 

17 ‘‘(ii) the greater of— 

18 ‘‘(I) $17.50 multiplied by the 

19 State population, or 

20 ‘‘(II) $20,000,000, 

21 ‘‘(iii) the amount of State renters 

22 credit ceiling returned in the calendar year, 

23 plus 


SSpencer on DSK4SPTVN1PROD with BILLS
130 

•HR 2721 IH

1 ‘‘(iv) the amount (if any) allocated 

2 under subparagraph (D) to such State by 

3 the Secretary. 

4 For purposes of clause (i), the unused State 

5 renters credit ceiling for any calendar year is 

6 the excess (if any) of the sum of the amounts 

7 described in clauses (ii) through (iv) over the 

8 aggregate renters credit dollar amount allocated 

9 for such year. 

10 ‘‘(D) UNUSED RENTERS CREDIT

11 CARRYOVERS ALLOCATED AMONG CERTAIN

12 STATES.— 

13 ‘‘(i) IN GENERAL.—The unused rent14 ers credit carryover of a State for any cal15 endar year shall be assigned to the Sec16 retary for allocation among qualified 

17 States for the succeeding calendar year. 

18 ‘‘(ii) UNUSED RENTERS CREDIT CAR19 RYOVER.—For purposes of this subpara20 graph, the unused renters credit carryover 

21 of a State for any calendar year is the ex22 cess (if any) of— 

23 ‘‘(I) the unused State renters 

24 credit ceiling for the year preceding 

25 such year, over 


SSpencer on DSK4SPTVN1PROD with BILLS
131 

•HR 2721 IH

1 ‘‘(II) the aggregate renters credit 

2 dollar amount allocated for such year. 

3 ‘‘(iii) FORMULA FOR ALLOCATION OF

4 UNUSED HOUSING CREDIT CARRYOVERS

5 AMONG QUALIFIED STATES.—The amount 

6 allocated under this subparagraph to a 

7 qualified State for any calendar year shall 

8 be the amount determined by the Secretary 

9 to bear the same ratio to the aggregate un10 used renters credit carryovers of all States 

11 for the preceding calendar year as such 

12 State’s population for the calendar year 

13 bears to the population of all qualified 

14 States for the calendar year. For purposes 

15 of the preceding sentence, population shall 

16 be determined in accordance with section 

17 146(j). 

18 ‘‘(iv) QUALIFIED STATE.—For pur19 poses of this subparagraph, the term 

20 ‘qualified State’ means, with respect to a 

21 calendar year, any State— 

22 ‘‘(I) which allocated its entire 

23 State renters credit ceiling for the 

24 preceding calendar year, and 


SSpencer on DSK4SPTVN1PROD with BILLS
132 

•HR 2721 IH

1 ‘‘(II) for which a request is made 

2 (not later than May 1 of the calendar 

3 year) to receive an allocation under 

4 clause (iii). 

5 ‘‘(E) APPLICATION OF CERTAIN RULES.— 

6 For purposes of this paragraph, rules similar to 

7 the rules of subparagraphs (E), (F), and (G) of 

8 section 42(h)(3) shall apply. 

9 ‘‘(F) INFLATION ADJUSTMENT.— 

10 ‘‘(i) IN GENERAL.—In the case of a 

11 calendar year after 2015, the $20,000,000 

12 and $17.50 amounts in subparagraph (C) 

13 shall each be increased by an amount equal 

14 to— 

15 ‘‘(I) such dollar amount, multi16 plied by 

17 ‘‘(II) the cost-of-living adjust18 ment determined under section 1(f)(3) 

19 for such calendar year by substituting 

20 ‘calendar year 2001’ for ‘calendar 

21 year 1992’ in subparagraph (B) there22 of. 

23 ‘‘(ii) ROUNDING.— 

24 ‘‘(I) In the case of the 

25 $20,000,000 amount, any increase 


SSpencer on DSK4SPTVN1PROD with BILLS
133 

•HR 2721 IH

1 under clause (i) which is not a mul2 tiple of $50,000 shall be rounded to 

3 the next lowest multiple of $50,000. 

4 ‘‘(II) In the case of the $17.50 

5 amount, any increase under clause (i) 

6 which is not a multiple of 50 cents 

7 shall be rounded to the next lowest 

8 multiple of 50 cents. 

9 ‘‘(f) OTHER DEFINITIONS.—For purposes of this sec10 tion— 

11 ‘‘(1) RENTERS CREDIT AGENCY.—The term 

12 ‘renters credit agency’ means, with respect to any 

13 State, the housing credit agency of such State (as 

14 defined in section 42(h)(8)(A)) or such other agency 

15 as is authorized to carry out the activities of the 

16 renters credit agency under this section. 

17 ‘‘(2) POSSESSIONS TREATED AS STATES.—The 

18 term ‘State’ includes a possession of the United 

19 States. 

20 ‘‘(g) REGULATIONS.—The Secretary shall prescribe 

21 such regulations as may be necessary or appropriate to 

22 carry out the purposes of this section.’’. 

23 (b) CREDIT TO BE PART OF GENERAL BUSINESS

24 CREDIT.— 


SSpencer on DSK4SPTVN1PROD with BILLS
134 

•HR 2721 IH

1 (1) IN GENERAL.—Subsection (b) of section 38 

2 of such Code is amended by striking ‘‘plus’’ at the 

3 end of paragraph (35), by striking the period at the 

4 end of paragraph (36) and inserting ‘‘, plus’’, and 

5 by adding at the end the following new paragraph: 

6 ‘‘(37) the renters credit determined under sec7 tion 45S(a).’’. 

8 (2) CREDIT ALLOWABLE AGAINST ALTERNATIVE

9 MINIMUM TAX.—Subparagraph (B) of section 

10 38(c)(4) of such Code is amended by redesignating 

11 clauses (vii) through (ix) as clauses (viii) through 

12 (x), respectively, and by inserting after clause (vi) 

13 the following new clause: 

14 ‘‘(vii) the credit determined under sec15 tion 45S,’’. 

16 (c) CLERICAL AMENDMENT.—The table of sections 

17 for subpart D of part IV of subchapter A of chapter 1 

18 of such Code is amended by adding at the end the fol19 lowing new item: 

‘‘Sec. 45S. Renters credit.’’. 

20 (d) EFFECTIVE DATE.—The amendments made by 

21 this section shall apply to allocations made for calendar 

22 years after 2014 and to taxable years ending after Decem23 ber 31, 2014. 


SSpencer on DSK4SPTVN1PROD with BILLS
135 

•HR 2721 IH

1 DIVISION C—NUTRITION 

2 TITLE IX—IMPROVING TEM3 PORARY ASSISTANCE TO 

4 NEEDY FAMILIES PROGRAM 

5 SEC. 901. REFERENCES. 

6 Except as otherwise expressly provided in this title, 

7 wherever in this title an amendment or repeal is expressed 

8 in terms of an amendment to, or repeal of, a section or 

9 other provision, the amendment or repeal shall be consid10 ered to be made to a section or other provision of the So11 cial Security Act. 

12 SEC. 902. STATE PLANS REQUIRED TO ADDRESS WHETHER 

13 AND HOW STATES WILL PROVIDE ASSIST14 ANCE TO NEEDIEST GEOGRAPHIC AREAS. 

15 Section 402(a)(1)(A)(i) (42 U.S.C. 602(a)(1)(A)(i)) 

16 is amended by inserting ‘‘, including whether and how the 

17 State will give priority to providing benefits and services 

18 in areas of the State with the greatest need (such as areas 

19 with the greatest unemployment rates, the greatest pov20 erty rates, and the least job opportunity to population ra21 tios)’’ before the period. 

22 SEC. 903. FUNDING OF THE TANF PROGRAM. 

23 (a) STATE FAMILY ASSISTANCE GRANT.— 

24 (1) IN GENERAL.—Section 403(a)(1) (42 

25 U.S.C. 603(a)(1)) is amended— 


SSpencer on DSK4SPTVN1PROD with BILLS
136 

•HR 2721 IH

1 (A) in subparagraph (A), by striking ‘‘fis2 cal year 2012’’ and inserting ‘‘fiscal year 2013 

3 and each succeeding fiscal year’’; and 

4 (B) by striking subparagraphs (B) and (C) 

5 and inserting the following: 

6 ‘‘(B) STATE FAMILY ASSISTANCE

7 GRANT.— 

8 ‘‘(i) IN GENERAL.—The State family 

9 assistance grant payable to a State for a 

10 fiscal year shall be the greater of— 

11 ‘‘(I) the adjusted basic block 

12 grant, plus the amount required to be 

13 paid to the State under paragraph (3) 

14 (as in effect on September 30, 2010) 

15 for fiscal year 2010; or 

16 ‘‘(II) the amount required to be 

17 paid to the State under this para18 graph for the preceding fiscal year. 

19 ‘‘(ii) ADJUSTED BASIC BLOCK

20 GRANT.—In clause (i), the term ‘adjusted 

21 block grant’ means, with respect to a 

22 State, the product of— 

23 ‘‘(I) the amount required to be 

24 paid to the State under this para25 graph for fiscal year 2010 (deterVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00136 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
137 

•HR 2721 IH

1 mined without regard to any reduction 

2 pursuant to section 409 or 412(a)(1)); 

3 ‘‘(II) 1.00, plus the percentage 

4 (if any) by which the average of the 

5 CPI for the 12-month period ending 

6 with June of the preceding fiscal year 

7 exceeds the average of the CPI for the 

8 12-month period ending with June 

9 1996, expressed as a decimal; and 

10 ‘‘(III) 1.00, plus the percentage 

11 (if any) by which the most recent esti12 mate by the Bureau of the Census of 

13 the population of the State that has 

14 not attained 18 years of age exceeds 

15 the most recent estimate by the Bu16 reau of the Census of that population 

17 as of July 1, 1996, expressed as a 

18 decimal. 

19 ‘‘(iii) CPI DEFINED.—In clause (ii), 

20 the term ‘CPI’ means the last Consumer 

21 Price Index for All Urban Consumers pub22 lished by the Department of Labor for the 

23 period involved. 

24 ‘‘(C) APPROPRIATION.—Out of any money 

25 in the Treasury of the United States not otherVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00137 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
138 

•HR 2721 IH

1 wise appropriated, there are appropriated such 

2 sums as are necessary for grants under this 

3 paragraph for each fiscal year.’’. 

4 (2) CONFORMING AMENDMENT TO ELIMINATE

5 SUPPLEMENTAL GRANTS FOR POPULATION IN6 CREASES IN CERTAIN STATES.—Section 403(a) (42 

7 U.S.C. 603(a)) is amended by striking paragraph 

8 (3). 

9 (b) PENALTY FOR FAILURE TO MAINTAIN EFFORT

10 ADJUSTED FOR INFLATION.—Section 409(a)(7) (42 

11 U.S.C. 609(a)(7)) is amended— 

12 (1) in subparagraph (A), by inserting ‘‘the in13 flation-adjusted’’ before ‘‘historic State expendi14 tures’’; and 

15 (2) in subparagraph (B), by redesignating 

16 clauses (iii) through (v) as clauses (iv) through (vi), 

17 respectively, and inserting after clause (ii) the fol18 lowing: 

19 ‘‘(iii) INFLATION-ADJUSTED HISTORIC

20 STATE EXPENDITURES.—The term ‘infla21 tion-adjusted historic State expenditures’ 

22 means, with respect to a fiscal year— 

23 ‘‘(I) historic State expenditures; 

24 multiplied by 


SSpencer on DSK4SPTVN1PROD with BILLS
139 

•HR 2721 IH

1 ‘‘(II) 1.00, plus (in the case of 

2 fiscal year 2015 or any succeeding fis3 cal year) the percentage (if any) by 

4 which the average of the CPI (as de5 fined in section 403(a)(1)(B)(iii)) for 

6 the 12-month period ending with June 

7 of the preceding fiscal year exceeds 

8 the average of the CPI (as so defined) 

9 for the 12-month period ending with 

10 June 2013, expressed as a decimal.’’. 

11 (c) MODIFICATION OF CONTINGENCY FUND.— 

12 (1) IN GENERAL.—Section 403(b) (42 U.S.C. 

13 603(b)) is amended by striking all that follows para14 graph (1) and inserting the following: 

15 ‘‘(2) GRANTS.— 

16 ‘‘(A) IN GENERAL.—The Secretary shall 

17 make a grant to each eligible State and each 

18 Indian tribe that is an economically needy enti19 ty for a calendar quarter, in an amount equal 

20 to 80 percent of the amount (if any) by which 

21 the total amount of relevant expenditures of the 

22 entity for the quarter exceeds the total amount 

23 of the relevant expenditures of the entity for 

24 the corresponding quarter in the base year of 

25 the entity, subject to paragraph (2). 


SSpencer on DSK4SPTVN1PROD with BILLS
140 

•HR 2721 IH

1 ‘‘(B) LIMITATION.—The total amount pay2 able to an entity under this subsection for a fis3 cal year shall not exceed an amount equal to 25 

4 percent of the amount payable to the entity— 

5 ‘‘(i) if the entity is a State, under sec6 tion 403(a)(1) for the fiscal year; or 

7 ‘‘(ii) if the entity is an Indian tribe, 

8 under section 412(a)(1) for the fiscal year. 

9 ‘‘(3) DEFINITIONS.—In paragraph (2): 

10 ‘‘(A) ECONOMICALLY NEEDY ENTITY.— 

11 The term ‘economically needy entity’ means an 

12 entity with respect to a calendar quarter— 

13 ‘‘(i) if the seasonally adjusted average 

14 unemployment rate with respect to entity 

15 for the quarter or any of the preceding 4 

16 calendar quarters exceeds 6.5 percent; or 

17 ‘‘(ii) in the case that the unemploy18 ment rate information described in clause 

19 (i) is not available with respect to the enti20 ty, if the entity meets such qualifications 

21 as the Secretary, in consultation with the 

22 Secretary of Labor, shall, by regulation, 

23 prescribe. 


SSpencer on DSK4SPTVN1PROD with BILLS
141 

•HR 2721 IH

1 ‘‘(B) BASE YEAR.—The term ‘base year’ 

2 means, with respect to an entity, and a cal3 endar quarter in a fiscal year— 

4 ‘‘(i) except as provided in clause (ii), 

5 whichever of the 2 fiscal years most re6 cently preceding the first fiscal year of the 

7 most recent contingency fund eligibility pe8 riod for the entity, is the fiscal year in 

9 which the relevant expenditures of the enti10 ty were the lesser; or 

11 ‘‘(ii) if the first year of the period re12 ferred to in clause (i) is fiscal year 2015, 

13 whichever of fiscal year 2007 or 2008 is 

14 the fiscal year in which the relevant ex15 penditures of the entity were the lesser. 

16 ‘‘(C) CONTINGENCY FUND ELIGIBILITY PE17 RIOD.—The term ‘contingency fund eligibility 

18 period’ means, with respect to an entity, a pe19 riod of 1 or more consecutive calendar quarters 

20 for which the entity is an economically needy 

21 entity. 

22 ‘‘(D) RELEVANT EXPENDITURES.— 

23 ‘‘(i) IN GENERAL.—The term ‘relevant 

24 expenditures’ means expenditures— 


SSpencer on DSK4SPTVN1PROD with BILLS
142 

•HR 2721 IH

1 ‘‘(I) for assistance under the pro2 gram funded under this part of the 

3 entity (including, in the case of a 

4 State, any qualified State expendi5 tures (as defined in section 

6 409(a)(7)(B)(i)) and any expenditures 

7 under any other State program fund8 ed by such expenditures); 

9 ‘‘(II) for child care; 

10 ‘‘(III) for subsidized employment 

11 under the program funded under this 

12 part of the entity (including, in the 

13 case of a State, such expenditures 

14 under any other State program fund15 ed by qualified State expenditures (as 

16 defined in section 409(a)(7)(B)(i))), 

17 other than expenditures made using 

18 Federal funds or with respect to 

19 which the entity received a grant 

20 made under paragraph (3) of this 

21 subsection; and 

22 ‘‘(IV) for administrative costs as23 sociated with making the expenditures 

24 referred to in the preceding sub25 clauses of this clause. 


SSpencer on DSK4SPTVN1PROD with BILLS
143 

•HR 2721 IH

1 ‘‘(ii) CHILD CARE EXPENDITURES.— 

2 For purposes of clause (i), expenditures for 

3 child care consist of the following: 

4 ‘‘(I) Amounts transferred under 

5 section 404(d)(1)(B). 

6 ‘‘(II) Expenditures for child care 

7 assistance from Federal funds pro8 vided under this part. 

9 ‘‘(III) In the case of an entity 

10 that is a State, expenditures for child 

11 care assistance that are qualified 

12 State expenditures (as defined in sec13 tion 409(a)(7)(B)(i)), but only to the 

14 extent exceeding the total expendi15 tures of the State (other than from 

16 Federal funds) for child care in fiscal 

17 year 1994 or 1995 (whichever is the 

18 greater). 

19 ‘‘(iii) AUTHORITY TO COLLECT AND

20 ADJUST DATA.—In determining the 

21 amount of the expenditures of a State for 

22 basic assistance, child care, and subsidized 

23 employment, during any period for which 

24 the State requests funds under this sub25 section, and during the base year of the 


SSpencer on DSK4SPTVN1PROD with BILLS
144 

•HR 2721 IH

1 State, the Secretary may make appropriate 

2 adjustments to the data, on a State-by3 State basis, to ensure that the data are 

4 comparable with respect to the groups of 

5 families served and the types of aid pro6 vided. The Secretary may develop a mecha7 nism for collecting expenditure data, in8 cluding procedures which allow States to 

9 make reasonable estimates, and may set 

10 deadlines for making revisions to the data. 

11 ‘‘(4) USE OF GRANT.—Each State to which a 

12 grant is made under this subsection shall use the 

13 grant to serve areas of the State with the greatest 

14 need (as referred to in section 402(a)(1)(A)). 

15 ‘‘(5) APPROPRIATION.— 

16 ‘‘(A) IN GENERAL.—Out of any funds in 

17 the Treasury of the United States not otherwise 

18 appropriated, there are appropriated for pay19 ment to the Fund— 

20 ‘‘(i) $2,500,000,000 for fiscal year 

21 2015; and 

22 ‘‘(ii) for each succeeding fiscal year, 

23 the amount appropriated under this para24 graph for the then preceding fiscal year, 

25 increased by the percentage (if any) by 


SSpencer on DSK4SPTVN1PROD with BILLS
145 

•HR 2721 IH

1 which the amount appropriated under sec2 tion 403(a)(1) for the fiscal year involved 

3 exceeds the amount appropriated under 

4 such section for the then preceding fiscal 

5 year. 

6 ‘‘(B) AVAILABILITY.—Amounts made 

7 available under this paragraph for a fiscal year 

8 shall remain available until expended. 

9 ‘‘(6) ACTIONS TO BE TAKEN IN ANTICIPATION

10 OF EXHAUSTION OF FUND.—The Secretary shall 

11 monitor the amount in, and the rate at which 

12 amounts are paid from, the Fund, and if the Sec13 retary determines that the Fund will be exhausted 

14 within 6 months, the Secretary shall— 

15 ‘‘(A) notify the Congress of the determina16 tion; and 

17 ‘‘(B) develop and communicate to each 

18 State and Indian tribe that is an economically 

19 needy entity as of the date of the determina20 tion, the procedure for allocating amounts in 

21 the Fund among such entities.’’. 

22 (2) ELIMINATION OF PENALTY FOR FAILURE

23 OF STATE RECEIVING AMOUNTS FROM CONTINGENCY

24 FUND TO MAINTAIN 100 PERCENT OF HISTORIC EF25 FORT.— 


SSpencer on DSK4SPTVN1PROD with BILLS
146 

•HR 2721 IH

1 (A) IN GENERAL.—Section 409(a) (42 

2 U.S.C. 609(a)) is amended by striking para3 graph (10) and redesignating paragraphs (11) 

4 through (16) as paragraphs (10) through (15), 

5 respectively. 

6 (B) CONFORMING AMENDMENTS.—Section 

7 409 (42 U.S.C. 609) is amended in each of sub8 sections (b)(2) and (c)(4), by striking ‘‘(10), 

9 (12), or (13)’’ and inserting ‘‘(11), or (12)’’. 

10 (3) CONFORMING AMENDMENT.—Section 

11 409(a)(3)(C) (42 U.S.C. 609(a)(3)(C)) is amended 

12 by striking ‘‘needy State (as defined in section 

13 403(b)(6))’’ and inserting ‘‘economically needy enti14 ty (as defined in section 403(b)(3)(A))’’. 

15 (4) AMOUNTS PROVIDED TO TERRITORIES

16 FROM THE CONTINGENCY FUND TO BE DIS17 REGARDED FOR PURPOSES OF LIMITATION ON PAY18 MENTS TO THE TERRITORIES.—Section 1108(a)(2) 

19 (42 U.S.C. 1308(a)(2)) is amended by inserting 

20 ‘‘403(b),’’ before ‘‘406,’’. 

21 (d) MATCHING GRANTS FOR SUBSIDIZED EMPLOY22 MENT.— 

23 (1) IN GENERAL.—Section 403(a) (42 U.S.C. 

24 603(a)), as amended by subsection (a)(2) of this secVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00146 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
147 

•HR 2721 IH

1 tion, is further amended by inserting after para2 graph (2) the following: 

3 ‘‘(3) MATCHING GRANTS FOR SUBSIDIZED EM4 PLOYMENT.— 

5 ‘‘(A) IN GENERAL.—The Secretary shall 

6 make a grant— 

7 ‘‘(i) to each eligible State that is 1 of 

8 the 50 States or the District of Columbia, 

9 for each fiscal year for which the State is 

10 an MOE State; and 

11 ‘‘(ii) to each State that is not 1 of the 

12 50 States or the District of Columbia, and 

13 to each Indian tribe, for each fiscal year 

14 for which the State or tribe, as the case 

15 may be, meets such terms and conditions 

16 as the Secretary shall, by regulation, estab17 lish, which shall be comparable to the 

18 terms and conditions under which grants 

19 are made under clause (i). 

20 ‘‘(B) MOE STATE.—In subparagraph (A), 

21 the term ‘MOE State’ means a State if the 

22 qualified expenditures of the State (as defined 

23 in section 409(a)(7)(B)(i)) for the fiscal year 

24 exceeds the applicable percentage (as defined in 

25 clause (ii) of such section) of inflation-adjusted 


SSpencer on DSK4SPTVN1PROD with BILLS
148 

•HR 2721 IH

1 historic State expenditures (as defined in clause 

2 (iii) of such section) of the State with respect 

3 to the fiscal year. 

4 ‘‘(C) AMOUNT OF GRANT.— 

5 ‘‘(i) STATES.— 

6 ‘‘(I) IN GENERAL.—The grant to 

7 be made to a State under subpara8 graph (A)(i) for a fiscal year shall be 

9 in an amount equal to 50 percent of 

10 the excess expenditures of the State 

11 for subsidized employment during the 

12 fiscal year. 

13 ‘‘(II) EXCESS EXPENDITURES OF

14 THE STATE FOR SUBSIDIZED EMPLOY15 MENT.—The term ‘excess expendi16 tures of the State for subsidized em17 ployment’ means, with respect to a 

18 fiscal year, the lesser of— 

19 ‘‘(aa) the excess described in 

20 subparagraph (B) with respect to 

21 the State for the fiscal year; or 

22 ‘‘(bb) an amount equal to 

23 the total expenditures of the 

24 State for subsidized employment 

25 funded under this part or under 


SSpencer on DSK4SPTVN1PROD with BILLS
149 

•HR 2721 IH

1 any other State program funded 

2 by qualified State expenditures 

3 (as defined in section 

4 409(a)(7)(B)(i)), excluding those 

5 with respect to which a grant is 

6 made to the State under sub7 section (b) of this section, during 

8 the fiscal year. 

9 ‘‘(ii) INDIAN TRIBES.—The grant to 

10 be made to an Indian tribe under this 

11 paragraph shall be in such amount as the 

12 Secretary deems appropriate. 

13 ‘‘(D) USE OF GRANT.—Notwithstanding 

14 section 404, a State or Indian tribe to which a 

15 grant is made under this paragraph shall use 

16 the grant solely to finance subsidized employ17 ment activities, and to serve areas of the State 

18 with the greatest need (as referred to in section 

19 402(a)(1)(A)). 

20 ‘‘(E) APPROPRIATION.—Out of any funds 

21 in the Treasury of the United States not other22 wise appropriated, there are appropriated such 

23 sums as are necessary for grants under this 

24 paragraph for each fiscal year.’’. 


SSpencer on DSK4SPTVN1PROD with BILLS
150 

•HR 2721 IH

1 (2) AMOUNTS PROVIDED TO TERRITORIES

2 FROM THE MATCHING GRANT TO BE DISREGARDED

3 FOR PURPOSES OF LIMITATION ON PAYMENTS TO

4 THE TERRITORIES.—Section 1108(a)(2) (42 U.S.C. 

5 1308(a)(2)) is amended by inserting ‘‘403(a)(3),’’ 

6 after ‘‘403(a)(2),’’. 

7 (3) DATA REPORTS REQUIRED WITH RESPECT

8 TO FAMILIES THAT INCLUDE AN INDIVIDUAL PAR9 TICIPATING IN SUBSIDIZED EMPLOYMENT PRO10 GRAMS.—Section 411(a)(1)(A) (42 U.S.C. 

11 611(a)(1)(A)) is amended, in the matter before 

12 clause (i), by inserting ‘‘, and families that include 

13 an individual participating in subsidized employment 

14 funded with Federal funds or qualified State expend15 itures (as so defined)’’ before the colon. 

16 (e) TRIBAL FAMILY ASSISTANCE GRANTS.—Section 

17 412(a)(1) (42 U.S.C. 612(a)(1)) is amended— 

18 (1) in subparagraph (A), by striking ‘‘fiscal 

19 year 2012’’ and inserting ‘‘each fiscal year’’; and 

20 (2) in subparagraph (B)— 

21 (A) by redesignating clause (ii) as clause 

22 (iii); and 

23 (B) by striking clause (i) and inserting the 

24 following: 


SSpencer on DSK4SPTVN1PROD with BILLS
151 

•HR 2721 IH

1 ‘‘(i) IN GENERAL.—The amount de2 termined under this subparagraph for a 

3 fiscal year is an amount equal to the sum 

4 of the adjusted historic expenditures for 

5 the fiscal year with respect to each State 

6 in which a service area of the Indian tribe 

7 is located. 

8 ‘‘(ii) ADJUSTED HISTORIC EXPENDI9 TURES DEFINED.—In clause (i), the term 

10 ‘adjusted historic expenditures’ means, 

11 with respect to a fiscal year, a State, and 

12 an Indian tribe, the total amount of the 

13 Federal payments to the State under sec14 tion 403 (as then in effect) for fiscal year 

15 1994 attributable to expenditures (other 

16 than child care expenditures) by the State 

17 under parts A and F (as so in effect) for 

18 fiscal year 1994 for Indian families resid19 ing in the service areas identified by the 

20 tribe pursuant to subsection (b)(1)(C) of 

21 this section that are in the State, increased 

22 by the percentage (if any) by which the 

23 amount of the grant payable under section 

24 403(a)(1) for the fiscal year to the State 


SSpencer on DSK4SPTVN1PROD with BILLS
152 

•HR 2721 IH

1 exceeds the amount of the grant so payable 

2 to the State for fiscal year 2010.’’. 

3 (f) CENSUS BUREAU STUDY.—Section 414 (42 

4 U.S.C. 614) is amended— 

5 (1) by striking subsection (a) and inserting the 

6 following: 

7 ‘‘(a) IN GENERAL.—The Director of the Bureau of 

8 the Census shall conduct a study to assess the effects of 

9 policies and programs related to low-income families, in10 cluding policies and programs under State programs fund11 ed under this part or funded with qualified State expendi12 tures (as defined in section 409(a)(7)(B)(i)), including 

13 changes and policies in such programs made pursuant to 

14 the Rewriting to Improve and Secure an Exit Out of Pov15 erty Act. The Director shall design the study in consulta16 tion with the Secretary. Every 5 years, the Director shall, 

17 in consultation with the Secretary, revise the content and 

18 nature of the study to reflect emerging policy issues re19 lated to low-income families.’’; and 

20 (2) in subsection (b), by striking ‘‘fiscal year 

21 2012’’ and inserting ‘‘each fiscal year’’. 

22 (g) FUNDING OF STUDIES AND EVALUATIONS.—Sec23 tion 413(h)(1) (42 U.S.C. 613(h)(1)) is amended by strik24 ing ‘‘fiscal year 2012’’ and inserting ‘‘each fiscal year’’. 


SSpencer on DSK4SPTVN1PROD with BILLS
153 

•HR 2721 IH

1 (h) MATCHING GRANTS TO CERTAIN TERRI2 TORIES.—Section 1108 (42 U.S.C. 1308) is amended— 

3 (1) in subsection (a)(2), by inserting ‘‘section 

4 403(a)(1) (to the extent exceeding the amount re5 quired to be so paid to the territory for fiscal year 

6 2011),’’ before ‘‘403(a)(2)’’; and 

7 (2) in subsection (b)(2), by striking ‘‘fiscal year 

8 2012’’ and inserting ‘‘each fiscal year’’. 

9 SEC. 904. WORK REQUIREMENTS. 

10 (a) PARTICIPATION RATE REQUIREMENT.—Section 

11 407 (42 U.S.C. 607) is amended by striking subsections 

12 (a) and (b) and inserting the following: 

13 ‘‘(a) PARTICIPATION RATE REQUIREMENT.— 

14 ‘‘(1) IN GENERAL.—A State to which a grant 

15 is made under section 403 for a fiscal year shall 

16 achieve a minimum participation rate of 50 percent 

17 with respect to all families residing in the State that 

18 include a work-eligible individual. 

19 ‘‘(2) WORK-ELIGIBLE INDIVIDUAL DEFINED.— 

20 ‘‘(A) IN GENERAL.—In subsection (a), the 

21 term ‘work-eligible individual’, subject to sub22 paragraphs (B) and (C), means— 

23 ‘‘(i) an adult recipient of assistance 

24 under the State program funded under this 

25 part or under any other State program 


SSpencer on DSK4SPTVN1PROD with BILLS
154 

•HR 2721 IH

1 funded by qualified State expenditures (as 

2 defined in section 409(a)(7)(B)(i)); 

3 ‘‘(ii) a former recipient of such assist4 ance who is— 

5 ‘‘(I) a parent of a dependent 

6 child who is such a recipient; and 

7 ‘‘(II) no longer eligible for assist8 ance under the State program funded 

9 under this part by reason of section 

10 408(a)(7); and 

11 ‘‘(iii) a participant in a subsidized em12 ployment program funded under this part 

13 or under any other State program funded 

14 by qualified State expenditures (as defined 

15 in section 409(a)(7)(B)(i)). 

16 ‘‘(B) EXCLUSION OF INDIVIDUALS SANC17 TIONED OR UNDERGOING PRE-SANCTION RE18 VIEW.—The term ‘work-eligible individual’ does 

19 not include any individual with respect to 

20 whom— 

21 ‘‘(i) there is in effect a penalty im22 posed by the State under subsection (e) of 

23 this section; or 


SSpencer on DSK4SPTVN1PROD with BILLS
155 

•HR 2721 IH

1 ‘‘(ii) the State has initiated (but not 

2 completed) the pre-sanction review process 

3 pursuant to section 408(a)(14)(A). 

4 ‘‘(C) STATE OPTION TO EXCLUDE CERTAIN

5 INDIVIDUALS.—A State may exclude from the 

6 term ‘work-eligible individual’ any resident of 

7 the State who is— 

8 ‘‘(i) a single parent caring for a child 

9 who has not attained 1 year of age; 

10 ‘‘(ii) a recipient of supplemental secu11 rity income benefits under title XVI, dis12 ability insurance benefits under title II, or 

13 other Federal or State benefits based on 

14 disability; 

15 ‘‘(iii) an applicant for supplemental 

16 security income benefits under title XVI; 

17 ‘‘(iv) an individual who is needed in 

18 the home of the individual to care for a 

19 disabled member of the family of the indi20 vidual; or 

21 ‘‘(v) an individual who (but for the ex22 ercise of the State option under this 

23 clause) would be a work-eligible individual 

24 under a tribal family assistance plan ap25 proved under section 412 or under a tribal 


SSpencer on DSK4SPTVN1PROD with BILLS
156 

•HR 2721 IH

1 work program to which funds are provided 

2 under this part. 

3 ‘‘(b) CALCULATION OF PARTICIPATION RATES.— 

4 ‘‘(1) AVERAGE MONTHLY RATE.—For purposes 

5 of subsection (a), the participation rate of a State 

6 for a fiscal year is the average of the participation 

7 rates of the State for each month in the fiscal year. 

8 ‘‘(2) MONTHLY PARTICIPATION RATE.—For 

9 purposes of paragraph (1), the participation rate of 

10 a State for a month, expressed as a percentage, is— 

11 ‘‘(A) the number of families residing in the 

12 State that include a work-eligible individual who 

13 is engaged in work for the month; divided by 

14 ‘‘(B) the number of families residing in the 

15 State that include a work-eligible individual.’’. 

16 (b) PARTICIPATION REQUIREMENTS.—Section 

17 407(c) (42 U.S.C. 607(c)) is amended to read as follows: 

18 ‘‘(c) ENGAGED IN WORK.—For purposes of sub19 section (b): 

20 ‘‘(1) GENERAL RULE.—An individual is en21 gaged in work for a month in a fiscal year if the re22 cipient is participating in work activities for an aver23 age of at least 20 hours per week during the month. 

24 ‘‘(2) INDIVIDUALS COMPLYING WITH A MODI25 FIED EMPLOYABILITY PLAN DEEMED TO BE ENVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00156 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
157 

•HR 2721 IH

1 GAGED IN WORK.—An individual is deemed to be en2 gaged in work for a month if the State determines 

3 that the individual is in substantial compliance with 

4 the activities and hourly participation requirements 

5 of a modified employability plan developed for the 

6 individual in accordance with section 408(h). 

7 ‘‘(3) SINGLE TEEN HEAD OF HOUSEHOLD OR

8 MARRIED TEEN WHO MAINTAINS SATISFACTORY

9 SCHOOL ATTENDANCE DEEMED TO BE ENGAGED IN

10 WORK.—An individual who is married or a head of 

11 household and has not attained 20 years of age is 

12 deemed to be engaged in work for a month if the re13 cipient maintains satisfactory attendance at sec14 ondary school or the equivalent during the month.’’. 

15 (c) ELIMINATION OF 12-MONTH LIMIT ON COUNTING

16 VOCATIONAL EDUCATIONAL TRAINING AS A WORK ACTIV17 ITY.—Section 407(d)(8) (42 U.S.C. 607(d)(8)) is amend18 ed by striking ‘‘(not to exceed 12 months with respect to 

19 any individual)’’. 

20 SEC. 905. WORK RULES. 

21 (a) OPTION OF RECIPIENT TO HAVE TRAINED PER22 SONNEL ASSESS CERTAIN BARRIERS TO EMPLOYMENT; 

23 ADDITIONAL MATTERS REQUIRED TO BE ASSESSED.— 

24 Section 408(b)(1) (42 U.S.C. 608(b)(1)) is amended— 


SSpencer on DSK4SPTVN1PROD with BILLS
158 

•HR 2721 IH

1 (1) by inserting ‘‘(which, at the option of the 

2 recipient, shall be conducted by trained personnel 

3 with respect to barriers to employment specified by 

4 the recipient)’’ after ‘‘assessment’’; and 

5 (2) by striking ‘‘and employability’’ and insert6 ing ‘‘employability, physical and mental impair7 ments, English proficiency, child care needs, and 

8 whether the recipient is a victim of domestic or sex9 ual violence,’’. 

10 (b) INDIVIDUAL RESPONSIBILITY PLANS.— 

11 (1) PLANS REQUIRED; PLANS TO INCLUDE

12 WELL-BEING PLANS FOR CHILDREN.—Section 

13 408(b)(2)(A) (42 U.S.C. 608(b)(2)(A)) is amend14 ed— 

15 (A) in the matter preceding clause (i), by 

16 striking ‘‘may’’ and inserting ‘‘shall’’; 

17 (B) in clause (iv)— 

18 (i) by inserting ‘‘, supports,’’ after 

19 ‘‘counseling’’; and 

20 (ii) by striking ‘‘and’’ at the end; 

21 (C) in clause (v), by striking the period 

22 and inserting ‘‘; and’’; and 

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

24 ‘‘(vi) describe a well-being plan for 

25 each child in the family.’’. 


SSpencer on DSK4SPTVN1PROD with BILLS
159 

•HR 2721 IH

1 (2) DEADLINE FOR COMPLETION OF PLAN.— 

2 Section 408(b)(2)(B) (42 U.S.C. 608(b)(2)(B)) is 

3 amended by striking ‘‘individual—’’ and all that fol4 lows and inserting ‘‘individual within 90 days after 

5 the individual is determined eligible for the assist6 ance.’’. 

7 (3) SANCTION FOR FAILURE OF STATE TO DE8 VELOP PLAN.—Section 409(a) (42 U.S.C. 609(a)), 

9 as amended by section 903(c)(2)(A) of this title, is 

10 amended by adding at the end the following: 

11 ‘‘(16) PENALTY FOR FAILURE OF STATE TO DE12 VELOP REQUIRED INDIVIDUAL RESPONSIBILITY

13 PLAN.— 

14 ‘‘(A) IN GENERAL.—If the Secretary deter15 mines that a State to which a grant is made 

16 under section 403 in a fiscal year has violated 

17 section 408(b)(2) during the fiscal year, the 

18 Secretary shall reduce the grant payable to the 

19 State under section 403(a)(1) for the imme20 diately succeeding fiscal year by an amount 

21 equal to not more than 5 percent of the State 

22 family assistance grant. 

23 ‘‘(B) PENALTY BASED ON SEVERITY OF

24 FAILURE.—The Secretary shall impose reduc25 tions under subparagraph (A) with respect to a 


SSpencer on DSK4SPTVN1PROD with BILLS
160 

•HR 2721 IH

1 fiscal year based on the degree of noncompli2 ance.’’. 

3 (4) CONFORMING AMENDMENT.—Section 

4 408(b) (42 U.S.C. 608(b)) is amended by striking 

5 paragraph (4). 

6 (c) MODIFIED EMPLOYABILITY PLANS FOR CERTAIN

7 INDIVIDUALS WITH DISABILITIES.—Section 408 (42 

8 U.S.C. 608) is amended by adding at the end the fol9 lowing: 

10 ‘‘(h) AUTHORITY TO DEVELOP MODIFIED EMPLOY11 ABILITY PLAN FOR A RECIPIENT OF ASSISTANCE WITH, 

12 OR CARING FOR A FAMILY MEMBER WITH, A DIS13 ABILITY.— 

14 ‘‘(1) IN GENERAL.—A State may develop a 

15 modified employability plan for a recipient of assist16 ance under the State program funded under this 

17 part— 

18 ‘‘(A) who— 

19 ‘‘(i) is a work-eligible individual (as 

20 defined in section 407(a)(2)); and 

21 ‘‘(ii) has been determined by a quali22 fied medical, mental health, addiction, or 

23 social services professional (as determined 

24 by the State) to have a disability; or 


SSpencer on DSK4SPTVN1PROD with BILLS
161 

•HR 2721 IH

1 ‘‘(B) who is caring for a family member 

2 with a disability (as so determined). 

3 ‘‘(2) CONTENTS OF PLAN.—The modified em4 ployability plan shall— 

5 ‘‘(A) include a determination that, because 

6 of the disability of the recipient or the indi7 vidual for whom the recipient is caring, reason8 able modification of work activities, hourly par9 ticipation requirements, or both, is needed in 

10 order for the recipient to participate in the ac11 tivities; 

12 ‘‘(B) describe the modified work activities 

13 in which the recipient is required to participate; 

14 ‘‘(C) specify the number of hours per week 

15 for which the recipient is required to participate 

16 in the modified work activities, based on an 

17 evaluation by the State of the circumstances of 

18 the family; 

19 ‘‘(D) describe the services, supports, and 

20 modifications that the State will provide to the 

21 recipient or the family of the recipient; 

22 ‘‘(E) be developed in cooperation with the 

23 recipient; and 

24 ‘‘(F) be reviewed not less often than every 

25 6 months. 


SSpencer on DSK4SPTVN1PROD with BILLS
162 

•HR 2721 IH

1 ‘‘(3) DEFINITIONS.—In this subsection: 

2 ‘‘(A) DISABILITY.—The term ‘disability’ 

3 means a mental or physical impairment, includ4 ing substance abuse or addiction, that— 

5 ‘‘(i) constitutes or results in a sub6 stantial impediment to employment; or 

7 ‘‘(ii) substantially limits 1 or more 

8 major life activities. 

9 ‘‘(B) MODIFIED WORK ACTIVITIES.—The 

10 term ‘modified work activities’ means activities 

11 which the State has determined will help the re12 cipient become employable.’’. 

13 (d) SANCTIONS.— 

14 (1) GENERAL SANCTION PROVISIONS.— 

15 (A) PROHIBITION ON IMPOSING LIFETIME

16 OR FULL FAMILY SANCTION.— 

17 (i) PROHIBITION.—Section 408(a) (42 

18 U.S.C. 608(a)) is amended by adding at 

19 the end the following: 

20 ‘‘(13) PROHIBITION ON IMPOSING LIFETIME OR

21 FULL FAMILY SANCTION.—A State to which a grant 

22 is made under section 403 shall not impose a life23 time prohibition on the provision of assistance to 

24 any individual or family under the State program 

25 funded under this part or under a program funded 


SSpencer on DSK4SPTVN1PROD with BILLS
163 

•HR 2721 IH

1 with qualified State expenditures (as defined in sec2 tion 409(a)(7)(B)(i)) on the basis of the failure of 

3 a member of the family to comply with a program 

4 requirement.’’. 

5 (ii) PENALTY.—Section 409(a) (42 

6 U.S.C. 609), as amended by section 

7 903(c)(2)(A) of this title and subsection 

8 (b)(3) of this section, is amended by add9 ing at the end the following: 

10 ‘‘(17) PENALTY FOR IMPOSING LIFETIME OR

11 FULL FAMILY SANCTION.—If the Secretary deter12 mines that a State to which a grant is made under 

13 section 403 in a fiscal year has violated section 

14 408(a)(13) during the fiscal year, the Secretary 

15 shall reduce the grant payable to the State under 

16 section 403(a)(1) for the immediately succeeding fis17 cal year by an amount equal to 5 percent of the 

18 State family assistance grant.’’. 

19 (B) DUE PROCESS PROTECTIONS.— 

20 (i) IN GENERAL.—Section 408(a) (42 

21 U.S.C. 608(a)), as amended by subpara22 graph (A)(i) of this paragraph, is amended 

23 by adding at the end the following: 

24 ‘‘(14) SANCTION PROCEDURES.— 


SSpencer on DSK4SPTVN1PROD with BILLS
164 

•HR 2721 IH

1 ‘‘(A) PRE-SANCTION REVIEW PROCESS.— 

2 Before imposing a sanction against an indi3 vidual or family receiving assistance under the 

4 State program funded under this part or under 

5 a program funded with qualified State expendi6 tures (as defined in section 409(a)(7)(B)(i)) for 

7 failure to comply with program requirements, 

8 the State shall take the following steps: 

9 ‘‘(i) Provide or send notice to the indi10 vidual or family, and, if the recipient’s na11 tive language is not English, through a 

12 culturally competent written or verbal 

13 translation, of the following information: 

14 ‘‘(I) The specific reason for the 

15 proposed sanction. 

16 ‘‘(II) The amount of the pro17 posed sanction. 

18 ‘‘(III) The length of time during 

19 which the proposed sanction would be 

20 in effect. 

21 ‘‘(IV) The steps required to come 

22 into compliance or to show good cause 

23 for noncompliance. 

24 ‘‘(V) That the agency will provide 

25 assistance to help the individual demVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00164 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
165 

•HR 2721 IH

1 onstrate good cause for noncompli2 ance, or come into compliance with 

3 program requirements. 

4 ‘‘(VI) That the individual may 

5 appeal the determination to impose a 

6 sanction, and the steps that the indi7 vidual must take to pursue such an 

8 appeal. 

9 ‘‘(ii)(I) Ensure that, subject to clause 

10 (iii)— 

11 ‘‘(aa) an individual, other than 

12 the individual who determined that a 

13 sanction be imposed, will review the 

14 determination and have the authority 

15 to take the actions described in sub16 clause (II); and 

17 ‘‘(bb) the individual or family 

18 against whom the sanction is to be 

19 imposed shall be afforded the oppor20 tunity to meet with the individual who 

21 is reviewing the determination to im22 pose the sanction. 

23 ‘‘(II) The action described in this sub24 clause are the following: 


SSpencer on DSK4SPTVN1PROD with BILLS
166 

•HR 2721 IH

1 ‘‘(aa) Modify the determination 

2 to impose a sanction. 

3 ‘‘(bb) Determine that there was 

4 good cause for the failure to comply. 

5 ‘‘(cc) Recommend modifications 

6 to the individual responsibility or em7 ployment plan of an individual. 

8 ‘‘(dd) Make such other deter9 minations and take such other actions 

10 as may be appropriate. 

11 ‘‘(iii) The review required under 

12 clause (ii) shall include consideration of the 

13 following: 

14 ‘‘(I) To the extent applicable, 

15 whether barriers to compliance exist, 

16 such as a physical or mental impair17 ment (including mental illness, sub18 stance abuse, mental retardation, or a 

19 learning disability), domestic or sexual 

20 violence, limited proficiency in 

21 English, limited literacy, homeless22 ness, or the need to care for a child 

23 with a disability or health condition, 

24 that contributed to the noncompli25 ance. 


SSpencer on DSK4SPTVN1PROD with BILLS
167 

•HR 2721 IH

1 ‘‘(II) Whether the noncompliance 

2 resulted from failure to receive or 

3 have access to services identified as 

4 necessary in an individual responsi5 bility or employment plan. 

6 ‘‘(III) Whether changes to the in7 dividual responsibility or employment 

8 plan of an individual should be made 

9 in order for the individual to come 

10 into compliance. 

11 ‘‘(IV) Whether there is good 

12 cause for any noncompliance. 

13 ‘‘(V) Whether the sanction poli14 cies of the State have been applied 

15 properly. 

16 ‘‘(B) SANCTION FOLLOW-UP REQUIRE17 MENTS.—If a State imposes a sanction on a 

18 family or individual for failing to comply with 

19 program requirements, the State shall— 

20 ‘‘(i) provide or send notice to the indi21 vidual or family, in language calculated to 

22 be understood by the individual or family, 

23 and, if the individual’s or family’s native 

24 language is not English, through a cul25 turally competent translation, of the reason 


SSpencer on DSK4SPTVN1PROD with BILLS
168 

•HR 2721 IH

1 for the sanction and the steps the indi2 vidual or family must take to end the sanc3 tion; 

4 ‘‘(ii) resume full assistance, services, 

5 or benefits to the individual or family 

6 under the program (if the individual or 

7 family is otherwise eligible for the assist8 ance, services, or benefits) once the indi9 vidual who was not in compliance with pro10 gram requirements that led to the sanction 

11 complies with the requirements for a rea12 sonable period of time, as determined by 

13 the State and subject to State discretion to 

14 reduce the period; and 

15 ‘‘(iii) if the State has not resumed 

16 providing the assistance, services, or bene17 fits as of the end of the 120-day period 

18 that begins on the date that is 60 days 

19 after the date on which the sanction was 

20 imposed, provide notice to the individual or 

21 family, in language calculated to be under22 stood by the individual or family, of the 

23 steps the individual or family must take to 

24 end the sanction, and of the availability of 


SSpencer on DSK4SPTVN1PROD with BILLS
169 

•HR 2721 IH

1 assistance to come into compliance or dem2 onstrate good cause for noncompliance. 

3 ‘‘(C) NOTICE TO EVICTED PERSONS.—The 

4 State shall make a reasonable effort to provide 

5 to an individual or family that has been evicted 

6 from a residence for failure to pay rent or as 

7 a result of another problem related to poverty, 

8 any notice required by this paragraph to be 

9 provided to the individual or family.’’. 

10 (ii) PENALTY.—Section 409(a) (42 

11 U.S.C. 609(a)), as amended by section 

12 903(c)(2)(A) of this title, subsection (b)(3) 

13 of this section, and subparagraph (A)(ii) of 

14 this paragraph, is amended by adding at 

15 the end the following: 

16 ‘‘(18) PENALTY FOR FAILURE TO FOLLOW

17 SANCTION PROCEDURES.— 

18 ‘‘(A) IN GENERAL.—If the Secretary deter19 mines that a State to which a grant is made 

20 under section 403 in a fiscal year has violated 

21 section 408(a)(14) during the fiscal year, the 

22 Secretary shall reduce the grant payable to the 

23 State under section 403(a)(1) for the imme24 diately succeeding fiscal year by an amount 


SSpencer on DSK4SPTVN1PROD with BILLS
170 

•HR 2721 IH

1 equal to not more than 5 percent of the State 

2 family assistance grant. 

3 ‘‘(B) PENALTY BASED ON SEVERITY OF

4 FAILURE.—The Secretary shall impose reduc5 tions under subparagraph (A) with respect to a 

6 fiscal year based on the degree of noncompli7 ance.’’. 

8 (iii) STATE PLAN REQUIREMENT TO

9 DESCRIBE HOW STATES WILL NOTIFY AP10 PLICANTS AND RECIPIENTS OF THEIR

11 RIGHTS UNDER THE PROGRAM AND OF PO12 TENTIAL BENEFITS AND SERVICES AVAIL13 ABLE UNDER THE PROGRAM.—Section 

14 402(a)(1)(B)(iii) (42 U.S.C. 

15 602(a)(1)(B)(iii)) is amended by inserting 

16 ‘‘, and will notify applicants and recipients 

17 of assistance under the program of the 

18 rights of individuals under all laws applica19 ble to program activities and of all poten20 tial benefits and services available under 

21 the program’’ before the period. 

22 (2) MODIFICATIONS TO WORK SANCTION.— 

23 (A) ELIMINATION OF FULL FAMILY SANC24 TION; STATE REQUIRED TO ESTABLISH CERVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00170 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
171 

•HR 2721 IH

1 TAIN GOOD CAUSE EXCEPTIONS.—Section 

2 407(e)(1) (42 U.S.C. 607(e)(1)) is amended— 

3 (i) by striking ‘‘shall—’’ and all that 

4 follows through subparagraph (B) and in5 serting ‘‘shall reduce the amount of assist6 ance otherwise payable to the family pro 

7 rata with respect to any period during a 

8 month in which the individual so refuses,’’; 

9 and 

10 (ii) by striking ‘‘may establish’’ and 

11 inserting the following ‘‘shall establish, 

12 which shall include the decline of an offer 

13 of employment at a wage less than the 

14 greater of the applicable Federal or State 

15 minimum wage, or 80 percent of the wage 

16 that would have governed had the min17 imum hourly rate under the Fair Labor 

18 Standards Act been applicable to the offer 

19 of employment, at a site subject to a strike 

20 or lockout at the time of refusal, or for 

21 medical reasons or a lack of sufficient 

22 physical strength or stamina’’. 

23 (B) PROHIBITION ON SANCTIONING INDI24 VIDUAL FOR FAILURE TO ENGAGE IN WORK IF

25 INDIVIDUAL HAS A CHILD UNDER AGE 6


SSpencer on DSK4SPTVN1PROD with BILLS
172 

•HR 2721 IH

1 MONTHS OR IF FAILURE RESULTS FROM IN2 ABILITY TO SECURE CHILD CARE OR AFTER3 SCHOOL ARRANGEMENTS FOR A CHILD UNDER

4 AGE 13.—Section 407(e)(2) (42 U.S.C. 

5 607(e)(2)) is amended by striking ‘‘refusal’’ 

6 and all that follows and inserting ‘‘failure of an 

7 individual to engage in work required in accord8 ance with this section if— 

9 ‘‘(A) the individual is a single custodial 

10 parent caring for a child who has not attained 

11 6 months of age; or 

12 ‘‘(B) the individual is the single custodial 

13 parent caring for a child who has not attained 

14 13 years of age, and the failure resulted from 

15 the inability of the individual to secure child 

16 care or after-school arrangements for the 

17 child’’. 

18 (3) MODIFICATIONS TO CHILD SUPPORT SANC19 TION.—Section 408(a)(2) (42 U.S.C. 608(a)(2)) is 

20 amended by striking ‘‘State—’’ and all that follows 

21 and inserting ‘‘State shall deduct from the assist22 ance that would otherwise be provided to the family 

23 of the individual under the State program funded 

24 under this part an amount equal to 25 percent of 

25 the amount of the assistance.’’. 


SSpencer on DSK4SPTVN1PROD with BILLS
173 

•HR 2721 IH

1 (e) RELATED STATE PLAN REQUIREMENT.—Section 

2 402(a) (42 U.S.C. 602(a)) is amended by adding at the 

3 end the following: 

4 ‘‘(8) CERTIFICATION THAT EMPLOYMENT AS5 SESSMENTS AND SANCTION REVIEWS WILL BE CON6 DUCTED BY COMPETENT PERSONNEL.—A certifi7 cation by the chief executive officer of the State that 

8 the employment assessments conducted pursuant to 

9 section 408(b)(1) and the sanction reviews con10 ducted pursuant to section 408(a)(14)(A) will be 

11 conducted by personnel who have sufficient edu12 cation, training, and professional competence to do 

13 so, which shall include information on the education, 

14 training, and professional competence that State will 

15 require of the personnel.’’. 

16 SEC. 906. PROHIBITION ON IMPOSING LIMIT OF LESS THAN 

17 60 MONTHS ON DURATION OF ASSISTANCE. 

18 (a) PROHIBITION.— 

19 (1) IN GENERAL.—Section 408(a)(7) (42 

20 U.S.C. 608(a)(7)) is amended— 

21 (A) in the paragraph heading, by striking 

22 ‘‘NO ASSISTANCE FOR MORE THAN 5 YEARS’’ 

23 and inserting ‘‘DURATIONAL LIMITS ON ASSIST24 ANCE’’; 


SSpencer on DSK4SPTVN1PROD with BILLS
174 

•HR 2721 IH

1 (B) in the heading for subparagraph (A), 

2 by striking ‘‘IN GENERAL’’ and inserting ‘‘NO

3 ASSISTANCE FOR MORE THAN 5 YEARS’’; and 

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

5 ‘‘(H) PROHIBITION ON LIMITING DURA6 TION OF ASSISTANCE TO LESS THAN 60

7 MONTHS.—A State to which a grant is made 

8 under section 403 shall not impose a limit of 

9 less than 60 months on the duration for which 

10 a family may be provided assistance from Fed11 eral or State funds under the State program 

12 funded under this part or under a program 

13 funded with qualified State expenditures (as de14 fined in section 409(a)(7)(B)(i)).’’. 

15 (2) CONFORMING AMENDMENT.—The heading 

16 of section 409(a)(9) (42 U.S.C. 609(a)(9)) is 

17 amended by striking ‘‘5-YEAR LIMIT’’ and inserting 

18 ‘‘RULES GOVERNING DURATIONAL LIMITS’’. 

19 (b) REQUIREMENT TO CONDUCT OUTREACH TO IN20 FORM POTENTIALLY ELIGIBLE FAMILIES OF ELIMI21 NATION OF DURATIONAL LIMIT ON ASSISTANCE OF LESS

22 THAN 60 MONTHS.— 

23 (1) IN GENERAL.—Section 408(a) (42 U.S.C. 

24 608(a)), as amended by section 905(d)(1) of this 

25 title, is amended by adding at the end the following: 


SSpencer on DSK4SPTVN1PROD with BILLS
175 

•HR 2721 IH

1 ‘‘(15) REQUIREMENT TO CONDUCT OUTREACH

2 TO INFORM POTENTIALLY ELIGIBLE RECIPIENTS OF

3 ASSISTANCE OF ELIMINATION OF DURATIONAL LIMIT

4 ON ASSISTANCE OF LESS THAN 60 MONTHS.—A 

5 State to which a grant is made under section 403 

6 for a fiscal year that, before the effective date of this 

7 paragraph, denied assistance under the State pro8 gram funded under this part or any other State pro9 gram funded by qualified State expenditures (as de10 fined in section 409(a)(7)(B)(i)) to an individual or 

11 family on the basis of a durational limit on the as12 sistance that was imposed other than under section 

13 408(a)(7) shall conduct outreach to inform individ14 uals and families who were so denied that they may 

15 be eligible for additional months of the assistance.’’. 

16 (2) PENALTY.—Section 409(a) (42 U.S.C. 

17 609(a)), as amended by sections 903(c)(2)(A) and 

18 905(d)(1) of this title, is amended by adding at the 

19 end the following: 

20 ‘‘(19) FAILURE TO CONDUCT OUTREACH TO IN21 FORM POTENTIALLY ELIGIBLE RECIPIENTS OF AS22 SISTANCE OF ELIMINATION OF DURATIONAL LIMIT

23 ON ASSISTANCE OF LESS THAN 60 MONTHS.—If the 

24 Secretary determines that a State to which a grant 

25 is made under section 403 in a fiscal year has vioVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00175 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
176 

•HR 2721 IH

1 lated section 408(a)(15) during the fiscal year, the 

2 Secretary shall reduce the grant payable to the State 

3 under section 403(a)(1) for the immediately suc4 ceeding fiscal year by an amount equal to 5 percent 

5 of the State family assistance grant.’’. 

6 (c) STATE PLAN REQUIRED TO INCLUDE DESCRIP7 TION OF HOW POTENTIALLY ELIGIBLE RECIPIENTS WILL

8 BE INFORMED OF ELIMINATION OF DURATIONAL LIMIT

9 ON ASSISTANCE OF LESS THAN 60 MONTHS.—Section 

10 402(a)(1)(B) (42 U.S.C. 602(a)(1)(B)) is amended by 

11 adding at the end the following: 

12 ‘‘(vi) In the case of a State that, be13 fore the date this clause takes effect, de14 nied assistance under the program to an 

15 individual or family on the basis of a 

16 durational limit on the assistance that was 

17 imposed other than under section 

18 408(a)(7), the document shall describe how 

19 the State intends to inform the individuals 

20 and families who were so denied that they 

21 may be eligible for additional months of 

22 the assistance.’’. 


SSpencer on DSK4SPTVN1PROD with BILLS
177 

•HR 2721 IH

1 SEC. 907. RESPONSE OF TANF PROGRAM TO ECONOMIC RE2 CESSIONS. 

3 (a) INAPPLICABILITY OF DURATIONAL LIMIT ON AS4 SISTANCE.—Section 408(a)(7) (42 U.S.C. 608(a)(7)), as 

5 amended by section 906(a)(1)(C) of this title, is amended 

6 by adding at the end the following: 

7 ‘‘(I) INAPPLICABILITY OF DURATIONAL

8 LIMIT DURING RECESSION.—Subparagraph (A) 

9 shall not apply in a State during any month 

10 which is in a high unemployment period with 

11 respect to the State. 

12 ‘‘(J) DISREGARD OF ASSISTANCE PRO13 VIDED DURING RECESSION.—In determining 

14 the number of months for which an adult has 

15 received assistance under a State or tribal pro16 gram funded under this part or any other State 

17 program funded by qualified State expenditures 

18 (as defined in section 409(a)(7)(B)(i)), the 

19 State or tribe shall disregard any month which 

20 is in a high unemployment period with respect 

21 to the State. 

22 ‘‘(K) 6-MONTH GRACE PERIOD REQUIRED

23 AFTER RECESSION.—Subparagraph (A) shall 

24 not apply to a recipient of assistance under the 

25 State program funded under this part or any 

26 other State program funded by qualified State 


SSpencer on DSK4SPTVN1PROD with BILLS
178 

•HR 2721 IH

1 expenditures (as defined in section 

2 409(a)(7)(B)(i)) during the 6-month period 

3 that begins with the month immediately fol4 lowing a high unemployment period with re5 spect to the State if the recipient received the 

6 assistance for the last month of the period.’’. 

7 (b) REQUIREMENT TO CONDUCT OUTREACH TO IN8 FORM POTENTIALLY ELIGIBLE FAMILIES OF SUSPENSION

9 OF DURATIONAL LIMIT ON ASSISTANCE.— 

10 (1) IN GENERAL.—Section 408(a) (42 U.S.C. 

11 608(a)), as amended by sections 905(d)(1) and 

12 906(b)(1) of this title, is amended by adding at the 

13 end the following: 

14 ‘‘(16) REQUIREMENT TO CONDUCT OUTREACH

15 TO INFORM POTENTIALLY ELIGIBLE RECIPIENTS OF

16 ASSISTANCE OF SUSPENSION OF DURATIONAL LIMIT

17 ON ASSISTANCE.—In each month which is a high un18 employment period with respect to a State to which 

19 a grant is made under section 403 for a fiscal year, 

20 the State shall conduct outreach to inform individ21 uals and families who are potentially eligible for as22 sistance under the State program funded under this 

23 part or any other State program funded by qualified 

24 State expenditures (as defined in section 


SSpencer on DSK4SPTVN1PROD with BILLS
179 

•HR 2721 IH

1 409(a)(7)(B)(i)) of the suspension of any durational 

2 limit on assistance under the program.’’. 

3 (2) PENALTY.—Section 409(a) (42 U.S.C. 

4 609(a)), as amended by sections 903(c)(2)(A), 

5 905(d)(1), and 906(b)(2), is amended by adding at 

6 the end the following: 

7 ‘‘(20) FAILURE TO CONDUCT OUTREACH TO IN8 FORM POTENTIALLY ELIGIBLE RECIPIENTS OF AS9 SISTANCE OF SUSPENSION OF DURATIONAL LIMIT

10 ON ASSISTANCE.—If the Secretary determines that a 

11 State to which a grant is made under section 403 

12 in a fiscal year has violated section 408(a)(16) dur13 ing the fiscal year, the Secretary shall reduce the 

14 grant payable to the State under section 403(a)(1) 

15 for the immediately succeeding fiscal year by an 

16 amount equal to 5 percent of the State family assist17 ance grant.’’. 

18 (c) STATE PLAN REQUIRED TO INCLUDE DESCRIP19 TION OF HOW POTENTIALLY ELIGIBLE RECIPIENTS WILL

20 BE INFORMED OF SUSPENSION OF TIME LIMITS DURING

21 RECESSION.—Section 402(a)(1)(B) (42 U.S.C. 

22 602(a)(1)(B)), as amended by section 906(c) of this title, 

23 is amended by adding at the end the following: 

24 ‘‘(vii) The document shall describe 

25 how the State intends to inform potentially 


SSpencer on DSK4SPTVN1PROD with BILLS
180 

•HR 2721 IH

1 eligible recipients of assistance under the 

2 program of the suspension of durational 

3 limits on the assistance during a high un4 employment period with respect to the 

5 State.’’. 

6 (d) HIGH UNEMPLOYMENT PERIOD DEFINED.—Sec7 tion 419 (42 U.S.C. 619) is amended by adding at the 

8 end the following: 

9 ‘‘(6) HIGH UNEMPLOYMENT PERIOD DE10 FINED.—The term ‘high unemployment period’ 

11 means, with respect to a State, a period of 1 or 

12 more consecutive months if the average rate of total 

13 unemployment in the State (seasonally adjusted) for 

14 the period consisting of the then most recent 3 

15 months for which data for all States are published 

16 equals or exceeds 6.5 percent.’’. 

17 SEC. 908. REQUIREMENT THAT STATES USE MERIT-BASED 

18 SYSTEM IN ADMINISTRATION OF TANF PRO19 GRAMS. 

20 (a) PROGRAM REQUIREMENT.—Section 408(a) (42 

21 U.S.C. 608(a)), as amended by sections 905(d)(1), 

22 906(b)(1), and 907(b)(1) of this title, is amended by add23 ing at the end the following: 

24 ‘‘(17) REQUIREMENT TO USE MERIT-BASED

25 SYSTEM IN ADMINISTERING PROGRAM.—A State to 


SSpencer on DSK4SPTVN1PROD with BILLS
181 

•HR 2721 IH

1 which a grant is made under section 403 shall estab2 lish and maintain personnel standards through a 

3 merit-based system, in administering the State pro4 gram funded under this part and any other State 

5 program funded by qualified State expenditures (as 

6 defined in section 409(a)(7)(B)(i)).’’. 

7 (b) PENALTY.—Section 409(a) (42 U.S.C. 609), as 

8 amended by sections 903(c)(2)(A), 905(d)(1), 906(b)(2), 

9 and 907(b)(2) of this title, is amended by adding at the 

10 end the following: 

11 ‘‘(21) PENALTY FOR FAILURE TO USE MERIT12 BASED SYSTEM IN ADMINISTERING PROGRAM.—If 

13 the Secretary determines that a State to which a 

14 grant is made under section 403 in a fiscal year has 

15 violated section 408(a)(17) during the fiscal year, 

16 the Secretary shall reduce the grant payable to the 

17 State under section 403(a)(1) for the immediately 

18 succeeding fiscal year by an amount equal to 5 per19 cent of the State family assistance grant.’’. 

20 SEC. 909. BAN ON USING FEDERAL TANF FUNDS TO RE21 PLACE STATE AND LOCAL SPENDING THAT 

22 DOES NOT MEET THE DEFINITION OF QUALI23 FIED STATE EXPENDITURES. 

24 (a) PROHIBITION.—Section 408(a) (42 U.S.C. 

25 608(a)), as amended by sections 905(d)(1), 906(b)(1), 


SSpencer on DSK4SPTVN1PROD with BILLS
182 

•HR 2721 IH

1 907(b)(1), and 908(a) of this title, is amended by adding 

2 at the end the following: 

3 ‘‘(18) BAN ON USING FEDERAL TANF FUNDS

4 TO REPLACE STATE OR LOCAL SPENDING THAT IS

5 NOT A QUALIFIED STATE EXPENDITURE.—A State 

6 to which a grant is made under section 403, and a 

7 sub-State entity that receives funds from such a 

8 grant, shall not expend any part of the grant funds 

9 to supplant State or local spending for benefits or 

10 services which are not qualified State expenditures 

11 (within the meaning of section 409(a)(7)(B)(i)).’’. 

12 (b) PENALTY.—Section 409(a) (42 U.S.C. 609), as 

13 amended by sections 903(c)(2)(A), 905(d)(1), 906(b)(2), 

14 907(b)(2), and 908(b) of this title, is amended by adding 

15 at the end the following: 

16 ‘‘(22) USE OF FEDERAL TANF FUNDS TO RE17 PLACE STATE OR LOCAL SPENDING THAT IS NOT A

18 QUALIFIED STATE EXPENDITURE.—If the Secretary 

19 determines that a State to which a grant is made 

20 under section 403 in a fiscal year has violated sec21 tion 408(a)(18) during the fiscal year, the Secretary 

22 shall reduce the grant payable to the State under 

23 section 403(a)(1) for the immediately succeeding fis24 cal year by an amount equal to 5 percent of the 

25 State family assistance grant.’’. 


SSpencer on DSK4SPTVN1PROD with BILLS
183 

•HR 2721 IH

1 SEC. 910. TANF ASSISTANCE TO MEET BASIC FAMILY ECO2 NOMIC NEEDS. 

3 (a) STATE PLAN REQUIREMENT.—Section 

4 402(a)(1)(B) (42 U.S.C. 602(a)(1)(B)), as amended by 

5 sections 906(c) and 907(d) of this title, is amended by 

6 adding at the end the following: 

7 ‘‘(viii) FAMILY BUDGET PROVI8 SIONS.—The document shall set forth a 

9 family budget of a dollar amount sufficient 

10 to meet the basic economic needs (includ11 ing food, clothing, shelter, utilities, house12 hold goods, personal care items, and gen13 eral incidental expenses) of a family, how 

14 the family budget is adjusted for family 

15 size, the method used to estimate the fam16 ily budget (including a statement of the re17 lationship between shelter and utility costs 

18 and the fair market rents in localities in 

19 the State), and the relationship between 

20 the amount of assistance provided to each 

21 family under the program and the amount 

22 of the family budget for the family.’’. 

23 (b) PROGRAM REQUIREMENT.—Section 408(a) (42 

24 U.S.C. 608(a)), as amended by sections 905(d)(1), 

25 906(b)(1), 907(b)(1), 908(a), and 909(a) of this title, is 

26 amended by adding at the end the following: 


SSpencer on DSK4SPTVN1PROD with BILLS
184 

•HR 2721 IH

1 ‘‘(19) REQUIREMENT THAT AMOUNT OF ASSIST2 ANCE MEET BASIC ECONOMIC NEEDS.—A State to 

3 which a grant is made under section 403 shall en4 sure that the total amount of assistance provided to 

5 a family under the State program funded under this 

6 part and all programs funded with qualified State 

7 expenditures (as defined in section 409(a)(7)(B)(i)) 

8 for which the family is eligible is sufficient to meet 

9 the basic economic needs of the family, taking into 

10 account all earned and unearned income of the fam11 ily and an amount not to exceed the value of the 

12 supplemental nutrition assistance benefits provided 

13 to the family under the Food and Nutrition Act of 

14 2008.’’. 

15 (c) PENALTY.—Section 409(a) (42 U.S.C. 609), as 

16 amended by sections 903(c)(2)(A), 905(d)(1), 906(b)(2), 

17 907(b)(2), 908(b), and 909(b) of this title, is amended by 

18 adding at the end the following: 

19 ‘‘(23) PENALTY FOR FAILURE OF STATE TANF

20 ASSISTANCE TO MEET BASIC ECONOMIC NEEDS OF A

21 RECIPIENT FAMILY.—If the Secretary determines 

22 that a State to which a grant is made under section 

23 403 in a fiscal year has violated section 408(a)(19) 

24 during the fiscal year, the Secretary shall reduce the 

25 grant payable to the State under section 403(a)(1) 


SSpencer on DSK4SPTVN1PROD with BILLS
185 

•HR 2721 IH

1 for the immediately succeeding fiscal year by an 

2 amount equal to 5 percent of the State family assist3 ance grant.’’. 

4 SEC. 911. STATE PLANS AND REPORTS ON CHILD POVERTY. 

5 (a) CHILD POVERTY REDUCTION AS A PURPOSE OF

6 THE TANF PROGRAM.—Section 401(a)(1) (42 U.S.C. 

7 601(a)(1)) is amended by redesignating paragraphs (1) 

8 through (4) as paragraphs (2) through (5), respectively, 

9 and by inserting before paragraph (2) (as so redesignated) 

10 the following: 

11 ‘‘(1) reduce poverty among children;’’. 

12 (b) STATE PLAN PROVISIONS.— 

13 (1) MATTERS REQUIRED TO BE ADDRESSED.— 

14 Section 402(a)(1)(A) (42 U.S.C. 602(a)(1)(A)) is 

15 amended by adding at the end the following: 

16 ‘‘(ix) GOALS AND METHODS FOR RE17 DUCING CHILD POVERTY.—Reduce child 

18 poverty using Federal funds provided 

19 under this part and State funds, including 

20 establishing numerical goals for reducing 

21 child poverty. 

22 ‘‘(x) GOALS AND TRACKING OF WORK

23 OUTCOMES.—Track work-related outcomes 

24 for recipients of assistance under the pro25 gram, such as employment entries, wages, 


SSpencer on DSK4SPTVN1PROD with BILLS
186 

•HR 2721 IH

1 and job retention, including establishing 

2 numerical goals for work-related outcomes 

3 for recipients. 

4 ‘‘(xi) PROVIDE PREVENTATIVE SERV5 ICES TO FAMILIES AT-RISK OF ABUSE OR

6 NEGLECT.—Provide benefits and services 

7 to families at-risk of having their children 

8 removed from the home because of abuse 

9 and neglect, using Federal funds provided 

10 under this part and State funds. 

11 ‘‘(xii) HOW NONCUSTODIAL PARENTS

12 WILL BE SERVED.—Serve noncustodial 

13 parents, using Federal funds provided 

14 under this part and State funds.’’. 

15 (2) PUBLIC AVAILABILITY.—Section 402(c) (42 

16 U.S.C. 602(c)) is amended to read as follows: 

17 ‘‘(c) PUBLIC AVAILABILITY.— 

18 ‘‘(1) IN GENERAL.—The State shall make avail19 able to the public, including by posting on a public 

20 website of the State or another appropriate 

21 website— 

22 ‘‘(A) each draft of any plan or plan 

23 amendment to be submitted by the State under 

24 this section, for at least 45 days before the sub25 mission; and 


SSpencer on DSK4SPTVN1PROD with BILLS
187 

•HR 2721 IH

1 ‘‘(B) any such plan or amendment certified 

2 by the Secretary to be complete. 

3 ‘‘(2) PROCEDURES.—The State shall establish 

4 procedures to receive and respond to comments from 

5 the public, private sector organizations, and local 

6 governments on any draft referred to in paragraph 

7 (1).’’. 

8 (c) ANNUAL PERFORMANCE REPORT.—Section 411 

9 (42 U.S.C. 611) is amended by adding at the end the fol10 lowing: 

11 ‘‘(e) ANNUAL PERFORMANCE REPORT BY STATES.— 

12 Not later than December 31 of each year, each eligible 

13 State shall submit to the Secretary (in accordance with 

14 such form and content rules as the Secretary, in consulta15 tion with the National Governor’s Association, National 

16 Association of State Legislatures, and the American Pub17 lic Human Services Association, develops) a report on the 

18 following aspects of the State program funded under this 

19 part in the preceding fiscal year: 

20 ‘‘(1) Whether the State met the child poverty 

21 reduction goals set forth in the State plan. This part 

22 of the report shall include a discussion of the fac23 tors, including benefits, services, and activities fund24 ed with Federal funds provided under this part or 


SSpencer on DSK4SPTVN1PROD with BILLS
188 

•HR 2721 IH

1 State funds, which contributed to the meeting of, or 

2 the failure to meet, the goals. 

3 ‘‘(2) Whether the work programs of the State 

4 were effective in meeting the objectives and numer5 ical goals of the State plan. This part of the report 

6 shall include a discussion of data derived from the 

7 tracking of recipients, including— 

8 ‘‘(A) the number of families that left the 

9 State program funded under this part; 

10 ‘‘(B) the employment rate for those who 

11 left the program in each calendar quarter; 

12 ‘‘(C) the wage rates of those who left the 

13 program, including the percentage of leavers 

14 who, in each calendar quarter, earned an 

15 amount equal to at least 50 percent of the aver16 age wage then paid in the State; and 

17 ‘‘(D) the employment outcomes of those 

18 who left the program because of a durational 

19 limit on assistance, reported at 6 months, 12 

20 months, 24 months, and 36 months after leav21 ing the program. 

22 The Secretary shall provide States with technical as23 sistance in preparing this part of the report, includ24 ing by providing States with data from the National 

25 Directory of New Hires. 


SSpencer on DSK4SPTVN1PROD with BILLS
189 

•HR 2721 IH

1 ‘‘(3) Whether the State has been effective in 

2 providing benefits and services under the program to 

3 persons with disabilities. This part of the report 

4 shall include a report on recipients of assistance 

5 under the State program funded under this part who 

6 participated in work activities (as defined in section 

7 407(d)) pursuant to a modified employability plan 

8 due to disability, including the following: 

9 ‘‘(A) The aggregate number of recipients 

10 with modified employability plans due to a dis11 ability. 

12 ‘‘(B) The percentage of all recipients with 

13 modified employability plans who substantially 

14 complied with activities set forth in the plans 

15 each month of the fiscal year. 

16 ‘‘(C) Information regarding the most prev17 alent types of physical and mental impairments 

18 that provided the basis for the disability deter19 minations. 

20 ‘‘(D) The percentage of cases with a modi21 fied employability plan in which the recipient 

22 had a disability, was caring for a child with a 

23 disability, or was caring for another family 

24 member with a disability. 


SSpencer on DSK4SPTVN1PROD with BILLS
190 

•HR 2721 IH

1 ‘‘(E) A description of the most prevalent 

2 types of modification in work activities or hours 

3 of participation that were included in the modi4 fied employability plans. 

5 ‘‘(F) A description of the qualifications of 

6 the staff who determined whether individuals 

7 had a disability, of the staff who determined 

8 that individuals needed modifications to their 

9 work requirements, and of the staff who devel10 oped the modified employability plans. 

11 ‘‘(4) The effectiveness of the benefits and serv12 ices provided under the State program in reducing 

13 the number of children removed from their homes 

14 because of abuse and neglect. This part of the report 

15 shall include an analysis which includes the fol16 lowing: 

17 ‘‘(A) The number of families provided the 

18 benefits or services that were at risk of having 

19 their children removed from the home. 

20 ‘‘(B) The number of families served by the 

21 program that had 1 or more children removed 

22 from the home because of abuse or neglect. 

23 ‘‘(5) An analysis of the extent to which the ben24 efits and services under the State program were pro25 vided to noncustodial parents. 


SSpencer on DSK4SPTVN1PROD with BILLS
191 

•HR 2721 IH

1 ‘‘(6) How funds provided to the State under 

2 this part, with a separate accounting for funds pro3 vided under section 403(a)(3) and funds provided 

4 under section 403(b), were used to serve areas of the 

5 State with the greatest need (as referred to in sec6 tion 402(a)(1)(A)(i)). This part of the report shall 

7 include supporting data.’’. 

8 (d) ANNUAL REPORT TO CONGRESS ON THE EF9 FORTS OF STATE PROGRAMS TO PROMOTE AND SUPPORT

10 EMPLOYMENT FOR INDIVIDUALS WITH DISABILITIES.— 

11 Section 411 (42 U.S.C. 611), as amended by subsection 

12 (c) of this section, is amended by adding at the end the 

13 following: 

14 ‘‘(f) REPORT BY SECRETARY.—Not later than July 

15 31 of each fiscal year, the Secretary shall submit to the 

16 Congress a report, entitled ‘Efforts in State TANF Pro17 grams to Promote and Support Employment for Individ18 uals with Disabilities’, that includes information on State 

19 efforts to engage individuals with disabilities in work ac20 tivities during the preceding fiscal year. The report shall 

21 include the following information: 

22 ‘‘(1) For each State, the number of individuals 

23 for whom the State has developed a modified em24 ployability plan. 


SSpencer on DSK4SPTVN1PROD with BILLS
192 

•HR 2721 IH

1 ‘‘(2) The types of physical and mental impair2 ments that provided the basis for the disability de3 termination, and whether the individual with the dis4 ability was an adult recipient or minor child head of 

5 household, a child, or a non-recipient family mem6 ber. 

7 ‘‘(3) The types of modifications that States 

8 have included in modified employability plans. 

9 ‘‘(4) The extent to which individuals with a 

10 modified employability plan are participating in work 

11 activities. 

12 ‘‘(5) For each State, an analysis of the extent 

13 to which the option to establish modified employ14 ability plans was a factor in the State achieving or 

15 not achieving the minimum participation rate re16 quired by section 407(a).’’. 

17 (e) REPORT TO CONGRESS ON LEGISLATIVE OPTIONS

18 TO REWARD STATES WITH HIGH EMPLOYMENT RATES

19 AND HIGH RATES OF EMPLOYMENT AT GOOD WAGES.— 

20 Within 4 years after the effective date of this section, the 

21 Secretary of Health and Human Services shall submit to 

22 the Congress a report that sets forth options for the enact23 ment of legislation to provide financial or other rewards 

24 to States that have high rates of employment and high 

25 rates of employment at good wages. 


SSpencer on DSK4SPTVN1PROD with BILLS
193 

•HR 2721 IH

1 SEC. 912. REQUIREMENT THAT STATES ADOPT STANDARDS 

2 AND PROCEDURES TO ADDRESS DOMESTIC 

3 AND SEXUAL VIOLENCE AMONG TANF RE4 CIPIENTS. 

5 (a) IN GENERAL.—Section 402(a)(7) (42 U.S.C. 

6 602(a)(7)) is amended— 

7 (1) by striking the paragraph heading and in8 serting ‘‘CERTIFICATION OF STANDARDS AND PRO9 CEDURES REGARDING DOMESTIC AND SEXUAL VIO10 LENCE’’; 

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

12 the following: 

13 ‘‘(A) IN GENERAL.—A certification by the 

14 chief executive officer of the State that the 

15 State has established and is enforcing stand16 ards and procedures to ensure the right and en17 titlement of victims of domestic or sexual vio18 lence (notwithstanding section 401(b)) seeking 

19 or receiving assistance under the State program 

20 funded under this part or any other State pro21 gram funded by qualified State expenditures (as 

22 defined in section 409(a)(7)(B)(i))— 

23 ‘‘(i) to be screened and identified 

24 while maintaining the confidentiality of the 

25 victims; 


SSpencer on DSK4SPTVN1PROD with BILLS
194 

•HR 2721 IH

1 ‘‘(ii) to be referred to counseling and 

2 supportive services; 

3 ‘‘(iii) to be granted a waiver, pursuant 

4 to a determination of good cause, of pro5 gram requirements such as time limits (for 

6 so long as necessary), residency require7 ments, child support cooperation require8 ments, and family cap provisions, in cases 

9 where compliance with the requirements 

10 would make it more difficult for the vic11 tims to escape domestic or sexual violence 

12 or unfairly penalize the victims or other in13 dividuals who are at risk of further domes14 tic or sexual violence; 

15 ‘‘(iv) to apply to participate in the 

16 program on the same day the victim ap17 pears in person in a program office during 

18 office hours; 

19 ‘‘(v) to have an application that con20 tains the name, address, and signature of 

21 the victim considered to be filed on the 

22 date the application is submitted; 

23 ‘‘(vi) to receive at the time of applica24 tion a clear, written statement explaining 

25 what the victim must do to cooperate in 


SSpencer on DSK4SPTVN1PROD with BILLS
195 

•HR 2721 IH

1 obtaining verification and otherwise com2 pleting the application process; and 

3 ‘‘(vii) if the victim has completed the 

4 application process, to have the eligibility 

5 of the victim for assistance determined 

6 promptly, and to be provided assistance 

7 retroactive to the application date if deter8 mined eligible within 30 days after the ap9 plication date.’’; and 

10 (3) in subparagraph (B)— 

11 (A) in the subparagraph heading, by in12 serting ‘‘OR SEXUAL’’ after ‘‘DOMESTIC’’; and 

13 (B) in the text, by inserting ‘‘or sexual’’ 

14 after ‘‘domestic’’. 

15 (b) REPORT TO THE CONGRESS ON BEST PRACTICES

16 OF STATES.—Section 413 (42 U.S.C. 613) is amended by 

17 adding at the end the following: 

18 ‘‘(k) REPORT TO CONGRESS ON BEST PRACTICES OF

19 STATES IN ADDRESSING DOMESTIC AND SEXUAL VIO20 LENCE SUFFERED BY TANF RECIPIENTS.—Every 4 

21 years, the Secretary shall prepare and submit to the Con22 gress a report which examines the practices of States in 

23 implementing section 402(a)(7), and identifies the best 

24 practices used to do so.’’. 


SSpencer on DSK4SPTVN1PROD with BILLS
196 

•HR 2721 IH

1 (c) EFFECTIVE DATE.—The amendments made by 

2 this section shall take effect on October 1, 2015. 

3 SEC. 913. CHILD CARE ENTITLEMENT. 

4 (a) REPLACEMENT OF REQUIREMENT THAT POR5 TION OF FUNDS BE USED FOR CERTAIN POPULATIONS

6 WITH CHILD CARE GUARANTEE.—Section 418(b)(2) (42 

7 U.S.C. 618(b)(2)) is amended to read as follows: 

8 ‘‘(2) CHILD CARE TO BE GUARANTEED FOR

9 CERTAIN POPULATIONS.—As a condition of receiving 

10 funds under this section, a State shall guarantee the 

11 provision of child care services to— 

12 ‘‘(A) each recipient of assistance under the 

13 State program funded under this part or under 

14 a State program funded with qualified State ex15 penditures (as defined in section 

16 409(a)(7)(B)(i)) of this Act, and to each work17 eligible individual (as defined in section 

18 407(a)(2) of this Act), for any period in which 

19 the recipient or individual is— 

20 ‘‘(i) participating in a work activity 

21 (as defined in section 407(d) of this Act); 

22 ‘‘(ii) employed, and in a family the 

23 total income of which does not exceed 250 

24 percent of the poverty line (within the 

25 meaning of section 673(2) of the Omnibus 


SSpencer on DSK4SPTVN1PROD with BILLS
197 

•HR 2721 IH

1 Budget Reconciliation Act of 1981, includ2 ing any revision required by such section 

3 applicable to a family of the size involved); 

4 or 

5 ‘‘(iii) engaged in employment sub6 sidized by the State; or 

7 ‘‘(B) each individual who is a former re8 cipient of assistance under such a program or 

9 a former work-eligible individual, for any por10 tion of the 24-month period, beginning with the 

11 date the individual left the program involved, in 

12 which the individual is employed and in a fam13 ily that meets the income requirement of sub14 paragraph (A)(ii).’’. 

15 (b) ELIMINATION OF STATE CAPS.—Section 418(a) 

16 (42 U.S.C. 618(a)) is amended— 

17 (1) in paragraph (2)— 

18 (A) by striking subparagraphs (B) and (D) 

19 and redesignating subparagraph (C) as sub20 paragraph (B); and 

21 (B) in subparagraph (B) (as so redesig22 nated), by striking ‘‘the lesser of the State’s al23 lotment under subparagraph (B) or’’; and 

24 (2) in paragraph (5), by striking ‘‘(2)(C)’’ and 

25 inserting ‘‘(2)(B)’’. 


SSpencer on DSK4SPTVN1PROD with BILLS
198 

•HR 2721 IH

1 (c) OPEN-ENDED ENTITLEMENT.—Section 418(a) 

2 (42 U.S.C. 618(a)) is amended— 

3 (1) in paragraph (1), by striking ‘‘Subject to 

4 the amount appropriated under paragraph (3), 

5 each’’ and inserting ‘‘Each’’; and 

6 (2) in paragraph (3), by striking ‘‘appro7 priated—’’ and all that follows and inserting ‘‘appro8 priated such sums as are necessary to carry out this 

9 section for each fiscal year.’’. 

10 (d) USE OF FUNDS IN ACCORDANCE WITH CHILD

11 CARE AND DEVELOPMENT BLOCK GRANT ACT OF 1990 

12 EXCEPT AS REQUIRED BY CHILD CARE GUARANTEE.— 

13 Section 418(c) (42 U.S.C. 618(c)) is amended by inserting 

14 ‘‘except to the extent that such a requirement or limitation 

15 would interfere with the provision of child care services 

16 required by subsection (b)(2)’’ before the period. 

17 SEC. 914. CHILD SUPPORT ENFORCEMENT. 

18 (a) ELIMINATION OF BAN ON PROVIDING ASSIST19 ANCE TO FAMILIES NOT ASSIGNING CERTAIN SUPPORT

20 RIGHTS TO THE STATE.— 

21 (1) IN GENERAL.—Section 408(a) (42 U.S.C. 

22 608(a)) is amended by striking paragraph (3). 

23 (2) CONFORMING AMENDMENTS.—The fol24 lowing provisions are each amended by inserting 

25 after ‘‘section 408(a)(3)’’ the following: ‘‘(as in efVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00198 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
199 

•HR 2721 IH

1 fect before the effective date of the amendments 

2 made by title IX of the Pathways Out of Poverty 

3 Act of 2015 took effect)’’: 

4 (A) Section 452(a)(10)(C) (42 U.S.C. 

5 652(a)(10)(C)). 

6 (B) Section 452(h) (42 U.S.C. 652(h)). 

7 (C) Section 454(5)(A) (42 U.S.C. 

8 654(5)(A)). 

9 (D) Section 456(a)(1) (42 U.S.C. 

10 656(a)(1)). 

11 (E) Section 457(a)(2)(B)(i) (42 U.S.C. 

12 657(a)(2)(B)(i)). 

13 (F) Section 457(a)(3)(A) (42 U.S.C. 

14 657(a)(3)(A)). 

15 (G) Section 457(a)(3)(B) (42 U.S.C. 

16 657(a)(3)(B)). 

17 (H) Section 464(a)(1) (42 U.S.C. 

18 664(a)(1)). 

19 (I) Section 466(a)(3)(B) (42 U.S.C. 

20 666(a)(3)(B)). 

21 (b) REQUIREMENT THAT ALL CHILD SUPPORT COL22 LECTED ON BEHALF OF A CHILD IN A FAMILY RECEIVING

23 TANF BE DISTRIBUTED TO THE FAMILY.— 

24 (1) IN GENERAL.—Section 457 (42 U.S.C. 657) 

25 is amended— 


SSpencer on DSK4SPTVN1PROD with BILLS
200 

•HR 2721 IH

1 (A) in subsection (c)(1), by striking 

2 ‘‘means—’’ and all that follows through ‘‘(B) 

3 foster’’ and inserting ‘‘means foster’’; and 

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

5 ‘‘(f) Notwithstanding the preceding provisions of this 

6 section, all amounts collected by a State as child support 

7 on behalf of a child in a family that is receiving assistance 

8 under the State program funded under part A or under 

9 the State plan approved under part A of this title (as in 

10 effect on the day before the date of the enactment of the 

11 Personal Responsibility and Work Opportunity Reconcili12 ation Act of 1996) shall be distributed to the family.’’. 

13 (2) CONFORMING AMENDMENTS.—Section 

14 458(b)(5)(C)(i)(I) (42 U.S.C. 658(b)(5)(C)(i)(I)) is 

15 amended— 

16 (A) by inserting ‘‘is collected on behalf of 

17 a child described in section 457(f) or’’ after 

18 ‘‘involved’’; and 

19 (B) by striking ‘‘A or’’. 


SSpencer on DSK4SPTVN1PROD with BILLS
201 

•HR 2721 IH

1 SEC. 915. STATE OPTION TO EXTEND ELIGIBILITY FOR AS2 SISTANCE TO CHILDREN THROUGH AGE 21; 

3 PROHIBITION ON CONSIDERING FINANCIAL 

4 AID TIED TO EDUCATION OF CHILD IN DE5 TERMINING ELIGIBILITY FOR, OR AMOUNT 

6 OF ASSISTANCE; PROHIBITION ON IMPOSING 

7 ADDITIONAL REQUIREMENTS BASED ON EDU8 CATIONAL ENROLLMENT OF CHILD. 

9 (a) STATE OPTION TO EXTEND TANF TO CHIL10 DREN UNDER AGE 22.—Section 419(2) (42 U.S.C. 

11 619(2)) is amended— 

12 (1) by striking ‘‘or’’ at the end of subparagraph 

13 (A); 

14 (2) by striking the period at the end of sub15 paragraph (B) and inserting ‘‘; or’’; and 

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

17 ‘‘(C) at the option of the State, has not at18 tained 22 years of age.’’. 

19 (b) BAN ON CONSIDERING FINANCIAL AID TIED TO

20 EDUCATION OF CHILD IN DETERMINING ELIGIBILITY

21 FOR, OR AMOUNT OF ASSISTANCE; BAN ON IMPOSING AD22 DITIONAL REQUIREMENTS BASED ON EDUCATIONAL EN23 ROLLMENT OF CHILD.— 

24 (1) PROHIBITIONS.—Section 408(a) (42 U.S.C. 

25 608(a)), as amended by sections 903(c)(2)(A), 

26 905(d)(1), 906(b)(1), 907(b)(1), 908(a), 909(a), and 


SSpencer on DSK4SPTVN1PROD with BILLS
202 

•HR 2721 IH

1 910(b) of this title, is amended by adding at the end 

2 the following: 

3 ‘‘(20) BAN ON CONSIDERING FINANCIAL AID

4 TIED TO EDUCATION OF CHILD IN DETERMINING

5 ELIGIBILITY FOR, OR AMOUNT OF ASSISTANCE; BAN

6 ON IMPOSING ADDITIONAL REQUIREMENTS BASED

7 ON EDUCATIONAL ENROLLMENT OF CHILD.—A 

8 State to which a grant is made under section 403 

9 for a fiscal year shall not— 

10 ‘‘(A) consider financial aid tied to the 

11 training, school attendance, or postsecondary 

12 school attendance of a minor child in deter13 mining that the eligibility of the family of the 

14 child for, or the amount of assistance to be pro15 vided to the family, under the State program 

16 funded under this part or any other State pro17 gram funded by qualified State expenditures (as 

18 defined in section 409(a)(7)(B)(i)); or 

19 ‘‘(B) impose additional requirements on a 

20 family solely because the family includes a 

21 minor child who is enrolled in a training pro22 gram, school, or post-secondary educational in23 stitution.’’. 

24 (2) PENALTY.—Section 409(a) (42 U.S.C. 

25 609), as amended by sections 903(c)(2)(A), 


SSpencer on DSK4SPTVN1PROD with BILLS
203 

•HR 2721 IH

1 905(d)(1), 906(b)(2), 907(b)(2), 908(b), 909(b), 

2 and 910(c) of this title, is amended by adding at the 

3 end the following: 

4 ‘‘(24) CONSIDERING EDUCATIONAL ENROLL5 MENT OF CHILD OR OF FINANCIAL AID TIED TO

6 EDUCATION OF CHILD.—If the Secretary determines 

7 that a State to which a grant is made under section 

8 403 in a fiscal year has violated section 408(a)(20) 

9 during the fiscal year, the Secretary shall reduce the 

10 grant payable to the State under section 403(a)(1) 

11 for the immediately succeeding fiscal year by an 

12 amount equal to 5 percent of the State family assist13 ance grant.’’. 

14 SEC. 916. ELIMINATION OF CERTAIN OTHER BARS TO TANF 

15 ASSISTANCE. 

16 (a) BAR ON ASSISTANCE FOR PERSONS CONVICTED

17 OF DRUG FELONIES.—Section 115 of the Personal Re18 sponsibility and Work Opportunity Reconciliation Act of 

19 1996 (21 U.S.C. 862a) is amended— 

20 (1) in the section heading by striking ‘‘ASSIST21 ANCE AND’’ and inserting ‘‘SUPPLEMENTAL NU22 TRITION ASSISTANCE’’; 

23 (2) in subsection (a), by striking ‘‘for—’’ and 

24 all that follows through ‘‘(2) benefits’’ and inserting 

25 ‘‘for benefits’’; 


SSpencer on DSK4SPTVN1PROD with BILLS
204 

•HR 2721 IH

1 (3) in subsection (b), by striking all through 

2 ‘‘The amount of benefits’’ and inserting the fol3 lowing: 

4 ‘‘(b) EFFECTS ON BENEFITS FOR OTHERS.—The 

5 amount of benefits’’; 

6 (4) in subsection (c), by striking ‘‘assistance 

7 or’’; and 

8 (5) in subsection (e), by striking ‘‘it—’’ and all 

9 that follows through ‘‘in section 3(s)’’ and inserting 

10 ‘‘it in section 3(s)’’. 

11 (b) BAR ON ASSISTANCE FOR UNWED TEEN PAR12 ENTS NOT IN SCHOOL.—Section 408(a) (42 U.S.C. 

13 608(a)) is amended by striking paragraph (4). 

14 (c) BAR ON ASSISTANCE FOR TEENS NOT IN AN

15 ADULT-SUPERVISED LIVING ARRANGEMENT.—Section 

16 408(a) (42 U.S.C. 608(a)) is amended by striking para17 graph (5). 

18 (d) REDESIGNATION OF PROVISIONS.— 

19 (1) IN GENERAL.—Section 408(a) (42 U.S.C. 

20 608(a)), as amended by the preceding provisions of 

21 this title, is amended by redesignating paragraphs 

22 (6) through (20) as paragraphs (3) through (17), re23 spectively. 

24 (2) CONFORMING AMENDMENTS.— 


SSpencer on DSK4SPTVN1PROD with BILLS
205 

•HR 2721 IH

1 (A) Section 402(a)(7)(B) (42 U.S.C. 

2 602(a)(7)(B)) is amended by striking 

3 ‘‘408(a)(7)(C)(iii)’’ and inserting 

4 ‘‘408(a)(4)(C)(iii)’’. 

5 (B) Section 403(a)(5)(C)(ii)(II) (42 U.S.C. 

6 603(a)(5)(C)(ii)(II)) is amended by striking 

7 ‘‘408(a)(7)(C)’’ and inserting ‘‘408(a)(4)(C)’’. 

8 (C) Section 403(a)(5)(C)(v) (42 U.S.C. 

9 603(a)(5)(C)(v)) is amended by striking 

10 ‘‘408(a)(7)’’ and inserting ‘‘408(a)(4)’’. 

11 (D) Section 409(a)(7)(B)(i)(IV) (42 

12 U.S.C. 609(a)(7)(B)(i)(IV)) is amended by 

13 striking ‘‘408(a)(7)’’ and inserting ‘‘408(a)(4)’’. 

14 (E) Section 409(a)(9) (42 U.S.C. 

15 609(a)(9)) is amended by striking ‘‘408(a)(7)’’ 

16 and inserting ‘‘408(a)(4)’’. 

17 (F) Section 409(a)(17), as added by sec18 tion 905(d)(1)(A)(ii) of this title, is amended by 

19 striking ‘‘408(a)(13)’’ and inserting 

20 ‘‘408(a)(10)’’. 

21 (G) Section 409(a)(18), as added by sec22 tion 905(d)(1)(A)(ii) of this title, is amended by 

23 striking ‘‘408(a)(14)’’ and inserting 

24 ‘‘408(a)(11)’’. 


SSpencer on DSK4SPTVN1PROD with BILLS
206 

•HR 2721 IH

1 (H) Section 409(a)(19), as added by sec2 tion 906(b)(2) of this title, is amended by strik3 ing ‘‘408(a)(15)’’ and inserting ‘‘408(a)(12)’’. 

4 (I) Section 409(a)(20), as added by section 

5 907(b)(2) of this title, is amended by striking 

6 ‘‘408(a)(16)’’ and inserting ‘‘408(a)(13)’’. 

7 (J) Section 409(a)(21), as added by sec8 tion 908(b) of this title, is amended by striking 

9 ‘‘408(a)(17)’’ and inserting ‘‘408(a)(14)’’. 

10 (K) Section 409(a)(22), as added by sec11 tion 909(b) of this title, is amended by striking 

12 ‘‘408(a)(18)’’ and inserting ‘‘408(a)(15)’’. 

13 (L) Section 409(a)(23), as added by sec14 tion 910(c) of this title, is amended by striking 

15 ‘‘408(a)(19)’’ and inserting ‘‘408(a)(16)’’. 

16 (M) Section 409(a)(24), as added by sec17 tion 915(b)(2) of this title, is amended by strik18 ing ‘‘408(a)(20)’’ and inserting ‘‘408(a)(17)’’. 

19 (N) Section 411(a)(1)(A)(xvi) (42 U.S.C. 

20 611(a)(1)(A)(xvi)) is amended by striking 

21 ‘‘408(a)(7)’’ and inserting ‘‘408(a)(7)(A)’’. 

22 SEC. 917. EFFECTIVE DATE. 

23 (a) IN GENERAL.—Except as otherwise provided in 

24 this title, this title and the amendments made by this title 

25 shall take effect on October 1, 2015, and shall apply to 


SSpencer on DSK4SPTVN1PROD with BILLS
207 

•HR 2721 IH

1 payments under title IV of the Social Security Act for cal2 endar quarters beginning on or after such date, without 

3 regard to whether regulations to implement the amend4 ments are promulgated by such date. 

5 (b) DELAY PERMITTED IF STATE LEGISLATION RE6 QUIRED.—If the Secretary of Health and Human Services 

7 determines that State legislation (other than legislation 

8 appropriating funds) is required in order for a State plan 

9 under part A or E of title IV of the Social Security Act 

10 to meet the additional requirements imposed by the 

11 amendments made by this title, the plan shall not be re12 garded as failing to meet any of the additional require13 ments before the first day of the first calendar quarter 

14 beginning after the close of the first regular session of the 

15 State legislature that begins after the date of the enact16 ment of this Act. If the State has a 2-year legislative ses17 sion, each year of the session is deemed to be a separate 

18 regular session of the State legislature. 

19 TITLE X—EMPLOYMENT AD20 VANCEMENT, RETENTION, 

21 AND NAVIGATION ACT 

22 SEC. 1011. FOCUS ON EMPLOYMENT. 

23 (a) PURPOSE.—Section 401(a) of the Social Security 

24 Act (42 U.S.C. 601(a)) is amended— 


SSpencer on DSK4SPTVN1PROD with BILLS
208 

•HR 2721 IH

1 (1) in paragraph (3), by striking ‘‘and’’ at the 

2 end; 

3 (2) in paragraph (4), by striking the period at 

4 the end and inserting ‘‘; and’’; and 

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

6 ‘‘(5) promote employment advancement among 

7 needy families.’’. 

8 (b) STATE PLAN REQUIREMENT.—Section 

9 402(a)(1)(A) of such Act (42 U.S.C. 602(a)(1)(A)) is 

10 amended— 

11 (1) by redesignating clauses (vii) and (viii) as 

12 clauses (viii) and (ix), respectively; and 

13 (2) by inserting after clause (vi) the following: 

14 ‘‘(vii) Establish numeric goals for in15 creasing job entry, employment retention, 

16 and earnings gains for current and recent 

17 recipients of assistance under the program, 

18 and provide the Secretary with a narrative 

19 description of the activities and programs 

20 the State will implement to attain these 

21 goals.’’. 

22 SEC. 1012. MODIFICATION RELATING TO THE CONTIN23 GENCY FUND. 

24 (a) LIMITATION ON USE OF CONTINGENCY FUND

25 GRANTS.—Section 403(b)(3) of the Social Security Act 


SSpencer on DSK4SPTVN1PROD with BILLS
209 

•HR 2721 IH

1 (42 U.S.C. 603(b)(3)) is amended by inserting at the end 

2 the following: 

3 ‘‘(D) LIMITATION ON USE OF FUNDS.— 

4 Funds received by a State under this paragraph 

5 shall be used solely to support training pro6 grams leading to a credential that is directly 

7 linked to the employment opportunities in the 

8 local area or region involved in order to pro9 mote the employment of current or recent re10 cipients of assistance under the State program 

11 funded under this Part (including non-custodial 

12 parents of such recipients).’’. 

13 (b) ELIMINATION OF MAINTENANCE OF EFFORT RE14 QUIREMENT FOR CONTINGENCY FUND.—Section 409(a) 

15 of such Act (42 U.S.C. 609(a)) is amended by striking 

16 paragraph (10). 

17 (c) MODIFICATION OF ANNUAL RECONCILIATION RE18 QUIREMENT FOR CONTINGENCY FUND.—Section 

19 403(b)(6)(B)(i)(II) of such Act (42 U.S.C. 

20 603(b)(6)(B)(i)(II)) is amended by inserting before ‘‘his21 toric’’ the following: ‘‘the applicable percentage (as defined 

22 in section 409(a)(7)(B)(ii)) of’’. 

23 SEC. 1013. TRAINING FOR IN-DEMAND JOBS. 

24 (a) VOCATIONAL EDUCATIONAL TRAINING FOR EM25 PLOYMENT IN AN IN-DEMAND OCCUPATION.—Section 


SSpencer on DSK4SPTVN1PROD with BILLS
210 

•HR 2721 IH

1 407(d)(8) of the Social Security Act (42 U.S.C. 

2 607(d)(8)) is amended to read as follows: 

3 ‘‘(8) vocational educational training not to ex4 ceed 12 months for any individual, or not to exceed 

5 24 months for any individual participating in a 

6 training program leading to a credential that is di7 rectly linked to the employment opportunities in the 

8 individual’s local area or region;’’. 

9 (b) TREATMENT OF STUDENTS UNDER 20 YEARS OF

10 AGE AS ENGAGED IN WORK.—Section 407(c)(2)(D) of 

11 such Act (42 U.S.C. 607(c)(2)(D)) is amended by striking 

12 ‘‘, or (if the month is in fiscal year 2000 or thereafter) 

13 deemed to be engaged in work for the month by reason 

14 of subparagraph (C) of this paragraph’’. 

15 SEC. 1014. EFFECTIVE DATE. 

16 The amendments made by this title shall take effect 

17 on the date of the enactment of this title. 


SSpencer on DSK4SPTVN1PROD with BILLS
211 

•HR 2721 IH

1 TITLE XI—RESTORING SUPPLE2 MENTAL NUTRITION ASSIST3 ANCE PROGRAMS FUNDING 

4 CUTS INSTITUTED IN FARM 

5 BILL (HEAT-AND-EAT) 

6 SEC. 1101. RESTORATION OF STANDARD UTILITY ALLOW7 ANCES BASED ON THE RECEIPT OF ENERGY 

8 ASSISTANCE PAYMENTS. 

9 (a) STANDARD UTILITY ALLOWANCES IN THE SUP10 PLEMENTAL NUTRITION ASSISTANCE PROGRAM.—Section 

11 5(e)(6)(C) of the Food and Nutrition Act of 2008 (7 

12 U.S.C. 2014(e)(6)(C)) is amended— 

13 (1) in clause (i) by striking ‘‘, subject to clause 

14 (iv)’’, and 

15 (2) in clause (iv) by striking subclause (I) and 

16 inserting the following: 

17 ‘‘(I) IN GENERAL.—Subject to 

18 subclause (II), if a State agency elects 

19 to use a standard utility allowance 

20 that reflects heating or cooling costs, 

21 the standard utility allowance shall be 

22 made available to households receiving 

23 a payment, or on behalf of which a 

24 payment is made, under the Low-In25 come Home Energy Assistance Act of 


SSpencer on DSK4SPTVN1PROD with BILLS
212 

•HR 2721 IH

1 1981 (42 U.S.C. 8621 et seq.) or 

2 other similar energy assistance pro3 gram, if the household still incurs out4 of-pocket heating or cooling expenses 

5 in excess of any assistance paid on be6 half of the household to an energy 

7 provider.’’. 

8 (b) CONFORMING AMENDMENT.—Section 

9 2605(f)(2)(A) of the Low-Income Home Energy Assist10 ance Act of 1981 (42 U.S.C. 8624(f)(2)(A)) is amended 

11 by striking ‘‘, except that, for purposes of the supple12 mental nutrition assistance program established under the 

13 Food and Nutrition Act of 2008 (7 U.S.C. 2011 et seq.), 

14 such payments or allowances were greater than $20 annu15 ally, consistent with section 5(e)(6)(C)(iv)(I) of that Act 

16 (7 U.S.C. 2014(e)(6)(C)(iv)(I)), as determined by the Sec17 retary of Agriculture’’. 

18 TITLE XII—HELPING HUNGRY 

19 STUDENTS LEARN 

20 SEC. 1201. FINDINGS. 

21 Congress makes the following findings: 

22 (1) In 2012, nearly one in five children in 

23 America lived in a household that lacked access to 

24 nutritious food on a regular basis. That is 15.9 milVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00212 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
213 

•HR 2721 IH

1 lion American children who struggled with hunger at 

2 some time during the year. 

3 (2) Children who experience hunger are more 

4 likely to get sick and are more likely to be obese 

5 than those who do not. Children facing chronic hun6 ger also find it more difficult to concentrate in 

7 school and tend to exhibit higher levels of behavioral, 

8 emotional, and academic problems. 

9 (3) Federal programs play an important role in 

10 addressing childhood hunger. In 2013, 21 million 

11 students participated in the free or reduced-price 

12 lunch program. Eleven million students participated 

13 in the free or reduced-price breakfast program. 

14 Three million low-income children received free 

15 meals during the summer months. Forty-seven per16 cent of participants in the supplemental nutrition as17 sistance program are under the age of 18. 

18 (4) On average, students who eat school break19 fast achieve 17.5 percent higher scores on standard20 ized math tests, and attend 1.5 more days of school 

21 each year than those who do not. Students who at22 tend class more regularly are 20 percent more likely 

23 to graduate from high school. Participation in the 

24 school breakfast program is associated with children 

25 having a lower Body Mass Index. 


SSpencer on DSK4SPTVN1PROD with BILLS
214 

•HR 2721 IH

1 SEC. 1202. SCHOOL LUNCH PROGRAM. 

2 Section 9(b) of the Richard B. Russell National 

3 School Lunch Act is amended— 

4 (1) in paragraph (1)(A), by inserting after the 

5 third sentence the following: ‘‘Notwithstanding any 

6 other provision of this Act and the Child Nutrition 

7 Act of 1966, for each school year beginning on or 

8 after the July 1 of the year following the year of en9 actment of the Pathways Out of Poverty Act of 

10 2015, the income guidelines for determining eligi11 bility for free lunches shall be 185 percent of the ap12 plicable family size income levels contained in the 

13 nonfarm income poverty guidelines prescribed by the 

14 Office of Management and Budget, as adjusted an15 nually in accordance with subparagraph (B)’’; and 

16 (2) in paragraph (9)(B), by inserting at the end 

17 the following: 

18 ‘‘(iii) TERMINATION OF REDUCED19 PRICE CATEGORY.—Beginning with the 

20 school year beginning July 1 of the year 

21 following the year of enactment of the 

22 Pathways Out of Poverty Act of 2015, no 

23 child shall be determined eligible for a re24 duced price lunch.’’. 


SSpencer on DSK4SPTVN1PROD with BILLS
215 

•HR 2721 IH

1 SEC. 1203. SCHOOL BREAKFAST PROGRAM. 

2 (a) UNIVERSAL SCHOOL BREAKFAST PROGRAM.— 

3 Section 4(a) of the Child Nutrition Act of 1966 (42 U.S.C. 

4 1773(a)) is amended— 

5 (1) by striking ‘‘(a) There’’ and inserting: 

6 ‘‘(a)(1) There’’; and 

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

8 ‘‘(2) UNIVERSAL SCHOOL BREAKFAST PRO9 GRAM.—For each school year beginning on or after 

10 the July 1 of the year following the year of enact11 ment of the Pathways Out of Poverty Act of 2015, 

12 each school participating in the school breakfast pro13 gram under this section shall provide breakfast 

14 under the program to each student that desires such 

15 a breakfast at no cost to the student.’’. 

16 (b) NATIONAL AVERAGE PAYMENT RATE.—Section 

17 4(b)(1)(B) of the Child Nutrition Act of 1966 (42 U.S.C. 

18 1773(b)(1)(B)) is amended by adding at the end the fol19 lowing: ‘‘Notwithstanding any other provision of this Act 

20 or the Richard B. Russell National School Lunch Act, for 

21 each school year beginning on or after the July 1 of the 

22 year following the year of enactment of the Pathways Out 

23 of Poverty Act of 2015, the national average payment for 

24 each breakfast served to any child shall be equal to the 

25 national average payment for each free breakfast served 

26 during the school year beginning July 1 of the year of 


SSpencer on DSK4SPTVN1PROD with BILLS
216 

•HR 2721 IH

1 enactment of the Pathways Out of Poverty Act of 2015 

2 (which shall be adjusted pursuant to section 11(a) of the 

3 Richard B. Russell National School Lunch Act).’’. 

4 (c) SEVERE NEED ASSISTANCE.—Section 4(d)(1) of 

5 the Child Nutrition Act of 1966 (42 U.S.C. 1773(d)(1)) 

6 is amended— 

7 (1) by striking ‘‘(A) during’’ and inserting: 

8 ‘‘(A)(i) during’’; 

9 (2) by striking ‘‘(B) in’’ and inserting ‘‘(ii) in’’; 

10 (3) by striking ‘‘subparagraph (A)’’ and insert11 ing ‘‘clause (i)’’; 

12 (4) by striking ‘‘met.’’ and inserting ‘‘met; 

13 and’’; and 

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

15 ‘‘(B) for each school year beginning on or 

16 after the July 1 of the year following the year 

17 of enactment of the Pathways Out of Poverty 

18 Act of 2015, there is an alternative breakfast 

19 serving model to increase participation in the 

20 school breakfast program, such as by serving 

21 breakfast in the classroom or having a school 

22 breakfast cart.’’. 


SSpencer on DSK4SPTVN1PROD with BILLS
217 

•HR 2721 IH

1 SEC. 1204. SUMMER ELECTRONIC BENEFITS TRANSFER 

2 FOR CHILDREN PROGRAM. 

3 The Richard B. Russell National School Lunch Act 

4 (42 U.S.C. 1751 et seq.) is amended by adding at the end 

5 the following: 

6 ‘‘SEC. 30. SUMMER ELECTRONIC BENEFITS TRANSFER FOR 

7 CHILDREN PROGRAM. 

8 ‘‘(a) IN GENERAL.—From the amount appropriated 

9 to carry out this section, the Secretary shall carry out a 

10 summer electronic benefits transfer for children program 

11 by awarding grants to States that desire to participate in 

12 such program to assist such States with the initial admin13 istrative costs of such participation. 

14 ‘‘(b) PROGRAM REQUIREMENTS.—The summer elec15 tronic benefits transfer for children program carried out 

16 under this section shall have the same terms and condi17 tions as the summer electronic benefits transfer for chil18 dren demonstration project carried out under section 

19 749(g) of the Agriculture, Rural Development, and Food 

20 and Drug Administration, and Related Agencies Appro21 priations Act, 2010 (Public Law 111–80; 123 Stat. 2131), 

22 except that the Secretary shall prescribe an annual adjust23 ment for the monthly benefit of $60 per child that is ad24 justed at the time that the annual adjustments are made 

25 for the national average payment rates for breakfasts and 

26 lunches (pursuant to section 11(a) of this Act).’’. 


SSpencer on DSK4SPTVN1PROD with BILLS
218 

•HR 2721 IH

1 SEC. 1205. WEEKENDS AND HOLIDAYS WITHOUT HUNGER. 

2 Section 18 of the Richard B. Russell National School 

3 Lunch Act (42 U.S.C. 1769) is amended by adding at the 

4 end the following: 

5 ‘‘(l) WEEKENDS AND HOLIDAYS WITHOUT HUN6 GER.— 

7 ‘‘(1) DEFINITIONS.—In this subsection: 

8 ‘‘(A) AT-RISK SCHOOL CHILD.—The term 

9 ‘at-risk school child’ has the meaning given the 

10 term in section 17(r)(1). 

11 ‘‘(B) ELIGIBLE INSTITUTION.— 

12 ‘‘(i) IN GENERAL.—The term ‘eligible 

13 institution’ means a public or private non14 profit institution that is determined by the 

15 Secretary to be able to meet safe food stor16 age, handling, and delivery standards es17 tablished by the Secretary. 

18 ‘‘(ii) INCLUSIONS.—The term ‘eligible 

19 institution’ includes— 

20 ‘‘(I) an elementary or secondary 

21 school or school food service authority; 

22 ‘‘(II) a food bank or food pantry; 

23 ‘‘(III) a homeless shelter; and 

24 ‘‘(IV) such other type of emer25 gency feeding agency as is approved 

26 by the Secretary. 


SSpencer on DSK4SPTVN1PROD with BILLS
219 

•HR 2721 IH

1 ‘‘(2) ESTABLISHMENT.—Subject to the avail2 ability of appropriations provided in advance in an 

3 appropriations Act specifically for the purpose of 

4 carrying out this subsection, the Secretary shall es5 tablish a program under which the Secretary shall 

6 provide commodities, on a competitive basis, to State 

7 agencies for the purposes of enabling eligible institu8 tions to carry out projects to provide nutritious food 

9 to at-risk children on weekends and during extended 

10 school holidays during the school year. 

11 ‘‘(3) APPLICATIONS.—To participate in the pro12 gram under this subsection, a State agency shall 

13 submit an application to the Secretary at such time, 

14 in such manner, and containing such information as 

15 the Secretary may require. 

16 ‘‘(4) ELIGIBILITY.— 

17 ‘‘(A) IN GENERAL.—To be eligible to re18 ceive commodities under this subsection, an eli19 gible institution shall submit an application to 

20 the State agency involved at such time, in such 

21 manner, and containing such information as the 

22 State agency may require. 

23 ‘‘(B) PLAN.—An application under sub24 paragraph (A) shall include the plan of the eli25 gible institution for the distribution of nutriVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00219 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
220 

•HR 2721 IH

1 tious foods to at-risk school children under the 

2 project to be carried out under this subsection, 

3 including— 

4 ‘‘(i) methods of food service delivery 

5 to at-risk school children; 

6 ‘‘(ii) assurances that children receiv7 ing foods under the project will not be pub8 licly separated or overtly identified; 

9 ‘‘(iii) lists of the types of food to be 

10 provided under the project and provisions 

11 to ensure food quality and safety; 

12 ‘‘(iv) information on the number of 

13 at-risk school children to be served and the 

14 per-child cost of providing the children 

15 with food; and 

16 ‘‘(v) such other information as the 

17 Secretary determines to be necessary to as18 sist the Secretary in evaluating projects 

19 that receive commodities under this sub20 section. 

21 ‘‘(5) PRIORITY.—In selecting applications under 

22 this subsection, a State agency shall give priority to 

23 eligible institutions that— 


SSpencer on DSK4SPTVN1PROD with BILLS
221 

•HR 2721 IH

1 ‘‘(A) have on-going programs and experi2 ence serving populations with significant pro3 portions of at-risk school children; 

4 ‘‘(B) have a good record of experience in 

5 food delivery and food safety systems; 

6 ‘‘(C) maintain high-quality control, ac7 countability, and recordkeeping standards; 

8 ‘‘(D) provide children with readily 

9 consumable food of high nutrient content and 

10 quality; 

11 ‘‘(E) demonstrate cost efficiencies and the 

12 potential for obtaining supplemental funding 

13 from non-Federal sources to carry out projects; 

14 and 

15 ‘‘(F) demonstrate the ability to continue 

16 projects for the full approved term of the pilot 

17 project period. 

18 ‘‘(6) GUIDELINES.— 

19 ‘‘(A) IN GENERAL.—The Secretary shall 

20 issue guidelines containing the criteria for eligi21 ble institutions to receive commodities under 

22 this section from State agencies. 

23 ‘‘(B) INCLUSIONS.—The guidelines shall, 

24 to the maximum extent practicable within the 


SSpencer on DSK4SPTVN1PROD with BILLS
222 

•HR 2721 IH

1 funds available and applications submitted, take 

2 into account— 

3 ‘‘(i) geographical variations in project 

4 locations that will be carried out by eligible 

5 institutions to include qualifying projects 

6 in rural, urban, and suburban areas with 

7 high proportions of families with at-risk 

8 school children; 

9 ‘‘(ii) different types of projects that 

10 offer nutritious foods on weekends and 

11 during school holidays to at-risk school 

12 children; and 

13 ‘‘(iii) institutional capacity to collect, 

14 maintain, and provide statistically valid in15 formation necessary for the Secretary— 

16 ‘‘(I) to analyze and evaluate the 

17 results of the pilot project; and 

18 ‘‘(II) to make recommendations 

19 to Congress. 

20 ‘‘(7) EVALUATION.— 

21 ‘‘(A) INTERIM EVALUATION.—Not later 

22 than November 30, 2016, the Secretary shall 

23 complete an interim evaluation of the pilot pro24 gram carried out under this subsection. 


SSpencer on DSK4SPTVN1PROD with BILLS
223 

•HR 2721 IH

1 ‘‘(B) FINAL REPORT.—Not later than De2 cember 31, 2018, the Secretary shall submit to 

3 Congress a final report that contains— 

4 ‘‘(i) an evaluation of the pilot pro5 gram carried out under this subsection; 

6 and 

7 ‘‘(ii) any recommendations of the Sec8 retary for legislative action. 

9 ‘‘(8) FUNDING.— 

10 ‘‘(A) AUTHORIZATION OF APPROPRIA11 TIONS.—There is authorized to be appropriated 

12 to carry out this subsection such sums as are 

13 necessary, to remain available until expended. 

14 ‘‘(B) AVAILABILITY OF FUNDS.—Not more 

15 than 3 percent of the funds made available 

16 under subparagraph (A) may be used by the 

17 Secretary for expenses associated with review of 

18 the operations and evaluation of the projects 

19 carried out under this subsection.’’. 


SSpencer on DSK4SPTVN1PROD with BILLS
224 

•HR 2721 IH

1 TITLE XIII—FOOD ASSISTANCE 

2 TO IMPROVE REINTEGRA3 TION ACT 

4 SEC. 1301. REPEAL OF DENIAL OF BENEFITS. 

5 Section 115 of the Personal Responsibility and Work 

6 Opportunity Reconciliation Act of 1996 (21 U.S.C. 862a) 

7 is amended— 

8 (1) in subsection (a) by striking paragraph (2); 

9 (2) in subsection (b) by striking paragraph (2); 

10 and 

11 (3) in subsection (e) by striking paragraph (2). 

12 DIVISION D—LABOR/JOB 

13 TRAINING 

14 TITLE XIV—ASSISTANCE FOR 

15 THE UNEMPLOYED AND 

16 PATHWAYS BACK TO WORK 

17 Subtitle A—Supporting 

18 Unemployed Workers 

19 SEC. 1401. SHORT TITLE. 

20 This subtitle may be cited as the ‘‘Supporting Unem21 ployed Workers Act of 2015’’. 


SSpencer on DSK4SPTVN1PROD with BILLS
225 

•HR 2721 IH

1 PART I—EXTENSION OF EMERGENCY UNEMPLOY2 MENT COMPENSATION AND CERTAIN EX3 TENDED BENEFITS PROVISIONS, AND ESTAB4 LISHMENT OF SELF-EMPLOYMENT ASSIST5 ANCE PROGRAM 

6 SEC. 1411. EXTENSION OF EMERGENCY UNEMPLOYMENT 

7 COMPENSATION PROGRAM. 

8 (a) IN GENERAL.—Section 4007 of the Supplemental 

9 Appropriations Act, 2008 (Public Law 110–252; 26 

10 U.S.C. 3304 note) is amended by striking ‘‘January 1, 

11 2014’’ and inserting ‘‘January 1, 2016’’. 

12 (b) FUNDING.—Section 4004(e)(1) of the Supple13 mental Appropriations Act, 2008 (Public Law 110–252; 

14 26 U.S.C. 3304 note) is amended— 

15 (1) in subparagraph (I), by striking ‘‘and’’ at 

16 the end; 

17 (2) in subparagraph (J), by inserting ‘‘and’’ at 

18 the end; and 

19 (3) by inserting after subparagraph (J) the fol20 lowing: 

21 ‘‘(K) the amendments made by section 

22 1411(a) of the Supporting Unemployed Work23 ers Act of 2015; and’’. 

24 (c) EFFECTIVE DATE.—The amendments made by 

25 this section shall take effect as if included in the enact26 ment of the Tax Relief, Unemployment Insurance ReauVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00225 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
226 

•HR 2721 IH

1 thorization, and Job Creation Act of 2010 (Public Law 

2 111–312; 26 U.S.C. 3304 note). 

3 SEC. 1412. TEMPORARY EXTENSION OF EXTENDED BENEFIT 

4 PROVISIONS. 

5 (a) IN GENERAL.—Section 2005 of the Assistance for 

6 Unemployed Workers and Struggling Families Act, as 

7 contained in Public Law 111–5 (26 U.S.C. 3304 note), 

8 is amended— 

9 (1) by striking ‘‘December 31, 2013’’ each 

10 place it appears and inserting ‘‘December 31, 

11 2015’’; and 

12 (2) in subsection (c), by striking ‘‘June 30, 

13 2014’’ and inserting ‘‘June 30, 2016’’. 

14 (b) EXTENSION OF MATCHING FOR STATES WITH

15 NO WAITING WEEK.—Section 5 of the Unemployment 

16 Compensation Extension Act of 2008 (Public Law 110– 

17 449; 26 U.S.C. 3304 note) is amended by striking ‘‘June 

18 30, 2014’’ and inserting ‘‘June 30, 2016’’. 

19 (c) EXTENSION OF MODIFICATION OF INDICATORS

20 UNDER THE EXTENDED BENEFIT PROGRAM.—Section 

21 203 of the Federal-State Extended Unemployment Com22 pensation Act of 1970 (26 U.S.C. 3304 note) is amend23 ed— 

24 (1) in subsection (d), by striking ‘‘December 

25 31, 2013’’ and inserting ‘‘December 31, 2015’’; and 


SSpencer on DSK4SPTVN1PROD with BILLS
227 

•HR 2721 IH

1 (2) in subsection (f)(2), by striking ‘‘December 

2 31, 2013’’ and inserting ‘‘December 31, 2015’’. 

3 (d) EFFECTIVE DATE.—The amendments made by 

4 this section shall take effect as if included in the enact5 ment of the Tax Relief, Unemployment Insurance Reau6 thorization, and Job Creation Act of 2010 (Public Law 

7 111–312; 26 U.S.C. 3304 note). 

8 SEC. 1413. ADDITIONAL EXTENDED UNEMPLOYMENT BENE9 FITS UNDER THE RAILROAD UNEMPLOY10 MENT INSURANCE ACT. 

11 (a) EXTENSION.—Section 2(c)(2)(D)(iii) of the Rail12 road Unemployment Insurance Act (45 U.S.C. 

13 352(c)(2)(D)(iii)) is amended— 

14 (1) by striking ‘‘June 30, 2013’’ and inserting 

15 ‘‘June 30, 2015’’; and 

16 (2) by striking ‘‘December 31, 2013’’ and in17 serting ‘‘December 31, 2015’’. 

18 (b) CLARIFICATION ON AUTHORITY TO USE

19 FUNDS.—Funds appropriated under either the first or 

20 second sentence of clause (iv) of section 2(c)(2)(D) of the 

21 Railroad Unemployment Insurance Act (45 U.S.C. 

22 352(c)(2)(D)) shall be available to cover the cost of addi23 tional extended unemployment benefits provided under 

24 such section 2(c)(2)(D) by reason of the amendments 

25 made by subsection (a) as well as to cover the cost of such 


SSpencer on DSK4SPTVN1PROD with BILLS
228 

•HR 2721 IH

1 benefits provided under such section 2(c)(2)(D), as in ef2 fect on the day before the date of the enactment of this 

3 Act. 

4 PART II—REEMPLOYMENT NOW PROGRAM 

5 SEC. 1421. ESTABLISHMENT OF REEMPLOYMENT NOW PRO6 GRAM. 

7 (a) IN GENERAL.—There is established the Reem8 ployment NOW program to be carried out by the Sec9 retary of Labor in accordance with this part in order to 

10 facilitate the reemployment of individuals who are receiv11 ing emergency unemployment compensation under title IV 

12 of the Supplemental Appropriations Act, 2008 (Public 

13 Law 110–252; 26 U.S.C. 3304 note) (hereafter in this 

14 part referred to as ‘‘EUC claimants’’). 

15 (b) AUTHORIZATION AND APPROPRIATION.—There 

16 are authorized to be appropriated $4,000,000,000 for fis17 cal year 2015 to carry out the Reemployment NOW pro18 gram under this part. 

19 SEC. 1422. DISTRIBUTION OF FUNDS. 

20 (a) IN GENERAL.—Of the amount made available 

21 under section 1421(b) to carry out this part, the Secretary 

22 of Labor shall— 

23 (1) reserve up to 1 percent for the costs of Fed24 eral administration and for carrying out rigorous 


SSpencer on DSK4SPTVN1PROD with BILLS
229 

•HR 2721 IH

1 evaluations of the activities conducted under this 

2 part; and 

3 (2) allot the remainder of the funds not re4 served under paragraph (1) in accordance with the 

5 requirements of subsections (b) and (c) to States 

6 that have approved plans under section 1423. 

7 (b) ALLOTMENT FORMULA.— 

8 (1) FORMULA FACTORS.—The Secretary of 

9 Labor shall allot the funds available under sub10 section (a)(2) as follows— 

11 (A) two-thirds of such funds shall be allot12 ted on the basis of the relative number of un13 employed individuals in each State, compared to 

14 the total number of unemployed individuals in 

15 all States; and 

16 (B) one-third of such funds shall be allot17 ted on the basis of the relative number of indi18 viduals in each State who have been unem19 ployed for 27 weeks or more, compared to the 

20 total number of individuals in all States who 

21 have been unemployed for 27 weeks or more. 

22 (2) CALCULATION.—For purposes of paragraph 

23 (1), the number of unemployed individuals and the 

24 number of individuals unemployed for 27 weeks or 


SSpencer on DSK4SPTVN1PROD with BILLS
230 

•HR 2721 IH

1 more shall be based on the data for the most recent 

2 12-month period, as determined by the Secretary. 

3 (c) REALLOTMENT.— 

4 (1) FAILURE TO SUBMIT STATE PLAN.—If a 

5 State does not submit a State plan by the time spec6 ified in section 1423(b), or a State does not receive 

7 approval of a State plan, the amount the State 

8 would have been eligible to receive pursuant to the 

9 formula under subsection (b) shall be allotted to 

10 States that receive approval of the State plan under 

11 section 1423 in accordance with the relative allot12 ments of such States as determined by the Secretary 

13 under subsection (b). 

14 (2) FAILURE TO IMPLEMENT ACTIVITIES ON A

15 TIMELY BASIS.—The Secretary of Labor may, in ac16 cordance with procedures and criteria established by 

17 the Secretary, recapture the portion of the State al18 lotment under this part that remains unobligated if 

19 the Secretary determines such funds are not being 

20 obligated at a rate sufficient to meet the purposes 

21 of this part. The Secretary shall reallot such recap22 tured funds to other States that are not subject to 

23 recapture in accordance with the relative share of 

24 the allotments of such States as determined by the 

25 Secretary under subsection (b). 


SSpencer on DSK4SPTVN1PROD with BILLS
231 

•HR 2721 IH

1 (3) RECAPTURE OF FUNDS.—Funds recaptured 

2 under paragraph (2) shall be available for reobliga3 tion not later than December 31, 2015. 

4 SEC. 1423. STATE PLAN. 

5 (a) IN GENERAL.—For a State to be eligible to re6 ceive an allotment under section 1422, a State shall sub7 mit to the Secretary of Labor a State plan in such form 

8 and containing such information as the Secretary may re9 quire, which at a minimum shall include— 

10 (1) a description of the activities to be carried 

11 out by the State to assist in the reemployment of eli12 gible individuals to be served in accordance with this 

13 part, including which of the activities authorized in 

14 sections 1424–1428 the State intends to carry out 

15 and an estimate of the amounts the State intends to 

16 allocate to the activities, respectively; 

17 (2) a description of the performance outcomes 

18 to be achieved by the State through the activities 

19 carried out under this part, including the employ20 ment outcomes to be achieved by participants and 

21 the processes the State will use to track perform22 ance, consistent with guidance provided by the Sec23 retary of Labor regarding such outcomes and proc24 esses; 


SSpencer on DSK4SPTVN1PROD with BILLS
232 

•HR 2721 IH

1 (3) a description of coordination of activities to 

2 be carried out under this part with activities under 

3 title I of the Workforce Innovation and Opportunity 

4 Act (as in effect on the day before the date of enact5 ment of the Workforce Innovation and Opportunity 

6 Act), the Wagner-Peyser Act, and other appropriate 

7 Federal programs; 

8 (4) the timelines for implementation of the ac9 tivities described in the plan and the number of 

10 EUC claimants expected to be enrolled in such ac11 tivities by quarter; 

12 (5) assurances that the State will participate in 

13 the evaluation activities carried out by the Secretary 

14 of Labor under this section; 

15 (6) assurances that the State will provide ap16 propriate reemployment services, including coun17 seling, to any EUC claimant who participates in any 

18 of the programs authorized under this part; and 

19 (7) assurances that the State will report such 

20 information as the Secretary may require relating to 

21 fiscal, performance and other matters, including em22 ployment outcomes and effects, which the Secretary 

23 determines are necessary to effectively monitor the 

24 activities carried out under this part. 


SSpencer on DSK4SPTVN1PROD with BILLS
233 

•HR 2721 IH

1 (b) PLAN SUBMISSION AND APPROVAL.—A State 

2 plan under this section shall be submitted to the Secretary 

3 of Labor for approval not later than 30 days after the 

4 Secretary issues guidance relating to submission of such 

5 plan. The Secretary shall approve such plans if the Sec6 retary determines that the plans meet the requirements 

7 of this part and are appropriate and adequate to carry 

8 out the purposes of this part. 

9 (c) PLAN MODIFICATIONS.—A State may submit 

10 modifications to a State plan that has been approved 

11 under this part, and the Secretary of Labor may approve 

12 such modifications, if the plan as modified would meet the 

13 requirements of this part and are appropriate and ade14 quate to carry out the purposes of this part. 

15 SEC. 1424. BRIDGE TO WORK PROGRAM. 

16 (a) IN GENERAL.—A State may use funds allotted 

17 to the State under this part to establish and administer 

18 a Bridge to Work program described in this section. 

19 (b) DESCRIPTION OF PROGRAM.—In order to in20 crease individuals’ opportunities to move to permanent 

21 employment, a State may establish a Bridge to Work pro22 gram to provide an EUC claimant with short-term work 

23 experience placements with an eligible employer, during 

24 which time such individual— 


SSpencer on DSK4SPTVN1PROD with BILLS
234 

•HR 2721 IH

1 (1) shall be paid emergency unemployment 

2 compensation payable under title IV of the Supple3 mental Appropriations Act, 2008 (Public Law 110– 

4 252; 26 U.S.C. 3304 note), as wages for work per5 formed, and as specified in subsection (c); 

6 (2) shall be paid the additional amount de7 scribed in subsection (e) as augmented wages for 

8 work performed; and 

9 (3) may be paid compensation in addition to 

10 the amounts described in paragraphs (1) and (2) by 

11 a State or by a participating employer as wages for 

12 work performed. 

13 (c) PROGRAM ELIGIBILITY AND OTHER REQUIRE14 MENTS.—For purposes of this program— 

15 (1) individuals who, except for the requirements 

16 described in paragraph (3), are eligible to receive 

17 emergency unemployment compensation payments 

18 under title IV of the Supplemental Appropriations 

19 Act, 2008 (Public Law 110–252; 26 U.S.C. 3304 

20 note), and who choose to participate in the program 

21 described in subsection (b), shall receive such pay22 ments as wages for work performed during their vol23 untary participation in the program described under 

24 subsection (b); 


SSpencer on DSK4SPTVN1PROD with BILLS
235 

•HR 2721 IH

1 (2) the wages payable to individuals described 

2 in paragraph (1) shall be paid from the emergency 

3 unemployment compensation account for such indi4 vidual as described in section 4002 of the Supple5 mental Appropriations Act, 2008 (Public Law 110– 

6 252; 26 U.S.C. 3304 note), and the amount in such 

7 individual’s account shall be reduced accordingly; 

8 (3) the wages payable to an individual described 

9 in paragraph (1) shall be payable in the same 

10 amount, at the same interval, on the same terms, 

11 and subject to the same conditions under title IV of 

12 the Supplemental Appropriations Act, 2008 (Public 

13 Law 110–252; 26 U.S.C. 3304 note), except that— 

14 (A) State requirements applied under such 

15 Act relating to availability for work and active 

16 search for work are not applicable to such indi17 viduals who participate for at least 25 hours 

18 per week in the program described in subsection 

19 (b) for the duration of such individual’s partici20 pation in the program; 

21 (B) State requirements applied under such 

22 Act relating to disqualifying income regarding 

23 wages earned shall not apply to such individuals 

24 who participate for at least 25 hours per week 


SSpencer on DSK4SPTVN1PROD with BILLS
236 

•HR 2721 IH

1 in the program described in subsection (b), and 

2 shall not apply with respect to— 

3 (i) the wages described under sub4 section (b); and 

5 (ii) any wages, in addition to those de6 scribed under subsection (b), whether paid 

7 by a State or a participating employer for 

8 the same work activities; 

9 (C) State prohibitions or limitations ap10 plied under such Act relating to employment 

11 status shall not apply to such individuals who 

12 participate in the program described in sub13 section (b); and 

14 (D) State requirements applied under such 

15 Act relating to an individual’s acceptance of an 

16 offer of employment shall not apply with regard 

17 to an offer of long-term employment from a 

18 participating employer made to such individual 

19 who is participating in the program described in 

20 subsection (b) in a work experience provided by 

21 such employer, where such long-term employ22 ment is expected to commence or commences at 

23 the conclusion of the duration specified in para24 graph (4)(A); 


SSpencer on DSK4SPTVN1PROD with BILLS
237 

•HR 2721 IH

1 (4) the program shall be structured so that in2 dividuals described in paragraph (1) may participate 

3 in the program for up to— 

4 (A) 8 weeks, and 

5 (B) 38 hours for each such week; 

6 (5) a State shall ensure that all individuals par7 ticipating in the program are covered by a workers’ 

8 compensation insurance program; and 

9 (6) the program meets such other requirements 

10 as the Secretary of Labor determines to be appro11 priate in guidance issued by the Secretary. 

12 (d) STATE REQUIREMENTS.— 

13 (1) CERTIFICATION OF ELIGIBLE EMPLOYER.— 

14 A State may certify as eligible for participation in 

15 the program under this section any employer that 

16 meets the eligibility criteria as established in guid17 ance by the Secretary of Labor, except that an em18 ployer shall not be certified as eligible for participa19 tion in the program described under subsection 

20 (b)— 

21 (A) if such employer— 

22 (i) is a Federal, State, or local govern23 ment entity; 

24 (ii) would engage an eligible individual 

25 in work activities under any employer’s 


SSpencer on DSK4SPTVN1PROD with BILLS
238 

•HR 2721 IH

1 grant, contract, or subcontract with a Fed2 eral, State, or local government entity, ex3 cept with regard to work activities under 

4 any employer’s supply contract or sub5 contract; 

6 (iii) is delinquent with respect to any 

7 taxes or employer contributions described 

8 under sections 3301 and 3302(a)(1) of the 

9 Internal Revenue Code of 1986 or with re10 spect to any related reporting require11 ments; 

12 (iv) is engaged in the business of sup13 plying workers to other employers and 

14 would participate in the program for the 

15 purpose of supplying individuals partici16 pating in the program to other employers; 

17 or 

18 (v) has previously participated in the 

19 program and the State has determined 

20 that such employer has failed to abide by 

21 any of the requirements specified in sub22 section (h), (i), or (j), or by any other re23 quirements that the Secretary may estab24 lish for employers under subsection (c)(6); 

25 and 


SSpencer on DSK4SPTVN1PROD with BILLS
239 

•HR 2721 IH

1 (B) unless such employer provides assur2 ances that it has not displaced existing workers 

3 pursuant to the requirements of subsection (h). 

4 (2) AUTHORIZED ACTIVITIES.—Funds allotted 

5 to a State under this part for the program— 

6 (A) shall be used to— 

7 (i) recruit employers for participation 

8 in the program; 

9 (ii) review and certify employers iden10 tified by eligible individuals seeking to par11 ticipate in the program; 

12 (iii) ensure that reemployment and 

13 counseling services are available for pro14 gram participants, including services de15 scribing the program under subsection (b), 

16 prior to an individual’s participation in 

17 such program; 

18 (iv) establish and implement processes 

19 to monitor the progress and performance 

20 of individual participants for the duration 

21 of the program; 

22 (v) prevent misuse of the program; 

23 and 


SSpencer on DSK4SPTVN1PROD with BILLS
240 

•HR 2721 IH

1 (vi) pay augmented wages to eligible 

2 individuals, if necessary, as described in 

3 subsection (e); and 

4 (B) may be used— 

5 (i) to pay workers’ compensation in6 surance premiums to cover all individuals 

7 participating in the program, except that, 

8 if a State opts not to make such payments 

9 directly to a State administered workers’ 

10 compensation program, the State involved 

11 shall describe in the approved State plan 

12 the means by which such State shall en13 sure workers’ compensation or equivalent 

14 coverage for all individuals who participate 

15 in the program; 

16 (ii) to pay compensation to a partici17 pating individual that is in addition to the 

18 amounts described in subsections (c)(1) 

19 and (e) as wages for work performed; 

20 (iii) to provide supportive services, 

21 such as transportation, child care, and de22 pendent care, that would enable individuals 

23 to participate in the program; 

24 (iv) for the administration and over25 sight of the program; and 


SSpencer on DSK4SPTVN1PROD with BILLS
241 

•HR 2721 IH

1 (v) to fulfill additional program re2 quirements included in the approved State 

3 plan. 

4 (e) PAYMENT OF AUGMENTED WAGES IF NEC5 ESSARY.—In the event that the wages described in sub6 section (c)(1) are not sufficient to equal or exceed the min7 imum wages that are required to be paid by an employer 

8 under section 6(a)(1) of the Fair Labor Standards Act 

9 of 1938 (29 U.S.C. 206(a)(1)) or the applicable State or 

10 local minimum wage law, whichever is higher, a State shall 

11 pay augmented wages to a program participant in any 

12 amount necessary to cover the difference between— 

13 (1) such minimum wages amount; and 

14 (2) the wages payable under subsection (c)(1). 

15 (f) EFFECT OF WAGES ON ELIGIBILITY FOR OTHER

16 PROGRAMS.—None of the wages paid under this section 

17 shall be considered as income for the purposes of deter18 mining eligibility for and the amount of income transfer 

19 and in-kind aid furnished under any Federal or federally 

20 assisted program based on need. 

21 (g) EFFECT OF WAGES, WORK ACTIVITIES, AND

22 PROGRAM PARTICIPATION ON CONTINUING ELIGIBILITY

23 FOR EMERGENCY UNEMPLOYMENT COMPENSATION.— 

24 Any wages paid under this section and any additional 

25 wages paid by an employer to an individual described in 


SSpencer on DSK4SPTVN1PROD with BILLS
242 

•HR 2721 IH

1 subsection (c)(1), and any work activities performed by 

2 such individual as a participant in the program, shall not 

3 be construed so as to render such individual ineligible to 

4 receive emergency unemployment compensation under title 

5 IV of the Supplemental Appropriations Act, 2008 (Public 

6 Law 110–252; 26 U.S.C. 3304 note). 

7 (h) NONDISPLACEMENT OF EMPLOYEES.— 

8 (1) PROHIBITION.—An employer shall not use a 

9 program participant to displace (including a partial 

10 displacement, such as a reduction in the hours of 

11 non-overtime work, wages, or employment benefits) 

12 any current employee (as of the date of the partici13 pation). 

14 (2) OTHER PROHIBITIONS.—An employer shall 

15 not permit a program participant to perform work 

16 activities related to any job for which— 

17 (A) any other individual is on layoff from 

18 the same or any substantially equivalent posi19 tion; 

20 (B) the employer has terminated the em21 ployment of any employee or otherwise reduced 

22 the workforce of the employer with the inten23 tion of filling or partially filling the vacancy so 

24 created with the work activities to be performed 

25 by a program participant; 


SSpencer on DSK4SPTVN1PROD with BILLS
243 

•HR 2721 IH

1 (C) there is a strike or lock out at the 

2 worksite that is the participant’s place of em3 ployment; or 

4 (D) the job is created in a manner that 

5 will infringe in any way upon the promotional 

6 opportunities of currently employed individuals 

7 (as of the date of the participation). 

8 (i) PROHIBITION ON IMPAIRMENT OF CONTRACTS.— 

9 An employer shall not, by means of assigning work activi10 ties under this section, impair an existing contract for 

11 services or a collective bargaining agreement, and no such 

12 activity that would be inconsistent with the terms of a col13 lective bargaining agreement shall be undertaken without 

14 the written concurrence of the labor organization that is 

15 signatory to the collective bargaining agreement. 

16 (j) LIMITATION ON EMPLOYER PARTICIPATION.—If, 

17 after 24 weeks of participation in the program, an em18 ployer has not made an offer of suitable long-term employ19 ment to any individual described under subsection (c)(1) 

20 who was placed with such employer and has completed the 

21 program, a State shall bar such employer from further 

22 participation in the program. States may impose addi23 tional conditions on participating employers to ensure that 

24 an appropriate number of participants receive offers of 

25 suitable long-term employment. 


SSpencer on DSK4SPTVN1PROD with BILLS
244 

•HR 2721 IH

1 (k) FAILURE TO MEET PROGRAM REQUIREMENTS.— 

2 If a State makes a determination based on information 

3 provided to the State, or acquired by the State by means 

4 of its administration and oversight functions, that a par5 ticipating employer under this section has violated a re6 quirement of this section, the State shall bar such em7 ployer from further participation in the program. The 

8 State shall establish a process whereby an individual de9 scribed in subsection (c)(1), or any other affected indi10 vidual or entity, may file a complaint with the State relat11 ing to a violation of any requirement or prohibition under 

12 this section. 

13 (l) PARTICIPANT OPTION TO TERMINATE PARTICIPA14 TION IN BRIDGE TO WORK PROGRAM.— 

15 (1) TERMINATION.—An individual who is par16 ticipating in a program described in subsection (b) 

17 may opt to discontinue participation in such pro18 gram. 

19 (2) CONTINUED ELIGIBILITY FOR EMERGENCY

20 UNEMPLOYMENT COMPENSATION.—An individual 

21 who opts to discontinue participation in such pro22 gram, is terminated from such program by a partici23 pating employer, or who has completed participation 

24 in such program, and who continues to meet the eli25 gibility requirements for emergency unemployment 


SSpencer on DSK4SPTVN1PROD with BILLS
245 

•HR 2721 IH

1 compensation under title IV of the Supplemental 

2 Appropriations Act, 2008 (Public Law 110–252; 26 

3 U.S.C. 3304 note), shall receive emergency unem4 ployment compensation payments with respect to 

5 subsequent weeks of unemployment, to the extent 

6 that amounts remain in the account established for 

7 such individual under section 4002(b) of such Act or 

8 to the extent that such individual commences receiv9 ing the amounts described in subsection (c), (d), or 

10 (e) of such section, respectively. 

11 (m) EFFECT OF OTHER LAWS.—Unless otherwise 

12 provided in this section, nothing in this section shall be 

13 construed to alter or affect the rights or obligations under 

14 any Federal, State, or local laws with respect to any indi15 vidual described in subsection (c)(1) and with respect to 

16 any participating employer under this section. 

17 (n) TREATMENT OF PAYMENTS.—All wages or other 

18 payments to an individual under this section shall be treat19 ed as payments of unemployment compensation for pur20 poses of section 209 of the Social Security Act (42 U.S.C. 

21 409) and for purposes of subtitle A and sections 3101, 

22 3111, and 3301 of the Internal Revenue Code of 1986. 


SSpencer on DSK4SPTVN1PROD with BILLS
246 

•HR 2721 IH

1 SEC. 1425. WAGE INSURANCE. 

2 (a) IN GENERAL.—A State may use the funds allot3 ted to the State under this part to provide a wage insur4 ance program for EUC claimants. 

5 (b) BENEFITS.—The wage insurance program pro6 vided under this section may use funds allotted to the 

7 State under this part to pay, for a period not to exceed 

8 2 years, to a worker described in subsection (c), up to 50 

9 percent of the difference between— 

10 (1) the wages received by the worker at the 

11 time of separation; and 

12 (2) the wages received by the worker for reem13 ployment. 

14 (c) INDIVIDUAL ELIGIBILITY.—The benefits de15 scribed in subsection (b) may be paid to an individual who 

16 is an EUC claimant at the time such individual obtains 

17 reemployment and who— 

18 (1) is at least 50 years of age; 

19 (2) earns not more than $50,000 per year in 

20 wages from reemployment; 

21 (3) is employed on a full-time basis as defined 

22 by the law of the State; and 

23 (4) is not employed by the employer from which 

24 the individual was last separated. 

25 (d) TOTAL AMOUNT OF PAYMENTS.—A State shall 

26 establish a maximum amount of payments per individual 


SSpencer on DSK4SPTVN1PROD with BILLS
247 

•HR 2721 IH

1 for purposes of payments described in subsection (b) dur2 ing the eligibility period described in such subsection. 

3 (e) NON-DISCRIMINATION REGARDING WAGES.—An 

4 employer shall not pay a worker described in subsection 

5 (c) less than such employer pays to a regular worker in 

6 the same or substantially equivalent position. 

7 SEC. 1426. ENHANCED REEMPLOYMENT STRATEGIES. 

8 (a) IN GENERAL.—A State may use funds allotted 

9 under this part to provide a program of enhanced reem10 ployment services to EUC claimants. In addition to the 

11 provision of services to such claimants, the program may 

12 include the provision of reemployment services to individ13 uals who are unemployed and have exhausted their rights 

14 to emergency unemployment compensation under title IV 

15 of the Supplemental Appropriations Act, 2008 (Public 

16 Law 110–252; 26 U.S.C. 3304 note). The program shall 

17 provide reemployment services that are more intensive 

18 than the reemployment services provided by the State 

19 prior to the receipt of the allotment under this part. 

20 (b) TYPES OF SERVICES.—The enhanced reemploy21 ment services described in subsection (a) may include serv22 ices such as— 

23 (1) assessments, counseling, and other intensive 

24 services that are provided by staff on a one-to-one 

25 basis and may be customized to meet the reemployVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00247 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
248 

•HR 2721 IH

1 ment needs of EUC claimants and individuals de2 scribed in subsection (a); 

3 (2) comprehensive assessments designed to 

4 identify alternative career paths; 

5 (3) case management; 

6 (4) reemployment services that are provided 

7 more frequently and more intensively than such re8 employment services have previously been provided 

9 by the State; and 

10 (5) services that are designed to enhance com11 munication skills, interviewing skills, and other skills 

12 that would assist in obtaining reemployment. 

13 SEC. 1427. SELF-EMPLOYMENT PROGRAMS. 

14 A State may use funds allotted to the State under 

15 this part, in an amount specified under an approved State 

16 plan, for the administrative costs associated with starting 

17 up the self-employment assistance program described in 

18 section 4001(i) of the Supplemental Appropriations Act, 

19 2008 (Public Law 110–252; 26 U.S.C. 3304 note). 

20 SEC. 1428. ADDITIONAL INNOVATIVE PROGRAMS. 

21 (a) IN GENERAL.—A State may use funds allotted 

22 under this part to provide a program for innovative activi23 ties, which use a strategy that is different from the reem24 ployment strategies described in sections 1424–1427 and 

25 which are designed to facilitate the reemployment of EUC 


SSpencer on DSK4SPTVN1PROD with BILLS
249 

•HR 2721 IH

1 claimants. In addition to the provision of activities to such 

2 claimants, the program may include the provision of activi3 ties to individuals who are unemployed and have exhausted 

4 their rights to emergency unemployment compensation 

5 under title IV of the Supplemental Appropriations Act, 

6 2008 (Public Law 110–252; 26 U.S.C. 3304 note). 

7 (b) CONDITIONS.—The innovative activities approved 

8 in accordance with subsection (a)— 

9 (1) shall directly benefit EUC claimants and, if 

10 applicable, individuals described in subsection (a), ei11 ther as a benefit paid to such claimant or individual 

12 or as a service provided to such claimant or indi13 vidual; 

14 (2) shall not result in a reduction in the dura15 tion or amount of, emergency unemployment com16 pensation for which EUC claimants would otherwise 

17 be eligible; 

18 (3) shall not include a reduction in the dura19 tion, amount of or eligibility for regular compensa20 tion or extended benefits; 

21 (4) shall not be used to displace (including a 

22 partial displacement, such as a reduction in the 

23 hours of non-overtime work, wages, or employment 

24 benefits) any currently employed employee (as of the 

25 date of the participation) or allow a program particiVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00249 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
250 

•HR 2721 IH

1 pant to perform work activities related to any job for 

2 which— 

3 (A) any other individual is on layoff from 

4 the same or any substantially equivalent job; 

5 (B) the employer has terminated the em6 ployment of any regular employee or otherwise 

7 reduced the workforce of the employer with the 

8 intention of filling or partially filling the va9 cancy so created with the work activities to be 

10 performed by a program participant; 

11 (C) there is a strike or lock out at the 

12 worksite that is the participant’s place of em13 ployment; or 

14 (D) the job is created in a manner that 

15 will infringe in any way upon the promotional 

16 opportunities of currently employed individuals 

17 (as of the date of the participation); and 

18 (5) shall not be in violation of any Federal, 

19 State, or local law. 

20 SEC. 1429. GUIDANCE AND ADDITIONAL REQUIREMENTS. 

21 The Secretary of Labor may establish through guid22 ance, without regard to the requirements of section 553 

23 of title 5, United States Code, such additional require24 ments, including requirements regarding the allotment, re25 capture, and reallotment of funds, and reporting requireVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00250 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
251 

•HR 2721 IH

1 ments, as the Secretary determines to be necessary to en2 sure fiscal integrity, effective monitoring, and appropriate 

3 and prompt implementation of the activities under this 

4 Act. 

5 SEC. 1430. REPORT OF INFORMATION AND EVALUATIONS 

6 TO CONGRESS AND THE PUBLIC. 

7 The Secretary of Labor shall provide to the appro8 priate Committees of the Congress and make available to 

9 the public the information reported pursuant to section 

10 1429 and the evaluations of activities carried out pursuant 

11 to the funds reserved under section 1422(a)(1). 

12 SEC. 1431. STATE. 

13 For purposes of this part, the term ‘‘State’’ has the 

14 meaning given that term in section 205 of the Federal15 State Extended Unemployment Compensation Act of 1970 

16 (26 U.S.C. 3304 note). 

17 PART III—SHORT-TIME COMPENSATION 

18 PROGRAM 

19 SEC. 1441. TEMPORARY FINANCING OF SHORT-TIME COM20 PENSATION PAYMENTS IN STATES WITH PRO21 GRAMS IN LAW. 

22 (a) PAYMENTS TO STATES.— 

23 (1) IN GENERAL.—Subject to paragraph (3), 

24 there shall be paid to a State an amount equal to 

25 100 percent of the amount of short-time compensaVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00251 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
252 

•HR 2721 IH

1 tion paid under a short-time compensation program 

2 (as defined in section 3306(v) of the Internal Rev3 enue Code of 1986) under the provisions of the 

4 State law. 

5 (2) TERMS OF PAYMENTS.—Payments made to 

6 a State under paragraph (1) shall be payable by way 

7 of reimbursement in such amounts as the Secretary 

8 estimates the State will be entitled to receive under 

9 this section for each calendar month, reduced or in10 creased, as the case may be, by any amount by 

11 which the Secretary finds that the Secretary’s esti12 mates for any prior calendar month were greater or 

13 less than the amounts which should have been paid 

14 to the State. Such estimates may be made on the 

15 basis of such statistical, sampling, or other method 

16 as may be agreed upon by the Secretary and the 

17 State agency of the State involved. 

18 (3) LIMITATIONS ON PAYMENTS.— 

19 (A) GENERAL PAYMENT LIMITATIONS.— 

20 No payments shall be made to a State under 

21 this section for short-time compensation paid to 

22 an individual by the State during a benefit year 

23 in excess of 26 times the amount of regular 

24 compensation (including dependents’ allowVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00252 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
253 

•HR 2721 IH

1 ances) under the State law payable to such in2 dividual for a week of total unemployment. 

3 (B) EMPLOYER LIMITATIONS.—No pay4 ments shall be made to a State under this sec5 tion for benefits paid to an individual by the 

6 State under a short-time compensation program 

7 if such individual is employed by the partici8 pating employer on a seasonal, temporary, or 

9 intermittent basis. 

10 (b) APPLICABILITY.— 

11 (1) IN GENERAL.—Payments to a State under 

12 subsection (a) shall be available for weeks of unem13 ployment— 

14 (A) beginning on or after the date of the 

15 enactment of this Act; and 

16 (B) ending on or before the date that is 3 

17 years and 6 months after the date of the enact18 ment of this Act. 

19 (2) THREE-YEAR FUNDING LIMITATION FOR

20 COMBINED PAYMENTS UNDER THIS SECTION AND

21 SECTION 1443.—States may receive payments under 

22 this section and section 1443 with respect to a total 

23 of not more than 156 weeks. 

24 (c) TWO-YEAR TRANSITION PERIOD FOR EXISTING

25 PROGRAMS.—During any period that the transition proviVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00253 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
254 

•HR 2721 IH

1 sion under section 1441(a)(3) is applicable to a State with 

2 respect to a short-time compensation program, such State 

3 shall be eligible for payments under this section. Subject 

4 to paragraphs (1)(B) and (2) of subsection (b), if at any 

5 point after the date of the enactment of this Act the State 

6 enacts a State law providing for the payment of short7 time compensation under a short-time compensation pro8 gram that meets the definition of such a program under 

9 section 3306(v) of the Internal Revenue Code of 1986, the 

10 State shall be eligible for payments under this section 

11 after the effective date of such enactment. 

12 (d) FUNDING AND CERTIFICATIONS.— 

13 (1) FUNDING.—There are appropriated, out of 

14 moneys in the Treasury not otherwise appropriated, 

15 such sums as may be necessary for purposes of car16 rying out this section. 

17 (2) CERTIFICATIONS.—The Secretary shall 

18 from time to time certify to the Secretary of the 

19 Treasury for payment to each State the sums pay20 able to such State under this section. 

21 (e) DEFINITIONS.—In this section: 

22 (1) SECRETARY.—The term ‘‘Secretary’’ means 

23 the Secretary of Labor. 

24 (2) STATE; STATE AGENCY; STATE LAW.—The 

25 terms ‘‘State’’, ‘‘State agency’’, and ‘‘State law’’ 


SSpencer on DSK4SPTVN1PROD with BILLS
255 

•HR 2721 IH

1 have the meanings given those terms in section 205 

2 of the Federal-State Extended Unemployment Com3 pensation Act of 1970 (26 U.S.C. 3304 note). 

4 SEC. 1442. TEMPORARY FINANCING OF SHORT-TIME COM5 PENSATION AGREEMENTS. 

6 (a) FEDERAL-STATE AGREEMENTS.— 

7 (1) IN GENERAL.—Any State which desires to 

8 do so may enter into, and participate in, an agree9 ment under this section with the Secretary provided 

10 that such State’s law does not provide for the pay11 ment of short-time compensation under a short-time 

12 compensation program (as defined in section 

13 3306(v) of the Internal Revenue Code of 1986). 

14 (2) ABILITY TO TERMINATE.—Any State which 

15 is a party to an agreement under this section may, 

16 upon providing 30 days’ written notice to the Sec17 retary, terminate such agreement. 

18 (b) PROVISIONS OF FEDERAL-STATE AGREEMENT.— 

19 (1) IN GENERAL.—Any agreement under this 

20 section shall provide that the State agency of the 

21 State will make payments of short-time compensa22 tion under a plan approved by the State. Such plan 

23 shall provide that payments are made in accordance 

24 with the requirements under section 3306(v) of the 

25 Internal Revenue Code of 1986. 


SSpencer on DSK4SPTVN1PROD with BILLS
256 

•HR 2721 IH

1 (2) LIMITATIONS ON PLANS.— 

2 (A) GENERAL PAYMENT LIMITATIONS.—A 

3 short-time compensation plan approved by a 

4 State shall not permit the payment of short5 time compensation to an individual by the State 

6 during a benefit year in excess of 26 times the 

7 amount of regular compensation (including de8 pendents’ allowances) under the State law pay9 able to such individual for a week of total un10 employment. 

11 (B) EMPLOYER LIMITATIONS.—A short12 time compensation plan approved by a State 

13 shall not provide payments to an individual if 

14 such individual is employed by the participating 

15 employer on a seasonal, temporary, or intermit16 tent basis. 

17 (3) EMPLOYER PAYMENT OF COSTS.—Any 

18 short-time compensation plan entered into by an em19 ployer must provide that the employer will pay the 

20 State an amount equal to one-half of the amount of 

21 short-time compensation paid under such plan. Such 

22 amount shall be deposited in the State’s unemploy23 ment fund and shall not be used for purposes of cal24 culating an employer’s contribution rate under secVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00256 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
257 

•HR 2721 IH

1 tion 3303(a)(1) of the Internal Revenue Code of 

2 1986. 

3 (c) PAYMENTS TO STATES.— 

4 (1) IN GENERAL.—There shall be paid to each 

5 State with an agreement under this section an 

6 amount equal to— 

7 (A) one-half of the amount of short-time 

8 compensation paid to individuals by the State 

9 pursuant to such agreement; and 

10 (B) any additional administrative expenses 

11 incurred by the State by reason of such agree12 ment (as determined by the Secretary). 

13 (2) TERMS OF PAYMENTS.—Payments made to 

14 a State under paragraph (1) shall be payable by way 

15 of reimbursement in such amounts as the Secretary 

16 estimates the State will be entitled to receive under 

17 this section for each calendar month, reduced or in18 creased, as the case may be, by any amount by 

19 which the Secretary finds that the Secretary’s esti20 mates for any prior calendar month were greater or 

21 less than the amounts which should have been paid 

22 to the State. Such estimates may be made on the 

23 basis of such statistical, sampling, or other method 

24 as may be agreed upon by the Secretary and the 

25 State agency of the State involved. 


SSpencer on DSK4SPTVN1PROD with BILLS
258 

•HR 2721 IH

1 (3) FUNDING.—There are appropriated, out of 

2 moneys in the Treasury not otherwise appropriated, 

3 such sums as may be necessary for purposes of car4 rying out this section. 

5 (4) CERTIFICATIONS.—The Secretary shall 

6 from time to time certify to the Secretary of the 

7 Treasury for payment to each State the sums pay8 able to such State under this section. 

9 (d) APPLICABILITY.— 

10 (1) IN GENERAL.—An agreement entered into 

11 under this section shall apply to weeks of unemploy12 ment— 

13 (A) beginning on or after the date on 

14 which such agreement is entered into; and 

15 (B) ending on or before the date that is 2 

16 years and 13 weeks after the date of the enact17 ment of this Act. 

18 (2) TWO-YEAR FUNDING LIMITATION.—States 

19 may receive payments under this section with re20 spect to a total of not more than 104 weeks. 

21 (e) SPECIAL RULE.—If a State has entered into an 

22 agreement under this section and subsequently enacts a 

23 State law providing for the payment of short-time com24 pensation under a short-time compensation program that 

25 meets the definition of such a program under section 


SSpencer on DSK4SPTVN1PROD with BILLS
259 

•HR 2721 IH

1 3306(v) of the Internal Revenue Code of 1986, the 

2 State— 

3 (1) shall not be eligible for payments under this 

4 section for weeks of unemployment beginning after 

5 the effective date of such State law; and 

6 (2) subject to paragraphs (1)(B) and (2) of sec7 tion 1442(b), shall be eligible to receive payments 

8 under section 1442 after the effective date of such 

9 State law. 

10 (f) DEFINITIONS.—In this section: 

11 (1) SECRETARY.—The term ‘‘Secretary’’ means 

12 the Secretary of Labor. 

13 (2) STATE; STATE AGENCY; STATE LAW.—The 

14 terms ‘‘State’’, ‘‘State agency’’, and ‘‘State law’’ 

15 have the meanings given those terms in section 205 

16 of the Federal-State Extended Unemployment Com17 pensation Act of 1970 (26 U.S.C. 3304 note). 

18 SEC. 1443. GRANTS FOR SHORT-TIME COMPENSATION PRO19 GRAMS. 

20 (a) GRANTS.— 

21 (1) FOR IMPLEMENTATION OR IMPROVED AD22 MINISTRATION.—The Secretary shall award grants 

23 to States that enact short-time compensation pro24 grams (as defined in subsection (i)(2)) for the purVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00259 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
260 

•HR 2721 IH

1 pose of implementation or improved administration 

2 of such programs. 

3 (2) FOR PROMOTION AND ENROLLMENT.—The 

4 Secretary shall award grants to States that are eligi5 ble and submit plans for a grant under paragraph 

6 (1) for such States to promote and enroll employers 

7 in short-time compensation programs (as so de8 fined). 

9 (3) ELIGIBILITY.— 

10 (A) IN GENERAL.—The Secretary shall de11 termine eligibility criteria for the grants under 

12 paragraphs (1) and (2). 

13 (B) CLARIFICATION.—A State admin14 istering a short-time compensation program, in15 cluding a program being administered by a 

16 State that is participating in the transition 

17 under the provisions of sections 1441(a)(3) and 

18 1442(c), that does not meet the definition of a 

19 short-time compensation program under section 

20 3306(v) of the Internal Revenue Code of 1986, 

21 and a State with an agreement under section 

22 1443, shall not be eligible to receive a grant 

23 under this section until such time as the State 

24 law of the State provides for payments under a 


SSpencer on DSK4SPTVN1PROD with BILLS
261 

•HR 2721 IH

1 short-time compensation program that meets 

2 such definition and such law. 

3 (b) AMOUNT OF GRANTS.— 

4 (1) IN GENERAL.—The maximum amount avail5 able for making grants to a State under paragraphs 

6 (1) and (2) shall be equal to the amount obtained 

7 by multiplying $700,000,000 (less the amount used 

8 by the Secretary under subsection (e)) by the same 

9 ratio as would apply under subsection (a)(2)(B) of 

10 section 903 of the Social Security Act (42 U.S.C. 

11 1103) for purposes of determining such State’s 

12 share of any excess amount (as described in sub13 section (a)(1) of such section) that would have been 

14 subject to transfer to State accounts, as of October 

15 1, 2013, under the provisions of subsection (a) of 

16 such section. 

17 (2) AMOUNT AVAILABLE FOR DIFFERENT

18 GRANTS.—Of the maximum incentive payment deter19 mined under paragraph (1) with respect to a 

20 State— 

21 (A) one-third shall be available for a grant 

22 under subsection (a)(1); and 

23 (B) two-thirds shall be available for a 

24 grant under subsection (a)(2). 

25 (c) GRANT APPLICATION AND DISBURSAL.— 


SSpencer on DSK4SPTVN1PROD with BILLS
262 

•HR 2721 IH

1 (1) APPLICATION.—Any State seeking a grant 

2 under paragraph (1) or (2) of subsection (a) shall 

3 submit an application to the Secretary at such time, 

4 in such manner, and complete with such information 

5 as the Secretary may require. In no case may the 

6 Secretary award a grant under this section with re7 spect to an application that is submitted after De8 cember 31, 2016. 

9 (2) NOTICE.—The Secretary shall, within 30 

10 days after receiving a complete application, notify 

11 the State agency of the State of the Secretary’s find12 ings with respect to the requirements for a grant 

13 under paragraph (1) or (2) (or both) of subsection 

14 (a). 

15 (3) CERTIFICATION.—If the Secretary finds 

16 that the State law provisions meet the requirements 

17 for a grant under subsection (a), the Secretary shall 

18 thereupon make a certification to that effect to the 

19 Secretary of the Treasury, together with a certifi20 cation as to the amount of the grant payment to be 

21 transferred to the State account in the Unemploy22 ment Trust Fund (as established in section 904(a) 

23 of the Social Security Act (42 U.S.C. 1104(a))) pur24 suant to that finding. The Secretary of the Treasury 

25 shall make the appropriate transfer to the State acVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00262 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
263 

•HR 2721 IH

1 count within 7 days after receiving such certifi2 cation. 

3 (4) REQUIREMENT.—No certification of compli4 ance with the requirements for a grant under para5 graph (1) or (2) of subsection (a) may be made with 

6 respect to any State whose— 

7 (A) State law is not otherwise eligible for 

8 certification under section 303 of the Social Se9 curity Act (42 U.S.C. 503) or approvable under 

10 section 3304 of the Internal Revenue Code of 

11 1986; or 

12 (B) short-time compensation program is 

13 subject to discontinuation or is not scheduled to 

14 take effect within 12 months of the certifi15 cation. 

16 (d) USE OF FUNDS.—The amount of any grant 

17 awarded under this section shall be used for the implemen18 tation of short-time compensation programs and the over19 all administration of such programs and the promotion 

20 and enrollment efforts associated with such programs, 

21 such as through— 

22 (1) the creation or support of rapid response 

23 teams to advise employers about alternatives to lay24 offs; 


SSpencer on DSK4SPTVN1PROD with BILLS
264 

•HR 2721 IH

1 (2) the provision of education or assistance to 

2 employers to enable them to assess the feasibility of 

3 participating in short-time compensation programs; 

4 and 

5 (3) the development or enhancement of systems 

6 to automate— 

7 (A) the submission and approval of plans; 

8 and 

9 (B) the filing and approval of new and on10 going short-time compensation claims. 

11 (e) ADMINISTRATION.—The Secretary is authorized 

12 to use 0.25 percent of the funds available under subsection 

13 (g) to provide for outreach and to share best practices with 

14 respect to this section and short-time compensation pro15 grams. 

16 (f) RECOUPMENT.—The Secretary shall establish a 

17 process under which the Secretary shall recoup the 

18 amount of any grant awarded under paragraph (1) or (2) 

19 of subsection (a) if the Secretary determines that, during 

20 the 5-year period beginning on the first date that any such 

21 grant is awarded to the State, the State— 

22 (1) terminated the State’s short-time compensa23 tion program; or 


SSpencer on DSK4SPTVN1PROD with BILLS
265 

•HR 2721 IH

1 (2) failed to meet appropriate requirements 

2 with respect to such program (as established by the 

3 Secretary). 

4 (g) FUNDING.—There are appropriated, out of mon5 eys in the Treasury not otherwise appropriated, to the 

6 Secretary, $700,000,000 to carry out this section, to re7 main available without fiscal year limitation. 

8 (h) REPORTING.—The Secretary may establish re9 porting requirements for States receiving a grant under 

10 this section in order to provide oversight of grant funds. 

11 (i) DEFINITIONS.—In this section: 

12 (1) SECRETARY.—The term ‘‘Secretary’’ means 

13 the Secretary of Labor. 

14 (2) SHORT-TIME COMPENSATION PROGRAM.— 

15 The term ‘‘short-time compensation program’’ has 

16 the meaning given such term in section 3306(v) of 

17 the Internal Revenue Code of 1986. 

18 (3) STATE; STATE AGENCY; STATE LAW.—The 

19 terms ‘‘State’’, ‘‘State agency’’, and ‘‘State law’’ 

20 have the meanings given those terms in section 205 

21 of the Federal-State Extended Unemployment Com22 pensation Act of 1970 (26 U.S.C. 3304 note). 


SSpencer on DSK4SPTVN1PROD with BILLS
266 

•HR 2721 IH

1 SEC. 1444. ASSISTANCE AND GUIDANCE IN IMPLEMENTING 

2 PROGRAMS. 

3 (a) IN GENERAL.—In order to assist States in estab4 lishing, qualifying, and implementing short-time com5 pensation programs (as defined in section 3306(v) of the 

6 Internal Revenue Code of 1986), the Secretary of Labor 

7 (in this section referred to as the ‘‘Secretary’’) shall— 

8 (1) develop model legislative language which 

9 may be used by States in developing and enacting 

10 such programs and periodically review and revise 

11 such model legislative language; 

12 (2) provide technical assistance and guidance in 

13 developing, enacting, and implementing such pro14 grams; and 

15 (3) establish reporting requirements for States, 

16 including reporting on— 

17 (A) the number of estimated averted lay18 offs; 

19 (B) the number of participating employers 

20 and workers; and 

21 (C) such other items as the Secretary of 

22 Labor determines are appropriate. 

23 (b) MODEL LANGUAGE AND GUIDANCE.—The model 

24 language and guidance developed under subsection (a) 

25 shall allow sufficient flexibility by States and participating 


SSpencer on DSK4SPTVN1PROD with BILLS
267 

•HR 2721 IH

1 employers while ensuring accountability and program in2 tegrity. 

3 (c) CONSULTATION.—In developing the model legisla4 tive language and guidance under subsection (a), and in 

5 order to meet the requirements of subsection (b), the Sec6 retary shall consult with employers, labor organizations, 

7 State workforce agencies, and other program experts. 

8 SEC. 1445. REPORTS. 

9 (a) REPORTS.— 

10 (1) IN GENERAL.—Not later than 4 years after 

11 the date of the enactment of this Act, the Secretary 

12 of Labor shall submit to Congress and to the Presi13 dent a report or reports on the implementation of 

14 the provisions of this Act. 

15 (2) REQUIREMENTS.—Any report under para16 graph (1) shall at a minimum include the following: 

17 (A) A description of best practices by 

18 States and employers in the administration, 

19 promotion, and use of short-time compensation 

20 programs (as defined in section 3306(v) of the 

21 Internal Revenue Code of 1986). 

22 (B) An analysis of the significant chal23 lenges to State enactment and implementation 

24 of short-time compensation programs. 


SSpencer on DSK4SPTVN1PROD with BILLS
268 

•HR 2721 IH

1 (C) A survey of employers in States that 

2 have not enacted a short-time compensation 

3 program or entered into an agreement with the 

4 Secretary on a short-time compensation plan to 

5 determine the level of interest among such em6 ployers in participating in short-time compensa7 tion programs. 

8 (b) FUNDING.—There are appropriated, out of any 

9 moneys in the Treasury not otherwise appropriated, to the 

10 Secretary of Labor, $1,500,000 to carry out this section, 

11 to remain available without fiscal year limitation. 

12 Subtitle B—Long-Term 

13 Unemployed Hiring Preferences 

14 SEC. 1451. LONG-TERM UNEMPLOYED WORKERS WORK OP15 PORTUNITY TAX CREDITS. 

16 (a) IN GENERAL.—Paragraph (3) of section 51(b) of 

17 the Internal Revenue Code is amended by inserting 

18 ‘‘$10,000 per year in the case of any individual who is 

19 a qualified long-term unemployed individual by reason of 

20 subsection (d)(11), and’’ before ‘‘$12,000 per year’’. 

21 (b) LONG-TERM UNEMPLOYED INDIVIDUALS TAX

22 CREDITS.—Subsection (d) of section 51 of the Internal 

23 Revenue Code is amended— 

24 (1) in paragraph (1), by striking ‘‘or’’ at the 

25 end of subparagraph (H), by striking the period at 


SSpencer on DSK4SPTVN1PROD with BILLS
269 

•HR 2721 IH

1 the end of subparagraph (I) and inserting ‘‘, or’’, 

2 and by inserting after subparagraph (I) the fol3 lowing: 

4 ‘‘(J) a qualified long-term unemployed in5 dividual.’’, and 

6 (2) by redesignating paragraphs (11) through 

7 (14) as paragraphs (12) through (15), respectively, 

8 and by inserting after paragraph (10) the following 

9 new paragraph: 

10 ‘‘(11) QUALIFIED LONG-TERM UNEMPLOYED

11 INDIVIDUAL.— 

12 ‘‘(A) IN GENERAL.—The term ‘qualified 

13 long-term unemployed individual’ means any in14 dividual who was not a student for at least 6 

15 months during the 1-year period ending on the 

16 hiring date and is certified by the designated 

17 local agency as having aggregate periods of un18 employment during the 1-year period ending on 

19 the hiring date which equal or exceed 6 months. 

20 ‘‘(B) STUDENT.—For purposes of this sub21 section, a student is an individual enrolled at 

22 least half-time in a program that leads to a de23 gree, certificate, or other recognized educational 

24 credential for at least 6 months whether or not 


SSpencer on DSK4SPTVN1PROD with BILLS
270 

•HR 2721 IH

1 consecutive during the 1-year period ending on 

2 the hiring date.’’. 

3 (c) SIMPLIFIED CERTIFICATION.—Section 51(d) of 

4 the Internal Revenue Code, as amended by subsection (b), 

5 is amended by adding at the end the following new para6 graph: 

7 ‘‘(16) CREDIT ALLOWED FOR QUALIFIED LONG8 TERM UNEMPLOYED INDIVIDUALS.— 

9 ‘‘(A) IN GENERAL.—Any qualified long10 term unemployed individual under paragraph 

11 (11) will be treated as certified by the des12 ignated local agency as having aggregate peri13 ods of unemployment if the individual is cer14 tified by the designated local agency as being in 

15 receipt of unemployment compensation under 

16 State or Federal law for not less than 6 months 

17 during the 1-year period ending on the hiring 

18 date. 

19 ‘‘(B) REGULATORY AUTHORITY.—The Sec20 retary in his discretion may provide alternative 

21 methods for certification.’’. 

22 (d) CREDIT MADE AVAILABLE TO TAX-EXEMPT EM23 PLOYERS IN CERTAIN CIRCUMSTANCES.—Section 3111(e) 

24 of the Internal Revenue Code is amended— 


SSpencer on DSK4SPTVN1PROD with BILLS
271 

•HR 2721 IH

1 (1) in the heading for the subsection is amend2 ed by inserting ‘‘AND QUALIFIED LONG-TERM UN3 EMPLOYED INDIVIDUALS’’ after ‘‘QUALIFIED VET4 ERANS’’, 

5 (2) in paragraph (1) by inserting ‘‘or qualified 

6 long-term unemployed individual’’ after ‘‘qualified 

7 veteran’’, 

8 (3) in paragraph (2) by inserting ‘‘and qualified 

9 long-term unemployed individuals’’ after ‘‘qualified 

10 veterans’’, 

11 (4) in paragraph (3)(C) by inserting ‘‘and 

12 qualified long-term unemployed individual, as the 

13 case may be,’’ after ‘‘qualified veteran’’, 

14 (5) in paragraph (4) by inserting ‘‘or qualified 

15 long-term unemployed individual’’ after ‘‘qualified 

16 veteran’’ both places it appears, and 

17 (6) in paragraph (5) by striking ‘‘and’’ at the 

18 end of subparagraph (A), by striking the period at 

19 the end of subparagraph (B) and inserting ‘‘, and’’, 

20 and by adding at the end the following: 

21 ‘‘(C) the term ‘qualified long-term unem22 ployed individual’ has meaning given such term 

23 by section 51(d)(11).’’. 


SSpencer on DSK4SPTVN1PROD with BILLS
272 

•HR 2721 IH

1 (e) EFFECTIVE DATE.—The amendments made by 

2 this section shall apply to individuals who begin work for 

3 the employer after the date of the enactment of this Act. 

4 Subtitle C—Pathways Back to 

5 Work 

6 SEC. 1461. SHORT TITLE. 

7 This subtitle may be cited as the ‘‘Pathways Back 

8 to Work Act of 2015’’. 

9 SEC. 1462. AUTHORIZATION OF APPROPRIATIONS. 

10 There is authorized to be appropriated to the Sec11 retary of Labor $5,000,000,000 to carry out this subtitle. 

12 SEC. 1463. AVAILABILITY OF FUNDS. 

13 (a) IN GENERAL.—Of the amounts available under 

14 section 1462, the Secretary of Labor shall— 

15 (1) allot $2,000,000,000 in accordance with 

16 section 1464 to provide subsidized employment to 

17 unemployed, low-income adults; 

18 (2) allot $1,500,000,000 in accordance with 

19 section 1465 to provide summer and year-round em20 ployment opportunities to low-income youth; and 

21 (3) award $1,500,000,000 in competitive grants 

22 in accordance with section 1466 to local entities to 

23 carry out work-based training and other work-re24 lated and educational strategies and activities of 

25 demonstrated effectiveness to unemployed, low-inVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00272 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
273 

•HR 2721 IH

1 come adults and low-income youth to provide the 

2 skills and assistance needed to obtain employment. 

3 (b) RESERVATION.—The Secretary of Labor may re4 serve not more than 1 percent of amounts available under 

5 each of paragraphs (1) through (3) of subsection (a) for 

6 the costs of technical assistance, evaluations and Federal 

7 administration of this Act. 

8 (c) PERIOD OF AVAILABILITY.—The amounts appro9 priated under this Act shall be available for obligation by 

10 the Secretary of Labor until December 31, 2014, and shall 

11 be available for expenditure by grantees and subgrantees 

12 until September 30, 2015. 

13 SEC. 1464. SUBSIDIZED EMPLOYMENT FOR UNEMPLOYED, 

14 LOW-INCOME ADULTS. 

15 (a) IN GENERAL.— 

16 (1) ALLOTMENTS.—From the funds available 

17 under section 1463(a)(1), the Secretary of Labor 

18 shall make an allotment under subsection (b) to each 

19 State that has a State plan approved under sub20 section (c) and to each outlying area and Native 

21 American grantee under section 166 of the Work22 force Innovation and Opportunity Act (as in effect 

23 on the day before the date of enactment of the 

24 Workforce Innovation and Opportunity Act) that 

25 meets the requirements of this section, for the purVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00273 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
274 

•HR 2721 IH

1 pose of providing subsidized employment opportuni2 ties to unemployed, low-income adults. 

3 (2) GUIDANCE.—Not later than 30 days after 

4 the date of enactment of this Act, the Secretary of 

5 Labor, in coordination with the Secretary of Health 

6 and Human Services, shall issue guidance regarding 

7 the implementation of this section. Such guidance 

8 shall, consistent with this section, include procedures 

9 for the submission and approval of State and local 

10 plans and the allotment and allocation of funds, in11 cluding reallotment and reallocation of such funds, 

12 that promote the expeditious and effective implemen13 tation of the activities authorized under this section. 

14 (b) STATE ALLOTMENTS.— 

15 (1) RESERVATIONS FOR OUTLYING AREAS AND

16 TRIBES.—Of the funds described subsection (a)(1), 

17 the Secretary shall reserve— 

18 (A) not more than one-quarter of 1 percent 

19 to provide assistance to outlying areas to pro20 vide subsidized employment to low-income 

21 adults who are unemployed; and 

22 (B) 1.5 percent to provide assistance to 

23 grantees of the Native American programs 

24 under section 166 of the Workforce Investment 

25 and Opportunity Act (as in effect on the day 


SSpencer on DSK4SPTVN1PROD with BILLS
275 

•HR 2721 IH

1 before the date of enactment of the Workforce 

2 Innovation and Opportunity Act) to provide 

3 subsidized employment to low-income adults 

4 who are unemployed. 

5 (2) STATES.—After determining the amounts to 

6 be reserved under paragraph (1), the Secretary of 

7 Labor shall allot the remainder of the amounts de8 scribed in subsection (a)(1) among the States as fol9 lows— 

10 (A) one-third shall be allotted on the basis 

11 of the relative number of unemployed individ12 uals in areas of substantial unemployment in 

13 each State, compared to the total number of 

14 unemployed individuals in areas of substantial 

15 unemployment in all States; 

16 (B) one-third shall be allotted on the basis 

17 of the relative excess number of unemployed in18 dividuals in each State, compared to the total 

19 excess number of unemployed individuals in all 

20 States; and 

21 (C) one-third shall be allotted on the basis 

22 of the relative number of disadvantaged adults 

23 and youth in each State, compared to the total 

24 number of disadvantaged adults and youth in 

25 all States. 


SSpencer on DSK4SPTVN1PROD with BILLS
276 

•HR 2721 IH

1 (3) DEFINITIONS.—For purposes of the for2 mula described in paragraph (2)— 

3 (A) AREA OF SUBSTANTIAL UNEMPLOY4 MENT.—The term ‘‘area of substantial unem5 ployment’’ means any contiguous area with a 

6 population of at least 10,000 and that has an 

7 average rate of unemployment of at least 6.5 

8 percent for the most recent 12 months, as de9 termined by the Secretary. 

10 (B) DISADVANTAGED ADULTS AND

11 YOUTH.—The term ‘‘disadvantaged adults and 

12 youth’’ means an individual who is age 16 and 

13 older who received an income, or is a member 

14 of a family that received a total family income, 

15 that, in relation to family size, does not exceed 

16 the higher of— 

17 (i) the poverty line; or 

18 (ii) 70 percent of the lower living 

19 standard income level. 

20 (C) EXCESS NUMBER.—The term ‘‘excess 

21 number’’ means, used with respect to the excess 

22 number of unemployed individuals within a 

23 State, the higher of— 

24 (i) the number that represents the 

25 number of unemployed individuals in exVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00276 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
277 

•HR 2721 IH

1 cess of 4.5 percent of the civilian labor 

2 force in the State; or 

3 (ii) the number that represents the 

4 number of unemployed individuals in ex5 cess of 4.5 percent of the civilian labor 

6 force in areas of substantial unemployment 

7 in such State. 

8 (4) REALLOTMENT.—If the Governor of a State 

9 does not submit a State plan by the time specified 

10 in subsection (c), or a State does not receive ap11 proval of a State plan, the amount the State would 

12 have been eligible to receive pursuant to the formula 

13 under paragraph (2) shall be added to the amounts 

14 available for the competitive grants under section 

15 1463(a)(3). 

16 (c) STATE PLAN.— 

17 (1) IN GENERAL.—For a State to be eligible to 

18 receive an allotment of the funds under subsection 

19 (b), the Governor of the State shall submit to the 

20 Secretary of Labor a State plan in such form and 

21 containing such information as the Secretary may 

22 require. At a minimum, such plan shall include— 

23 (A) a description of the strategies and ac24 tivities to be carried out by the State, in coordi25 nation with employers in the State, to provide 


SSpencer on DSK4SPTVN1PROD with BILLS
278 

•HR 2721 IH

1 subsidized employment opportunities to unem2 ployed, low-income adults, including strategies 

3 relating to the level and duration of subsidies 

4 consistent with subsection (e)(2); 

5 (B) a description of the requirements the 

6 State will apply relating to the eligibility of un7 employed, low-income adults, consistent with 

8 section 1468(6), for subsidized employment op9 portunities, which may include criteria to target 

10 assistance to particular categories of such 

11 adults, such as individuals with disabilities or 

12 individuals who have exhausted all rights to un13 employment compensation; 

14 (C) a description of how the funds allotted 

15 to provide subsidized employment opportunities 

16 will be administered in the State and local 

17 areas, in accordance with subsection (d); 

18 (D) a description of the performance out19 comes to be achieved by the State through the 

20 activities carried out under this section and the 

21 processes the State will use to track perform22 ance, consistent with guidance provided by the 

23 Secretary of Labor regarding such outcomes 

24 and processes and with section 1467(b); 


SSpencer on DSK4SPTVN1PROD with BILLS
279 

•HR 2721 IH

1 (E) a description of the coordination of ac2 tivities to be carried out with the funds pro3 vided under this section with activities under 

4 title I of the Workforce Innovation and Oppor5 tunity Act (as in effect on the day before the 

6 date of enactment of the Workforce Innovation 

7 and Opportunity Act), the TANF program 

8 under part A of title IV of the Social Security 

9 Act, and other appropriate Federal and State 

10 programs that may assist unemployed, low-in11 come adults in obtaining and retaining employ12 ment; 

13 (F) a description of the timelines for im14 plementation of the activities described in sub15 paragraph (A), and the number of unemployed, 

16 low-income adults expected to be placed in sub17 sidized employment by quarter; 

18 (G) assurances that the State will report 

19 such information as the Secretary of Labor may 

20 require relating to fiscal, performance and other 

21 matters that the Secretary determines is nec22 essary to effectively monitor the activities car23 ried out under this section; and 


SSpencer on DSK4SPTVN1PROD with BILLS
280 

•HR 2721 IH

1 (H) assurances that the State will ensure 

2 compliance with the labor standards and protec3 tions described in section 1467(a) of this Act. 

4 (2) SUBMISSION AND APPROVAL OF STATE

5 PLAN.— 

6 (A) SUBMISSION WITH OTHER PLANS.— 

7 The State plan described in this subsection may 

8 be submitted in conjunction with the State plan 

9 modification or request for funds required 

10 under section 1465, and may be submitted as 

11 a modification to a State plan that has been ap12 proved under section 102 of the Workforce In13 novation and Opportunity Act. 

14 (B) SUBMISSION AND APPROVAL.— 

15 (i) SUBMISSION.—The Governor shall 

16 submit a plan to the Secretary of Labor 

17 not later than 75 days after the enactment 

18 of this Act and the Secretary of Labor 

19 shall make a determination regarding the 

20 approval or disapproval of such plans not 

21 later than 45 days after the submission of 

22 such plan. If the plan is disapproved, the 

23 Secretary of Labor may provide a reason24 able period of time in which a disapproved 


SSpencer on DSK4SPTVN1PROD with BILLS
281 

•HR 2721 IH

1 plan may be amended and resubmitted for 

2 approval. 

3 (ii) APPROVAL.—The Secretary of 

4 Labor shall approve a State plan that the 

5 Secretary determines is consistent with re6 quirements of this section and reasonably 

7 appropriate and adequate to carry out the 

8 purposes of this section. If the plan is ap9 proved, the Secretary shall allot funds to 

10 States within 30 days after such approval. 

11 (3) MODIFICATIONS TO STATE PLAN.—The 

12 Governor may submit a modification to a State plan 

13 under this subsection consistent with the require14 ments of this section. 

15 (d) ADMINISTRATION WITHIN THE STATE.— 

16 (1) OPTION.—The State may administer the 

17 funds for activities under this section through— 

18 (A) the State and local entities responsible 

19 for the administration of the adult formula pro20 gram under title I of the Workforce Innovation 

21 and Opportunity Act (as in effect on the day 

22 before the date of enactment of the Workforce 

23 Innovation and Opportunity Act); 


SSpencer on DSK4SPTVN1PROD with BILLS
282 

•HR 2721 IH

1 (B) the entities responsible for the admin2 istration of the TANF program under part A of 

3 title IV of the Social Security Act; or 

4 (C) a combination of the entities described 

5 in subparagraphs (A) and (B). 

6 (2) WITHIN-STATE ALLOCATIONS.— 

7 (A) ALLOCATION OF FUNDS.—The Gov8 ernor may reserve up to 5 percent of the allot9 ment under subsection (b)(2) for administration 

10 and technical assistance, and shall allocate the 

11 remainder, in accordance with the option elect12 ed under paragraph (1)— 

13 (i) among local workforce investment 

14 areas within the State in accordance with 

15 the factors identified in subsection (b)(2), 

16 except that for purposes of such allocation 

17 references to a State in such paragraph 

18 shall be deemed to be references to a local 

19 workforce investment area and references 

20 to all States shall be deemed to be ref21 erences to all local areas in the State in22 volved, of which not more than 10 percent 

23 of the funds allocated to a local workforce 

24 investment area may be used for the costs 

25 of administration of this section; or 


SSpencer on DSK4SPTVN1PROD with BILLS
283 

•HR 2721 IH

1 (ii) through entities responsible for 

2 the administration of the TANF program 

3 under part A of title IV of the Social Secu4 rity Act in local areas in such manner as 

5 the State may determine appropriate. 

6 (B) LOCAL PLANS.— 

7 (i) IN GENERAL.—In the case where 

8 the responsibility for the administration of 

9 activities is to be carried out by the enti10 ties described under paragraph (1)(A), in 

11 order to receive an allocation under sub12 paragraph (A)(i), a local workforce invest13 ment board, in partnership with the chief 

14 elected official of the local workforce in15 vestment area involved, shall submit to the 

16 Governor a local plan for the use of such 

17 funds under this section not later than 30 

18 days after the submission of the State 

19 plan. Such local plan may be submitted as 

20 a modification to a local plan approved 

21 under section 108 of the Workforce Inno22 vation and Opportunity Act (as in effect on 

23 the day before the date of enactment of the 

24 Workforce Innovation and Opportunity 

25 Act). 


SSpencer on DSK4SPTVN1PROD with BILLS
284 

•HR 2721 IH

1 (ii) CONTENTS.—The local plan de2 scribed in clause (i) shall contain the ele3 ments described in subparagraphs (A)–(H) 

4 of subsection (c)(1), as applied to the local 

5 workforce investment area. 

6 (iii) APPROVAL.—The Governor shall 

7 approve or disapprove the local plan sub8 mitted under clause (i) within 30 days 

9 after submission, or if later, 30 days after 

10 the approval of the State plan. The Gov11 ernor shall approve the plan unless the 

12 Governor determines that the plan is in13 consistent with requirements of this section 

14 or is not reasonably appropriate and ade15 quate to carry out the purposes of this sec16 tion. If the Governor has not made a de17 termination within the period specified 

18 under the first sentence of this clause, the 

19 plan shall be considered approved. If the 

20 plan is disapproved, the Governor may pro21 vide a reasonable period of time in which 

22 a disapproved plan may be amended and 

23 resubmitted for approval. The Governor 

24 shall allocate funds to local workforce inVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00284 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
285 

•HR 2721 IH

1 vestment areas with approved plans within 

2 30 days after such approval. 

3 (C) REALLOCATION OF FUNDS TO LOCAL

4 AREAS.—If a local workforce investment board 

5 does not submit a local plan by the time speci6 fied in subparagraph (B) or the Governor does 

7 not approve a local plan, the amount the local 

8 workforce investment area would have been eli9 gible to receive pursuant to the formula under 

10 subparagraph (A)(i) shall be allocated to local 

11 workforce investment areas that receive ap12 proval of the local plan under subparagraph 

13 (B). Such reallocations shall be made in accord14 ance with the relative share of the allocations to 

15 such local workforce investment areas applying 

16 the formula factors described under subpara17 graph (A)(i). 

18 (e) USE OF FUNDS.— 

19 (1) IN GENERAL.—The funds under this section 

20 shall be used to provide subsidized employment for 

21 unemployed, low-income adults. The State and local 

22 entities described in subsection (d)(1) may use a va23 riety of strategies in recruiting employers and identi24 fying appropriate employment opportunities, with a 

25 priority to be provided to employment opportunities 


SSpencer on DSK4SPTVN1PROD with BILLS
286 

•HR 2721 IH

1 likely to lead to unsubsidized employment in emerg2 ing or in-demand occupations in the local area. 

3 Funds under this section may be used to provide 

4 support services, such as transportation and child 

5 care, that are necessary to enable the participation 

6 of individuals in subsidized employment opportuni7 ties. 

8 (2) LEVEL OF SUBSIDY AND DURATION.—The 

9 States or local entities described in subsection (d)(1) 

10 may determine the percentage of the wages and 

11 costs of employing a participant for which an em12 ployer may receive a subsidy with the funds provided 

13 under this section, and the duration of such subsidy, 

14 in accordance with guidance issued by the Secretary. 

15 The State or local entities may establish criteria for 

16 determining such percentage or duration using ap17 propriate factors such as the size of the employer 

18 and types of employment. 

19 (f) COORDINATION OF FEDERAL ADMINISTRATION.— 

20 The Secretary of Labor shall administer this section in 

21 coordination with the Secretary of Health and Human 

22 Services to ensure the effective implementation of this sec23 tion. 


SSpencer on DSK4SPTVN1PROD with BILLS
287 

•HR 2721 IH

1 SEC. 1465. SUMMER EMPLOYMENT AND YEAR-ROUND EM2 PLOYMENT OPPORTUNITIES FOR LOW-IN3 COME YOUTH. 

4 (a) IN GENERAL.—From the funds available under 

5 section 1463(a)(2), the Secretary of Labor shall make an 

6 allotment under subsection (c) to each State that has a 

7 State plan modification (or other form of request for funds 

8 specified in guidance under subsection (b)) approved 

9 under subsection (d) and to each outlying area and Native 

10 American grantee under section 166 of the Workforce In11 novation and Opportunity Act (as in effect on the day be12 fore the date of enactment of the Workforce Innovation 

13 and Opportunity Act) that meets the requirements of this 

14 section, for the purpose of providing summer employment 

15 and year-round employment opportunities to low-income 

16 youth. 

17 (b) GUIDANCE AND APPLICATION OF REQUIRE18 MENTS.— 

19 (1) GUIDANCE.—Not later than 20 days after 

20 the date of enactment of this Act, the Secretary of 

21 Labor shall issue guidance regarding the implemen22 tation of this section. Such guidance shall, consistent 

23 with this section, include procedures for the submis24 sion and approval of State plan modifications, or for 

25 forms of requests for funds by the State as may be 

26 identified in such guidance, local plan modifications, 


SSpencer on DSK4SPTVN1PROD with BILLS
288 

•HR 2721 IH

1 or other forms of requests for funds from local work2 force investment areas as may be identified in such 

3 guidance, and the allotment and allocation of funds, 

4 including reallotment and reallocation of such funds, 

5 that promote the expeditious and effective implemen6 tation of the activities authorized under this section. 

7 (2) REQUIREMENTS.—Except as otherwise pro8 vided in the guidance described in paragraph (1) 

9 and in this section and other provisions of this Act, 

10 the funds provided for activities under this section 

11 shall be administered in accordance with subtitles B 

12 and E of title I of the Workforce Innovation and 

13 Opportunity Act (as in effect on the day before the 

14 date of enactment of the Workforce Innovation and 

15 Opportunity Act) relating to youth activities. 

16 (c) STATE ALLOTMENTS.— 

17 (1) RESERVATIONS FOR OUTLYING AREAS AND

18 TRIBES.—Of the funds described in subsection (a), 

19 the Secretary shall reserve— 

20 (A) not more than one-quarter of 1 percent 

21 to provide assistance to outlying areas to pro22 vide summer and year-round employment op23 portunities to low-income youth; and 

24 (B) 1.5 percent to provide assistance to 

25 grantees of the Native American programs 


SSpencer on DSK4SPTVN1PROD with BILLS
289 

•HR 2721 IH

1 under section 166 of the Workforce Innovation 

2 and Opportunity Act (as in effect on the day 

3 before the date of enactment of the Workforce 

4 Innovation and Opportunity Act) to provide 

5 summer and year-round employment opportuni6 ties to low-income youth. 

7 (2) STATES.—After determining the amounts to 

8 be reserved under paragraph (1), the Secretary of 

9 Labor shall allot the remainder of the amounts de10 scribed in subsection (a) among the States in ac11 cordance with the factors described in section 

12 1464(b)(2) of this Act. 

13 (3) REALLOTMENT.—If the Governor of a State 

14 does not submit a State plan modification or other 

15 request for funds specified in guidance under sub16 section (b) by the time specified in subsection 

17 (d)(2)(B), or a State does not receive approval of 

18 such State plan modification or request, the amount 

19 the State would have been eligible to receive pursu20 ant to the formula under paragraph (2) shall be 

21 added to the amounts available for the competitive 

22 grants under section 1463(a)(3). 

23 (d) STATE PLAN MODIFICATION.— 

24 (1) IN GENERAL.—For a State to be eligible to 

25 receive an allotment of the funds under subsection 


SSpencer on DSK4SPTVN1PROD with BILLS
290 

•HR 2721 IH

1 (c), the Governor of the State shall submit to the 

2 Secretary of Labor a modification to a State plan 

3 approved under section 102 of the Workforce Inno4 vation and Opportunity Act (as in effect on the day 

5 before the date of enactment of the Workforce Inno6 vation and Opportunity Act), or other request for 

7 funds described in guidance in subsection (b), in 

8 such form and containing such information as the 

9 Secretary may require. At a minimum, such plan 

10 modification or request shall include— 

11 (A) a description of the strategies and ac12 tivities to be carried out to provide summer em13 ployment opportunities and year-round employ14 ment opportunities, including the linkages to 

15 educational activities, consistent with subsection 

16 (f); 

17 (B) a description of the requirements the 

18 States will apply relating to the eligibility of 

19 low-income youth, consistent with section 

20 1468(4), for summer employment opportunities 

21 and year-round employment opportunities, 

22 which may include criteria to target assistance 

23 to particular categories of such low-income 

24 youth, such as youth with disabilities, con25 sistent with subsection (f); 


SSpencer on DSK4SPTVN1PROD with BILLS
291 

•HR 2721 IH

1 (C) a description of the performance out2 comes to be achieved by the State through the 

3 activities carried out under this section and the 

4 processes the State will use to track perform5 ance, consistent with guidance provided by the 

6 Secretary of Labor regarding such outcomes 

7 and processes and with section 1467(b); 

8 (D) a description of the timelines for im9 plementation of the activities described in sub10 paragraph (A), and the number of low-income 

11 youth expected to be placed in summer employ12 ment opportunities, and year-round employment 

13 opportunities, respectively, by quarter; 

14 (E) assurances that the State will report 

15 such information as the Secretary may require 

16 relating to fiscal, performance and other mat17 ters that the Secretary determines is necessary 

18 to effectively monitor the activities carried out 

19 under this section; and 

20 (F) assurances that the State will ensure 

21 compliance with the labor standards protections 

22 described in section 1467(a). 

23 (2) SUBMISSION AND APPROVAL OF STATE

24 PLAN MODIFICATION OR REQUEST.— 


SSpencer on DSK4SPTVN1PROD with BILLS
292 

•HR 2721 IH

1 (A) SUBMISSION.—The Governor shall 

2 submit a modification of the State plan or other 

3 request for funds described in guidance in sub4 section (b) to the Secretary of Labor not later 

5 than 30 days after the issuance of such guid6 ance. The State plan modification or request for 

7 funds required under this subsection may be 

8 submitted in conjunction with the State plan re9 quired under section 1464. 

10 (B) APPROVAL.—The Secretary of Labor 

11 shall approve the plan or request submitted 

12 under subparagraph (A) within 30 days after 

13 submission, unless the Secretary determines 

14 that the plan or request is inconsistent with the 

15 requirements of this section. If the Secretary 

16 has not made a determination within 30 days, 

17 the plan or request shall be considered ap18 proved. If the plan or request is disapproved, 

19 the Secretary may provide a reasonable period 

20 of time in which a disapproved plan or request 

21 may be amended and resubmitted for approval. 

22 If the plan or request is approved, the Sec23 retary shall allot funds to States within 30 days 

24 after such approval. 


SSpencer on DSK4SPTVN1PROD with BILLS
293 

•HR 2721 IH

1 (3) MODIFICATIONS TO STATE PLAN OR RE2 QUEST.—The Governor may submit further modi3 fications to a State plan or request for funds identi4 fied under subsection (b) to carry out this section in 

5 accordance with the requirements of this section. 

6 (e) WITHIN-STATE ALLOCATION AND ADMINISTRA7 TION.— 

8 (1) IN GENERAL.—Of the funds allotted to the 

9 State under subsection (c), the Governor— 

10 (A) may reserve up to 5 percent of the al11 lotment for administration and technical assist12 ance; and 

13 (B) shall allocate the remainder of the al14 lotment among local workforce investment areas 

15 within the State in accordance with the factors 

16 identified in section 1464(b)(2), except that for 

17 purposes of such allocation references to a 

18 State in such paragraph shall be deemed to be 

19 references to a local workforce investment area 

20 and references to all States shall be deemed to 

21 be references to all local areas in the State in22 volved. Not more than 10 percent of the funds 

23 allocated to a local workforce investment area 

24 may be used for the costs of administration of 

25 this section. 


SSpencer on DSK4SPTVN1PROD with BILLS
294 

•HR 2721 IH

1 (2) LOCAL PLAN.— 

2 (A) SUBMISSION.—In order to receive an 

3 allocation under paragraph (1)(B), the local 

4 workforce investment board, in partnership with 

5 the chief elected official for the local workforce 

6 investment area involved, shall submit to the 

7 Governor a modification to a local plan ap8 proved under section 108 of the Workforce In9 novation and Opportunity Act (as in effect on 

10 the day before the date of enactment of the 

11 Workforce Innovation and Opportunity Act), or 

12 other form of request for funds as may be iden13 tified in the guidance issued under subsection 

14 (b), not later than 30 days after the submission 

15 by the State of the modification to the State 

16 plan or other request for funds identified in 

17 subsection (b), describing the strategies and ac18 tivities to be carried out under this section. 

19 (B) APPROVAL.—The Governor shall ap20 prove the local plan submitted under subpara21 graph (A) within 30 days after submission, un22 less the Governor determines that the plan is 

23 inconsistent with requirements of this section. 

24 If the Governor has not made a determination 

25 within 30 days, the plan shall be considered apVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00294 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
295 

•HR 2721 IH

1 proved. If the plan is disapproved, the Governor 

2 may provide a reasonable period of time in 

3 which a disapproved plan may be amended and 

4 resubmitted for approval. The Governor shall 

5 allocate funds to local workforce investment 

6 areas with approved plans within 30 days after 

7 approval. 

8 (3) REALLOCATION.—If a local workforce in9 vestment board does not submit a local plan modi10 fication (or other request for funds identified in 

11 guidance under subsection (b)) by the time specified 

12 in paragraph (2), or does not receive approval of a 

13 local plan, the amount the local workforce invest14 ment area would have been eligible to receive pursu15 ant to the formula under paragraph (1)(B) shall be 

16 allocated to local workforce investment areas that re17 ceive approval of the local plan modification or re18 quest for funds under paragraph (2). Such realloca19 tions shall be made in accordance with the relative 

20 share of the allocations to such local workforce in21 vestment areas applying the formula factors de22 scribed under paragraph (1)(B). 

23 (f) USE OF FUNDS.— 

24 (1) IN GENERAL.—The funds provided under 

25 this section shall be used— 


SSpencer on DSK4SPTVN1PROD with BILLS
296 

•HR 2721 IH

1 (A) to provide summer employment oppor2 tunities for low-income youth, ages 16 through 

3 24, with direct linkages to academic and occu4 pational learning, and may include the provision 

5 of supportive services, such as transportation or 

6 child care, necessary to enable such youth to 

7 participate; and 

8 (B) to provide year-round employment op9 portunities, which may be combined with other 

10 activities authorized under section 129 of the 

11 Workforce Innovation and Opportunity Act (as 

12 in effect on the day before the date of enact13 ment of the Workforce Innovation and Oppor14 tunity Act), to low-income youth, ages 16 

15 through 24, with a priority to out-of-school 

16 youth who are— 

17 (i) high school dropouts; or 

18 (ii) recipients of a secondary school 

19 diploma or its equivalent but who are basic 

20 skills deficient unemployed or under21 employed. 

22 (2) PROGRAM PRIORITIES.—In administering 

23 the funds under this section, the local board and 

24 local chief elected officials shall give a priority to— 


SSpencer on DSK4SPTVN1PROD with BILLS
297 

•HR 2721 IH

1 (A) identifying employment opportunities 

2 that are— 

3 (i) in emerging or in-demand occupa4 tions in the local workforce investment 

5 area; or 

6 (ii) in the public or nonprofit sector 

7 that meet community needs; and 

8 (B) linking year-round program partici9 pants to training and educational activities that 

10 will provide such participants an industry-recog11 nized certificate or credential. 

12 (3) PERFORMANCE ACCOUNTABILITY.—For ac13 tivities funded under this section, in lieu of the re14 quirements described in section 116 of the Work15 force Innovation and Opportunity Act (as in effect 

16 on the day before the date of enactment of the 

17 Workforce Innovation and Opportunity Act), State 

18 and local workforce investment areas shall provide 

19 such reports as the Secretary of Labor may require 

20 regarding the performance outcomes described in 

21 section 1467(a)(5). 

22 SEC. 1466. WORK-BASED EMPLOYMENT STRATEGIES OF 

23 DEMONSTRATED EFFECTIVENESS. 

24 (a) IN GENERAL.—From the funds available under 

25 section 1463(a)(3), the Secretary of Labor shall award 


SSpencer on DSK4SPTVN1PROD with BILLS
298 

•HR 2721 IH

1 grants on a competitive basis to eligible entities to carry 

2 out work-based strategies of demonstrated effectiveness. 

3 (b) USE OF FUNDS.—The grants awarded under this 

4 section shall be used to support strategies and activities 

5 of demonstrated effectiveness that are designed to provide 

6 unemployed, low-income adults or low-income youth with 

7 the skills that will lead to employment as part of or upon 

8 completion of participation in such activities. Such strate9 gies and activities may include— 

10 (1) on-the-job training, registered apprentice11 ship programs, or other programs that combine work 

12 with skills development; 

13 (2) sector-based training programs that have 

14 been designed to meet the specific requirements of 

15 an employer or group of employers in that sector 

16 and where employers are committed to hiring indi17 viduals upon successful completion of the training; 

18 (3) training that supports an industry sector or 

19 an employer-based or labor-management committee 

20 industry partnership which includes a significant 

21 work-experience component; 

22 (4) acquisition of industry-recognized creden23 tials in a field identified by the State or local work24 force investment area as a growth sector or demand 


SSpencer on DSK4SPTVN1PROD with BILLS
299 

•HR 2721 IH

1 industry in which there are likely to be significant 

2 job opportunities in the short term; 

3 (5) connections to immediate work opportuni4 ties, including subsidized employment opportunities, 

5 or summer employment opportunities for youth, that 

6 includes concurrent skills training and other sup7 ports; 

8 (6) career academies that provide students with 

9 the academic preparation and training, including 

10 paid internships and concurrent enrollment in com11 munity colleges or other postsecondary institutions, 

12 needed to pursue a career pathway that leads to 

13 postsecondary credentials and high-demand jobs; 

14 and 

15 (7) adult basic education and integrated basic 

16 education and training models for low-skilled adults, 

17 hosted at community colleges or at other sites, to 

18 prepare individuals for jobs that are in demand in 

19 a local area. 

20 (c) ELIGIBLE ENTITY.—An eligible entity shall in21 clude a local chief elected official, in collaboration with the 

22 local workforce investment board for the local workforce 

23 investment area involved (which may include a partnership 

24 with of such officials and boards in the region and in the 

25 State), or an entity eligible to apply for an Indian and 


SSpencer on DSK4SPTVN1PROD with BILLS
300 

•HR 2721 IH

1 Native American grant under section 166 of the Work2 force Innovation and Opportunity Act (as in effect on the 

3 day before the date of enactment of the Workforce Innova4 tion and Opportunity Act), and may include, in partner5 ship with such officials, boards, and entities, the fol6 lowing— 

7 (1) employers or employer associations; 

8 (2) adult education providers and postsecondary 

9 educational institutions, including community col10 leges; 

11 (3) community-based organizations; 

12 (4) joint labor-management committees; 

13 (5) work-related intermediaries; or 

14 (6) other appropriate organizations. 

15 (d) APPLICATION.—An eligible entity seeking to re16 ceive a grant under this section shall submit to the Sec17 retary of Labor an application at such time, in such man18 ner, and containing such information as the Secretary may 

19 require. At a minimum, the application shall— 

20 (1) describe the strategies and activities of dem21 onstrated effectiveness that the eligible entities will 

22 carry out to provide unemployed, low-income adults 

23 and low-income youth with the skills that will lead 

24 to employment upon completion of participation in 

25 such activities; 


SSpencer on DSK4SPTVN1PROD with BILLS
301 

•HR 2721 IH

1 (2) describe the requirements that will apply re2 lating to the eligibility of unemployed, low-income 

3 adults or low-income youth, consistent with para4 graphs (4) and (6) of section 1468, for activities 

5 carried out under this section, which may include 

6 criteria to target assistance to particular categories 

7 of such adults and youth, such as individuals with 

8 disabilities or individuals who have exhausted all 

9 rights to unemployment compensation; 

10 (3) describe how the strategies and activities 

11 address the needs of the target populations identi12 fied in paragraph (2) and the needs of employers in 

13 the local area; 

14 (4) describe the expected outcomes to be 

15 achieved by implementing the strategies and activi16 ties; 

17 (5) provide evidence that the funds provided 

18 may be expended expeditiously and efficiently to im19 plement the strategies and activities; 

20 (6) describe how the strategies and activities 

21 will be coordinated with other Federal, State and 

22 local programs providing employment, education and 

23 supportive activities; 

24 (7) provide evidence of employer commitment to 

25 participate in the activities funded under this secVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00301 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
302 

•HR 2721 IH

1 tion, including identification of anticipated occupa2 tional and skill needs; 

3 (8) provide assurances that the grant recipient 

4 will report such information as the Secretary may 

5 require relating to fiscal, performance and other 

6 matters that the Secretary determines is necessary 

7 to effectively monitor the activities carried out under 

8 this section; and 

9 (9) provide assurances that the use of the funds 

10 provided under this section will comply with the 

11 labor standards and protections described section 

12 1467(a). 

13 (e) PRIORITY IN AWARDS.—In awarding grants 

14 under this section, the Secretary of Labor shall give a pri15 ority to applications submitted by eligible entities from 

16 areas of high poverty and high unemployment, as defined 

17 by the Secretary, such as Public Use Microdata Areas 

18 (PUMAs) as designated by the Census Bureau. 

19 (f) COORDINATION OF FEDERAL ADMINISTRATION.— 

20 The Secretary of Labor shall administer this section in 

21 coordination with the Secretary of Education, Secretary 

22 of Health and Human Services, and other appropriate 

23 agency heads, to ensure the effective implementation of 

24 this section. 


SSpencer on DSK4SPTVN1PROD with BILLS
303 

•HR 2721 IH

1 SEC. 1467. GENERAL REQUIREMENTS. 

2 (a) LABOR STANDARDS AND PROTECTIONS.—Activi3 ties provided with funds under this Act shall be subject 

4 to the requirements and restrictions, including the labor 

5 standards, described in section 181 of the Workforce Inno6 vation and Opportunity Act (as in effect on the day before 

7 the date of enactment of the Workforce Innovation and 

8 Opportunity Act) and the nondiscrimination provisions of 

9 section 188 of such Act, in addition to other applicable 

10 Federal laws. 

11 (b) REPORTING.—The Secretary may require the re12 porting of information relating to fiscal, performance and 

13 other matters that the Secretary determines is necessary 

14 to effectively monitor the activities carried out with funds 

15 provided under this Act. At a minimum, grantees and sub16 grantees shall provide information relating to— 

17 (1) the number individuals participating in ac18 tivities with funds provided under this Act and the 

19 number of such individuals who have completed such 

20 participation; 

21 (2) the expenditures of funds provided under 

22 the Act; 

23 (3) the number of jobs created pursuant to the 

24 activities carried out under this Act; 

25 (4) the demographic characteristics of individ26 uals participating in activities under this Act; and 


SSpencer on DSK4SPTVN1PROD with BILLS
304 

•HR 2721 IH

1 (5) the performance outcomes of individuals 

2 participating in activities under this Act, including— 

3 (A) for adults participating in activities 

4 funded under section 1464 of this Act— 

5 (i) entry in unsubsidized employment; 

6 (ii) retention in unsubsidized employ7 ment; and 

8 (iii) earnings in unsubsidized employ9 ment; 

10 (B) for low-income youth participating in 

11 summer employment activities under sections 

12 1465 and 1466— 

13 (i) work readiness skill attainment 

14 using an employer validated checklist; and 

15 (ii) placement in or return to sec16 ondary or postsecondary education or 

17 training, or entry into unsubsidized em18 ployment; 

19 (C) for low-income youth participating in 

20 year-round employment activities under section 

21 1465 or in activities under section 1466— 

22 (i) placement in or return to post-sec23 ondary education; 

24 (ii) attainment of high school diploma 

25 or its equivalent; 


SSpencer on DSK4SPTVN1PROD with BILLS
305 

•HR 2721 IH

1 (iii) attainment of an industry-recog2 nized credential; and 

3 (iv) entry into unsubsidized employ4 ment, retention, and earnings as described 

5 in subparagraph (A); and 

6 (D) for unemployed, low-income adults 

7 participating in activities under section 1466— 

8 (i) entry into unsubsidized employ9 ment, retention, and earnings as described 

10 in subparagraph (A); and 

11 (ii) the attainment of industry-recog12 nized credentials. 

13 (c) ACTIVITIES REQUIRED TO BE ADDITIONAL.— 

14 Funds provided under this Act shall only be used for ac15 tivities that are in addition to activities that would other16 wise be available in the State or local area in the absence 

17 of such funds. 

18 (d) ADDITIONAL REQUIREMENTS.—The Secretary of 

19 Labor may establish such additional requirements as the 

20 Secretary determines may be necessary to ensure fiscal in21 tegrity, effective monitoring, and the appropriate and 

22 prompt implementation of the activities under this Act. 

23 (e) REPORT OF INFORMATION AND EVALUATIONS TO

24 CONGRESS AND THE PUBLIC.—The Secretary of Labor 

25 shall provide to the appropriate Committees of the ConVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00305 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
306 

•HR 2721 IH

1 gress and make available to the public the information re2 ported pursuant to subsection (b) and the evaluations of 

3 activities carried out pursuant to the funds reserved under 

4 section 1463(b). 

5 SEC. 1468. DEFINITIONS. 

6 In this subtitle: 

7 (1) LOCAL CHIEF ELECTED OFFICIAL.—The 

8 term ‘‘local chief elected official’’ means the chief 

9 elected executive officer of a unit of local govern10 ment in a local workforce investment area or in the 

11 case where more than one unit of general govern12 ment, the individuals designated under an agreement 

13 described in section 107(c)(1)(B) of the Workforce 

14 Innovation and Opportunity Act (as in effect on the 

15 day before the date of enactment of the Workforce 

16 Innovation and Opportunity Act). 

17 (2) LOCAL WORKFORCE INVESTMENT AREA.— 

18 The term ‘‘local workforce investment area’’ means 

19 such area designated under section 106 of the Work20 force Innovation and Opportunity Act (as in effect 

21 on the day before the date of enactment of the 

22 Workforce Innovation and Opportunity Act). 

23 (3) LOCAL WORKFORCE INVESTMENT BOARD.— 

24 The term ‘‘local workforce investment board’’ means 

25 such board established under section 107 of the 


SSpencer on DSK4SPTVN1PROD with BILLS
307 

•HR 2721 IH

1 Workforce Innovation and Opportunity Act (as in ef2 fect on the day before the date of enactment of the 

3 Workforce Innovation and Opportunity Act). 

4 (4) LOW-INCOME YOUTH.—The term ‘‘low-in5 come youth’’ means an individual who— 

6 (A) is age 16 through 24; 

7 (B) meets the definition of a low-income 

8 individual provided in section 3 of the Work9 force Innovation and Opportunity Act (as in ef10 fect on the day before the date of enactment of 

11 the Workforce Innovation and Opportunity 

12 Act), except that States, local workforce invest13 ment areas under section 1465 and eligible en14 tities under section 1466(c), subject to approval 

15 in the applicable State plans, local plans, and 

16 applications for funds, may increase the income 

17 level specified in subparagraph (B)(i) of such 

18 section to an amount not in excess of 200 per19 cent of the poverty line for purposes of deter20 mining eligibility for participation in activities 

21 under sections 1465 and 1466 of this Act; and 

22 (C) is in one or more of the categories 

23 specified in section 101(13)(C) of the Work24 force Investment Act of 1998, as in effect on 


SSpencer on DSK4SPTVN1PROD with BILLS
308 

•HR 2721 IH

1 the day before the date of enactment of the 

2 Workforce Innovation and Opportunity Act. 

3 (5) OUTLYING AREA.—The term ‘‘outlying 

4 area’’ means the United States Virgin Islands, 

5 Guam, American Samoa, the Commonwealth of the 

6 Northern Mariana Islands, and the Republic of 

7 Palau. 

8 (6) UNEMPLOYED, LOW-INCOME ADULT.—The 

9 term ‘‘unemployed, low-income adult’’ means an in10 dividual who— 

11 (A) is age 18 or older; 

12 (B) is without employment and is seeking 

13 assistance under this subtitle to obtain employ14 ment; and 

15 (C) meets the definition of a ‘‘low-income 

16 individual’’ under section 3 of the Workforce 

17 Innovation and Opportunity Act (as in effect on 

18 the day before the date of enactment of the 

19 Workforce Innovation and Opportunity Act), 

20 except that for that States, local entities de21 scribed in section 1464(d)(1) and eligible enti22 ties under section 1466(c), subject to approval 

23 in the applicable State plans, local plans, and 

24 applications for funds, may increase the income 

25 level specified in subparagraph (B)(i) of such 


SSpencer on DSK4SPTVN1PROD with BILLS
309 

•HR 2721 IH

1 section to an amount not in excess of 200 per2 cent of the poverty line for purposes of deter3 mining eligibility for participation in activities 

4 under sections 1464 and 1466 of this Act. 

5 (7) STATE.—The term ‘‘State’’ means each of 

6 the several States of the United States, the District 

7 of Columbia, and Puerto Rico. 

8 Subtitle D—Prohibition of Dis9 crimination in Employment on 

10 the Basis of an Individual’s Sta11 tus as Unemployed 

12 SEC. 1471. SHORT TITLE. 

13 This subtitle may be cited as the ‘‘Fair Employment 

14 Opportunity Act of 2015’’. 

15 SEC. 1472. FINDINGS AND PURPOSE. 

16 (a) FINDINGS.—Congress finds that denial of em17 ployment opportunities to individuals because of their sta18 tus as unemployed is discriminatory and burdens com19 merce by— 

20 (1) reducing personal consumption and under21 mining economic stability and growth; 

22 (2) squandering human capital essential to the 

23 Nation’s economic vibrancy and growth; 

24 (3) increasing demands for Federal and State 

25 unemployment insurance benefits, reducing trust 


SSpencer on DSK4SPTVN1PROD with BILLS
310 

•HR 2721 IH

1 fund assets, and leading to higher payroll taxes for 

2 employers, cuts in benefits for jobless workers, or 

3 both; 

4 (4) imposing additional burdens on publicly 

5 funded health and welfare programs; and 

6 (5) depressing income, property, and other tax 

7 revenues that the Federal Government, States, and 

8 localities rely on to support operations and institu9 tions essential to commerce. 

10 (b) PURPOSES.—The purposes of this subtitle are— 

11 (1) to prohibit employers and employment agen12 cies from disqualifying an individual from employ13 ment opportunities because of that individual’s sta14 tus as unemployed; 

15 (2) to prohibit employers and employment agen16 cies from publishing or posting any advertisement or 

17 announcement for an employment opportunity that 

18 indicates that an individual’s status as unemployed 

19 disqualifies that individual for the opportunity; and 

20 (3) to eliminate the burdens imposed on com21 merce due to the exclusion of such individuals from 

22 employment. 

23 SEC. 1473. DEFINITIONS. 

24 As used in this subtitle— 


SSpencer on DSK4SPTVN1PROD with BILLS
311 

•HR 2721 IH

1 (1) the term ‘‘affected individual’’ means any 

2 person who was subject to an unlawful employment 

3 practice solely because of that individual’s status as 

4 unemployed; 

5 (2) the term ‘‘Commission’’ means the Equal 

6 Employment Opportunity Commission; 

7 (3) the term ‘‘employee’’ means— 

8 (A) an employee as defined in section 

9 701(f) of the Civil Rights Act of 1964 (42 

10 U.S.C. 2000e(f)); 

11 (B) a State employee to which section 

12 302(a)(1) of the Government Employee Rights 

13 Act of 1991 (42 U.S.C. 2000e–16b(a)(1)) ap14 plies; 

15 (C) a covered employee, as defined in sec16 tion 101 of the Congressional Accountability 

17 Act of 1995 (2 U.S.C. 1301) or section 411(c) 

18 of title 3, United States Code; or 

19 (D) an employee or applicant to which sec20 tion 717(a) of the Civil Rights Act of 1964 (42 

21 U.S.C. 2000e–16(a)) applies; 

22 (4) the term ‘‘employer’’ means— 

23 (A) a person engaged in an industry affect24 ing commerce (as defined in section 701(h) of 

25 the Civil Rights Act of 1964 (42 U.S.C. 


SSpencer on DSK4SPTVN1PROD with BILLS
312 

•HR 2721 IH

1 2000e(h))) who has 15 or more employees for 

2 each working day in each of 20 or more cal3 endar weeks in the current or preceding cal4 endar year, and any agent of such a person, but 

5 does not include a bona fide private member6 ship club that is exempt from taxation under 

7 section 501(c) of the Internal Revenue Code of 

8 1986; 

9 (B) an employing authority to which sec10 tion 302(a)(1) of the Government Employee 

11 Rights Act of 1991 applies; 

12 (C) an employing office, as defined in sec13 tion 101 of the Congressional Accountability 

14 Act of 1995 or section 411(c) of title 3, United 

15 States Code; or 

16 (D) an entity to which section 717(a) of 

17 the Civil Rights Act of 1964 (42 U.S.C. 2000e– 

18 16(a)) applies; 

19 (5) the term ‘‘employment agency’’ means any 

20 person regularly undertaking with or without com21 pensation to procure employees for an employer or 

22 to procure for individuals opportunities to work as 

23 employees for an employer and includes an agent of 

24 such a person, and any person who maintains an 

25 Internet website or print medium that publishes adVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00312 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
313 

•HR 2721 IH

1 vertisements or announcements of openings in jobs 

2 for employees; 

3 (6) the term ‘‘person’’ has the meaning given 

4 the term in section 701(a) of the Civil Rights Act 

5 of 1964 (42 U.S.C. 2000e(a)); and 

6 (7) the term ‘‘status as unemployed’’, used with 

7 respect to an individual, means that the individual, 

8 at the time of application for employment or at the 

9 time of action alleged to violate this subtitle, does 

10 not have a job, is available for work and is searching 

11 for work. 

12 SEC. 1474. PROHIBITED ACTS. 

13 (a) EMPLOYERS.—It shall be an unlawful employ14 ment practice for an employer to— 

15 (1) publish in print, on the Internet, or in any 

16 other medium, an advertisement or announcement 

17 for an employee for any job that includes— 

18 (A) any provision stating or indicating that 

19 an individual’s status as unemployed disquali20 fies the individual for any employment oppor21 tunity; or 

22 (B) any provision stating or indicating that 

23 an employer will not consider or hire an indi24 vidual for any employment opportunity based 

25 on that individual’s status as unemployed; 


SSpencer on DSK4SPTVN1PROD with BILLS
314 

•HR 2721 IH

1 (2) fail or refuse to consider for employment, or 

2 fail or refuse to hire, an individual as an employee 

3 because of the individual’s status as unemployed; or 

4 (3) direct or request that an employment agen5 cy take an individual’s status as unemployed into ac6 count to disqualify an applicant for consideration, 

7 screening, or referral for employment as an em8 ployee. 

9 (b) EMPLOYMENT AGENCIES.—It shall be an unlaw10 ful employment practice for an employment agency to— 

11 (1) publish, in print or on the Internet or in 

12 any other medium, an advertisement or announce13 ment for any vacancy in a job, as an employee, that 

14 includes— 

15 (A) any provision stating or indicating that 

16 an individual’s status as unemployed disquali17 fies the individual for any employment oppor18 tunity; or 

19 (B) any provision stating or indicating that 

20 the employment agency or an employer will not 

21 consider or hire an individual for any employ22 ment opportunity based on that individual’s sta23 tus as unemployed; 

24 (2) screen, fail or refuse to consider, or fail or 

25 refuse to refer an individual for employment as an 


SSpencer on DSK4SPTVN1PROD with BILLS
315 

•HR 2721 IH

1 employee because of the individual’s status as unem2 ployed; or 

3 (3) limit, segregate, or classify any individual in 

4 any manner that would limit or tend to limit the in5 dividual’s access to information about jobs, or con6 sideration, screening, or referral for jobs, as employ7 ees, solely because of an individual’s status as unem8 ployed. 

9 (c) INTERFERENCE WITH RIGHTS, PROCEEDINGS OR

10 INQUIRIES.—It shall be unlawful for any employer or em11 ployment agency to— 

12 (1) interfere with, restrain, or deny the exercise 

13 of or the attempt to exercise, any right provided 

14 under this subtitle; or 

15 (2) fail or refuse to hire, to discharge, or in any 

16 other manner to discriminate against any individual, 

17 as an employee, because such individual— 

18 (A) opposed any practice made unlawful by 

19 this subtitle; 

20 (B) has asserted any right, filed any 

21 charge, or has instituted or caused to be insti22 tuted any proceeding, under or related to this 

23 subtitle; 

24 (C) has given, or is about to give, any in25 formation in connection with any inquiry or 


SSpencer on DSK4SPTVN1PROD with BILLS
316 

•HR 2721 IH

1 proceeding relating to any right provided under 

2 this subtitle; or 

3 (D) has testified, or is about to testify, in 

4 any inquiry or proceeding relating to any right 

5 provided under this subtitle. 

6 (d) CONSTRUCTION.—Nothing in this subtitle is in7 tended to preclude an employer or employment agency 

8 from considering an individual’s employment history, or 

9 from examining the reasons underlying an individual’s sta10 tus as unemployed, in assessing an individual’s ability to 

11 perform a job or in otherwise making employment deci12 sions about that individual. Such consideration or exam13 ination may include an assessment of whether an individ14 ual’s employment in a similar or related job for a period 

15 of time reasonably proximate to the consideration of such 

16 individual for employment is job-related or consistent with 

17 business necessity. 

18 SEC. 1475. ENFORCEMENT. 

19 (a) ENFORCEMENT POWERS.—With respect to the 

20 administration and enforcement of this subtitle— 

21 (1) the Commission shall have the same powers 

22 as the Commission has to administer and enforce— 

23 (A) title VII of the Civil Rights Act of 

24 1964 (42 U.S.C. 2000e et seq.); or 


SSpencer on DSK4SPTVN1PROD with BILLS
317 

•HR 2721 IH

1 (B) sections 302 and 304 of the Govern2 ment Employee Rights Act of 1991 (42 U.S.C. 

3 2000e–16b and 2000e–16c), in the case of an 

4 affected individual who would be covered by 

5 such title, or by section 302(a)(1) of the Gov6 ernment Employee Rights Act of 1991 (42 

7 U.S.C. 2000e–16b(a)(1)), respectively; 

8 (2) the Librarian of Congress shall have the 

9 same powers as the Librarian of Congress has to ad10 minister and enforce title VII of the Civil Rights Act 

11 of 1964 (42 U.S.C. 2000e et seq.) in the case of an 

12 affected individual who would be covered by such 

13 title; 

14 (3) the Board (as defined in section 101 of the 

15 Congressional Accountability Act of 1995 (2 U.S.C. 

16 1301)) shall have the same powers as the Board has 

17 to administer and enforce the Congressional Ac18 countability Act of 1995 (2 U.S.C. 1301 et seq.) in 

19 the case of an affected individual who would be cov20 ered by section 201(a)(1) of such Act (2 U.S.C. 

21 1311(a)(1)); 

22 (4) the Attorney General shall have the same 

23 powers as the Attorney General has to administer 

24 and enforce— 


SSpencer on DSK4SPTVN1PROD with BILLS
318 

•HR 2721 IH

1 (A) title VII of the Civil Rights Act of 

2 1964 (42 U.S.C. 2000e et seq.); or 

3 (B) sections 302 and 304 of the Govern4 ment Employee Rights Act of 1991 (42 U.S.C. 

5 2000e–16b and 2000e–16c); in the case of an 

6 affected individual who would be covered by 

7 such title, or of section 302(a)(1) of the Gov8 ernment Employee Rights Act of 1991 (42 

9 U.S.C. 2000e–16b(a)(1)), respectively; 

10 (5) the President, the Commission, and the 

11 Merit Systems Protection Board shall have the same 

12 powers as the President, the Commission, and the 

13 Board, respectively, have to administer and enforce 

14 chapter 5 of title 3, United States Code, in the case 

15 of an affected individual who would be covered by 

16 section 411 of such title; and 

17 (6) a court of the United States shall have the 

18 same jurisdiction and powers as the court has to en19 force— 

20 (A) title VII of the Civil Rights Act of 

21 1964 (42 U.S.C. 2000e et seq.) in the case of 

22 a claim alleged by such individual for a viola23 tion of such title; 

24 (B) sections 302 and 304 of the Govern25 ment Employee Rights Act of 1991 (42 U.S.C. 


SSpencer on DSK4SPTVN1PROD with BILLS
319 

•HR 2721 IH

1 2000e–16b and 2000e–16c) in the case of a 

2 claim alleged by such individual for a violation 

3 of section 302(a)(1) of such Act (42 U.S.C. 

4 2000e–16b(a)(1)); 

5 (C) the Congressional Accountability Act 

6 of 1995 (2 U.S.C. 1301 et seq.) in the case of 

7 a claim alleged by such individual for a viola8 tion of section 201(a)(1) of such Act (2 U.S.C. 

9 1311(a)(1)); and 

10 (D) chapter 5 of title 3, United States 

11 Code, in the case of a claim alleged by such in12 dividual for a violation of section 411 of such 

13 title. 

14 (b) PROCEDURES.—The procedures applicable to a 

15 claim alleged by an individual for a violation of this sub16 title are— 

17 (1) the procedures applicable for a violation of 

18 title VII of the Civil Rights Act of 1964 (42 U.S.C. 

19 2000e et seq.) in the case of a claim alleged by such 

20 individual for a violation of such title; 

21 (2) the procedures applicable for a violation of 

22 section 302(a)(1) of the Government Employee 

23 Rights Act of 1991 (42 U.S.C. 2000e–16b(a)(1)) in 

24 the case of a claim alleged by such individual for a 

25 violation of such section; 


SSpencer on DSK4SPTVN1PROD with BILLS
320 

•HR 2721 IH

1 (3) the procedures applicable for a violation of 

2 section 201(a)(1) of the Congressional Account3 ability Act of 1995 (2 U.S.C. 1311(a)(1)) in the 

4 case of a claim alleged by such individual for a viola5 tion of such section; and 

6 (4) the procedures applicable for a violation of 

7 section 411 of title 3, United States Code, in the 

8 case of a claim alleged by such individual for a viola9 tion of such section. 

10 (c) REMEDIES.— 

11 (1) In any claim alleging a violation of section 

12 1474(a)(1) or 1474(b)(1) of this subtitle, an indi13 vidual, or any person acting on behalf of the indi14 vidual as set forth in section 1475(a) of this subtitle, 

15 may be awarded, as appropriate: 

16 (A) An order enjoining the respondent 

17 from engaging in the unlawful employment 

18 practice. 

19 (B) Reimbursement of costs expended as a 

20 result of the unlawful employment practice. 

21 (C) An amount in liquidated damages not 

22 to exceed $1,000 for each day of the violation. 

23 (D) Reasonable attorney’s fees (including 

24 expert fees) and costs attributable to the pur25 suit of a claim under this subtitle, except that 


SSpencer on DSK4SPTVN1PROD with BILLS
321 

•HR 2721 IH

1 no person identified in section 733(a) of this 

2 subtitle shall be eligible to receive attorney’s 

3 fees. 

4 (2) In any claim alleging a violation of any 

5 other subsection of this subtitle, an individual, or 

6 any person acting on behalf of the individual as set 

7 forth in section 1475(a) of this subtitle, may be 

8 awarded, as appropriate, the remedies available for 

9 a violation of title VII of the Civil Rights Act of 

10 1964 (42 U.S.C. 2000e et seq.), section 302(a)(1) of 

11 the Government Employee Rights Act of 1991 (42 

12 U.S.C. 2000e–16b(a)(1)), section 201(a)(1) of the 

13 Congressional Accountability Act of 1995 (2 U.S.C. 

14 1311(a)(1)), and section 411 of title 3, United 

15 States Code, except that in a case in which wages, 

16 salary, employment benefits, or other compensation 

17 have not been denied or lost to the individual, dam18 ages may be awarded in an amount not to exceed 

19 $5,000. 

20 SEC. 1476. FEDERAL AND STATE IMMUNITY. 

21 (a) ABROGATION OF STATE IMMUNITY.—A State 

22 shall not be immune under the 11th Amendment to the 

23 Constitution from a suit brought in a Federal court of 

24 competent jurisdiction for a violation of this subtitle. 

25 (b) WAIVER OF STATE IMMUNITY.— 


SSpencer on DSK4SPTVN1PROD with BILLS
322 

•HR 2721 IH

1 (1) IN GENERAL.— 

2 (A) WAIVER.—A State’s receipt or use of 

3 Federal financial assistance for any program or 

4 activity of a State shall constitute a waiver of 

5 sovereign immunity, under the 11th Amend6 ment to the Constitution or otherwise, to a suit 

7 brought by an employee or applicant for em8 ployment of that program or activity under this 

9 subtitle for a remedy authorized under section 

10 1475(c) of this subtitle. 

11 (B) DEFINITION.—In this paragraph, the 

12 term ‘‘program or activity’’ has the meaning 

13 given the term in section 606 of the Civil 

14 Rights Act of 1964 (42 U.S.C. 2000d–4a). 

15 (2) EFFECTIVE DATE.—With respect to a par16 ticular program or activity, paragraph (1) applies to 

17 conduct occurring on or after the day, after the date 

18 of enactment of this Act, on which a State first re19 ceives or uses Federal financial assistance for that 

20 program or activity. 

21 (c) REMEDIES AGAINST STATE OFFICIALS.—An offi22 cial of a State may be sued in the official capacity of the 

23 official by any employee or applicant for employment who 

24 has complied with the applicable procedures of this sub25 title, for relief that is authorized under this subtitle. 


SSpencer on DSK4SPTVN1PROD with BILLS
323 

•HR 2721 IH

1 (d) REMEDIES AGAINST THE UNITED STATES AND

2 THE STATES.—Notwithstanding any other provision of 

3 this subtitle, in an action or administrative proceeding 

4 against the United States or a State for a violation of this 

5 subtitle, remedies (including remedies at law and in eq6 uity) are available for the violation to the same extent as 

7 such remedies would be available against a non-govern8 mental entity. 

9 SEC. 1477. RELATIONSHIP TO OTHER LAWS. 

10 This subtitle shall not invalidate or limit the rights, 

11 remedies, or procedures available to an individual claiming 

12 discrimination prohibited under any other Federal law or 

13 regulation or any law or regulation of a State or political 

14 subdivision of a State. 

15 SEC. 1478. SEVERABILITY. 

16 If any provision of this subtitle, or the application 

17 of the provision to any person or circumstance, is held to 

18 be invalid, the remainder of this subtitle and the applica19 tion of the provision to any other person or circumstances 

20 shall not be affected by the invalidity. 

21 SEC. 1479. EFFECTIVE DATE. 

22 This subtitle shall take effect on the date of enact23 ment of this Act and shall not apply to conduct occurring 

24 before the effective date. 


SSpencer on DSK4SPTVN1PROD with BILLS
324 

•HR 2721 IH

1 TITLE XV—LIVING AMERICAN 

2 WAGE 

3 SEC. 1501. FINDINGS; SENSE OF CONGRESS. 

4 (a) FINDINGS.—Congress finds the following: 

5 (1) In 2012, there were over 46,500,000 Ameri6 cans living in poverty who were separated from the 

7 opportunities of the Nation by their income, their 

8 housing, and their access to education, jobs, and 

9 health care. 

10 (2) A full-time worker earning the Federal min11 imum wage earns an income below the Federal pov12 erty threshold for a family of 4, consisting of 2 

13 adults and 2 children. 

14 (3) The average fair market rent for a 1-bed15 room apartment is more than 65 percent of the 

16 monthly income of a full-time worker earning the 

17 minimum wage. In comparison, the generally accept18 ed definition of affordability is for a household to 

19 pay not more than 30 percent of its income on hous20 ing. 

21 (4) Two full-time workers earning the Federal 

22 minimum wage earn an income below the national 

23 housing wage for a 1-bedroom apartment, the 

24 amount a person needs to earn to afford a 1-bed25 room apartment at average rent. 


SSpencer on DSK4SPTVN1PROD with BILLS
325 

•HR 2721 IH

1 (b) SENSE OF CONGRESS.—It is the sense of Con2 gress that— 

3 (1) the Federal minimum wage should, as a 

4 minimum, be adjusted every 4 years so that a person 

5 working for such a wage may earn an annual income 

6 that is not less than 15-percent higher than the Fed7 eral poverty threshold for a family of 4, as deter8 mined by the Bureau of the Census; 

9 (2) the minimum wage should be set at a level 

10 high enough to allow 2 full-time minimum wage 

11 workers to earn an income above the national hous12 ing wage; and 

13 (3) Congress, any of the several States, the Dis14 trict of Columbia, any territory or possession of the 

15 United States, any Indian tribe, or any local or mu16 nicipal government of a State may establish a higher 

17 minimum wage requirement than that established in 

18 this title. 

19 SEC. 1502. MINIMUM WAGE. 

20 Section 6 of the Fair Labor Standards Act of 1938 

21 (29 U.S.C. 206) is amended— 

22 (1) in subsection (a)(1)— 

23 (A) by striking ‘‘and’’ at the end of sub24 paragraph (B); 


SSpencer on DSK4SPTVN1PROD with BILLS
326 

•HR 2721 IH

1 (B) by inserting ‘‘and’’ at the end of sub2 paragraph (C); and 

3 (C) by inserting at the end the following: 

4 ‘‘(D) not less than the amount determined 

5 by the Secretary under subsection (b), begin6 ning September 1, 2014;’’; and 

7 (2) by redesignating subsection (b) as sub8 section (c) and inserting after subsection (a) the fol9 lowing: 

10 ‘‘(b)(1) Subject to paragraph (2), not later than June 

11 1, 2014, and once every 4 years thereafter, the Secretary 

12 shall determine the minimum wage rate applicable under 

13 subsection (a)(1) based on the formula described in para14 graph (3). The Secretary shall publish such wage rate in 

15 the Federal Register not later than October 1 of each year. 

16 ‘‘(2) If the minimum wage rate determined by the 

17 Secretary under paragraph (1) would result in a lower 

18 minimum wage rate than the minimum wage rate in effect 

19 at the time of such determination, the Secretary shall not 

20 adjust, pursuant to this subsection, the minimum wage 

21 rate so in effect. 

22 ‘‘(3) The minimum wage rate determined by the Sec23 retary under paragraph (1) shall be the minimum hourly 

24 wage sufficient for a person working for such wage for 

25 40 hours per week, 52 weeks per year, to earn an annual 


SSpencer on DSK4SPTVN1PROD with BILLS
327 

•HR 2721 IH

1 income in an amount that is 15-percent higher than the 

2 Federal poverty threshold for a family of 4, with 2 chil3 dren under the age of 18, and living in any of the 48 con4 tiguous States, as published by the Bureau of the Census 

5 for the year in which the wage rate is being so deter6 mined.’’. 

7 DIVISION E—ANTI-POVERTY TAX 

8 PROVISION 

9 TITLE XVI—CHILD TAX CREDIT 

10 PERMANENCY 

11 SEC. 1601. MODIFICATIONS OF THE CHILD TAX CREDIT. 

12 (a) PERMANENT EXTENSION.— 

13 (1) IN GENERAL.—Clause (i) of section 

14 24(d)(1)(B) of the Internal Revenue Code of 1986 

15 is amended by striking ‘‘$10,000’’ and inserting 

16 ‘‘$3,000’’. 

17 (2) CONFORMING AMENDMENTS.—Section 

18 24(d) of such Code is amended by striking para19 graphs (3) and (4). 

20 (b) INFLATION ADJUSTMENT.—Section 24 of such 

21 Code is amended by adding at the end the following new 

22 subsection: 

23 ‘‘(g) INFLATION ADJUSTMENT.—In the case of any 

24 taxable year beginning in a calendar year after 2015, the 


SSpencer on DSK4SPTVN1PROD with BILLS
328 

•HR 2721 IH

1 $1,000 amount contained in subsection (a) shall be in2 creased by an amount equal to— 

3 ‘‘(1) such dollar amount, multiplied by 

4 ‘‘(2) the cost-of-living adjustment determined 

5 under section 1(f)(3) for the calendar year in which 

6 the taxable year begins, determined by substituting 

7 ‘calendar year 2014’ for ‘calendar year 1992’ in sub8 paragraph (B) thereof. 

9 Any increase determined under the preceding sentence 

10 shall be rounded to the nearest multiple of $50.’’. 

11 (c) EFFECTIVE DATE.—The amendments made by 

12 this section shall apply to taxable years beginning after 

13 December 31, 2015. 

14 TITLE XVII—EARNED INCOME 

15 TAX CREDIT 

16 SEC. 1701. EXPANSION OF EARNED INCOME CREDIT. 

17 (a) CREDIT PERCENTAGES FOR INDIVIDUALS WITH

18 NO QUALIFYING CHILDREN.—The item in the table in 

19 section 32(b)(1) of the Internal Revenue Code of 1986 

20 under the column relating to the credit percentage is 

21 amended by striking ‘‘7.65’’ and inserting ‘‘15.3’’. 

22 (b) PHASEOUT PERCENTAGE FOR INDIVIDUALS

23 WITH NO QUALIFYING CHILDREN.—The item in the table 

24 in section 32(b)(1) of the Internal Revenue Code of 1986 


SSpencer on DSK4SPTVN1PROD with BILLS
329 

•HR 2721 IH

1 under the column relating to the phaseout percentage is 

2 amended by striking ‘‘7.65’’ and inserting ‘‘15.3’’. 

3 (c) PHASEOUT AMOUNT.— 

4 (1) IN GENERAL.—The item in the table in sec5 tion 32(b)(2)(A) of the Internal Revenue Code of 

6 1986 under the column relating to the phaseout 

7 amount is amended by striking ‘‘$5,280’’ and insert8 ing ‘‘$11,500’’. 

9 (2) INFLATION ADJUSTMENT.— 

10 (A) IN GENERAL.—Section 32(j) of the In11 ternal Revenue Code of 1986 is amended by re12 designating paragraph (2) as paragraph (3) 

13 and by inserting after paragraph (1) the fol14 lowing new paragraph: 

15 ‘‘(2) EXCEPTION.—In the case of the amount 

16 in subsection (b)(2)(A) under the column relating to 

17 the phaseout amount for taxable years beginning 

18 after 2016, paragraph (1)(B)(i) shall be applied by 

19 substituting ‘calendar year 2015’ for ‘calendar year 

20 1995’ and paragraph (1) shall not apply to such 

21 amount for taxable years beginning in 2016.’’. 

22 (B) CONFORMING AMENDMENTS.—Section 

23 32(j) of the Internal Revenue Code of 1986 is 

24 amended— 


SSpencer on DSK4SPTVN1PROD with BILLS
330 

•HR 2721 IH

1 (i) in paragraph (1)(B)(i) by inserting 

2 ‘‘except as provided in paragraph (2)’’ be3 fore ‘‘in the case of’’, and 

4 (ii) in paragraph (2)(A) by inserting 

5 ‘‘or (2)’’ after ‘‘paragraph (1)’’. 

6 (d) EXPANSION OF AGE RANGE OF ELIGIBLE INDI7 VIDUALS.—Section 32(c)(1)(A)(ii)(II) of the Internal Rev8 enue Code of 1986 is amended by striking ‘‘age 25 but 

9 not attained age 65’’ and inserting ‘‘age 21 but not at10 tained retirement age (as defined in section 216(l) of the 

11 Social Security Act)’’. 

12 (e) EFFECTIVE DATE.—The amendments made by 

13 this section shall apply to taxable years beginning after 

14 December 31, 2015. 

15 TITLE XVIII—CHILD CARE AC16 CESS AND REFUNDABILITY 

17 EXPANSION ACT 

18 SEC. 1801. CREDIT FOR DEPENDENT CARE EXPENSES. 

19 (a) CREDIT MADE REFUNDABLE.— 

20 (1) IN GENERAL.—The Internal Revenue Code 

21 of 1986 is amended by redesignating section 21 as 

22 section 36C and by moving such section after section 

23 36B. 

24 (2) CREDIT NOT ALLOWED TO NONRESIDENT

25 ALIENS.—Section 36C(a)(1) of the Internal Revenue 


SSpencer on DSK4SPTVN1PROD with BILLS
331 

•HR 2721 IH

1 Code of 1986, as redesignated by this section, is 

2 amended by inserting ‘‘(other than a nonresident 

3 alien)’’ after ‘‘In the case of an individual’’. 

4 (3) CONFORMING AMENDMENTS.— 

5 (A) Section 23(f)(1) of such Code is 

6 amended by striking ‘‘section 21(e)’’ and insert7 ing ‘‘section 36C(e)’’. 

8 (B) Section 35(g)(6) of such Code is 

9 amended by striking ‘‘section 21(e)’’ and insert10 ing ‘‘section 36C(e)’’. 

11 (C) Section 36C(a)(1) of such Code, as re12 designated by this section, is amended by strik13 ing ‘‘this chapter’’ and inserting ‘‘this subtitle’’. 

14 (D) Section 129(a)(2)(C) of such Code is 

15 amended by striking ‘‘section 21(e)’’ and insert16 ing ‘‘section 36C(e)’’. 

17 (E) Section 129(b)(2) of such Code is 

18 amended by striking ‘‘section 21(d)(2)’’ and in19 serting ‘‘section 36C(d)(2)’’. 

20 (F) Section 129(e)(1) of such Code is 

21 amended by striking ‘‘section 21(b)(2)’’ and in22 serting ‘‘section 36C(b)(2)’’. 

23 (G) Section 213(e) of such Code is amend24 ed by striking ‘‘section 21’’ and inserting ‘‘sec25 tion 36C’’. 


SSpencer on DSK4SPTVN1PROD with BILLS
332 

•HR 2721 IH

1 (H) Section 6211(b)(4)(A) of such Code is 

2 amended by inserting ‘‘36C,’’ after ‘‘36B,’’. 

3 (I) Section 6213(g)(2)(H) of such Code is 

4 amended by striking ‘‘section 21’’ and inserting 

5 ‘‘section 36C’’. 

6 (J) Section 6213(g)(2)(L) of such Code is 

7 amended by striking ‘‘section 21, 24, 32, or 

8 6428’’ and inserting ‘‘section 24, 32, 36C, or 

9 6428’’. 

10 (K) Paragraph (2) of section 1324(b) of 

11 title 31, United States Code, is amended by in12 serting ‘‘36C,’’ after ‘‘36B,’’. 

13 (L) The table of sections for subpart A of 

14 part IV of subchapter A of chapter 1 of the In15 ternal Revenue Code of 1986 is amended by 

16 striking the item relating to section 21. 

17 (M) The table of sections for subpart C of 

18 part IV of subchapter A of chapter 1 of such 

19 Code is amended by inserting after the item re20 lating to section 36B the following new item: 

‘‘Sec. 36C. Expenses for household and dependent care services necessary for 

gainful employment.’’. 

21 (b) INFLATION ADJUSTMENT OF INCOME THRESH22 OLDS FOR CREDIT PHASEDOWN.—Section 36C(e) of the 

23 Internal Revenue Code of 1986, as redesignated by this 


SSpencer on DSK4SPTVN1PROD with BILLS
333 

•HR 2721 IH

1 section, is amended by adding at the end the following 

2 new paragraph: 

3 ‘‘(11) INFLATION ADJUSTMENT.— 

4 ‘‘(A) IN GENERAL.—In the case of any 

5 taxable year beginning in a calendar year after 

6 2015, the $2,000 amount and the $15,000 

7 amount in subsection (a)(2) shall each be in8 creased by an amount equal to— 

9 ‘‘(i) such dollar amount, multiplied by 

10 ‘‘(ii) the cost-of-living adjustment de11 termined under section 1(f)(3) for the cal12 endar year in which the taxable year be13 gins, determined by substituting ‘calendar 

14 year 2014’ for ‘calendar year 1992’ in sub15 paragraph (B) thereof. 

16 ‘‘(B) ROUNDING.—Any increase deter17 mined under subparagraph (A) shall be rounded 

18 to the nearest multiple of— 

19 ‘‘(i) in the case of the $2,000 amount, 

20 $50, and 

21 ‘‘(ii) in the case of the $15,000 

22 amount, $100.’’. 

23 (c) EFFECTIVE DATE.—The amendments made by 

24 this section shall apply to taxable years beginning after 

25 December 31, 2015. 


SSpencer on DSK4SPTVN1PROD with BILLS
334 

•HR 2721 IH

1 DIVISION F—MISCELLANEOUS 

2 TITLE XIX—POVERTY IMPACT 

3 TRIGGER 

4 SEC. 1901. CERTAIN POVERTY IMPACT LEGISLATION SUB5 JECT TO POINT OF ORDER. 

6 Rule XXI of the Rules of the House of Representa7 tives is amended by adding at the end the following new 

8 clause: 

9 ‘‘Certain legislation reported by committees 

10 ‘‘12. It shall not be in order to consider a bill or joint 

11 resolution of a public nature authorizing an appropriation 

12 of $10,000,000 or more, unless— 

13 ‘‘(a) the committee report accompanying the bill 

14 or joint resolution includes a CBO Poverty Index Di15 vision impact statement; or 

16 ‘‘(b) the chair of the committee reporting the 

17 bill or joint resolution submits such statement to be 

18 published in the Congressional Record before consid19 eration of the bill or joint resolution.’’. 

20 SEC. 1902. CONGRESSIONAL BUDGET OFFICE POVERTY IM21 PACT DIVISION. 

22 (a) IN GENERAL.—Section 202 of the Congressional 

23 Budget Act of 1974 (2 U.S.C. 602) is amended by adding 

24 at the end the following new subsection: 

25 ‘‘(h) CBO POVERTY IMPACT DIVISION.— 


SSpencer on DSK4SPTVN1PROD with BILLS
335 

•HR 2721 IH

1 ‘‘(1) CREATION.—There is established within 

2 the Office the CBO Poverty Impact Division (herein3 after in this subsection referred to as the ‘Division’). 

4 ‘‘(2) DUTIES AND FUNCTIONS.— 

5 ‘‘(A) PREPARATION AND SUBMISSION OF

6 IMPACT STATEMENT.—When a chair of a com7 mittee of the House of Representatives submits 

8 a written request to the Division to prepare and 

9 submit to the committee a CBO Poverty Index 

10 Division impact statement, the Division shall 

11 prepare and submit such statement to the com12 mittee not later than 30 days after such re13 quest. 

14 ‘‘(B) CONTENT OF IMPACT STATEMENT.— 

15 A CBO Poverty Index Division impact state16 ment shall include the following: 

17 ‘‘(i) A projected ratio equal to the 

18 amount of appropriations authorized in the 

19 bill or joint resolution that will benefit in20 dividuals and families below the poverty 

21 threshold over the total amount of appro22 priations authorized by the bill or joint res23 olution. 

24 ‘‘(ii) A projection of the number of in25 dividual and family incomes— 


SSpencer on DSK4SPTVN1PROD with BILLS
336 

•HR 2721 IH

1 ‘‘(I) that may decrease below the 

2 poverty threshold because of the bill 

3 or joint resolution; and 

4 ‘‘(II) that may increase above the 

5 poverty threshold because of the bill 

6 or joint resolution. 

7 ‘‘(iii) A projection as to how the legis8 lation improves access to basic human 

9 services, including health care, housing, 

10 and education. 

11 ‘‘(C) POVERTY THRESHOLD DEFINED.—In 

12 this subsection, the term ‘poverty threshold’ 

13 means an income level below 200 percent of the 

14 poverty line (as defined in section 673(2) of the 

15 Community Services Block Grant Act).’’. 

16 SEC. 1903. EXERCISE OF RULEMAKING POWERS. 

17 Section 1901 of this title is enacted by the House 

18 of Representatives— 

19 (1) as an exercise of the rulemaking power of 

20 the House of Representatives and as such it shall be 

21 considered as part of the Rules of the House of Rep22 resentatives and such rules shall supersede other 

23 rules only to the extent that they are inconsistent 

24 therewith; and 


SSpencer on DSK4SPTVN1PROD with BILLS
337 

•HR 2721 IH

1 (2) with the full recognition of the constitu2 tional right of the House of Representatives to 

3 change such rules at any time, in the same manner, 

4 and to the same extent as in the case of any other 

5 rule of the House of Representatives. 

6 SEC. 1904. EFFECTIVE DATE. 

7 The amendments made by this title shall apply to any 

8 bill or joint resolution reported by a committee of the 

9 House of Representatives after the 90-day period begin10 ning on the date of enactment of this Act. 

11 TITLE XX—HALF IN TEN ACT TO 

12 CREATE A NATIONAL STRAT13 EGY TO REDUCE POVERTY 

14 SEC. 2001. FINDINGS. 

15 Congress finds the following: 

16 (1) The persistence of poverty, and especially 

17 intergenerational poverty, in America can be seen as 

18 a deep, structural problem that implicates our value 

19 system and our educational and economic institu20 tions. 

21 (2) Poverty may be defined as the lack of basic 

22 necessities of life such as food, shelter, clothing, 

23 health care, education, economic security, and eco24 nomic opportunity. 


SSpencer on DSK4SPTVN1PROD with BILLS
338 

•HR 2721 IH

1 (3) Policy initiatives and many safety net pro2 grams addressing poverty have not kept pace with 

3 the needs of millions of Americans. 

4 (4) The lack of an equitable distribution of 

5 housing choices across the country leads to isolation 

6 and concentrated poverty. 

7 (5) The number of Americans living in poverty 

8 rose by over 2.6 million from 2009 to 2010 (U.S. 

9 Census Bureau, September 2011). 

10 (6) There were 46.2 million Americans living in 

11 poverty in 2010, consisting of 15.1 percent of the 

12 American people (U.S. Census Bureau, September 

13 2011). 

14 (7) Poverty has a disproportionate impact on 

15 minority communities in America with 27.4 percent 

16 of African-Americans, 26.6 percent of Hispanics, 

17 12.1 percent of Asian Americans, and 9.9 percent of 

18 Whites living in poverty in the United States in 

19 2010 (U.S. Census Bureau, September 2011). 

20 (8) In 2010 a family of 4 was considered poor 

21 under the U.S. Census Bureau’s official measure if 

22 the family’s income was below $22,314. 

23 (9) The economic consequences of poverty in 

24 the United States are estimated to be at least $500 


SSpencer on DSK4SPTVN1PROD with BILLS
339 

•HR 2721 IH

1 billion per year (Center for American Progress, 

2 2007). 

3 (10) Children who grow up in poverty experi4 ence higher crime rates, decreased productivity, and 

5 higher health costs over their lives (Center for Amer6 ican Progress, 2007). 

7 (11) 3,500,000 seniors lived in poverty in 2010 

8 (U.S. Census Bureau, 2011). 

9 (12) Young Americans, ages 18–24, experience 

10 a higher poverty rate than the national average 

11 (U.S. Census Bureau, 2011). 

12 (13) 16,400,000 children lived in poverty in 

13 2010—more than one in every five American chil14 dren (U.S. Census Bureau, 2011). 

15 (14) Almost 35 percent of African-American 

16 children and over 30 percent of Hispanic children 

17 lived in poverty in 2009 (U.S. Census Bureau, 

18 2011). 

19 (15) The 46,180,000 of Americans in poverty 

20 in 2010 was the largest number yet recorded in the 

21 52 years for which poverty estimates are available 

22 (U.S. Census Bureau, 2011). 

23 (16) The United States overseas territories 

24 have high levels of poverty and varying access to 

25 Federal anti-poverty programs. Poverty rates in 


SSpencer on DSK4SPTVN1PROD with BILLS
340 

•HR 2721 IH

1 2009 for people over 18 were 41.4 percent in Puerto 

2 Rico, 53.7 percent in Guam, 65.1 percent in the 

3 United States Virgin Islands, 66.6 percent in the 

4 Commonwealth of the Northern Mariana Islands, 

5 and 52.6 percent in American Samoa. 

6 (17) Individuals and families in poverty are 

7 more socially vulnerable to natural disasters, ex8 treme weather and impacts of climate change and 

9 have greater difficulty preparing for, responding to 

10 and recovering from such events (Oxfam America, 

11 2009). 

12 (18) Children who live in families who fall into 

13 poverty for even short periods of time are at greater 

14 risk of a lifetime of lower earnings, lower edu15 cational attainment, and increased reliance on public 

16 services and increased rates of incarceration (First 

17 Focus, 2008). 

18 (19) It is estimated that the additional 3 mil19 lion children who were forced into poverty due to the 

20 recession of 2008, resulted in $35 billion in eco21 nomic losses annually, and will cause at least $1.7 

22 trillion in economic losses to the United States dur23 ing their lifetimes (First Focus, 2008). 

24 (20) Reducing poverty, especially child poverty, 

25 not only reduces costs for Federal, State, and local 


SSpencer on DSK4SPTVN1PROD with BILLS
341 

•HR 2721 IH

1 social services and benefits programs, but also in2 creases tax revenue at all levels of government (Chil3 dren’s Defense Fund, 2009). 

4 (21) The House of Representatives, on January 

5 22, 2008, has resolved that it is the sense of Con6 gress that the United States should set a national 

7 goal of cutting poverty in half over the next 10 

8 years. 

9 SEC. 2002. DEFINITIONS. 

10 In this title: 

11 (1) FEDERAL AGENCY.—The term ‘‘Federal 

12 agency’’ means any executive department, Govern13 ment corporation, Government-controlled corpora14 tion, or other establishment in the executive branch 

15 of the Government (including the Executive Office of 

16 the President), or any independent regulatory agen17 cy. 

18 (2) POVERTY.—The term ‘‘poverty’’ means an 

19 income level and living standard associated with and 

20 based on the official poverty measure as established 

21 and updated by the U.S. Census Bureau which es22 tablishes a threshold of minimum income necessary 

23 to achieve a standard of living free from deprivation 

24 of basic needs. 


SSpencer on DSK4SPTVN1PROD with BILLS
342 

•HR 2721 IH

1 (3) EXTREME POVERTY.—The term ‘‘extreme 

2 poverty’’ means having an income level or living 

3 standard at a level of extreme deprivation based on 

4 living with income below 50 percent of the Federal 

5 poverty line as established by the U.S. Census. 

6 (4) NEAR POVERTY.—The term ‘‘near poverty’’ 

7 means having a level of household income below 200 

8 percent of the Federal poverty line. 

9 (5) CHILD POVERTY.—The term ‘‘child pov10 erty’’ means poverty which impacts those persons 

11 under 18 years of age. 

12 (6) DEPRIVATION.—The term ‘‘deprivation’’ 

13 means lacking some or all basic human needs. 

14 (7) DECENT LIVING STANDARD.—The term 

15 ‘‘decent living standard’’ means the amount of an16 nual income that would allow an individual to live 

17 beyond deprivation at a safe and decent, but modest, 

18 standard of living. 

19 (8) ALTERNATIVE POVERTY MEASURES.—The 

20 term ‘‘alternative poverty measures’’ means meas21 ures and indicators, other than the traditional in22 come based measure of poverty, which can provide a 

23 more detailed picture of the low-income and poverty 

24 stricken populations, such as the number of people 

25 who were kept above poverty by Government supVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00342 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
343 

•HR 2721 IH

1 ports, the number of people who are poor due to 

2 medical expenses, child care, and work expenses, the 

3 rates of food insecurity, the number of people who 

4 are asset poor (with less than three months of in5 come saved), the number of disconnected youth, teen 

6 birth rates, participation rates in Federal anti-pov7 erty programs for all eligible populations, and the 

8 number of people who are unbanked. 

9 (9) REGIONAL COSTS OF LIVING.—The term 

10 ‘‘regional costs of living’’ means a measure of the 

11 differing costs of maintaining a given living standard 

12 in varying regional, geographic, urban or rural re13 gions. 

14 (10) ECONOMIC INSECURITY.—The term ‘‘eco15 nomic insecurity’’ means the inability of individuals 

16 and households to cope with routine adverse or cost17 ly life events and the lack of means to maintain a 

18 decent standard of living and to recover from the 

19 costly consequences of those events. 

20 (11) ECONOMIC STABILITY.—The term ‘‘eco21 nomic stability’’ means individuals and households 

22 have access to the means and support systems nec23 essary to effectively cope with adverse or costly life 

24 events and have the ability to effectively recover 

25 from the consequences of those events while mainVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00343 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
344 

•HR 2721 IH

1 taining their standard of living or maintaining a de2 cent standard of living. 

3 (12) DIGITAL DIVIDE.—The term ‘‘digital di4 vide’’ means the gap between individuals, house5 holds, businesses and geographic areas at different 

6 socio-economic levels with regard to both their access 

7 information and communications technologies and 

8 including the imbalance both in physical access to 

9 technology and the resources, education and skills 

10 needed to effectively use computer technology and 

11 the Internet for a wide variety of activities. 

12 (13) OUTCOMES.—The term ‘‘outcomes’’ means 

13 change in the economic status, economic instability 

14 or economic security of an individual, household or 

15 other population which is attributable to a planned 

16 intervention, benefit, or service or series of interven17 tions, benefits, and services, regardless of whether 

18 such an intervention was intended to change such 

19 economic status. 

20 (14) DISPARATE IMPACT.—The term ‘‘disparate 

21 impact’’ refers to the historic and ongoing impacts 

22 of the pattern and practice of discrimination in em23 ployment, education, housing, banking and nearly 

24 every other aspect of American life in the economy, 

25 society or culture that have an adverse impact on 


SSpencer on DSK4SPTVN1PROD with BILLS
345 

•HR 2721 IH

1 minorities, women, or other protected groups, re2 gardless of whether such practices were motivated by 

3 discriminatory intent. 

4 SEC. 2003. ESTABLISHMENT OF THE FEDERAL INTER5 AGENCY WORKING GROUP ON REDUCING 

6 POVERTY. 

7 (a) ESTABLISHMENT OF FEDERAL INTERAGENCY

8 WORKING GROUP ON REDUCING POVERTY.—There is es9 tablished within the Department of Health and Human 

10 Services, a Federal Interagency Working Group on Reduc11 ing Poverty, which shall be chaired by the Secretary of 

12 Health and Human Services, and whose members shall be 

13 selected by their respective agency heads from the senior 

14 ranks of their agencies, which shall— 

15 (1) develop, within 180 days of enactment, a 

16 National Strategy to reduce the number of persons 

17 living in poverty in America in half within 10 years 

18 of the release of the 2012 Census report on Income, 

19 Poverty and Health Insurance Coverage in the 

20 United States: 2011, that includes goals and objec21 tives relating to— 

22 (A) reducing in half the number of Ameri23 cans living in poverty as reported by the 2012 

24 Census report on Income, Poverty and Health 

25 Insurance Coverage in the United States: 2011; 


SSpencer on DSK4SPTVN1PROD with BILLS
346 

•HR 2721 IH

1 (B) eliminating child poverty in America; 

2 (C) eliminating extreme poverty in Amer3 ica; 

4 (D) improving the effectiveness and out5 comes of poverty-related programs by improving 

6 our understanding of the root causes of poverty, 

7 the social, economic, and the cultural contribu8 tors to persistent intergenerational poverty; 

9 (E) improving the measure of poverty to 

10 include more indicators and measures that can 

11 meaningfully account for other aspects relating 

12 to the measure of poverty, such as regional dif13 ferences in costs of living, the impact of rising 

14 income inequality, the impact of the persistent 

15 ‘‘digital divide’’, expanding the understanding 

16 of poverty by distinguishing a standard that 

17 measures a level of freedom from deprivation 

18 versus a standard that measures a standard of 

19 economic adequacy provided by a living wage 

20 and access to a decent living standard, and the 

21 impact of poverty on other measures of eco22 nomic stability and economic outcomes, such as 

23 educational attainment, rates of incarceration, 

24 lifetime earnings, access to health care, health 

25 care outcomes, access to housing, and including 


SSpencer on DSK4SPTVN1PROD with BILLS
347 

•HR 2721 IH

1 other measures as necessary to improve our un2 derstanding of why poverty persists in America; 

3 (F) eliminating the disparate rates of pov4 erty based on race, ethnicity, gender, age, or 

5 sexual orientation and identity, especially 

6 among children in those households so im7 pacted; 

8 (G) measuring effectiveness of poverty re9 lated programs on the basis of long-term out10 comes, including the long-term savings and 

11 value of preventive practice and policy, and em12 ploying fact-based measures of programs to 

13 make improvements; 

14 (H) improving the accessibility of benefit 

15 and social services programs, reducing the com16 plexity and difficulty of enrollment, and improv17 ing the rates of enrollment in need based pro18 grams for all eligible recipients to maximize the 

19 impact of benefits and social services programs 

20 on reducing the impacts of poverty and improv21 ing economic outcomes; 

22 (I) making more uniform eligibility re23 quirements to improve the coordination of serv24 ice delivery, reduce gaps in eligibility, and imVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00347 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
348 

•HR 2721 IH

1 prove outcomes of programs addressing poverty 

2 in the Federal Government; 

3 (J) reducing the negative impacts of asset 

4 limits for eligibility which impact Federal, State 

5 and local poverty programs on the effectiveness 

6 of programs where limited eligibility creates 

7 gaps in necessary service and benefit delivery, 

8 and restricts access to benefits as individuals 

9 and families attempt to transition off of assist10 ance programs and which can prevent needy 

11 beneficiaries from improving long-term out12 comes and achieving long-term economic inde13 pendence from need-based programs; 

14 (K) identifying Federal programs, includ15 ing those related to disaster relief, hazard miti16 gation, extreme weather and climate change, 

17 and necessary reforms to better target re18 sources towards disproportionately impacted so19 cially vulnerable, low-income and disadvantaged 

20 communities may provide greater socio-eco21 nomic benefits; 

22 (L) improving the ability of community23 based organizations to participate in the devel24 opment, oversight and implementation of Fed25 eral poverty-related programs; 


SSpencer on DSK4SPTVN1PROD with BILLS
349 

•HR 2721 IH

1 (M) improving access to good jobs with 

2 adequate wages and benefits by individuals liv3 ing in poverty, low-income households, and the 

4 unemployed; 

5 (N) expanding and stabilizing poor and 

6 low-income persons connection to work and ac7 cess to critical job training and/or skills up8 grade training that will lead to re-entry in the 

9 workforce; 

10 (O) developing a comprehensive strategy to 

11 connect low-income young people and to re-con12 nect currently disconnected youth to education, 

13 work, and their community; and 

14 (P) shifting the focus of poverty and 

15 means-tested programs across the Federal Gov16 ernment beyond the relief of deprivation and in17 stead setting goals, measures, and outcomes 

18 more focused on measuring the success of pro19 grams in supporting and improving how capable 

20 individuals and families can access educational 

21 and economic opportunities to successfully tran22 sition away from accessing public assistance 

23 and benefits and achieving long-term economic 

24 stability which will reduce long-term costs in 

25 domestic social needs programs, reduce longVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00349 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
350 

•HR 2721 IH

1 term health care costs due to the improved 

2 health of formerly poverty stricken households, 

3 increase the number of taxpaying individuals 

4 which will increase revenue, and lower the en5 rollment and costs in need based benefits and 

6 services programs, thus improving the economy 

7 and reducing long-term deficits for Federal, 

8 State, and local governments; 

9 (2) oversee, coordinate, and integrate all poli10 cies and activities of the Federal Government, in co11 ordination and consultation with the Domestic Pol12 icy Council and the National Economic Council, 

13 across all agencies relating to reducing the number 

14 of individuals, families, and children living below the 

15 Federal poverty line, in extreme poverty or near pov16 erty and increasing the number of households able 

17 to achieve long-term economic stability with assets 

18 sufficient to maintain a decent living standard with19 out relying on public supports— 

20 (A) economic, commercial, and pro21 grammatic policies that can effect or relieve the 

22 effects of poverty through job creation, and eco23 nomic development targeted to low-income, mi24 nority, rural, urban and other populations who 


SSpencer on DSK4SPTVN1PROD with BILLS
351 

•HR 2721 IH

1 suffer disparate rates of poverty, among Fed2 eral agencies; and 

3 (B) services and benefits including emer4 gency programs, discretionary economic pro5 grams, and other policies and activities nec6 essary to ensure that the Federal Government 

7 is able to mount effective responses to economic 

8 downturns and increases in the rates of poverty; 

9 (3) ensure that all relevant Federal agencies 

10 comply with appropriate guidelines, policies, and di11 rectives from the Federal Interagency Working 

12 Group on Reducing Poverty and the Department of 

13 Health and Human Services and other Federal 

14 agencies with responsibilities relating to poverty re15 duction or improving economic stability and inde16 pendence; 

17 (4) ensure that Federal agencies, State govern18 ments and relevant congressional committees have 

19 access to, receive, and appropriately disseminate best 

20 practices in the administration of programs, have 

21 adequate resources to maximize the public awareness 

22 of programs, increase the reach of those programs, 

23 especially into historically disenfranchised commu24 nities, maximize enrollment for all eligible Ameri25 cans, share relevant data, and issue relevant guidVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00351 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
352 

•HR 2721 IH

1 ance in consultation with non-government organiza2 tions and policy experts in the field and State and 

3 local government officials who administer or direct 

4 policy for anti-poverty programs in increasing and 

5 maximizing the enrollment into and administration 

6 of programs and services designed to alleviate pov7 erty; 

8 (5) enact best practices for improved data col9 lection, relevant to— 

10 (A) reducing poverty; 

11 (B) reducing the racial, ethnic, age, gen12 der, and sexual orientation or sexual identity 

13 based disparities in the rates of poverty; 

14 (C) adequately measuring the effectiveness, 

15 efficiency and impact of programs on the out16 comes for individuals, families and communities 

17 who receive benefits and services; 

18 (D) streamlining enrollment and eligibility 

19 for programs; 

20 (E) improving long-term outcomes for indi21 viduals who are enrolled in service and benefit 

22 programs; 

23 (F) reducing reliance on public programs; 

24 (G) improving connections to work; 

25 (H) improving economic stability; 


SSpencer on DSK4SPTVN1PROD with BILLS
353 

•HR 2721 IH

1 (I) improving savings and investment, ac2 cess to capital, increasing rates of entrepreneur3 ship; 

4 (J) improving our understanding of the 

5 impact of extreme weather and natural disas6 ters on economically vulnerable communities 

7 and improving those communities’ resilience to 

8 and recovery from extreme weather and natural 

9 disasters; 

10 (K) improving access to living wage em11 ployment; and 

12 (L) improving access to employment-based 

13 benefits; and 

14 (6) study the feasibility of and test different 

15 interagency, State and local, public/private models of 

16 cooperative service and benefit delivery by creating 

17 necessary exemptions, waivers and funding sources 

18 to allow improved cooperation and innovation in the 

19 development of programs, practices, policies and pro20 cedures that advance the goal of reducing poverty 

21 and increasing economic opportunity. 

22 (b) DIRECTOR OF NATIONAL POVERTY POLICY.— 

23 There shall be a Staff Director of National Poverty Policy, 

24 who shall be the head of the Federal Interagency Working 

25 Group on Reducing Poverty. 


SSpencer on DSK4SPTVN1PROD with BILLS
354 

•HR 2721 IH

1 SEC. 2004. APPOINTMENT AND RESPONSIBILITIES OF THE 

2 DIRECTOR. 

3 (a) APPOINTMENT.— 

4 (1) IN GENERAL.—The Staff Director shall be 

5 appointed by the Secretary of Housing and Urban 

6 Development. 

7 (2) QUALIFICATIONS.—The Secretary shall ap8 point the Staff Director from among individuals who 

9 have demonstrated ability and knowledge in social 

10 policy, improving outcome based management, issues 

11 of equity and equal opportunity and access to serv12 ices and economic opportunity. 

13 (b) RESPONSIBILITIES.—The Staff Director shall— 

14 (1) advise the Secretary and all relevant cabinet 

15 secretaries, and agency officials regarding the estab16 lishment of policies, goals, objectives, and priorities 

17 for reducing poverty in America in half in ten years, 

18 ending child poverty, ending extreme poverty and 

19 eliminating racial, ethnic, gender, and sexual iden20 tity and orientation based disparities in the rates of 

21 poverty; 

22 (2) advise the Secretary, when directed by the 

23 Secretary, advise relevant cabinet secretaries, heads 

24 of independent Federal agencies and other entities 

25 within the Executive Office of the President regard26 ing mechanisms to improve the effectiveness, coordiVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00354 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
355 

•HR 2721 IH

1 nation, impact, and outcomes of social services, ben2 efits, and other poverty reduction and economic op3 portunity programs, in collaboration with experts in 

4 the field, non-governmental organizations, and other 

5 governments; 

6 (3) work with Federal agencies to oversee, co7 ordinate, and integrate the implementation of the 

8 National Plan or Strategy, including consultation 

9 with independent non-governmental policy experts 

10 and service provider groups engaged in serving low11 income persons, children and households, State and 

12 local government officials who administer or direct 

13 policy for anti-poverty programs, and with as many 

14 groups that directly represent low-income people, 

15 such as public housing tenants’ associations, or 

16 other similar groups; and 

17 (4) resolve any disputes that arise between Fed18 eral agencies relating to the National Plan to reduce 

19 poverty in half in ten years or other matters within 

20 the responsibility of the Office. 

21 SEC. 2005. CONSULTATION. 

22 (a) IN GENERAL.—The Director may consult and ob23 tain recommendations from, as needed, such Presidential 

24 and other advisory entities such as consultation with inde25 pendent non-governmental policy experts and service proVerDate Sep 11 2014 03:50 Jun 13, 2015 Jkt 049200 PO 00000 Frm 00355 Fmt 6652 Sfmt 6201 E:\BILLS\H2721.IH H2721

SSpencer on DSK4SPTVN1PROD with BILLS
356 

•HR 2721 IH

1 vider groups engaged in serving low-income persons, chil2 dren, and households; State and local government officials 

3 who administer or direct policy for anti-poverty programs, 

4 and groups made up of low-income people, such as public 

5 housing tenants’ associations, or other similar groups as 

6 the Director determines will assist in carrying out the mis7 sion of the Office, including, but not limited to— 

8 (1) the Administration for Children and Fami9 lies (ACF); 

10 (2) the Administration on Aging (AoA); 

11 (3) the Department of Agriculture (USDA); 

12 (4) the Bankruptcy Courts; 

13 (5) the Bureau of Consumer Financial Protec14 tion; 

15 (6) the Bureau of Economic Analysis (BEA); 

16 (7) the Bureau of Indian Affairs (BIA); 

17 (8) the Bureau of the Census; 

18 (9) the Center for Nutrition Policy and Pro19 motion; 

20 (10) the Centers for Medicare & Medicaid Serv21 ices (formerly the Health Care Financing Adminis22 tration); 

23 (11) the Commission on Civil Rights; 

24 (12) the Office of Community Planning and 

25 Development; 


SSpencer on DSK4SPTVN1PROD with BILLS
357 

•HR 2721 IH

1 (13) the Consumer Financial Protection Bu2 reau; 

3 (14) the Coordinating Council on Juvenile Jus4 tice and Delinquency Prevention; 

5 (15) the Corporation for National and Commu6 nity Service; 

7 (16) the Council of Economic Advisers; 

8 (17) the Department of Agriculture (USDA); 

9 (18) the Department of Commerce (DOC); 

10 (19) the Department of Defense (DOD); 

11 (20) the Department of Education (ED); 

12 (21) the Department of Health and Human 

13 Services (HHS); 

14 (22) the Department of Housing and Urban 

15 Development (HUD); 

16 (23) the Department of Justice (DOJ); 

17 (24) the Department of Labor (DOL); 

18 (25) the Department of the Treasury; 

19 (26) the Department of Transportation (DOT); 

20 (27) the Department of Veterans Affairs (VA); 

21 (28) the Disability Employment Policy Office; 

22 (29) the Domestic Policy Council; 

23 (30) the Drug Enforcement Administration 

24 (DEA); 


SSpencer on DSK4SPTVN1PROD with BILLS
358 

•HR 2721 IH

1 (31) the Economic Development Administra2 tion; 

3 (32) the Economic Research Service; 

4 (33) the English Language Acquisition Office; 

5 (34) the Equal Employment Opportunity Com6 mission (EEOC); 

7 (35) the Fair Housing and Equal Opportunity; 

8 (36) the Federal Bureau of Prisons; 

9 (37) the Federal Housing Finance Board; 

10 (38) the Federal Labor Relations Authority; 

11 (39) the Federal Trade Commission (FTC); 

12 (40) the Food and Nutrition Service; 

13 (41) the Indian Health Service; 

14 (42) the Interagency Council on Homelessness; 

15 (43) the Internal Revenue Service (IRS); 

16 (44) the Legal Services Corporation; 

17 (45) the National AIDS Policy Office; 

18 (46) the National Credit Union Administration; 

19 (47) the National Economic Council; 

20 (48) the National Institutes of Health (NIH); 

21 (49) the National Labor Relations Board; 

22 (50) the Occupational Safety & Health Admin23 istration (OSHA); 

24 (51) the Office of Management and Budget 

25 (OMB); 


SSpencer on DSK4SPTVN1PROD with BILLS
359 

•HR 2721 IH

1 (52) the Office of Refugee Resettlement; 

2 (53) the Office of Policy Development and Re3 search (Housing and Urban Development Depart4 ment); 

5 (54) the Small Business Administration (SBA); 

6 (55) the Social Security Administration (SSA); 

7 (56) the Substance Abuse and Mental Health 

8 Services Administration; 

9 (57) the Veterans’ Employment and Training 

10 Service; and 

11 (58) the Women’s Bureau (Labor Department). 

12 (b) NATIONAL STRATEGY.—In developing and updat13 ing the National Strategy the Executive Director shall 

14 consult with the Domestic Policy Council, the National 

15 Economic Council, and, as appropriate, hold regional pub16 lic hearings around the country to collect information and 

17 feedback from the public on their efforts and experience 

18 for the development and updating of the National Strategy 

19 and make this information available to the public. 

20 SEC. 2006. REPORTS TO CONGRESS AND THE PUBLIC. 

21 (a) IN GENERAL.—The Chair of the Federal Inter22 agency Working Group on Reducing Poverty shall submit 

23 an annual report to the appropriate congressional commit24 tees describing the activities, ongoing projects, and plans 

25 of the Federal Government designed to meet the goals and 


SSpencer on DSK4SPTVN1PROD with BILLS
360 

•HR 2721 IH

1 objectives of the National Strategy on Poverty. The report 

2 shall include an accounting of the savings to the Govern3 ment from any increased efficiencies in the delivery of 

4 services, any savings from reducing the numbers of Ameri5 cans living in poverty and reductions in the demand for 

6 need-based services and benefits for which persons living 

7 in and near poverty are eligible, as well as an accounting 

8 of any increase in revenue collections due to the numbers 

9 of persons who become gainfully employed and pay taxes 

10 into the Treasury instead of drawing benefits and services 

11 from it. 

12 (b) NATIONAL ACADEMY OF SCIENCES WORK13 SHOP.—Within 90 days after funds are made available to 

14 carry out this title, the Secretary of Health and Human 

15 Services shall contract with the National Academy of 

16 Sciences (hereinafter in this subsection referred to as the 

17 ‘‘NAS’’) to initiate a workshop series to provide necessary 

18 background information to enable the Working Group on 

19 Reducing Poverty to develop and finalize its plan. 

20 (1) The NAS shall convene a steering com21 mittee to organize, plan, and conduct a public work22 shop on what is known about the economic and so23 cial costs of poverty, including, but not limited to 

24 the following: 


SSpencer on DSK4SPTVN1PROD with BILLS
361 

•HR 2721 IH

1 (A) Macroeconomic costs (effects on pro2 ductivity and economic output). 

3 (B) Health costs (effects on health expend4 itures and health status). 

5 (C) Crime and other social costs. 

6 (D) Direct Federal budget effects (e.g., 

7 outlays for income support and other poverty 

8 reduction programs). 

9 (E) Natural disaster related risks and 

10 costs. 

11 (F) The workshop shall also consider pov12 erty metrics (e.g., income poverty, food insecu13 rity, and other measures of deprivation), and 

14 their role in assessing the effects of poverty and 

15 the performance of anti-poverty programs. 

16 The NAS shall commission experts to prepare pa17 pers that summarize and critique the relevant lit18 erature estimating monetary and non-monetary eco19 nomic and social impacts of poverty. A workshop 

20 summary shall be produced that, along with the pa21 pers, shall be available electronically on the NAS 

22 website. This workshop shall be convened within 6 

23 months of receipt of a contract, the papers posted 

24 immediately, and the summary released by the end 

25 of month. 


SSpencer on DSK4SPTVN1PROD with BILLS
362 

•HR 2721 IH

1 (2) The NAS steering committee shall organize, 

2 plan, and conduct a second public workshop on what 

3 is known about the economic and social costs and 

4 benefits of a variety of programs and strategies to 

5 reduce and prevent poverty. It shall take account of 

6 such issues as the following: 

7 (A) Short-term versus long-term effects, 

8 including budget implications. 

9 (B) Effects for different population 

10 groups, such as children, the elderly, immi11 grants, long-term single-parent families, dis12 placed older workers, young people with large 

13 loans, people in areas of concentrated poverty 

14 and other social ills (e.g., Indian reservations, 

15 some inner city areas, some rural areas). 

16 (C) Effects by depth of poverty and near17 poverty (e.g., income to poverty ratios of less 

18 than 50 percent, less than 100 percent, less 

19 than 200 percent). 

20 This second workshop shall be convened within 9 

21 months of receipt of a contract, the papers posted 

22 immediately, and a summary released by the end of 

23 month 12. 


SSpencer on DSK4SPTVN1PROD with BILLS
363 

•HR 2721 IH

1 (c) REPORT.—The relevant sections of the report 

2 shall be posted on each agency’s website on the plans and 

3 impacts specific to their agency. 

4 (d) PUBLIC REPORT.—A version of each report sub5 mitted under this section shall be made available to the 

6 public. 

7 (e) LEGISLATIVE LANGUAGE.—The Working Group 

8 on Reducing Poverty shall submit, as necessary, legislative 

9 language, including specific legislative recommendations to 

10 the Congress of the United States towards achieving the 

11 national goals. 

Æ 


SSpencer on DSK4SPTVN1PROD with BILLS