I 

116TH CONGRESS 

1ST SESSION H. R. 4278 

To require the Secretary of Labor to establish a pilot program to provide 

grants for job guarantee programs. 

IN THE HOUSE OF REPRESENTATIVES 

SEPTEMBER 10, 2019 

Mrs. WATSON COLEMAN (for herself, Ms. OMAR, Mr. KHANNA, Mr. SERRANO, 

Mr. THOMPSON of Mississippi, Mr. PALLONE, Ms. NORTON, Mr. PAYNE, 

Ms. KELLY of Illinois, Ms. LEE of California, Mr. DESAULNIER, Mr. 

POCAN, Ms. WILSON of Florida, Ms. JAYAPAL, Ms. BARRAGA ́N, Ms. 

CLARKE of New York, Mr. RUSH, Ms. SCHAKOWSKY, Ms. TLAIB, Mr. 

EVANS, Mr. CLEAVER, Mr. CUMMINGS, and Mrs. LAWRENCE) introduced 

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

Labor, and in addition to the Committee on Ways and Means, 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 require the Secretary of Labor to establish a pilot 

program to provide grants for job guarantee programs. 

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

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘Federal Jobs Guar5 antee Development Act of 2019’’. 


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1 SEC. 2. JOB GUARANTEE PILOT PROGRAM. 

2 (a) DEFINITIONS.—In this section: 

3 (1) ELIGIBLE ENTITY.—The term ‘‘eligible enti4 ty’’ means an entity that— 

5 (A) is a political subdivision of a State, 

6 Tribal entity, or a combination of contiguous 

7 political subdivisions or Tribal entities; 

8 (B) has an unemployment rate that is not 

9 less than 150 percent of the national unemploy10 ment rate, as determined by the Bureau of 

11 Labor Statistics (except in the case of Tribal 

12 entities which may submit their own employ13 ment data where no such Federal data is avail14 able for such entities) based on the most recent 

15 data available at the time the Secretary solicits 

16 applications for grants under this section; and 

17 (C) submits an application in accordance 

18 with subsection (d). 

19 (2) JOB GUARANTEE PROGRAM.—The term 

20 ‘‘job guarantee program’’ means a program that 

21 meets the requirements of subsection (c). 

22 (3) RURAL AREA.—The term ‘‘rural area’’ 

23 means an area that is located outside of an urban 

24 area. 

25 (4) TRIBAL ENTITY.—The term ‘‘Tribal entity’’ 

26 means an Indian tribe or tribal organization as such 


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1 terms are defined in section 4 of the Indian Self-De2 termination Act (25 U.S.C. 5304). 

3 (5) URBAN AREA.—The term ‘‘urban area’’ 

4 means an urbanized area (a region of 50,000 or 

5 more residents) and an urbanized cluster (and area 

6 encompassing between 2,500 and 50,000 residents), 

7 according to the Census Bureau’s urban-rural classi8 fication in the 2010 census. 

9 (6) SECRETARY.—The term ‘‘Secretary’’ means 

10 the Secretary of Labor. 

11 (7) WIOA DEFINITIONS.—The terms ‘‘adult 

12 education and literacy activities’’, ‘‘career planning’’, 

13 ‘‘individual with a barrier to employment’’, ‘‘in-de14 mand industry sector or occupation’’, ‘‘local board’’, 

15 ‘‘recognized postsecondary credential’’, ‘‘State 

16 board’’, ‘‘supportive services’’, and ‘‘workplace learn17 ing advisor’’ have the meanings given such terms in 

18 section 3 of the Workforce Innovation and Oppor19 tunity Act (29 U.S.C. 3102). 

20 (b) ESTABLISHMENT.— 

21 (1) IN GENERAL.—The Secretary shall establish 

22 a pilot program to provide competitive grants to eli23 gible entities to establish programs to ensure that 

24 any individual within the area served by the entity 

25 who applies for a job through the program will be 


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1 provided with employment as provided for in this 

2 section. 

3 (2) TERMINATION.—Federal funding for a job 

4 guarantee program established under a grant under 

5 this section shall terminate on the earlier of— 

6 (A) the end of the 3-year period beginning 

7 on the date of the grant; or 

8 (B) the date of any revocation of the 

9 grantee as an eligible entity. 

10 (c) JOB GUARANTEE PROGRAMS.—A job guarantee 

11 program meets the requirements of this subsection if the 

12 jobs provided under such program— 

13 (1) are available to all individuals who— 

14 (A) are 18 years of age or older; and 

15 (B) reside in the area served under the 

16 program at the time the area became an eligible 

17 entity; 

18 except that participants in the program may be dis19 ciplined, released, or suspended from further partici20 pation in jobs under this program if they are found 

21 to be negligent, or generally disruptive to the work22 place involved under procedures established by the 

23 Secretary that provide for an opportunity for a re24 view of such determinations; 


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1 (2) are, with respect to individual participants, 

2 included as part of an established bargaining unit 

3 and covered by any applicable collective bargaining 

4 agreement in effect if similarly situated employees 

5 are part of such unit and represented by an exclu6 sive bargaining representative; 

7 (3) are available for the duration of the pilot 

8 program; 

9 (4) provide a wage of not less than the greater 

10 of— 

11 (A) the hourly wage provided for under the 

12 provisions of S. 150 (116th Congress), if en13 acted, or the hourly wage otherwise required to 

14 be paid to employees in area to be served under 

15 the pilot program, whichever is greater; 

16 (B) the prevailing wage in the area in17 volved for a similar job as required by chapter 

18 67 of title 41, United States Code, and other 

19 related laws; or 

20 (C) the applicable wage under an applica21 ble collective bargaining agreement as provided 

22 for under paragraph (2); 

23 (5) provide for coverage of the worker under a 

24 health insurance program that is comparable to that 


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1 offered to Federal employees under the Federal Em2 ployee Health Benefits Program; and 

3 (6) provide at a minimum— 

4 (A) paid family leave consistent with the 

5 provisions of S. 463 (116th Congress) and ap6 plicable State law; and 

7 (B) paid sick leave consistent with the pro8 vision of S. 840 (116th Congress) and applica9 ble State law. 

10 (d) OTHER USES.—Funds may be used to provide 

11 workers in a job guarantee program with— 

12 (1) supportive services, which can include trans13 portation, child care, dependent care, housing, and 

14 needs-related payments, that are necessary to enable 

15 an individual to participate in activities authorized 

16 under this Act; 

17 (2) access to a workplace learning advisor to 

18 support the education, skill development, job train19 ing, career panning, and credentials required to 

20 progress toward career goals of such employees in 

21 order to meet employer requirements related to job 

22 openings and career advancements that support eco23 nomic self-sufficiency; 

24 (3) adult education and literacy activities, in25 cluding those provided by public libraries; 


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1 (4) activities that assist justice involved individ2 uals, formerly incarcerated individuals, and individ3 uals with criminal records in reentering the work4 force; and 

5 (5) financial literacy activities including those 

6 described in section 129(b)(2)(D) of the Workforce 

7 Innovation and Opportunity Act. 

8 (e) APPLICATIONS.—An eligible entity seeking a 

9 grant under this section shall submit an application to the 

10 Secretary at such time, in such manner, and containing 

11 such information as the Secretary may require. Such ap12 plication shall include— 

13 (1) a description of the geographic area and 

14 population that the entity intends to serve under the 

15 job guarantee program established under the grant, 

16 including the area unemployment rate, underemploy17 ment rate, unemployment rate for individuals with 

18 disabilities, poverty rate, housing vacancy rate, crime 

19 rate, household income, home-ownership rate, labor 

20 force participation rate, and educational attainment; 

21 (2) to extent practicable, a description of the 

22 jobs that will be offered under the job guarantee 

23 program, including— 

24 (A) a description of supports provided to 

25 individuals with disabilities and accommodaVerDate Sep 11 2014 22:23 Sep 11, 2019 Jkt 089200 PO 00000 Frm 00007 Fmt 6652 Sfmt 6201 E:\BILLS\H4278.IH H4278

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1 tions required under the Americans with Dis2 abilities Act of 1990 (42 U.S.C. 12101 et seq.); 

3 and 

4 (B) a description of supports and proce5 dures to ensure job access and opportunities for 

6 individuals with criminal records, including in7 formation on physical and programmatic acces8 sibility, in accordance with section 188 of the 

9 Workforce Innovation and Opportunity Act, if 

10 applicable, and the Americans with Disabilities 

11 Act of 1990, for individuals with disabilities; 

12 (3) the need in the area for jobs to be per13 formed, including for jobs designated as a high-skill, 

14 high-wage or in-demand industry sector or occupa15 tion by the Secretary, State board, or local board; 

16 (4) a description of State, local, or philan17 thropic funding, including through coordination and 

18 in-kind or non-financial support, if any, that will be 

19 provided to assist in carrying out the job guarantee 

20 program; 

21 (5) an assurance that the eligible entity will es22 tablish— 

23 (A) a public internet website, in conjunc24 tion with the Secretary, to post all available 

25 jobs under the job guarantee program; and 


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1 (B) a process for individuals to apply for 

2 such jobs; 

3 (6) a comprehensive plan to describe how the 

4 funding under the program will leverage existing or 

5 anticipated local, State, and Federal funding; 

6 (7) an assurance that necessary administrative 

7 data systems and information technology infrastruc8 ture are available, or will be available, to provide for 

9 full participation in the evaluation under subsection 

10 (k); 

11 (8) a description of how the eligible entity will 

12 comply with the requirements described in sub13 section (c)(6); 

14 (9) an assurance that the entity will enter into 

15 an allocation agreement with the Secretary under 

16 subsection (j)(2)(A); and 

17 (10) an assurance that energy and infrastruc18 ture jobs provided under the program will not exac19 erbate the impacts of climate change. 

20 (f) SELECTION.—The Secretary, after reviewing ap21 plications from eligible entities, shall award grants under 

22 this section to not more than 15 such eligible entities. In 

23 awarding such grants, the Secretary shall consider diver24 sity in geographic location, urban-rural composition, and 


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1 political entity, including the representation of Tribal enti2 ties. 

3 (g) AMOUNT OF GRANT.— 

4 (1) ESTABLISHMENT OF FUND.—There is es5 tablished in the Treasury of the United States a sep6 arate account to be known as the ‘‘Job Guarantee 

7 Program Trust Fund’’ (referred to in this section as 

8 the ‘‘Fund’’), consisting of— 

9 (A) amounts deposited in the Fund under 

10 subsection (l); and 

11 (B) any interest earned on investment of 

12 amounts in the Fund. 

13 (2) USE OF AMOUNTS.—The Secretary shall use 

14 amounts in the Fund to make payments to grantees 

15 under grants under this section in accordance with 

16 paragraph (3). 

17 (3) PAYMENTS.— 

18 (A) IN GENERAL.—The Secretary shall de19 termine the annual amount of a grant under 

20 this section based on a formula to be developed 

21 by the Secretary. 

22 (B) PAYMENTS.—The Secretary shall 

23 make payments to grantees under this section 

24 in a manner determined appropriate by the Sec25 retary. The Secretary shall not make subseVerDate Sep 11 2014 22:23 Sep 11, 2019 Jkt 089200 PO 00000 Frm 00010 Fmt 6652 Sfmt 6201 E:\BILLS\H4278.IH H4278

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1 quent payments to a grantee after the initial 

2 payment until the grantee certifies to the Sec3 retary that the grantee has expended, trans4 ferred, or obligated not less than 80 percent of 

5 the most recent payment made under this sub6 section. 

7 (h) LIMITATIONS.—An eligible entity may not use 

8 amounts received under a grant under this section to— 

9 (1) employ individuals who will replace, or lead 

10 to the displacement of, existing employees, positions, 

11 or individuals who would otherwise perform similar 

12 employment, or disrupt existing contracts and collec13 tive bargaining agreements, as defined in section 

14 181(b) of the Workforce Innovation and Opportunity 

15 Act (Public Law 113–128); 

16 (2) perform functions otherwise prohibited by 

17 Federal, State, or local laws; and 

18 (3) carry out other prohibited activities, as de19 termined by the Secretary. 

20 (i) FEDERAL PROVISION OF JOBS IN PILOT SITES.— 

21 (1) GUIDANCE.—Not later than 30 days after 

22 the date on which the Secretary awards the first 

23 grant under this section, the Secretary shall— 

24 (A) provide guidance to the heads of ap25 propriate Federal agencies to notify such agenVerDate Sep 11 2014 22:23 Sep 11, 2019 Jkt 089200 PO 00000 Frm 00011 Fmt 6652 Sfmt 6201 E:\BILLS\H4278.IH H4278

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1 cies of job guarantee programs established 

2 under such grants; and 

3 (B) request that such agencies notify the 

4 Secretary, within 30 days of the date on which 

5 the guidance is received under paragraph (1), 

6 of the number and types of jobs that such agen7 cy would make available through each of the 

8 programs. 

9 (2) APPLICATION OF PROVISIONS.—The re10 quirements of subsection (c) relating to wages and 

11 benefits provided to participants in jobs provided 

12 under job guarantee programs, and the limitations 

13 in subsection (h), shall apply to Federal agencies 

14 and jobs provided under this subsection, except that 

15 a Federal agency shall employ each individual under 

16 this subsection for up to three years. 

17 (3) LISTING OF JOBS ON WEBSITE.—The Sec18 retary shall establish procedures to ensure that jobs 

19 identified under paragraph (1)(B) are listed on the 

20 appropriate public internet website as provided for 

21 under subsection (e)(5)(A). 

22 (4) REIMBURSEMENT.—At the end of each fis23 cal year, the Secretary shall transfer from the Fund 

24 to each Federal agency that employs individuals 

25 under a job guarantee program under this section, 


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1 an amount necessary to reimburse such agency for 

2 the full cost of employing each such individual dur3 ing such fiscal year. 

4 (j) TRAINING.— 

5 (1) IN GENERAL.—The Secretary shall develop 

6 procedures to support up to 8 weeks of paid training 

7 (through privately or publicly funded training pro8 grams, such as those provided by the public work9 force system) to participants in order to perform du10 ties required by job guarantee programs under this 

11 section, including a new period of training, not to 

12 exceed 8 weeks, prior to commencing any new job 

13 under the program. 

14 (2) SPECIFIC POPULATIONS.—With respect to 

15 certain populations with barriers to employment (as 

16 defined in section 3(24) of the Workforce Innovation 

17 and Opportunity Act (Public Law 113–128)), the 8- 

18 week training period may include specific job-related 

19 training and counseling and other general skills 

20 training to prepare such individuals to reenter the 

21 workforce. 

22 (k) PRIORITIES AND AUDITS.— 

23 (1) PRIORITIES.—Prior to awarding the initial 

24 grants under this section, the Secretary shall issue 

25 a list of national job priorities relating to jobs that 


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1 may be carried out under job guarantee programs, 

2 that shall include child care, care for seniors and in3 dividuals with disabilities, clean energy jobs, and 

4 sustainable infrastructure activities. The Secretary 

5 shall take State board and local board suggestions 

6 into consideration when issuing such list. 

7 (2) AUDITS.— 

8 (A) IN GENERAL.—The Secretary, acting 

9 through the Inspector General of the Depart10 ment of Labor, shall carry out annual audits of 

11 the use of grant funds provided to eligible enti12 ties under this section. 

13 (B) ALLOCATION AGREEMENTS AND MIS14 USE OF FUNDS.— 

15 (i) ALLOCATION AGREEMENTS.—An 

16 eligible entity shall enter into an allocation 

17 agreement with the Secretary that shall 

18 provide that the Secretary shall recoup any 

19 amounts paid to the entity under a grant 

20 under this section if the results of an audit 

21 under subparagraph (A) include a finding 

22 that there was an intentional or reckless 

23 misuse of such funds by such entity. 

24 (ii) LOSS OF ELIGIBILITY.—An eligi25 ble entity that is determined to have falVerDate Sep 11 2014 22:23 Sep 11, 2019 Jkt 089200 PO 00000 Frm 00014 Fmt 6652 Sfmt 6201 E:\BILLS\H4278.IH H4278

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1 sified or otherwise misstated data in any 

2 report submitted to the Secretary with the 

3 intent to deceive or mislead the Secretary 

4 shall be ineligible to receive additional 

5 funds under this section. 

6 (l) REPORTS.—Not later than 90 days after the end 

7 of each calendar year for which an eligible entity obligates 

8 or expends any amounts made available under a grant 

9 under this section, the eligible entity shall submit to the 

10 Secretary a report that— 

11 (1) specifies the amount of grant funds obli12 gated or expended for the preceding fiscal year; 

13 (2) specifies any purposes for which the funds 

14 were obligated or expended; and 

15 (3) includes any other information that the Sec16 retary may require to more effectively administer the 

17 grant program under this section, including the indi18 cators of performance under section 116(b)(2)(A)(i) 

19 of the Workforce Innovation and Opportunity Act 

20 (29 U.S.C. 3141(b)(2)(A)(i)), with the performance 

21 data disaggregated by race, ethnicity, sex, age, and 

22 membership in a population specified in section 

23 3(24) of such Act (29 U.S.C. 3102(24)). 

24 (m) EVALUATION.—The Chief Evaluation Officer at 

25 the Department of Labor shall provide for the conduct of 


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1 an evaluation of the pilot program, using a rigorous design 

2 and evaluation methods to assess the implementation of 

3 the programs and their impact on— 

4 (1) overall employment, public-sector employ5 ment, and private-sector employment; 

6 (2) private sector employment, wages, and ben7 efits; 

8 (3) poverty rate; 

9 (4) public assistance spending and other Fed10 eral spending in the area served by the program; 

11 (5) child health and educational outcomes; 

12 (6) health and well-being of those with mental, 

13 emotional, and behavioral health needs; 

14 (7) incarceration rates; 

15 (8) the environment, including air quality and 

16 water quality; 

17 (9) the indicators of performance as described 

18 in subsection (l)(3); and 

19 (10) other economic development and individual 

20 outcome indicators, as determined by the Secretary. 

21 (n) EXPANSION OF WORK OPPORTUNITY CREDIT TO

22 INCLUDE PARTICIPANTS IN JOB GUARANTEE PRO23 GRAMS.— 

24 (1) IN GENERAL.—Subsection (d) of section 51 

25 of the Internal Revenue Code of 1986 is amended— 


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1 (A) in paragraph (1)— 

2 (i) in subparagraph (I), by striking 

3 ‘‘or’’ at the end; 

4 (ii) in subparagraph (J), by striking 

5 the period at the end and inserting ‘‘, or’’; 

6 and 

7 (iii) by adding at the end the fol8 lowing new subparagraph: 

9 ‘‘(K) a qualified participant in a job guar10 antee program.’’; and 

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

12 paragraph: 

13 ‘‘(16) QUALIFIED PARTICIPANT IN A JOB GUAR14 ANTEE PROGRAM.—The term ‘qualified participant 

15 in a job guarantee program’ means any individual 

16 who is certified by the designated local agency as 

17 having participated in a job guarantee program 

18 under section 2 of the Federal Jobs Guarantee De19 velopment Act of 2019 for not less than 3 months 

20 during the 6-month period ending on the hiring 

21 date.’’. 

22 (2) EFFECTIVE DATE.—The amendments made 

23 by this subsection shall apply to individuals who 

24 begin work for the employer after December 31, 

25 2019. 


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1 (o) APPROPRIATIONS.—From funds in the Treasury 

2 not otherwise appropriated, there are appropriated to the 

3 Secretary such sums as may be necessary to carry out this 

4 section. 

Æ 


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