II 

116TH CONGRESS 

1ST SESSION S. 1920 

To establish jobs programs for long-term unemployed workers, and for other 

purposes. 

IN THE SENATE OF THE UNITED STATES 

JUNE 20, 2019 

Mr. VAN HOLLEN (for himself and Mr. WYDEN) introduced the following bill; 

which was read twice and referred to the Committee on Health, Education, Labor, and Pensions 

A BILL 

To establish jobs programs for long-term unemployed 

workers, and for other purposes. 

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 ‘‘Long-Term Unemploy5 ment Elimination Act of 2019’’. 

6 SEC. 2. PURPOSE. 

7 The purpose of this Act is to provide job opportuni8 ties for every long-term unemployed worker in the United 

9 States. 


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1 SEC. 3. DEFINITIONS. 

2 In this Act: 

3 (1) COVERED AREA.—The term ‘‘covered area’’ 

4 means the local area in which a local board is car5 rying out a jobs program, or (in the circumstances 

6 described in section 4(d)) the local area in which a 

7 community-based organization is carrying out a jobs 

8 program, under this Act. 

9 (2) ELIGIBLE WORKER.—The term ‘‘eligible 

10 worker’’ means an individual who— 

11 (A) is not less than 18 years old; 

12 (B) is authorized to be employed in the 

13 United States for purposes of section 274A of 

14 the Immigration and Nationality Act (8 U.S.C. 

15 1324a); 

16 (C) has not been employed or a full-time 

17 student for a period of not less than 27 weeks 

18 (except as modified under section 5(e)); and 

19 (D) is currently seeking employment and 

20 has been seeking employment for a period of 

21 not less than 4 weeks (except as modified under 

22 section 5(e)). 

23 (3) INDIVIDUAL WITH A BARRIER TO EMPLOY24 MENT.—The term ‘‘individual with a barrier to em25 ployment’’ has the meaning given in section 3(24) of 

26 the Workforce Innovation and Opportunity Act (29 


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1 U.S.C. 3102(24)), except that such term shall not 

2 include individuals who meet the terms of the defini3 tion in that section solely on the basis of their status 

4 as long-term unemployed individuals. 

5 (4) ON-THE-JOB TRAINING.—The term ‘‘on-the6 job training’’ has the meaning given the term in sec7 tion 3(44) of the Workforce Innovation and Oppor8 tunity Act (29 U.S.C. 3102(44)), except that sub9 paragraph (B) of that section shall not apply. 

10 (5) PARTICIPATING EMPLOYER.—The term 

11 ‘‘participating employer’’ means an employer— 

12 (A) that is— 

13 (i) a government agency; 

14 (ii) a nonprofit organization; or 

15 (iii) a business; and 

16 (B) includes— 

17 (i) an employer at the site of employ18 ment for an eligible worker in a program 

19 position; or 

20 (ii) a community-based organization 

21 that acts as an employer of record by— 

22 (I) assuming the roles and re23 sponsibilities assigned to employers 

24 described in clause (i) under this Act; 


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1 (II) entering into an agreement 

2 with an employer described in clause 

3 (i) to set forth the terms and condi4 tions for employment of an eligible 

5 worker in a program position in a jobs 

6 program in accordance with the provi7 sions of this Act; and 

8 (III) acting as an intermediary 

9 between eligible workers and employ10 ers described in clause (i) to facilitate 

11 participation in the jobs program in12 volved. 

13 (6) PAYROLL TAXES.—The term ‘‘payroll 

14 taxes’’ means taxes under section 3111, 3221, 3301, 

15 or 3321 of the Internal Revenue Code of 1986, and 

16 any similar State or local tax imposed on employers. 

17 (7) PRE-APPRENTICESHIP.—The term ‘‘pre-ap18 prenticeship’’, used with respect to a program, 

19 means a program that is designed to prepare indi20 viduals to enter and succeed in a registered appren21 ticeship program and is carried out by an entity that 

22 has a documented partnership with at least one 

23 sponsor of a registered apprenticeship program. 

24 (8) PROGRAM POSITION.— 


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1 (A) IN GENERAL.—The term ‘‘program po2 sition’’, used with respect to a jobs program— 

3 (i) means a position— 

4 (I) in a temporary job that is de5 signed to lead to long-term employ6 ment; and 

7 (II) that is provided along with, 

8 as necessary, supportive services and 

9 training services to enable an indi10 vidual to succeed in the job and ob11 tain and retain long-term employ12 ment; and 

13 (ii) includes— 

14 (I) a position in a transitional 

15 job; 

16 (II) a position in a registered ap17 prenticeship program; and 

18 (III) an approved national service 

19 position made available under section 

20 129 of the National and Community 

21 Service Act of 1990 (42 U.S.C. 

22 12581), including a position spon23 sored under subsection (i) of that sec24 tion, subject to subparagraph (B). 

25 (B) RULE.— 


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1 (i) EMPLOYERS WITH CERTAIN PRO2 GRAM POSITIONS.—A participating em3 ployer for an eligible worker (or an em4 ployer at the site of employment for an eli5 gible worker) in a program position de6 scribed in subparagraph (A)(ii)(III) shall 

7 be considered to be a service sponsor, as 

8 defined in section 101 of the National and 

9 Community Service Act of 1990 (42 

10 U.S.C. 12511). 

11 (ii) ELIGIBLE WORKERS IN CERTAIN

12 PROGRAM POSITIONS.—In parity with sec13 tion 101(30) of the National and Commu14 nity Service Act of 1990 (42 U.S.C. 

15 12511(30)), an eligible worker in such a 

16 program position shall not be considered to 

17 be an employee of the participating em18 ployer (or of an employer at the site of em19 ployment for the eligible worker). 

20 (9) RECOGNIZED POSTSECONDARY CREDEN21 TIAL.—The term ‘‘recognized postsecondary creden22 tial’’ means such a credential as defined in section 

23 3 of the Workforce Innovation and Opportunity Act 

24 (29 U.S.C. 3102), if the provider of the program 


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1 leading to the credential is identified under section 

2 122(h) of such Act (29 U.S.C. 3152(h)). 

3 (10) REGISTERED APPRENTICESHIP PRO4 GRAM.—The term ‘‘registered apprenticeship pro5 gram’’ means a program registered under the Act of 

6 August 16, 1937 (commonly known as the ‘‘National 

7 Apprenticeship Act’’; 50 Stat. 664, chapter 663; 29 

8 U.S.C. 50 et seq.). 

9 (11) SECRETARY.—The term ‘‘Secretary’’ 

10 means the Secretary of Labor. 

11 (12) TRANSITIONAL JOB.—The term ‘‘transi12 tional job’’ means a job described in section 

13 134(d)(5) of the Workforce Innovation and Oppor14 tunity Act (29 U.S.C. 3174(d)(5)), without regard 

15 to the limitation described in that section on funding 

16 for such jobs. 

17 (13) WIOA TERMS.—The terms ‘‘adult edu18 cation and literacy activities’’, ‘‘career pathway’’, 

19 ‘‘community-based organization’’, ‘‘customized train20 ing’’, ‘‘industry or sector partnership’’, ‘‘in-demand 

21 industry sector or occupation’’, ‘‘integrated edu22 cation and training’’, ‘‘local area’’, ‘‘local board’’, 

23 ‘‘one-stop operator’’, ‘‘poverty line’’, ‘‘State area’’, 

24 ‘‘State board’’, ‘‘supportive services’’, and ‘‘training 

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1 tion 3 of the Workforce Innovation and Opportunity 

2 Act (29 U.S.C. 3102). 

3 (14) WORKER-OWNED ENTERPRISE.— 

4 (A) IN GENERAL.—The term ‘‘worker5 owned enterprise’’ means— 

6 (i) an eligible worker-owned coopera7 tive, as defined in section 1042(c)(2) of the 

8 Internal Revenue Code of 1986; or 

9 (ii) an enterprise for which the major10 ity of the voting stock is owned by workers 

11 employed by such enterprise. 

12 (B) VOTING STOCK.—For purposes of sub13 paragraph (A)(ii), the share of the voting stock 

14 owned by workers shall include stock held by an 

15 employee stock ownership plan, as defined in 

16 section 4975(e)(7) of such Code. 

17 SEC. 4. JOBS PROGRAMS FOR LONG-TERM UNEMPLOYED 

18 WORKERS. 

19 (a) IN GENERAL.— 

20 (1) ESTABLISHMENT.—The Secretary shall es21 tablish and administer a jobs initiative for eligible 

22 workers, consisting of jobs programs carried out 

23 through local boards. 

24 (2) PARTNERSHIPS.—A local board may enter 

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1 based organizations to submit an application and 

2 carry out a jobs program. 

3 (3) AGREEMENTS.—In administering the initia4 tive, the Secretary shall enter into 4-year agree5 ments with local boards, under which the Secretary 

6 shall provide payments to local boards. Such an 

7 agreement shall specify which functions described in 

8 this Act will be carried out by the local board, by the 

9 community-based organization, and by the partner10 ship. 

11 (4) PAYMENTS.—The Secretary shall make 

12 such a payment in an amount that equals the eligi13 ble costs incurred by the local board— 

14 (A) to provide wages and compensation for 

15 program positions for eligible workers under 

16 this section, minus any employer share of the 

17 eligible costs of providing the wages and com18 pensation; 

19 (B) to provide supportive services and 

20 training services to eligible workers under this 

21 section; and 

22 (C) to administer the jobs program under 

23 this section. 

24 (b) LOCAL BOARD APPLICATION.—To be eligible to 

25 enter into an agreement under subsection (a), a local 


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1 board shall submit an application to the Secretary at such 

2 time, in such manner, and containing a 4-year plan that 

3 includes such information as the Secretary may require, 

4 including— 

5 (1) the number of eligible workers that the local 

6 board proposes to serve under the jobs program in7 volved and the estimated cost of serving that number 

8 of workers; 

9 (2) a plan for one-stop operators to identify the 

10 issues preventing each eligible worker served by the 

11 jobs program from securing employment, and to re12 duce the impact of those issues with supportive serv13 ices and training services; 

14 (3) a description of how the local board will en15 gage labor organizations, community-based organiza16 tions, community colleges, economic development 

17 agencies, and area career and technical education 

18 schools as partners to provide training services to el19 igible workers, including any— 

20 (A) adult education and literacy activities, 

21 including activities of English language acquisi22 tion, and integrated education and training pro23 grams; 

24 (B) pre-apprenticeship programs; and 

25 (C) career pathways; 


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1 (4) a description of how the local board will 

2 support the creation and expansion of industry or 

3 sector partnerships and alignment of the jobs pro4 gram with career pathways to improve outcomes for 

5 eligible workers in program positions; 

6 (5) proposed levels for the performance ac7 countability measures described in subsection (c); 

8 (6) a description of the controls established by 

9 the local board to assure that the local board— 

10 (A) disburses funding to each participating 

11 employer for all eligible costs described in sub12 section (h) incurred under the jobs program, 

13 minus the employer share described in sub14 section (i); 

15 (B) oversees participating employers to en16 sure compliance with program rules and collec17 tion of accurate data for performance account18 ability measures described in subsection (c); 

19 and 

20 (C) requests accurate advance payment or 

21 reimbursement for the eligible costs described 

22 in subsection (h), minus any employer share de23 scribed in subsection (i) of the eligible costs; 


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1 (7) a description of how the local board will 

2 align the activities carried out under the grant with 

3 the activities carried out under— 

4 (A) the plans submitted by the cor5 responding State board and local board under 

6 subtitle A of title I of the Workforce Innovation 

7 and Opportunity Act (29 U.S.C. 3111 et seq.); 

8 (B) the employment and training program 

9 established by the corresponding State under 

10 the supplemental nutrition assistance program 

11 established under the Food and Nutrition Act 

12 of 2008 (7 U.S.C. 2011 et seq.); 

13 (C) the corresponding State program for 

14 temporary assistance for needy families estab15 lished under part A of title IV of the Social Se16 curity Act (42 U.S.C. 601 et seq.); 

17 (D) the national service plan submitted by 

18 the corresponding State Commission on Na19 tional and Community Service under section 

20 178 of the National and Community Service 

21 Act of 1990 (42 U.S.C. 12638); 

22 (E) programs established under the Second 

23 Chance Act of 2007 (34 U.S.C. 60501 et seq.); 


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1 (F) employment and community develop2 ment programs carried out by the Secretary of 

3 Housing and Urban Development; 

4 (G) career and technical education pro5 grams authorized by the Carl D. Perkins Ca6 reer and Technical Education Act of 2006 (20 

7 U.S.C. 2301 et seq.); 

8 (H) the continuum of care projects (relat9 ing to ending homelessness) carried out under 

10 applications submitted, by communities serving 

11 an area that is substantially similar to the cov12 ered area, under subtitle C of title IV of the 

13 McKinney-Vento Homeless Assistance Act (42 

14 U.S.C. 11381 et seq.); and 

15 (I) programs to support competitive inte16 grated employment for individuals with disabil17 ities, including programs of vocational rehabili18 tation services under title I of the Rehabilita19 tion Act of 1973 (29 U.S.C. 720 et seq.) and 

20 the Ticket to Work and Self-Sufficiency Pro21 gram carried out under section 1148 of the So22 cial Security Act (42 U.S.C. 1320b–19); and 

23 (8) assurances that— 

24 (A) prior to the placement of an eligible 

25 worker in a program position, the local board 


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1 will consult with the appropriate local labor or2 ganization, if any, representing employees in 

3 the covered area who are engaged in the same 

4 or similar work as that proposed to be carried 

5 out by the eligible worker, to prevent the dis6 placement and protect the rights of such em7 ployees; and 

8 (B) the local board will comply with the 

9 nondisplacement provisions of subsection (f) 

10 and the grievance procedures of subsection (g). 

11 (c) PERFORMANCE ACCOUNTABILITY.— 

12 (1) IN GENERAL.—For each local board, the 

13 performance accountability measures shall consist of 

14 the indicators described in paragraph (2) and the 

15 levels described in paragraph (3). 

16 (2) INDICATORS.—The indicators for the per17 formance accountability measures shall consist of— 

18 (A) the primary indicators of performance 

19 described in section 116(b)(2)(A)(i) of the 

20 Workforce Innovation and Opportunity Act (29 

21 U.S.C. 3141(b)(2)(A)(i)); 

22 (B) the number of eligible workers placed 

23 in jobs created by the jobs program of the local 

24 board; 


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1 (C) for households with an eligible worker 

2 who participated in the program, the average 

3 increase in income by the end of such participa4 tion; and 

5 (D) the percentage of program positions 

6 filled by eligible workers who were individuals 

7 with a barrier to employment. 

8 (3) ACCEPTABLE OVERALL LEVELS OF PER9 FORMANCE.—The local board shall reach agreement 

10 with the Secretary, acting in consultation with the 

11 Secretary of Education, on acceptable overall levels 

12 of performance for each indicator described in para13 graph (2) for each year covered by the application 

14 submitted under subsection (b). In reaching such 

15 agreements, the local board and the Secretaries shall 

16 take into account— 

17 (A) the purpose of this Act, as described in 

18 section 2, by seeking to provide job opportuni19 ties for as many eligible workers as possible; 

20 and 

21 (B) the factors described in section 

22 116(b)(3)(A)(v) of the Workforce Innovation 

23 and Opportunity Act (29 U.S.C. 

24 3141(b)(3)(A)(v)), except that references in 


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1 that section to a State shall be considered to be 

2 references to a local area. 

3 (4) REPORTING REQUIREMENT.— 

4 (A) IN GENERAL.—The local board shall 

5 provide information specifying the board’s level 

6 of performance on the performance account7 ability measures specified in this subsection, in8 cluding disaggregated data specified under sub9 paragraph (B), as part of the local board per10 formance reports established under section 

11 116(d) of the Workforce Innovation and Oppor12 tunity Act (29 U.S.C. 3141(d)). 

13 (B) DISAGGREGATED DATA.—Each such 

14 performance report shall include data specifying 

15 the board’s level of performance with respect to 

16 individuals with barriers to employment, 

17 disaggregated by each subpopulation of such in18 dividuals, and by race, ethnicity, sex, and age. 

19 (d) SANCTIONS FOR FAILURE TO MEET PERFORM20 ANCE ACCOUNTABILITY MEASURES OR SUBMIT AN APPLI21 CATION.— 

22 (1) PERFORMANCE IMPROVEMENT PLAN AND

23 TECHNICAL ASSISTANCE.—If a local board fails to 

24 meet performance accountability measures specified 

25 in subsection (c)— 


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1 (A) the local board shall develop a per2 formance improvement plan; and 

3 (B) the Secretary and State board may 

4 provide technical assistance, including assist5 ance in the development of the performance im6 provement plan. 

7 (2) REPEATED FAILURE TO MEET PERFORM8 ANCE ACCOUNTABILITY MEASURES.—If a local board 

9 fails to meet the performance accountability meas10 ures for at least 2 consecutive years, the Secretary 

11 may enter into an agreement with a community12 based organization to carry out a jobs program serv13 ing the corresponding local area in place of the local 

14 board. 

15 (3) FAILURE TO SUBMIT APPLICATION.—If a 

16 local board fails to submit an application under sub17 section (b) for a year, the Secretary may enter into 

18 an agreement with a community-based organization 

19 to carry out a jobs program serving the cor20 responding local area in place of the local board. 

21 (4) PROGRAMS CARRIED OUT BY COMMUNITY22 BASED ORGANIZATIONS.— 

23 (A) APPLICATION.—A community-based 

24 organization that seeks to carry out a jobs pro25 gram in place of a local board as described in 


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1 paragraph (2) or (3) shall submit an applica2 tion to the Secretary. 

3 (B) SELECTION.—The Secretary shall se4 lect, on a competitive basis, community-based 

5 organizations to carry out jobs programs as de6 scribed in paragraphs (2) and (3) for a local 

7 area. The Secretary shall select such organiza8 tions based on their ability to implement a jobs 

9 program that achieves the highest levels on the 

10 performance accountability measures, taking 

11 into account the factors described in section 

12 116(b)(3)(A)(v) of the Workforce Innovation 

13 and Opportunity Act (29 U.S.C. 

14 3141(b)(3)(A)(v)), except that references in 

15 that section to a State shall be considered to be 

16 references to a local area, and meets the other 

17 requirements specified in this Act. 

18 (C) RENEWAL.—After the initial selection 

19 under subparagraph (B), the Secretary shall, 

20 every 4 years, hold a new competition to select 

21 community-based organizations to carry out 

22 jobs programs for local areas. The local board 

23 for such an area may also submit an application 

24 in such competition. 


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1 (D) IMPLEMENTATION.—This Act shall 

2 apply to a community-based organization se3 lected under this paragraph as if the organiza4 tion was the local board for the corresponding 

5 local area. 

6 (e) PARTICIPATING EMPLOYER.— 

7 (1) IN GENERAL.—A participating employer 

8 shall be selected by a local board. An entity who 

9 seeks to be a participating employer shall enter into 

10 an agreement with the local board to act as a par11 ticipating employer under this subsection. 

12 (2) SELECTION CRITERIA.— 

13 (A) IN GENERAL.—To select participating 

14 employers (including the renewal of such a se15 lection), the local board shall take into account 

16 the considerations, and comply with the require17 ments, specified in subparagraphs (B) through 

18 (H). 

19 (B) WORKER FEEDBACK.—The local board 

20 shall provide an opportunity for eligible workers 

21 to provide feedback on participating employers, 

22 and shall take this feedback into account when 

23 determining whether to renew the selection of 

24 an employer. 

25 (C) LABOR ORGANIZATIONS.— 


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1 (i) IN GENERAL.—The local board 

2 shall consider input from labor organiza3 tions to select participating employers. 

4 (ii) COLLECTIVE BARGAINING AGREE5 MENTS.—For a site of employment at 

6 which workers are covered by a collective 

7 bargaining agreement, the local board shall 

8 not place a program participant in a pro9 gram position at the site without the con10 sent of all labor organizations representing 

11 workers at such site. 

12 (D) LONG-TERM EMPLOYMENT PROS13 PECTS.—The local board shall consider whether 

14 the employer under consideration is proposing 

15 or providing an experience that will help eligible 

16 workers secure long-term employment after the 

17 program position ends, either with the partici18 pating employer or another employer. 

19 (E) COMMUNITY IMPACT AND INPUT.— 

20 (i) COMMUNITY IMPACT PREF21 ERENCE.—The local board shall consider 

22 whether the employer is offering program 

23 positions in which the work to be per24 formed is designed to have a positive im25 pact on the communities in the local area 


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1 served through the jobs program, and shall 

2 develop criteria for that positive impact 

3 based on input from members of such com4 munities. 

5 (ii) COMMUNITY INPUT.—The local 

6 board shall also provide an opportunity for 

7 such communities to provide input on how 

8 a participating employer should be selected 

9 and whether specific employers should be 

10 selected, and shall take this input into ac11 count when selecting a participating em12 ployer. 

13 (F) IN-DEMAND INDUSTRY SECTOR OR OC14 CUPATION.—The local board shall consider 

15 whether the employer is offering program posi16 tions that lead to employment in an in-demand 

17 industry sector or occupation. 

18 (G) TYPE OF BUSINESS.—The local board 

19 shall consider whether the employer is— 

20 (i) a worker-owned enterprise; or 

21 (ii) a small business concern owned 

22 and controlled by women, a small business 

23 concern owned and controlled by socially 

24 and economically disadvantaged individ25 uals, a small business concern owned and 


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1 controlled by veterans, or a qualified 

2 HUBZone small business concern, as those 

3 4 terms are defined in section 8(d)(3) of 

4 the Small Business Act (15 U.S.C. 

5 637(d)(3)). 

6 (H) OTHER FACTORS.—The local board 

7 may consider other factors, besides the factors 

8 explicitly stated in this paragraph, that are rel9 evant to achieving the performance account10 ability measures and other requirements speci11 fied in this Act. 

12 (3) PARTICIPATING EMPLOYER DUTIES.—The 

13 participating employer shall— 

14 (A) provide wages for each eligible worker 

15 in a program position at a rate that— 

16 (i) is not less than the greatest of the 

17 3 rates described in subsection (h)(1)(B); 

18 and 

19 (ii) is the same as the customary rate 

20 paid by the employer for the same or simi21 lar work performed by other employees 

22 who— 

23 (I) are not eligible workers in 

24 program positions; 


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1 (II) are similarly situated in 

2 similar occupations by the same em3 ployer; and 

4 (III) have similar training, expe5 rience, and skills; 

6 (B) provide benefits for each eligible work7 er in a program position at the same level as 

8 is provided to other employees who are not eli9 gible workers in program positions; 

10 (C) ensure that the site of employment is 

11 a location where an eligible worker in a pro12 gram position who is an individual with a dis13 ability, as defined in section 7 of the Rehabilita14 tion Act of 1973 (29 U.S.C. 705), interacts 

15 with other persons who are not such individuals 

16 with disabilities (not including supervisory per17 sonnel or individuals who are providing services 

18 to such worker) to the same extent as individ19 uals who are not such individuals with disabil20 ities and who are in comparable positions inter21 act with other persons; 

22 (D) offer opportunities for advancement to 

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1 ployees who are not eligible workers in program 

2 positions; and 

3 (E) fulfill legal and administrative duties 

4 including payroll processing, tax withholding 

5 and documentation, and meeting liability re6 quirements such as workers’ compensation re7 quirements. 

8 (4) PAYMENT TO PARTICIPATING EMPLOYER.— 

9 (A) WAGES AND COMPENSATION.—The 

10 local board shall provide payment to the partici11 pating employer for all eligible costs described 

12 in subsection (h) for wages and compensation 

13 provided by the employer for eligible workers in 

14 program positions, minus the employer share 

15 described in subsection (i). 

16 (B) EMPLOYER-PROVIDED TRAINING.— 

17 The local board may enter into an agreement 

18 with the participating employer under which the 

19 employer provides on-the-job training or cus20 tomized training to eligible workers, and, sub21 ject to subsection (h)(3), the local board pro22 vides payment to reimburse the employer for 

23 the cost of providing the training described in 

24 the agreement. 

25 (f) NONDISPLACEMENT.— 


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1 (1) NONDISPLACEMENT OF EXISTING EMPLOY2 EES.—The participating employer shall not place an 

3 eligible worker hired for a jobs program in a position 

4 under this Act if— 

5 (A) employing such individual will result in 

6 the layoff or partial displacement (such as a re7 duction in hours, wages, or employment bene8 fits) of an existing employee (as of the date of 

9 the hiring) of the employer; 

10 (B) such individual will assume any of the 

11 duties or responsibilities of an employee who is 

12 on strike; 

13 (C) employing such individual infringes 

14 upon the promotional opportunities of an exist15 ing employee (as of the date of the hiring) of 

16 the employer; or 

17 (D) such individual will perform the same 

18 work or substantially the same work as that 

19 performed by any individual, employed by the 

20 employer at the site of employment, who— 

21 (i) has been laid off or partially dis22 placed (as such term is described in sub23 paragraph (A)); and 

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1 mediately prior to being laid off or par2 tially displaced. 

3 (2) PROHIBITION ON ROTATION.—The partici4 pating employer may not make placements in a pro5 gram position by constantly rotating new eligible 

6 workers into a permanent position temporarily, ex7 cept in circumstances in which— 

8 (A) the employer reasonably intends to 

9 promote each such eligible worker to a different 

10 permanent position within the employer’s busi11 ness at the end of that worker’s employment in 

12 the program position; or 

13 (B) the program position is part of an on14 the-job training program that leads to a recog15 nized postsecondary credential. 

16 (3) NONDISPLACEMENT OF GOVERNMENT EM17 PLOYEES OR FUNCTIONS.— 

18 (A) GOVERNMENT AGENCY.—A partici19 pating employer that is a government agency 

20 may not place an eligible worker hired for a 

21 jobs program in an existing position (as of the 

22 date of the hiring) that is subject to civil service 

23 laws of a Federal, State, or local government. 

24 (B) OTHER PARTICIPATING EMPLOYER.— 

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1 ment agency may not use funds provided under 

2 this Act to provide services or carry out other 

3 functions that are customarily provided by a 

4 unit of State government or general local gov5 ernment. 

6 (4) LIMITATION ON PROGRAM POSITIONS FOR

7 PARTICIPATING EMPLOYER.— 

8 (A) IN GENERAL.—No more than 10 per9 cent of the employees of a participating em10 ployer may be in program positions funded 

11 under this Act, except as provided in any of 

12 subparagraphs (B) through (E). 

13 (B) MINIMUM.—A participating employer 

14 with fewer than 10 employees may employ 1 in15 dividual in a program position funded under 

16 this Act. 

17 (C) MAXIMUM.—A participating employer 

18 with more than 1,000 employees may employ 

19 not more than 100 individuals in program posi20 tions funded under this Act, unless the em21 ployer obtains permission under subparagraph 

22 (D). 

23 (D) PERMISSION.— 

24 (i) IN GENERAL.—A local board may 

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1 ployer to have a higher percentage or num2 ber of employees in program positions than 

3 is allowed under subparagraph (A) or 

4 (C)— 

5 (I) under the circumstance de6 scribed in subclause (I) or (II) of 

7 clause (ii); or 

8 (II) under the circumstance de9 scribed in clause (ii)(III), with the 

10 consent of all labor organizations rep11 resenting workers at the site involved. 

12 (ii) CIRCUMSTANCES.—The cir13 cumstances described in this clause are 

14 any of the following: 

15 (I) A circumstance in which the 

16 most recent 3-month average of the 

17 unemployment rate in the covered 

18 area is not less than 8 percent. 

19 (II) A circumstance in which the 

20 employer is a worker-owned enterprise 

21 and worker-ownership is widely avail22 able to the employer’s employees, in23 cluding eligible workers in program 

24 positions. 


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1 (III) A circumstance in which a 

2 collective bargaining agreement covers 

3 eligible workers in program positions 

4 at a site of employment. 

5 (iii) DURATION.— 

6 (I) IN GENERAL.—An employer 

7 granted the permission described in 

8 clause (i) under the circumstance de9 scribed in clause (ii)(I) may be grant10 ed such permission for a term of not 

11 more than 2 years, subject to sub12 clause (II), regardless of whether the 

13 unemployment rate in the covered 

14 area falls below 8 percent during that 

15 2-year period. 

16 (II) RENEWAL.—If the permis17 sion is granted under a circumstance 

18 described in clause (ii)(I) and is 

19 scheduled to expire in 3 months or 

20 less, and if the most recent 3-month 

21 average of the unemployment rate in 

22 the covered area is not less than 8 

23 percent, the local board may renew 

24 the permission for another term de25 scribed in subclause (I). 


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1 (E) APPLICATION TO GOVERNMENT AGEN2 CY.—If the employer is a Federal, State, or 

3 local agency, the limitations described in sub4 paragraphs (A), (B), and (C) shall be applied 

5 separately to each unit within that agency. 

6 (F) MODIFICATION.—The requirements of 

7 this paragraph may be modified under section 

8 5(e). 

9 (G) DEFINITION.—For purposes of this 

10 paragraph and subsection (g), the term ‘‘par11 ticipating employer’’ shall not include a commu12 nity-based organization that acts as an em13 ployer of record and (even if a community14 based organization is so acting) shall include 

15 the employer at the site. 

16 (g) GRIEVANCE PROCEDURE.— 

17 (1) IN GENERAL.—The local board shall estab18 lish and maintain a procedure for the filing and ad19 judication of grievances from participants, labor or20 ganizations, and other interested individuals con21 cerning participating employers, including grievances 

22 relating to proposed placements of eligible workers 

23 with such employers. 

24 (2) DEADLINE FOR GRIEVANCES.—Except for a 

25 grievance that alleges fraud or criminal activity, a 


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1 grievance shall be made not later than 1 year after 

2 the date of the alleged occurrence of the event that 

3 is the subject of the grievance. 

4 (3) DEADLINE FOR HEARING AND DECISION.— 

5 (A) HEARING.—A hearing on any griev6 ance conducted under this subsection shall be 

7 conducted not later than 30 days after the fil8 ing of such grievance. 

9 (B) DECISION.—A decision on any such 

10 grievance shall be made not later than 60 days 

11 after the filing of such grievance. 

12 (4) ARBITRATION.— 

13 (A) IN GENERAL.— 

14 (i) JOINTLY SELECTED ARBI15 TRATOR.—In the event of a decision on a 

16 grievance that is adverse to the party who 

17 filed the grievance, or 60 days after the fil18 ing of such grievance if no decision has 

19 been reached, such party shall be per20 mitted to submit such grievance to binding 

21 arbitration before a qualified arbitrator 

22 who is jointly selected and independent of 

23 the interested parties. 

24 (ii) APPOINTED ARBITRATOR.—If the 

25 parties cannot agree on an arbitrator, the 


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1 Secretary shall appoint an arbitrator from 

2 a list of qualified arbitrators within 15 

3 days after receiving a request for such ap4 pointment from one of the parties to the 

5 grievance. 

6 (B) DEADLINE FOR PROCEEDING.—An ar7 bitration proceeding shall be held not later than 

8 45 days after the request for such arbitration 

9 proceeding, or, if the arbitrator is appointed by 

10 the Secretary in accordance with subparagraph 

11 (A)(ii), not later than 30 days after the ap12 pointment of such arbitrator. 

13 (C) DEADLINE FOR DECISION.—A decision 

14 concerning a grievance shall be made not later 

15 than 30 days after the date such arbitration 

16 proceeding begins. 

17 (D) COST.— 

18 (i) IN GENERAL.—Except as provided 

19 in clause (ii), the cost of an arbitration 

20 proceeding shall be divided evenly between 

21 the parties to the arbitration. 

22 (ii) EXCEPTION.—If a participant, 

23 labor organization, or other interested indi24 vidual described in paragraph (1) prevails 

25 under a binding arbitration proceeding, the 


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1 other entity that is a party to such griev2 ance shall pay the total cost of such pro3 ceeding and the attorneys’ fees of such 

4 participant, labor organization, or indi5 vidual, as the case may be. 

6 (5) PROPOSED PLACEMENT.—If a grievance is 

7 filed regarding a proposed placement of an eligible 

8 worker with a participating employer, such place9 ment shall not be made unless the placement is con10 sistent with the resolution of the grievance pursuant 

11 to this subsection. 

12 (6) REMEDIES.—Remedies for a grievance filed 

13 under this subsection include— 

14 (A) suspension of payments for the partici15 pating employer; 

16 (B) termination of such payments; 

17 (C) prohibition of the placement described 

18 in paragraph (5); 

19 (D) in a case in which the grievance is 

20 filed by an individual eligible worker or pro21 gram participant— 

22 (i) the eligible worker’s selection to be 

23 a program participant, or the program 

24 participant’s reinstatement, as the case 

25 may be; and 


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1 (ii) other changes in the terms and 

2 conditions of employment applicable to the 

3 individual; and 

4 (E) in a case in which the grievance in5 volves a violation of subsection (f) and the em6 ployer of the displaced employee is the partici7 pating employer— 

8 (i) reinstatement of the displaced em9 ployee to the position held by such em10 ployee prior to displacement; 

11 (ii) payment of lost wages and bene12 fits of the displaced employee; 

13 (iii) reestablishment of other relevant 

14 terms, conditions, and privileges of employ15 ment of the displaced employee; and 

16 (iv) such equitable relief as is nec17 essary to correct any violation of sub18 section (f) or to make the displaced em19 ployee whole. 

20 (7) ENFORCEMENT.—Suits to enforce awards 

21 under this subsection may be brought in any district 

22 court of the United States having jurisdiction of the 

23 parties, without regard to the amount in controversy 

24 and without regard to the citizenship of the parties. 

25 (h) ELIGIBLE COSTS.— 


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1 (1) WAGES AND COMPENSATION.— 

2 (A) IN GENERAL.—Subject to paragraph 

3 (2), for purposes of this Act, the eligible costs 

4 of providing wages and compensation shall be 

5 the eligible costs of providing the wages de6 scribed in subparagraph (B), and the com7 pensation described in subparagraph (C), for el8 igible workers. 

9 (B) WAGES.—The eligible costs described 

10 in this subparagraph shall be the costs of pro11 viding wages at a rate that is the greatest of— 

12 (i) the applicable minimum wage rate 

13 under section 6(a)(1) of the Fair Labor 

14 Standards Act of 1938 (29 U.S.C. 

15 206(a)(1)) (not counting any rate author16 ized for employment under special certifi17 cates under section 14 of such Act (29 

18 U.S.C. 214)); 

19 (ii) the applicable State or local min20 imum wage rate; or 

21 (iii) a rate, calculated as an amount 

22 per hour, with the amount determined by 

23 dividing the poverty line for a family of 4 

24 by 2,080. 


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1 (C) COMPENSATION.—The eligible costs 

2 described in this subparagraph— 

3 (i) subject to clause (ii), shall be 

4 nonwage expenses that are directly related 

5 to compensation for eligible workers, in6 cluding— 

7 (I) costs for employer payroll 

8 taxes; 

9 (II) costs for employee benefits; 

10 (III) costs to provide a national 

11 service education award for approved 

12 national service positions sponsored 

13 under section 129(i) of the National 

14 and Community Service Act of 1990 

15 (42 U.S.C. 12581(i)); and 

16 (IV) costs of fulfilling the duties 

17 described in subsection (e)(3)(E); and 

18 (ii) for each eligible worker, shall not 

19 exceed 20 percent of the eligible costs of 

20 providing the wages described in subpara21 graph (B). 

22 (2) LIMITATION FOR DURATION OF WAGES AND

23 COMPENSATION.— 

24 (A) IN GENERAL.—Subject to subpara25 graph (B), an eligible cost related to wages and 


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1 compensation for a program position is an ex2 pense related to the first 12 months of the pro3 gram position, subject to section 5(e). 

4 (B) EXTENSION.—A local board may ex5 tend the 12-month period described in subpara6 graph (A) for not more than an additional 12 

7 months, subject to section 5(e), to the extent 

8 that such extension is necessary to cover the pe9 riod of a program position that is part of an 

10 on-the-job training program that leads to a rec11 ognized postsecondary credential. 

12 (3) SUPPORTIVE SERVICES AND TRAINING

13 SERVICES.— 

14 (A) AGGREGATE LIMIT.—The eligible costs 

15 of providing, or facilitating the provision of, 

16 supportive services and training services to eli17 gible workers shall, in total, not exceed 20 per18 cent of the total eligible costs of providing the 

19 wages described in paragraph (1)(B) to those 

20 eligible workers. 

21 (B) FLEXIBILITY FOR INDIVIDUALS.—The 

22 limit in subparagraph (A) shall apply to the eli23 gible costs for the total amount of supportive 

24 services and training services provided by a jobs 

25 program to all eligible workers, and shall not be 


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1 construed to constitute a separate limit on the 

2 eligible costs for the supportive services and 

3 training services so provided to each eligible 

4 worker. 

5 (C) MODIFICATION.—The requirements of 

6 this paragraph may be modified under section 

7 5(e). 

8 (4) ADMINISTRATION.— 

9 (A) LOCAL BOARDS.—The eligible costs in10 curred by a local board of administering a jobs 

11 program under this section shall not exceed 10 

12 percent of the total eligible costs of providing 

13 the wages described in paragraph (1)(B) to all 

14 eligible workers served by the jobs program. 

15 (B) SECRETARY.—Of the maximum 

16 amount that the Secretary may make available 

17 under subparagraph (A) with respect to a jobs 

18 program, the Secretary may reserve not more 

19 than 10 percent to administer the jobs program 

20 under this section. 

21 (5) MODIFICATION.—The requirements of para22 graphs (2), (3), and (4) may be modified under sec23 tion 5(e). 

24 (i) EMPLOYER SHARE FOR WAGES AND COMPENSA25 TION.— 


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1 (1) IN GENERAL.— 

2 (A) BASELINE.—Except as provided in 

3 subparagraph (C), for a local board carrying 

4 out a jobs program in a covered area where the 

5 unemployment rate does not exceed 5 percent, 

6 the employer share of the eligible costs for 

7 wages and compensation shall be 33 percent. 

8 (B) HIGHER UNEMPLOYMENT COVERED

9 AREAS.—Except as provided in subparagraph 

10 (C), for a local board carrying out a jobs pro11 gram in a covered area where the unemploy12 ment rate exceeds 5 percent, the employer share 

13 of those costs shall be the percentage (not less 

14 than 0 percent) obtained by subtracting— 

15 (i) 3.3 percentage points for every 

16 half of a percentage point by which the un17 employment rate in the covered area ex18 ceeds 5 percent; from 

19 (ii) 33 percent. 

20 (C) SECOND YEAR FOR PROGRAM POSI21 TIONS LEADING TO RECOGNIZED POSTSEC22 ONDARY CREDENTIALS.—With respect to an eli23 gible worker who is in the second year of a pro24 gram position that is part of an on-the-job 

25 training program that leads to a recognized 


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1 postsecondary credential, the employer share of 

2 the eligible costs of wages and compensation for 

3 the project shall be 50 percent. That employer 

4 share for such a worker shall remain 50 percent 

5 regardless of any change in the unemployment 

6 rate of the covered area. 

7 (2) RECALCULATION.—The employer share 

8 under subparagraphs (A) and (B) of paragraph (1) 

9 shall be recalculated for the local board once per cal10 endar quarter, using the unemployment rate from 

11 the calendar quarter in the 12-month period pre12 ceding the calculation with the highest average un13 employment rate in the covered area. 

14 (3) MODIFICATION.—The requirements of this 

15 subsection may be modified under section 5(e). 

16 (j) REQUIREMENTS FOR THE SECRETARY OF

17 LABOR.—The Secretary shall— 

18 (1) oversee jobs programs funded under this 

19 Act to ensure that program requirements are being 

20 met, and verify that requests for Federal funding ac21 curately reflect eligible costs; 

22 (2) perform random, periodic audits to deter23 mine compliance with this Act; 

24 (3) provide payments to local boards for the eli25 gible costs described in subsection (h), minus any 


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1 employer share of the eligible costs described in sub2 section (i); 

3 (4) evaluate the performance of jobs programs 

4 carried out under this section; 

5 (5) establish a clearinghouse to identify and 

6 publicize best practices used by local boards carrying 

7 out such jobs programs under this Act; 

8 (6) provide technical assistance to local boards, 

9 and to State boards that are providing assistance to 

10 local boards, carrying out such jobs programs under 

11 this Act; 

12 (7) conduct outreach to State boards, local 

13 boards, employers, and eligible workers to maximize 

14 opportunities for participation in jobs programs by 

15 eligible workers, in furtherance of the purpose of 

16 this Act as described in section 2, by providing job 

17 opportunities for as many eligible workers as pos18 sible; and 

19 (8) administer this Act in consultation with the 

20 Secretary of Education, the Secretary of Housing 

21 and Urban Development, the Secretary of Health 

22 and Human Services, the Attorney General, and the 

23 Secretary of Veterans Affairs. 


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1 (k) ROLE OF STATE BOARDS.—In order to assist 

2 local boards in carrying out programs under this Act, a 

3 State board may— 

4 (1) work with local boards to develop statewide 

5 strategies to implement programs under this Act; 

6 (2) facilitate coordination of programs carried 

7 out under this Act with the activities carried out 

8 under— 

9 (A) the plan submitted by the cor10 responding State board under subtitle A of title 

11 I of the Workforce Innovation and Opportunity 

12 Act (29 U.S.C. 3111 et seq.); 

13 (B) the employment and training program 

14 established by the corresponding State under 

15 the supplemental nutrition assistance program 

16 established under the Food and Nutrition Act 

17 of 2008 (7 U.S.C. 2011 et seq.); 

18 (C) the corresponding State program for 

19 temporary assistance for needy families estab20 lished under part A of title IV of the Social Se21 curity Act (42 U.S.C. 601 et seq.); and 

22 (D) the national service plan submitted by 

23 the corresponding State Commission on Na24 tional and Community Service under section 


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1 178 of the National and Community Service 

2 Act of 1990 (42 U.S.C. 12638); 

3 (3) assist local boards in the process of submit4 ting applications under this Act; and 

5 (4) provide technical assistance to local boards 

6 and employers participating in programs under this 

7 Act. 

8 (l) PAYMENT.— 

9 (1) ADVANCE PAYMENT.—The Secretary may 

10 provide a payment under this Act, as described in 

11 subsection (a), for a quarter on the basis of an ad12 vance estimate of expenditures submitted by the 

13 local board and any other investigation the Secretary 

14 may find necessary. 

15 (2) RETROSPECTIVE ADJUSTMENT.—The Sec16 retary may reduce or increase a payment referred to 

17 in paragraph (1) for a quarter as necessary to ad18 just for any overpayment or underpayment resulting 

19 from such a payment in a previous quarter. 

20 (3) REIMBURSEMENT.—The Secretary may pro21 vide a reimbursement payment under this Act, as 

22 described in subsection (a), for a quarter on the 

23 basis of the actual expenditures of the local board, 

24 if payment has not already been made under this 

25 subsection for the same expenditure. 


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1 (m) MANDATORY FUNDING.—For the purpose of car2 rying out this section, there is authorized to be appro3 priated and there is appropriated, out of any money in 

4 the Treasury not otherwise appropriated, such sums as 

5 may be necessary for fiscal year 2020 and each subsequent 

6 fiscal year. 

7 SEC. 5. GRANTS FOR HIGH-POVERTY AREAS AND AREAS 

8 WITH CHRONICALLY LOW EMPLOYMENT 

9 RATES. 

10 (a) DEFINITIONS.—In this section: 

11 (1) HIGH-POVERTY AREA.—The term ‘‘high12 poverty area’’ means an area in which the poverty 

13 rate, as determined by the Bureau of the Census, 

14 has been not less than 20 percent for a period of not 

15 less than 3 years. 

16 (2) PRIME WORKING-AGE EMPLOYMENT-TO17 POPULATION RATIO.—The term ‘‘prime working-age 

18 employment-to-population ratio’’, used with respect 

19 to an area, means the ratio of the number of individ20 uals age 25 through 54 in the area who are em21 ployed, to the number of individuals age 25 through 

22 54 in the area. 

23 (b) ESTABLISHMENT.—The Secretary shall award 

24 grants on a competitive basis to local boards (including 

25 community-based organizations, consistent with section 


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1 4(d)(4)(D)), that carry out jobs programs described in 

2 section 4, to provide for added costs related to carrying 

3 out the programs with modified standards specified in sub4 section (e), with the purpose of achieving economic devel5 opment and job growth through the programs. The Sec6 retary shall award the grants for periods of 4 years, and 

7 pay such grants as provided under section 4(l). 

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

9 under this section, a local board shall submit an applica10 tion to the Secretary at such time, in such manner, and 

11 containing such information as the Secretary may require, 

12 including— 

13 (1) a credible plan for the jobs program in14 volved to achieve performance accountability meas15 ures described in section 4(c) through modified 

16 standards described in subsection (e), and sustain 

17 that achievement in the long term without perma18 nent support from a grant awarded under this sec19 tion; 

20 (2) information that demonstrates stakeholder 

21 engagement in the jobs program from the public and 

22 private sectors, especially major institutions such as 

23 institutions of higher education, hospitals, or other 

24 large employers and organizations, that are located 

25 in the covered area; and 


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1 (3) a credible plan to ensure that residents of 

2 the covered area are part of the operation of and 

3 benefit from the results of the jobs program, which 

4 may include a plan to expand worker-owned enter5 prises, expand small local businesses, support start6 up businesses owned by covered area residents, or 

7 give covered area residents a role in carrying out the 

8 jobs program. 

9 (d) PRIORITY.—In selecting a local board to receive 

10 a grant under this section, the Secretary shall give priority 

11 to local boards proposing to serve— 

12 (1) high-poverty areas; or 

13 (2) areas for which the prime working-age em14 ployment-to-population ratio has been low, relative 

15 to that ratio for the United States, for a period of 

16 not less than 3 years. 

17 (e) MODIFICATION OF CERTAIN STANDARDS.—In 

18 awarding a grant under this section to a local board, the 

19 Secretary is authorized to modify 1 or more of the fol20 lowing standards for the program carried out by the local 

21 board, if the Secretary determines that making such a 

22 modification can be reasonably expected to help the pro23 gram achieve the performance accountability measures re24 ferred to in subsection (c)(1): 


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1 (1) The periods of time specified in subpara2 graphs (C) and (D) of section 3(2). 

3 (2) The limitation on the percentage or number 

4 of employees in program positions with a single par5 ticipating employer, as specified in section 4(f)(4). 

6 (3) The allowable duration of funding for wages 

7 and compensation as eligible costs, for a program 

8 position, as specified in section 4(h)(2). 

9 (4) The limitation on eligible costs for sup10 portive services and training services, as specified in 

11 section 4(h)(3). 

12 (5) The limitation on eligible costs for adminis13 tration, as specified in section 4(h)(4). 

14 (6) The employer share of eligible costs for 

15 wages and compensation, as specified in section 4(i). 

16 (f) EVALUATIONS.—The Secretary shall— 

17 (1) evaluate the performance of jobs programs 

18 that receive funding under this section; and 

19 (2) identify and publicize best practices used by 

20 local boards carrying out jobs programs that receive 

21 funding under this section, through the clearing22 house described in section 4(j)(5). 

23 (g) AUTHORIZATION OF APPROPRIATIONS.—There 

24 are authorized to be appropriated to carry out this section 


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1 such sums as may be necessary for fiscal year 2020 and 

2 each subsequent fiscal year. 

Æ 


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