I 

113TH CONGRESS 

2D SESSION H. R. 5325 

To amend the Internal Revenue Code of 1986 to provide tax incentives 

to meet the needs of the American manufacturing workforce, and for 

other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

JULY 31, 2014 

Mr. CA ́RDENAS (for himself, Mr. JOYCE, Mr. MCGOVERN, Mr. VEASEY, Mr. 

RYAN of Ohio, Mr. ENYART, and Mr. BUTTERFIELD) introduced the following bill; which was referred to the Committee on Ways and Means, 

and in addition to the Committee on Education and the Workforce, 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 amend the Internal Revenue Code of 1986 to provide 

tax incentives to meet the needs of the American manufacturing workforce, 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 ‘‘American Manufac5 turing Workforce Act of 2014’’. 


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1 SEC. 2. REFUNDABLE TAX CREDIT FOR UNEMPLOYED 

2 WORKERS OBTAINING MANUFACTURING JOB 

3 TRAINING. 

4 (a) IN GENERAL.—Subpart C of part IV of sub5 chapter A of chapter 1 of the Internal Revenue Code of 

6 1986 (relating to refundable credits) is amended by insert7 ing after section 36B the following new section: 

8 ‘‘SEC. 36C. UNEMPLOYED WORKERS OBTAINING MANUFAC9 TURING JOB TRAINING. 

10 ‘‘(a) IN GENERAL.—In the case of an eligible indi11 vidual, there shall be allowed as a credit against the tax 

12 imposed by this subtitle for the taxable year with respect 

13 to each eligible individual an amount equal to the eligible 

14 individual’s qualified training costs paid or incurred by the 

15 taxpayer during the taxable year. 

16 ‘‘(b) LIMITATION.—The credit allowed under sub17 section (a) with respect to each eligible individual shall not 

18 exceed $1,000. 

19 ‘‘(c) DEFINITIONS.—For purposes of this section— 

20 ‘‘(1) QUALIFIED TRAINING COSTS.—The term 

21 ‘qualified training costs’ means expenses for tuition, 

22 fees, and course materials paid or incurred in quali23 fied manufacturing training. 

24 ‘‘(2) QUALIFIED MANUFACTURING TRAINING.— 

25 The term ‘qualified manufacturing job training’ 

26 means training to develop or better skills for a manVerDate Mar 15 2010 04:12 Aug 09, 2014 Jkt 039200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\H5325.IH H5325

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1 ufacturing position in the manufacturing industry, 

2 as determined by the Secretary of Labor. 

3 ‘‘(3) ELIGIBLE INDIVIDUAL.—For purposes of 

4 this section, the term ‘eligible individual’ means an 

5 individual who— 

6 ‘‘(A) is the taxpayer or the taxpayer’s 

7 spouse or dependent, 

8 ‘‘(B) is certified by the State employment 

9 security agency established in accordance with 

10 the Act of June 6, 1933, as amended (29 

11 U.S.C. 49–49n), as having been in receipt of 

12 unemployment compensation under State or 

13 Federal law on any day within the 1-year period 

14 ending on the date qualified manufacturing job 

15 training begins, and 

16 ‘‘(C) has resided for the 6-month period 

17 preceding the date on which qualified manufac18 turing job training begins in one of the 15 

19 States determined by the Secretary of Labor to 

20 be a State in which there are the greatest num21 ber of job opportunities in the manufacturing 

22 industry. 

23 ‘‘(d) DENIAL OF DOUBLE BENEFIT.—No credit shall 

24 be allowed under this section for any expense for which 


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1 a deduction or credit is allowed under any other provision 

2 of this chapter. 

3 ‘‘(e) TERMINATION.—Subsection (a) shall not apply 

4 to amounts paid or incurred in taxable years beginning 

5 after December 31, 2020.’’. 

6 (b) CONFORMING AMENDMENTS.— 

7 (1) Paragraph (2) of section 1324(b) of title 

8 31, United States Code, is amended by inserting 

9 ‘‘36C,’’ after ‘‘36B,’’. 

10 (2) The table of sections for subpart C of part 

11 IV of subchapter A of chapter 1 of the Internal Rev12 enue Code of 1986 is amended by inserting after the 

13 item relating to section 36B the following new item: 

‘‘Sec. 36C. Unemployed workers obtaining manufacturing job training.’’. 

14 (c) NOTICE OF CREDIT.—The Commissioner of In15 ternal Revenue shall provide notice on the website of the 

16 Internal Revenue Service of the availability of the credit 

17 established by subsection (a), and it is the sense of the 

18 Congress that other governmental job training and unem19 ployment compensation entities shall also provide notice 

20 of such credit on their websites. 

21 (d) EFFECTIVE DATE.—The amendments made by 

22 this section shall apply to taxable years beginning after 

23 December 31, 2014. 


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1 SEC. 3. EMPLOYER CREDIT FOR EMPLOYER PROVIDED 

2 ADULT EDUCATION AND MANUFACTURING 

3 JOB TRAINING PROGRAMS. 

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. CREDIT FOR EMPLOYER-PROVIDED ADULT EDU9 CATION AND MANUFACTURING JOB TRAIN10 ING PROGRAMS. 

11 ‘‘(a) IN GENERAL.—For the purposes of section 38, 

12 the education and training credit determined under this 

13 section for the taxable year is an amount equal to 20 per14 cent of the aggregate qualified education and training ex15 penses paid or incurred for each employee during the tax16 able year. 

17 ‘‘(b) LIMITATION.—The credit allowed under sub18 section (a) with respect to any employee for a taxable year 

19 shall not exceed $1,000. 

20 ‘‘(c) QUALIFIED EDUCATION AND TRAINING EX21 PENSES.—For purposes of this section, the term ‘qualified 

22 education and training expenses’ means with respect to 

23 an employee amounts paid or incurred during the taxable 

24 year in providing education or training for manufacturing 

25 under the Workforce Investment Act of 1998 (29 U.S.C. 

26 2801 et seq.) or a curriculum approved by the EmployVerDate Mar 15 2010 04:12 Aug 09, 2014 Jkt 039200 PO 00000 Frm 00005 Fmt 6652 Sfmt 6201 E:\BILLS\H5325.IH H5325

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1 ment and Training Administration of the Department of 

2 Labor to individuals employed by the taxpayer in manu3 facturing positions (as determined by the Secretary of 

4 Labor). 

5 ‘‘(d) SPECIAL RULES.— 

6 ‘‘(1) DENIAL OF DOUBLE BENEFIT.—No deduc7 tion or credit shall be allowed under this chapter for 

8 the portion of the expenses that are taken into ac9 count in determining the credit under this section 

10 for the taxable year. 

11 ‘‘(2) AGGREGATION.—For purposes of this sec12 tion, all persons treated as a single employer under 

13 subsection (a) or (b) or section 52, or subsection (m) 

14 or (o) of section 414, shall be treated as one person. 

15 ‘‘(e) ELECTION TO HAVE CREDIT NOT APPLY.—A 

16 taxpayer may elect (at such time and in such manner as 

17 the Secretary may by regulations prescribe) to have this 

18 section not apply for any taxable year. 

19 ‘‘(f) TERMINATION.—This section shall not apply to 

20 expenses paid after December 31, 2020.’’. 

21 (b) CREDIT TO BE PART OF GENERAL BUSINESS

22 CREDIT.—Subsection (b) of section 38 of the Internal 

23 Revenue Code of 1986 is amended by striking ‘‘plus’’ at 

24 the end of paragraph (35), by striking the period at the 


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1 end of paragraph (36) and inserting ‘‘, plus’’, and by add2 ing at the end the following new paragraph: 

3 ‘‘(37) the education and training credit deter4 mined under section 45S(a).’’. 

5 (c) TECHNICAL AMENDMENT.—Section 6501(m) of 

6 the Internal Revenue Code of 1986 is amended by insert7 ing ‘‘45S(e),’’ after ‘‘45H(g),’’. 

8 (d) CLERICAL AMENDMENT.—The table of sections 

9 for subpart D of part IV of subchapter A of chapter 1 

10 of the Internal Revenue Code of 1986 is amended by add11 ing at the end the following new item: 

‘‘Sec. 45S. Credit for employer-provided adult education and manufacturing job 

training programs.’’. 

12 (e) EFFECTIVE DATES.—The amendments made by 

13 this section shall apply to expenses paid or incurred in 

14 taxable years beginning after December 31, 2014. 

15 SEC. 4. PRESIDENTIAL AWARD FOR BUSINESS LEADERSHIP 

16 IN PREPARING WORKERS FOR THE MANU17 FACTURING ECONOMY. 

18 (a) ESTABLISHMENT.—There is established the Pres19 idential Award for Business Leadership in Manufacturing 

20 Job Training (referred to in this section as the ‘‘Presi21 dential Manufacturing Job Training Award’’), which shall 

22 be awarded to companies and other organizations for ex23 traordinary efforts in assisting their employees and mem24 bers to develop or better the manufacturing skills and 


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1 training and increase the productivity of American manu2 facturing. 

3 (b) SELECTION AND PRESENTATION OF AWARD.— 

4 (1) SELECTION.—The President shall periodi5 cally award the Presidential Manufacturing Job 

6 Training Award to companies and other organiza7 tions described in subsection (a) after reviewing rec8 ommendations to the President with respect to such 

9 award by the Secretary of Labor in consultation 

10 with the Secretary of Commerce. 

11 (2) PRESENTATION.—The presentation of the 

12 Presidential Manufacturing Job Training Award 

13 shall be made by the President, or a designee of the 

14 President, in conjunction with an appropriate cere15 mony. 

16 SEC. 5. BEST PRACTICES FOR MANUFACTURING JOB 

17 TRAINING. 

18 The Secretary of Labor shall, from time to time, col19 lect and disseminate best practices for manufacturing job 

20 training. 

Æ 


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