On-the-Job Training Act of 2013

To authorize a national grant program for on-the-job training. 1. Short title This Act may be cited as the On-the-Job Training Act of 2013 2. On-The-Job Training (a) In general Subtitle D of title I of the Workforce Investment Act of 1998 is amended by inserting after section 173A ( 29 U.S.C. 2918a 173B. On-The-Job Training (a) Definition In this section, the term federally recognized tribal organization (b) Grants From the amount made available under subsection (i), and subject to subsection (e)— (1) the Secretary shall make grants on a discretionary basis to eligible entities described in subsection (c) for adult on-the-job training, or dislocated worker on-the-job training, carried out under section 134 and for State functions described in subsection (g); and (2) using an amount that is not more than 10 percent of the funds made available under subsection (i), the Secretary shall make grants to such eligible entities for developing on-the-job training programs, including providing capacity building activities for local staff who will be engaged in the development of the programs, in consultation with the Secretary. (c) Eligible entities The following entities are eligible to receive a grant under this section: (1) States. (2) Units of local government and local boards. (3) Indian tribes. (4) Institutions of higher education. (5) Business trade associations. (6) Local educational agencies. (d) Application To be eligible to receive a grant under subsection (b), an eligible entity shall submit an application to the Secretary at such time, in such manner, and containing such information as the Secretary may require. In preparing such an application for a grant under subsection (b)(1), a local board shall consult with the corresponding State. (e) Reimbursement of wage rates Notwithstanding the limitation in section 101(31)(B), in making the grants described in subsection (b)(1) the Secretary may allow for higher levels of reimbursement of wage rates the Secretary determines are appropriate based on factors such as— (1) employer size, in order to facilitate the participation of small- and medium-sized employers; (2) target populations, in order to enhance job creation for persons with barriers to employment; and (3) the number of employees that will participate in the on-the-job training, the wage and benefit levels of the employees (before the training and anticipated on completion of the training), the relationship of the training to the competitiveness of the employer and employees, and the existence of other employer-provided training and advancement opportunities. (f) Administration by Secretary The Secretary may use an amount that is not more than 1 percent of the funds made available under subsection (i) for the administration, management, and oversight of the programs, activities, and grants, funded under subsection (b), including the evaluation of, and dissemination of information on lessons learned through, the use of such funds. (g) State oversight and monitoring A local board that receives a grant under subsection (b)(1) and is located in a State, shall provide not less than 5 percent of the grant funds to the State for State functions described in sections 136(f), 184, and 185. (h) Rule of construction Nothing in this section shall be construed to affect the manner in which subtitle B is implemented, for activities funded through amounts appropriated under section 137. (i) Authorization of appropriations There is authorized to be appropriated to carry out this section such sums as may be necessary for fiscal year 2015 and each subsequent fiscal year. . (b) Table of contents The table of contents in section 1(b) of the Workforce Investment Act of 1998 is amended by inserting after the item relating to section 173A the following: Sec. 173B. On-the-job training. .

Summary: On-the-Job Training Act of 2013 - Amends the Workforce Investment Act of 1998 to authorize the Secretary of Labor to: (1) make discretionary grants to states, local governments and boards, Indian tribes, institutions of higher education, business trade associations, and local educational agencies for adult on-the-job training or dislocated worker on-the-job training programs; and (2) use up to 10% of funds authorized under this Act to make grants to such entities for developing on-the-job training programs, including providing capacity building activities for local staff.