spect to programs under the national apprenticeship 
system. 
‘‘(4) TERMS.— 
‘‘(A) IN GENERAL.—Each voting member 
of the Advisory Committee shall be appointed 
for a term of 4 years, except as provided in 
subparagraphs (B) through (D). 
‘‘(B) TERMS OF INITIAL APPOINTEES.— 
‘‘(i) IN GENERAL.—The appointments 
of the initial members of the Advisory 
Committee shall be made not later than 90 
days after the effective date of the Na-
tional Apprenticeship Act of 2021. 
‘‘(ii) STAGGERING
OF
TERMS.—As 
designated by the Secretary at the time of 
the appointment, of the members first ap-
pointed— 
‘‘(I) half of such members shall 
serve a 2-year term; and 
‘‘(II) half of such members shall 
serve a 4-year term. 
‘‘(C) VACANCIES.—Any member appointed 
to fill a vacancy occurring before the expiration 
of the term for which the member’s predecessor 
was appointed shall be appointed only for the 
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remainder of that term. A member may serve 
after the expiration of that member’s term until 
a successor has taken office. A vacancy in the 
Advisory Committee shall be filled in the man-
ner in which the original appointment was 
made, except that such appointment shall be 
made not later than 90 days after the date of 
the vacancy. A member who fulfilled a partial 
term as the result of a vacancy may, at the end 
that term, be appointed to a full term. 
‘‘(D) MULTIPLE TERMS.—A voting mem-
ber of the Advisory Committee may serve not 
more than 2 full terms on the Advisory Com-
mittee. 
‘‘(b) CHAIRPERSON.—The Advisory Committee mem-
bers shall designate by vote one of the voting members 
described in subsection (a)(2)(A) of the Advisory Com-
mittee to serve as Chairperson of the Advisory Committee. 
‘‘(c) MEETINGS.— 
‘‘(1) IN
GENERAL.—The Advisory Committee 
shall meet at the call of the Chairperson and hold 
not fewer than 4 meetings during each calendar 
year. 
‘‘(2) OPEN ACCESS.—All meetings of the Advi-
sory Committee shall be open to the public. A tran-
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script shall be kept of each meeting and made avail-
able for public inspection within 30 days of the 
meeting. 
‘‘(d) DUTIES.—The Advisory Committee shall, at a 
minimum— 
‘‘(1) advise, consult with, and make rec-
ommendations to the Administrator on matters re-
lating to the administration of this Act, including 
recommendations on regulations and policies related 
to the administration of this Act; 
‘‘(2) annually prepare a set of recommendations 
for the Administrator, to be shared with the Com-
mittee on Education and Labor of the House of 
Representatives and the Committee on Health, Edu-
cation, Labor and Pensions of the Senate, to im-
prove the registration process under subtitle B to 
make the process easily accessible and efficient for 
use by sponsors while maintaining the requirements 
under subtitle B; 
‘‘(3) make recommendations on expanding par-
ticipation of nontraditional apprenticeship popu-
lations in programs under the national apprentice-
ship system; and 
‘‘(4) review apprenticeable occupations and, 
based on reviews of labor market trends and 
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changes, make recommendations to the Adminis-
trator on whether to— 
‘‘(A) make updates to apprenticeable occu-
pations under section 111(b)(5)(A); or 
‘‘(B) convene sector leaders and experts 
under section 111(b)(5)(C) for the establishing 
specific frameworks of industry recognized oc-
cupational standards. 
‘‘(e) PERSONNEL.— 
‘‘(1) COMPENSATION OF MEMBERS.— 
‘‘(A) IN GENERAL.—A member of the Ad-
visory Committee who is not an officer or em-
ployee of the Federal Government shall be com-
pensated at a rate equal to the daily equivalent 
of the annual rate of basic pay prescribed for 
level IV of the Executive Schedule under section 
5315 of title 5, United States Code, for each 
day (including travel time) during which the 
member is engaged in the performance of the 
duties of the Advisory Committee. 
‘‘(B) OFFICERS OR EMPLOYEES OF THE 
UNITED
STATES.—Members of the Advisory 
Committee who are officers or employees of the 
United States may not receive additional pay, 
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allowances, or benefits by reason of their service 
on the Advisory Committee. 
‘‘(2) STAFF.—The Secretary shall supply the 
Advisory Committee with an executive Secretary and 
provide such secretarial, clerical, and other services 
as the Secretary determines to be necessary to en-
able the Advisory Committee to carry out the duties 
described in subsection (d). 
‘‘(3) DATA
REQUESTS.—The Advisory Com-
mittee through its Chairperson may request data 
from the Secretary as determined necessary by the 
Advisory Committee to carry out its functions as de-
scribed in this section. 
‘‘(f) PERMANENT COMMITTEE.—The Federal Advi-
sory Committee Act (5 U.S.C. App.) (other than section 
14 of such Act) shall apply to the Advisory Committee. 
‘‘SEC. 113. STATE APPRENTICESHIP AGENCIES AND STATE 
OFFICES OF APPRENTICESHIP. 
‘‘(a) RECOGNITION
OF
STATE
APPRENTICESHIP 
AGENCIES.— 
‘‘(1) IN
GENERAL.—The Administrator shall 
recognize a State agency as a State apprenticeship 
agency in accordance with this section and cooperate 
with such State apprenticeship agency regarding the 
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formulation and promotion of standards of appren-
ticeship under subtitle B. 
‘‘(2) APPLICATION.—A State desiring to have a 
State agency recognized as a State apprenticeship 
agency under this section shall submit an application 
at such time, in such manner, and containing such 
information as the Administrator may require, in-
cluding— 
‘‘(A) the initial State plan described in 
subsection (c)(2)(A)(i); 
‘‘(B) a description of how the State ap-
prenticeship agency will meet the State plan re-
quirements of subsection (c); and 
‘‘(C) a description of the linkages and co-
ordination of the State’s proposed standards, 
criteria, and requirements with the State’s eco-
nomic development strategies and workforce de-
velopment system and the State’s secondary, 
postsecondary, and adult education systems. 
‘‘(3) REVIEW AND RECOGNITION.— 
‘‘(A) IN
GENERAL.—Not later than 90 
days after the date on which a State submits an 
application under paragraph (2), the Secretary 
shall notify the State regarding whether the 
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‘‘(III) NONCOMPLIANCE.—In the 
case of a State apprenticeship agency 
that is not in compliance with this 
section, the notification shall— 
‘‘(aa) specify the areas of 
noncompliance; 
‘‘(bb) require corrective ac-
tion; and 
‘‘(cc) offer technical assist-
ance. 
‘‘(iii) 
RENEWAL
AFTER
CORREC-
TION.—If the Administrator determines 
that a State apprenticeship agency has 
corrected the identified areas of noncompli-
ance under this subparagraph not later 
than 180 days of notification of noncompli-
ance, the State apprenticeship agency’s 
recognition under this section shall be re-
newed for an additional 4-year period. 
‘‘(C) TRANSITION
PERIOD
FOR
STATE 
AGENCIES.— 
‘‘(i) IN GENERAL.—Not later than 1 
year after the effective date of the Na-
tional Apprenticeship Act of 2021, a State 
agency that, as of the day before the date 
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of enactment of such Act, was recognized 
by the Secretary for purposes of reg-
istering apprenticeship programs in accord-
ance with this Act shall submit an applica-
tion under paragraph (2). 
‘‘(ii) TRANSITION
PERIOD.—A State 
agency described in clause (i) shall be rec-
ognized as a State apprenticeship agency 
under this section for a 4-year period be-
ginning on the date on which the Secretary 
approves the application submitted by the 
State agency under paragraph (2). 
‘‘(b) AUTHORITY
OF
A STATE APPRENTICESHIP 
AGENCY.— 
‘‘(1) IN
GENERAL.—For the period during 
which a State apprenticeship agency is recognized 
under subsection (a) and to maintain such recogni-
tion, the State apprenticeship agency shall carry out 
the requirements of this Act. 
‘‘(2) PROGRAM RECOGNITION.—With respect to 
a State with a State apprenticeship agency, the 
State apprenticeship agency shall have sole authority 
to recognize and register a pre-apprenticeship, youth 
apprenticeship, or apprenticeship program in such 
State, which shall include— 
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‘‘(A) determining whether such program is 
in compliance with the standards for such pro-
gram under section 122; 
‘‘(B) in the case of such a program that is 
in compliance with such standards, recognizing 
the program and providing a certificate of rec-
ognition for such program; 
‘‘(C) providing technical assistance to cur-
rent or potential sponsors; and 
‘‘(D) in the case of such a program that 
fails to meet the requirements of this Act, pro-
viding for the withdrawal of recognition of the 
program in accordance with section 131(b). 
‘‘(3) STATE APPRENTICESHIP COUNCIL.— 
‘‘(A) IN
GENERAL.—A State apprentice-
ship agency shall establish and continue to use 
a State apprenticeship council, which shall oper-
ate in compliance with the requirements of this 
Act under the direction of the State apprentice-
ship agency. 
‘‘(B) COMPOSITION.—A State apprentice-
ship council may be regulatory or advisory in 
nature, and shall— 
‘‘(i) be composed of persons familiar 
with apprenticeable occupations; and 
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‘‘(ii) be fairly balanced, with an equal 
number of— 
‘‘(I) representatives of employer 
organizations, including from non-
traditional apprenticeship industries 
or occupations; 
‘‘(II) representatives of labor or-
ganizations or joint labor-management 
organizations, including from non-
traditional apprenticeship industries 
or occupations; and 
‘‘(III) public members; and 
‘‘(iii) to the extent practicable, have 
not less than 1 member who is a member 
of the State workforce board. 
‘‘(C) SPECIAL RULE.—A State apprentice-
ship council shall not be eligible for recognition 
as a State apprenticeship agency. 
‘‘(c) STATE PLAN.— 
‘‘(1) IN GENERAL.—For a State apprenticeship 
agency to be eligible to receive allotments under sub-
section (f) and to be recognized under this section, 
the State apprenticeship agency shall submit to the 
Secretary a State plan that meets the requirements 
of this subsection. 
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‘‘(2) APPROVAL OF STATE PLAN.— 
‘‘(A) SUBMISSION.— 
‘‘(i) INITIAL PLAN.—The first State 
plan of a State apprenticeship agency shall 
be submitted to the Administrator not 
later than 120 days prior to the com-
mencement of the first full program year 
of the State apprenticeship agency, which 
shall include— 
‘‘(I) a description of any State 
laws, policies, or operational proce-
dures relating to the process of recog-
nizing programs under the national 
apprenticeship system that is incon-
sistent with, or imposes requirements 
in addition to, the requirements of 
this Act; 
‘‘(II) an assurance that the State 
will notify the Administrator if there 
are any changes to the State laws (in-
cluding regulations), policies, or pro-
cedures described in subclause (I) that 
occur after the date of submission of 
such plan; and 
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‘‘(III) an assurance that the 
State will make available on a publicly 
available website a description of any 
laws (including regulations), policies, 
and operational procedures relating to 
the process of recognizing programs 
under the national apprenticeship sys-
tem that are inconsistent with, or im-
pose requirements in addition to, the 
requirements of this Act. 
‘‘(ii) SUBSEQUENT PLANS.—Except as 
provided in clause (i), a State plan shall be 
submitted to the Administrator not later 
than 120 days prior to the end of the 4- 
year period covered by the preceding State 
plan. 
‘‘(B) APPROVAL.—A State plan shall be 
subject to the approval of the Administrator 
and shall be considered to be approved at the 
end of the 90-day period beginning on the date 
that the plan is submitted under this para-
graph, unless the Administrator, during the 90- 
day period, provides the State apprenticeship 
agency, in writing— 
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‘‘(i) an explanation for why the State 
plan is inconsistent with the requirements 
of this Act; and 
‘‘(ii) an opportunity for an appeal of 
such determination to an Administrative 
Law Judge for the Department of Labor 
not later than 30 days after receipt of the 
notice of denial from the Administrator. 
‘‘(C) MODIFICATIONS.— 
‘‘(i) MODIFICATIONS.—At the end of 
the first 2-year period of any 4-year State 
plan, the State may submit modifications 
to the State plan to reflect changes in 
labor market and economic conditions or 
other factors affecting the implementation 
of the State plan. 
‘‘(ii) APPROVAL.—A modified State 
plan submitted for review under clause (i) 
shall be subject to the approval require-
ments described in subparagraph (B). 
‘‘(3) TECHNICAL
ASSISTANCE.—Each State 
Plan shall describe how the State apprenticeship 
agency will provide technical assistance for— 
‘‘(A) potential sponsors, employers, labor 
organizations, joint labor-management organi-
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zations, qualified intermediaries, apprentices, 
education and training providers, credentialing 
bodies, eligible entities, industry associations, or 
any potential program participant in the na-
tional apprenticeship system in the State for 
the purposes of recruitment, retention, program 
development, expansion, or implementation, in-
cluding supporting remote or virtual learning or 
training, as necessary; 
‘‘(B) sponsors of programs registered in 
the State, including sponsors that are not meet-
ing performance goals under subtitle C, for pur-
poses of assisting sponsors in meeting or ex-
ceeding such goals; and 
‘‘(C) sponsors of programs registered in 
that State for purposes of assisting such spon-
sors in achieving State goals in diversity and 
equal opportunity in apprenticeships in accord-
ance with paragraph (5). 
‘‘(4) RECIPROCITY.—Each State plan shall de-
scribe how the State apprenticeship agency, in the 
case of a program recognized by a registration agen-
cy in another State, shall recognize such program in 
the State of such agency for purposes of this Act by 
not later than 30 days after receipt of an application 
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for such recognition from a program sponsor, as 
long as such program meets the wage and hour pro-
visions of the State granting reciprocity. 
‘‘(5) PROMOTING DIVERSITY IN THE NATIONAL 
APPRENTICESHIP
SYSTEM.—Each State plan shall 
include a plan for how the State apprenticeship 
agency will— 
‘‘(A) promote diversity in apprenticeable 
occupations offered throughout the State, and a 
description of how such agency will promote the 
addition of apprenticeable occupations in high- 
skill, high-wage, or in-demand industry sectors 
and occupations, and in nontraditional appren-
ticeship occupations and sectors; and 
‘‘(B) promote diversity and equal oppor-
tunity in programs under the national appren-
ticeship system by uniformly adopting and im-
plementing the requirements of subparagraphs 
(B) and (C) of section 111(b)(7). 
‘‘(6) COMPLAINTS.— 
‘‘(A) IN
GENERAL.—Subject to subpara-
graph (B), each State plan shall include a de-
scription of the system for the State apprentice-
ship agency to receive and resolve complaints 
submitted by program participants, the pro-
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gram participant’s authorized representative, 
sponsors, employers, or nonprofit compliance 
organizations, such as complaints concerning 
equal employment opportunity or discrimina-
tion, violations of the apprenticeship agreement, 
or violations of requirements under this Act. 
‘‘(B) COLLECTIVE
BARGAINING
AGREE-
MENTS.—Any controversy arising under an ap-
prenticeship agreement which is covered by a 
collective bargaining agreement shall not be 
subject to the system described in subparagraph 
(A), except that complaints concerning discrimi-
nation or any matters described in subpara-
graph (5)(B) shall be subject to such system. 
‘‘(7) STATE
APPRENTICESHIP
HUBS.—Each 
State plan shall describe how the State will support, 
in a manner that takes into consideration geographic 
diversity, the creation and implementation of ap-
prenticeship hubs throughout the State that shall 
work with industry and sector partnerships to ex-
pand programs under the national apprenticeship 
system, and apprenticeable occupations, in the State. 
‘‘(8) STATE
APPRENTICESHIP
PERFORMANCE 
OUTCOMES.—Each State plan shall— 
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‘‘(A) in coordination with the Adminis-
trator, establish annual State performance goals 
for the programs registered by the State ap-
prenticeship agency for the indicators de-
scribed— 
‘‘(i) in subparagraph (A) of section 
131(b)(1); and 
‘‘(ii) in subparagraph (B)(ii) of sec-
tion 131(b)(1); and 
‘‘(B) describe how the State apprenticeship 
agency will collect performance data from pro-
grams registered by the agency; and 
‘‘(C) annually report on the outcomes of 
each such program in relation to the State es-
tablished goals under subparagraph (A). 
‘‘(9) USES OF FUNDS.—Each State plan shall 
include a description of the uses described in sub-
section (d) of the allotment received by the State ap-
prenticeship agency under subsection (f). 
‘‘(10) ALIGNMENT
OF
WORKFORCE
ACTIVI-
TIES.—Each State plan shall include a summary of 
State-supported workforce development activities (in-
cluding education and training) in the State, includ-
ing— 
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‘‘(A) a summary of the apprenticeship pro-
grams on the list of eligible providers of train-
ing services under section 122(d) of the Work-
force Innovation and Opportunity Act (29 
U.S.C. 3152(d)); 
‘‘(B) the degree to which the programs 
under the national apprenticeship system in the 
State are aligned with and address the skill 
needs of the employers in the State identified 
by the State workforce development board; and 
‘‘(C) a description of how apprenticeship 
programs will receive expedited consideration to 
be included on the list of eligible providers of 
training services under section 122(d) of the 
Workforce Innovation and Opportunity Act (29 
U.S.C. 3152(d)). 
‘‘(11) STATE STRATEGIC VISION.—Each State 
plan shall include a summary of the State’s strategic 
vision and set of goals for preparing an educated 
and skilled workforce and for meeting the skilled 
workforce needs of employers, including in existing 
and emerging in-demand industry sectors and occu-
pations as identified by the State, and how the pro-
grams registered by the State apprenticeship agency 
in the State will help to meet such goals. 
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‘‘(12) STRATEGY
FOR
ANY
JOINT
PLANNING, 
ALIGNMENT, COORDINATION, AND LEVERAGING OF 
FUNDS.—Each State plan shall provide a description 
of the State apprenticeship agency’s strategy for 
joint 
planning, 
alignment, 
coordination, 
and 
leveraging of funds— 
‘‘(A) with the State’s workforce develop-
ment system, to achieve the strategic vision and 
goals described in paragraph (11), including the 
core programs defined in section 3 of the Work-
force Innovation and Opportunity Act (29 
U.S.C. 3102) and the elements related to sys-
tem alignment under section 102(b)(2)(B) of 
such Act (29 U.S.C. 3112(b)(2)(B)); 
‘‘(B) for programs under the national ap-
prenticeship system in the State with other 
Federal education programs, including pro-
grams under— 
‘‘(i) the Elementary and Secondary 
Education Act of 1965; 
‘‘(ii) the Individuals with Disabilities 
Education Act; 
‘‘(iii) the Carl D. Perkins Career and 
Technical Education Act of 2006; and 
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‘‘(iv) the Higher Education Act of 
1965; and 
‘‘(C) to provide information about access 
to available State assistance or assistance under 
related Federal programs, including such assist-
ance under— 
‘‘(i) section 6(d) of the Food and Nu-
trition Act of 2008; 
‘‘(ii) subsection (c)(1) of section 3672 
of title 38, United States Code; 
‘‘(iii) section 231 of the Second 
Chance Act of 2007 (34 U.S.C. 60541); 
and 
‘‘(iv) the State Temporary Assistance 
for Needy Families programs under part A 
of title IV of the Social Security Act. 
‘‘(13) STATE
APPRENTICESHIP
COUNCIL.— 
Each State plan shall provide for a description of 
the composition, roles, and responsibility of the 
State apprenticeship council, and how the Council 
will comply with the requirements of subsection 
(b)(3). 
‘‘(d) STATE APPRENTICESHIP AGENCY FUNDING.— 
A State apprenticeship agency shall use funds received 
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under clauses (i) and (ii) of subsection (f)(1)(A) according 
to the following requirements: 
‘‘(1) PROGRAM
ADMINISTRATION.—The State 
apprenticeship agency shall use such funds to sup-
port the administration of programs under the na-
tional apprenticeship system across the State, in-
cluding for— 
‘‘(A) staff and resources; 
‘‘(B) oversight and evaluation as required 
under this Act; 
‘‘(C) technical assistance to program spon-
sors, program participants, employers, labor or-
ganizations, joint labor-management organiza-
tions, education and training providers, and 
qualified intermediaries; 
‘‘(D) pre-apprenticeship, youth, and ap-
prenticeship program recruitment and develop-
ment, including for— 
‘‘(i) engaging potential providers of 
such programs such as employers, qualified 
intermediaries, related instruction pro-
viders, and potential program participants; 
‘‘(ii) publicizing apprenticeship oppor-
tunities and benefits; and 
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‘‘(iii) engaging State workforce and 
education systems for collaboration and 
alignment across systems; 
‘‘(E) supporting the enrollment and ap-
prenticeship certification requirements to allow 
veterans and other individuals eligible for the 
educational assistance programs under chapters 
30 through 36 of title 38, United States Code, 
and any related educational assistance pro-
grams under laws administered by the Sec-
retary of Veterans Affairs, to use such assist-
ance for the apprenticeship program, including 
the requirement of designating a certifying offi-
cial; and 
‘‘(F) supporting the retention and comple-
tion of program participants in such programs, 
such as by assisting with the costs— 
‘‘(i) related to enrolling in such pro-
grams; or 
‘‘(ii) of assessments related to obtain-
ing a recognized postsecondary credential. 
‘‘(2) EDUCATIONAL
ALIGNMENT.—The State 
apprenticeship agency shall use not less than 10 per-
cent of such funds to engage with the State edu-
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cation system to provide technical assistance and 
best practices regarding— 
‘‘(A) alignment of youth apprenticeship 
programs with the secondary education pro-
grams in the State, including support for career 
exploration, career pathways, education and ca-
reer planning, and engagement with youth ap-
prenticeship programs for teachers, career guid-
ance and academic counselors, school leaders, 
administrators, and specialized instructional 
support personnel and paraprofessionals; 
‘‘(B) alignment of related instruction pro-
vided under the national apprenticeship system 
in the State with academic credit granting post-
secondary programs (including developing ca-
reer pathways, articulation agreements, and 
prior learning assessments); and 
‘‘(C) the joint planning, alignment, coordi-
nation, and leveraging of funds described in 
subparagraphs (B) and (C) of subsection 
(c)(12). 
‘‘(3) WORKFORCE ALIGNMENT.—The State ap-
prenticeship agency shall use not less than 10 per-
cent of such funds to engage with the State work-
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force development system to provide technical assist-
ance and best practices regarding— 
‘‘(A) alignment with the State’s workforce 
activities and strategic vision in accordance 
with paragraphs (10), (11), and subparagraphs 
(A) and (C) of paragraph (12) of subsection 
(c); 
‘‘(B) guidance for training staff of the 
workforce development system, including the vo-
cational rehabilitation agencies, within the 
State on the value of programs under the na-
tional apprenticeship system as a work-based 
learning option for participants, including par-
ticipants of programs authorized under the 
Workforce Innovation and Opportunity Act (29 
U.S.C. 3101 et seq.) such as Job Corps under 
subtitle C of title I of such Act and YouthBuild 
under section 171 of such Act; 
‘‘(C) providing a list of programs under 
the national apprenticeship system that are of-
fered in the State, including in the State’s high- 
skill, high-wage, or in-demand industry sectors 
or occupations; 
‘‘(D) alignment of funding received and re-
porting required under this Act, including rel-
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evant placement, retention, and earnings infor-
mation, with the Workforce Innovation and Op-
portunity Act (29 U.S.C. 3101 et seq.), and 
technical assistance in how individual training 
accounts under section 134(c)(3) of such Act 
could be used to pay for the costs of enrolling 
and participating in programs under the na-
tional apprenticeship system; 
‘‘(E) partnerships with State or local work-
force development boards, State workforce 
agencies, and one-stop centers and one-stop op-
erators that assist program participants in ac-
cessing supportive services to support— 
‘‘(i) the recruitment, retention, and 
completion of programs under the national 
apprenticeship system; 
‘‘(ii) transitions from youth appren-
ticeships and pre-apprenticeships to ap-
prenticeship programs; and 
‘‘(iii) the placement into employment 
or further education upon program comple-
tion; and 
‘‘(F) expanding the list of eligible providers 
of training services under section 122(d) of the 
Workforce Innovation and Opportunity Act to 
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include programs under the national apprentice-
ship system in the State (29 U.S.C. 3152(d)). 
‘‘(4) LEADERSHIP ACTIVITIES.— 
‘‘(A) IN
GENERAL.—A State apprentice-
ship agency may reserve not more than 15 per-
cent of the funds received under subsection (f) 
in support of State apprenticeship initiatives 
described in this paragraph. 
‘‘(B) DIVERSITY.—Not less than 5 percent 
of the amount reserved under subparagraph (A) 
shall be used by the State apprenticeship agen-
cy for supporting and expanding diversity in 
apprenticeable occupations under the national 
apprenticeship system in the State and program 
participant populations in the State. 
‘‘(C) INCENTIVES
FOR
EMPLOYERS.—A 
State apprenticeship agency may use funds re-
served under subparagraph (A) to incentivize 
employers to participate in programs under the 
national apprenticeship system, such as costs 
related to program development, staffing for 
mentors and supervisors, related instruction, or 
the creation of industry or sector partnerships 
to support employer participation. 
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‘‘(D) 
STATE-SPECIFIC
INITIATIVES.—A 
State apprenticeship agency may use funds re-
served under subparagraph (A) for State-spe-
cific initiatives, such as the development or ex-
pansion of youth apprenticeship programs or 
apprenticeship programs in high-skill, high- 
wage, or in-demand industry sectors and occu-
pations. 
‘‘(5) STATE
MATCH
FOR
FEDERAL
INVEST-
MENT.— 
‘‘(A) IN GENERAL.—Except in the case of 
exceptional circumstances, as determined by the 
Administrator, in order to receive a full allot-
ment under subsection (f), a State apprentice-
ship agency shall use matching funds from non- 
Federal resources to carry out the activities of 
the agency under this Act in an amount not 
less than 25 percent of such allotment. 
‘‘(B) TRANSITION PERIOD.—The require-
ment under this paragraph shall take effect 
with respect to a State apprenticeship agency 
on the date that is 1 day after the date on 
which the transition period for such agency 
under subsection (a)(3)(C)(ii) ends. 
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‘‘(e) DERECOGNITION OF STATE APPRENTICESHIP 
AGENCIES.— 
‘‘(1) IN GENERAL.—The Secretary may with-
draw recognition of a State apprenticeship agency 
before the end of the agency’s 4-year recognition pe-
riod under subsection (a)(2)(B) if the Secretary de-
termines, after notice and an opportunity for a hear-
ing, that the State apprenticeship agency has failed 
for one of the reasons described in paragraph (2), 
and has not been in compliance with the perform-
ance improvement plan under paragraph (3) to rem-
edy such failure. 
‘‘(2) DERECOGNITION CRITERIA.—The recogni-
tion of a State apprenticeship agency under this sec-
tion may be withdrawn under paragraph (1) in a 
case in which the State apprenticeship agency fails 
to— 
‘‘(A) adopt or properly enforce a State 
plan; 
‘‘(B) properly carry out its role as the sole 
registration agency in the State; 
‘‘(C) submit a report under section 
131(b)(1)(B) for any program year; 
‘‘(D) meet the State levels of performance 
as described in subsection (c)(8)(A) or dem-
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onstrate improvements in performance for 3 
consecutive program years; or 
‘‘(E) otherwise fulfill or operate in compli-
ance with the requirements of this Act. 
‘‘(3) DERECOGNITION PROCESS.— 
‘‘(A) IN GENERAL.—If a State apprentice-
ship agency fails for any of the reasons de-
scribed in paragraph (2), the Secretary shall 
provide technical assistance to such agency for 
corrective action to remedy such failure, includ-
ing assistance in the development of a perform-
ance improvement plan. 
‘‘(B) REDUCTION OF FUNDS.—Except in 
the case of exceptional circumstances as deter-
mined by the Administrator, in a case in which 
such a State apprenticeship agency continues 
such failure after the provision of the technical 
assistance under subparagraph (A)— 
‘‘(i) the percentage of the funds to be 
allotted to the State apprenticeship agency 
under subsection (f) for each fiscal year 
following the fiscal year in which such fail-
ure has been identified shall be reduced by 
5 percentage points; and 
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‘‘(ii) the Administrator shall provide 
notice to the State apprenticeship agency 
that the agency’s recognition under this 
section may be withdrawn if the agency 
fails to remedy the failure. 
‘‘(C) TERMINATION OF PROCEEDINGS.—If 
the Administrator determines that the State ap-
prenticeship agency’s corrective action under 
subparagraph (A) has addressed the agency’s 
failure identified under paragraph (2), the Ad-
ministrator shall— 
‘‘(i) restore the agency’s full funding 
allocation under this title for the next full 
fiscal year; and 
‘‘(ii) notify the State apprenticeship 
agency that the agency’s recognition will 
not be withdrawn under this section for 
the reason for which the agency’s funding 
under this title was most recently reduced. 
‘‘(D) OPPORTUNITY FOR HEARING.— 
‘‘(i) IN GENERAL.—In a case in which 
a State apprenticeship agency fails to rem-
edy a failure identified under paragraph 
(2), the Administrator shall— 
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‘‘(I) notify, in writing, the State 
apprenticeship agency of the failure of 
the State apprenticeship agency, in-
cluding a description of such failure 
and an explanation that the agency’s 
recognition under this section may be 
withdrawn as a result of such failure; 
and 
‘‘(II) offer the State apprentice-
ship agency an opportunity to request 
a hearing not later than 30 days after 
the date of such notice. 
‘‘(ii) REFERRAL
TO
OFFICE
OF
AD-
MINISTRATIVE LAW JUDGES.—In a case in 
which the State apprenticeship agency re-
quests a hearing under clause (i)(II), the 
Administrator shall refer the matter to the 
Office of Administrative Law Judges for a 
recommended decision by the Administra-
tive Review Board for final agency action. 
‘‘(4) REQUIREMENTS REGARDING WITHDRAWAL 
OF RECOGNITION.— 
‘‘(A) OFFICE OF APPRENTICESHIP.— 
‘‘(i) PRIOR TO ORDER.—Prior to the 
withdrawal of the recognition of a State 
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‘‘(i) provide to the Administrator pro-
gram standards, apprenticeship agree-
ments, completion records, cancellation and 
suspension records, performance metrics, 
and any other documents relating to the 
State’s programs under the national ap-
prenticeship system in the State; 
‘‘(ii) cooperate fully during the transi-
tion period beginning on the date of the 
order withdrawing such recognition and 
ending on the date on which the Adminis-
trator establishes a State Office of Appren-
ticeship in the State; and 
‘‘(iii) return any unused funds re-
ceived under this Act. 
‘‘(5) REINSTATEMENT
OF
RECOGNITION.—A 
State apprenticeship agency that has had its rec-
ognition withdrawn under this section may have 
such recognition reinstated upon presentation of 
adequate evidence that the State apprenticeship 
agency has— 
‘‘(A) submitted an application under sub-
section (a)(2); and 
‘‘(B) demonstrated the ability to operate in 
compliance with the requirements of this Act. 
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‘‘(f) RESERVATION AND STATE ALLOTMENTS.— 
‘‘(1) STATE ALLOTMENTS.— 
‘‘(A) IN GENERAL.—Of the amount appro-
priated under subsection (g) for a fiscal year— 
‘‘(i) 33 1⁄3 percent shall be equally dis-
tributed among each State Office of Ap-
prenticeship, outlying area, and eligible 
State; and 
‘‘(ii) 66 2⁄3 percent shall be allotted to 
eligible States on the basis described in 
subparagraph (B). 
‘‘(B) FORMULA.— 
‘‘(i) IN
GENERAL.—Of the amount 
available under subparagraph (A)(ii)— 
‘‘(I) 25 percent shall be allotted 
on the basis of the relative share of 
program participants in each eligible 
State, as determined on the basis of 
the most recent satisfactory data 
available 
from 
the 
Administrator, 
compared to the total number of pro-
gram 
participants 
in 
all 
eligible 
States, as determined on such basis; 
‘‘(II) 25 percent shall be allotted 
on the basis of the relative share of 
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program participants who have com-
pleted a program under the national 
apprenticeship system in each eligible 
State during the most recent 5-year 
period, as determined on the basis of 
the most recent satisfactory data 
available 
from 
the 
Administrator, 
compared to the total 5-year average 
of program participants who have 
completed a program in all eligible 
States, as determined on such basis; 
and 
‘‘(III) 50 percent shall be allotted 
on the basis described in clause (ii). 
‘‘(ii) ALLOTMENTS
BASED
ON
BLS 
AND ACS DATA.—Of the amount available 
under clause (i)(III)— 
‘‘(I) 331⁄3 percent shall be allot-
ted on the basis of the relative share 
of individuals in the civilian labor 
force in each eligible State, compared 
to the total number of individuals in 
the civilian labor force in all eligible 
States; 
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‘‘(II) 331⁄3 percent shall be allot-
ted on the basis of the relative share 
of individuals living below the poverty 
line in each eligible State, compared 
to the total number of individuals liv-
ing below the poverty line in all eligi-
ble States; and 
‘‘(III) 331⁄3 percent shall be allot-
ted on the basis of the relative num-
ber of unemployed individuals in each 
eligible State, compared to the total 
number of unemployed individuals in 
all eligible States. 
‘‘(2) DEFINITIONS.—In this subsection— 
‘‘(A) ELIGIBLE STATE.—The term ‘eligible 
State’ means a State (as defined in section 2) 
that has a State apprenticeship agency. 
‘‘(B) POVERTY LINE.—The term ‘poverty 
line’ has the meaning given such term in sec-
tion 3 of the Workforce Innovation and Oppor-
tunity Act (29 U.S.C. 3102). 
‘‘(C) 
UNEMPLOYED
INDIVIDUAL.—The 
term ‘unemployed individual’ has the meaning 
given such term in section 3 of the Workforce 
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Innovation and Opportunity Act (29 U.S.C. 
3102). 
‘‘(g) AUTHORIZATION OF APPROPRIATIONS.—There 
are authorized to be appropriated to carry out this sec-
tion— 
‘‘(1) $75,000,000 for fiscal year 2022; 
‘‘(2) $85,000,000 for fiscal year 2023; 
‘‘(3) $95,000,000 for fiscal year 2024; 
‘‘(4) $105,000,000 for fiscal year 2025; and 
‘‘(5) $115,000,000 for fiscal year 2026. 
‘‘SEC. 114. INTERAGENCY AGREEMENT WITH DEPARTMENT 
OF EDUCATION. 
‘‘(a) IN GENERAL.—Not later than 1 year after the 
effective date of the National Apprenticeship Act of 2021, 
in order to cooperate with the Secretary of Education and 
promote awareness and adoption of apprenticeship pro-
grams, the Secretary (acting through the Administrator) 
shall— 
‘‘(1) enter into an interagency agreement with 
the Secretary of Education to promote and support 
integration and alignment of programs under the 
national apprenticeship system with secondary, post-
secondary, and adult education, through the activi-
ties described in this section; and 
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‘‘(2) submit to the Committee on Education 
and Labor of the House of Representatives and the 
Committee on Health, Education, Labor, and Pen-
sions of Senate, such agreement and any modifica-
tions to such agreement. 
‘‘(b) ALIGNMENT FOR YOUTH APPRENTICESHIPS.— 
In order to promote alignment between youth apprentice-
ship programs and high school graduation requirements, 
the interagency agreement under subsection (a) shall de-
scribe how the Secretaries will work to provide— 
‘‘(1) information and resources to— 
‘‘(A) parents and students to promote a 
better understanding of programs under the na-
tional apprenticeship system and their value in 
secondary and postsecondary education and ca-
reer pathways by not later than middle school; 
and 
‘‘(B) school leaders (working with aca-
demic counselors, teachers, and faculty) about 
the value of such programs and information on 
how to effectively align youth apprenticeship 
programs with secondary and career and tech-
nical education programs; and 
‘‘(2) technical assistance on how to— 
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