HR 3630 PCS
PART 1—REFORMS OF UNEMPLOYMENT COM-
PENSATION TO PROMOTE WORK AND JOB 
CREATION 
SEC. 2121. CONSISTENT JOB SEARCH REQUIREMENTS. 
(a) IN GENERAL.—Section 303(a) of the Social Secu-
rity Act is amended by adding at the end the following: 
‘‘(11)(A) A requirement that, as a condition of 
eligibility for regular compensation for any week, a 
claimant must be able to work, available to work, 
and actively seeking work. 
‘‘(B) For purposes of this paragraph, the term 
‘actively seeking work’ means, with respect to an in-
dividual, that such individual is actively engaged in 
a systematic and sustained effort to obtain work, as 
determined based on evidence (whether in electronic 
format or otherwise) satisfactory to the State agency 
charged with the administration of the State law. 
‘‘(C) The specific requirements that must be 
met in order to satisfy this paragraph shall be estab-
lished by the State agency, and shall include at least 
the following: 
‘‘(i) Registration for employment services 
within 10 days after making initial application 
for regular compensation. 
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‘‘(ii) Posting a resume, record, or other ap-
plication for employment on such database as 
the State agency may require. 
‘‘(iii) Applying for work in such manner as 
the State agency may require.’’. 
(b) EFFECTIVE DATE.—The amendment made by 
subsection (a) shall apply to weeks beginning after the end 
of the first session of the State legislature which begins 
after the date of enactment of this Act. 
SEC. 2122. PARTICIPATION IN REEMPLOYMENT SERVICES 
MADE A CONDITION OF BENEFIT RECEIPT. 
(a) SOCIAL SECURITY ACT.—Paragraph (10) of sec-
tion 303(a) of the Social Security Act is amended to read 
as follows: 
‘‘(10)(A) A requirement that, as a condition of 
eligibility for regular compensation for any week and 
in addition to State work search requirements— 
‘‘(i) a claimant shall meet the minimum 
educational requirements set forth in subpara-
graph (B); and 
‘‘(ii) any claimant who has been referred to 
reemployment services shall participate in such 
services. 
‘‘(B) For purposes of this paragraph, an indi-
vidual shall not be considered to have met the min-
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imum educational requirements of this subparagraph 
unless such individual— 
‘‘(i) has earned a high school diploma; 
‘‘(ii) has earned the General Educational 
Development (GED) credential or other State- 
recognized equivalent (including by meeting rec-
ognized alternative standards for individuals 
with disabilities); or 
‘‘(iii) is enrolled and making satisfactory 
progress in classes leading to satisfaction of 
clause (i) or (ii). 
‘‘(C) The requirements of subparagraph (B) 
may be waived for an individual to the extent that 
the State agency charged with the administration of 
the State law deems such requirements to be unduly 
burdensome.’’. 
(b) INTERNAL REVENUE CODE
OF 1986.—Para-
graph (8) of section 3304(a) of the Internal Revenue Code 
of 1986 is amended to read as follows: 
‘‘(8) compensation shall not be denied to an in-
dividual for any week in which the individual is en-
rolled and making satisfactory progress in education 
or training which has been previously approved by 
the State agency;’’. 
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(c) EFFECTIVE DATE.—The amendments made by 
this section shall apply to weeks beginning after the end 
of the first session of the State legislature which begins 
after the date of enactment of this Act. 
SEC. 2123. STATE FLEXIBILITY TO PROMOTE THE REEM-
PLOYMENT OF UNEMPLOYED WORKERS. 
Title III of the Social Security Act (42 U.S.C. 501 
and following) is amended by adding at the end the fol-
lowing: 
‘‘DEMONSTRATION PROJECTS 
‘‘SEC. 305. (a) The Secretary of Labor may enter 
into agreements, with up to 10 States per year that submit 
an application described in subsection (b), for the purpose 
of allowing such States to conduct demonstration projects 
to test and evaluate measures designed— 
‘‘(1) to expedite the reemployment of individ-
uals who have established a benefit year and are 
otherwise eligible to claim unemployment compensa-
tion under the State law of such State; or 
‘‘(2) to improve the effectiveness of a State in 
carrying out its State law with respect to reemploy-
ment. 
‘‘(b) The Governor of any State desiring to conduct 
a demonstration project under this section shall submit 
an application to the Secretary of Labor. Any such appli-
cation shall include— 
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‘‘(1) a general description of the proposed dem-
onstration project, including the authority (under 
the laws of the State) for the measures to be tested, 
as well as the period of time during which such dem-
onstration project would be conducted; 
‘‘(2) if a waiver under subsection (c) is re-
quested, a statement describing the specific aspects 
of the project to which the waiver would apply and 
the reasons why such waiver is needed; 
‘‘(3) a description of the goals and the expected 
programmatic 
outcomes 
of 
the 
demonstration 
project, including how the project would contribute 
to the objective described in subsection (a)(1), sub-
section (a)(2), or both; 
‘‘(4) assurances (accompanied by supporting 
analysis) that the demonstration project would oper-
ate for a period of at least 1 calendar year and not 
result in any increased net costs to the State’s ac-
count in the Unemployment Trust Fund; 
‘‘(5) a description of the manner in which the 
State— 
‘‘(A) will conduct an impact evaluation, 
using a methodology appropriate to determine 
the effects of the demonstration project; and 
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‘‘(B) will determine the extent to which the 
goals and outcomes described in paragraph (3) 
were achieved; and 
‘‘(6) assurances that the State will provide any 
reports relating to the demonstration project, after 
its approval, as the Secretary of Labor may require. 
‘‘(c) The Secretary of Labor may waive any of the 
requirements of section 3304(a)(4) of the Internal Rev-
enue Code of 1986 or of paragraph (1) or (5) of section 
303(a), to the extent and for the period the Secretary of 
Labor considers necessary to enable the State to carry out 
a demonstration project under this section. 
‘‘(d) A demonstration project under this section— 
‘‘(1) may be commenced any time after the date 
of enactment of this section; 
‘‘(2) may not be approved for a period of time 
greater than 3 years, subject to extension upon re-
quest of the Governor of the State involved for such 
additional period as the Secretary of Labor may 
agree to, except that in no event may a demonstra-
tion project under this section be conducted after 
the end of the 5-year period beginning on the date 
of enactment of this section; and 
‘‘(3) may not be extended without sufficient 
data to show that the project— 
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‘‘(A) did not increase the net cost to the 
State’s account in the Unemployment Trust 
Fund during the initial demonstration period; 
and 
‘‘(B) may be reasonably projected not to 
increase the net cost to the State’s account in 
the Unemployment Trust Fund during the ex-
tended period requested. 
‘‘(e) The Secretary of Labor shall, in the case of any 
State for which an application is submitted under sub-
section (b)— 
‘‘(1) notify the State as to whether such appli-
cation has been approved or denied within 30 days 
after receipt of a complete application; and 
‘‘(2) provide public notice of the decision within 
10 days after providing notification to the State in 
accordance with paragraph (1). 
Public notice under paragraph (2) may be provided 
through the Internet or other appropriate means. Any ap-
plication under this section that has not been denied with-
in the 30-day period described in paragraph (1) shall be 
deemed approved, and public notice of any approval under 
this sentence shall be provided within 10 days thereafter. 
‘‘(f) The Secretary of Labor may terminate a dem-
onstration project under this section if the Secretary de-
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termines that the State has violated the substantive terms 
or conditions of the project. 
‘‘(g) Funding certified under section 302(a) may be 
used for an approved demonstration project.’’. 
SEC. 2124. ASSISTANCE AND GUIDANCE IN IMPLEMENTING 
SELF-EMPLOYMENT ASSISTANCE PROGRAMS. 
(a) IN GENERAL.—For purposes of assisting States 
in establishing, improving, and administering self-employ-
ment assistance programs, the Secretary shall— 
(1) develop model language that may be used 
by States in enacting such programs, as well as peri-
odically review and revise such model language; 
(2) provide technical assistance and guidance in 
establishing, improving, and administering such pro-
grams; and 
(3) establish reporting requirements for States 
in regard to such programs, including reporting 
on— 
(A) the number of businesses and jobs cre-
ated, both directly and indirectly, by self-em-
ployment assistance programs; and 
(B) the estimated Federal and State tax 
revenues collected from such businesses and 
their employees. 
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(b) MODEL LANGUAGE AND GUIDANCE.—The model 
language, guidance, and reporting requirements developed 
by the Secretary pursuant to subsection (a) shall— 
(1) allow sufficient flexibility for States and 
participating individuals; and 
(2) ensure accountability and program integ-
rity. 
(c) CONSULTATION.—In developing the model lan-
guage, guidance, and reporting requirements pursuant to 
subsection (a), the Secretary shall consult with employers, 
labor organizations, State agencies, and other relevant 
program experts. 
(d) ENTREPRENEURIAL TRAINING PROGRAMS.—The 
Secretary shall coordinate with the Administrator of the 
Small Business Administration to ensure that adequate 
funding is reserved and made available for the provision 
of entrepreneurial training to individuals participating in 
self-employment assistance programs. 
SEC. 2125. IMPROVING PROGRAM INTEGRITY BY BETTER 
RECOVERY OF OVERPAYMENTS. 
(a) USE
OF UNEMPLOYMENT COMPENSATION TO 
REPAY OVERPAYMENTS.—Section 3304(a)(4)(D) of the 
Internal Revenue Code of 1986 and section 303(g)(1) of 
the Social Security Act are amended by striking ‘‘may’’ 
and inserting ‘‘shall’’. 
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(b) USE
OF UNEMPLOYMENT COMPENSATION TO 
REPAY FEDERAL ADDITIONAL COMPENSATION OVERPAY-
MENTS.—Section 303(g)(3) of the Social Security Act is 
amended by inserting ‘‘Federal additional compensation,’’ 
after ‘‘trade adjustment allowances,’’. 
(c) EFFECTIVE DATE.—The amendments made by 
this section shall apply to weeks beginning after the end 
of the first session of the State legislature which begins 
after the date of enactment of this Act. 
SEC. 2126. DATA STANDARDIZATION FOR IMPROVED DATA 
MATCHING. 
(a) IN GENERAL.—Title IX of the Social Security Act 
is amended by adding at the end the following: 
‘‘DATA STANDARDIZATION FOR IMPROVED DATA 
MATCHING 
‘‘Standard Data Elements 
‘‘SEC. 911. (a)(1) The Secretary of Labor, in con-
sultation with an interagency work group which shall be 
established by the Office of Management and Budget, and 
considering State and employer perspectives, shall, by 
rule, designate standard data elements for any category 
of information required under title III or this title. 
‘‘(2) The standard data elements designated under 
paragraph (1) shall, to the extent practicable, be non-
proprietary and interoperable. 
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‘‘(3) In designating standard data elements under 
this subsection, the Secretary of Labor shall, to the extent 
practicable, incorporate— 
‘‘(A) interoperable standards developed and 
maintained by an international voluntary consensus 
standards body, as defined by the Office of Manage-
ment and Budget, such as the International Organi-
zation for Standardization; 
‘‘(B) interoperable standards developed and 
maintained by intergovernmental partnerships, such 
as the National Information Exchange Model; and 
‘‘(C) interoperable standards developed and 
maintained by Federal entities with authority over 
contracting and financial assistance, such as the 
Federal Acquisition Regulations Council. 
‘‘Data Standards for Reporting 
‘‘(b)(1) The Secretary of Labor, in consultation with 
an interagency work group established by the Office of 
Management and Budget, and considering State and em-
ployer perspectives, shall, by rule, designate data reporting 
standards to govern the reporting required under title III 
or this title. 
‘‘(2) The data reporting standards required by para-
graph (1) shall, to the extent practicable— 
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‘‘(A) incorporate a widely-accepted, nonpropri-
etary, searchable, computer-readable format; 
‘‘(B) be consistent with and implement applica-
ble accounting principles; and 
‘‘(C) be capable of being continually upgraded 
as necessary. 
‘‘(3) In designating reporting standards under this 
subsection, the Secretary of Labor shall, to the extent 
practicable, incorporate existing nonproprietary standards, 
such as the eXtensible Business Reporting Language.’’. 
(b) EFFECTIVE DATE.—The amendment made by 
this section shall apply after September 30, 2012. 
SEC. 2127. DRUG TESTING OF APPLICANTS. 
Section 303 of the Social Security Act is amended 
by adding at the end the following: 
‘‘(k)(1) Nothing in this Act or any other provision 
of Federal law shall be considered to prevent a State 
from— 
‘‘(A) testing an applicant for unemployment 
compensation for the unlawful use of controlled sub-
stances as a condition for receiving such compensa-
tion; or 
‘‘(B) denying such compensation to such appli-
cant on the basis of the result of such testing. 
‘‘(2) For purposes of this subsection— 
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‘‘(A) the term ‘unemployment compensation’ 
has the meaning given such term in subsection 
(d)(2)(A); and 
‘‘(B) the term ‘controlled substance’ has the 
meaning given such term in section 102 of the Con-
trolled Substances Act (21 U.S.C. 802).’’. 
PART 2—PROVISIONS RELATING TO EXTENDED 
BENEFITS 
SEC. 2141. SHORT TITLE. 
This part may be cited as the ‘‘Unemployment Bene-
fits Extension Act of 2011’’. 
SEC. 2142. EXTENSION AND MODIFICATION OF EMERGENCY 
UNEMPLOYMENT COMPENSATION PROGRAM. 
(a) EXTENSION.—Section 4007 of the Supplemental 
Appropriations Act, 2008 (Public Law 110–252; 26 
U.S.C. 3304 note) is amended— 
(1) in subsection (a)— 
(A) by striking ‘‘Except as provided in 
subsection (b), an’’ and inserting ‘‘An’’; and 
(B) by striking ‘‘January 3, 2012’’ and in-
serting ‘‘January 31, 2013’’; and 
(2) by amending subsection (b) to read as fol-
lows: 
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‘‘(b) TERMINATION.—No compensation under this 
title shall be payable for any week subsequent to the last 
week described in subsection (a).’’. 
(b) MODIFIED TIERS OF EMERGENCY UNEMPLOY-
MENT COMPENSATION.— 
(1) IN GENERAL.—Section 4002 of the Supple-
mental Appropriations Act, 2008 (Public Law 110– 
252; 26 U.S.C. 3304 note) is amended by striking 
subsections (b) through (e) and inserting the fol-
lowing: 
‘‘(b) FIRST-TIER
EMERGENCY
UNEMPLOYMENT 
COMPENSATION.— 
‘‘(1) IN GENERAL.—The amount established in 
an account under subsection (a) shall be an amount 
(in this title referred to as ‘first-tier emergency un-
employment compensation’) equal to the lesser of— 
‘‘(A) 80 percent of the total amount of 
regular compensation (including dependents’ al-
lowances) payable to the individual during the 
individual’s benefit year under the State law; or 
‘‘(B) 20 times the individual’s average 
weekly benefit amount for the benefit year. 
‘‘(2) WEEKLY
BENEFIT
AMOUNT.—For pur-
poses of this subsection, an individual’s weekly ben-
efit amount for any week is the amount of regular 
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compensation (including dependents’ allowances) 
under the State law payable to such individual for 
such week for total unemployment. 
‘‘(c) SECOND-TIER EMERGENCY UNEMPLOYMENT 
COMPENSATION.— 
‘‘(1) IN GENERAL.—If, at the time that the 
amount established in an individual’s account under 
subsection (b)(1) is exhausted or at any time there-
after, such individual’s State is in an extended ben-
efit period (as determined under paragraph (2)), 
such account shall be augmented by an amount (in 
this title referred to as ‘second-tier emergency unem-
ployment compensation’) equal to the lesser of— 
‘‘(A) 50 percent of the total amount of 
regular compensation (including dependents’ al-
lowances) payable to the individual during the 
individual’s benefit year under the State law; or 
‘‘(B) 13 times the individual’s average 
weekly benefit amount (as determined under 
subsection (b)(2)) for the benefit year. 
‘‘(2) EXTENDED BENEFIT PERIOD.—For pur-
poses of paragraph (1), a State shall be considered 
to be in an extended benefit period, as of any given 
time, if— 
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‘‘(A) such a period would then be in effect 
for such State, under the Federal-State Ex-
tended Unemployment Compensation Act of 
1970, if section 203(d) of such Act— 
‘‘(i) were applied by substituting ‘4’ 
for ‘5’ each place it appears; and 
‘‘(ii) did not include the requirement 
under paragraph (1)(A) thereof; or 
‘‘(B) such a period would then be in effect 
for such State, under the Federal-State Ex-
tended Unemployment Compensation Act of 
1970, if— 
‘‘(i) section 203(f) of such Act were 
applied to such State (regardless of wheth-
er or not the State by law had provided for 
such application); and 
‘‘(ii) such section 203(f)— 
‘‘(I) were applied by substituting 
‘6.0’ for ‘6.5’ in paragraph (1)(A)(i) 
thereof; and 
‘‘(II) did not include the require-
ment 
under 
paragraph 
(1)(A)(ii) 
thereof. 
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