162 
ance to systems that meet the requirements 
under section 434 with respect to activities car-
ried out under this subtitle (consistent with re-
quests by such systems for such assistance for 
the year); and 
(B) provide a grant in accordance with sec-
tion 434(d) and in an amount described in 
paragraph (2)(A)(i), to an American Indian 
consortium to provide protection and advocacy 
services. 
(6) REALLOTMENTS.— 
(A) IN GENERAL.—If the Secretary deter-
mines that an amount of an allotment to a 
State for a use in a fiscal year (or the following 
fiscal year, as provided in subsection (c)) will 
not be required by the State during the fiscal 
year (or during such following fiscal year) for 
the purpose for which the allotment was made, 
the Secretary shall reallot the amount as de-
scribed in this paragraph. 
(B) TIMING.—The Secretary may make 
such a reallotment from time to time, on such 
date as the Secretary may fix, but not earlier 
than 30 days after the Secretary has published 
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notice of the intention of the Secretary to make 
the reallotment in the Federal Register. 
(C) AMOUNTS.—The Secretary shall reallot 
the amount to other States with respect to 
which the Secretary has not made the deter-
mination described in subparagraph (A). The 
Secretary shall reallot that amount in propor-
tion to the original allotments of the other 
States for such fiscal year, but shall reduce 
such proportionate amount for any of the other 
States by the sum (if any) of the proportionate 
amount that exceeds the total that the Sec-
retary estimates the State needs and will be 
able to use in a fiscal year (or the following fis-
cal year, as provided in subsection (c)) and 
shall proportionately reallot such sum to the re-
maining States. 
(D) TREATMENT.—Any amount reallotted 
to a State under this subsection for a fiscal 
year shall be deemed to be a part of the allot-
ment of the State under paragraph (1) for such 
fiscal year. 
(b) PAYMENT TO SYSTEMS.—The Secretary shall pay 
directly to each State that has a system in the State that 
complies with the provisions of this subtitle the amount 
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of the allotment made for the State under this section, 
unless the system specifies otherwise, to be used in sup-
port of the system. 
(c) UNOBLIGATED FUNDS.—Any amount paid to a 
State under this subtitle for a fiscal year and remaining 
unobligated at the end of such year shall remain available 
to such State for the next fiscal year, for the purposes 
for which such amount was paid. 
SEC. 434. SYSTEM REQUIRED. 
(a) IN GENERAL.—In order for a State to receive an 
allotment under this subtitle, the State shall— 
(1) have in effect a system to protect and advo-
cate for the rights of workers within the State who 
are or who may be eligible for relief from applicable 
employment discrimination laws; and 
(2) designate a private nonprofit entity (re-
ferred to in this subtitle as an ‘‘lead entity’’) to sup-
port and carry out the activities of that system. 
(b) LEAD ENTITY REQUIREMENTS.— 
(1) CHARACTERISTICS OF LEAD ENTITY.—The 
State shall ensure that the lead entity designated 
under subsection (a) shall— 
(A) not be administered by the State, or 
an agency or instrumentality of a State; and 
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(B) be independent of any entity that rep-
resents the interest of the State, employers, 
covered establishments, or other corporations. 
(2) NO
REDESIGNATION
OF
LEAD
ENTITY.— 
The lead entity designated under subsection (a) shall 
not be redesignated unless— 
(A) there is good cause for the redesigna-
tion; 
(B) the State has given the lead entity no-
tice of the intention to make such redesigna-
tion, including notice regarding the good cause 
for such redesignation, and given the lead entity 
an opportunity to respond to the assertion that 
good cause has been shown; 
(C) the lead entity has given timely notice 
of the intended redesignation directly to clients 
of the lead entity; 
(D) the State has provided, in plain 
English and in accessible formats for individ-
uals with disabilities and for individuals who 
primarily speak a language other than English, 
an opportunity for public comment; and 
(E) the lead entity has an opportunity to 
appeal the redesignation to the Secretary, on 
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the basis that the redesignation was not for 
good cause. 
(3) COSTS OF NOTICE.—The costs of the notice 
required under paragraph (2)(C) shall be paid by 
the State. 
(c) SYSTEM REQUIRED.—The system described in 
subsection (a) shall— 
(1) have the authority to— 
(A) pursue legal, administrative, and other 
appropriate remedies or approaches, as applica-
ble, to ensure the protection of, and advocacy 
for, the rights of individuals within the State 
who are or who may be eligible for relief from 
employment discrimination; and 
(B) provide information on and referral to 
programs and services addressing the needs of 
such individuals; 
(2) have the authority— 
(A) to investigate incidents of employment 
discrimination, including harassment, and to 
conduct investigations of systemic employment 
discrimination, of such individuals if the inci-
dents are reported to the lead entity or if there 
is probable cause to believe that the incidents 
occurred; and 
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(B) to, as necessary and appropriate, in-
vestigate and gather data regarding the wages, 
hours, and other conditions and practices of 
employment, enter and inspect such places and 
such records (and make such transcriptions 
thereof), question individuals described in para-
graph (1)(A), and investigate facts, conditions, 
practices, or matters; 
(3) on an annual basis, develop, submit to the 
Secretary, and take action with regard to goals and 
priorities developed through data driven strategic 
planning for the system’s activities; 
(4) on an annual basis, provide to the public, 
including individuals described in paragraph (1)(A), 
the regional office of the Commission that serves the 
State, and any State agency whose purpose is to re-
duce, eliminate, or redress employment discrimina-
tion, an opportunity to comment on— 
(A) the goals and priorities established by 
the lead entity and the rationale for the estab-
lishment of such goals; and 
(B) the activities of the lead entity, includ-
ing the coordination of services with the Dis-
trict office of the Commission that serves the 
State, any State agency whose purpose is to re-
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duce, eliminate, or redress employment dis-
crimination, and entities carrying out other re-
lated programs; 
(5) establish a grievance procedure for clients 
or prospective clients of the lead entity to ensure 
that individuals described in paragraph (1)(A) have 
full access to services of the lead entity; 
(6) have access at reasonable times to any indi-
vidual described in paragraph (1)(A) in a location in 
which services and other assistance are provided to 
such an individual, in order to carry out the purpose 
of this subtitle; 
(7) have access, not later than 3 business days 
after the lead entity makes a written request, to the 
records of any individual described in paragraph 
(1)(A) (including Federal and State workers) who is 
a client of the lead entity if such individual, or other 
legal representative of such individual, has author-
ized the lead entity to have such access; 
(8) hire and maintain sufficient numbers and 
types of staff (qualified by training and experience) 
to carry out the lead entity’s functions, except that 
the State involved shall not apply hiring freezes, re-
ductions in force, prohibitions on travel, or other 
policies to the staff of the lead entity, to the extent 
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that such policies would impact the staff or func-
tions of the lead entity funded with Federal funds 
or would prevent the lead entity from carrying out 
the functions of the system under this subtitle; 
(9) have the authority to educate policymakers; 
and 
(10) provide assurances to the Secretary that 
funds allotted to the State under section 433 will be 
used to supplement, and not supplant, the non-Fed-
eral funds that would otherwise be made available 
for the purposes for which the allotted funds are 
provided. 
(d) AMERICAN INDIAN CONSORTIUM.— 
(1) IN GENERAL.—Upon application to the Sec-
retary, the Secretary shall allot funds to one or more 
American Indian consortiums established to provide 
services under this subtitle, in accordance with sec-
tion 433(a)(5). Such funds shall be used to support 
services under this subtitle. 
(2) COORDINATION OF SYSTEMS.—An American 
Indian consortium under paragraph (1) shall be con-
sidered to be a system for purposes of this subtitle 
and shall coordinate those services with other sys-
tems serving the same geographic area. 
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(3) RESPONSIBLE PARTY.—The Tribal council 
that designates the consortium shall carry out the 
responsibilities and exercise the authorities specified 
for a State in this subtitle, with regard to the con-
sortium. 
SEC. 435. ADMINISTRATION. 
(a) GOVERNING BOARD.—The system described in 
section 434 shall be organized as a private nonprofit entity 
with a multimember governing board, and such governing 
board shall be selected according to the policies and proce-
dures of the system, except that— 
(1) the governing board shall be composed of 
members who broadly represent or are knowledge-
able about the needs of the individuals served by the 
system; 
(2) a majority of the members of the board 
shall be— 
(A) attorneys representing the interests of 
workers; 
(B) advocates for workers with experience 
working to protect or expand workers’ rights; or 
(C) workers who have experienced employ-
ment discrimination; 
(3) not more than 1⁄3 of the members of the 
governing board may be appointed by the chief exec-
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171 
utive officer of the State involved, in the case of any 
State in which such officer has the authority to ap-
point members of the board; 
(4) the membership of the governing board 
shall be subject to term limits set by the system to 
ensure rotating membership; and 
(5) any vacancy in the board shall be filled not 
later than 60 days after the date on which the va-
cancy occurs. 
(b) LEGAL ACTION.— 
(1) IN GENERAL.—Nothing in this subtitle shall 
preclude a system from bringing a suit on behalf of 
individuals described in section 434(c)(1)(A) against 
a State, or an agency or instrumentality of a State. 
(2) USE OF AMOUNTS FROM JUDGMENT.—An 
amount received pursuant to a suit described in 
paragraph (1) through a court judgment may only 
be used by the system to further the purpose of this 
subtitle and shall not be used to augment payments 
to legal contractors or to award personal bonuses. 
(c) PUBLIC NOTICE OF FEDERAL ONSITE REVIEW.— 
The Secretary shall provide advance public notice of, and 
solicit public comments regarding, any Federal pro-
grammatic or administrative onsite review of a system 
conducted under this subtitle. The Secretary shall prepare 
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an onsite visit report containing the results of such review, 
which shall be distributed to the Governor of the State 
and to other interested public and private parties. The 
comments received in response to the notice and public 
comment solicitation shall be included in the onsite visit 
report. 
(d) REPORTS.— 
(1) IN GENERAL.—Beginning for the fiscal year 
after the fiscal year during which this Act is en-
acted, each system established in a State pursuant 
to this subtitle shall annually prepare and transmit 
to the Secretary a report that describes the activi-
ties, accomplishments, and expenditures of the sys-
tem during the preceding fiscal year, including— 
(A) a description of the system’s goals, the 
extent to which the goals were achieved, and 
barriers to that achievement; and 
(B) the process used to obtain public 
input, the nature of such input, and how such 
input was used. 
(2) DISCLOSURE OF INFORMATION.—For pur-
poses of the report described in paragraph (1), the 
Secretary shall not require the system to disclose the 
identity of, or any other personally identifiable infor-
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