189 
out the programs described in subsection (a)(1)(B), which 
shall include at least 2 of the following activities: 
(1) Developing and implementing policies and 
programs to expand opportunities for students at eli-
gible entities described in subparagraphs (A) through 
(D) of section 502(a)(3) to earn bachelor’s degrees 
by— 
(A) facilitating the transfer of academic 
credits between institutions of higher education, 
including the transfer of academic credits for 
courses in the same field of study; and 
(B) expanding articulation agreements and 
guaranteed transfer agreements between such in-
stitutions, including through common course 
numbering and general core curriculum. 
(2) Expanding, enhancing, or creating academic 
programs or training programs, which shall be car-
ried out with industry or sector partnerships or in 
partnership with employers and may include other 
relevant partners, that provide relevant job-skill 
training (including apprenticeships and worksite 
learning and training opportunities) for skilled occu-
pations in high-demand industries. 
(3) Providing student support services, includ-
ing— 
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(A) intensive career and academic advising; 
(B) labor market information and job coun-
seling; and 
(C) transitional job support, supportive 
services, or assistance in connecting students 
with community resources. 
(4) Creating workforce programs that provide a 
sequence of education and occupational training that 
leads to industry-recognized credentials, including 
programs that— 
(A) blend basic skills and occupational 
training that lead to industry-recognized creden-
tials; 
(B) integrate developmental education cur-
ricula and instruction with for-credit coursework 
toward degree or certificate pathways; or 
(C) advance individuals on a career path 
toward high-wage occupations in high-demand 
industries. 
(5) Building or enhancing linkages, including 
the development of dual enrollment programs and 
early college high schools, between— 
(A) secondary education or adult education 
programs (including programs established under 
the Carl D. Perkins Career and Technical Edu-
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cation Act of 2006 and title II of the Workforce 
Investment Act of 1998 (29 U.S.C. 9201 et seq.)); 
and 
(B) eligible entities described in subpara-
graphs (A) through (D) of section 502(a)(3). 
(6) Implementing other innovative programs, 
services, and policies designed to— 
(A) increase postsecondary degree, certifi-
cate, and industry-recognized credential comple-
tion rates, particularly with respect to groups 
underrepresented in higher education, at eligible 
entities described in subparagraphs (A) through 
(D) of section 502(a)(3); and 
(B) increase the provision of training for 
students to enter skilled occupations in high-de-
mand industries. 
(7) Improving the timeliness of the process for 
creating degree, certificate, and industry-recognized 
credential programs at eligible entities described in 
subparagraphs (A) through (D) of section 502(a)(3) 
that— 
(A) reflect and respond to regional labor 
market developments and trends; 
(B) effectively address the workforce needs of 
employers in the State; and 
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(C) are designed in consultation with such 
employers. 
(g) BENCHMARKS.— 
(1) IN GENERAL.—Each eligible entity receiving 
a grant under this section shall develop quantifiable 
benchmarks on the following indicators (where appli-
cable), to be approved by the Secretary: 
(A) Closing gaps in enrollment and comple-
tion rates for— 
(i) groups underrepresented in higher 
education; and 
(ii) groups of students enrolled at the 
eligible entity (or at an institution of higher 
education under the jurisdiction of the eligi-
ble entity, in the case of an entity that is 
not an institution) who have the lowest en-
rollment and completion rates. 
(B) Addressing local and regional workforce 
needs. 
(C) Establishing articulation agreements be-
tween two-year and four-year public institutions 
of higher education within a State. 
(D) Improving comprehensive employment 
and educational outcomes for postsecondary edu-
cation and training programs, including— 
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(i) student persistence from one aca-
demic year to the following academic year; 
(ii) the number of credits students earn 
toward a certificate or an associate’s degree; 
(iii) the number of students in develop-
mental education courses who subsequently 
enroll in credit bearing coursework; 
(iv) transfer of general education cred-
its between institutions of higher education, 
as applicable; 
(v) completion of industry-recognized 
credentials or associate’s degrees to work in 
skilled occupations in high-demand indus-
tries; 
(vi) transfers to four-year institutions 
of higher education; and 
(vii) job placement related to skills 
training or associate’s degree completion. 
(2) REPORT.—The eligible entity receiving such 
a grant shall annually measure and report to the Sec-
retary the progress of the entity in achieving the 
benchmarks developed pursuant to paragraph (1). 
(h) PROVISION OF TRANSFER OF CREDIT INFORMA-
TION IN COMMUNITY COLLEGE COURSE SCHEDULES.—To 
the maximum extent practicable, each community college 
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receiving a grant under this section shall include in each 
electronic and printed publication of the college’s course 
schedule, in a manner of the college’s choosing, for each 
course listed in the college’s course schedule, whether such 
course is transferable for credit toward the completion of 
a 4-year baccalaureate degree at a public institution of 
higher education in the State in which the college is located. 
(i) EVALUATION.—The Secretary shall allocate not 
more than two percent of the funds appropriated under sec-
tion 501(b)(1) to the Institute of Education Sciences to con-
duct evaluations, ending not later than January 30, 2014, 
that— 
(1) assess the effectiveness of the grant programs 
carried out by each eligible entity receiving such a 
grant in— 
(A) improving postsecondary education 
completion rates (disaggregated by age, race, eth-
nicity, sex, income, and disability); 
(B) improving employment-related outcomes 
for students served by such programs; 
(C) serving high-need populations; and 
(D) building or enhancing working partner-
ships with the State public employment service 
or State or local workforce investment boards; 
and 
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(2) include any other information or assessments 
the Secretary may require. 
(j) REPORT.—The Secretary shall submit to the Com-
mittee on Health, Education, Labor, and Pensions of the 
Senate and the Committee on Education and Labor of the 
House of Representatives an annual report on grants 
awarded under this section, including— 
(1) the amount awarded to each eligible entity 
under this section; 
(2) a description of the activities conducted by 
each eligible entity receiving a grant under this sec-
tion; and 
(3) a summary of the results of the evaluations 
submitted to the Secretary under subsection (i) and 
the progress each eligible entity made toward achiev-
ing the benchmarks developed under subsection (g). 
SEC. 504. GRANTS TO ELIGIBLE STATES FOR COMMUNITY 
COLLEGE PROGRAMS. 
(a) PROGRAM AUTHORIZATION.—From the amount 
appropriated to carry out this section, the Secretary, in co-
ordination with the Secretary of Labor, shall award grants 
to eligible States, on a competitive basis, to implement the 
systematic reform of community colleges located in the State 
by carrying out programs, services, and policies that dem-
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onstrated effectiveness under the evaluation described in sec-
tion 503(i). 
(b) ELIGIBLE STATE.—In this section, the term ‘‘eligi-
ble State’’ means a State that demonstrates to the Secretary 
in the application submitted pursuant to subsection (e) that 
the State— 
(1) has a plan under section 782 of the Higher 
Education Act of 1965 to increase the State’s rate of 
persistence in and completion of postsecondary edu-
cation that takes into consideration and involves com-
munity colleges located in such State; 
(2) has a statewide longitudinal data system 
that includes data with respect to community colleges; 
(3) has an articulation agreement pursuant to 
section 486A of the Higher Education Act of 1965 (20 
U.S.C. 1093a); 
(4) is in compliance with section 137 of such Act 
(20 U.S.C. 1015f); and 
(5) meets any other requirements the Secretary 
may require. 
(c) GRANT DURATION; RENEWAL.—A grant awarded 
under this section shall be awarded to an eligible State for 
a 6-year period, except that if the Secretary determines that 
the eligible State has not made demonstrable progress in 
achieving the benchmarks developed pursuant to subsection 
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(g) by the end of the third year of the grant period, no fur-
ther grant funds shall be made available to the entity after 
the date of such determination. 
(d) FEDERAL AND NON-FEDERAL SHARE; SUPPLE-
MENT, NOT SUPPLANT.— 
(1) FEDERAL SHARE.—The amount of the Fed-
eral share under this section for a fiscal year shall be 
not greater than 1⁄2 of the costs of the reform described 
in subsection (f) that is carried out with the grant. 
(2) NON-FEDERAL SHARE.— 
(A) IN GENERAL.—The amount of the Non- 
Federal share under this section for a fiscal year 
shall be not less than 1⁄2 of the costs of the reform 
described in subsection (f) that is carried out 
with the grant. The non-Federal share may be in 
cash or in kind, and may be provided from State 
resources, local resources, contributions from pri-
vate organizations, or a combination thereof. 
(B) FINANCIAL
HARDSHIP
WAIVER.—The 
Secretary may waive or reduce the non-Federal 
share of an eligible State that has submitted an 
application under this section if the State dem-
onstrates a need for such waiver or reduction due 
to extreme financial hardship, as defined by the 
Secretary by regulation. 
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(3) SUPPLEMENT, NOT SUPPLANT.—The Federal 
and non-Federal share required by this section shall 
be used to supplement, and not supplant, State and 
private resources that would otherwise be expended to 
carry out the systematic reform of community colleges 
in a State. 
(e) APPLICATION.—An eligible State desiring to receive 
a grant under this section shall submit to the Secretary an 
application at such time, in such manner, and containing 
such information as the Secretary may require. Such appli-
cation shall describe the programs, service, and policies to 
be used by the State to achieve the systematic reform de-
scribed in subsection (f), including— 
(1) the goals of such programs, services, and 
policies; 
(2) how the State will allocate grant funds to 
carry out such programs, services, and policies, in-
cluding identifying any State or private entity that 
will administer such programs, services, and policies; 
(3) how such programs, services, and policies 
will enable the State to— 
(A) meet the benchmarks developed pursu-
ant to subsection (g), and how the State will 
track and report the State’s progress in reaching 
such benchmarks; and 
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(B) benefit students attending all commu-
nity colleges within the State; 
(4) how the State will use such programs, serv-
ices, and policies to establish quantifiable targets for 
improving graduation rates and employment-related 
outcomes; 
(5) how the State will serve high-need popu-
lations through such programs, services, and policies; 
(6) how the State will partner with the State 
public employment service and State or local work-
force investment boards in carrying out such pro-
grams, services, and policies; 
(7) how the State will evaluate such programs, 
services, and policies, which may include participa-
tion in national evaluations; and 
(8) how the State will involve community col-
leges and community college faculty in the planning, 
implementation, and evaluation of such programs, 
services, and policies. 
(f) USES OF FUNDS.—An eligible State receiving a 
grant under this section shall use the grant funds to imple-
ment the systematic reform of community colleges located 
in the State by carrying out programs, services, and poli-
cies that the Secretary has determined to have demonstrated 
effectiveness based on the results of the evaluation described 
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in section 503(i). States shall allocate not less than 90 per-
cent of such grant funds to community colleges within the 
State. 
(g) BENCHMARKS.— 
(1) IN GENERAL.—Each eligible State receiving 
a grant under this section shall, in consultation with 
the Secretary, develop quantifiable benchmarks on the 
indicators identified in section 503(f)(1). 
(2) PROGRESS.—An eligible State receiving such 
a grant shall annually measure and report to the Sec-
retary progress in achieving the benchmarks developed 
pursuant to paragraph (1). 
(h) REPORT.— 
(1) REPORTS TO THE SECRETARY.—Each eligible 
State receiving a grant under this section shall annu-
ally submit to the Secretary and the Secretary of 
Labor a report on such grant, including— 
(A) a description of the systematic reform 
carried out by the State using such grant; and 
(B) the outcome of such reform, including 
the State’s progress in achieving the benchmarks 
developed under subsection (g). 
(2) REPORTS TO CONGRESS.—Not later than 6 
months after the end of the grant period, the Sec-
retary shall submit to the Committee on Health, Edu-
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cation, Labor, and Pensions of the Senate and the 
Committee on Education and Labor of the House of 
Representatives a summary of the reports submitted 
under paragraph (1) with respect to such grant pe-
riod. 
(i) SENSE OF CONGRESS.—It is the sense of Congress 
that— 
(1) community colleges play an important role 
in preparing and training students seeking to enter 
the workforce; 
(2) it is vital that all States have access to the 
resources and assistance needed to compete for grants 
authorized under this section; and 
(3) in executing the grant program authorized 
under this section, the Secretary will make available 
any and all assistance, guidance, and support to 
States seeking to compete for grants authorized under 
this section and will work to ensure that such grants 
are distributed in a fair and equitable manner. 
SEC. 505. NATIONAL ACTIVITIES. 
(a) OPEN ONLINE EDUCATION.—From the amount ap-
propriated to carry out this section, the Secretary is author-
ized to make competitive grants to, or enter into contracts 
with, institutions of higher education, philanthropic orga-
nizations, and other appropriate entities to develop, evalu-
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ate, and disseminate freely-available high-quality online 
training, high school courses, and postsecondary education 
courses. Entities receiving funds under this subsection shall 
ensure that electronic and information technology activities 
meet the access standards established under section 508 of 
the Rehabilitation Act of 1973 (29 U.S.C. 794d). 
(b) LEARNING AND EARNING RESEARCH CENTER.— 
(1) IN
GENERAL.—From the amount appro-
priated to carry out this section, the Director of the 
Institute of Education Sciences is authorized to 
award a grant to, or enter into a contract with, an 
organization with demonstrated expertise in the re-
search and evaluation of community colleges to estab-
lish and operate the Learning and Earning Research 
Center (in this section referred to as the ‘‘Center’’). 
(2) GRANT TERM.—The grant or contract award-
ed under this section shall be awarded for a period 
of not more than 4 years. 
(3) BOARD.—The Center shall have an inde-
pendent advisory board of 9 individuals who— 
(A) are appointed by the Secretary, based 
on recommendations from the organization re-
ceiving the grant or contract under this section; 
and 
(B) who have demonstrated expertise in— 
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(i) data collection; 
(ii) data analysis; and 
(iii) econometrics, postsecondary edu-
cation, and workforce development research. 
(4) CENTER ACTIVITIES.—The Center shall— 
(A) develop— 
(i) peer-reviewed metrics to help con-
sumers make sound education and training 
choices, and to help students, workers, 
schools, businesses, researchers, and policy-
makers assess the effectiveness of community 
colleges, and courses of study at such col-
leges, in meeting education and employment 
objectives and serving groups that are 
underrepresented in postsecondary edu-
cation; 
(ii) common metrics and data elements 
to measure the education and employment 
outcomes of students attending community 
colleges; 
(B) coordinate with the Institute of Edu-
cation Sciences and States receiving a grant 
under subsection (c) to develop— 
(i) standardized data elements, defini-
tions, and data-sharing protocols to make it 
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possible for data systems related to postsec-
ondary education to be linked and inter-
operable, and for best practices to be shared 
among States; 
(ii) standards and processes for facili-
tating sharing of data in a manner that 
safeguards student privacy; and 
(C) develop and make widely available ma-
terials analyzing best practices and research on 
successful postsecondary education and training 
efforts; 
(D) make the data and metrics developed 
pursuant to subparagraph (A) available to the 
public in a transparent, user-friendly format 
that is accessible to individuals with disabilities; 
and 
(E) consult with representatives from States 
with respect to the activities of the Center. 
(c) STATE SYSTEMS.— 
(1) IN
GENERAL.—From the amount appro-
priated to carry out this section, the Secretary is au-
thorized to award grants to States or consortia of 
States to establish cooperative agreements to develop, 
implement, and expand interoperable statewide longi-
tudinal data systems that— 
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(A) collect, maintain, disaggregate (by in-
stitution, income, race, ethnicity, sex, disability, 
and age), and analyze student data from com-
munity colleges, including data on the programs 
of study and education and employment out-
comes for particular students, tracked over time; 
and 
(B) can be linked to other data systems, as 
applicable, including elementary and secondary 
education and workforce data systems. 
(2) SUPPLEMENT, NOT SUPPLANT.—Funds ap-
propriated to carry out this subsection shall be used 
to supplement, and not supplant, other Federal and 
State resources that would otherwise be expended to 
carry out statewide longitudinal data systems, includ-
ing funding appropriated for State Longitudinal 
Data Systems in the American Recovery and Rein-
vestment Act of 2009 (Public Law 111–5; 123 Stat. 
115). 
(3) PRIVACY AND ACCESS TO DATA.— 
(A) IN GENERAL.—Each State or consortia 
that receives a grant under this subsection or 
any other provision of this Act shall implement 
measures to— 
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