SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 
(a) SHORT TITLE.—This Act may be cited as the ‘‘A 
Stronger Workforce for America Act’’. 
(b) TABLE OF CONTENTS.—The table of contents for 
this Act is as follows: 
Sec. 1. Short title; table of contents. 
Sec. 2. Effective date; transition authority. 
TITLE I—WORKFORCE DEVELOPMENT ACTIVITIES 
Subtitle A—General Provisions 
Sec. 101. Definitions. 
Sec. 102. Table of contents amendments. 
Subtitle B—System Alignment 
CHAPTER 1—STATE PROVISIONS 
Sec. 111. State workforce development board. 
Sec. 112. Unified State plan. 
CHAPTER 2—LOCAL PROVISIONS 
Sec. 115. Workforce development areas. 
Sec. 116. Local workforce development boards. 
Sec. 117. Local plan. 
CHAPTER 3—PERFORMANCE ACCOUNTABILITY 
Sec. 119. Performance accountability system. 
Subtitle C—Workforce Investment Activities and Providers 
CHAPTER 1—WORKFORCE INVESTMENT ACTIVITIES AND PROVIDERS 
Sec. 121. Establishment of one-stop delivery systems. 
Sec. 122. Identification of eligible providers and programs of training services. 
CHAPTER 2—YOUTH WORKFORCE INVESTMENT ACTIVITIES 
Sec. 131. Reservations; Reallocation. 
Sec. 132. Use of funds for youth workforce investment activities. 
CHAPTER 3—ADULT AND DISLOCATED WORKER EMPLOYMENT AND 
TRAINING ACTIVITIES 
Sec. 141. State allotments. 
Sec. 142. Reservations for State activities; within State allocations; Realloca-
tion. 
Sec. 143. Use of funds for employment and training activities. 
CHAPTER 4—AUTHORIZATION OF APPROPRIATIONS
Sec. 145. Authorization of appropriations. 
Subtitle D—Job Corps 
Sec. 151. Purposes. 
Sec. 152. Definitions. 
Sec. 153. Individuals eligible for the Job Corps. 
Sec. 154. Recruitment, screening, selection, and assignment of enrollees. 
Sec. 155. Job Corps Campuses. 
Sec. 156. Program activities. 
Sec. 157. Support. 
Sec. 158. Operations. 
Sec. 159. Standards of conduct. 
Sec. 160. Community participation. 
Sec. 161. Workforce councils. 
Sec. 162. Advisory committees. 
Sec. 163. Experimental projects and technical assistance. 
Sec. 164. Special provisions. 
Sec. 165. Management information. 
Sec. 166. Job Corps oversight and reporting. 
Sec. 167. Authorization of appropriations. 
Subtitle E—National Programs 
Sec. 171. Native American programs. 
Sec. 172. Migrant and seasonal farmworker programs. 
Sec. 173. Technical assistance. 
Sec. 174. Evaluations and research. 
Sec. 175. National dislocated worker grants. 
Sec. 176. YouthBuild Program. 
Sec. 178. Reentry employment opportunities. 
Sec. 179. Strengthening community colleges grant program. 
Sec. 180. Authorization of appropriations. 
Subtitle F—Administration 
Sec. 191. Requirements and restrictions. 
Sec. 192. General waivers of statutory or regulatory requirements. 
Sec. 193. State innovation demonstration authority. 
TITLE II—ADULT EDUCATION AND LITERACY 
Sec. 201. Purpose. 
Sec. 202. Definitions. 
Sec. 203. Authorization of appropriations. 
Sec. 204. Special rule. 
Sec. 205. Performance accountability system. 
Sec. 206. Matching requirement. 
Sec. 207. State leadership activities. 
Sec. 208. Programs for corrections education and other institutionalized indi-
viduals. 
Sec. 209. Grants and contracts for eligible providers. 
Sec. 210. Local application. 
Sec. 211. Local administrative cost limits. 
Sec. 212. National leadership activities. 
Sec. 213. Integrated English literacy and civics education.
TITLE III—AMENDMENTS TO OTHER LAWS 
Sec. 301. Amendments to the Wagner-Peyser Act. 
Sec. 302. Job training grants. 
Sec. 303. Access to National Directory of New Hires. 
SEC. 2. EFFECTIVE DATE; TRANSITION AUTHORITY. 
(a) EFFECTIVE DATE.—This Act, and the amend-
ments made by this Act, shall take effect on the first date 
of the first program year (as determined under the Work-
force Innovation and Opportunity Act (29 U.S.C. 3101 et 
seq.)) that begins after the date of enactment of this Act. 
(b) TRANSITION AUTHORITY.— 
(1) IN GENERAL.—The Secretary of Labor and 
the Secretary of Education shall have the authority 
to take such steps as are necessary before the effec-
tive date of this Act to provide for the orderly imple-
mentation on such date of the amendments to the 
Workforce Innovation and Opportunity Act (29 
U.S.C. 3101 et seq.) made by this Act. 
(2) CONFORMING AMENDMENTS.—Section 503 
of the Workforce Innovation and Opportunity Act 
(29 U.S.C. 3343) is repealed (and by striking the 
item relating to such section in the table of contents 
of such Act).
TITLE I—WORKFORCE 
DEVELOPMENT ACTIVITIES 
Subtitle A—General Provisions 
SEC. 101. DEFINITIONS. 
(a) FOUNDATIONAL SKILL NEEDS.—Section 3(5) of 
the Workforce Innovation and Opportunity Act (29 U.S.C. 
3102(5)) is amended to read as follows: 
‘‘(5) FOUNDATIONAL SKILL NEEDS.—The term 
‘foundational skill needs’ means, with respect to an 
individual who is a youth or adult, that the indi-
vidual— 
‘‘(A) has English reading, writing, or com-
puting skills at or below the 8th-grade level on 
a generally accepted standardized test; or 
‘‘(B) is unable to compute or solve prob-
lems, or read, write, or speak English, or does 
not possess digital literacy skills, at a level nec-
essary to function on the job, in the individual’s 
family, or in society.’’. 
(b) EMPLOYER-DIRECTED SKILLS DEVELOPMENT.— 
Section 3(14) of the Workforce Innovation and Oppor-
tunity Act (29 U.S.C. 3102(14)) is amended to read as 
follows:
‘‘(14) EMPLOYER-DIRECTED SKILLS DEVELOP-
MENT.—The term ‘employer-directed skills develop-
ment’ means a program— 
‘‘(A) that is selected or designed to meet 
the specific skill demands of an employer (in-
cluding a group of employers); 
‘‘(B) that is conducted pursuant to the 
terms and conditions established under an em-
ployer-directed skills agreement described in 
section 134(c)(3)(I), including a commitment 
by the employer to employ an individual upon 
successful completion of the program; and 
‘‘(C) for which the employer pays a portion 
of the cost of the program, as determined by 
the local board involved, which shall not be less 
than— 
‘‘(i) 10 percent of the cost, in the case 
of an employer with 50 or fewer employees; 
‘‘(ii) 25 percent of the cost, in the 
case of an employer with more than 50, 
but fewer than 100 employees; and 
‘‘(iii) 50 percent of the cost, in the 
case of an employer with 100 or more em-
ployees.’’.
(c) DISLOCATED WORKER.—Section 3(15)(E)(ii) of 
the Workforce Innovation and Opportunity Act (29 U.S.C. 
3102(15)(E)(ii)) is amended by striking ‘‘who meets the 
criteria described in paragraph (16)(B)’’ and inserting 
‘‘who meets the criteria described in subparagraph (B) of 
the definition of the term ‘displaced homemaker’ in this 
section’’. 
(d) DISPLACED HOMEMAKER.—Section 3(16) of the 
Workforce Innovation and Opportunity Act (29 U.S.C. 
3102(16)) is amended, in the matter preceding subpara-
graph (A), by striking ‘‘family members’’ and inserting ‘‘a 
family member’’. 
(e) ELIGIBLE YOUTH.—Section 3(18) of the Work-
force Innovation and Opportunity Act (29 U.S.C. 
3102(18)) is amended by striking ‘‘out-of-school’’ and in-
serting ‘‘opportunity’’. 
(f) ENGLISH LEARNER.—Section 3 of the Workforce 
Innovation and Opportunity Act (29 U.S.C. 3102) is fur-
ther amended— 
(1) in paragraph (21)— 
(A) in the heading, by striking ‘‘LAN-
GUAGE’’; and 
(B) by striking ‘‘language’’; and 
(2) in paragraph (24)(I), by striking ‘‘lan-
guage’’.
(g) JUSTICE-INVOLVED INDIVIDUAL.—Section 3 of 
the Workforce Innovation and Opportunity Act (29 U.S.C. 
3102) is further amended— 
(1) in paragraph (24), by amending subpara-
graph (F) to read as follows: 
‘‘(F) Justice-involved individuals.’’; and 
(2) in paragraph (38)— 
(A) in the heading, by striking ‘‘OF-
FENDER’’ and inserting ‘‘JUSTICE-INVOLVED 
INDIVIDUAL’’; and 
(B) in the matter preceding subparagraph 
(A), by striking ‘‘offender’’ and inserting ‘‘jus-
tice-involved individual’’. 
(h) OPPORTUNITY YOUTH.—Section 3(46) of the 
Workforce Innovation and Opportunity Act (29 U.S.C. 
3102(46)) is amended— 
(1) in the heading, by striking ‘‘OUT-OF- 
SCHOOL’’ and inserting ‘‘OPPORTUNITY’’; and 
(2) by striking ‘‘out-of-school’’ and inserting 
‘‘opportunity’’. 
(i) 
PAY-FOR-PERFORMANCE
CONTRACT
STRAT-
EGY.—Section 3(47) of the Workforce Innovation and Op-
portunity Act (29 U.S.C. 3102(47)) is amended to read 
as follows:
‘‘(47) 
PAY-FOR-PERFORMANCE
CONTRACT 
STRATEGY.—The term ‘pay-for-performance contract 
strategy’ means a specific type of performance-based 
acquisition that uses pay-for-performance contracts 
in the provision of services described in paragraph 
(2) or (3) of section 134(c) or activities described in 
section 129(c)(2), and includes— 
‘‘(A) contracts, each of which— 
‘‘(i) shall specify a fixed amount that 
will be paid to an eligible service provider 
(which may include a local or national 
community-based organization or inter-
mediary, community college, or other pro-
vider) based on the achievement of speci-
fied levels of performance on the primary 
indicators of performance described in sec-
tion 116(b)(2)(A) for target populations as 
identified by the local board (including in-
dividuals with barriers to employment), 
within a defined timetable; 
‘‘(ii) may not be required by the Sec-
retary to be informed by a feasibility 
study; and
‘‘(iii) may provide for bonus payments 
to such service provider to expand capacity 
to provide effective services and training; 
‘‘(B) a strategy for validating the achieve-
ment of the performance described in subpara-
graph (A); and 
‘‘(C) a description of how the State or 
local area will reallocate funds not paid to a 
provider because the achievement of the per-
formance described in subparagraph (A) did not 
occur, for further activities related to such a 
procurement 
strategy, 
subject 
to 
section 
189(g)(4).’’. 
(j) RAPID RESPONSE ACTIVITY.—Section 3(51) of 
the Workforce Innovation and Opportunity Act (29 U.S.C. 
3102(51)) is amended— 
(1) in the matter preceding subparagraph (A), 
by inserting ‘‘, through a rapid response unit’’ after 
‘‘designated by a State’’; 
(2) in subparagraph (B), by inserting before 
the semicolon at the end the following: ‘‘, including 
individual training accounts for eligible dislocated 
workers under section 414(c) of the American Com-
petitiveness and Workforce Improvement Act of 
1998 (29 U.S.C. 3224a)’’;
(3) in subparagraph (D), by striking ‘‘and’’ at 
the end; 
(4) by redesignating subparagraph (E) as sub-
paragraph (F); 
(5) by inserting after subparagraph (D) the fol-
lowing new subparagraph: 
‘‘(E) assistance in identifying employees el-
igible for assistance, including workers who 
work a majority of their time off-site or re-
motely;’’; 
(6) in subparagraph (F), as so redesignated, by 
striking the period at the end and inserting ‘‘; and’’; 
and 
(7) by adding at the end the following: 
‘‘(G) business engagement or layoff aver-
sion strategies and other activities designed to 
prevent or minimize the duration of unemploy-
ment, such as— 
‘‘(i) connecting employers to short- 
term compensation or other programs de-
signed to prevent layoffs; 
‘‘(ii) conducting employee skill assess-
ment and matching programs to different 
occupations;
‘‘(iii) establishing incumbent worker 
training or other upskilling approaches, in-
cluding incumbent worker upskilling ac-
counts described in section 134(d)(4)(E); 
‘‘(iv) facilitating business support ac-
tivities, such as connecting employers to 
programs that offer access to credit, finan-
cial support, and business consulting; and 
‘‘(v) partnering or contracting with 
business-focused organizations to assess 
risks to companies, and to propose, imple-
ment, and measure the impact of strategies 
and services to address such risks.’’. 
(k) VOCATIONAL REHABILITATION PROGRAM.—Sec-
tion 3(64) of the Workforce Innovation and Opportunity 
Act (20 U.S.C. 3102(64)) is amended by striking ‘‘under 
a provision covered under paragraph (13)(D)’’ and insert-
ing ‘‘under a provision covered under subparagraph (D) 
of the definition of the term ‘core program provision’ 
under this section’’. 
(l) NEW DEFINITIONS.—Section 3 of the Workforce 
Innovation and Opportunity Act (29 U.S.C. 3102) is fur-
ther amended— 
(1) by adding at the end the following:
‘‘(B)(i) demonstrates a rationale based on 
high-quality research findings or positive eval-
uation that such activity, strategy, or interven-
tion is likely to improve student outcomes or 
other relevant outcomes; and 
‘‘(ii) includes ongoing efforts to examine 
the effects of such activity, service, strategy, or 
intervention. 
‘‘(75) LABOR ORGANIZATION.—The term ‘labor 
organization’ has the meaning given the term in sec-
tion 2(5) of the National Labor Relations Act (29 
U.S.C. 152(5)). 
‘‘(76) WORK-BASED
LEARNING.—The term 
‘work-based learning’ has the meaning given the 
term in section 3 of the Carl D. Perkins Career and 
Technical Education Act of 2006 (20 U.S.C. 
2302).’’; and 
(2) by reordering paragraphs (1) through (71), 
as amended by this section, and the paragraphs 
added by paragraph (1) of this subsection in alpha-
betical order, and renumbering such paragraphs as 
so reordered. 
SEC. 102. TABLE OF CONTENTS AMENDMENTS. 
The table of contents in section 1(b) of the Workforce 
Innovation and Opportunity Act is amended—
(1) by redesignating the item relating to section 
172 as section 174; 
(2) by inserting after the item relating to sec-
tion 171, the following: 
‘‘Sec. 172. Reentry employment opportunities. 
‘‘Sec. 173. Strengthening community colleges workforce development grants 
program.’’; and 
(3) by striking the item relating to section 190 
and inserting the following: 
‘‘Sec. 190. State innovation demonstration authority.’’. 
Subtitle B—System Alignment 
CHAPTER 1—STATE PROVISIONS 
SEC. 111. STATE WORKFORCE DEVELOPMENT BOARD. 
Section 101(b)(1)(C)(ii)(IV) of the Workforce Inno-
vation 
and 
Opportunity 
Act 
(29 
U.S.C. 
3112(b)(1)(C)(ii)(IV)) is amended by striking ‘‘out-of- 
school youth’’ and inserting ‘‘opportunity youth’’. 
SEC. 112. UNIFIED STATE PLAN. 
Section 102 of the Workforce Innovation and Oppor-
tunity Act (29 U.S.C. 3112) is amended— 
(1) in subsection (b)— 
(A) in paragraph (1)— 
(i) by redesignating subparagraphs 
(C) through (E) as subparagraphs (D) 
through (F), respectively; 
(ii) by inserting the following after 
subparagraph (B):
‘‘(C) a description of— 
‘‘(i) how the State will use real-time 
labor market information to continually as-
sess the economic conditions and workforce 
trends described in subparagraphs (A) and 
(B); and 
‘‘(ii) how the State will communicate 
changes in such conditions or trends to the 
workforce system in the State;’’; 
(iii) in subparagraph (D), as so redes-
ignated, by inserting ‘‘the extent to which 
such activities are evidence-based,’’ after 
‘‘of such activities,’’; 
(iv) in subparagraph (E), as so redes-
ignated, by striking ‘‘and’’ at the end; 
(v) in subparagraph (F), as so redes-
ignated, by striking the period at the end 
and inserting a semicolon; and 
(vi) by adding at the end the fol-
lowing: 
‘‘(G) a description of any activities the 
State is conducting to expand economic oppor-
tunity for individuals and reduce barriers to 
labor market entry by—
‘‘(i) developing, in cooperation with 
employers, education and training pro-
viders, and other stakeholders, statewide 
skills-based initiatives that promote the use 
of demonstrated skills and competencies as 
an alternative to the exclusive use of de-
gree attainment as a requirement for em-
ployment or advancement in a career; and 
‘‘(ii) evaluating the existing occupa-
tional licensing policies in the State and 
identifying potential changes to recommend 
to the appropriate State entity to— 
‘‘(I) remove or streamline licens-
ing requirements, as appropriate; and 
‘‘(II) improve the reciprocity of 
licensing, including through partici-
pating in interstate licensing com-
pacts; and 
‘‘(H) an analysis of the opportunity youth 
population in the State, including the estimated 
number of opportunity youth and any gaps in 
services provided to such population by other 
existing workforce development activities, as 
identified under subparagraph (D).’’; and 
(B) in paragraph (2)—
(i) in subparagraph (B), by striking 
‘‘including a description’’ and inserting 
‘‘which may include a description’’; 
(ii) in subparagraph (C)— 
(I) in clause (ii)(I), by inserting 
‘‘utilizing a continuous quality im-
provement approach,’’ after ‘‘year,’’ 
(II) in clause (vi), by inserting 
‘‘and’’ at the end; 
(III) in clause (vii), by striking ‘‘; 
and’’ and inserting a period; and 
(IV) by striking clause (viii); 
(iii) in subparagraph (D)(i)(II), by 
striking ‘‘any’’; and 
(iv) in subparagraph (E)— 
(I) in clause (viii)(II), by insert-
ing ‘‘and’’ at the end; 
(II) in clause (ix), by striking ‘‘; 
and’’ at the end and inserting a pe-
riod; and 
(III) by striking clause (x); and 
(2) in subsection (c)(3)— 
(A) in subparagraph (A), by striking 
‘‘shall’’ the second place it appears and insert-
ing ‘‘may’’; and
(B) in subparagraph (B)— 
(i) by striking ‘‘required’’; and 
(ii) by inserting ‘‘, except that com-
municating changes in economic conditions 
and workforce trends to the workforce sys-
tem in the State as described in subsection 
(b)(1)(C) shall not be considered modifica-
tions subject to approval under this para-
graph’’ before the period at the end. 
CHAPTER 2—LOCAL PROVISIONS 
SEC. 115. WORKFORCE DEVELOPMENT AREAS. 
(a) REGIONS.—Section 106(a) of the Workforce In-
novation and Opportunity Act (29 U.S.C. 3121(a)) is 
amended by adding at the end the following: 
‘‘(3) REVIEW.—Before the second full program 
year after the date of enactment of the A Stronger 
Workforce for America Act, in order for a State to 
receive an allotment under section 127(b) or 132(b) 
and as part of the process for developing the State 
plan, a State shall— 
‘‘(A) review each region in the State iden-
tified under this subsection (as such subsection 
was in effect on the day before the date of en-
actment of the A Stronger Workforce for Amer-
ica Act); and
for America Act) until the end of the third full pro-
gram year after the date of enactment of the A 
Stronger Workforce for America Act. 
‘‘(3) INITIAL ALIGNMENT REVIEW.— 
‘‘(A) IN GENERAL.—Prior to the third full 
program year after the date of enactment of the 
A Stronger Workforce for America Act, the 
Governor shall— 
‘‘(i) review the designations of local 
areas in the State (as in effect on the day 
before the date of enactment of the A 
Stronger Workforce for America Act); and 
‘‘(ii) based on the considerations de-
scribed in paragraph (1)(B), issue pro-
posed redesignations of local areas in the 
State through the process described in 
paragraph (1)(A), which shall— 
‘‘(I) include an explanation of the 
strategic goals and objectives that the 
State intends to achieve through such 
redesignations; and 
‘‘(II) be subject to the approval 
of the local boards in the State in ac-
cordance with the process described in 
subparagraph (C).
‘‘(B) DESIGNATION OF LOCAL AREAS.—A 
redesignation of local areas in a State that is 
approved by a majority of the local boards in 
the State through the process described in sub-
paragraph (C) shall take effect on the first day 
of the 4th full program year after the date of 
enactment of the A Stronger Workforce for 
America Act. 
‘‘(C) PROCESS TO REACH MAJORITY AP-
PROVAL.—To approve a designation of local 
areas in the State, the local boards in the State 
shall comply with the following: 
‘‘(i) INITIAL
VOTE.—Not later than 
60 days after the Governor issues proposed 
redesignations under subparagraph (A), 
the chairperson of each local board shall 
review the proposed redesignations and 
submit a vote on behalf of such local board 
to the Governor either approving or reject-
ing the proposed redesignations. 
‘‘(ii) RESULTS OF INITIAL VOTE.—If 
a majority of the local boards in the State 
vote under clause (i)— 
‘‘(I) to approve such proposed re-
designations, such redesignations shall
take effect in accordance with sub-
paragraph (B); or 
‘‘(II) to disapprove such proposed 
redesignations, the chairpersons of the 
local boards in the State shall comply 
with the requirements of clause (iii). 
‘‘(iii) 
ALTERNATE
REDESIGNA-
TIONS.—In the case of the disapproval de-
scribed in clause (ii)(II), not later than 60 
days after initial votes were submitted 
under clause (i), the chairpersons of the 
local boards in the State shall— 
‘‘(I) select 2 alternate redesigna-
tions of local areas— 
‘‘(aa) one of which aligns 
with the regional economic devel-
opment areas in the State; and 
‘‘(bb) one of which aligns 
with the regions described in sub-
paragraph (A) or (B) of sub-
section (a)(2); and 
‘‘(II) conduct a vote to approve, 
by majority vote, 1 of the 2 alternate 
redesignations described in subclause 
(I).
‘‘(iv) EFFECTIVE
DATE
OF
ALTER-
NATE
DESIGNATIONS.—The alternate re-
designations approved pursuant to clause 
(iii)(II) shall take effect in accordance with 
subparagraph (B). 
‘‘(4) SUBSEQUENT ALIGNMENT REVIEWS.—On 
the date that is the first day of the 12th full pro-
gram year after the date of enactment of the A 
Stronger Workforce for America Act, and every 8 
years thereafter, the Governor shall review the des-
ignation of local areas based on the considerations 
described in paragraph (1)(B) and conduct a process 
in accordance with paragraph (3). 
‘‘(5) INTERIM REVISIONS.— 
‘‘(A) AUTOMATIC APPROVAL OF CERTAIN 
REDESIGNATION REQUESTS.— 
‘‘(i) IN GENERAL.—At any time, and 
notwithstanding the requirements of para-
graphs (2), (3), and (4), the Governor, 
upon receipt of a request for a redesigna-
tion of a local area described in clause (ii), 
shall approve such request. 
‘‘(ii) REQUESTS.—The following re-
quests shall be approved pursuant to 
clause (i) upon request:
‘‘(I) A request from multiple 
local areas to be redesignated as a 
single local area. 
‘‘(II) A request from multiple 
local areas for a revision to the des-
ignations of such local areas, which 
would not impact the designations of 
local areas that have not made such 
request. 
‘‘(III) A request for designation 
as a local area from an area described 
in section 107(c)(1)(C). 
‘‘(B) 
OTHER
REDESIGNATIONS.—Other 
than the redesignations described in subpara-
graph (A), the Governor may only redesignate 
a local area outside of the process described in 
paragraphs (3) and (4), if the local area that 
will be subject to such redesignation has not— 
‘‘(i) performed successfully; 
‘‘(ii) sustained fiscal integrity; or 
‘‘(iii) in the case of a local area in a 
planning region, met the requirements de-
scribed in subsection (c)(1). 
‘‘(C) EFFECTIVE
DATE.—Any redesigna-
tion of a local area approved by the Governor
under subparagraph (A) or (B) shall take effect 
on the first date of the first full program year 
after such date of approval. 
‘‘(6) APPEALS.— 
‘‘(A) IN GENERAL.—The local board of a 
local area that is subject to a redesignation of 
such local area under paragraph (3), (4), or (5) 
may submit an appeal to maintain its existing 
designation to the State board under an appeal 
process established in the State plan as speci-
fied in section 102(b)(2)(D)(i)(III). 
‘‘(B) STATE BOARD REQUIREMENTS.—The 
State board shall only grant an appeal to main-
tain an existing designation of a local area de-
scribed in subparagraph (A) if the local area 
can demonstrate that the process for redesigna-
tion of such local area under paragraph (3), 
(4), or (5), as applicable, has not been followed. 
‘‘(C) SECRETARIAL REQUIREMENTS.—If a 
request to maintain an existing designation as 
a local area is not granted as a result of such 
appeal, the Secretary, after receiving a request 
for review from such local area and determining 
that the local area was not accorded procedural
rights under the appeals process referred to in 
subparagraph (A), shall— 
‘‘(i) review the process for the redesig-
nation of the local area under paragraph 
(3), (4), or (5), as applicable; and 
‘‘(ii) upon determining that the appli-
cable process has not been followed, re-
quire that the local area’s existing designa-
tion be maintained. 
‘‘(7) REDESIGNATION
INCENTIVE.—The State 
may provide funding from funds made available 
under sections 128(a)(1) and 133(a)(1) to provide 
payments to incentivize— 
‘‘(A) groups of local areas to request to be 
redesignated as a single local area under para-
graph (5)(A); or 
‘‘(B) multiple local boards in a planning 
region to develop an agreement to operate as a 
regional consortium under subsection (c)(3).’’. 
(c) REGIONAL COORDINATION.—Section 106(c) of 
the Workforce Innovation and Opportunity Act (29 U.S.C. 
3121(c)) is amended— 
(1) in paragraph (1)—
(A) by redesignating subparagraphs (F) 
through (H) as subparagraphs (G) through (I), 
respectively; and 
(B) by inserting the following after sub-
paragraph (E): 
‘‘(F) the establishment of cost arrange-
ments for services described in subsections (c) 
and (d) of section 134, including the pooling of 
funds for such services, as appropriate, for the 
region;’’; 
(2) in paragraph (2), by inserting ‘‘, including 
to assist with establishing administrative costs ar-
rangements or cost arrangements for services under 
subparagraphs (F) and (G) of such paragraph’’ 
after ‘‘delivery efforts’’; 
(3) by redesignating paragraph (3) as para-
graph (4); and 
(4) by inserting after paragraph (2), as so 
amended, the following: 
‘‘(3) REGIONAL CONSORTIUMS.— 
‘‘(A) IN GENERAL.—The local boards and 
chief elected officials in any planning region de-
scribed in subparagraph (B) or (C) of sub-
section (a)(2) may develop an agreement to re-
ceive funding under section 128(b) and section
133(b) as a single consortium for the planning 
region. 
‘‘(B) FISCAL AGENT.—If the local boards 
and chief elected officials develop such an 
agreement— 
‘‘(i) one of the chief elected officials in 
the planning region shall be responsible for 
designating the fiscal agent for the consor-
tium; 
‘‘(ii) the local boards shall develop a 
memorandum of understanding to jointly 
administer the activities for the consor-
tium; and 
‘‘(iii) the required activities for local 
areas under this Act, (including the re-
quired functions of the local boards de-
scribed in section 107(d)) shall apply to 
such a consortium as a whole and may not 
be applied separately or differently to the 
local areas or local boards within such con-
sortium.’’. 
(d) SINGLE STATE LOCAL AREAS.—Section 106(d) 
of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3121(d)) is amended—
(1) by redesignating paragraph (2) as para-
graph (3); and 
(2) by inserting after paragraph (1), the fol-
lowing: 
‘‘(2) NEW DESIGNATION.— 
‘‘(A) IN
GENERAL.—Consistent with the 
process described in subsection (b)(1)(A) and 
during a review of designations described in 
paragraph (3) or (4) of subsection (b), the Gov-
ernor may propose to designate a State as a 
single State local area for the purposes of this 
title. 
‘‘(B) PROCESS
FOR
APPROVAL.—If the 
Governor proposes a single State local area, the 
chairpersons of the existing local boards shall 
vote to approve or reject such designation 
through the process described in subsection 
(b)(3)(C). 
‘‘(C) DESIGNATION
AS
A
SINGLE
STATE 
LOCAL
AREA.—If the majority of the chair-
persons of the local boards in the State vote to 
approve such proposed designation, the State 
shall be designated as a single State local area 
and the Governor shall identify the State as a 
local area in the State plan.’’.
(e) 
DEFINITION
OF
‘‘PERFORMED
SUCCESS-
FULLY’’.—Section 106(e)(1) of the Workforce Innovation 
and Opportunity Act (29 U.S.C. 3121(e)) is amended by 
striking ‘‘adjusted levels of performance’’ and inserting 
‘‘adjusted levels of performance described in section 
116(g)(1)’’. 
SEC. 116. LOCAL WORKFORCE DEVELOPMENT BOARDS. 
(a) MEMBERSHIP.—Section 107(b)(2)(B)(iv) of the 
Workforce Innovation and Opportunity Act (29 U.S.C. 
3122(b)(2)(B)(iv)) is amended by striking ‘‘out-of-school 
youth’’ and inserting ‘‘opportunity youth’’. 
(b) FUNCTIONS OF LOCAL BOARD.—Section 107(d) 
of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3122(d)) is amended— 
(1) in paragraph (3), by inserting ‘‘, including, 
to the extent practicable, local representatives of the 
core programs and the programs described in section 
121(b)(1)(B),’’ after ‘‘system stakeholders’’; 
(2) in paragraph (4)(D)— 
(A) by striking ‘‘proven’’ and inserting 
‘‘evidence-based’’; 
(B) by inserting ‘‘individual’’ after ‘‘needs 
of’’; and 
(C) by inserting ‘‘from a variety of indus-
tries and occupations’’ after ‘‘and employers’’;
(3) in paragraph (5), by inserting ‘‘and which, 
to the extent practicable, shall be aligned with career 
and technical education programs of study (as de-
fined in section 3 of the Carl D. Perkins Career and 
Technical Education Act of 2006 (20 U.S.C. 
2302(3)) offered within the local area’’ before the 
period at the end; 
(4) in paragraph (6)— 
(A) in the heading, by striking ‘‘PROVEN’’ 
and inserting ‘‘EVIDENCE-BASED’’; 
(B) in subparagraph (A)— 
(i) by striking ‘‘proven’’ and inserting 
‘‘evidence-based’’; 
(ii) by inserting ‘‘and covered veterans 
(as defined in section 4212(a)(3)(A) of 
title 38, United States Code)’’ after ‘‘em-
ployment’’; 
(iii) by inserting ‘‘, and give priority 
to covered persons in accordance with sec-
tion 4215 of title 38, United States Code’’ 
after ‘‘delivery system’’; and 
(C) in subparagraph (B), by striking 
‘‘proven’’ and inserting ‘‘evidence-based’’; 
(5) in paragraph (10)(C)—
(A) by inserting ‘‘, on the State eligible 
training provider list,’’ after ‘‘identify’’; and 
(B) by inserting ‘‘that operate in or are ac-
cessible to individuals’’ after ‘‘training serv-
ices’’; and 
(6) in paragraph (12)(A), by striking ‘‘activi-
ties’’ and inserting ‘‘funds allocated to the local area 
under section 128(b) and section 133(b) for the 
youth workforce development activities described in 
section 129 and local employment and training ac-
tivities described in section 134(b), and the activi-
ties’’. 
SEC. 117. LOCAL PLAN. 
Section 108 of the Workforce Innovation and Oppor-
tunity Act (29 U.S.C. 3123) is amended— 
(1) in subsection (a), by striking ‘‘shall pre-
pare’’ and inserting ‘‘may prepare’’; and 
(2) in subsection (b)— 
(A) in paragraph (1)— 
(i) by redesignating subparagraphs 
(D), (E), and (F) as subparagraphs (E), 
(F), and (H), respectively; 
(ii) by inserting the following after 
subparagraph (C): 
‘‘(D) a description of—
‘‘(i) how the local area will use real- 
time labor market information to contin-
ually assess the economic conditions and 
workforce trends described in subpara-
graphs (A), (B), and (C); and 
‘‘(ii) how changes in such conditions 
or trends will be communicated to job-
seekers, education and training providers, 
and employers in the local area;’’; 
(iii) in subparagraph (F), as so redes-
ignated, by striking ‘‘and’’ at the end; and 
(iv) by inserting after subparagraph 
(F), as so redesignated, the following: 
‘‘(G) an analysis of the opportunity youth 
population in the local area, including the esti-
mated number of such youth and any gaps in 
services for such population from other existing 
workforce development activities, as identified 
under paragraph (9), and a description of how 
the local board will address any such gaps in 
services identified in such analysis; and’’; 
(B) in paragraph (4)— 
(i) in subparagraph (A)— 
(I) by striking ‘‘and’’ at the end 
of clause (iii); and
(II) by adding at the end the fol-
lowing: 
‘‘(v) carry out any statewide skills- 
based initiatives identified in the State 
plan that promote the use of demonstrated 
skills and competencies as an alternative to 
the exclusive use of degree attainment as a 
requirement for employment or advance-
ment in a career; and’’; and 
(ii) in subparagraph (B), by striking 
‘‘customized training’’ and inserting ‘‘em-
ployer-directed skills development’’; 
(C) in paragraph (6)(B), by inserting ‘‘, 
such as the use of affiliated sites’’ after 
‘‘means’’; 
(D) in paragraph (9)— 
(i) by striking ‘‘including activities’’ 
and inserting the following: ‘‘including— 
‘‘(A) the availability of community based 
organizations that serve youth primarily during 
nonschool time hours to carry out activities 
under section 129; and 
‘‘(B) activities’’; and 
(ii) by inserting ‘‘or evidence-based’’ 
after ‘‘successful’’; and
(E) in paragraph (12), by inserting ‘‘in-
cluding as described in section 134(c)(2),’’ after 
‘‘system,’’. 
CHAPTER 3—PERFORMANCE 
ACCOUNTABILITY 
SEC. 119. PERFORMANCE ACCOUNTABILITY SYSTEM. 
(a) STATE PERFORMANCE ACCOUNTABILITY MEAS-
URES.— 
(1) PRIMARY INDICATORS OF PERFORMANCE.— 
Section 116(b)(2)(A) of the Workforce Innovation 
and Opportunity Act (29 U.S.C. 3141(b)(2)(A)) is 
amended— 
(A) in clause (i)— 
(i) in subclause (II)— 
(I) by striking ‘‘fourth’’ and in-
serting ‘‘second’’; and 
(II) by inserting ‘‘and remain in 
unsubsidized employment during the 
fourth quarter after exit from the pro-
gram’’ after ‘‘the program’’; 
(ii) in subclause (V)— 
(I) by striking ‘‘, during a pro-
gram year,’’; 
(II) by striking ‘‘are in’’ and in-
serting ‘‘enter into’’; and
(III) by inserting before the 
semicolon at the end the following: 
‘‘within 6 months after the quarter in 
which the participant enters into the 
education and training program’’; and 
(iii) by amending subclause (VI) to 
read as follows: 
‘‘(VI) of the program partici-
pants who received training services 
and who exited the program during a 
program year, the percentage of such 
program participants who completed, 
prior to such exit, on-the-job training, 
employer-directed skills development, 
incumbent worker training, or an ap-
prenticeship.’’; 
(B) in clause (ii)— 
(i) in subclause (II)— 
(I) by striking ‘‘fourth’’ and in-
serting ‘‘second’’; 
(II) by inserting ‘‘, and who re-
main in such activities or unsub-
sidized employment during the fourth 
quarter after exit from the program’’ 
after ‘‘the program’’; and
(III) by striking ‘‘and’’ at the 
end; 
(ii) in subclause (III)— 
(I) by striking ‘‘(VI)’’ and insert-
ing ‘‘(V)’’; and 
(II) by striking the period at the 
end and inserting ‘‘; and’’; and 
(iii) by adding at the end the fol-
lowing: 
‘‘(IV) of the program partici-
pants who exited a program during a 
program year, the percentage of such 
program participants who completed, 
prior to such exit, paid or unpaid 
work experiences as described in sec-
tion 129(c)(2)(C).’’; and 
(C) by striking clause (iv). 
(2) 
LEVELS
OF
PERFORMANCE.—Section 
116(b)(3)(A) of the Workforce Innovation and Op-
portunity Act (29 U.S.C. 3141(b)(3)(A)) is amend-
ed— 
(A) by amending clause (iii) to read as fol-
lows: 
‘‘(iii) 
IDENTIFICATION
IN
STATE 
PLAN.—
‘‘(I) SECRETARIES.—For each 
State submitting a State plan, the 
Secretaries of Labor and Education 
shall, not later than December 1 of 
the year prior to the year in which 
such State plan is submitted, for the 
first 2 program years covered by the 
State plan, and not later than Decem-
ber 1 of the year prior to the third 
program year covered by the State 
plan, for the third and fourth pro-
gram years covered by the State 
plan— 
‘‘(aa) propose to the State 
expected levels of performance 
for each of the corresponding pri-
mary indicators of performance 
for each of the programs de-
scribed in clause (ii) for such 
State, which shall— 
‘‘(AA) 
be 
consistent 
with the factors listed in 
clause (v); and 
‘‘(BB) be proposed in a 
manner that ensures suffi-
cient time is provided for 
the State to evaluate and re-
spond to such proposals; and 
‘‘(bb) publish, on a public 
website of the Department of 
Labor, the statistical model de-
veloped under clause (viii) and 
the methodology used to develop 
each such expected level of per-
formance. 
‘‘(II) 
STATES.—Each 
State 
shall— 
‘‘(aa) evaluate each of the 
expected levels of performance 
proposed under subclause (I) 
with respect to such State; 
‘‘(bb) based on such evalua-
tion of each such expected level 
of performance— 
‘‘(AA) accept the ex-
pected level of performance 
as so proposed; or 
‘‘(BB) provide a coun-
terproposal for such pro-
posed expected level of per-
formance, including an anal-
ysis of how the counter-
proposal addresses factors or 
circumstances unique to the 
State that may not have 
been accounted for in the 
expected level of perform-
ance; and 
‘‘(cc) include in the State 
plan, with respect to each of the 
corresponding primary indicators 
of performance for each of the 
programs described in clause (ii) 
for such State— 
‘‘(AA) 
the 
expected 
level of performance pro-
posed under subclause (I); 
‘‘(BB) 
the 
counter-
proposal for such proposed 
level, if any; and 
‘‘(CC) 
the 
expected 
level of performance that is 
agreed 
to 
under 
clause 
(iv).’’; and 
(B) in clause (v)(II)—
(i) in the matter preceding item (aa), 
by striking ‘‘based on’’ and inserting 
‘‘based on each of the following consider-
ations that are found to be predictive of 
performance on an indicator for a pro-
gram’’; and 
(ii) in item (bb), by striking ‘‘ex-of-
fender status’’ and inserting ‘‘justice-in-
volved individual status, foster care status, 
school status, education level, highest 
grade level completed, low-income status’’. 
(b) PERFORMANCE REPORTS.—Section 116(d) of the 
Workforce Innovation and Opportunity Act (29 U.S.C. 
3141(d)) is amended— 
(1) by amending paragraph (1) to read as fol-
lows: 
‘‘(1) IN GENERAL.— 
‘‘(A) TEMPLATE FOR PERFORMANCE RE-
PORTS.—Not later than 12 months after the 
date of enactment of the A Stronger Workforce 
for America Act, the Secretary of Labor, in 
conjunction with the Secretary of Education, 
shall develop, or review and modify, as appro-
priate, to comply with the requirements of this 
subsection, the template for performance re-
ports that shall be used by States (including by 
States on behalf of eligible providers of training 
services under section 122) and local boards to 
produce a report on outcomes achieved by the 
core programs. In developing, or reviewing and 
modifying, such templates, the Secretary of 
Labor, in conjunction with the Secretary of 
Education, shall take into account the need to 
maximize the value of the templates for work-
ers, jobseekers, employers, local elected officials, 
State officials, Federal policymakers, and other 
key stakeholders. 
‘‘(B) STANDARDIZED REPORTING.—In de-
veloping, or reviewing and modifying, the tem-
plate under subparagraph (A), the Secretary of 
Labor, in conjunction with the Secretary of 
Education, shall ensure that performance re-
ports produced by States and local areas for 
core programs and eligible training providers 
collect and report, in a comparable and uniform 
format, common data elements, which use 
terms that are assigned identical meanings 
across all such reports.
‘‘(C) ADDITIONAL REPORTING.—The Sec-
retary of Labor, in conjunction with the Sec-
retary of Education— 
‘‘(i) in addition to the common data 
elements described under subparagraph 
(B), may require a core program to pro-
vide additional information as necessary 
for effective reporting; and 
‘‘(ii) shall periodically review any re-
quirement for additional information to en-
sure the requirement is necessary and does 
not impose an undue reporting burden.’’. 
(2) in paragraph (2)— 
(A) by redesignating subparagraphs (J) 
through (L) as subparagraphs (K) through (M), 
respectively and inserting after subparagraph 
(I) the following: 
‘‘(J) the median earnings gain of partici-
pants who received training services, calculated 
as the difference between— 
‘‘(i) median participant earnings in 
unsubsidized employment during the sec-
ond quarter after program exit; and
‘‘(ii) median participant earnings in 
the second quarter prior to entering the 
program;’’. 
(B) in subparagraph (L), as so redesig-
nated, by striking clause (ii); and 
(C) by striking ‘‘strategies for programs’’ 
and all that follows through ‘‘the performance’’, 
and inserting ‘‘strategies for programs, the per-
formance’’; 
(3) in paragraph (3)— 
(A) in subparagraph (B), by striking 
‘‘and’’ at the end; 
(B) by redesignating subparagraph (C) as 
subparagraph (E); and 
(C) by inserting after subparagraph (B) 
the following: 
‘‘(C) the percentage of a local area’s allo-
cation under section 133(b) that the local area 
spent on services paid for through an individual 
training 
account 
described 
in 
section 
134(c)(3)(F)(iii) or a training contract de-
scribed in section 134(c)(3)(G)(ii); 
‘‘(D) the percentage of a local area’s allo-
cation under section 133(b) that the local area 
spent on supportive services; and’’;
(4) by amending paragraph (4) to read as fol-
lows: 
‘‘(4) CONTENTS OF ELIGIBLE TRAINING PRO-
VIDERS PERFORMANCE REPORT.— 
‘‘(A) IN GENERAL.—The State shall use 
the information submitted by the eligible pro-
viders of training services under section 122 
and administrative records, including quarterly 
wage records, of the participants of the pro-
grams offered by the providers to produce a 
performance report on the eligible providers of 
training services in the State, which shall in-
clude, subject to paragraph (6)(C)— 
‘‘(i) with respect to each program of 
study (or the equivalent) of such a pro-
vider— 
‘‘(I) information specifying the 
levels of performance achieved with 
respect to the primary indicators of 
performance described in subclauses 
(I) 
through 
(IV) 
of 
subsection 
(b)(2)(A)(i) with respect to all individ-
uals engaging in the program of study 
(or the equivalent); and
‘‘(II) the total number of individ-
uals exiting from the program of 
study (or the equivalent); and 
‘‘(ii) with respect to all such pro-
viders— 
‘‘(I) the total number of partici-
pants who received training services 
through each adult and dislocated 
worker program authorized under 
chapter 3 of subtitle B, disaggregated 
by the type of entity that provided the 
training, during the most recent pro-
gram year and the 3 preceding pro-
gram years; 
‘‘(II) the total number of partici-
pants who exited from training serv-
ices, disaggregated by the type of en-
tity that provided the training, during 
the most recent program year and the 
3 preceding program years; 
‘‘(III) the average cost per par-
ticipant for the participants who re-
ceived training services, disaggregated 
by the type of entity that provided the 
training, during the most recent pro-
gram year and the 3 preceding pro-
gram years; and 
‘‘(IV) the number of individuals 
with barriers to employment served by 
each adult and dislocated worker pro-
gram authorized under chapter 3 of 
subtitle B, disaggregated by each sub-
population of such individuals, and by 
race, ethnicity, sex, and age. 
‘‘(iii) with respect to each recognized 
postsecondary credential on the list of cre-
dentials awarded by eligible providers in 
the State described in section 122(d)(2)— 
‘‘(I) information specifying the 
levels of performance achieved with 
respect to the primary indicators of 
performance described in subclauses 
(I) 
through 
(IV) 
of 
subsection 
(b)(2)(A)(i) for all participants in the 
State receiving such credential; and 
‘‘(II) information specifying the 
levels of performance achieved with 
respect to the primary indicators of 
performance described in subclauses 
(I) 
through 
(IV) 
of 
subsection
(b)(2)(A)(i) for participants in the 
State receiving such credential with 
respect to individuals with barriers to 
employment, disaggregated by each 
subpopulation of such individuals, and 
by race, ethnicity, sex, and age.’’; and 
(5) in paragraph (6)— 
(A) by amending subparagraph (A) to read 
as follows: 
‘‘(A) STATE
PERFORMANCE
REPORTS.— 
The Secretary of Labor and the Secretary of 
Education shall annually make available the 
performance reports for States containing the 
information described in paragraph (2), which 
shall include making such reports available— 
‘‘(i) 
digitally 
using 
transparent, 
linked, open, and interoperable data for-
mats that are human readable and ma-
chine actionable such that the data from 
these reports— 
‘‘(I) are easily understandable; 
and 
‘‘(II) can be easily included in 
web-based tools and services sup-
porting search, discovery, comparison,
analysis, navigation, and guidance; 
and 
‘‘(ii) in a printable format.’’; and 
(B) in subparagraph (B)— 
(i) by striking ‘‘(including by elec-
tronic means), in an easily understandable 
format,’’; and 
(ii) by adding at the end the fol-
lowing: ‘‘The Secretary of Labor and the 
Secretary of Education shall include, on 
the website where the State performance 
reports required under subparagraph (A) 
are made available, a link to local area per-
formance reports and the eligible training 
provider report for each State. Such re-
ports shall be made available in each of the 
formats described in subparagraph (A).’’. 
(c) EVALUATION
OF STATE PROGRAMS.—Section 
116(e) of the Workforce Innovation and Opportunity 
Act(29 U.S.C. 3141(e)) is amended— 
(1) in paragraph (1)— 
(A) by striking ‘‘shall conduct ongoing’’ 
and inserting ‘‘shall use data to conduct anal-
yses and ongoing’’; and
(B) by striking ‘‘conduct the’’ and insert-
ing ‘‘conduct such analyses and’’; and 
(2) in paragraph (2), by adding ‘‘A State may 
use other forms of analysis, such as machine learn-
ing or other advanced analytics, to improve program 
operations and outcomes and to identify areas for 
further evaluation.’’ at the end. 
(d) SANCTIONS
FOR STATE FAILURE TO MEET 
STATE PERFORMANCE ACCOUNTABILITY MEASURES.— 
Section 116(f) of the Workforce Innovation and Oppor-
tunity Act (29 U.S.C. 3141(f)) is amended to read as fol-
lows: 
‘‘(f) SANCTIONS
FOR STATE FAILURE TO MEET 
STATE PERFORMANCE ACCOUNTABILITY MEASURES.— 
‘‘(1) TARGETED SUPPORT AND ASSISTANCE.— 
‘‘(A) IN
GENERAL.—If a State fails to 
meet 80 percent of the State adjusted level of 
performance for an indicator described in sub-
section (b)(2)(A) for a program for any pro-
gram year, the Secretary of Labor and the Sec-
retary of Education shall provide technical as-
sistance. 
‘‘(B) SANCTIONS.— 
‘‘(i) IN GENERAL.—If the State fails 
in the manner described in subclause (I) or
(II) of clause (ii) with respect to a pro-
gram year, the percentage of each amount 
that would (in the absence of this subpara-
graph) be reserved by the Governor under 
section 128(a)(1) for the immediately suc-
ceeding program year shall be reduced by 
5 percentage points until such date as the 
Secretary of Labor or the Secretary of 
Education, as appropriate, determines that 
the State meets the State adjusted level of 
performance, in the case of a failure de-
scribed in clause (ii)(I), or has submitted 
the reports for the appropriate program 
years, in the case of a failure described in 
clause (ii)(II). 
‘‘(ii) FAILURES.—A State shall be 
subject to clause (i)— 
‘‘(I) if (except in the case of ex-
ceptional circumstances as determined 
by the Secretary of Labor or the Sec-
retary of Education, as appropriate), 
such State fails to submit a report 
under subsection (d) for any program 
year; or
‘‘(II) for a failure under subpara-
graph (A) that continues for a second 
consecutive year. 
‘‘(2) COMPREHENSIVE
SUPPORT
AND
ASSIST-
ANCE.— 
‘‘(A) IN
GENERAL.—If a State fails to 
meet an average of 90 percent of the State ad-
justed levels of performance for a program 
across all performance indicators for any pro-
gram year, or if a State fails to meet an aver-
age of 90 percent of the State adjusted levels 
of performance for a single performance indi-
cator across all programs for any program year, 
the Secretary of Labor and the Secretary of 
Education shall provide technical assistance, as 
described and authorized under section 168(b), 
including assistance in the development of a 
comprehensive performance improvement plan. 
‘‘(B) SECOND
CONSECUTIVE
YEAR
FAIL-
URE.—If such failure under subparagraph (A) 
continues for a second consecutive year, the 
percentage of each amount that would (in the 
absence of this subsection) be reserved by the 
Governor under section 128(a)(1) for the imme-
diately succeeding program year shall be re-
duced by 10 percentage points until such date 
as the Secretary of Labor or the Secretary of 
Education, as appropriate, determines that the 
State meets such State adjusted levels of per-
formance. 
‘‘(3) LIMITATION.—The total reduction under 
this subsection to the percentage of each amount 
that would (in the absence of this subsection) be re-
served by the Governor under section 128(a)(1) may 
not exceed 10 percentage points for a program year. 
‘‘(4) REALLOTMENT OF REDUCTIONS.— 
‘‘(A) IN GENERAL.—The amounts available 
for reallotment for a program year shall be re-
allotted to the States that were not subject to 
a reduction of funds under paragraph (1)(B) or 
paragraph (2)(B) of this subsection for such 
program year (in this paragraph referred to in-
dividually as an ‘eligible State’). 
‘‘(B) AMOUNTS AVAILABLE FOR REALLOT-
MENT.—In this paragraph, the amounts avail-
able for reallotment for a program year means 
the 
amounts 
available 
under 
section 
127(b)(1)(C) and paragraph (1)(B) or (2)(B), 
respectively, of section 132(b) for such program 
year which would (in the absence of paragraph
(1)(B) or paragraph (2)(B) of this subsection) 
have otherwise been reserved under section 
128(a)(1) by a Governor of a State for such 
program year. 
‘‘(C) REALLOTMENT AMOUNTS.—In mak-
ing reallotments under subparagraph (A) for a 
program year to eligible States, the Secretary 
shall allot to each eligible State— 
‘‘(i) in the case of amounts available 
under section 127(b)(1)(C), an amount 
based on the relative amount of the allot-
ment made (before the allotments under 
this clause are made) to such eligible State 
under section 127(b)(1)(C) for such pro-
gram year, compared to the total allot-
ments made (before the allotments under 
this clause are made) to all eligible States 
under section 127(b)(1)(C) for such pro-
gram year; and 
‘‘(ii) in the case of amounts available 
under paragraph (1)(B) or (2)(B), respec-
tively, of section 132(b), an amount based 
on the relative amount of the allotment 
made (before the allotments under this 
clause are made) to such eligible State
under paragraph (1)(B) or (2)(B), respec-
tively, of section 132(b) for such program 
year, compared to the total allotments 
made (before the allotments under this 
clause are made) to all eligible States 
under paragraph (1)(B) or (2)(B), respec-
tively, of section 132(b) for such program 
year.’’. 
(e) SANCTIONS FOR LOCAL AREA FAILURE TO MEET 
LOCAL PERFORMANCE ACCOUNTABILITY MEASURES.— 
Section 116(g) of the Workforce Innovation and Oppor-
tunity Act (29 U.S.C. 3141(g)) is amended— 
(1) in paragraph (1)— 
(A) by inserting ‘‘80 percent of the’’ before 
‘‘local performance’’; and 
(B) by striking ‘‘accountability measures’’ 
and inserting ‘‘accountability levels of perform-
ance on an indicator of performance, an aver-
age of 90 percent of the local levels of perform-
ance across indicators for a single program, or 
an average of 90 percent for a single perform-
ance indicator across all programs’’; and 
(2) in paragraph (2)— 
(A) by amending subparagraph (A) to read 
as follows:
‘‘(A) IN GENERAL.—If such failure con-
tinues, the Governor shall take corrective ac-
tions, which shall include— 
‘‘(i) in the case of a failure, for a sec-
ond consecutive year, on any individual in-
dicator, across indicators for a single pro-
gram, or on a single indicator across pro-
grams, a 5-percent reduction in the 
amount that would have otherwise been al-
located (in the absence of this clause) to 
the local area for the immediately suc-
ceeding program year under chapter 2 or 
3 of subtitle B for the program subject to 
the performance failure; 
‘‘(ii) in the case of a failure, as de-
scribed in paragraph (1), for a third con-
secutive year, the development of a reorga-
nization plan through which the Governor 
shall— 
‘‘(I) require the appointment and 
certification of a new local board, con-
sistent with the criteria established 
under section 107(b);
‘‘(II) prohibit the use of one-stop 
partners identified as achieving a poor 
level of performance; and 
‘‘(III) revise or redesignate a 
local area, which may include merging 
a local area with another local area if 
the Governor determines that the like-
ly cause of such continued perform-
ance failure of a local area is due to 
such local area’s designation being 
granted without the appropriate con-
sideration of parameters described 
under section 106(b)(1)(B); or 
‘‘(iii) other significant actions deter-
mined appropriate by the Governor.’’; 
(B) in subparagraph (B)(i), by inserting 
‘‘(ii)’’ after ‘‘subparagraph (A)’’; and 
(C) by adding at the end the following: 
‘‘(D) REALLOCATION OF REDUCTIONS.— 
‘‘(i) IN
GENERAL.—With respect to 
any 
amounts 
available 
under 
section 
128(b), paragraph (2)(A) or (3) of section 
133(b), and section 133(b)(2)(B) to a Gov-
ernor for a program year which would (in 
the absence of subparagraph (A)(i)) have
otherwise been allocated by such Governor 
to a local area for such program year— 
‘‘(I) not more than 10 percent of 
the amounts available under each 
such section may be reserved by the 
Governor to provide technical assist-
ance to local areas within the State 
that were subject to a reduction of al-
location amounts pursuant to sub-
paragraph (A)(i) for such program 
year; and 
‘‘(II) the amounts remaining 
after the reservations under subclause 
(I) shall be reallocated by the Gov-
ernor to the local areas within the 
State that were not subject to a re-
duction of allocation amounts pursu-
ant to subparagraph (A)(i) for such 
program year (in this subparagraph 
referred to individually as an ‘eligible 
local area’). 
‘‘(ii) REALLOCATION
AMOUNTS.—In 
making reallocations under clause (i)(II) 
for a program year to eligible local areas 
within a State, the Governor of the State
shall allocate to each such eligible local 
area— 
‘‘(I) in the case of amounts re-
maining under section 128(b), an 
amount based on the relative amount 
of the allocation made (before the al-
locations under this subclause are 
made) to such eligible local area under 
section 128(b) for such program year, 
compared to the total allocations 
made (before the allocations under 
this subclause are made) to all eligible 
local areas within the State under sec-
tion 128(b) for such program year; 
‘‘(II) in the case of amounts re-
maining under paragraph (2)(A) or 
(3) of section 133(b), an amount 
based on the relative amount of the 
allocation made (before the allocations 
under this subclause are made) to 
such eligible local area under para-
graph (2)(A) or (3) of section 133(b), 
as appropriate, for such program 
year, compared to the total allocations 
made (before the allocations under
this subclause are made) under para-
graph (2)(A) or (3) of section 133(b), 
as appropriate, to all eligible local 
areas within the State for such pro-
gram year; and 
‘‘(III) in the case of amounts re-
maining under section 133(b)(2)(B), 
an amount based on the relative 
amount of the allocation made (before 
the allocations under this subclause 
are made) to such eligible local area 
under section 133(b)(2)(B) for such 
program year, compared to the total 
allocations made (before the alloca-
tions under this subclause are made) 
under section 133(b)(2)(B) to all eli-
gible local areas within the State for 
such program year.’’. 
(f) ESTABLISHING
PAY-FOR-PERFORMANCE
CON-
TRACT STRATEGY INCENTIVES.—Section 116(h) of the 
Workforce Innovation and Opportunity Act (29 U.S.C. 
3141(h)) is amended by striking ‘‘non-Federal funds’’ and 
inserting ‘‘the funds reserved under section 128(a)(1)’’. 
(g) FISCAL AND MANAGEMENT ACCOUNTABILITY IN-
FORMATION SYSTEMS.—Section 116(i) of the Workforce
Innovation and Opportunity Act (29 U.S.C. 3141(i)) is 
amended— 
(1) in the first sentence of paragraph (2), by 
inserting ‘‘, and may use information provided from 
the National Directory of New Hires in accordance 
with section 453(j)(8) of the Social Security Act (42 
U.S.C. 653(j)(8))’’ after ‘‘State law’’; 
(2) by redesignating paragraph (3) as para-
graph (4); and 
(3) by inserting after paragraph (2) the fol-
lowing: 
‘‘(3) DESIGNATED
ENTITY.—The Governor 
shall designate a State agency (or appropriate State 
entity) to assist in carrying out the performance re-
porting requirements for core programs and eligible 
training providers. The designated State agency (or 
appropriate State entity) shall be responsible for— 
‘‘(A) facilitating data matches using quar-
terly wage record information, including wage 
record information made available by other 
States, to measure employment and earnings 
outcomes; 
‘‘(B) data validation and reliability, as de-
scribed in subsection (d)(5); and
(C) by inserting after clause (vi) the fol-
lowing: 
‘‘(vii) workforce and economic devel-
opment programs carried out by the Eco-
nomic Development Administration; and’’. 
(b) ONE-STOP OPERATORS.—Section 121(d) of the 
Workforce Innovation and Opportunity Act (29 U.S.C. 
3151(d)) is amended— 
(1) in paragraph (2)(B)— 
(A) in clause (i), by inserting after ‘‘edu-
cation’’ the following: ‘‘or an area career and 
technical education school’’; 
(B) in clause (v), by striking ‘‘and’’; 
(C) by redesignating clause (vi) as clause 
(viii); 
(D) by inserting after clause (v) the fol-
lowing: 
‘‘(vi) a public library; 
‘‘(vii) a local board that meets the re-
quirements of paragraph (4); and’’; 
(E) in clause (viii), as so redesignated, by 
inserting after ‘‘labor organization’’ the fol-
lowing: ‘‘joint labor-management organization’’; 
and
(2) by redesignating paragraphs (3) and (4) as 
paragraphs (5) and (6), respectively; and 
(3) by inserting after paragraph (2) the fol-
lowing: 
‘‘(3) RESPONSIBILITIES.— 
‘‘(A) IN GENERAL.—In operating a one- 
stop system referred to in subsection (e), a one- 
stop operator— 
‘‘(i) shall— 
‘‘(I) manage the physical and vir-
tual infrastructure and operations of 
the one-stop system in the local area; 
and 
‘‘(II) 
facilitate 
coordination 
among the partners in such one-stop 
system; and 
‘‘(ii) may, subject to the requirements 
under subparagraph (B), directly provide 
services to job seekers and employers. 
‘‘(B) INTERNAL CONTROLS.—In a case in 
which a one-stop operator seeks to operate as a 
service provider pursuant to subparagraph 
(A)(ii), the local board shall establish internal 
controls (which shall include written policies 
and procedures)—
‘‘(i) with respect to the competition in 
which the one-stop operator will compete to 
be selected as such service provider, and 
the subsequent oversight, monitoring, and 
evaluation of the performance of such one- 
stop operator as such service provider; and 
‘‘(ii) which— 
‘‘(I) require compliance with— 
‘‘(aa) 
relevant 
Office 
of 
Management and Budget circu-
lars relating to conflicts of inter-
est; and 
‘‘(bb) any applicable State 
conflict of interest policy; and 
‘‘(II) prohibit a one-stop operator 
from developing, managing, or con-
ducting the competition in which the 
operator intends to compete to be se-
lected as a service provider. 
‘‘(4) LOCAL
BOARDS
AS
ONE-STOP
OPERA-
TORS.—Subject to approval from the chief elected 
official and Governor and in accordance with any 
other eligibility criteria established by the State, a 
local board may serve as a one-stop operator, if the 
local board—
‘‘(A) enters into a written agreement with 
the chief elected official that clarifies how the 
local board will carry out the functions and re-
sponsibilities as a one-stop operator in a man-
ner that complies with the appropriate internal 
controls to prevent any conflicts of interest, 
which shall include how the local board, while 
serving as a one-stop operator, will— 
‘‘(i) comply with the relevant Office of 
Management and Budget circulars relating 
to conflicts of interest; and 
‘‘(ii) any applicable State conflict of 
interest policy; and 
‘‘(B) complies with the other applicable re-
quirements of this subsection.’’. 
(c) ONE-STOP DELIVERY.—Section 121(e)(2) of the 
Workforce Innovation and Opportunity Act (29 U.S.C. 
3151(e)(2)) is amended— 
(1) in subparagraph (A), to read as follows: 
‘‘(A) shall make each of the programs, 
services, and activities described in paragraph 
(1) available— 
‘‘(i) to individuals through electronic 
means, in a single, virtually accessible loca-
tion, and in a manner that improves effi-
ciency, coordination, and quality, as deter-
mined by the State, in the delivery of such 
programs, services, and activities; or 
‘‘(ii) at not less than 1 physical center 
in each local area of the State; and’’; 
(2) in subparagraph (B)(i), by inserting after 
‘‘affiliated sites’’ the following: ‘‘(such as any of the 
entities described in subsection (d)(2)(B))’’; 
(3) in subparagraph (C), by inserting after 
‘‘centers’’ the following: ‘‘(which may be virtual or 
physical centers)’’; 
(4) in subparagraph (D)— 
(A) by striking ‘‘as applicable and prac-
ticable, shall’’ and inserting ‘‘in the case of a 
one-stop delivery system that is making each of 
the programs, services, and activities described 
in paragraph (1) accessible at not less than 1 
physical center, as described in subparagraph 
(A)(ii), the one-stop delivery system shall, as 
applicable and practicable,’’; and 
(B) by striking the period at the end and 
inserting ‘‘; and’’; and 
(5) by inserting after subparagraph (D) the fol-
lowing:
‘‘(E) in the case of a one-stop delivery sys-
tem that is making each of the programs, serv-
ices, and activities accessible through electronic 
means, as described in subparagraph (A)(i), the 
one-stop delivery system shall have not less 
than two affiliated sites with a physical location 
where individuals can access, virtually, each of 
the programs, services, and activities described 
in paragraph (1) that are virtually accessible.’’. 
(d) CERTIFICATION AND IMPROVEMENT CRITERIA.— 
Section 121(g)(2)(A) of the Workforce Innovation and 
Opportunity Act is amended by striking ‘‘under sub-
sections (h)(1)’’ and inserting ‘‘under subsections 
(h)(1)(C)’’. 
(e) FUNDING
OF ONE-STOP INFRASTRUCTURE.— 
Section 121(h) of the Workforce Innovation and Oppor-
tunity Act is amended— 
(1) by striking paragraph (1); 
(2) by redesignating paragraphs (2) and (3) as 
paragraphs (1) and (2), respectively; 
(3) in paragraph (1), as so redesignated— 
(A) by amending subparagraph (B) to read 
as follows: 
‘‘(B) PARTNER CONTRIBUTIONS.—Subject 
to subparagraph (D), the covered portions of
funding for a fiscal year shall be provided to 
the Governor from the programs described in 
subsection (b)(1) to pay the costs of infrastruc-
ture of one-stop centers in local areas of the 
State.’’; and 
(B) in subparagraph (C)— 
(i) in clause (i)— 
(I) by striking ‘‘for funding pur-
suant to clause (i)(II) or (ii) of para-
graph (1)(A) by each partner,’’; and 
(II) by striking the third sen-
tence; and 
(ii) in clause (ii), by striking ‘‘under a 
provision covered by section 3(13)(D)’’ and 
inserting ‘‘under a provision covered by 
subparagraph (D) of the definition of the 
term ‘core program provision’ in section 
3’’; 
(C) in subparagraph (D)— 
(i) in clause (ii), by striking ‘‘For 
local areas in a State that are not covered 
by paragraph (1)(A)(i)(I), the’’ and insert-
ing ‘‘The’’; 
(ii) in clause (ii)— 
(I) in subclause (I)—
(aa) by striking ‘‘WIA’’ in 
the 
header 
and 
inserting 
‘‘WIOA’’; and 
(bb) by striking ‘‘3 percent’’ 
and inserting ‘‘5 percent’’; and 
(II) by striking subclause (III); 
and 
(iii) in clause (iii), by striking ‘‘For 
local areas in a State that are not covered 
by paragraph (1)(A)(i)(I), an’’ and insert-
ing ‘‘An’’; 
(4) in paragraph (2), as so redesignated— 
(A) in subparagraph (A), by striking ‘‘pur-
poses of assisting in’’ and inserting ‘‘purpose 
of’’; and 
(B) in subparagraph (B)— 
(i) in the first sentence, by striking 
‘‘not funding costs of infrastructure under 
the 
option 
described 
in 
paragraph 
(1)(A)(i)(I)’’; and 
(ii) in the second sentence, by insert-
ing after ‘‘local area,’’ the following: ‘‘the 
intensity of services provided by such cen-
ters,’’;
(5) by inserting after paragraph (2), as so re-
designated, the following: 
‘‘(3) SUPPLEMENTAL INFRASTRUCTURE FUND-
ING.—For any fiscal year in which the allocation re-
ceived by a local area under paragraph (2) is insuffi-
cient to cover the total costs of infrastructure of 
one-stop centers in such local area, the local board, 
the chief elected official, and the one-stop partners 
that have entered into the local memorandum of un-
derstanding with the local board under subsection 
(c) may agree to fund any such remaining costs 
using a method described in such memorandum.’’; 
and 
(6) in paragraph (4), by inserting after ‘‘oper-
ation of the one-stop center’’ the following: ‘‘(wheth-
er for in-person or virtual service delivery)’’. 
SEC. 122. IDENTIFICATION OF ELIGIBLE PROVIDERS AND 
PROGRAMS OF TRAINING SERVICES. 
(a) ELIGIBILITY.—Section 122(a) of the Workforce 
Innovation and Opportunity Act (29 U.S.C. 3152(a)) is 
amended— 
(1) by amending paragraph (1) to read as fol-
lows: 
‘‘(1) IN GENERAL.—Except as provided in sub-
section (i), the Governor, after consultation with the
State board and considering the State’s adjusted lev-
els 
of 
performance 
described 
in 
section 
116(b)(3)(A)(iv), shall establish— 
‘‘(A) procedures regarding the eligibility of 
providers of training services to receive funds 
provided under section 133(b) for the provision 
of training services by programs with standard 
eligibility or conditional eligibility under this 
section (in this section referred to as ‘eligible 
programs’) in local areas in the State; and 
‘‘(B) the minimum levels of performance 
on the criteria for a program to receive such 
standard or conditional eligibility.’’; 
(2) in paragraph (2)— 
(A) in subparagraph (A), by inserting be-
fore the semicolon at the end the following: 
‘‘(other than an institution of higher education 
described in subparagraph (C))’’; 
(B) in subparagraph (B), by striking ‘‘or’’ 
at the end; 
(C) by redesignating subparagraph (C) as 
subparagraph (D); 
(D) by inserting after subparagraph (B) 
the following:
‘‘(C) an institution of higher education 
that offers a program that— 
‘‘(i) is of at least 150 clock hours of 
instruction, but less than 600 clock hours 
of instruction, or an equivalent number of 
credit hours; 
‘‘(ii) is offered during a minimum of 
8 weeks, but less than 15 weeks; and 
‘‘(iii) is an eligible program for pur-
poses of the Federal Pell Grant program; 
or’’; and 
(E) in subparagraph (D), as so redesig-
nated— 
(i) by inserting ‘‘(including providers 
of such a program that is conducted (in 
whole or in part) online)’’ before ‘‘, which 
may’’; and 
(ii) by inserting ‘‘providers of entre-
preneurial skills development programs, in-
dustry or sector partnerships, groups of 
employers, trade or professional associa-
tions,’’ after ‘‘organizations,’’; and 
(3) in paragraph (3)— 
(A) in the first sentence, by striking ‘‘(C)’’ 
and inserting ‘‘(D)’’;
(B) in the second sentence, by striking 
‘‘paragraph (2)(B)’’ the first place it appears 
and inserting ‘‘subparagraph (B) or (C) of 
paragraph (2)’’; and 
(C) by inserting before the period at the 
end the following: ‘‘or remains eligible for the 
Federal Pell Grant program as described in 
paragraph (2)(C)’’. 
(b) CRITERIA AND INFORMATION REQUIREMENTS.— 
Section 122(b) of the Workforce Innovation and Oppor-
tunity Act (29 U.S.C. 3152(b)) is amended to read as fol-
lows: 
‘‘(b) 
CRITERIA
AND
INFORMATION
REQUIRE-
MENTS.— 
‘‘(1) GENERAL REQUIREMENTS.— 
‘‘(A) 
GENERAL
CRITERIA
FOR
PRO-
GRAMS.—Each provider shall demonstrate that 
the program for which the provider is seeking 
eligibility under this section— 
‘‘(i) prepares participants to meet the 
hiring requirements of potential employers 
in the State or a local area within the 
State for employment that— 
‘‘(I) is high skill and high wage; 
or
‘‘(II) is in in-demand industry 
sectors or occupations; 
‘‘(ii) leads to a recognized postsec-
ondary credential; 
‘‘(iii) has been offered by the provider 
for not less than 1 year; and 
‘‘(iv)(I) meets the performance re-
quirements for standard eligibility de-
scribed in paragraph (2); or 
‘‘(II) has received conditional eligi-
bility described in paragraph (3). 
‘‘(B) PROVIDER ELIGIBILITY ELECTION.— 
Any provider may elect to seek standard eligi-
bility under paragraph (2) or conditional eligi-
bility under paragraph (3). 
‘‘(2) PERFORMANCE CRITERIA FOR STANDARD 
ELIGIBILITY.— 
‘‘(A) IN GENERAL.—The Governor shall— 
‘‘(i) establish and publicize minimum 
levels of performance for each of the cri-
teria listed in subparagraph (B) that a 
program offered by a provider of training 
services shall achieve to receive and main-
tain standard eligibility under this section; 
and
‘‘(ii) verify the performance achieved 
by such a program with respect to each 
such criteria to determine whether the pro-
gram meets the corresponding minimum 
level of performance established under 
clause (i)— 
‘‘(I) in the case of the criteria de-
scribed in (ii) through (iv) of subpara-
graph (B), using State administrative 
data (such as quarterly wage records); 
and 
‘‘(II) in the case of the criteria 
described in subparagraph (B)(i), 
using any applicable method for such 
verification; and 
‘‘(iii) in verifying the performance 
achievement of a program, verify that such 
program included a sufficient number of 
program participants to protect participant 
personally identifiable information, and to 
be a reliable indicator of performance 
achievement. 
‘‘(B) PERFORMANCE CRITERIA.—The per-
formance criteria to receive and maintain stand-
ard eligibility for a program under this section 
are as follows: 
‘‘(i) The credential attainment rate of 
program participants calculated as the per-
centage of program participants who ob-
tain the recognized postsecondary creden-
tial for which the program prepares par-
ticipants to earn within 6 months of exit 
from the program. 
‘‘(ii) The job placement rate of pro-
gram participants calculated as the per-
centage of program participants in unsub-
sidized employment during the second 
quarter after exit from the program. 
‘‘(iii) The median earnings of program 
participants who are in unsubsidized em-
ployment during the second quarter after 
exit from the program. 
‘‘(iv) The ratio of median earnings in-
crease to the total cost of program, cal-
culated as follows: 
‘‘(I) The median value of the dif-
ference between— 
‘‘(aa) 
participant 
wages 
from unsubsidized employment
during the second quarter after 
program exit; and 
‘‘(bb) participant wages dur-
ing the quarter prior to entering 
the program, to 
‘‘(II) The total cost of the pro-
gram (as described in paragraph 
(5)(B)(iii)). 
‘‘(C) LOCAL
CRITERIA.—With respect to 
any program receiving standard eligibility under 
this section from a Governor, a local board in 
the State may require higher levels of perform-
ance than the minimum performance levels es-
tablished by the Governor under this para-
graph, but may not— 
‘‘(i) require any information or appli-
cation from the provider that is not re-
quired for such standard eligibility; or 
‘‘(ii) establish a performance require-
ment with respect to any criteria not listed 
in subparagraph (B). 
‘‘(3) CONDITIONAL ELIGIBILITY.— 
‘‘(A) REQUIREMENTS.— 
‘‘(i) IN
GENERAL.—The Governor 
shall establish procedures and criteria for
conditional eligibility for a program of a 
provider of training services that does not 
meet the requirements under subparagraph 
(2). 
‘‘(ii) PROCEDURES AND CRITERIA.— 
In establishing the procedures and criteria 
under this subparagraph for conditional 
eligibility under this paragraph, the Gov-
ernor— 
‘‘(I) shall establish the maximum 
period, not to exceed a 4-year period, 
that a program may receive and main-
tain such conditional eligibility; 
‘‘(II) with respect to a program 
that has received conditional eligibility 
for the maximum period established 
under subclause (I) and that is seek-
ing approval for an additional period 
of conditional eligibility, may not con-
sider such program for such condi-
tional eligibility during the 3-year pe-
riod that begins on the day after the 
end of most recent period for which 
the program received conditional eligi-
bility; and
‘‘(III) may establish other re-
quirements related to program per-
formance, including setting separate 
minimum levels of performance on the 
criteria described in paragraph (2) for 
a program to maintain such condi-
tional eligibility. 
‘‘(B) PAYMENTS.—Payments under this 
Act for the provision of training services by a 
program with conditional eligibility shall be 
made to the provider of such program, on the 
basis of the achievement of successful outcomes 
by a participant of such training services, in ac-
cordance with the following: 
‘‘(i) Upon participant enrollment, the 
provider shall receive not less than 25 per-
cent of the total funds to be provided 
under section 133(b) for the provision of 
training services by such program to such 
participant. 
‘‘(ii) Upon participant completion and 
credential attainment, the provider shall 
receive not less than 25 percent of such 
total funds.
‘‘(iii) Upon verification of the partici-
pant’s employment during the second quar-
ter after program completion, the provider 
shall receive not less than 25 percent of 
such total funds. 
‘‘(iv) The remainder of such total 
funds may be awarded at any of the inter-
vals described in clauses (i) through (iii) as 
determined by the Governor in accordance 
with the procedures established under sub-
paragraph (A). 
‘‘(C) LIMITATION
ON
BILLING
PARTICI-
PANTS.—With respect to a program participant 
for whom a provider expects to be paid pursu-
ant to subparagraph (B), the provider may 
not— 
‘‘(i) charge such participant tuition 
and refund such charges after receiving 
such payments; or 
‘‘(ii) if such program participant does 
not achieve the outcomes necessary for the 
provider to receive the provider’s full pay-
ment pursuant to subparagraph (B) for 
such participant, bill a participant for any
of the amounts described in subparagraph 
(B). 
‘‘(4) EMPLOYER-SPONSORED OR INDUSTRY OR 
SECTORAL PARTNERSHIP DESIGNATION.— 
‘‘(A) IN
GENERAL.—The Governor shall 
establish procedures and criteria for providers 
to apply for an employer-sponsored designation 
for a program that has received standard or 
conditional eligibility under this paragraph, 
which shall include a commitment from an em-
ployer or an industry or sectoral partnership 
to— 
‘‘(i) pay to the provider, on behalf of 
each participant enrolled in such program 
under this Act, not less than 25 percent of 
the cost of the program (as described in 
paragraph (5)(B)(iii)), which shall be pro-
vided in lieu of 25 percent of the amount 
that the provider would have otherwise re-
ceived under section 133(b) for the provi-
sion of training services by such program 
to such participant; and 
‘‘(ii) guarantee an interview and con-
sideration for a job with the employer, or 
in the case of an industry or sectoral part-
nership, an employer within such partner-
ship, for each such participant that suc-
cessfully completes the program. 
‘‘(B) RESTRICTION
ON
FINANCIAL
AR-
RANGEMENT.—A provider receiving an em-
ployer-sponsored designation under this para-
graph may not— 
‘‘(i) have an ownership stake in the 
employer or industry or sectoral partner-
ship making a commitment described in 
subparagraph (A); or 
‘‘(ii) enter into an arrangement to re-
imburse an employer or partnership for the 
costs of a participant paid by such em-
ployer or partnership. 
‘‘(5) INFORMATION REQUIREMENTS.—An eligi-
ble provider shall submit appropriate, accurate, and 
timely information to the Governor, to enable the 
Governor to carry out subsection (d), with respect to 
all participants of each eligible program (including 
participants for whom the provider receives pay-
ments under this title) offered by the provider, 
which shall—
‘‘(A) be made available by the State in a 
common, linked, open, and interoperable data 
format; 
‘‘(B) include information on— 
‘‘(i) the performance of the program 
with respect to the performance account-
ability measures described in section 116 
for such participants; 
‘‘(ii) the recognized postsecondary cre-
dentials received by such participants, in-
cluding, in relation to each such credential, 
the issuing entity, any third-party endorse-
ments, the occupations for which the cre-
dential prepares individuals, the com-
petencies achieved, the level of mastery of 
such competencies (including how mastery 
is assessed), and any transfer value or 
stackability; 
‘‘(iii) the total cost of the program, in-
cluding the costs of the published tuition 
and fees, supplies, books, and any other 
costs required by the provider for partici-
pants in the program;
‘‘(iv) the percentage of such partici-
pants that complete the program within 
the expected time to completion; and 
‘‘(v) in the case of a provider offering 
programs seeking or maintaining standard 
eligibility, the criteria described in para-
graph (2) and not otherwise included in 
clause (i) of this subparagraph; and 
‘‘(C) with respect to employment and earn-
ings measures described in subclauses (I) 
through (III) of section 116(b)(2)(A)(i) for 
such participants— 
‘‘(i) the necessary information for the 
State to develop program performance data 
using State administrative data (such as 
wage records); and 
‘‘(ii) the necessary information to de-
termine the percentage of such partici-
pants who entered unsubsidized employ-
ment in an occupation related to the pro-
gram, to the extent practicable.’’. 
(c) PROCEDURES.—Section 122(c) of the Workforce 
Innovation and Opportunity Act (29 U.S.C. 3152(c)) is 
amended—
(C) by adding at the end the following: 
‘‘Any program with standard or conditional eli-
gibility that, upon such review, does not meet 
the eligibility criteria established under sub-
section (b) for standard or conditional eligi-
bility, respectively, shall, except as otherwise 
provided in subsection (g)(1)(E), no longer be 
an eligible program and shall be removed from 
the list described in subsection (d).’’; and 
(4) by inserting at the end the following: 
‘‘(4) MULTISTATE
PROVIDERS.—The proce-
dures established under subsection (a) shall specify 
the process for any provider of training services of-
fering a program in multiple States to establish eli-
gibility in such States, which shall, to the extent 
practicable, minimize financial and administrative 
burdens on any such provider by authorizing the 
provider to submit the same application materials 
and information to the Governor of each State in 
which such program will be providing services, as 
long as the program meets the applicable State re-
quirements established under subsection (b) for each 
such State. 
‘‘(5) ONLINE
PROVIDERS.—If a participant 
chooses a provider that delivers training services ex-
clusively online and is not located in the State of the 
local area that approved such training services for 
the 
participant 
in 
accordance 
with 
section 
133(c)(3)(A)(i), such provider shall be ineligible to 
receive payment for such participant from funds al-
located to such State unless such provider is on the 
list of eligible providers of training services described 
in subsection (d) for such State.’’. 
(d) LIST AND INFORMATION TO ASSIST PARTICI-
PANTS IN CHOOSING PROVIDERS.—Section 122(d) of the 
Workforce Innovation and Opportunity Act (29 U.S.C. 
3152(d)) is amended— 
(1) by redesignating paragraphs (2), (3), and 
(4) as paragraphs (3), (4), and (6), respectively; 
(2) by inserting after paragraph (1) the fol-
lowing: 
‘‘(2) CREDENTIAL NAVIGATION FEATURE.—In 
order to enhance the ability of participants and em-
ployers to understand and compare the value of the 
recognized postsecondary credentials awarded by eli-
gible programs offered by providers of training serv-
ices in a State, the Governor shall establish (or de-
velop in partnership with other States), a credential 
navigation feature that allows participants and the 
public to search a list of such recognized postsec-
ondary credentials, and the providers and programs 
awarding such a credential, which shall include, with 
respect to each such credential (aggregated for all 
participants in the State that have received such cre-
dential)— 
‘‘(A) the information required under sub-
section (b)(5)(B)(ii); and 
‘‘(B) the employment and earnings out-
comes described in subclause (I) through (III) 
of section 116(b)(2)(i).’’; 
(3) in paragraph (3) (as redesignated by para-
graph (1))— 
(A) by amending subparagraph (A), by 
striking ‘‘(C) of subsection (a)(2)’’ and insert-
ing ‘‘(D) of subsection (a)(2)’’; 
(B) by amending subparagraph (B) to read 
as follows: 
‘‘(B) with respect to a program described 
in subsection (b)(3) that is offered by a pro-
vider, consist of information designating the 
program as having conditional eligibility;’’; and 
(C) by amending subparagraph (C) to read 
as follows: 
‘‘(C) with respect to a program described 
in subsection (b)(4) that is offered by a pro-
vider, consist of the information promoting the 
program as having an employer-sponsored des-
ignation and identifying the employer or part-
nership sponsoring the program.’’. 
(4) by amending paragraph (4) (as so redesig-
nated) to read as follows: 
‘‘(4) AVAILABILITY.—The list (including the 
credential navigation feature described in paragraph 
(2)), and the accompanying information shall be 
made available to such participants and to members 
of the public through the one-stop delivery system in 
the State— 
‘‘(A) on a publicly accessible website 
that— 
‘‘(i) is consumer-tested; and 
‘‘(ii) is searchable, easily understand-
able, and navigable, and allows for the 
comparison of eligible programs through 
the use of common, linked, open-data de-
scriptive language; and 
‘‘(B) in a manner that does not reveal per-
sonally identifiable information about an indi-
vidual participant.’’; and 
(5) by inserting before paragraph (6) (as so re-
designated), the following:
‘‘(5) WEBSITE
TECHNICAL
ASSISTANCE.—The 
Secretary shall— 
‘‘(A) upon request, provide technical assist-
ance to a State on establishing a website that 
meets the requirements of paragraph (4); and 
‘‘(B) disseminate to each State effective 
practices or resources from States and private 
sector entities related to establishing a website 
that is consumer-tested to ensure that the 
website is easily understood, searchable, and 
navigable.’’. 
(e) PROVIDER PERFORMANCE INCENTIVES.—Section 
122 of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3152), as amended by this section, is further 
amended— 
(1) in subsection (e), by striking ‘‘information 
requirements,’’ in each place it appears; 
(2) by redesignating subsections (f) through (i) 
as subsection (g) through (j), respectively; 
(3) by inserting after subsection (e), as so 
amended, the following: 
‘‘(f) PROVIDER PERFORMANCE INCENTIVES.— 
‘‘(1) IN GENERAL.—The Governor or a local 
board may establish a system of performance incen-
tive payments to be awarded to providers in addition
to the amount paid under section 133(b) to such 
providers for the provision of training services to 
participants of eligible programs. Such system of 
performance incentives may be established to award 
eligible programs that— 
‘‘(A) achieve performance levels above the 
minimum levels established by the Governor 
under subsection (b)(2); 
‘‘(B) serve a significantly higher number of 
individuals with barriers to employment com-
pared to training providers offering similar 
training services; or 
‘‘(C) achieve other performance successes, 
including those related to jobs that provide eco-
nomic stability and upward mobility (such as 
leading to jobs with high wages and family sus-
tainable benefits) as determined by the State or 
the local board. 
‘‘(2) INCENTIVE
PAYMENTS.—Incentive pay-
ments to providers established under paragraph (1) 
shall be awarded to providers from the following al-
lotments: 
‘‘(A) In the case of a system of perform-
ance incentive payments established by the Gov-
ernor, from funds reserved by the Governor 
under section 128(a). 
‘‘(B) In the case of a system of perform-
ance incentive payments established by a local 
board, from the allocations made to the local 
area for youth under section 128(b), for adults 
under paragraph (2)(A) or (3) of section 
133(b), or for dislocated workers under section 
133(b)(2)(B), as appropriate.’’; 
(f) ENFORCEMENT.—Section 122(g)(1) of the Work-
force Innovation and Opportunity Act (as redesignated by 
subsection (e)(2)), is amended by adding at the end the 
following: 
‘‘(D) FAILURE TO PROVIDE REQUIRED IN-
FORMATION.—With respect to a provider of 
training services that is eligible under this sec-
tion for a program year with respect to an eligi-
ble program, but that does not provide the in-
formation described in subsection (b)(5) with 
respect to such program for such program year 
(including information on performance nec-
essary to determine if the program meets the 
minimum levels on the criteria to maintain eli-
gibility), the provider shall be ineligible under 
this section with respect to such program for
the program year after the program year for 
which the provider fails to provide such infor-
mation. 
‘‘(E) FAILURE
TO
MEET
PERFORMANCE 
CRITERIA.— 
‘‘(i) FIRST
YEAR.—An eligible pro-
gram that has received standard eligibility 
under subsection (c)(2) for a program year 
but fails to meet the minimum levels of 
performance on the criteria described in 
subsection (b)(2) during the most recent 
program year for which performance data 
on such criteria are available shall be noti-
fied of such failure by the Governor. 
‘‘(ii) SECOND CONSECUTIVE YEAR.—A 
program that fails to meet the minimum 
levels of performance for a second consecu-
tive program year shall lose standard eligi-
bility for such program for at least the 
program year following such second con-
secutive program year. 
‘‘(iii) REAPPLICATION.— 
‘‘(I) STANDARD ELIGIBILITY.—A 
provider may reapply to receive stand-
ard eligibility for the program accord-
ing to the criteria described in sub-
section (c) if the program perform-
ance for the most recent program year 
for which performance data is avail-
able meets the minimum levels of per-
formance required to receive such 
standard eligibility. 
‘‘(II) 
CONDITIONAL
ELIGI-
BILITY.—A program that loses stand-
ard eligibility may apply to receive 
conditional eligibility under the proc-
ess and criteria established by the 
Governor under subsection (b)(3).’’. 
(g) ON-THE-JOB TRAINING, EMPLOYER-DIRECTED 
SKILLS DEVELOPMENT, INCUMBENT WORKER TRAINING, 
AND OTHER TRAINING EXCEPTIONS.—Subsection (i) (as 
redesignated by subsection (e)(2)) of section 122 of the 
Workforce Innovation and Opportunity Act (29 U.S.C. 
3152) is amended— 
(1) in paragraph (1)— 
(A) by striking ‘‘customized training’’ and 
inserting 
‘‘employer-directed 
skills 
develop-
ment’’; and
(B) by striking ‘‘subsections (a) through 
(f)’’ and inserting ‘‘subsections (a) through 
(g)’’; and 
(2) in paragraph (2), by amending the first sen-
tence to read as follows: ‘‘A one-stop operator in a 
local area shall collect the minimum amount of in-
formation from providers of on-the-job training, em-
ployer-directed skills development, incumbent worker 
training, internships, paid or unpaid work experience 
opportunities, and transitional employment as nec-
essary to enable the use of State administrative data 
to generate such performance information as the 
Governor may require.’’. 
(h) TECHNICAL ASSISTANCE.—Section 122 of the 
Workforce Innovation and Opportunity Act (29 U.S.C. 
3152) is further amended by adding at the end the fol-
lowing: 
‘‘(k) TECHNICAL ASSISTANCE.—The Governor may 
apply to the Secretary for technical assistance, as de-
scribed in section 168(c), for purposes of carrying out the 
requirements of subsection (c)(4), or paragraph (2) or (5) 
of subsection (d), or any other amendments made by the 
A Stronger Workforce for America Act to this section, and 
the Secretary shall provide such technical assistance in a 
timely manner.’’.
(i) TRANSITION.—A Governor and local boards shall 
implement the requirements of section 122 of the Work-
force Innovation and Opportunity Act (29 U.S.C. 3152), 
as amended by this Act, not later than the first day of 
the second full program year after the date of enactment 
of this Act. In order to facilitate early implementation of 
this section, the Governor may establish transition proce-
dures under which providers eligible to provide training 
services under chapter 1 of subtitle B of title I of the 
Workforce Innovation and Opportunity Act (29 U.S.C. 
3151 et seq.), as such chapter was in effect on the day 
before the date of enactment of this Act, may continue 
to be eligible to provide such services until December 31, 
2024, or until such earlier date as the Governor deter-
mines to be appropriate. 
CHAPTER 2—YOUTH WORKFORCE 
INVESTMENT ACTIVITIES 
SEC. 131. RESERVATIONS; REALLOCATION. 
(a) RESERVATIONS FOR STATEWIDE ACTIVITIES.— 
Section 128(a) of the Workforce Innovation and Oppor-
tunity Act (29 U.S.C. 3173(a)) is amended— 
(1) in paragraph (2), by striking ‘‘reserved 
amounts’’ in each place and inserting ‘‘reserved 
amounts under paragraph (1)’’; and 
(2) by adding at the end the following:
‘‘(3) STATEWIDE
CRITICAL
INDUSTRY
SKILLS 
FUND.— 
‘‘(A) AUTHORIZED RESERVATION.—In ad-
dition to the reservations required under para-
graph (1) and section 133(a)(2), and subject to 
subparagraph (B), the Governor may reserve 
not more than 10 percent of each of the 
amounts allotted to the State under section 
127(b)(1)(C) and paragraphs (1)(B) and (2)(B) 
of section 132(b) for a fiscal year to establish 
and administer a critical industry skills fund 
described in section 134(a)(4). 
‘‘(B) MATCHING FUNDS.— 
‘‘(i) REQUIREMENT.—The amount of 
funds reserved by a Governor under sub-
paragraph (A) for a fiscal year may not ex-
ceed the amount of funds that such Gov-
ernor commits to using from any of the 
funds listed in clause (ii) for such fiscal 
year for the purposes of establishing and 
administering the critical industry skills 
fund for which funds are reserved under 
subparagraph (A).
100 
‘‘(ii) 
SOURCES
OF
MATCHING 
FUNDS.—The funds listed in this clause 
are as follows: 
‘‘(I) Funds reserved by the Gov-
ernor under paragraph (1) of this 
subsection. 
‘‘(II) Other Federal funds not 
described in subclause (I). 
‘‘(III) State funds.’’. 
(b) REALLOCATION AMONG LOCAL AREAS.—Section 
128(c) of the Workforce Innovation and Opportunity Act 
(29 U.S.C. 3173(c)) is amended— 
(1) in paragraph (1), by inserting the following 
before the period at the end: ‘‘as performance-based 
incentive payments’’; and 
(2) in paragraph (4)— 
(A) by striking ‘‘that does not’’ and insert-
ing the following: ‘‘that— 
‘‘(A) does not’’; 
(B) by striking the period at the end and 
inserting a semicolon; and 
(C) by adding at the end the following: 
‘‘(B) has met or exceeded an average of 
100 percent of the local level of performance 
described in section 116(c)(1)(B) for the local
101 
area across all indicators for the youth program 
authorized under this chapter for the most re-
cent program year for which performance data 
is available; and 
‘‘(C) was not subject to corrective action 
by the Governor under section 184(a)(5)(A) for 
a determination of non-compliance with the uni-
form administrative requirements described in 
section 184(a)(3) for the program year for 
which the determination under paragraph (2) is 
made.’’. 
SEC. 132. USE OF FUNDS FOR YOUTH WORKFORCE INVEST-
MENT ACTIVITIES. 
(a) OPPORTUNITY
YOUTH.—Section 129 of the 
Workforce Innovation and Opportunity Act (29 U.S.C. 
3164) is amended by striking ‘‘out-of-school’’ each place 
it appears and inserting ‘‘opportunity’’. 
(b) YOUTH PARTICIPANT ELIGIBILITY.— 
(1) ELIGIBILITY DETERMINATION.— 
(A) ELIGIBILITY.—Subparagraph (A) of 
section 129(a)(1) of the Workforce Innovation 
and Opportunity Act (29 U.S.C. 3164(a)(1) is 
amended to read as follows: 
‘‘(A) ELIGIBILITY DETERMINATION.—
102 
‘‘(i) IN GENERAL.—To be eligible to 
participate in activities carried out under 
this chapter during any program year, an 
individual shall, at the time the eligibility 
determination is made, be an opportunity 
youth or an in-school youth. 
‘‘(ii) ENROLLMENT.—If a one-stop 
operator or eligible provider of youth work-
force activities carrying out activities under 
this chapter reasonably believes that an in-
dividual is eligible to participate in such 
activities, the operator or provider may 
allow such individual to participate in such 
activities for not more than a 30-day pe-
riod during which the operator or provider 
shall obtain the necessary information to 
make an eligibility determination with re-
spect to such individual (which may involve 
working with such individual, other entities 
in the local area, and available sources of 
administrative data to obtain the necessary 
information). 
‘‘(iii) DETERMINATION
OF
INELIGI-
BILITY.—With respect to an individual who 
is determined to be ineligible for activities
103 
under this chapter by a one-stop operator 
or a service provider during the period de-
scribed in clause (ii) and who does not 
qualify for an exception under paragraph 
(3)(A)(ii) applicable to the local area in-
volved, such operator or service provider— 
‘‘(I) may— 
‘‘(aa) continue serving such 
individual 
using 
non-Federal 
funds; or 
‘‘(bb) end the participation 
of such individual in activities 
under this chapter and refer the 
individual to other services that 
may be available in the local area 
for which the individual may be 
eligible; and 
‘‘(II) shall be paid for any serv-
ices provided to such individual under 
this chapter during the period de-
scribed in clause (ii) by the local area 
involved using funds allocated to such 
area under section 128(b). 
‘‘(iv) DETERMINATION PROCESS FOR 
HOMELESS AND FOSTER YOUTH.—In de-
104 
termining whether an individual is eligible 
to participate in activities carried out 
under this chapter on the basis of being an 
individual who is a homeless child or 
youth, or a youth in foster care, as de-
scribed in subparagraph (B)(iii)(V), the 
one-stop operator or service provider in-
volved shall— 
‘‘(I) if determining whether the 
individual is a homeless child or 
youth, use a process that is in compli-
ance with the requirements of sub-
section (a) of section 479D of the 
Higher Education Act of 1965, as 
added by section 702(l) of the FAFSA 
Simplification Act (Public Law 116– 
260), for financial aid administrators; 
and 
‘‘(II) if determining whether the 
individual is a youth in foster care, 
use a process that is in compliance 
with the requirements of subsection 
(b) of section 479D of the Higher 
Education Act of 1965, as added by 
section 702(l) of the FAFSA Sim-
105 
plification Act (Public Law 116–260), 
for financial aid administrators.’’. 
(B) 
DEFINITION
OF
OPPORTUNITY 
YOUTH.—Subparagraph 
(B) 
of 
section 
129(a)(1) of the Workforce Innovation and Op-
portunity Act (29 U.S.C. 3164(a)(1) is amend-
ed— 
(i) in the subparagraph heading, by 
striking ‘‘OUT-OF-SCHOOL’’ and inserting 
‘‘OPPORTUNITY’’; 
(ii) in clause (i), by inserting ‘‘, except 
that an individual described in subpara-
graph (IV) or (V) of clause (iii) may be at-
tending school’’ after ‘‘(as defined under 
State law)’’; 
(iii) in clause (ii), by inserting before 
the semicolon at the end, the following : ‘‘, 
except that an individual described in sub-
paragraph (IV) or (V) of clause (iii) may 
be not younger than age 14 or older than 
age 24’’; and 
(iv) in clause (iii)(III)— 
(I) in the matter preceding item 
(aa), by striking ‘‘and is’’ and insert-
ing ‘‘and’’;
106 
(II) in item (aa), by striking 
‘‘basic skills deficient;’’ and inserting 
‘‘has foundational skills needs;’’; and 
(III) in item (bb), by striking 
‘‘an English language learner’’ and in-
serting ‘‘is an English learner’’. 
(C) DEFINITION OF IN-SCHOOL YOUTH.— 
Subparagraph (C)(iv) of section 129(a)(1) of 
the Workforce Innovation and Opportunity Act 
(29 U.S.C. 3164(a)(1)) is amended— 
(i) in subclause (I), by striking ‘‘Basic 
skills deficient.’’ and inserting ‘‘An indi-
vidual who has foundational skills needs.’’; 
(ii) in subclause (II), by striking ‘‘lan-
guage’’; 
(iii) by striking subclauses (III) and 
(IV); and 
(iv) by redesignating subclauses (V), 
(VI), and (VII) as subclauses (III), (IV), 
and (V), respectively. 
(2) EXCEPTION
AND
LIMITATION.—Section 
129(a)(3) of the Workforce Innovation and Oppor-
tunity Act (29 U.S.C. 3164(a)(1)) is amended— 
(A) in subparagraph (A)(ii), by striking 
‘‘5’’ and inserting ‘‘10’’; and
107 
(B) in subparagraph (B)— 
(i) by striking ‘‘5’’ inserting ‘‘10’’; 
and 
(ii) 
by 
striking 
‘‘paragraph 
(1)(C)(iv)(VII)’’ and inserting ‘‘paragraph 
(1)(C)(iv)(V)’’. 
(3) OPPORTUNITY
YOUTH
PRIORITY.—Section 
129(a)(4) of the Workforce Innovation and Oppor-
tunity Act (29 U.S.C. 3164(a)(1)) is amended— 
(A) in the paragraph heading, by striking 
‘‘OUT-OF-SCHOOL’’ 
and 
inserting 
‘‘OPPOR-
TUNITY’’; 
(B) in subparagraph (A)— 
(i) by striking ‘‘75’’ each place it ap-
pears and inserting ‘‘65’’; 
(ii) by inserting ‘‘the total amount of’’ 
before ‘‘funds available’’; and 
(iii) by inserting ‘‘in the State’’ after 
‘‘subsection (c)’’; 
(C) in subparagraph (B)(i), by striking 
‘‘75’’ and inserting ‘‘65’’; 
(D) by redesignating subparagraph (B), as 
so amended, as subparagraph (C); and 
(E) by inserting after subparagraph (A) 
the following:
108 
‘‘(B) LOCAL
AREA
TARGETS.—The local 
board, the chief elected official, and the Gov-
ernor shall negotiate and reach agreement on 
the minimum amount of funds provided to a 
local area under subsection (c) that shall be 
used to provide youth workforce investment ac-
tivities for opportunity youth based on the 
needs of youth in the local area, as necessary 
for the State to meet the percentage described 
in subparagraph (A).’’. 
(c) REQUIRED STATEWIDE YOUTH ACTIVITIES.— 
Section 129(b)(1) of the Workforce Innovation and Oppor-
tunity Act (29 U.S.C. 3164(b)(1))— 
(1) in the matter preceding subparagraph (A), 
by striking ‘‘sections 128(a)’’ and inserting ‘‘sections 
128(a)(1)’’; and 
(2) in subparagraph (B), by inserting ‘‘through 
a website that is consumer-tested to ensure that the 
website is easily understood, searchable, and navi-
gable and allows for comparison of eligible providers 
based on the program elements offered by such pro-
viders and the performance of such providers on the 
primary indicators of performance for the youth pro-
gram as described in section 116(b)(2)(A)(ii)’’ after 
‘‘under section 123’’.
109 
(d) ALLOWABLE STATEWIDE YOUTH ACTIVITIES.— 
Section 129(b)(2) of the Workforce Innovation and Oppor-
tunity Act (29 U.S.C. 3164(b)(2)) is amended— 
(1) in the matter preceding subparagraph (A), 
by striking ‘‘sections 128(a)’’ and inserting ‘‘sections 
128(a)(1)’’; 
(2) in subparagraph (C), by inserting ‘‘, which 
may include providing guidance on career options in 
in-demand industry sectors or occupations’’ after ‘‘in 
the State’’; 
(3) in subparagraph (D)— 
(A) in clause (iv), by striking ‘‘and’’ at the 
end; and 
(B) by inserting after clause (v) the fol-
lowing: 
‘‘(vi) supporting the ability to under-
stand relevant tax information and obliga-
tions;’’; 
(4) in subparagraph (E), by striking the period 
at the end and inserting a semicolon; and 
(5) by adding at the end the following: 
‘‘(F) establishing, supporting, and expand-
ing work-based learning opportunities, including 
transitional jobs, that are aligned with career 
pathways;
110 
‘‘(G) raising public awareness (including 
through public service announcements, such as 
social media campaigns and elementary and 
secondary school showcases and school visits) 
about career and technical education programs 
and community-based and youth services orga-
nizations, and other endeavors focused on pro-
grams that prepare students for in-demand in-
dustry sectors or occupations; and 
‘‘(H) developing partnerships between edu-
cational institutions (including area career and 
technical schools and institutions of higher edu-
cation) and employers to create or improve 
workforce development programs to address the 
identified education and skill needs of the work-
force and the employment needs of employers in 
the regions or local areas of the State, as deter-
mined based on the most recent analysis con-
ducted under subparagraphs (B) and (C) of 
section 102(b)(1).’’. 
(e) LOCAL ELEMENTS AND REQUIREMENTS.— 
(1) PROGRAM
DESIGN.—Section 129(c)(1) of 
the Workforce Innovation and Opportunity Act (29 
U.S.C. 3164(c)(1)) is amended—
111 
(A) in subparagraph (B), by inserting 
‘‘(which, in the case of a participant 18 years 
or older, may include co-enrollment in any em-
ployment or training activity provided under 
section 134 for adults)’’ after ‘‘services for the 
participant’’; 
(B) in subparagraph (C)(v), by inserting 
‘‘high-skill, high-wage, or’’ after ‘‘small employ-
ers, in’’; and 
(C) in subparagraph (D)— 
(i) by striking ‘‘10’’ and inserting 
‘‘40’’; and 
(ii) by inserting before the period the 
following: ‘‘, except that after 2 consecutive 
years of the local board implementing such 
a pay-for-performance contract strategy, 
the local board may reserve and use not 
more than 60 percent of such total funds 
allocated to the local area for such strategy 
if— 
‘‘(i) the local board demonstrates to 
the Governor that such strategy resulted in 
performance improvements; and 
‘‘(ii) the Governor approves a request 
to use such percentage of total funds’’.
112 
(2) PROGRAM
ELEMENTS.—Section 129(c)(2) 
of the Workforce Innovation and Opportunity Act 
(29 U.S.C. 3164(c)(2)) is amended— 
(A) in subparagraph (C)— 
(i) in clause (i)— 
(I) by striking ‘‘other’’ and in-
serting ‘‘year-round’’; and 
(II) by inserting ‘‘that meet the 
requirements of paragraph (10)’’ after 
‘‘school year’’; 
(ii) in clause (iii), by striking ‘‘and job 
shadowing; and’’ and inserting the fol-
lowing: ‘‘that, to the extent practicable, are 
aligned with in-demand industry sectors or 
occupations in the State or local area and 
for which participants shall be paid (by the 
entity providing the internship, through 
funds allocated to the local area pursuant 
to paragraph (1) for the program, or by 
another entity) if such internships are 
longer than— 
‘‘(I) 4 weeks in the summer or 8 
weeks during the school year for in- 
school youth and opportunity youth 
who are enrolled in school; or
113 
‘‘(II) 8 weeks for opportunity 
youth 
who 
are 
not 
enrolled 
in 
school;’’; 
(iii) by redesignating clause (iv) as 
clause (v); and 
(iv) by inserting after clause (iii), as 
so amended, the following: 
‘‘(iv) job shadowing; and’’; 
(B) in subparagraph (H), by striking 
‘‘adult mentoring’’ and inserting ‘‘coaching and 
adult mentoring services’’; 
(C) in subparagraph (M)— 
(i) by inserting ‘‘high-skill, high-wage, 
or’’ before ‘‘in-demand industry’’; and 
(ii) by striking the ‘‘and’’ at the end; 
(D) in subparagraph (N), by striking the 
period at the end and inserting ‘‘; and’’; and 
(E) by adding at the end the following: 
‘‘(O) activities to develop fundamental 
workforce readiness, which may include cre-
ativity, collaboration, critical thinking, digital 
literacy, persistence, and other relevant skills.’’. 
(3) PRIORITY.—Section 129(c)(4) of the Work-
force Innovation and Opportunity Act (29 U.S.C.
114 
3164(c)(2)) is amended, by striking ‘‘20’’ and in-
serting ‘‘40’’. 
(4) 
RULE
OF
CONSTRUCTION.—Section 
129(c)(5) of the Workforce Innovation and Oppor-
tunity Act (29 U.S.C. 3164(c)(2)) is amended by in-
serting ‘‘or local area’’ after ‘‘youth services’’. 
(5) INDIVIDUAL TRAINING ACCOUNTS.—Section 
129(c) of the Workforce Innovation and Opportunity 
Act (29 U.S.C. 3164(c)(2)) is further amended by 
adding at the end the following: 
‘‘(9) INDIVIDUAL TRAINING ACCOUNTS.—Funds 
allocated pursuant to paragraph (1) to a local area 
may be used to pay, through an individual training 
account, an eligible provider of training services de-
scribed in section 122(d) for training services de-
scribed in section 134(c)(3) provided to in-school 
youth who are not younger than age 16 and not 
older than age 21 and opportunity youth, in the 
same manner that an individual training account is 
used to pay an eligible provider of training services 
under section 134(c)(3)(F)(iii) for training services 
provided to an adult or dislocated worker.’’. 
(6) SUMMER AND YEAR-ROUND EMPLOYMENT 
OPPORTUNITIES REQUIREMENTS.—Section 129(c) of 
the Workforce Innovation and Opportunity Act (29
115 
U.S.C. 3164(c)(2)) is further amended by adding at 
the end the following: 
‘‘(10) SUMMER AND YEAR-ROUND EMPLOYMENT 
OPPORTUNITIES REQUIREMENTS.— 
‘‘(A) IN
GENERAL.—A summer employ-
ment opportunity or a year-round employment 
opportunity referred to in paragraph (2)(C)(i) 
shall be a program that matches eligible youth 
participating in such program with an appro-
priate employer (based on factors including the 
needs of the employer and the age, skill, and in-
formed aspirations of the eligible youth) that— 
‘‘(i) shall include— 
‘‘(I) a component of occupational 
skills education; and 
‘‘(II) not less than 2 of the ac-
tivities described in subparagraphs 
(G), (H), (I), (K), (M), and (O) of 
paragraph (2); 
‘‘(ii) may not use funds allocated 
under this chapter to subsidize more than 
50 percent of the wages of each eligible 
youth participant in such program;
116 
‘‘(iii) in the case of a summer employ-
ment opportunity, complies with the re-
quirements of subparagraph (B); and 
‘‘(iv) in the case of a year-round em-
ployment opportunity, complies with the 
requirements of subparagraph (C). 
‘‘(B) 
SUMMER
EMPLOYMENT
OPPOR-
TUNITY.—In addition to the applicable require-
ments described in subparagraph (A), a sum-
mer employment opportunity— 
‘‘(i) may not be less than 4 weeks; 
and 
‘‘(ii) may not pay less than the great-
er of the applicable Federal, State, or local 
minimum wage. 
‘‘(C) YEAR-ROUND
EMPLOYMENT
OPPOR-
TUNITY.—In addition to the applicable require-
ments described in subparagraph (B), a year- 
round employment opportunity— 
‘‘(i) may not be shorter than 180 days 
or longer than 1 year; 
‘‘(ii) may not pay less than the great-
er of the applicable Federal, State, or local 
minimum wage; and
117 
‘‘(iii) may not employ the eligible 
youth for less than 20 hours per week, ex-
cept in instances when the eligible youth 
are under the age of 18 or enrolled in 
school. 
‘‘(D) PRIORITY.—In selecting summer em-
ployment opportunities or year-round employ-
ment opportunities for purposes of paragraph 
(2)(C)(i), a local area shall give priority to pro-
grams that meet the requirements of this para-
graph, which are in existing or emerging high- 
skill, high-wage, or in-demand industry sectors 
or occupations.’’. 
CHAPTER 
3—ADULT 
AND 
DISLOCATED 
WORKER EMPLOYMENT AND TRAIN-
ING ACTIVITIES 
SEC. 141. STATE ALLOTMENTS. 
Section 132(a)(2)(A) of the Workforce Innovation 
and Opportunity Act (29 U.S.C. 3172(a)(2)(A)) is amend-
ed by— 
(1) striking ‘‘, 169(c) (relating to dislocated 
worker projects),’’; and 
(2) by inserting ‘‘, and under subsections (c) 
(related to dislocated worker projects) and (d) (re-
118 
lated to workforce data quality initiatives) of section 
169’’ before ‘‘; and’’ 
SEC. 142. RESERVATIONS FOR STATE ACTIVITIES; WITHIN 
STATE ALLOCATIONS; REALLOCATION. 
(a) RESERVATIONS FOR STATE ACTIVITIES.—Section 
133(a) of the Workforce Innovation and Opportunity Act 
(29 U.S.C. 3173(a)) is amended— 
(1) in paragraph (1), by striking ‘‘section 
128(a)’’ and inserting ‘‘section 128(a)(1)’’; 
(2) by adding at the end the following: 
‘‘(3) STATEWIDE
CRITICAL
INDUSTRY
SKILLS 
FUND.—In addition to the reservations required 
under paragraphs (1) and (2) of this subsection, the 
Governor may make the reservation authorized 
under section 128(a)(3).’’. 
(b) 
WITHIN
STATE
ALLOCATIONS.—Section 
133(b)(1) of the Workforce Innovation and Opportunity 
Act (29 U.S.C. 3173(b)) is amended— 
(1) in subparagraph (A), by striking ‘‘sub-
section (a)(1)’’ and inserting ‘‘paragraph (1) or (3) 
of subsection (a)’’; and 
(2) in subparagraph (B), by striking ‘‘para-
graph (1) or (2) of subsection (a)’’ and inserting 
‘‘paragraph (1), (2), or (3) of subsection (a)’’.
119 
(c) REALLOCATION AMONG LOCAL AREAS.—Section 
133(c) of the Workforce Innovation and Opportunity Act 
(29 U.S.C. 3173(c)) is amended— 
(1) in paragraph (1), by inserting before the pe-
riod at the end, the following: ‘‘as performance- 
based incentive payments’’; 
(2) in paragraph (4)— 
(A) in subparagraph (A)— 
(i) by striking ‘‘that does not’’ and in-
serting the following: ‘‘that— 
‘‘(i) does not’’; 
(ii) by striking ‘‘; and’’ and inserting 
a semicolon; and 
(iii) by adding at the end the fol-
lowing: 
‘‘(ii) has met or exceeded an average 
of 100 percent of the local level of per-
formance described in section 116(c)(1)(B) 
for the local area across all indicators for 
the adult program authorized under this 
chapter for the most recent program year 
for which performance data is available; 
and 
‘‘(iii) was not subject to corrective ac-
tion by the Governor under section
120 
184(a)(5)(A) for a determination of non- 
compliance with the uniform administrative 
requirements 
described 
in 
section 
184(a)(3) for the program year for which 
the determination under paragraph (2) is 
made; and’’; and 
(B) in subparagraph (B)— 
(i) by striking ‘‘that does not’’ and in-
serting the following: ‘‘that— 
‘‘(i) does not’’; 
(ii) by striking the period at the end 
and inserting a semicolon; and 
(iii) by adding at the end the fol-
lowing: 
‘‘(ii) has met or exceeded an average 
of 100 percent of the local level of per-
formance described in section 116(c)(1)(B) 
for the local area across all indicators for 
the dislocated worker program authorized 
under this chapter for the most recent pro-
gram year for which performance data is 
available; and 
‘‘(iii) was not subject to corrective ac-
tion by the Governor under section 
184(a)(5)(A) for a determination of non-
121 
compliance with the uniform administrative 
requirements 
described 
in 
section 
184(a)(3) for the program year for which 
the determination under paragraph (2) is 
made; and’’; and 
(3) by adding at the end the following: 
‘‘(5) USE OF INCENTIVE FUNDS.—Any amounts 
provided to a local area as a performance incentive 
payment under this subsection shall not be subject 
to 
the 
requirements 
described 
in 
section 
134(c)(1)(B).’’. 
SEC. 143. USE OF FUNDS FOR EMPLOYMENT AND TRAINING 
ACTIVITIES. 
(a) STATEWIDE EMPLOYMENT AND TRAINING AC-
TIVITIES.— 
(1) IN
GENERAL.—Section 134(a)(1) of the 
Workforce Innovation and Opportunity Act (29 
U.S.C. 3174(a)(1))— 
(A) in subparagraph (A), by striking 
‘‘and’’ at the end; 
(B) in subparagraph (B)— 
(i) in the matter preceding clause (i), 
by 
striking 
‘‘128(a)’’ 
and 
inserting 
‘‘128(a)(1)’’; and 
(ii) in clause (ii)—