In the Senate of the United States,
May 5, 1998.
Resolved, That the bill from the House of Representa-
tives (H.R. 1385) entitled ‘‘An Act to consolidate, coordinate,
and improve employment, training, literacy, and vocational
rehabilitation programs in the United States, and for other
purposes.’’, do pass with the following
AMENDMENT:
Strike out all after the enacting clause and insert:
SECTION 1. SHORT TITLE; TABLE OF CONTENTS.
(a) SHORT TITLE.—This Act may be cited as the
‘‘Workforce Investment Partnership Act of 1998’’.
(b) TABLE OF CONTENTS.—The table of contents is as
follows:
Sec. 1. Short title; table of contents.
Sec. 2. Definitions.
TITLE I—VOCATIONAL, TECHNOLOGICAL, AND TECH-PREP
EDUCATION
Sec. 101. Short title.
Sec. 102. Findings and purpose.
Sec. 103. Voluntary selection and participation.
Sec. 104. Construction.
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Subtitle A—Vocational Education
CHAPTER 1—FEDERAL PROVISIONS
Sec. 111. Reservations and State allotment.
Sec. 112. Performance measures and expected levels of performance.
Sec. 113. Assistance for the outlying areas.
Sec. 114. Indian and Hawaiian Native programs.
Sec. 115. Tribally controlled postsecondary vocational institutions.
Sec. 116. Incentive grants.
CHAPTER 2—STATE PROVISIONS
Sec. 121. State administration.
Sec. 122. State use of funds.
Sec. 123. State leadership activities.
Sec. 124. State plan.
CHAPTER 3—LOCAL PROVISIONS
Sec. 131. Distribution for secondary school vocational education.
Sec. 132. Distribution for postsecondary vocational education.
Sec. 133. Local activities.
Sec. 134. Local application.
Sec. 135. Consortia.
Subtitle B—Tech-Prep Education
Sec. 151. Short title.
Sec. 152. Purposes.
Sec. 153. Definitions.
Sec. 154. Program authorized.
Sec. 155. Tech-prep education programs.
Sec. 156. Applications.
Sec. 157. Authorization of appropriations.
Sec. 158. Demonstration program.
Subtitle C—General Provisions
Sec. 161. Administrative provisions.
Sec. 162. Evaluation, improvement, and accountability.
Sec. 163. National activities.
Sec. 164. National assessment of vocational education programs.
Sec. 165. National research center.
Sec. 166. Data systems.
Sec. 167. Promoting scholar-athlete competitions.
Sec. 168. Definition.
Subtitle D—Authorization of Appropriations
Sec. 171. Authorization of appropriations.
Subtitle E—Repeal
Sec. 181. Repeal.
TITLE II—ADULT EDUCATION AND LITERACY
Sec. 201. Short title.
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Sec. 202. Findings and purpose.
Subtitle A—Adult Education and Literacy Programs
CHAPTER 1—FEDERAL PROVISIONS
Sec. 211. Reservation; grants to States; allotments.
Sec. 212. Performance measures and expected levels of performance.
Sec. 213. National leadership activities.
CHAPTER 2—STATE PROVISIONS
Sec. 221. State administration.
Sec. 222. State distribution of funds; State share.
Sec. 223. State leadership activities.
Sec. 224. State plan.
Sec. 225. Programs for corrections education and other institutionalized individ-
uals.
CHAPTER 3—LOCAL PROVISIONS
Sec. 231. Grants and contracts for eligible providers.
Sec. 232. Local application.
Sec. 233. Local administrative cost limits.
CHAPTER 4—GENERAL PROVISIONS
Sec. 241. Administrative provisions.
Sec. 242. Priorities and preferences.
Sec. 243. Incentive grants.
Sec. 244. Evaluation, improvement, and accountability.
Sec. 245. National Institute for Literacy.
Sec. 246. Authorization of appropriations.
Subtitle B—Repeal
Sec. 251. Repeal.
TITLE III—WORKFORCE INVESTMENT AND RELATED ACTIVITIES
Subtitle A—Workforce Investment Activities
CHAPTER 1—ALLOTMENTS TO STATES FOR ADULT EMPLOYMENT AND TRAIN-
ING ACTIVITIES, DISLOCATED WORKER EMPLOYMENT AND TRAINING ACTIVI-
TIES, AND YOUTH ACTIVITIES
Sec. 301. General authorization.
Sec. 302. State allotments.
Sec. 303. Statewide partnership.
Sec. 304. State plan.
CHAPTER 2—ALLOCATIONS TO LOCAL WORKFORCE INVESTMENT AREAS
Sec. 306. Within State allocations.
Sec. 307. Local workforce investment areas.
Sec. 308. Local workforce investment partnerships and youth partnerships.
Sec. 309. Local plan.
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CHAPTER 3—WORKFORCE INVESTMENT ACTIVITIES AND PROVIDERS
Sec. 311. Identification and oversight of one-stop partners and one-stop customer
service center operators.
Sec. 312. Determination and identification of eligible providers of training serv-
ices by program.
Sec. 313. Identification of eligible providers of youth activities.
Sec. 314. Statewide workforce investment activities.
Sec. 315. Local employment and training activities.
Sec. 316. Local youth activities.
CHAPTER 4—GENERAL PROVISIONS
Sec. 321. Accountability.
Sec. 322. Authorization of appropriations.
Subtitle B—Job Corps
Sec. 331. Purposes.
Sec. 332. Definitions.
Sec. 333. Establishment.
Sec. 334. Individuals eligible for the Job Corps.
Sec. 335. Recruitment, screening, selection, and assignment of enrollees.
Sec. 336. Enrollment.
Sec. 337. Job Corps centers.
Sec. 338. Program activities.
Sec. 339. Counseling and job placement.
Sec. 340. Support.
Sec. 341. Operating plan.
Sec. 342. Standards of conduct.
Sec. 343. Community participation.
Sec. 344. Industry councils.
Sec. 345. Advisory committees.
Sec. 346. Experimental, research, and demonstration projects.
Sec. 347. Application of provisions of Federal law.
Sec. 348. Special provisions.
Sec. 349. Management information.
Sec. 350. General provisions.
Sec. 351. Authorization of appropriations.
Subtitle C—National Programs
Sec. 361. Native American programs.
Sec. 362. Migrant and seasonal farmworker programs.
Sec. 363. Veterans’ workforce investment programs.
Sec. 364. Youth opportunity grants.
Sec. 365. Incentive grants.
Sec. 366. Technical assistance.
Sec. 367. Demonstration, pilot, multiservice, research, and multistate projects.
Sec. 368. Evaluations.
Sec. 369. National emergency grants.
Sec. 370. Authorization of appropriations.
Subtitle D—Administration
Sec. 371. Requirements and restrictions.
Sec. 372. Prompt allocation of funds.
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Sec. 373. Monitoring.
Sec. 374. Fiscal controls; sanctions.
Sec. 375. Reports; recordkeeping; investigations.
Sec. 376. Administrative adjudication.
Sec. 377. Judicial review.
Sec. 378. Nondiscrimination.
Sec. 379. Administrative provisions.
Sec. 380. State legislative authority.
Sec. 381. Workforce flexibility partnership plans.
Sec. 382. Use of certain real property.
Sec. 383. Continuation of State activities and policies.
Subtitle E—Repeals and Conforming Amendments
Sec. 391. Repeals.
Sec. 392. Conforming amendments.
Sec. 393. Effective dates.
TITLE IV—WORKFORCE INVESTMENT-RELATED ACTIVITIES
Subtitle A—Wagner-Peyser Act
Sec. 401. Definitions.
Sec. 402. Functions.
Sec. 403. Designation of State agencies.
Sec. 404. Appropriations.
Sec. 405. Disposition of allotted funds.
Sec. 406. State plans.
Sec. 407. Repeal of Federal advisory council.
Sec. 408. Regulations.
Sec. 409. Labor market information.
Sec. 410. Technical amendments.
Subtitle B—Linkages With Other Programs
Sec. 421. Trade Act of 1974.
Sec. 422. Veterans’ employment programs.
Sec. 423. Older Americans Act of 1965.
Subtitle C—Twenty-First Century Workforce Commission
Sec. 431. Short title.
Sec. 432. Findings.
Sec. 433. Definitions.
Sec. 434. Establishment of Twenty-First Century Workforce Commission.
Sec. 435. Duties of the Commission.
Sec. 436. Powers of the Commission.
Sec. 437. Commission personnel matters.
Sec. 438. Termination of the Commission.
Sec. 439. Authorization of appropriations.
TITLE V—GENERAL PROVISIONS
Sec. 501. State unified plan.
Sec. 502. Definitions for core indicators of performance.
Sec. 503. Transition provisions.
Sec. 504. Privacy.
Sec. 505. Limitation.
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Sec. 506. Effective date.
TITLE VI—REHABILITATION ACT AMENDMENTS OF 1998
Sec. 601. Short title.
Sec. 602. Title.
Sec. 603. General provisions.
Sec. 604. Vocational rehabilitation services.
Sec. 605. Research and training.
Sec. 606. Professional development and special projects and demonstrations.
Sec. 607. National Council on Disability.
Sec. 608. Rights and advocacy.
Sec. 609. Employment opportunities for individuals with disabilities.
Sec. 610. Independent living services and centers for independent living.
Sec. 611. Helen Keller National Center Act.
Sec. 612. President’s Committee on Employment of People With Disabilities.
Sec. 613. Conforming amendments.
SEC. 2. DEFINITIONS.
In this Act:
(1) ADULT.—In paragraph (14) and title III
(other than section 302), the term ‘‘adult’’ means an
individual who is age 22 or older.
(2) ADULT EDUCATION.—The term ‘‘adult edu-
cation’’ means services or instruction below the post-
secondary level for individuals—
(A) who have attained 16 years of age or
who are beyond the age of compulsory school at-
tendance under State law;
(B) who are not enrolled in secondary
school; and
(C) who—
(i) lack sufficient mastery of basic edu-
cational skills to enable the individuals to
function effectively in society;
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(ii) do not possess a secondary school
diploma or its recognized equivalent; or
(iii) are unable to speak, read, or write
the English language.
(3) AREA
VOCATIONAL
EDUCATION
SCHOOL.—
The term ‘‘area vocational education school’’ means—
(A) a specialized public secondary school
used exclusively or principally for the provision
of vocational education for individuals who seek
to study and prepare for entering the labor mar-
ket;
(B) the department of a public secondary
school exclusively or principally used for provid-
ing vocational education in not fewer than 5 dif-
ferent occupational fields to individuals who are
available for study in preparation for entering
the labor market;
(C) a public or nonprofit technical institute
or vocational school used exclusively or prin-
cipally for the provision of vocational education
to individuals who—
(i)(I) have completed public secondary
school; or
(II) have left public secondary school;
and
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(ii) seek to study and prepare for en-
tering the labor market; or
(D) the department or division of a junior
college, community college, or university that—
(i) operates under the policies of the
appropriate State agency that oversees post-
secondary education and is approved under
subpart 2 of part H of title IV of the High-
er Education Act of 1965 (20 U.S.C. 1099b
et seq.); and
(ii) provides vocational education in
not fewer than 5 different occupational
fields leading to immediate employment but
not necessarily leading to a degree; and
(iii) admits as regular students both
individuals who have completed public sec-
ondary school and individuals who have left
public secondary school.
(4) CHIEF ELECTED OFFICIAL.—The term ‘‘chief
elected official’’ means—
(A) the chief elected executive officer of a
unit of general local government in a local area;
and
(B) in a case in which a local area includes
more than 1 unit of general local government,
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the individuals designated under the agreement
described in section 308(d)(1)(B)(i).
(5) DISADVANTAGED ADULT.—In title III, and
except as provided in section 302, the term ‘‘dis-
advantaged adult’’ means an adult who is a low-in-
come individual.
(6) DISLOCATED WORKER.—The term ‘‘dislocated
worker’’ means an individual who—
(A)(i) has been terminated or laid off, or
who has received a notice of termination or lay-
off, from employment;
(ii)(I) is eligible for or has exhausted enti-
tlement to unemployment compensation; or
(II) has been employed for a duration suffi-
cient to demonstrate, to the appropriate entity at
a one-stop customer service center, attachment to
the workforce, but is not eligible for unemploy-
ment compensation due to insufficient earnings
or having performed services for an employer
that were not covered under a State unemploy-
ment compensation law; and
(iii) is unlikely to return to a previous in-
dustry or occupation;
(B)(i) has been terminated or laid off, or
has received a notice of termination or layoff,
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from employment as a result of any permanent
closure of, or any substantial layoff at, a plant,
facility, or enterprise;
(ii) is employed at a facility at which the
employer has made a general announcement that
such facility will close within 180 days; or
(iii) for purposes of eligibility to receive
services under title III other than training serv-
ices described in section 315(c)(3), intensive serv-
ices, or supportive services, is employed at a fa-
cility at which the employer has made a general
announcement that such facility will close;
(C) was self-employed (including employ-
ment as a farmer, a rancher, or a fisherman) but
is unemployed as a result of general economic
conditions in the community in which the indi-
vidual resides or because of natural disasters; or
(D) is a displaced homemaker.
(7) DISPLACED
HOMEMAKER.—The term ‘‘dis-
placed homemaker’’ means an individual who has
been providing unpaid services to family members in
the home and who—
(A) has been dependent on the income of an-
other family member but is no longer supported
by that income; and
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(B) is unemployed or underemployed and is
experiencing difficulty in obtaining or upgrad-
ing employment.
(8) ECONOMIC
DEVELOPMENT
AGENCIES.—The
term ‘‘economic development agencies’’ includes local
planning and zoning commissions or boards, commu-
nity development agencies, and other local agencies
and institutions responsible for regulating, promot-
ing, or assisting in local economic development.
(9) EDUCATIONAL SERVICE AGENCY.—The term
‘‘educational service agency’’ means a regional public
multiservice agency authorized by State statute to de-
velop and manage a service or program, and provide
the service or program to a local educational agency.
(10) ELEMENTARY SCHOOL; LOCAL EDUCATIONAL
AGENCY.—The terms ‘‘elementary school’’ and ‘‘local
educational agency’’ have the meanings given the
terms in section 14101 of the Elementary and Sec-
ondary Education Act of 1965 (20 U.S.C. 8801).
(11) ELIGIBLE
AGENCY.—The term ‘‘eligible
agency’’ in the case of vocational education, or adult
education and literacy, activities or requirements de-
scribed in this Act, means the sole entity or agency
in a State or an outlying area responsible for admin-
istering or supervising policy for vocational edu-
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cation, or adult education and literacy, respectively,
in the State or outlying area, respectively, consistent
with the law of the State or outlying area, respec-
tively.
(12) ELIGIBLE
INSTITUTION.—In title I, the
term ‘‘eligible institution’’ means—
(A) an institution of higher education;
(B) a local educational agency providing
education at the postsecondary level;
(C) an area vocational education school
providing education at the postsecondary level;
(D) a postsecondary educational institution
controlled by the Bureau of Indian Affairs or op-
erated by or on behalf of any Indian tribe that
is eligible to contract with the Secretary of the
Interior for the administration of programs
under the Indian Self-Determination Act or the
Act of April 16, 1934 (48 Stat. 596; 25 U.S.C.
452 et seq.); and
(E) a consortium of 2 or more of the enti-
ties described in subparagraphs (A) through (D).
(13) ELIGIBLE
PROVIDER.—The term ‘‘eligible
provider’’—
(A) in title II, means—
(i) a local educational agency;
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(ii) a community-based organization;
(iii) an institution of higher education;
(iv) a public or private nonprofit
agency;
(v) a consortium of such agencies, or-
ganizations, or institutions; or
(vi) a library; and
(B) in title III, used with respect to—
(i) training services (other than on-the-
job training), means a provider who is
identified in accordance with section 312;
(ii) youth activities, means a provider
who is awarded a grant in accordance with
section 313; or
(iii) other workforce investment activi-
ties, means a public or private entity se-
lected to be responsible for such activities, in
accordance with subtitle A of title III, such
as a one-stop customer service center opera-
tor designated or certified under section
311.
(14) EMPLOYMENT
AND
TRAINING
ACTIVITY.—
The term ‘‘employment and training activity’’ means
an activity described in section 314(b)(1) or sub-
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section (c)(1) or (d) of section 315, carried out for an
adult or dislocated worker.
(15) ENGLISH LITERACY PROGRAM.—The term
‘‘English literacy program’’ means a program of in-
struction designed to help individuals of limited
English proficiency achieve competence in the English
language.
(16) GOVERNOR.—The term ‘‘Governor’’ means
the chief executive officer of a State.
(17) INDIVIDUAL WITH A DISABILITY.—
(A) IN
GENERAL.—The term ‘‘individual
with a disability’’ means an individual with
any disability (as defined in section 3 of the
Americans with Disabilities Act of 1990 (42
U.S.C. 12102)).
(B) INDIVIDUALS WITH DISABILITIES.—The
term ‘‘individuals with disabilities’’ means more
than 1 individual with a disability.
(18) INDIVIDUAL
OF
LIMITED
ENGLISH
PRO-
FICIENCY.—The term ‘‘individual of limited English
proficiency’’ means an adult or out-of-school youth
who has limited ability in speaking, reading, writing,
or understanding the English language, and—
(A) whose native language is a language
other than English; or
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(B) who lives in a family or community en-
vironment where a language other than English
is the dominant language.
(19) INSTITUTION OF HIGHER EDUCATION.—Ex-
cept for purposes of subtitle B of title I, the term ‘‘in-
stitution of higher education’’ means an institution of
higher education, as defined in section 1201(a) of the
Higher Education Act of 1965 (20 U.S.C. 1141(a)).
(20) LITERACY.—
(A) IN
GENERAL.—The term ‘‘literacy’’
means an individual’s ability to read, write, and
speak in English, compute, and solve problems,
at levels of proficiency necessary to function on
the job and in society.
(B) WORKPLACE LITERACY PROGRAM.—The
term ‘‘workplace literacy program’’ means a pro-
gram of literacy activities that is offered for the
purpose of improving the productivity of the
workforce through the improvement of literacy
skills.
(21) LOCAL AREA.—In paragraph (4) and title
III, the term ‘‘local area’’ means a local workforce in-
vestment area designated under section 307.
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(22) LOCAL
PARTNERSHIP.—In title III, the
term ‘‘local partnership’’ means a local workforce in-
vestment partnership established under section 308(a).
(23) LOCAL PERFORMANCE MEASURE.—The term
‘‘local performance measure’’ means a performance
measure established under section 321(c).
(24) LOW-INCOME
INDIVIDUAL.—In paragraph
(51) and title III, the term ‘‘low-income individual’’
means an individual who—
(A) receives, or is a member of a family
that receives, cash payments under a Federal,
State, or local income-based public assistance
program;
(B) received an income, or is a member of
a family that received a total family income, for
the 6-month period prior to application for the
program involved (exclusive of unemployment
compensation, child support payments, payments
described in subparagraph (A), and old-age and
survivors insurance benefits received under sec-
tion 202 of the Social Security Act (42 U.S.C.
402)) that, in relation to family size, does not
exceed the higher of—
(i) the poverty line, for an equivalent
period; or
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(ii) 70 percent of the lower living
standard income level, for an equivalent pe-
riod;
(C) is a member of a household that receives
(or has been determined within the 6-month pe-
riod prior to application for the program in-
volved to be eligible to receive) food stamps pur-
suant to the Food Stamp Act of 1977 (7 U.S.C.
2011 et seq.);
(D) qualifies as a homeless individual, as
defined in subsections (a) and (c) of section 103
of the Stewart B. McKinney Homeless Assistance
Act (42 U.S.C. 11302);
(E) is a foster child on behalf of whom
State or local government payments are made; or
(F) in cases permitted by regulations of the
Secretary of Labor, is an individual with a dis-
ability whose own income meets the requirements
of a program described in subparagraph (A) or
of subparagraph (B), but who is a member of a
family whose income does not meet such require-
ments.
(25) LOWER LIVING STANDARD INCOME LEVEL.—
The term ‘‘lower living standard income level’’ means
that income level (adjusted for regional, metropolitan,
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urban, and rural differences and family size) deter-
mined annually by the Secretary of Labor based on
the most recent lower living family budget issued by
the Secretary of Labor.
(26) NONTRADITIONAL EMPLOYMENT.—In titles I
and III, the term ‘‘nontraditional employment’’ refers
to occupations or fields of work for which individuals
from one gender comprise less than 25 percent of the
individuals employed in each such occupation or field
of work.
(27) ON-THE-JOB TRAINING.—The term ‘‘on-the-
job training’’ means training in the public or private
sector that is provided to a paid participant while
engaged in productive work in a job that—
(A) provides knowledge or skills essential to
the full and adequate performance of the job;
(B) provides reimbursement to employers of
up to 50 percent of the wage rate of the partici-
pant, for the extraordinary costs of providing the
training and additional supervision related to
the training; and
(C) is limited in duration as appropriate to
the occupation for which the participant is being
trained.
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(28) OUT-OF-SCHOOL YOUTH.—The term ‘‘out-of-
school youth’’ means—
(A) a youth who is a school dropout; or
(B) a youth who has received a secondary
school diploma or its equivalent but is basic lit-
eracy skills deficient, unemployed, or under-
employed.
(29) OUTLYING
AREA.—The term ‘‘outlying
area’’ means the United States Virgin Islands, Guam,
American Samoa, the Commonwealth of the Northern
Mariana Islands, the Republic of the Marshall Is-
lands, the Federated States of Micronesia, and the Re-
public of Palau.
(30) PARTICIPANT.—The term ‘‘participant’’,
used with respect to an activity carried out under
title III, means an individual participating in the
activity.
(31) POSTSECONDARY
EDUCATIONAL
INSTITU-
TION.—The term ‘‘postsecondary educational institu-
tion’’ means—
(A) an institution of higher education that
provides not less than a 2-year program of in-
struction that is acceptable for credit toward a
bachelor’s degree;
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(B) a tribally controlled community college;
or
(C) a nonprofit educational institution of-
fering certificate or apprenticeship programs at
the postsecondary level.
(32) POVERTY LINE.—The term ‘‘poverty line’’
means the poverty line (as defined by the Office of
Management and Budget, and revised annually in ac-
cordance with section 673(2) of the Community Serv-
ices Block Grant Act (42 U.S.C. 9902(2))) applicable
to a family of the size involved.
(33) PUBLIC ASSISTANCE.—In title III, the term
‘‘public assistance’’ means Federal, State, or local
government cash payments for which eligibility is de-
termined by a needs or income test.
(34) RAPID RESPONSE ACTIVITY.—In title III,
the term ‘‘rapid response activity’’ means an activity
provided by a State, or by an entity designated by a
State, with funds provided by the State under section
306(a)(2), in the case of a permanent closure or mass
layoff at a plant, facility, or enterprise, or a natural
or other disaster, that results in mass job dislocation,
in order to assist dislocated workers in obtaining re-
employment as soon as possible, with services includ-
ing—
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(A) the establishment of onsite contact with
employers and employee representatives—
(i) immediately after the State is noti-
fied of a current or projected permanent clo-
sure or mass layoff; or
(ii) in the case of a disaster, imme-
diately after the State is made aware of
mass job dislocation as a result of such dis-
aster;
(B) the provision of information and access
to available employment and training activities;
(C) assistance in establishing a labor-man-
agement committee, voluntarily agreed to by
labor and management, with the ability to devise
and implement a strategy for assessing the em-
ployment and training needs of dislocated work-
ers and obtaining services to meet such needs;
(D) the provision of emergency assistance
adapted to the particular closure, layoff, or dis-
aster; and
(E) the provision of assistance to the local
community in developing a coordinated response
and in obtaining access to State economic devel-
opment assistance.
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(35) SCHOOL DROPOUT.—The term ‘‘school drop-
out’’ means an individual who is no longer attending
any school and who has not received a secondary
school diploma or its recognized equivalent.
(36) SECONDARY SCHOOL.—The term ‘‘secondary
school’’ has the meaning given the term in section
14101 of the Elementary and Secondary Education
Act of 1965 (20 U.S.C. 8801), except that the term
does not include education below grade 9.
(37) SECRETARY.—
(A) TITLES I AND II.—In titles I and II,
the term ‘‘Secretary’’ means the Secretary of
Education.
(B) TITLE III.—In title III, the term ‘‘Sec-
retary’’ means the Secretary of Labor.
(38) STATE.—The term ‘‘State’’ means each of
the several States of the United States, the District of
Columbia, and the Commonwealth of Puerto Rico.
(39) STATE
EDUCATIONAL
AGENCY.—The term
‘‘State educational agency’’ means the State board of
education or other agency or officer primarily respon-
sible for the State supervision of public elementary or
secondary schools, or, if there is no such agency or of-
ficer, an agency or officer designated by the Governor
or by State law.
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(40) STATE PERFORMANCE MEASURE.—In title
III, the term ‘‘State performance measure’’ means a
performance measure established under section 321(b).
(41) 
STATEWIDE
PARTNERSHIP.—The 
term
‘‘statewide partnership’’ means a partnership estab-
lished under section 303.
(42) SUPPORTIVE SERVICES.—
(A) TITLE I.—In title I, the term ‘‘support-
ive services’’ means services related to curricu-
lum modification, equipment modification, class-
room modification, supportive personnel, and in-
structional aids and devices.
(B) TITLE III.—In title III, the term ‘‘sup-
portive services’’ means services such as trans-
portation, child care, dependent care, housing,
and needs-based payments, that are necessary to
enable an individual to participate in employ-
ment and training activities or youth activities.
(43) TRIBALLY
CONTROLLED
COMMUNITY
COL-
LEGE.—The term ‘‘tribally controlled community col-
lege’’ means an institution that receives assistance
under the Tribally Controlled Community College As-
sistance Act of 1978 (25 U.S.C. 1801 et seq.) or the
Navajo Community College Act (25 U.S.C. 640a et
seq.).
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(44) UNIT OF GENERAL LOCAL GOVERNMENT.—
In title III, the term ‘‘unit of general local govern-
ment’’ means any general purpose political subdivi-
sion of a State that has the power to levy taxes and
spend funds, as well as general corporate and police
powers.
(45) VETERAN; RELATED DEFINITIONS.—
(A) VETERAN.—The term ‘‘veteran’’ means
an individual who served in the active military,
naval, or air service, and who was discharged or
released from such service under conditions other
than dishonorable.
(B) RECENTLY SEPARATED VETERAN.—The
term ‘‘recently separated veteran’’ means any
veteran who applies for participation under title
III within 48 months of the discharge or release
from active military, naval, or air service.
(46) VOCATIONAL EDUCATION.—The term ‘‘voca-
tional education’’ means organized education that—
(A) offers a sequence of courses that provides
individuals with the academic and technological
knowledge and skills the individuals need to pre-
pare for further education and for careers (other
than careers requiring a baccalaureate, master’s,
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or doctoral degree) in current or emerging em-
ployment sectors; and
(B) 
includes 
competency-based 
applied
learning that contributes to the academic knowl-
edge, higher-order reasoning and problem-solving
skills, work attitudes, general employability
skills, technological skills, and occupation-spe-
cific skills, of an individual.
(47) VOCATIONAL REHABILITATION PROGRAM.—
The term ‘‘vocational rehabilitation program’’ means
a program assisted under title I of the Rehabilitation
Act of 1973 (29 U.S.C. 720 et seq.).
(48) VOCATIONAL STUDENT ORGANIZATION.—
(A) IN
GENERAL.—The term ‘‘vocational
student organization’’ means an organization for
individuals enrolled in a vocational education
program.
(B) STATE AND NATIONAL UNITS.—An or-
ganization described in subparagraph (A) may
have State and national units that aggregate the
work and purposes of instruction in vocational
education at the local level.
(49) WELFARE RECIPIENT.—The term ‘‘welfare
recipient’’ means a person receiving payments de-
scribed in paragraph (24)(A).
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(50) WORKFORCE
INVESTMENT
ACTIVITY.—The
term ‘‘workforce investment activity’’ means an em-
ployment and training activity, a youth activity, and
an activity described in section 314.
(51) YOUTH.—In paragraph (52) and title III
(other than section 302 and subtitles B and C of such
title), the term ‘‘youth’’ means an individual who—
(A) is not less than age 14 and not more
than age 21;
(B) is a low-income individual; and
(C) an individual who is 1 or more of the
following:
(i) Deficient in basic literacy skills.
(ii) A school dropout.
(iii) Homeless, a runaway, or a foster
child.
(iv) Pregnant or a parent.
(v) An offender.
(vi) An individual who requires addi-
tional assistance to complete an educational
program, or to secure and hold employment.
(52) YOUTH ACTIVITY.—The term ‘‘youth activ-
ity’’ means an activity described in section 316, car-
ried out for youth.
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(53) YOUTH
PARTNERSHIP.—The term ‘‘youth
partnership’’ means a partnership established under
section 308(i).
TITLE I—VOCATIONAL, TECHNO-
LOGICAL, 
AND 
TECH-PREP
EDUCATION
SEC. 101. SHORT TITLE.
This title may be cited as the ‘‘Carl D. Perkins Voca-
tional and Applied Technology Education Act of 1998’’.
SEC. 102. FINDINGS AND PURPOSE.
(a) FINDINGS.—Congress finds that—
(1) in order to be successful workers, citizens,
and learners in the 21st century, individuals will
need—
(A) a combination of strong basic and ad-
vanced academic skills;
(B) computer and other technical skills;
(C) theoretical knowledge;
(D) communications, problem-solving, team-
work, and employability skills; and
(E) the ability to acquire additional knowl-
edge and skills throughout a lifetime;
(2) students participating in vocational edu-
cation can achieve challenging academic and tech-
nical skills, and may learn better and retain more,
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when the students learn in context, learn by doing,
and have an opportunity to learn and understand
how academic, vocational, and technological skills are
used outside the classroom;
(3)(A) many high school graduates in the United
States do not complete a rigorous course of study that
prepares the graduates for completing a 2-year or 4-
year college degree or for entering high-skill, high-
wage careers;
(B) adult students are an increasingly diverse
group and often enter postsecondary education unpre-
pared for academic and technical work; and
(C) certain individuals often face great chal-
lenges in acquiring the knowledge and skills needed
for successful employment;
(4) community colleges, technical colleges, and
area vocational education schools are offering adults
a gateway to higher education, and access to quality
certificates and degrees that increase their skills and
earnings, by—
(A) ensuring that the academic, vocational,
and technological skills gained by students ade-
quately prepare the students for the workforce;
and
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(B) enhancing connections with employers
and 4-year institutions of higher education;
(5) local, State, and national programs sup-
ported under the Carl D. Perkins Vocational and Ap-
plied Technology Education Act (20 U.S.C. 2301 et
seq.) (as such Act was in effect on the day before the
date of enactment of this Act) have assisted many stu-
dents in obtaining technical, academic, and employ-
ability skills, and tech-prep education;
(6) the Federal Government can assist States
and localities by carrying out nationally significant
research, program development, demonstration, dis-
semination, evaluation, data collection, professional
development, and technical assistance activities that
support State and local efforts regarding vocational
education; and
(7) through a performance partnership with
States and localities based on clear programmatic
goals, increased State and local flexibility, improved
accountability, and performance measures, the Fed-
eral Government will provide to States and localities
financial assistance for the improvement and expan-
sion of vocational education for students participat-
ing in vocational education.
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(b) PURPOSE.—The purpose of this title is to make the
United States more competitive in the world economy by
developing more fully the academic, technological, voca-
tional, and employability skills of secondary students and
postsecondary students who elect to enroll in vocational edu-
cation programs, by—
(1) building on the efforts of States and localities
to develop challenging academic standards;
(2) promoting the development of services and
activities that integrate academic, vocational, and
technological instruction, and that link secondary and
postsecondary education for participating vocational
education students;
(3) increasing State and local flexibility in pro-
viding services and activities designed to develop, im-
plement, and improve vocational education, including
tech-prep education; and
(4) disseminating national research, and provid-
ing professional development and technical assistance,
that will improve vocational education programs,
services, and activities.
SEC. 103. VOLUNTARY SELECTION AND PARTICIPATION.
No funds made available under this title shall be
used—
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(1) to require any secondary school student to
choose or pursue a specific career path or major; and
(2) to mandate that any individual participate
in a vocational education program, including a voca-
tional education program that requires the attain-
ment of a federally funded skill level or standard.
SEC. 104. CONSTRUCTION.
Nothing in this Act shall be construed to permit, allow,
encourage, or authorize any Federal control over any aspect
of a private, religious, or home school, regardless of whether
a home school is treated as a private school or home school
under State law. This section shall not be construed to bar
students attending private, religious, or home schools from
participation in programs or services under this Act.
Subtitle A—Vocational Education
CHAPTER 1—FEDERAL PROVISIONS
SEC. 111. RESERVATIONS AND STATE ALLOTMENT.
(a) RESERVATIONS AND STATE ALLOTMENT.—
(1) RESERVATIONS.—From the sum appro-
priated under section 171 for each fiscal year, the
Secretary shall reserve—
(A) 0.2 percent to carry out section 113;
(B) 1.80 percent to carry out sections 114
and 115, of which—
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(i) 1.25 percent of the sum shall be
available to carry out section 114(b);
(ii) 0.25 percent of the sum shall be
available to carry out section 114(c); and
(iii) 0.30 percent of the sum shall be
available to carry out section 115; and
(C) 1.3 percent to carry out sections 116,
163, 164, 165, and 166, of which not less than
0.65 percent of the sum shall be available to
carry out section 116 for each of the fiscal years
2001 through 2005.
(2) STATE
ALLOTMENT
FORMULA.—Subject to
paragraphs (3) and (4), from the remainder of the
sums appropriated under section 171 and not re-
served under paragraph (1) for a fiscal year, the Sec-
retary shall allot to a State for the fiscal year—
(A) an amount that bears the same ratio to
50 percent of the sums being allotted as the prod-
uct of the population aged 15 to 19 inclusive, in
the State in the fiscal year preceding the fiscal
year for which the determination is made and
the State’s allotment ratio bears to the sum of
the corresponding products for all the States;
(B) an amount that bears the same ratio to
20 percent of the sums being allotted as the prod-
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uct of the population aged 20 to 24, inclusive, in
the State in the fiscal year preceding the fiscal
year for which the determination is made and
the State’s allotment ratio bears to the sum of
the corresponding products for all the States;
(C) an amount that bears the same ratio to
15 percent of the sums being allotted as the prod-
uct of the population aged 25 to 65, inclusive, in
the State in the fiscal year preceding the fiscal
year for which the determination is made and
the State’s allotment ratio bears to the sum of
the corresponding products for all the States; and
(D) an amount that bears the same ratio to
15 percent of the sums being allotted as the
amounts allotted to the State under subpara-
graphs (A), (B), and (C) for such years bears to
the sum of the amounts allotted to all the States
under subparagraphs (A), (B), and (C) for such
year.
(3) MINIMUM ALLOTMENT.—
(A) IN
GENERAL.—Notwithstanding any
other provision of law and subject to subpara-
graphs (B) and (C), and paragraph (4), no State
shall receive for a fiscal year under this sub-
section less than 1⁄2 of 1 percent of the amount
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appropriated under section 171 and not reserved
under paragraph (1) for such fiscal year.
Amounts necessary for increasing such payments
to States to comply with the preceding sentence
shall be obtained by ratably reducing the
amounts to be paid to other States.
(B) REQUIREMENT.—Due to the applica-
tion of subparagraph (A), for any fiscal year, no
State shall receive more than 150 percent of the
amount the State received under this subsection
for the preceding fiscal year (or in the case of
fiscal year 1999 only, under section 101 of the
Carl D. Perkins Vocational and Applied Tech-
nology Education Act, as such section was in ef-
fect on the day before the date of enactment of
this Act).
(C) SPECIAL RULE.—
(i) IN
GENERAL.—Subject to para-
graph (4), no State, by reason of subpara-
graph (A), shall be allotted for a fiscal year
more than the lesser of—
(I) 150 percent of the amount that
the State received in the preceding fis-
cal year (or in the case of fiscal year
1999 only, under section 101 of the
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Carl D. Perkins Vocational and Ap-
plied Technology Education Act, as
such section was in effect on the day
before the date of enactment of this
Act); and
(II) the amount calculated under
clause (ii).
(ii) AMOUNT.—The amount calculated
under this clause shall be determined by
multiplying—
(I) the number of individuals in
the State counted under paragraph (2)
in the preceding fiscal year; by
(II) 150 percent of the national
average per pupil payment made with
funds available under this section for
that year (or in the case of fiscal year
1999, only, under section 101 of the
Carl D. Perkins Vocational and Ap-
plied Technology Education Act, as
such section was in effect on the day
before the date of enactment of this
Act).
(4) HOLD HARMLESS.—
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(A) IN GENERAL.—No State shall receive an
allotment under this section for a fiscal year that
is less than the allotment the State received
under part A of title I of the Carl D. Perkins Vo-
cational and Applied Technology Education Act
(20 U.S.C. 2311 et seq.) (as such part was in ef-
fect on the day before the date of enactment of
this Act) for fiscal year 1997.
(B) RATABLE REDUCTION.—If for any fis-
cal year the amount appropriated for allotments
under this section is insufficient to satisfy the
provisions of subparagraph (A), the payments to
all States under such subparagraph shall be rat-
ably reduced.
(b) REALLOTMENT.—If the Secretary determines that
any amount of any State’s allotment under subsection (a)
for any fiscal year will not be required for such fiscal year
for carrying out the activities for which such amount has
been allotted, the Secretary shall make such amount avail-
able for reallotment. Any such reallotment among other
States shall occur on such dates during the same year as
the Secretary shall fix, and shall be made on the basis of
criteria established by regulation. No funds may be reallot-
ted for any use other than the use for which the funds were
appropriated. Any amount reallotted to a State under this
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subsection for any fiscal year shall remain available for ob-
ligation during the succeeding fiscal year and shall be
deemed to be part of the State’s allotment for the year in
which the amount is obligated.
(c) ALLOTMENT RATIO.—
(1) IN GENERAL.—The allotment ratio for any
State shall be 1.00 less the product of—
(A) 0.50; and
(B) the quotient obtained by dividing the
per capita income for the State by the per capita
income for all the States (exclusive of the Com-
monwealth of Puerto Rico and the United States
Virgin Islands), except that—
(i) the allotment ratio in no case shall
be more than 0.60 or less than 0.40; and
(ii) the allotment ratio for the Com-
monwealth of Puerto Rico and the United
States Virgin Islands shall be 0.60.
(2) PROMULGATION.—The allotment ratios shall
be promulgated by the Secretary for each fiscal year
between October 1 and December 31 of the fiscal year
preceding the fiscal year for which the determination
is made. Allotment ratios shall be computed on the
basis of the average of the appropriate per capita in-
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comes for the 3 most recent consecutive fiscal years for
which satisfactory data are available.
(3) DEFINITION OF PER CAPITA INCOME.—For
the purpose of this section, the term ‘‘per capita in-
come’’ means, with respect to a fiscal year, the total
personal income in the calendar year ending in such
year, divided by the population of the area concerned
in such year.
(4) POPULATION DETERMINATION.—For the pur-
poses of this section, population shall be determined
by the Secretary on the basis of the latest estimates
available to the Department of Education.
(d) DEFINITION OF STATE.—For the purpose of this
section, the term ‘‘State’’ means each of the several States
of the United States, the Commonwealth of Puerto Rico, the
District of Columbia, and the United States Virgin Islands.
SEC. 112. PERFORMANCE MEASURES AND EXPECTED LEV-
ELS OF PERFORMANCE.
(a) PUBLICATION OF PERFORMANCE MEASURES.—
(1) IN GENERAL.—The Secretary shall publish
the following performance measures to assess the
progress of each eligible agency:
(A) Student attainment of academic skills.
(B) Student attainment of job readiness
skills.
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(C) Student attainment of vocational skill
proficiencies for students in vocational education
programs, that are necessary for the receipt of a
secondary school diploma or its recognized equiv-
alent, or a secondary school skill certificate.
(D) Receipt of a postsecondary degree or
certificate.
(E) Retention in, and completion of, sec-
ondary school education (as determined under
State law), placement in, retention in, and com-
pletion of postsecondary education, employment,
or military service.
(F) Participation in and completion of vo-
cational education programs that lead to non-
traditional employment.
(2) SPECIAL RULE.—The Secretary shall estab-
lish 1 set of performance measures for students served
under this title, including populations described in
section 124(c)(16).
(b) EXPECTED LEVELS OF PERFORMANCE.—In devel-
oping a State plan, each eligible agency shall negotiate with
the Secretary the expected levels of performance for the per-
formance measures described in subsection (a).
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SEC. 113. ASSISTANCE FOR THE OUTLYING AREAS.
(a) IN GENERAL.—From the funds reserved under sec-
tion 111(a)(1)(A), the Secretary—
(1) shall award a grant in the amount of
$500,000 to Guam for vocational education and
training for the purpose of providing direct edu-
cational services related to vocational education, in-
cluding—
(A) teacher and counselor training and re-
training;
(B) curriculum development; and
(C) improving vocational education pro-
grams in secondary schools and institutions of
higher education, or improving cooperative edu-
cation programs involving both secondary schools
and institutions of higher education; and
(2) shall award a grant in the amount of
$190,000 to each of American Samoa and the Com-
monwealth of the Northern Mariana Islands for voca-
tional education for the purpose described in para-
graph (1).
(b) SPECIAL RULE.—
(1) IN GENERAL.—From funds reserved under
section 111(a)(1)(A) and not awarded under sub-
section (a), the Secretary shall make available the
amount awarded to the Republic of the Marshall Is-
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lands, the Federated States of Micronesia, and the Re-
public of Palau under section 101A of the Carl D.
Perkins Vocational and Applied Technology Edu-
cation Act (as such section was in effect on the day
before the date of enactment of this Act) to award
grants under the succeeding sentence. From the
amount made available under the preceding sentence,
the Secretary shall award grants, to Guam, American
Samoa, the Commonwealth of the Northern Mariana
Islands, the Republic of the Marshall Islands, the Fed-
erated States of Micronesia, or the Republic of Palau
for the purpose described in subsection (a)(1).
(2) AWARD BASIS.—The Secretary shall award
grants pursuant to paragraph (1) on a competitive
basis and pursuant to recommendations from the Pa-
cific Region Educational Laboratory in Honolulu,
Hawaii.
(3) TERMINATION
OF
ELIGIBILITY.—Notwith-
standing any other provision of law, the Republic of
the Marshall Islands, the Federated States of Microne-
sia, and the Republic of Palau shall not receive any
funds under this title for any fiscal year that begins
after September 30, 2004.
(4) ADMINISTRATIVE
COSTS.—The Secretary
may provide not more than 5 percent of the funds
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made available for grants under this subsection to
pay the administrative costs of the Pacific Region
Educational Laboratory regarding activities assisted
under this subsection.
SEC. 114. INDIAN AND HAWAIIAN NATIVE PROGRAMS.
(a) DEFINITIONS; AUTHORITY OF SECRETARY.—
(1) DEFINITIONS.—For the purpose of this sec-
tion—
(A) the term ‘‘Act of April 16, 1934’’ means
the Act entitled ‘‘An Act authorizing the Sec-
retary of the Interior to arrange with States or
territories for the education, medical attention,
relief of distress, and social welfare of Indians,
and for other purposes’’, enacted April 16, 1934
(48 Stat. 596; 25 U.S.C. 452 et seq.);
(B) the term ‘‘Bureau funded school’’ has
the meaning given the term in section 1146 of
the Education Amendments of 1978 (25 U.S.C.
2026);
(C) the term ‘‘Hawaiian native’’ means any
individual any of whose ancestors were natives,
prior to 1778, of the area which now comprises
the State of Hawaii; and
(D) the terms ‘‘Indian’’ and ‘‘Indian tribe’’
have the meanings given the terms in section 2
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of the Tribally Controlled Community College
Assistance Act of 1978 (25 U.S.C. 1801).
(2) AUTHORITY.—From the funds reserved pur-
suant to section 111(a)(1)(B), the Secretary shall
award grants and enter into contracts for Indian and
Hawaiian native programs in accordance with this
section, except that such programs shall not include
secondary school programs in Bureau funded schools.
(b) INDIAN PROGRAMS.—
(1) AUTHORITY.—
(A) IN GENERAL.—Except as provided in
subparagraph (B), from the funds reserved pur-
suant to section 111(a)(1)(B)(i), the Secretary is
directed—
(i) upon the request of any Indian
tribe, or a tribal organization serving an
Indian tribe, which is eligible to contract
with the Secretary of the Interior for the ad-
ministration of programs under the Indian
Self-Determination Act (25 U.S.C. 450 et
seq.) or under the Act of April 16, 1934; or
(ii) upon an application received from
a Bureau funded school offering postsecond-
ary or adult education programs filed at
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such time and under such conditions as the
Secretary may prescribe,
to make grants to or enter into contracts with
any Indian tribe or tribal organization, or to
make a grant to such Bureau funded school, as
appropriate, to plan, conduct, and administer
programs or portions of programs authorized by,
and consistent with the purpose of, this title.
(B) REQUIREMENTS.—The grants or con-
tracts described in subparagraph (A), shall be
subject to the following:
(i) TRIBES
AND
TRIBAL
ORGANIZA-
TIONS.—Such grants or contracts with any
tribes or tribal organization shall be subject
to the terms and conditions of section 102
of the Indian Self-Determination Act (25
U.S.C. 450f) and shall be conducted in ac-
cordance with the provisions of sections 4,
5, and 6 of the Act of April 16, 1934, which
are relevant to the programs administered
under this subsection.
(ii) BUREAU FUNDED SCHOOLS.—Such
grants to Bureau funded schools shall not be
subject to the requirements of the Indian
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Self-Determination Act (25 U.S.C. 450f et
seq.) or the Act of April 16, 1934.
(C) REGULATIONS.—If the Secretary pro-
mulgates any regulations applicable to subpara-
graph (B), the Secretary shall—
(i) confer with, and allow for active
participation by, representatives of Indian
tribes, tribal organizations, and individual
tribal members; and
(ii) promulgate the regulations under
subchapter III of chapter 5 of title 5,
United States Code, commonly known as
the ‘‘Negotiated Rulemaking Act of 1990’’.
(D) APPLICATION.—Any Indian tribe, trib-
al organization, or Bureau funded school eligible
to receive assistance under this paragraph may
apply individually or as part of a consortium
with another such Indian tribe, tribal organiza-
tion, or Bureau funded school.
(E) PERFORMANCE MEASURES AND EVALUA-
TION.—Any Indian tribe, tribal organization, or
Bureau funded school that receives assistance
under this section shall—
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(i) establish performance measures and
expected levels of performance to be achieved
by students served under this section; and
(ii) evaluate the quality and effective-
ness of activities and services provided
under this subsection.
(F) MINIMUM.—In the case of a Bureau
funded school, the minimum amount of a grant
awarded or contract entered into under this sec-
tion shall be $35,000.
(G) RESTRICTIONS.—The Secretary may
not place upon grants awarded or contracts en-
tered into under this paragraph any restrictions
relating to programs other than restrictions that
apply to grants made to or contracts entered into
with States pursuant to allotments under section
111(a). The Secretary, in awarding grants and
entering into contracts under this paragraph,
shall ensure that the grants and contracts will
improve vocational education programs, and
shall give special consideration to—
(i) grants or contracts which involve,
coordinate with, or encourage tribal eco-
nomic development plans; and
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(ii) applications from tribally con-
trolled community colleges that—
(I) are accredited or are can-
didates for accreditation by a nation-
ally recognized accreditation organiza-
tion as an institution of postsecondary
vocational education; or
(II) operate vocational education
programs that are accredited or are
candidates for accreditation by a na-
tionally recognized accreditation orga-
nization, and issue certificates for com-
pletion of vocational education pro-
grams.
(H) STIPENDS.—
(i) IN GENERAL.—Funds received pur-
suant to grants or contracts described in
subparagraph (A) may be used to provide
stipends to students who are enrolled in vo-
cational education programs and who have
acute economic needs which cannot be met
through work-study programs.
(ii) AMOUNT.—Stipends described in
clause (i) shall not exceed reasonable
amounts as prescribed by the Secretary.
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(2) MATCHING.—If sufficient funding is avail-
able, the Bureau of Indian Affairs shall expend an
amount equal to the amount made available under
this subsection, relating to programs for Indians, to
pay a part of the costs of programs funded under this
subsection. During each fiscal year the Bureau of In-
dian Affairs shall expend no less than the amount ex-
pended during the prior fiscal year on vocational
education programs, services, and activities adminis-
tered either directly by, or under contract with, the
Bureau of Indian Affairs, except that in no year shall
funding for such programs, services, and activities be
provided from accounts and programs that support
other Indian education programs. The Secretary and
the Assistant Secretary of the Interior for Indian Af-
fairs shall prepare jointly a plan for the expenditure
of funds made available and for the evaluation of pro-
grams assisted under this subsection. Upon the com-
pletion of a joint plan for the expenditure of the funds
and the evaluation of the programs, the Secretary
shall assume responsibility for the administration of
the program, with the assistance and consultation of
the Bureau of Indian Affairs.
(3) SPECIAL
RULE.—Programs funded under
this subsection shall be in addition to such other pro-
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grams, services, and activities as are made available
to eligible Indians under other provisions of this Act.
(c) HAWAIIAN NATIVE PROGRAMS.—From the funds
reserved pursuant to section 111(a)(1)(B)(ii), the Secretary
shall award grants or enter into contracts, with organiza-
tions primarily serving and representing Hawaiian natives
which are recognized by the Governor of the State of Ha-
waii, for the planing, conduct, or administration of pro-
grams, or portions thereof, that are described in this title
and consistent with the purpose of this title, for the benefit
of Hawaiian natives.
SEC. 115. TRIBALLY CONTROLLED POSTSECONDARY VOCA-
TIONAL INSTITUTIONS.
(a) IN GENERAL.—It is the purpose of this section to
provide grants for the operation and improvement of trib-
ally controlled postsecondary vocational institutions to en-
sure continued and expanded educational opportunities for
Indian students, and to allow for the improvement and ex-
pansion of the physical resources of such institutions.
(b) GRANTS AUTHORIZED.—
(1) IN GENERAL.—From the funds reserved pur-
suant to section 111(a)(1)(B)(iii), the Secretary shall
make grants to tribally controlled postsecondary voca-
tional institutions to provide basic support for the vo-
cational education and training of Indian students.
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(2) AMOUNT OF GRANTS.—
(A) IN GENERAL.—If the sum appropriated
for any fiscal year for grants under this section
is not sufficient to pay in full the total amount
that approved applicants are eligible to receive
under this section for such fiscal year, the Sec-
retary shall first allocate to each such applicant
that received funds under this part for the pre-
ceding fiscal year an amount equal to 100 per-
cent of the product of the per capita payment for
the preceding fiscal year and such applicant’s
Indian student count for the current program
year, plus an amount equal to the actual cost of
any increase to the per capita figure resulting
from inflationary increases to necessary costs be-
yond the institution’s control.
(B) PER CAPITA DETERMINATION.—For the
purposes of paragraph (1), the per capita pay-
ment for any fiscal year shall be determined by
dividing the amount available for grants to trib-
ally controlled postsecondary vocational institu-
tions under this part for such program year by
the sum of the Indian student counts of such in-
stitutions for such program year. The Secretary
shall, on the basis of the most accurate data
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available from the institutions, compute the In-
dian student count for any fiscal year for which
such count was not used for the purpose of mak-
ing allocations under this section.
(c) ELIGIBLE GRANT RECIPIENTS.—To be eligible for
assistance under this section a tribally controlled post-
secondary vocational institution shall—
(1) be governed by a board of directors or trust-
ees, a majority of whom are Indians;
(2) demonstrate adherence to stated goals, a phi-
losophy, or a plan of operation which fosters individ-
ual Indian economic and self-sufficiency opportunity,
including programs that are appropriate to stated
tribal goals of developing individual entrepreneur-
ships and self-sustaining economic infrastructures on
reservations;
(3) have been in operation for at least 3 years;
(4) hold accreditation with or be a candidate for
accreditation by a nationally recognized accrediting
authority for postsecondary vocational education; and
(5) enroll the full-time equivalency of not less
than 100 students, of whom a majority are Indians.
(d) GRANT REQUIREMENTS.—
(1) 
APPLICATIONS.—Any 
tribally 
controlled
postsecondary vocational institution that desires to
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receive a grant under this section shall submit an ap-
plication to the Secretary. Such application shall in-
clude a description of recordkeeping procedures for the
expenditure of funds received under this section that
will allow the Secretary to audit and monitor pro-
grams.
(2) NUMBER.—The Secretary shall award not
less than 2 grants under this section for each fiscal
year.
(3) CONSULTATION.—In awarding grants under
this section, the Secretary shall, to the extent prac-
ticable, consult with the boards of trustees of, and the
tribal governments chartering, the institutions desir-
ing the grants.
(4) 
LIMITATION.—Amounts 
made 
available
through grants under this section shall not be used in
connection with religious worship or sectarian in-
struction.
(e) USES OF GRANTS.—
(1) IN GENERAL.—The Secretary shall, subject to
the availability of appropriations, provide for each
program year to each tribally controlled postsecond-
ary vocational institution having an application ap-
proved by the Secretary, an amount necessary to pay
expenses associated with—
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(A) the maintenance and operation of the
program, including development costs, costs of
basic and special instruction (including special
programs for individuals with disabilities and
academic instruction), materials, student costs,
administrative expenses, boarding costs, trans-
portation, student services, daycare and family
support programs for students and their families
(including contributions to the costs of education
for dependents), and student stipends;
(B) capital expenditures, including oper-
ations and maintenance, and minor improve-
ments and repair, and physical plant mainte-
nance costs, for the conduct of programs funded
under this section; and
(C) costs associated with repair, upkeep, re-
placement, and upgrading of the instructional
equipment.
(2) ACCOUNTING.—Each institution receiving a
grant under this section shall provide annually to the
Secretary an accurate and detailed accounting of the
institution’s operating and maintenance expenses and
such other information concerning costs as the Sec-
retary may reasonably require.
(f) EFFECT ON OTHER PROGRAMS.—
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(1) IN
GENERAL.—Except as specifically pro-
vided in this Act, eligibility for assistance under this
section shall not preclude any tribally controlled post-
secondary vocational institution from receiving Fed-
eral financial assistance under any program author-
ized under the Higher Education Act of 1965 (20
U.S.C. 1001 et seq.) or any other applicable program
for the benefit of institutions of higher education or
vocational education.
(2) PROHIBITION
ON
ALTERATION
OF
GRANT
AMOUNT.—The amount of any grant for which trib-
ally controlled postsecondary vocational institutions
are eligible under this section shall not be altered be-
cause of funds allocated to any such institution from
funds appropriated under the Act of November 2,
1921 (commonly known as the ‘‘Snyder Act’’) (42
Stat. 208, chapter 115; 25 U.S.C. 13).
(3) PROHIBITION
ON
CONTRACT
DENIAL.—No
tribally controlled postsecondary vocational institu-
tion for which an Indian tribe has designated a por-
tion of the funds appropriated for the tribe from
funds appropriated under such Act of November 2,
1921, may be denied a contract for such portion
under the Indian Self-Determination and Education
Assistance Act (25 U.S.C. 450b et seq.) (except as pro-
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vided in that Act), or denied appropriate contract
support to administer such portion of the appro-
priated funds.
(g) NEEDS ESTIMATE AND REPORT ON FACILITIES
AND FACILITIES IMPROVEMENT.—
(1) NEEDS
ESTIMATE.—The Secretary shall,
based on the most accurate data available from the
institutions and Indian tribes whose Indian students
are served under this section, and in consideration of
employment needs, economic development needs, pop-
ulation training needs, and facilities needs, prepare
an actual budget needs estimate for each institution
eligible under this section for each subsequent pro-
gram year, and submit such budget needs estimate to
Congress in such a timely manner as will enable the
appropriate committees of Congress to consider such
needs data for purposes of the uninterrupted flow of
adequate appropriations to such institutions. Such
data shall take into account the goals and require-
ments of the Personal Responsibility and Work Op-
portunity Reconciliation Act of 1996 (Public Law
104–193; 110 Stat. 2105).
(2) STUDY OF TRAINING AND HOUSING NEEDS.—
(A) IN GENERAL.—The Secretary shall con-
duct a detailed study of the training, housing,
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and immediate facilities needs of each institu-
tion eligible under this section. The study shall
include an examination of—
(i) training equipment needs;
(ii) housing needs of families whose
heads of households are students and whose
dependents have no alternate source of sup-
port while such heads of households are stu-
dents; and
(iii) immediate facilities needs.
(B) REPORT.—The Secretary shall report to
Congress not later than July 1, 1999, on the re-
sults of the study required by subparagraph (A).
(C) CONTENTS.—The report required by
subparagraph (B) shall include the number,
type, and cost of meeting the needs described in
subparagraph (A), and rank each institution by
relative need.
(D) PRIORITY.—In conducting the study re-
quired by subparagraph (A), the Secretary shall
give priority to institutions that are receiving
assistance under this section.
(3) LONG-TERM STUDY OF FACILITIES.—
(A) IN GENERAL.—The Secretary shall pro-
vide for the conduct of a long-term study of the
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facilities of each institution eligible for assist-
ance under this section.
(B) CONTENTS.—The study required by
subparagraph (A) shall include a 5-year projec-
tion of training facilities, equipment, and hous-
ing needs and shall consider such factors as pro-
jected service population, employment, and eco-
nomic development forecasting, based on the most
current and accurate data available from the in-
stitutions and Indian tribes affected.
(C) SUBMISSION.—The Secretary shall sub-
mit to Congress a detailed report on the results
of such study not later than the end of the 18-
month period beginning on the date of enactment
of this Act.
(h) DEFINITIONS.—For the purposes of this section:
(1) INDIAN; INDIAN TRIBE.—The terms ‘‘Indian’’
and ‘‘Indian tribe’’ have the meaning given such
terms in section 2 of the Tribally Controlled Commu-
nity College Assistance Act of 1978 (25 U.S.C. 1801).
(2) TRIBALLY CONTROLLED POSTSECONDARY VO-
CATIONAL
INSTITUTION.—The term ‘‘tribally con-
trolled postsecondary vocational institution’’ means
an institution of higher education that—
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(A) is formally controlled, or has been for-
mally sanctioned or chartered by the governing
body of an Indian tribe or tribes; and
(B) offers technical degrees or certificate
granting programs.
(3) INDIAN STUDENT COUNT.—The term ‘‘Indian
student count’’ means a number equal to the total
number of Indian students enrolled in each tribally
controlled postsecondary vocational institution, deter-
mined as follows:
(A) REGISTRATIONS.—The registrations of
Indian students as in effect on October 1 of each
year.
(B) SUMMER TERM.—Credits or clock hours
toward a certificate earned in classes offered dur-
ing a summer term shall be counted toward the
computation of the Indian student count in the
succeeding fall term.
(C) ADMISSION CRITERIA.—Credits or clock
hours toward a certificate earned in classes dur-
ing a summer term shall be counted toward the
computation of the Indian student count if the
institution at which the student is in attendance
has established criteria for the admission of such
student on the basis of the student’s ability to
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benefit from the education or training offered.
The institution shall be presumed to have estab-
lished such criteria if the admission procedures
for such studies include counseling or testing
that measures the student’s aptitude to success-
fully complete the course in which the student
has enrolled. No credit earned by such student
for purposes of obtaining a secondary school di-
ploma or its recognized equivalent shall be count-
ed toward the computation of the Indian student
count.
(D) DETERMINATION
OF
HOURS.—Indian
students earning credits in any continuing edu-
cation program of a tribally controlled post-
secondary vocational institution shall be in-
cluded in determining the sum of all credit or
clock hours.
(E) CONTINUING
EDUCATION.—Credits or
clock hours earned in a continuing education
program shall be converted to the basis that is in
accordance with the institution’s system for pro-
viding credit for participation in such programs.
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SEC. 116. INCENTIVE GRANTS.
(a) IN GENERAL.—The Secretary may make grants to
States that exceed the expected levels of performance for per-
formance measures established under this Act.
(b) USE OF FUNDS.—A State that receives an incen-
tive grant under this section shall use the funds made avail-
able through the grant to carry out innovative vocational
education, adult education and literacy, or workforce in-
vestment programs as determined by the State.
CHAPTER 2—STATE PROVISIONS
SEC. 121. STATE ADMINISTRATION.
Each eligible agency shall be responsible for the State
administration of activities under this subtitle, including—
(1) the development, submission, and implemen-
tation of the State plan;
(2) the efficient and effective performance of the
eligible agency’s duties under this subtitle; and
(3) consultation with other appropriate agencies,
groups, and individuals that are involved in the de-
velopment and implementation of activities assisted
under this subtitle, such as employers, parents, stu-
dents, teachers, labor organizations, State and local
elected officials, and local program administrators.
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SEC. 122. STATE USE OF FUNDS.
(a) RESERVATIONS.—From funds allotted to each
State under section 111(a) for each fiscal year, the eligible
agency shall reserve—
(1) not more than 14 percent of the funds to
carry out section 123;
(2) not more than 10 percent of the funds, or
$300,000, whichever is greater, of which—
(A) $60,000 shall be available to provide
technical assistance and advice to local edu-
cational agencies, postsecondary educational in-
stitutions, and other interested parties in the
State for gender equity activities; and
(B) the remainder may be used to—
(i) develop the State plan;
(ii) review local applications;
(iii) monitor and evaluate program ef-
fectiveness;
(iv) provide technical assistance; and
(v) assure compliance with all applica-
ble Federal laws, including required services
and activities for individuals who are mem-
bers of populations described in section
124(c)(16); and
(3) 1 percent of the funds, or the amount the
State expended under the Carl D. Perkins Vocational
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and Applied Technology Education Act (20 U.S.C.
2301 et seq.) for vocational education programs for
criminal offenders for the fiscal year 1997, whichever
is greater, to carry out programs for criminal offend-
ers.
(b) REMAINDER.—From funds allotted to each State
under section 111(a) for each fiscal year and not reserved
under subsection (a), the eligible agency shall determine the
portion of the funds that will be available to carry out sec-
tions 131 and 132.
(c) MATCHING REQUIREMENT.—Each eligible agency
receiving funds under this subtitle shall match, from non-
Federal sources and on a dollar-for-dollar basis, the funds
received under subsection (a)(2).
SEC. 123. STATE LEADERSHIP ACTIVITIES.
(a) MANDATORY.—Each eligible agency shall use the
funds reserved under section 122(a)(1) to conduct programs,
services, and activities that further the development, imple-
mentation, and improvement of vocational education with-
in the State and that are integrated, to the maximum extent
possible, with challenging State academic standards, in-
cluding—
(1) providing comprehensive professional devel-
opment (including initial teacher preparation) for vo-
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cational, academic, guidance, and administrative per-
sonnel, that—
(A) will help the teachers and personnel to
assist students in meeting the expected levels of
performance established under section 112;
(B) reflects the eligible agency’s assessment
of the eligible agency’s needs for professional de-
velopment; and
(C) is integrated with the professional devel-
opment activities that the State carries out
under title II of the Elementary and Secondary
Education Act of 1965 (20 U.S.C. 6001 et seq.);
(2) developing and disseminating curricula that
are aligned, as appropriate, with challenging State
academic standards, and vocational and technological
skills;
(3) monitoring and evaluating the quality of,
and improvement in, activities conducted with assist-
ance under this subtitle;
(4) providing gender equity programs in second-
ary and postsecondary vocational education;
(5) supporting tech-prep education activities;
(6) improving and expanding the use of tech-
nology in instruction;
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(7) supporting partnerships among local edu-
cational agencies, institutions of higher education,
adult education providers, and, as appropriate, other
entities, such as employers, labor organizations, par-
ents, and local partnerships, to enable students to
achieve State academic standards, and vocational and
technological skills; and
(8) serving individuals in State institutions,
such as State correctional institutions and institu-
tions that serve individuals with disabilities.
(b) PERMISSIVE.—Each eligible agency may use the
funds reserved under section 122(a)(1) for—
(1) improving guidance and counseling pro-
grams that assist students in making informed edu-
cation and vocational decisions;
(2) supporting vocational student organizations,
especially with respect to efforts to increase the par-
ticipation of students who are members of populations
described in section 124(c)(16);
(3) providing vocational education programs for
adults and school dropouts to complete their second-
ary school education; and
(4) providing assistance to students who have
participated in services and activities under this sub-
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title in finding an appropriate job and continuing
their education.
SEC. 124. STATE PLAN.
(a) STATE PLAN.—
(1) IN GENERAL.—Each eligible entity desiring
assistance under this subtitle for any fiscal year shall
prepare and submit to the Secretary a State plan for
a 3-year period, together with such annual revisions
as the eligible agency determines to be necessary.
(2) COORDINATION.—The period required by
paragraph (1) shall be coordinated with the period
covered by the State plan described in section 304.
(3) HEARING
PROCESS.—The eligible agency
shall conduct public hearings in the State, after ap-
propriate and sufficient notice, for the purpose of af-
fording all segments of the public and interested orga-
nizations and groups (including employers, labor or-
ganizations, and parents), an opportunity to present
their views and make recommendations regarding the
State plan. A summary of such recommendations and
the eligible agency’s response to such recommenda-
tions shall be included with the State plan.
(b) PLAN DEVELOPMENT.—The eligible agency shall
develop the State plan with representatives of secondary
and postsecondary vocational education, parents, represent-
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atives of populations described in section 124(c)(16), and
businesses, in the State and shall also consult the Governor
of the State.
(c) PLAN CONTENTS.—The State plan shall include in-
formation that—
(1) describes the vocational education activities
to be assisted that are designed to meet and reach the
State performance measures;
(2) describes the integration of academic and
technological education with vocational education;
(3) describes how the eligible agency will
disaggregate data relating to students participating
in vocational education in order to adequately meas-
ure the progress of the students;
(4) describes how the eligible agency will ade-
quately address the needs of students in alternative
education programs;
(5) describes how the eligible agency will provide
local educational agencies, area vocational education
schools, and eligible institutions in the State with
technical assistance;
(6) describes how the eligible agency will encour-
age the participation of the parents of secondary
school students who are involved in vocational edu-
cation activities;
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(7) identifies how the eligible agency will obtain
the active participation of business, labor organiza-
tions, and parents in the development and improve-
ment of vocational education activities carried out by
the eligible agency;
(8) describes how vocational education relates to
State and regional employment opportunities;
(9) describes the methods proposed for the joint
planning and coordination of programs carried out
under this subtitle with other Federal education pro-
grams;
(10) describes how funds will be used to promote
gender equity in secondary and postsecondary voca-
tional education;
(11) describes how funds will be used to improve
and expand the use of technology in instruction;
(12) describes how funds will be used to serve in-
dividuals in State correctional institutions;
(13) describes how funds will be used effectively
to link secondary and postsecondary education;
(14) describes how funds will be allocated and
used at the secondary and postsecondary level, any
consortia that will be formed among secondary schools
and eligible institutions, and how funds will be allo-
cated among the members of the consortia;
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(15) describes how the eligible agency will ensure
that the data reported to the eligible agency from local
educational agencies and eligible institutions under
this subtitle and the data the eligible agency reports
to the Secretary are complete, accurate, and reliable;
(16) describes the eligible agency’s program
strategies for populations that include, at a mini-
mum—
(A) low-income individuals, including foster
children;
(B) individuals with disabilities;
(C) single parents and displaced home-
makers; and
(D) individuals with other barriers to edu-
cational achievement, including individuals with
limited English proficiency;
(17) describes how individuals who are members
of the special populations described in subsection
(c)(16)—
(A) will be provided with equal access to ac-
tivities assisted under this title; and
(B) will not be discriminated against on the
basis of their status as members of the special
populations; and
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(18) contains the description and information
specified in paragraphs (9) and (17) of section 304(b)
concerning the provision of services only for post-
secondary students and school dropouts.
(d) PLAN APPROVAL.—
(1) IN GENERAL.—The Secretary shall approve a
State plan, or a revision to an approved State plan,
only if the Secretary determines that—
(A) the State plan, or revision, respectively,
meets the requirements of this section; and
(B) the State’s performance measures and
expected levels of performance under section 112
are sufficiently rigorous to meet the purpose of
this title.
(2) DISAPPROVAL.—The Secretary shall not fi-
nally disapprove a State plan, except after giving the
eligible agency notice and an opportunity for a hear-
ing.
(3) PEER REVIEW.—The Secretary shall establish
a peer review process to make recommendations re-
garding approval of State plans.
(4) TIMEFRAME.—A State plan shall be deemed
approved if the Secretary has not responded to the eli-
gible agency regarding the plan within 90 days of the
date the Secretary receives the plan.
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(e) ASSURANCES.—A State plan shall contain assur-
ances that the State will comply with the requirements of
this title and the provisions of the State plan, and provide
for such fiscal control and fund accounting procedures that
may be necessary to ensure the proper disbursement of, and
accounting for, funds paid to the State under this title.
(f) ELIGIBLE AGENCY REPORT.—
(1) IN GENERAL.—The eligible agency shall an-
nually report to the Secretary regarding—
(A) the quality and effectiveness of the pro-
grams, services, and activities, assisted under
this subtitle, based on the performance measures
and expected levels of performance described in
section 112; and
(B) the progress each population of individ-
uals described in section 124(c)(16) is making
toward achieving the expected levels of perform-
ance.
(2) CONTENTS.—The eligible agency report
also—
(A) shall include such information, in such
form, as the Secretary may reasonably require,
in order to ensure the collection of uniform data;
and
(B) shall be made available to the public.
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CHAPTER 3—LOCAL PROVISIONS
SEC. 131. DISTRIBUTION FOR SECONDARY SCHOOL VOCA-
TIONAL EDUCATION.
(a) ALLOCATION.—Except as otherwise provided in
this section, each eligible agency shall distribute the portion
of the funds made available for secondary school vocational
education activities under section 122(b) for any fiscal year
to local educational agencies within the State as follows:
(1) SEVENTY
PERCENT.—From 70 percent of
such portion, each local educational agency shall be
allocated an amount that bears the same relationship
to such 70 percent as the amount such local edu-
cational agency was allocated under section 1124 of
the Elementary and Secondary Education Act of
1965 (20 U.S.C. 6333) for the preceding fiscal year
bears to the total amount received under such section
by all local educational agencies in the State for such
year.
(2) TWENTY PERCENT.—From 20 percent of such
portion, each local educational agency shall be allo-
cated an amount that bears the same relationship to
such 20 percent as the number of students with dis-
abilities who have individualized education programs
under section 614(d) of the Individuals With Disabil-
ities Education Act (20 U.S.C. 1414(d)) served by
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such local educational agency for the preceding fiscal
year bears to the total number of such students served
by all local educational agencies in the State for such
year.
(3) TEN PERCENT.—From 10 percent of such
portion, each local educational agency shall be allo-
cated an amount that bears the same relationship to
such 10 percent as the number of students enrolled in
schools and adults enrolled in training programs
under the jurisdiction of such local educational agen-
cy for the preceding fiscal year bears to the number
of students enrolled in schools and adults enrolled in
training programs under the jurisdiction of all local
educational agencies in the State for such year.
(b) MINIMUM ALLOCATION.—
(1) IN GENERAL.—Except as provided in para-
graph (2), no local educational agency shall receive
an allocation under subsection (a) unless the amount
allocated to such agency under subsection (a) is not
less than $25,000. A local educational agency may
enter into a consortium with other local educational
agencies for purposes of meeting the minimum alloca-
tion requirement of this paragraph.
(2) WAIVER.—The eligible agency may waive the
application of paragraph (1) for a local educational
HR 1385 EAS
agency that is located in a rural, sparsely populated
area.
(3) REALLOCATION.—Any amounts that are not
allocated by reason of paragraph (1) or (2) shall be
reallocated to local educational agencies that meet the
requirements of paragraph (1) or (2) in accordance
with the provisions of this section.
(c) LIMITED JURISDICTION AGENCIES.—
(1) IN GENERAL.—In applying the provisions of
subsection (a), no eligible agency receiving assistance
under this subtitle shall allocate funds to a local edu-
cational agency that serves only elementary schools,
but shall distribute such funds to the local educational
agency or regional educational agency that provides
secondary school services to secondary school students
in the same attendance area.
(2) SPECIAL RULE.—The amount to be allocated
under paragraph (1) to a local educational agency
that has jurisdiction only over secondary schools shall
be determined based on the number of students that
entered such secondary schools in the previous year
from the elementary schools involved.
(d) ALLOCATIONS TO AREA VOCATIONAL EDUCATION
SCHOOLS AND EDUCATIONAL SERVICE AGENCIES.—
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(1) IN GENERAL.—Each eligible agency shall dis-
tribute the portion of funds made available for any
fiscal year by such entity for secondary school voca-
tional education activities under section 122(b) to the
appropriate area vocational education school or edu-
cational service agency in any case in which—
(A) the area vocational education school or
educational service agency, and the local edu-
cational agency concerned—
(i) have formed or will form a consor-
tium for the purpose of receiving funds
under this section; or
(ii) have entered into or will enter into
a cooperative arrangement for such purpose;
and
(B)(i) the area vocational education school
or educational service agency serves an approxi-
mately equal or greater proportion of students
who are individuals with disabilities or are low-
income than the proportion of such students at-
tending the secondary schools under the jurisdic-
tion of all of the local educational agencies send-
ing students to the area vocational education
school or the educational service agency; or
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(ii) the area vocational education school,
educational service agency, or local educational
agency demonstrates that the vocational edu-
cation school or educational service agency is un-
able to meet the criterion described in clause (i)
due to the lack of interest by students described
in clause (i) in attending vocational education
programs in that area vocational education
school or educational service agency.
(2) ALLOCATION BASIS.—If an area vocational
education school or educational service agency meets
the requirements of paragraph (1), then—
(A) the amount that will otherwise be dis-
tributed to the local educational agency under
this section shall be allocated to the area voca-
tional education school, the educational service
agency, and the local educational agency, based
on each school’s or agency’s relative share of stu-
dents described in paragraph (1)(B)(i) who are
attending vocational education programs (based,
if practicable, on the average enrollment for the
prior 3 years); or
(B) such amount may be allocated on the
basis of an agreement between the local edu-
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cational agency and the area vocational edu-
cation school or educational service agency.
(3) STATE DETERMINATION.—
(A) IN GENERAL.—For the purposes of this
subsection, the eligible agency may determine the
number of students who are low-income on the
basis of—
(i) eligibility for—
(I) free or reduced-price meals
under the National School Lunch Act
(7 U.S.C. 1751 et seq.);
(II) assistance under a State pro-
gram funded under part A of title IV
of the Social Security Act;
(III) benefits under the Food
Stamp Act of 1977 (7 U.S.C. 2011 et
seq.); or
(IV) services under title I of the
Elementary and Secondary Education
Act of 1965 (20 U.S.C. 6301 et seq.); or
(ii) another index of economic status,
including an estimate of such index, if the
eligible agency demonstrates to the satisfac-
tion of the Secretary that such index is a
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more representative means of determining
such number.
(B) DATA.—If an eligible agency elects to
use more than 1 factor described in subpara-
graph (A) for purposes of making the determina-
tion described in such subparagraph, the eligible
agency shall ensure that the data used is not du-
plicative.
(4) APPEALS PROCEDURE.—The eligible agency
shall establish an appeals procedure for resolution of
any dispute arising between a local educational agen-
cy and an area vocational education school or an
educational service agency with respect to the alloca-
tion procedures described in this section, including
the decision of a local educational agency to leave a
consortium.
(5) SPECIAL RULE.—Notwithstanding the provi-
sions of paragraphs (1), (2), (3), and (4), any local
educational agency receiving an allocation that is not
sufficient to conduct a secondary school vocational
education program of sufficient size, scope, and qual-
ity to be effective may—
(A) form a consortium or enter into a coop-
erative agreement with an area vocational edu-
cation school or educational service agency offer-
HR 1385 EAS
ing secondary school vocational education pro-
grams of sufficient size, scope, and quality to be
effective and that are accessible to students who
are individuals with disabilities or are low-in-
come, and are served by such local educational
agency; and
(B) transfer such allocation to the area vo-
cational education school or educational service
agency.
(e) SPECIAL RULE.—Each eligible agency distributing
funds under this section shall treat a secondary school fund-
ed by the Bureau of Indian Affairs within the State as if
such school were a local educational agency within the State
for the purpose of receiving a distribution under this sec-
tion.
SEC. 132. DISTRIBUTION FOR POSTSECONDARY VOCA-
TIONAL EDUCATION.
(a) DISTRIBUTION.—
(1) IN GENERAL.—Except as otherwise provided
in this section, each eligible agency shall distribute
the portion of funds made available for postsecondary
vocational education under section 122(b) for any fis-
cal year to eligible institutions within the State in
accordance with paragraph (2).
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(2) ALLOCATION.—Each eligible institution in
the State having an application approved under sec-
tion 134 for a fiscal year shall be allocated an
amount that bears the same relationship to the
amount of funds made available for postsecondary vo-
cational education under section 122(b) for the fiscal
year as the number of Pell Grant recipients and re-
cipients of assistance from the Bureau of Indian Af-
fairs enrolled for the preceding fiscal year by such eli-
gible institution in vocational education programs
that do not exceed 2 years in duration bears to the
number of such recipients enrolled in such programs
within the State for such fiscal year.
(3) SPECIAL RULE FOR CONSORTIA.—In order
for a consortium described in section 2(12)(E) to re-
ceive assistance under this section, such consortium
shall operate joint projects that—
(A) provide services to all postsecondary in-
stitutions participating in the consortium; and
(B) are of sufficient size, scope, and quality
to be effective.
(4) MINIMUM ALLOCATION.—
(A) IN GENERAL.—Except as provided in
subparagraph (B), no eligible institution shall
receive an allocation under paragraph (2) unless
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the amount allocated to the eligible institution
under paragraph (2) is not less than $65,000.
(B) WAIVER.—The eligible agency may
waive the application of subparagraph (A) in
any case in which the eligible institution is lo-
cated in a rural, sparsely populated area.
(C) REALLOCATION.—Any amounts that are
not allocated by reason of subparagraph (A) or
(B) shall be reallocated to eligible institutions
that meet the requirements of subparagraph (A)
or (B) in accordance with the provisions of this
section.
(5) DEFINITION OF PELL GRANT RECIPIENT.—
The term ‘‘Pell Grant recipient’’ means a recipient of
financial aid under subpart 1 of part A of title IV
of the Higher Education Act of 1965 (20 U.S.C.
1070a).
(b) ALTERNATIVE ALLOCATION.—An eligible agency
may allocate funds made available for postsecondary edu-
cation under section 122(b) for a fiscal year using an alter-
native formula if the eligible agency demonstrates to the
Secretary’s satisfaction that—
(1) the alternative formula better meets the pur-
pose of this title; and
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(2)(A) the formula described in subsection (a)
does not result in an allocation of funds to the eligible
institutions that serve the highest numbers or percent-
ages of low-income students; and
(B) the alternative formula will result in such a
distribution.
SEC. 133. LOCAL ACTIVITIES.
(a) MANDATORY.—Funds made available to a local
educational agency or an eligible institution under this sub-
title shall be used—
(1) to initiate, improve, expand, and modernize
quality vocational education programs;
(2) to improve or expand the use of technology
in vocational instruction, including professional de-
velopment in the use of technology, which instruction
may include distance learning;
(3) to provide services and activities that are of
sufficient size, scope, and quality to be effective;
(4) to integrate academic education with voca-
tional education for students participating in voca-
tional education;
(5) to link secondary education (as determined
under State law) and postsecondary education, in-
cluding implementing tech-prep programs;
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(6) to provide professional development activities
to teachers, counselors, and administrators, includ-
ing—
(A) inservice and preservice training in
state-of-the-art vocational education programs;
(B) internship programs that provide busi-
ness experience to teachers; and
(C) programs designed to train teachers spe-
cifically in the use and application of tech-
nology;
(7) to develop and implement programs that pro-
vide access to, and the supportive services needed to
participate in, quality vocational education programs
for students, including students who are members of
the populations described in section 124(c)(16);
(8) to develop and implement performance man-
agement systems and evaluations; and
(9) to promote gender equity in secondary and
postsecondary vocational education.
(b) PERMISSIVE.—Funds made available to a local
educational agency or an eligible institution under this sub-
title may be used—
(1) to carry out student internships;
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(2) to provide guidance and counseling for stu-
dents participating in vocational education pro-
grams;
(3) to provide vocational education programs for
adults and school dropouts to complete their second-
ary school education;
(4) to acquire and adapt equipment, including
instructional aids;
(5) to support vocational student organizations;
(6) to provide assistance to students who have
participated in services and activities under this sub-
title in finding an appropriate job and continuing
their education; and
(7) to support other vocational education activi-
ties that are consistent with the purpose of this title.
SEC. 134. LOCAL APPLICATION.
(a) IN GENERAL.—Each local educational agency or
eligible institution desiring assistance under this subtitle
shall submit an application to the eligible agency at such
time, in such manner, and accompanied by such informa-
tion as the eligible agency (in consultation with such other
educational entities as the eligible agency determines to be
appropriate) may require.
(b) CONTENTS.—Each application shall, at a mini-
mum—
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(1) describe how the vocational education activi-
ties will be carried out pertaining to meeting the ex-
pected levels of performance;
(2) describe the process that will be used to inde-
pendently evaluate and continuously improve the per-
formance of the local educational agency or eligible
institution, as appropriate;
(3) describe how the local educational agency or
eligible institution, as appropriate, will plan and
consult with students, parents, representatives of pop-
ulations described in section 124(c)(16), businesses,
labor organizations, and other interested individuals,
in carrying out activities under this subtitle;
(4) describe how the local educational agency or
eligible institution, as appropriate, will review voca-
tional education programs, and identify and adopt
strategies to overcome barriers that result in lowering
rates of access to the programs, for populations de-
scribed in section 124(c)(16); and
(5) describe how individuals who are members of
the special populations described in section 124(c)(16)
will not be discriminated against on the basis of their
status as members of the special populations.
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SEC. 135. CONSORTIA.
A local educational agency and an eligible institution
may form a consortium to carry out the provisions of this
chapter if the sum of the amount the consortium receives
for a fiscal year under sections 131 and 132 equals or ex-
ceeds $65,000.
Subtitle B—Tech-Prep Education
SEC. 151. SHORT TITLE.
This subtitle may be cited as the ‘‘Tech-Prep Edu-
cation Act’’.
SEC. 152. PURPOSES.
The purposes of this subtitle are—
(1) to provide implementation grants to consor-
tia of local educational agencies, postsecondary edu-
cational institutions, and employers or labor organi-
zations, for the development and operation of pro-
grams designed to provide a tech-prep education pro-
gram leading to a 2-year associate degree or a 2-year
certificate;
(2) to provide, in a systematic manner, strong,
comprehensive links among secondary schools, post-
secondary educational institutions, and local or re-
gional employers, or labor organizations; and
(3) to support the use of contextual, authentic,
and applied teaching and curriculum based on each
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State’s academic, occupational, and employability
standards.
SEC. 153. DEFINITIONS.
(a) In this subtitle:
(1) ARTICULATION AGREEMENT.—The term ‘‘ar-
ticulation agreement’’ means a written commitment
to a program designed to provide students with a non
duplicative sequence of progressive achievement lead-
ing to degrees or certificates in a tech-prep education
program.
(2) COMMUNITY COLLEGE.—The term ‘‘commu-
nity college’’—
(A) has the meaning provided in section
1201(a) of the Higher Education Act of 1965 (20
U.S.C. 1141) for an institution which provides
not less than a 2-year program which is accept-
able for full credit toward a bachelor’s degree;
and
(B) includes tribally controlled community
colleges.
(3) TECH-PREP PROGRAM.—The term ‘‘tech-prep
program’’ means a program of study that—
(A) combines at a minimum 2 years of sec-
ondary education (as determined under State
law) with a minimum of 2 years of postsecond-
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ary education in a nonduplicative, sequential
course of study;
(B) integrates academic and vocational in-
struction, and utilizes work-based and worksite
learning where appropriate and available;
(C) provides technical preparation in a ca-
reer field such as engineering technology, applied
science, a mechanical, industrial, or practical
art or trade, agriculture, health occupations,
business, or applied economics;
(D) builds student competence in mathe-
matics, science, reading, writing, communica-
tions, economics, and workplace skills through
applied, contextual academics, and integrated
instruction, in a coherent sequence of courses;
(E) leads to an associate or a baccalaureate
degree or a certificate in a specific career field;
and
(F) leads to placement in appropriate em-
ployment or further education.
SEC. 154. PROGRAM AUTHORIZED.
(a) DISCRETIONARY AMOUNTS.—
(1) IN GENERAL.—For any fiscal year for which
the amount appropriated under section 157 to carry
out this subtitle is equal to or less than $50,000,000,
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the Secretary shall award grants for tech-prep edu-
cation programs to consortia between or among—
(A) a local educational agency, an inter-
mediate educational agency or area vocational
education school serving secondary school stu-
dents, or a secondary school funded by the Bu-
reau of Indian Affairs; and
(B)(i) a nonprofit institution of higher edu-
cation that offers—
(I) a 2-year associate degree program,
or a 2-year certificate program, and is
qualified as institutions of higher education
pursuant to section 481(a) of the Higher
Education Act of 1965 (20 U.S.C. 1088(a)),
including an institution receiving assist-
ance under the Tribally Controlled Commu-
nity College Assistance Act of 1978 (25
U.S.C. 1801 et seq.) and a tribally con-
trolled postsecondary vocational institution;
or
(II) a 2-year apprenticeship program
that follows secondary instruction,
if such nonprofit institution of higher education
is not prohibited from receiving assistance under
part B of the Higher Education Act of 1965 (20
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U.S.C. 1071 et seq.) pursuant to the provisions
of section 435(a)(3) of such Act (20 U.S.C.
1083(a)); or
(ii) a proprietary institution of higher edu-
cation that offers a 2-year associate degree pro-
gram and is qualified as an institution of higher
education pursuant to section 481(a) of the
Higher Education Act of 1965 (20 U.S.C.
1088(a)), if such proprietary institution of high-
er education is not subject to a default manage-
ment plan required by the Secretary.
(2) SPECIAL RULE.—In addition, a consortium
described in paragraph (1) may include 1 or more—
(A) institutions of higher education that
award a baccalaureate degree; and
(B) employer or labor organizations.
(b) STATE GRANTS.—
(1) IN GENERAL.—For any fiscal year for which
the amount made available under section 157 to carry
out this subtitle exceeds $50,000,000, the Secretary
shall allot such amount among the States in the same
manner as funds are allotted to States under para-
graphs (2), (3), and (4) of section 111(a).
(2) PAYMENTS
TO
ELIGIBLE
AGENCIES.—The
Secretary shall make a payment in the amount of a
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State’s allotment under this paragraph to the eligible
agency that serves the State and has an application
approved under paragraph (4).
(3) AWARD BASIS.—From amounts made avail-
able to each eligible agency under this subsection, the
eligible agency shall award grants, on a competitive
basis or on the basis of a formula determined by the
eligible agency, for tech-prep education programs to
consortia described in subsection (a).
(4) STATE APPLICATION.—Each eligible agency
desiring assistance under this subtitle shall submit an
application to the Secretary at such time, in such
manner, and accompanied by such information as the
Secretary may require.
SEC. 155. TECH-PREP EDUCATION PROGRAMS.
(a) GENERAL AUTHORITY.—Each consortium shall use
amounts provided through the grant to develop and operate
a tech-prep education program.
(b) CONTENTS OF PROGRAM.—Any such tech-prep pro-
gram shall—
(1) be carried out under an articulation agree-
ment between the participants in the consortium;
(2) consist of at least 2 years of secondary school
preceding graduation and 2 years or more of higher
education, or an apprenticeship program of at least
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2 years following secondary instruction, with a com-
mon core of required proficiency in mathematics,
science, reading, writing, communications, and tech-
nologies designed to lead to an associate’s degree or a
certificate in a specific career field;
(3) include the development of tech-prep edu-
cation program curricula for both secondary and
postsecondary levels that—
(A) meets academic standards developed by
the State;
(B) links secondary schools and 2-year post-
secondary institutions, and where possible and
practicable, 4-year institutions of higher edu-
cation through nonduplicative sequences of
courses in career fields;
(C) uses, where appropriate and available,
work-based or worksite learning in conjunction
with business and industry; and
(D) uses educational technology and dis-
tance learning, as appropriate, to involve all the
consortium partners more fully in the develop-
ment and operation of programs.
(4) include a professional development program
for academic, vocational, and technical teachers
that—
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(A) is designed to train teachers to effec-
tively implement tech-prep education curricula;
(B) provides for joint training for teachers
from all participants in the consortium;
(C) is designed to ensure that teachers stay
current with the needs, expectations, and meth-
ods of business and industry;
(D) focuses on training postsecondary edu-
cation faculty in the use of contextual and ap-
plied curricula and instruction; and
(E) provides training in the use and appli-
cation of technology;
(5) include training programs for counselors de-
signed to enable counselors to more effectively—
(A) make tech-prep education opportunities
known to students interested in such activities;
(B) ensure that such students successfully
complete such programs;
(C) ensure that such students are placed in
appropriate employment; and
(D) stay current with the needs, expecta-
tions, and methods of business and industry;
(6) provide equal access to the full range of tech-
nical preparation programs to individuals who are
members 
of 
populations 
described 
in 
section
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124(c)(16), including the development of tech-prep
education program services appropriate to the needs
of such individuals; and
(7) provide for preparatory services that assist
all participants in such programs.
(c) ADDITIONAL
AUTHORIZED
ACTIVITIES.—Each
such tech-prep program may—
(1) provide for the acquisition of tech-prep edu-
cation program equipment;
(2) as part of the program’s planning activities,
acquire technical assistance from State or local enti-
ties that have successfully designed, established and
operated tech-prep programs;
(3) acquire technical assistance from State or
local entities that have designed, established, and op-
erated tech-prep programs that have effectively used
educational technology and distance learning in the
delivery of curricula and services and in the articula-
tion process; and
(4) establish articulation agreements with insti-
tutions of higher education, labor organizations, or
businesses located outside of the State served by the
consortium, especially with regard to using distance
learning and educational technology to provide for the
delivery of services and programs.
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SEC. 156. APPLICATIONS.
(a) IN GENERAL.—Each consortium that desires to re-
ceive a grant under this subtitle shall submit an application
to the Secretary or the eligible agency, as appropriate, at
such time and in such manner as the Secretary or the eligi-
ble agency, as appropriate, shall prescribe.
(b) THREE-YEAR PLAN.—Each application submitted
under this section shall contain a 3-year plan for the devel-
opment and implementation of activities under this sub-
title.
(c) APPROVAL.—The Secretary or the eligible agency,
as appropriate, shall approve applications based on the po-
tential of the activities described in the application to create
an effective tech-prep education program described in sec-
tion 155.
(d) SPECIAL CONSIDERATION.—The Secretary or the
eligible agency, as appropriate, shall give special consider-
ation to applications that—
(1) provide for effective employment placement
activities or the transfer of students to 4-year institu-
tions of higher education;
(2) are developed in consultation with 4-year in-
stitutions of higher education;
(3) address effectively the needs of populations
described in section 124(c)(16);
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(4) provide education and training in areas or
skills where there are significant workforce shortages,
including the information technology industry; and
(5) demonstrate how tech-prep programs will
help students meet high academic and employability
competencies.
(e) EQUITABLE DISTRIBUTION OF ASSISTANCE.—In
awarding grants under this subtitle, the Secretary shall en-
sure an equitable distribution of assistance among States,
and the Secretary or the eligible agency, as appropriate,
shall ensure an equitable distribution of assistance between
urban and rural consortium participants.
(f) NOTICE.—
(1) IN GENERAL.—In the case of grants to be
awarded by the Secretary, each consortium that sub-
mits an application under this section shall provide
notice of such submission and a copy of such applica-
tion to the State educational agency and the State
agency for higher education of the State in which the
consortium is located.
(2) NOTIFICATION.—The Secretary shall notify
the State educational agency and the State agency for
higher education of a State each time a consortium
located in the State is selected to receive a grant
under this subtitle.
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SEC. 157. AUTHORIZATION OF APPROPRIATIONS.
There is authorized to be appropriated to carry out
this subtitle such sums as may be necessary for fiscal year
1999 and each of the 5 succeeding fiscal years.
SEC. 158. DEMONSTRATION PROGRAM.
(a) DEMONSTRATION PROGRAM AUTHORIZED.—From
funds appropriated under subsection (e) for a fiscal year,
the Secretary shall award grants to consortia described in
section 154(a) to enable the consortia to carry out tech-prep
education programs.
(b) PROGRAM CONTENTS.—Each tech-prep program
referred to in subsection (a)—
(1) shall—
(A) involve the location of a secondary
school on the site of a community college;
(B) involve a business as a member of the
consortium; and
(C) require the voluntary participation of
secondary school students in the tech-prep edu-
cation program; and
(2) may provide summer internships at a busi-
ness for students or teachers.
(c) APPLICATION.—Each consortium desiring a grant
under this section shall submit an application to the Sec-
retary at such time, in such manner and accompanied by
such information as the Secretary may require.
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(d) APPLICABILITY.—The provisions of sections 154,
155, 156, and 157 shall not apply to this section, except
that—
(1) the provisions of section 154(a) shall apply
for purposes of describing consortia eligible to receive
assistance under this section;
(2) each tech-prep education program assisted
under this section shall meet the requirements of
paragraphs (1), (2), (3)(A), (3)(B), (3)(C), (3)(D),
(4), (5), (6), and (7) of section 155(b), except that
such paragraph (3)(B) shall be applied by striking ‘‘,
and where possible and practicable, 4-year institu-
tions of higher education through nonduplicative se-
quences of courses in career fields’’; and
(3) in awarding grants under this section, the
Secretary shall give special consideration to consortia
submitting applications under subsection (c) that
meet the requirements of paragraphs (1), (3), (4), and
(5) of section 156(d), except that such paragraph (1)
shall be applied by striking ‘‘or the transfer of stu-
dents to 4-year institutions of higher education’’.
(e) AUTHORIZATION OF APPROPRIATIONS.—There is
authorized to be appropriated to carry out this section
$25,000,000 for fiscal year 1999 and each of the 5 succeed-
ing fiscal years.
HR 1385 EAS
Subtitle C—General Provisions
SEC. 161. ADMINISTRATIVE PROVISIONS.
(a) SUPPLEMENT
NOT
SUPPLANT.—Funds made
available under this title for vocational education activities
shall supplement, and shall not supplant, non-Federal
funds expended to carry out vocational education and tech-
prep activities.
(b) MAINTENANCE OF EFFORT.—
(1) DETERMINATION.—No payments shall be
made under this title for any fiscal year to an eligible
agency for vocational education or tech-prep activities
unless the Secretary determines that the fiscal effort
per student or the aggregate expenditures of the State
for vocational education for the fiscal year preceding
the fiscal year for which the determination is made,
equaled or exceeded such effort or expenditures for vo-
cational education for the second fiscal year preceding
the fiscal year for which the determination is made.
(2) WAIVER.—The Secretary may waive the re-
quirements of this section, with respect to not more
than 5 percent of expenditures by any eligible agency
for 1 fiscal year only, on making a determination
that such waiver would be equitable due to excep-
tional or uncontrollable circumstances affecting the
ability of the applicant to meet such requirements,
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such as a natural disaster or an unforeseen and pre-
cipitous decline in financial resources. No level of
funding permitted under such a waiver may be used
as the basis for computing the fiscal effort or aggre-
gate expenditures required under this section for years
subsequent to the year covered by such waiver. The
fiscal effort or aggregate expenditures for the subse-
quent years shall be computed on the basis of the level
of funding that would, but for such waiver, have been
required.
(c) REPRESENTATION.—The eligible agency shall pro-
vide representation to the statewide partnership.
SEC. 162. EVALUATION, IMPROVEMENT, AND ACCOUNTABIL-
ITY.
(a) LOCAL EVALUATION.—Each eligible agency shall
evaluate annually the vocational education and tech-prep
activities of each local educational agency or eligible insti-
tution receiving assistance under this title, using the per-
formance measures established under section 112.
(b) IMPROVEMENT ACTIVITIES.—If, after reviewing the
evaluation, an eligible agency determines that a local edu-
cational agency or eligible institution is not making sub-
stantial progress in achieving the purpose of this title, the
local educational agency or eligible institution, in consulta-
tion with teachers, parents, and other school staff, shall—
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(1) conduct an assessment of the educational and
other problems that the local educational agency or el-
igible institution shall address to overcome local per-
formance problems;
(2) enter into an improvement plan based on the
results of the assessment, which plan shall include in-
structional and other programmatic innovations of
demonstrated effectiveness, and where necessary, strat-
egies for appropriate staffing and staff development;
and
(3) conduct regular evaluations of the progress
being made toward program improvement goals.
(c) TECHNICAL ASSISTANCE.—If the Secretary deter-
mines that an eligible agency is not properly implementing
the eligible agency’s responsibilities under section 124, or
is not making substantial progress in meeting the purpose
of this title, based on the performance measures and ex-
pected levels of performance under section 112 included in
the eligible agency’s State plan, the Secretary shall work
with the eligible agency to implement improvement activi-
ties.
(d) WITHHOLDING OF FEDERAL FUNDS.—If, after a
reasonable time, but not earlier than 1 year after imple-
menting activities described in subsection (c), the Secretary
determines that the eligible agency is not making sufficient
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progress, based on the eligible agency’s performance meas-
ures and expected levels of performance, the Secretary, after
notice and opportunity for a hearing, shall withhold from
the eligible agency all, or a portion, of the eligible agency’s
grant funds under this subtitle. The Secretary may use
funds withheld under the preceding sentence to provide,
through alternative arrangements, services, and activities
within the State to meet the purpose of this title.
SEC. 163. NATIONAL ACTIVITIES.
The Secretary may, directly or through grants, con-
tracts, or cooperative agreements, carry out research, devel-
opment, dissemination, evaluation, capacity-building, and
technical assistance activities that carry out the purpose of
this title.
SEC. 164. NATIONAL ASSESSMENT OF VOCATIONAL EDU-
CATION PROGRAMS.
(a) IN GENERAL.—The Secretary shall conduct a na-
tional assessment of vocational education programs assisted
under this title, through studies and analyses conducted
independently through competitive awards.
(b) INDEPENDENT ADVISORY PANEL.—The Secretary
shall appoint an independent advisory panel, consisting of
vocational education administrators, educators, researchers,
and representatives of labor organizations, business, par-
ents, guidance and counseling professionals, and other rel-
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evant groups, to advise the Secretary on the implementation
of such assessment, including the issues to be addressed and
the methodology of the studies involved, and the findings
and recommendations resulting from the assessment. The
panel shall submit to the Committee on Education and the
Workforce of the House of Representatives, the Committee
on Labor and Human Resources of the Senate, and the Sec-
retary an independent analysis of the findings and rec-
ommendations resulting from the assessment. The Federal
Advisory Committee Act (5 U.S.C. App.) shall not apply
to the panel established under this subsection.
(c) CONTENTS.—The assessment required under sub-
section (a) shall include descriptions and evaluations of—
(1) the effect of the vocational education pro-
grams assisted under this title on State and tribal ad-
ministration of vocational education programs and
on local vocational education practices, including the
capacity of State, tribal, and local vocational edu-
cation systems to address the purpose of this title;
(2) expenditures at the Federal, State, tribal,
and local levels to address program improvement in
vocational education, including the impact of Federal
allocation requirements (such as within-State dis-
tribution formulas) on the delivery of services;
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(3) preparation and qualifications of teachers of
vocational and academic curricula in vocational edu-
cation programs, as well as shortages of such teachers;
(4) participation in vocational education pro-
grams;
(5) academic and employment outcomes of voca-
tional education, including analyses of—
(A) the number of vocational education stu-
dents and tech-prep students who meet State
academic standards;
(B) the extent and success of integration of
academic and vocational education for students
participating in vocational education programs;
and
(C) the degree to which vocational education
is relevant to subsequent employment or partici-
pation in postsecondary education;
(6) employer involvement in, and satisfaction
with, vocational education programs;
(7) the use and impact of educational technology
and distance learning with respect to vocational edu-
cation and tech-prep programs; and
(8) the effect of performance measures, and other
measures of accountability, on the delivery of voca-
tional education services.
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(d) CONSULTATION.—
(1) IN GENERAL.—The Secretary shall consult
with the Committee on Education and the Workforce
of the House of Representatives and the Committee on
Labor and Human Resources of the Senate in the de-
sign and implementation of the assessment required
under subsection (a).
(2) REPORTS.—The Secretary shall submit to the
Committee on Education and the Workforce of the
House of Representatives, the Committee on Labor
and Human Resources of the Senate, and the Sec-
retary—
(A) an interim report regarding the assess-
ment on or before July 1, 2001; and
(B) a final report, summarizing all studies
and analyses that relate to the assessment and
that are completed after the assessment, on or be-
fore July 1, 2002.
(3) PROHIBITION.—Notwithstanding any other
provision of law or regulation, the reports required by
this subsection shall not be subject to any review out-
side of the Department of Education before their
transmittal to the Committee on Education and the
Workforce of the House of Representatives, the Com-
mittee on Labor and Human Resources of the Senate,
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and the Secretary, but the President, the Secretary,
and the independent advisory panel established under
subsection (b) may make such additional rec-
ommendations to Congress with respect to the assess-
ment as the President, the Secretary, or the panel de-
termine to be appropriate.
SEC. 165. NATIONAL RESEARCH CENTER.
(a) GENERAL AUTHORITY.—
(1) 
IN
GENERAL.—The 
Secretary, 
through
grants, contracts, or cooperative agreements, may es-
tablish 1 or more national centers in the areas of—
(A) applied research and development; and
(B) dissemination and training.
(2) CONSULTATION.—The Secretary shall consult
with the States prior to establishing 1 or more such
centers.
(3) ELIGIBLE ENTITIES.—Entities eligible to re-
ceive funds under this section are institutions of high-
er education, other public or private nonprofit orga-
nizations or agencies, and consortia of such institu-
tions, organizations, or agencies.
(b) ACTIVITIES.—
(1) IN GENERAL.—The national center or centers
shall carry out such activities as the Secretary deter-
mines to be appropriate to assist State and local re-
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HR 1385 EAS
cipients of funds under this title to achieve the pur-
pose of this title, which may include the research and
evaluation activities in such areas as—
(A) the integration of vocational and aca-
demic instruction, secondary and postsecondary
instruction;
(B) effective inservice and preservice teacher
education that assists vocational education sys-
tems;
(C) education technology and distance
learning approaches and strategies that are effec-
tive with respect to vocational education;
(D) performance measures and expected lev-
els of performance that serve to improve voca-
tional education programs and student achieve-
ment;
(E) effects of economic changes on the kinds
of knowledge and skills required for employment
or participation in postsecondary education;
(F) longitudinal studies of student achieve-
ment; and
(G) dissemination and training activities
related to the applied research and demonstra-
tion activities described in this subsection, which
may also include—
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(i) serving as a repository for informa-
tion on vocational and technological skills,
State academic standards, and related ma-
terials; and
(ii) developing and maintaining na-
tional networks of educators who facilitate
the development of vocational education sys-
tems.
(2) REPORT.—The center or centers conducting
the activities described in paragraph (1) annually
shall prepare a report of key research findings of such
center or centers and shall submit copies of the report
to the Secretary, the Secretary of Labor, and the Sec-
retary of Health and Human Services. The Secretary
shall submit that report to the Committee on Edu-
cation and the Workforce of the House of Representa-
tives, the Committee on Labor and Human Resources
of the Senate, the Library of Congress, and each eligi-
ble agency.
(c) REVIEW.—The Secretary shall—
(1) consult at least annually with the national
center or centers and with experts in education to en-
sure that the activities of the national center or cen-
ters meet the needs of vocational education programs;
and
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(2) undertake an independent review of each
award recipient under this section prior to extending
an award to such recipient beyond a 5-year period.
SEC. 166. DATA SYSTEMS.
(a) IN GENERAL.—The Secretary shall maintain a
data system to collect information about, and report on, the
condition of vocational education and on the effectiveness
of State and local programs, services, and activities carried
out under this title in order to provide the Secretary and
Congress, as well as Federal, State, local, and tribal agen-
cies, with information relevant to improvement in the qual-
ity and effectiveness of vocational education. The Secretary
annually shall report to Congress on the Secretary’s analy-
sis of performance data collected each year pursuant to this
title, including an analysis of performance data regarding
the populations described in section 124(c)(16).
(b) DATA SYSTEM.—In maintaining the data system,
the Secretary shall ensure that the data system is compat-
ible with other Federal information systems.
(c) ASSESSMENTS.—As a regular part of its assess-
ments, the National Center for Education Statistics shall
collect and report information on vocational education for
a nationally representative sample of students. Such assess-
ment may include international comparisons.
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SEC. 167. PROMOTING SCHOLAR-ATHLETE COMPETITIONS.
Section 10104 of the Elementary and Secondary Edu-
cation Act of 1965 (20 U.S.C. 8004) is amended—
(1) in subsection (a), by striking ‘‘to be held in
1995’’; and
(2) in subsection (b)—
(A) in paragraph (4), by striking ‘‘in the
summer of 1995;’’ and inserting ‘‘; and’’;
(B) in paragraph (5), by striking ‘‘in 1996
and thereafter, as well as replicate such program
internationally; and’’ and inserting ‘‘and inter-
nationally.’’; and
(C) by striking paragraph (6).
SEC. 168. DEFINITION.
In this title, the term ‘‘gender equity’’, used with re-
spect to a program, service, or activity, means a program,
service, or activity that is designed to ensure that men and
women (including single parents and displaced home-
makers) have access to opportunities to participate in voca-
tional education that prepares the men and women to enter
high-skill, high-wage careers.
Subtitle D—Authorization of
Appropriations
SEC. 171. AUTHORIZATION OF APPROPRIATIONS.
There is authorized to be appropriated to carry out
subtitle (A), and sections 163, 164, 165, and 166, such sums
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as may be necessary for fiscal year 1999 and each of the
5 succeeding fiscal years.
Subtitle E—Repeal
SEC. 181. REPEAL.
(a) REPEAL.—The Carl D. Perkins Vocational and
Applied Technology Education Act (20 U.S.C. 2301 et seq.)
is repealed.
(b) REFERENCES TO CARL D. PERKINS VOCATIONAL
AND APPLIED TECHNOLOGY EDUCATION ACT.—
(1) IMMIGRATION AND NATIONALITY ACT.—Sec-
tion 245A(h)(4)(C) of the Immigration and National-
ity Act (8 U.S.C. 1255a(h)(4)(C)) is amended by
striking ‘‘Vocational Education Act of 1963’’ and in-
serting ‘‘Carl D. Perkins Vocational and Applied
Technology Education Act of 1998’’.
(2) NATIONAL DEFENSE AUTHORIZATION ACT.—
Section 4461 of the National Defense Authorization
Act for Fiscal Year 1993 (10 U.S.C. 1143 note) is
amended—
(A) by striking paragraph (4); and
(B) by redesignating paragraphs (5) and
(6) as paragraphs (4) and (5), respectively.
(3) ELEMENTARY
AND
SECONDARY
EDUCATION
ACT OF 1965.—The Elementary and Secondary Edu-
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cation Act of 1965 (20 U.S.C. 6301 et seq.) is amend-
ed—
(A) in section 1114(b)(2)(C)(v) (20 U.S.C.
6314(b)(2)(C)(v)), by striking ‘‘Carl D. Perkins
Vocational and Applied Technology Education
Act,’’ and inserting ‘‘Carl D. Perkins Vocational
and Applied Technology Education Act of 1998’’;
(B) in section 9115(b)(5) (20 U.S.C.
7815(b)(5)), by striking ‘‘Carl D. Perkins Voca-
tional and Applied Technology Education Act’’
and inserting ‘‘Carl D. Perkins Vocational and
Applied Technology Education Act of 1998’’;
(C) in section 14302(a)(2) (20 U.S.C.
8852(a)(2))—
(i) by striking subparagraph (C); and
(ii) by redesignating subparagraphs
(D), (E), and (F) as subparagraphs (C),
(D), and (E), respectively; and
(D) in the matter preceding subparagraph
(A) 
of 
section 
14307(a)(1) 
(20 
U.S.C.
8857(a)(1)), by striking ‘‘Carl D. Perkins Voca-
tional and Applied Technology Education Act’’
and inserting ‘‘Carl D. Perkins Vocational and
Applied Technology Education Act of 1998’’.
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(4) EQUITY IN EDUCATIONAL LAND-GRANT STA-
TUS ACT OF 1994.—Section 533(c)(4)(A) of the Equity
in Educational Land-Grant Status Act of 1994 (7
U.S.C. 301 note) is amended by striking ‘‘(20 U.S.C.
2397h(3)’’ and inserting ‘‘, as such section was in ef-
fect on the day preceding the date of enactment of the
Carl D. Perkins Vocational and Applied Technology
Education Act of 1998’’.
(5) IMPROVING
AMERICA’S
SCHOOLS
ACT
OF
1994.—Section 563 of the Improving America’s
Schools Act of 1994 (20 U.S.C. 6301 note) is amended
by striking ‘‘the date of enactment of an Act reauthor-
izing the Carl D. Perkins Vocational and Applied
Technology Education Act (20 U.S.C. 2301 et seq.)’’
and inserting ‘‘July 1, 1999’’.
(6) INTERNAL REVENUE CODE OF 1986.—Section
135(c)(3)(B) of the Internal Revenue Code of 1986 (26
U.S.C. 135(c)(3)(B)) is amended—
(A) by striking ‘‘subparagraph (C) or (D) of
section 521(3) of the Carl D. Perkins Vocational
Education Act’’ and inserting ‘‘subparagraph
(C) or (D) of section 2(3) of the Workforce In-
vestment Partnership Act of 1998’’; and
(B) by striking ‘‘any State (as defined in
section 521(27) of such Act)’’ and inserting ‘‘any
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State or outlying area (as the terms ‘State’ and
‘outlying area’ are defined in section 2 of such
Act)’’.
(7) APPALACHIAN REGIONAL DEVELOPMENT ACT
OF 1965.—Section 214(c) of the Appalachian Regional
Development Act of 1965 (40 U.S.C. App. 214(c)) (as
amended by subsection (c)(5)) is further amended by
striking ‘‘Carl D. Perkins Vocational Education Act’’
and inserting ‘‘Carl D. Perkins Vocational and Ap-
plied Technology Education Act of 1998’’.
(8) VOCATIONAL
EDUCATION
AMENDMENTS
OF
1968.—Section 104 of the Vocational Education
Amendments of 1968 (82 Stat. 1091) is amended by
striking ‘‘section 3 of the Carl D. Perkins Vocational
Education Act’’ and inserting ‘‘the Carl D. Perkins
Vocational and Applied Technology Education Act of
1998’’.
(9) OLDER AMERICANS ACT OF 1965.—The Older
Americans Act of 1965 (42 U.S.C. 3001 et seq.) is
amended—
(A) in section 502(b)(1)(N)(i) (42 U.S.C.
3056(b)(1)(N)(i)), by striking ‘‘or the Carl D.
Perkins Vocational and Applied Technology
Education Act (20 U.S.C. 2301 et seq.)’’; and
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(B) 
in 
section 
505(d)(2) 
(42 
U.S.C.
3056c(d)(2))—
(i) by striking ‘‘employment and train-
ing programs’’ and inserting ‘‘workforce in-
vestment activities’’; and
(ii) by striking ‘‘the Carl D. Perkins
Vocational and Applied Technology Edu-
cation Act (20 U.S.C. 2301 et seq.)’’ and in-
serting ‘‘the Carl D. Perkins Vocational and
Applied 
Technology 
Education 
Act 
of
1998’’.
TITLE II—ADULT EDUCATION
AND LITERACY
SEC. 201. SHORT TITLE.
This title may be cited as the ‘‘Adult Education and
Literacy Act’’.
SEC. 202. FINDINGS AND PURPOSE.
(a) FINDINGS.—Congress finds that—
(1) the National Adult Literacy Survey and
other studies have found that more than one-fifth of
American adults demonstrate very low literacy skills
that make it difficult for the adults to be economically
self-sufficient, much less enter high-skill, high-wage
jobs;
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(2) data from the National Adult Literacy Sur-
vey show that adults with very low levels of literacy
are 10 times as likely to be poor as adults with high
levels of literacy; and
(3) our Nation’s well-being is dependent on the
knowledge and skills of all of our Nation’s citizens.
(b) PURPOSE.—It is the purpose of this title to create
a partnership among the Federal Government, States, and
localities to help provide for adult education and literacy
services so that adults who need such services, will, as ap-
propriate, be able to—
(1) become literate and obtain the knowledge and
skills needed to compete in a global economy;
(2) complete a secondary school education; and
(3) have the education skills necessary to support
the educational development of their children.
Subtitle A—Adult Education and
Literacy Programs
CHAPTER 1—FEDERAL PROVISIONS
SEC. 211. RESERVATION; GRANTS TO STATES; ALLOTMENTS.
(a) RESERVATION OF FUNDS FOR NATIONAL LEADER-
SHIP ACTIVITIES.—From the amount appropriated for any
fiscal year under section 246, the Secretary shall reserve—
(1) 1.5 percent to carry out section 213;
(2) 2 percent to carry out section 243; and
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(3) 1.5 percent to carry out section 245.
(b) GRANTS TO STATES.—From the sum appropriated
under section 246 and not reserved under subsection (a) for
a fiscal year, the Secretary shall award a grant to each
eligible agency having a State plan approved under section
224 in an amount equal to the sum of the initial allotment
under subsection (c)(1) and the additional allotment under
subsection (c)(2) for the eligible agency for the fiscal year
to enable the eligible agency to carry out the activities as-
sisted under this subtitle.
(c) ALLOTMENTS.—
(1) INITIAL ALLOTMENTS.—From the sum ap-
propriated under section 246 and not reserved under
subsection (a) for a fiscal year, the Secretary first
shall allot to each eligible agency having a State plan
approved under section 224 the following amounts:
(A) $100,000 in the case of an eligible agen-
cy serving the United States Virgin Islands,
Guam, American Samoa, the Commonwealth of
the Northern Mariana Islands, the Republic of
the Marshall Islands, the Federated States of Mi-
cronesia, and the Republic of Palau.
(B) $250,000, in the case of any other eligi-
ble agency.
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(2) ADDITIONAL ALLOTMENTS.—From the sum
appropriated under section 246, not reserved under
subsection (a), and not allotted under paragraph (1),
for any fiscal year, the Secretary shall allot to each
eligible agency an amount that bears the same rela-
tionship to such sum as the number of qualifying
adults in the State or outlying area served by the eli-
gible agency bears to the number of such adults in all
States and outlying areas.
(d) QUALIFYING ADULT.—For the purposes of this sub-
section, the term ‘‘qualifying adult’’ means an adult who—
(1) is at least 16 years of age;
(2) is beyond the age of compulsory school at-
tendance under the law of the State or outlying area;
(3) does not possess a secondary school diploma
or its recognized equivalent; and
(4) is not enrolled in secondary school.
(e) SPECIAL RULE.—
(1) IN GENERAL.—From amounts made avail-
able under subsection (c) for the Republic of the Mar-
shall Islands, the Federated States of Micronesia, and
the Republic of Palau, the Secretary shall award
grants to Guam, American Samoa, the Common-
wealth of the Northern Mariana Islands, the Republic
of the Marshall Islands, the Federated States of Mi-
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cronesia, or the Republic of Palau to carry out activi-
ties described in this part in accordance with the pro-
visions of this subtitle that the Secretary determines
are not inconsistent with this subsection.
(2) AWARD BASIS.—The Secretary shall award
grants pursuant to paragraph (1) on a competitive
basis and pursuant to recommendations from the Pa-
cific Region Educational Laboratory in Honolulu,
Hawaii.
(3) TERMINATION
OF
ELIGIBILITY.—Notwith-
standing any other provision of law, the Republic of
the Marshall Islands, the Federated States of Microne-
sia, and the Republic of Palau shall not receive any
funds under this part for any fiscal year that begins
after September 30, 2004.
(4) ADMINISTRATIVE
COSTS.—The Secretary
may provide not more than 5 percent of the funds
made available for grants under this subsection to
pay the administrative costs of the Pacific Region
Educational Laboratory regarding activities assisted
under this subsection.
(f) MAINTENANCE OF EFFORT.—
(1) IN GENERAL.—An eligible agency may re-
ceive a grant under this subtitle for any fiscal year
only if the Secretary finds that the amount expended
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by the State for adult education and literacy, in the
second fiscal year preceding the fiscal year for which
the determination is made, was not less than 90 per-
cent of the amount expended for adult education and
literacy in the third fiscal year preceding the fiscal
year for which the determination is made.
(2) WAIVER.—The Secretary may waive the re-
quirements of this subsection for 1 fiscal year only if
the Secretary determines that such a waiver is equi-
table due to exceptional or uncontrollable cir-
cumstances, such as a natural disaster or an unfore-
seen and precipitous decline in the financial resources
of the State.
(g) REALLOTMENT.—If the Secretary determines that
any amount of a State’s allotment under this section for
any fiscal year will not be required for carrying out the
program for which such amount has been allotted, the Sec-
retary shall make such amount available for reallotment to
1 or more States on the basis that the Secretary determines
would best serve the purpose of this title.
SEC. 
212. 
PERFORMANCE 
MEASURES 
AND 
EXPECTED
LEVELS OF PERFORMANCE.
(a) PERFORMANCE MEASURES.—The Secretary shall
publish the following performance measures to assess the
progress of each eligible agency:
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(1) Demonstrated improvements in literacy skill
levels in reading, writing and speaking the English
language, numeracy, and problem-solving.
(2) Attainment of secondary school diplomas or
their recognized equivalent.
(3) Placement in, retention in, or completion of,
postsecondary education, training, or unsubsidized
employment.
(b) EXPECTED LEVELS OF PERFORMANCE.—In devel-
oping a State plan, each eligible agency shall negotiate with
the Secretary the expected levels of performance for the per-
formance measures described in subsection (a).
SEC. 213. NATIONAL LEADERSHIP ACTIVITIES.
(a) AUTHORITY.—From the amount reserved under
section 211(a)(1) for any fiscal year, the Secretary may es-
tablish a program of national leadership and evaluation ac-
tivities to enhance the quality of adult education and lit-
eracy nationwide.
(b) METHOD OF FUNDING.—The Secretary may carry
out national leadership and evaluation activities directly
or through grants, contracts, or cooperative agreements.
(c) USES OF FUNDS.—Funds made available to carry
out this section shall be used for—
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(1) research, such as estimating the number of
adults functioning at the lowest levels of literacy pro-
ficiency;
(2) demonstration of model and innovative pro-
grams, such as the development of models for basic
skill certificates, identification of effective strategies
for working with adults with learning disabilities and
with individuals with limited English proficiency
who are adults, and workplace literacy programs;
(3) dissemination, such as dissemination of in-
formation regarding promising practices resulting
from federally funded demonstration programs;
(4) evaluations and assessments, such as periodic
independent evaluations of activities assisted under
this subtitle and assessments of the condition and
progress of literacy in the United States;
(5) efforts to support capacity building at the
State and local levels, such as technical assistance in
program planning, assessment, evaluation, and mon-
itoring of activities under this subtitle;
(6) data collection, such as improvement of both
local and State data systems through technical assist-
ance and development of model performance data col-
lection systems;
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(7) professional development, such as technical
assistance activities to advance effective training
practices, identify exemplary professional develop-
ment projects, and disseminate new findings in adult
education training;
(8) technical assistance, such as endeavors that
aid distance learning, and promote and improve the
use of technology in the classroom; or
(9) other activities designed to enhance the qual-
ity of adult education and literacy nationwide.
CHAPTER 2—STATE PROVISIONS
SEC. 221. STATE ADMINISTRATION.
(a) IN GENERAL.—Each eligible agency shall be re-
sponsible for the State administration of activities under
this subtitle, including—
(1) the development, submission, and implemen-
tation of the State plan;
(2) consultation with other appropriate agencies,
groups, and individuals that are involved in, or in-
terested in, the development and implementation of
activities assisted under this subtitle; and
(3) coordination and nonduplication with other
Federal and State education, training, corrections,
public housing, and social service programs.
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(b) STATE-IMPOSED REQUIREMENTS.—Whenever a
State imposes any rule or policy relating to the administra-
tion and operation of activities funded under this subtitle
(including any rule or policy based on State interpretation
of any Federal law, regulation, or guideline), the State shall
identify the rule or policy as a State-imposed requirement.
SEC. 222. STATE DISTRIBUTION OF FUNDS; STATE SHARE.
(a) STATE DISTRIBUTION OF FUNDS.—Each eligible
agency receiving a grant under this subtitle for a fiscal
year—
(1) shall use not less than 80 percent of the grant
funds to carry out section 225 and to award grants
and contracts under section 231, of which not more
than 10 percent of the 80 percent shall be available
to carry out section 225;
(2) shall use not more than 15 percent of the
grant funds to carry out State leadership activities
under section 223; and
(3) shall use not more than 5 percent of the
grant funds, or $80,000, whichever is greater, for ad-
ministrative expenses of the eligible agency.
(b) STATE SHARE REQUIREMENT.—
(1) IN GENERAL.—In order to receive a grant
from the Secretary under section 211(b) each eligible
agency shall provide an amount equal to 25 percent
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of the total amount of funds expended for adult edu-
cation in the State or outlying area, except that the
Secretary may decrease the amount of funds required
under this subsection for an eligible agency serving an
outlying area.
(2) STATE’S SHARE.—An eligible agency’s funds
required under paragraph (1) may be in cash or in
kind, fairly evaluated, and shall include only non-
Federal funds that are used for adult education and
literacy activities in a manner that is consistent with
the purpose of this subtitle.
SEC. 223. STATE LEADERSHIP ACTIVITIES.
(a) IN GENERAL.—Each eligible agency shall use funds
made available under section 222(a)(2) for 1 or more of
the following activities:
(1) Professional development and training, in-
cluding training in the use of software and
technology.
(2) Developing and disseminating curricula for
adult education and literacy activities.
(3) Monitoring and evaluating the quality of,
and improvement in, services and activities conducted
with assistance under this subtitle.
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(4) Establishing challenging performance meas-
ures and levels of performance for literacy proficiency
in order to assess program quality and improvement.
(5) Integration of literacy instruction and occu-
pational skill training, and promoting linkages with
employers.
(6) Linkages with postsecondary institutions.
(7) Supporting State or regional networks of lit-
eracy resource centers.
(8) Other activities of statewide significance that
promote the purpose of this subtitle.
(b) COLLABORATION.—In carrying out this section, el-
igible agencies shall collaborate where possible and avoid
duplicating efforts in order to maximize the impact of the
activities described in subsection (a).
SEC. 224. STATE PLAN.
(a) 3-YEAR PLANS.—
(1) IN GENERAL.—Each eligible agency desiring
a grant under this subtitle for any fiscal year shall
submit to, or have on file with, the Secretary a 3-year
State plan.
(2) COMPREHENSIVE PLAN OR APPLICATION.—
The eligible agency may submit the State plan as
part of a comprehensive plan or application for Fed-
eral education assistance.
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(b) PLAN CONTENTS.—In developing the State plan,
and any revisions to the State plan, the eligible agency shall
include in the State plan or revisions—
(1) an objective assessment of the needs of indi-
viduals in the State for adult education and literacy
activities, including individuals most in need or
hardest to serve, such as educationally disadvantaged
adults, immigrants, individuals with limited English
proficiency, incarcerated individuals, homeless indi-
viduals, recipients of public assistance, and individ-
uals with disabilities;
(2) a description of the adult education and lit-
eracy activities that will be carried out with any
funds received under this subtitle;
(3) a description of how the eligible agency will
evaluate annually the effectiveness of the adult edu-
cation and literacy activities based on the perform-
ance measures described in section 212;
(4) a description of how the eligible agency will
ensure that the data reported to the eligible agency
from eligible providers under this subtitle and the
data the eligible agency reports to the Secretary are
complete, accurate, and reliable;
(5) a description of the performance measures re-
quired under section 212(a) and how such perform-
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ance measures and the expected levels of performance
will ensure improvement of adult education and lit-
eracy activities in the State or outlying area;
(6) an assurance that the funds received under
this subtitle will not be expended for any purpose
other than for activities under this subtitle;
(7) a description of how the eligible agency will
fund local activities in accordance with the priorities
described in section 242(a);
(8) a description of how the eligible agency will
determine which eligible providers are eligible for
funding in accordance with the preferences described
in section 242(b);
(9) a description of how funds will be used for
State leadership activities, which activities may in-
clude professional development and training, instruc-
tional technology, and management technology;
(10) an assurance that the eligible agency will
expend the funds under this subtitle only in a manner
consistent with fiscal requirement in section 241;
(11) a description of the process that will be used
for public participation and comment with respect to
the State plan;
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(12) a description of how the eligible agency will
develop program strategies for populations that in-
clude, at a minimum—
(A) low-income students;
(B) individuals with disabilities;
(C) single parents and displaced home-
makers; and
(D) individuals with multiple barriers to
educational enhancement, including individuals
with limited English proficiency;
(13) a description of the measures that will be
taken by the eligible agency to assure coordination of
and avoid duplication among—
(A) adult education activities authorized
under this subtitle;
(B) activities authorized under title III;
(C) programs authorized under the Wagner-
Peyser Act (29 U.S.C. 49 et seq.), title I of the
Rehabilitation Act of 1973 (29 U.S.C. 720 et
seq.), part A of title IV of the Social Security
Act (42 U.S.C. 601 et seq.), section 6(d) of the
Food Stamp Act of 1977 (7 U.S.C. 2015(d)), and
title V of the Older Americans Act of 1965 (42
U.S.C. 3056 et seq.);
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(D) a work program authorized under sec-
tion 6(o) of the Food Stamp Act of 1977 (7
U.S.C. 2015(o));
(E) activities authorized under chapter 2 of
title II of the Trade Act of 1974 (19 U.S.C. 2271
et seq.);
(F) activities authorized under chapter 41
of title 38, United States Code;
(G) training activities carried out by the
Department of Housing and Urban Develop-
ment; and
(H) programs authorized under State un-
employment compensation laws in accordance
with applicable Federal law; and
(14) the description and information specified in
paragraphs (9) and (17) of section 304(b).
(c) PLAN REVISIONS.—When changes in conditions or
other factors require substantial revisions to an approved
State plan, the eligible agency shall submit a revision to
the State plan to the Secretary.
(d) CONSULTATION.—The eligible agency shall—
(1) submit the State plan, and any revisions to
the State plan, to the Governor of the State for review
and comment; and
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(2) ensure that any comments by the Governor
regarding the State plan, and any revision to the
State plan, are submitted to the Secretary.
(e) PLAN APPROVAL.—
(1) IN GENERAL.—The Secretary shall approve a
State plan, or a revision to an approved State plan,
only if the Secretary determines that—
(A) the State plan, or revision, respectively,
meets the requirements of this section; and
(B) the State’s performance measures and
expected levels of performance under section 212
are sufficiently rigorous to meet the purpose of
this title.
(2) DISAPPROVAL.—The Secretary shall not fi-
nally disapprove a State plan, except after giving the
eligible agency notice and an opportunity for a
hearing.
(3) PEER REVIEW.—The Secretary shall establish
a peer review process to make recommendations re-
garding the approval of State plans.
SEC. 225. PROGRAMS FOR CORRECTIONS EDUCATION AND
OTHER INSTITUTIONALIZED INDIVIDUALS.
(a) PROGRAM AUTHORIZED.—From funds made avail-
able under section 222(a)(1) for a fiscal year, each eligible
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agency shall carry out corrections education or education
for other institutionalized individuals.
(b) USES OF FUNDS.—The funds described in sub-
section (a) shall be used for the cost of educational programs
for criminal offenders in corrections institutions and for
other institutionalized individuals, including academic
programs for—
(1) basic education;
(2) special education programs as determined by
the State;
(3) bilingual programs, or English as a second
language programs; and
(4) secondary school credit programs.
(c) DEFINITION OF CRIMINAL OFFENDER.—
(1) CRIMINAL OFFENDER.—The term ‘‘criminal
offender’’ means any individual who is charged with
or convicted of any criminal offense.
(2) CORRECTIONAL
INSTITUTION.—The term
‘‘correctional institution’’ means any—
(A) prison;
(B) jail;
(C) reformatory;
(D) work farm;
(E) detention center; or
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(F) halfway house, community-based reha-
bilitation center, or any other similar institution
designed for the confinement or rehabilitation of
criminal offenders.
CHAPTER 3—LOCAL PROVISIONS
SEC. 
231. 
GRANTS 
AND 
CONTRACTS 
FOR 
ELIGIBLE
PROVIDERS.
(a) GRANTS.—From funds made available under sec-
tion 222(a)(1), each eligible agency shall award multiyear
grants or contracts to eligible providers within the State
to enable the eligible providers to develop, implement, and
improve adult education and literacy activities within the
State.
(b) SPECIAL RULE.—Each eligible agency receiving
funds under this subtitle shall ensure that all eligible pro-
viders have direct and equitable access to apply for grants
or contracts under this section.
(c) REQUIRED LOCAL ACTIVITIES.—Each eligible pro-
vider receiving a grant or contract under this subtitle shall
establish programs that provide instruction or services that
meet the purpose described in section 202(b), such as—
(1) adult education and literacy services; or
(2) English literacy programs.
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SEC. 232. LOCAL APPLICATION.
Each eligible provider desiring a grant or contract
under this subtitle shall submit an application to the eligi-
ble agency containing such information and assurances as
the eligible agency may require, including—
(1) a description of how funds awarded under
this subtitle will be spent;
(2) how the expected levels of performance of the
eligible provider with respect to participant recruit-
ment, retention, and performance measures described
in section 212, will be met and reported to the eligible
agency; and
(3) a description of any cooperative arrange-
ments the eligible provider has with other agencies,
institutions, or organizations for the delivery of adult
education and literacy programs.
SEC. 233. LOCAL ADMINISTRATIVE COST LIMITS.
(a) IN GENERAL.—Subject to subsection (b), of the sum
that is made available under this subtitle to an eligible
provider—
(1) not less than 95 percent shall be expended for
carrying out adult education and literacy activities;
and
(2) the remaining amount, not to exceed 5 per-
cent, shall be used for planning, administration, per-
sonnel development, and interagency coordination.
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(b) SPECIAL RULE.—In cases where the cost limits de-
scribed in subsection (a) are too restrictive to allow for ade-
quate planning, administration, personnel development,
and interagency coordination, the eligible provider shall ne-
gotiate with the eligible agency in order to determine an
adequate level of funds to be used for noninstructional pur-
poses.
CHAPTER 4—GENERAL PROVISIONS
SEC. 241. ADMINISTRATIVE PROVISIONS.
(a) SUPPLEMENT
NOT
SUPPLANT.—Funds made
available for adult education and literacy activities under
this subtitle shall supplement and not supplant other State
or local public funds expended for adult education and lit-
eracy activities.
(b) REPRESENTATION.—The eligible agency shall pro-
vide representation to the statewide partnership.
SEC. 242. PRIORITIES AND PREFERENCES.
(a) PRIORITIES.—Each eligible agency and eligible
provider receiving assistance under this subtitle shall give
priority in using the assistance to adult education and lit-
eracy activities that—
(1) are built on a strong foundation of research
and effective educational practice;
(2) effectively employ advances in technology, as
appropriate, including the use of computers;
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(3) provide learning in real life contexts to en-
sure that an individual has the skills needed to com-
pete in a global economy and exercise the rights and
responsibilities of citizenship;
(4) are staffed by well-trained instructors, coun-
selors, and administrators;
(5) are of sufficient intensity and duration for
participants to achieve substantial learning gains,
such as by earning a basic skills certificate that re-
flects 
skills 
acquisition 
and 
has 
meaning 
to
employers;
(6) establish measurable performance levels for
participant outcomes, such as levels of literacy
achieved and attainment of a secondary school di-
ploma or its recognized equivalent, that are tied to
challenging State performance levels for literacy
proficiency;
(7) coordinate with other available resources in
the community, such as by establishing strong links
with elementary schools and secondary schools, post-
secondary institutions, 1-stop customer service cen-
ters, job training programs, and social service
agencies;
(8) offer flexible schedules and support services
(such as child care and transportation) that are nec-
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essary to enable individuals, including individuals
with disabilities or other special needs, to attend and
complete programs; and
(9) maintain a high-quality information man-
agement system that has the capacity to report client
outcomes and to monitor program performance
against the State performance measures.
(b) PREFERENCES.—In determining which eligible
providers will receive funds under this subtitle for a fiscal
year, each eligible agency receiving a grant under this sub-
title, in addition to addressing the priorities described in
subsection (a), shall—
(1) give preference to eligible providers that the
eligible agency determines serve—
(A) local areas with high concentrations of
individuals in poverty or with low levels of lit-
eracy (including English language proficiency);
or
(B) local communities that have a dem-
onstrated need for additional English as a sec-
ond language programs; and
(2) consider—
(A) the results, if any, of the evaluations re-
quired under section 244(a); and
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(B) the degree to which the eligible provider
will coordinate with and utilize other literacy
and social services available in the community.
SEC. 243. INCENTIVE GRANTS.
(a) IN GENERAL.—The Secretary may make grants to
States that exceed the expected levels of performance for per-
formance measures established under this Act.
(b) USE OF FUNDS.—A State that receives an incen-
tive grant under this section shall use the funds made avail-
able through the grant to carry out innovative vocational
education, adult education and literacy, or workforce in-
vestment programs as determined by the State.
SEC. 244. EVALUATION, IMPROVEMENT, AND ACCOUNT-
ABILITY.
(a) LOCAL EVALUATION.—Each eligible agency shall
biennially evaluate the adult education and literacy activi-
ties of each eligible provider that receives a grant or con-
tract under this subtitle, using the performance measures
established under section 212.
(b) IMPROVEMENT ACTIVITIES.—If, after reviewing the
evaluation, an eligible agency determines that an eligible
provider is not making substantial progress in achieving
the purpose of this subtitle, the eligible agency may work
jointly with the eligible provider to develop an improvement
plan. If, after not more than 2 years of implementation of
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the improvement plan, the eligible agency determines that
the eligible provider is not making substantial progress, the
eligible agency shall take whatever corrective action the eli-
gible agency deems necessary, which may include termi-
nation of funding or the implementation of alternative serv-
ice arrangements, consistent with State law. The eligible
agency shall take corrective action under the preceding sen-
tence only after the eligible agency has provided technical
assistance to the eligible provider and shall ensure, to the
extent practicable, that any corrective action the eligible
agency takes allows for continued services to and activities
for the individuals served by the eligible provider.
(c) STATE REPORT.—
(1) IN GENERAL.—The eligible agency shall re-
port annually to the Secretary regarding the quality
and effectiveness of the adult education and literacy
activities funded through the eligible agency’s grants
or contracts under this subtitle, based on the perform-
ance measures and expected levels of performance in-
cluded in the State plan.
(2) INFORMATION.—The eligible agency shall in-
clude in the reports such information, in such form,
as the Secretary may require in order to ensure the
collection of uniform national data.
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(3) AVAILABILITY.—The eligible agency shall
make available to the public the annual report under
this subsection.
(d) TECHNICAL ASSISTANCE.—If the Secretary deter-
mines that the eligible agency is not properly implementing
the eligible agency’s responsibilities under subsection (b), or
is not making substantial progress in meeting the purpose
of this subtitle, based on the performance measures and ex-
pected levels of performance included in the eligible agency’s
State plan, the Secretary shall work with the eligible agency
to implement improvement activities.
(e) WITHHOLDING OF FEDERAL FUNDS.—If, not ear-
lier than 2 years after implementing activities described in
subsection (d), the Secretary determines that the eligible
agency is not making sufficient progress, based on the eligi-
ble agency’s performance measures and expected levels of
performance, the Secretary, after notice and opportunity for
a hearing, shall withhold from the eligible agency all, or
a portion, of the eligible agency’s grant under this subtitle.
The Secretary may use funds withheld under the preceding
sentence to provide, through alternative arrangements, serv-
ices and activities within the State to meet the purpose of
this title.
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SEC. 245. NATIONAL INSTITUTE FOR LITERACY.
(a) PURPOSE.—The purpose of this section is to estab-
lish a National Institute for Literacy that—
(1) provides national leadership regarding
literacy;
(2) coordinates literacy services and policy; and
(3) is a national resource for adult education
and literacy, by providing the best and most current
information available and supporting the creation of
new ways to offer improved literacy services.
(b) ESTABLISHMENT.—
(1) IN GENERAL.—There shall be a National In-
stitute for Literacy (in this section referred to as the
‘‘Institute’’). The Institute shall be administered
under the terms of an interagency agreement entered
into by the Secretary with the Secretary of Labor and
the Secretary of Health and Human Services (in this
section referred to as the ‘‘Interagency Group’’). The
Secretary may include in the Institute any research
and development center, institute, or clearinghouse es-
tablished within the Department of Education the
purpose of which is determined by the Secretary to be
related to the purpose of the Institute.
(2) 
RECOMMENDATIONS.—The 
Interagency
Group shall consider the recommendations of the Na-
tional Institute for Literacy Advisory Board (in this
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section referred to as the ‘‘Board’’) established under
subsection (e) in planning the goals of the Institute
and in the implementation of any programs to
achieve the goals. If the Board’s recommendations are
not followed, the Interagency Group shall provide a
written explanation to the Board concerning actions
the Interagency Group takes that are inconsistent
with the Board’s recommendations, including the rea-
sons for not following the Board’s recommendations
with respect to the actions. The Board may also re-
quest a meeting of the Interagency Group to discuss
the Board’s recommendations.
(3) DAILY OPERATIONS.—The daily operations of
the Institute shall be administered by the Director of
the Institute.
(c) DUTIES.—
(1) IN GENERAL.—In order to provide leadership
for the improvement and expansion of the system for
delivery of literacy services, the Institute is authorized
to—
(A) establish a national electronic data base
of information that disseminates information to
the broadest possible audience within the literacy
and basic skills field, and that includes—
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(i) effective practices in the provision
of literacy and basic skills instruction, in-
cluding the integration of such instruction
with occupational skills training;
(ii) public and private literacy and
basic skills programs and Federal, State,
and local policies affecting the provision of
literacy services at the national, State, and
local levels;
(iii) opportunities for technical assist-
ance, meetings, conferences, and other op-
portunities that lead to the improvement of
literacy and basic skills services; and
(iv) a communication network for lit-
eracy programs, providers, social service
agencies, and students;
(B) coordinate support for the provision of
literacy and basic skills services across Federal
agencies and at the State and local levels;
(C) coordinate the support of research and
development on literacy and basic skills for
adults across Federal agencies, especially with
the Office of Educational Research and Improve-
ment in the Department of Education, and carry
out basic and applied research and development
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on topics that are not being investigated by other
organizations or agencies;
(D) collect and disseminate information on
methods of advancing literacy;
(E) provide policy and technical assistance
to Federal, State, and local entities for the im-
provement of policy and programs relating to
literacy;
(F) fund a network of State or regional
adult literacy resource centers to assist State and
local public and private nonprofit efforts to im-
prove literacy by—
(i) encouraging the coordination of lit-
eracy services; and
(ii) serving as a link between the Insti-
tute and providers of adult education and
literacy activities for the purpose of sharing
information, data, research, expertise, and
literacy resources; and
(G) undertake other activities that lead to
the improvement of the Nation’s literacy delivery
system and that complement other such efforts
being undertaken by public and private agencies
and organizations.
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(2) GRANTS, 
CONTRACTS, 
AND
COOPERATIVE
AGREEMENTS.—The Institute may award grants to,
or enter into contracts or cooperative agreements
with, individuals, public or private institutions,
agencies, organizations, or consortia of such institu-
tions, agencies, or organizations to carry out the ac-
tivities of the Institute. Such grants, contracts, or
agreements shall be subject to the laws and regula-
tions that generally apply to grants, contracts, or
agreements entered into by Federal agencies.
(d) LITERACY LEADERSHIP.—
(1) IN GENERAL.—The Institute may, in con-
sultation with the Board, award fellowships, with
such stipends and allowances that the Director con-
siders necessary, to outstanding individuals pursuing
careers in adult education or literacy in the areas of
instruction, management, research, or innovation.
(2) FELLOWSHIPS.—Fellowships awarded under
this subsection shall be used, under the auspices of the
Institute, to engage in research, education, training,
technical assistance, or other activities to advance the
field of adult education or literacy, including the
training of volunteer literacy providers at the na-
tional, State, or local level.
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(3) INTERNSHIPS.—The Institute, in consulta-
tion with the Board, is authorized to award paid and
unpaid internships to individuals seeking to assist in
carrying out the Institute’s purpose and to accept as-
sistance from volunteers.
(e) NATIONAL INSTITUTE FOR LITERACY ADVISORY
BOARD.—
(1) ESTABLISHMENT.—
(A) IN
GENERAL.—There shall be a Na-
tional Institute for Literacy Advisory Board,
which shall consist of 10 individuals appointed
by the President with the advice and consent of
the Senate.
(B) COMPOSITION.—The Board shall com-
prise individuals who are not otherwise officers
or employees of the Federal Government and who
are representative of such entities as—
(i) literacy organizations and provid-
ers of literacy services, including nonprofit
providers, providers of English as a second
language programs and services, social serv-
ice organizations, and eligible providers re-
ceiving assistance under this subtitle;
(ii) businesses that have demonstrated
interest in literacy programs;
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(iii) literacy students, including lit-
eracy students with disabilities;
(iv) experts in the area of literacy
research;
(v) State and local governments;
(vi) State Directors of adult education;
and
(vii) labor organizations.
(2) DUTIES.—The Board shall—
(A) make recommendations concerning the
appointment of the Director and staff of the In-
stitute; and
(B) provide independent advice on the oper-
ation of the Institute.
(3) APPOINTMENTS.—
(A) IN
GENERAL.—Appointments to the
Board made after the date of enactment of the
Workforce Investment Partnership Act shall be
for 3-year terms, except that the initial terms for
members may be established at 1, 2, or 3 years
in order to establish a rotation in which 1⁄3 of
the members are selected each year.
(B) VACANCIES.—Any member appointed to
fill a vacancy occurring before the expiration of
the term for which the member’s predecessor was
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appointed shall be appointed only for the re-
mainder of that term. A member may serve after
the expiration of that member’s term until a suc-
cessor has taken office.
(4) OFFICERS.—The Chairperson and Vice
Chairperson of the Board shall be elected by the mem-
bers.
(5) MEETINGS.—The Board shall meet at the call
of the Chairperson or a majority of its members.
(f) GIFTS, BEQUESTS, AND DEVISES.—
(1) IN GENERAL.—The Institute may accept, ad-
minister, and use gifts or donations of services,
money, or property, whether real or personal, tangible
or intangible.
(2) RULES.—The Board shall establish written
rules setting forth the criteria to be used by the Insti-
tute in determining whether the acceptance of con-
tributions of services, money, or property whether real
or personal, tangible or intangible, would reflect unfa-
vorably upon the ability of the Institute or any em-
ployee to carry out its responsibilities or official du-
ties in a fair and objective manner, or would com-
promise the integrity or the appearance of the integ-
rity of its programs or any official involved in those
programs.
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(g) MAILS.—The Board and the Institute may use the
United States mails in the same manner and under the
same conditions as other departments and agencies of the
United States.
(h) STAFF.—The Interagency Group, after considering
recommendations made by the Board, shall appoint and fix
the pay of a Director.
(i) APPLICABILITY
OF
CERTAIN
CIVIL
SERVICE
LAWS.—The Director and staff of the Institute may be ap-
pointed without regard to the provisions of title 5, United
States Code, governing appointments in the competitive
service, and may be paid without regard to the provisions
of chapter 51 and subchapter III of chapter 53 of that title
relating to classification and General Schedule pay rates,
except that an individual so appointed may not receive pay
in excess of the annual rate of basic pay payable for level
IV of the Executive Schedule.
(j) EXPERTS AND CONSULTANTS.—The Institute may
procure temporary and intermittent services under section
3109(b) of title 5, United States Code.
(k) REPORT.—The Institute shall submit a biennial re-
port to the Interagency Group and Congress.
(l) NONDUPLICATION.—The Institute shall not dupli-
cate any functions carried out by the Secretary, the Sec-
retary of Labor, or the Secretary of Health and Human
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Services under this subtitle. This subsection shall not be
construed to prohibit the Secretaries from delegating such
functions to the Institute.
(m) FUNDING.—Any amounts appropriated to the Sec-
retary, the Secretary of Labor, the Secretary of Health and
Human Services, or any other department that participates
in the Institute for purposes that the Institute is authorized
to perform under this section may be provided to the Insti-
tute for such purposes.
SEC. 246. AUTHORIZATION OF APPROPRIATIONS.
There is authorized to be appropriated to carry out
this title such sums as may be necessary for fiscal year 1999
and each of the 5 succeeding fiscal years.
Subtitle B—Repeal
SEC. 251. REPEAL.
(a) REPEAL.—The Adult Education Act (20 U.S.C.
1201 et. seq.) is repealed.
(b) CONFORMING AMENDMENTS.—
(1) REFUGEE
EDUCATION
ASSISTANCE
ACT.—
Subsection (b) of section 402 of the Refugee Education
Assistance Act of 1980 (8 U.S.C. 1522 note) is re-
pealed.
(2) ELEMENTARY
AND
SECONDARY
EDUCATION
ACT OF 1965.—
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(A) 
SECTION
1202
OF
ESEA.—Section
1202(c)(1) of the Elementary and Secondary
Education Act of 1965 (20 U.S.C. 6362(c)(1)) is
amended by striking ‘‘Adult Education Act’’ and
inserting ‘‘Workforce Investment Partnership Act
of 1998’’.
(B) 
SECTION
1205
OF
ESEA.—Section
1205(8)(B) of such Act (20 U.S.C. 6365(8)(B)) is
amended by striking ‘‘Adult Education Act’’ and
inserting ‘‘Workforce Investment Partnership Act
of 1998’’.
(C) 
SECTION
1206
OF
ESEA.—Section
1206(a)(1)(A) 
of 
such 
Act 
(20 
U.S.C.
6366(a)(1)(A)) is amended by striking ‘‘an adult
basic education program under the Adult Edu-
cation Act’’ and inserting ‘‘adult education and
literacy activities under the Workforce Invest-
ment Partnership Act of 1998’’.
(D) 
SECTION
3113
OF
ESEA.—Section
3113(1) of such Act (20 U.S.C. 6813(1)) is
amended by striking ‘‘section 312 of the Adult
Education Act’’ and inserting ‘‘section 2 of the
Workforce Investment Partnership Act of 1998’’.
(E) 
SECTION
9161
OF
ESEA.—Section
9161(2) of such Act (20 U.S.C. 7881(2)) is
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amended by striking ‘‘section 312(2) of the Adult
Education Act’’ and inserting ‘‘section 2 of the
Workforce Investment Partnership Act of 1998’’.
(3) OLDER
AMERICANS
ACT
OF
1965.—Section
203(b)(8) of the Older Americans Act of 1965 (42
U.S.C. 3013(b)(8)) is amended by striking ‘‘Adult
Education Act’’ and inserting ‘‘Workforce Investment
Partnership Act of 1998’’.
(4) NATIONAL LITERACY ACT OF 1991.—The Na-
tional Literacy Act of 1991 (20 U.S.C. 1201 note) is
repealed.
TITLE III—WORKFORCE INVEST-
MENT AND RELATED ACTIVI-
TIES
Subtitle A—Workforce Investment
Activities
CHAPTER 
1—ALLOTMENTS 
TO 
STATES
FOR ADULT EMPLOYMENT AND TRAIN-
ING ACTIVITIES, DISLOCATED WORK-
ER EMPLOYMENT AND TRAINING AC-
TIVITIES, AND YOUTH ACTIVITIES
SEC. 301. GENERAL AUTHORIZATION.
The Secretary of Labor shall make an allotment to
each State that has a State plan approved under section
304 and a grant to each outlying area that complies with
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the requirements of this title, to enable the State or outlying
area to assist local areas in providing, through a statewide
workforce investment system—
(1) adult employment and training activities;
(2) dislocated worker employment and training
activities; and
(3) youth activities, including summer employ-
ment opportunities, tutoring, activities to promote
study skills, alternative secondary school services, em-
ployment skill training, adult mentoring, and sup-
portive services.
SEC. 302. STATE ALLOTMENTS.
(a) IN GENERAL.—The Secretary shall—
(1) make allotments and grants from the total
amount appropriated under section 322(a) for a fis-
cal year in accordance with subsection (b)(1);
(2)(A) reserve 20 percent of the amount appro-
priated under section 322(b) for a fiscal year for use
under subsection (b)(2)(A), and under sections
366(b)(2), 367(f), and 369; and
(B) make allotments from 80 percent of the
amount appropriated under section 322(b) for a fiscal
year in accordance with subsection (b)(2)(B); and
(3)(A) for each fiscal year in which the amount
appropriated 
under 
section 
322(c) 
exceeds
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$1,000,000,000, reserve a portion determined under
subsection (b)(3)(A) of the amount appropriated
under section 322(c) for use under sections 362 and
364; and
(B) use the remainder of the amount appro-
priated under section 322(c) for a fiscal year to make
allotments and grants in accordance with subpara-
graphs (B) and (C) of subsection (b)(3) and make
funds available for use under section 361.
(b) ALLOTMENT AMONG STATES.—
(1) ADULT EMPLOYMENT AND TRAINING ACTIVI-
TIES.—
(A) OUTLYING AREAS.—
(i) IN
GENERAL.—From the amount
made available under subsection (a)(1) for a
fiscal year, the Secretary shall reserve not
more than 1⁄4 of 1 percent—
(I) to provide assistance to the
United States Virgin Islands, Guam,
American Samoa, and the Common-
wealth of the Northern Mariana Is-
lands to carry out adult employment
and training activities; and
(II) for each of the fiscal years
1999 through 2004, to carry out the
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competition described in clause (iii),
except that the amount reserved to
carry out such clause for any such fis-
cal year shall not exceed the amount
reserved for the Freely Associated
States for fiscal year 1998, from
amounts 
reserved 
under 
section
202(a)(1) of the Job Training Partner-
ship Act (29 U.S.C. 1602(a)(1)) (as in
effect on the day before the date of en-
actment of this Act).
(ii) APPLICATION.—To be eligible to
receive a grant under this subparagraph, an
outlying area shall submit an application
to the Secretary at such time, in such man-
ner, and containing such information and
assurances as the Secretary may require.
(iii) COMPETITIVE GRANTS.—The Sec-
retary shall use funds described in clause
(i)(II) to make grants to Guam, American
Samoa, the Commonwealth of the Northern
Mariana Islands, the Republic of the Mar-
shall Islands, the Federated States of Micro-
nesia, or the Republic of Palau to carry out
adult employment and training activities.
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(iv) BASIS.—The Secretary shall make
grants pursuant to clause (iii) on a com-
petitive basis and pursuant to the rec-
ommendations of experts in the field of em-
ployment and training, working through the
Pacific Region Educational Laboratory in
Honolulu, Hawaii.
(v) ASSISTANCE REQUIREMENTS.—Any
Freely Associated State that desires to re-
ceive a grant made under clause (iii) shall
include in the application of the State for
assistance—
(I) 
information 
demonstrating
that the State will meet all conditions
of the regulations described in clause
(ix); and
(II) an assurance that, notwith-
standing any other provision of this
title, the State will use the amounts
made available through such grants
only for the direct provision of services.
(vi) TERMINATION OF ELIGIBILITY.—
Notwithstanding any other provision of law,
the Freely Associated States shall not re-
ceive any funds under clause (iii) for any
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program year that begins after September
30, 2004.
(vii) 
ADMINISTRATIVE
COSTS.—The
Secretary may provide not more than 5
percent of the amount made available for
grants under clause (iii) to pay the admin-
istrative costs of the Pacific Region Edu-
cational Laboratory in Honolulu, Hawaii,
regarding activities assisted under this sub-
paragraph.
(viii) ADDITIONAL
REQUIREMENT.—
The provisions of Public Law 95–134, per-
mitting the consolidation of grants by the
outlying areas, shall not apply to funds
provided to those areas, including the Free-
ly Associated States, under this subpara-
graph.
(ix) 
REGULATIONS.—The 
Secretary
shall issue regulations specifying require-
ments of this title that apply to outlying
areas receiving funds under this subpara-
graph.
(B) STATES.—
(i) IN
GENERAL.—After determining
the amount to be reserved under subpara-
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graph (A), the Secretary shall allot the re-
mainder of the amount referred to in sub-
section (a)(1) for a fiscal year to the States
pursuant to clause (ii) for adult employ-
ment and training activities.
(ii) FORMULA.—Subject to clauses (iii)
and (iv), of the remainder—
(I) 331⁄3 percent shall be allotted
on the basis of the relative number of
unemployed individuals in areas of
substantial unemployment in each
State, compared to the total number of
unemployed individuals in areas of
substantial 
unemployment 
in 
all
States;
(II) 331⁄3 percent shall be allotted
on the basis of the relative excess num-
ber of unemployed individuals in each
State, compared to the total excess
number of unemployed individuals in
all States; and
(III) 331⁄3 percent shall be allotted
on the basis of the relative number of
disadvantaged adults in each State,
compared to the total number of dis-
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advantaged adults in all States, except
as described in clause (iii).
(iii) CALCULATION.—In determining
an allotment under clause (ii)(III) for any
State in which there is a local area des-
ignated under section 307(a)(2)(A)(ii), the
allotment shall be based on the higher of—
(I) the number of adults in fami-
lies with an income below the low-in-
come level in such area; or
(II) the number of disadvantaged
adults in such area.
(iv) MINIMUM AND MAXIMUM PERCENT-
AGES
AND
MINIMUM
ALLOTMENTS.—In
making allotments under this subpara-
graph, the Secretary shall ensure the follow-
ing:
(I) MINIMUM PERCENTAGE.—The
Secretary shall ensure that no State
shall receive an allotment percentage
for a fiscal year that is less than 90
percent of the allotment percentage of
the State for the preceding fiscal year.
(II) SMALL STATE MINIMUM AL-
LOTMENT.—Subject to subclauses (I)
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and (III), the Secretary shall ensure
that no State shall receive an allotment
under this subparagraph that is less
than 2⁄5 of 1 percent of the remainder
described in clause (i) for a fiscal year.
(III) MAXIMUM
PERCENTAGE.—
Subject to subclause (I), the Secretary
shall ensure that no State shall receive
an allotment percentage for a fiscal
year that is more than 130 percent of
the allotment percentage of the State
for the preceding fiscal year.
(v) DEFINITIONS.—In this subpara-
graph:
(I) ADULT.—The term ‘‘adult’’
means an individual who is not less
than age 22 and not more than age 72.
(II) ALLOTMENT PERCENTAGE.—
The term ‘‘allotment percentage’’, used
with respect to fiscal year 1999 or a
subsequent fiscal year, means a per-
centage of the remainder described in
clause (i), received through an allot-
ment made under this subparagraph,
for the fiscal year. The term, used with
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respect to fiscal year 1998, means the
percentage of the amounts allotted to
States under section 202(a) of the Job
Training Partnership Act (29 U.S.C.
1602(a)) (as in effect on the day before
the date of enactment of this Act) re-
ceived under such section by the State
involved for fiscal year 1998.
(III) AREA OF SUBSTANTIAL UN-
EMPLOYMENT.—The term ‘‘area of sub-
stantial unemployment’’ means any
area that is of sufficient size and scope
to sustain a program of workforce in-
vestment activities carried out under
this subtitle and that has an average
rate of unemployment of at least 6.5
percent for the most recent 12 months,
as determined by the Secretary. For
purposes of this subclause, determina-
tions of areas of substantial unemploy-
ment shall be made once each fiscal
year.
(IV) DISADVANTAGED
ADULT.—
Subject to subclause (V), the term ‘‘dis-
advantaged adult’’ means an adult
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who received an income, or is a mem-
ber of a family that received a total
family income, that, in relation to
family size, does not exceed the higher
of—
(aa) the poverty line; or
(bb) 70 percent of the lower
living standard income level.
(V) DISADVANTAGED ADULT SPE-
CIAL
RULE.—The Secretary shall, as
appropriate and to the extent prac-
ticable, exclude students at an institu-
tion of higher education and members
of the Armed Forces from the deter-
mination of the number of disadvan-
taged adults.
(VI) EXCESS NUMBER.—The term
‘‘excess number’’ means, used with re-
spect to the excess number of unem-
ployed individuals within a State, the
higher of—
(aa) the number that rep-
resents the number of unemployed
individuals in excess of 4.5 per-
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cent of the civilian labor force in
the State; or
(bb) the number that rep-
resents the number of unemployed
individuals in excess of 4.5 per-
cent of the civilian labor force in
areas of substantial unemploy-
ment in such State.
(2) DISLOCATED
WORKER
EMPLOYMENT
AND
TRAINING.—
(A) OUTLYING AREAS.—
(i) IN
GENERAL.—From the amount
made available under subsection (a)(2)(A)
for a fiscal year, the Secretary shall reserve
not more than 1⁄4 of 1 percent of the amount
made available under subsection (a)(2)—
(I) to provide assistance to the
United States Virgin Islands, Guam,
American Samoa, and the Common-
wealth of the Northern Mariana Is-
lands to carry out dislocated worker
employment and training activities;
and
(II) for each of the fiscal years
1999 through 2004, to carry out the
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competition described in clause (iii),
except that the amount reserved to
carry out such clause for any such fis-
cal year shall not exceed the amount
reserved for the Freely Associated
States for fiscal year 1998, from
amounts reserved under section 302(e)
of the Job Training Partnership Act
(29 U.S.C. 1652(e)) (as in effect on the
day before the date of enactment of this
Act).
(ii) APPLICATION.—To be eligible to
receive a grant under this subparagraph, an
outlying area shall submit an application
to the Secretary at such time, in such man-
ner, and containing such information and
assurances as the Secretary may require.
(iii) COMPETITIVE GRANTS.—The Sec-
retary shall use funds described in clause
(i)(II) to make grants to Guam, American
Samoa, the Commonwealth of the Northern
Mariana Islands, the Republic of the Mar-
shall Islands, the Federated States of Micro-
nesia, or the Republic of Palau to carry out
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dislocated worker employment and training
activities.
(iv) BASIS.—The Secretary shall make
grants pursuant to clause (iii) on a com-
petitive basis and pursuant to the rec-
ommendations of experts in the field of em-
ployment and training, working through the
Pacific Region Educational Laboratory in
Honolulu, Hawaii.
(v) ASSISTANCE REQUIREMENTS.—Any
Freely Associated State that desires to re-
ceive a grant made under clause (iii) shall
include in the application of the State for
assistance—
(I) 
information 
demonstrating
that the State will meet all conditions
of the regulations described in clause
(ix); and
(II) an assurance that, notwith-
standing any other provision of this
title, the State will use the amounts
made available through such grants
only for the direct provision of services.
(vi) TERMINATION OF ELIGIBILITY.—
Notwithstanding any other provision of law,
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the Freely Associated States shall not re-
ceive any funds under clause (iii) for any
program year that begins after September
30, 2004.
(vii) 
ADMINISTRATIVE
COSTS.—The
Secretary may provide not more than 5
percent of the amount made available for
grants under clause (iii) to pay the admin-
istrative costs of the Pacific Region Edu-
cational Laboratory in Honolulu, Hawaii,
regarding activities assisted under this sub-
paragraph.
(viii) ADDITIONAL
REQUIREMENT.—
The provisions of Public Law 95–134, per-
mitting the consolidation of grants by the
outlying areas, shall not apply to funds
provided to those areas, including the Free-
ly Associated States, under this subpara-
graph.
(ix) 
REGULATIONS.—The 
Secretary
shall issue regulations specifying require-
ments of this title that apply to outlying
areas receiving funds under this subpara-
graph.
(B) STATES.—
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(i) IN GENERAL.—The Secretary shall
allot the amount referred to in subsection
(a)(2)(B) for a fiscal year to the States pur-
suant to clause (ii) for dislocated worker
employment and training activities.
(ii) FORMULA.—Of the amount—
(I) 331⁄3 percent shall be allotted
on the basis of the relative number of
unemployed individuals in each State,
compared to the total number of unem-
ployed individuals in all States;
(II) 331⁄3 percent shall be allotted
on the basis of the relative excess num-
ber of unemployed individuals in each
State, compared to the total excess
number of unemployed individuals in
all States; and
(III) 331⁄3 percent shall be allotted
on the basis of the relative number of
individuals in each State who have
been unemployed for 15 weeks or more,
compared to the total number of indi-
viduals in all States who have been un-
employed for 15 weeks or more.
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(iii) DEFINITION.—In this subpara-
graph, the term ‘‘excess number’’ means,
used with respect to the excess number of
unemployed individuals within a State, the
number that represents the number of un-
employed individuals in excess of 4.5 per-
cent of the civilian labor force in the State.
(3) YOUTH ACTIVITIES.—
(A) YOUTH OPPORTUNITY GRANTS.—
(i) IN GENERAL.—For each fiscal year
in which the amount appropriated under
section 322(c) exceeds $1,000,000,000, the
Secretary shall reserve a portion of the
amount to provide youth opportunity
grants and other activities under section
364 and provide youth activities under sec-
tion 362.
(ii) PORTION.—The portion referred to
in clause (i) shall equal, for a fiscal year—
(I) except as provided in sub-
clause (II), the difference obtained by
subtracting $1,000,000,000 from the
amount described in clause (i); and
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(II) for any fiscal year in which
the amount is $1,250,000,000 or great-
er, $250,000,000.
(iii) YOUTH
ACTIVITIES
FOR
FARM-
WORKERS.—From the portion described in
clause (i) for a fiscal year, the Secretary
shall make available $10,000,000 to provide
youth activities under section 362.
(iv) 
ROLE
MODEL
ACADEMY
PROJECT.—From the portion described in
clause (i) for fiscal year 1999, the Secretary
shall 
make 
available 
not 
more 
than
$10,000,000 to carry out section 364(g).
(B) OUTLYING AREAS.—
(i) IN
GENERAL.—From the amount
made available under subsection (a)(3)(B)
for a fiscal year, the Secretary shall reserve
not more than 1⁄4 of 1 percent—
(I) to provide assistance to the
United States Virgin Islands, Guam,
American Samoa, and the Common-
wealth of the Northern Mariana Is-
lands to carry out youth activities; and
(II) for each of the fiscal years
1999 through 2004, to carry out the
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competition described in clause (iii),
except that the amount reserved to
carry out such clause for any such fis-
cal year shall not exceed the amount
reserved for the Freely Associated
States for fiscal year 1998, from
amounts reserved under sections 252(a)
and 262(a)(1) of the Job Training
Partnership 
Act 
(29 
U.S.C. 
and
1631(a) and 1642(a)(1)) (as in effect
on the day before the date of enactment
of this Act).
(ii) APPLICATION.—To be eligible to
receive a grant under this subparagraph, an
outlying area shall submit an application
to the Secretary at such time, in such man-
ner, and containing such information and
assurances as the Secretary may require.
(iii) COMPETITIVE GRANTS.—The Sec-
retary shall use funds described in clause
(i)(II) to make grants to Guam, American
Samoa, the Commonwealth of the Northern
Mariana Islands, the Republic of the Mar-
shall Islands, the Federated States of Micro-
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nesia, or the Republic of Palau to carry out
youth activities.
(iv) BASIS.—The Secretary shall make
grants pursuant to clause (iii) on a com-
petitive basis and pursuant to the rec-
ommendations of experts in the field of em-
ployment and training, working through the
Pacific Region Educational Laboratory in
Honolulu, Hawaii.
(v) ASSISTANCE REQUIREMENTS.—Any
Freely Associated State that desires to re-
ceive a grant made under clause (iii) shall
include in the application of the State for
assistance—
(I) 
information 
demonstrating
that the State will meet all conditions
of the regulations described in clause
(ix); and
(II) an assurance that, notwith-
standing any other provision of this
title, the State will use the amounts
made available through such grants
only for the direct provision of services.
(vi) TERMINATION OF ELIGIBILITY.—
Notwithstanding any other provision of law,
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the Freely Associated States shall not re-
ceive any funds under clause (iii) for any
program year that begins after September
30, 2004.
(vii) 
ADMINISTRATIVE
COSTS.—The
Secretary may provide not more than 5
percent of the amount made available for
grants under clause (iii) to pay the admin-
istrative costs of the Pacific Region Edu-
cational Laboratory in Honolulu, Hawaii,
regarding activities assisted under this sub-
paragraph.
(viii) ADDITIONAL
REQUIREMENT.—
The provisions of Public Law 95–134, per-
mitting the consolidation of grants by the
outlying areas, shall not apply to funds
provided to those areas, including the Free-
ly Associated States, under this subpara-
graph.
(ix) 
REGULATIONS.—The 
Secretary
shall issue regulations specifying require-
ments of this title that apply to outlying
areas receiving funds under this subpara-
graph.
(C) STATES.—
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(i) IN
GENERAL.—After determining
the amounts to be reserved under subpara-
graph (A) (if any) and subparagraph (B),
the Secretary shall—
(I) from the amount referred to in
subsection (a)(3)(B) for a fiscal year,
make available $15,000,000 to provide
youth activities under section 361; and
(II) allot the remainder of the
amount 
referred 
to 
in 
subsection
(a)(3)(B) for a fiscal year to the States
pursuant to clause (ii) for youth ac-
tivities.
(ii) FORMULA.—Subject to clauses (iii)
and (iv), of the remainder—
(I) 331⁄3 percent shall be allotted
on the basis described in paragraph
(1)(B)(ii)(I);
(II) 331⁄3 percent shall be allotted
on the basis described in paragraph
(1)(B)(ii)(II); and
(III) 331⁄3 percent shall be allotted
on the basis of the relative number of
disadvantaged youth in each State,
compared to the total number of dis-
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advantaged youth in all States, except
as described in clause (iii).
(iii) CALCULATION.—In determining
an allotment under clause (ii)(III) for any
State in which there is a local area des-
ignated under section 307(a)(2)(A)(ii), the
allotment shall be based on the higher of—
(I) the number of youth in fami-
lies with an income below the low-in-
come level in such area; or
(II) the number of disadvantaged
youth in such area.
(iv) MINIMUM PERCENTAGE; MAXIMUM
PERCENTAGE; SMALL STATE MINIMUM AL-
LOTMENT.—
(I) IN GENERAL.—Except as pro-
vided in subclause (II), the require-
ments of clauses (iv) and (v) of para-
graph (1)(B) shall apply to allotments
made under this subparagraph in the
same manner and to the same extent
as the requirements apply to allot-
ments made under paragraph (1)(B).
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(II) EXCEPTIONS.—For purposes
of applying the requirements of those
clauses under this subparagraph—
(aa) 
references 
in 
those
clauses to the remainder described
in clause (i) of paragraph (1)(B)
shall be considered to be references
to the remainder described in
clause (i)(II) of this subpara-
graph; and
(bb) the term ‘‘allotment per-
centage’’, used with respect to fis-
cal year 1998, means the percent-
age of the amounts allotted to
States under sections 252(b) and
262(a) of the Job Training Part-
nership Act (29 U.S.C. 1631(b)
and 1642(a)) (as in effect on the
day before the date of enactment
of this Act) received under such
sections by the State involved for
fiscal year 1998.
(v) DEFINITIONS.—In this subpara-
graph:
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(I) DISADVANTAGED YOUTH.—The
term ‘‘disadvantaged youth’’ means a
youth who received an income, or is a
member of a family that received a
total family income, that, in relation
to family size, does not exceed the high-
er of—
(aa) the poverty line; or
(bb) 70 percent of the lower
living standard income level.
(II) DISADVANTAGED YOUTH SPE-
CIAL
RULE.—The Secretary shall, as
appropriate and to the extent prac-
ticable, exclude students at an institu-
tion of higher education and members
of the Armed Forces from the deter-
mination of the number of disadvan-
taged youth.
(III) YOUTH.—The term ‘‘youth’’
means an individual who is not less
than age 16 and not more than age 21.
(4) DEFINITIONS.—In this subsection:
(A) FREELY
ASSOCIATED
STATES.—The
term ‘‘Freely Associated States’’ means the Re-
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public of the Marshall Islands, the Federated
States of Micronesia, and the Republic of Palau.
(B) LOW-INCOME LEVEL.—The term ‘‘low-
income level’’, used with respect to a year, means
that amount that bears the same relationship to
$7,000 as the Consumer Price Index for that
year bears to the Consumer Price Index for 1969,
rounded to the nearest $1,000.
SEC. 303. STATEWIDE PARTNERSHIP.
(a) IN GENERAL.—The Governor of a State shall estab-
lish and appoint the members of a statewide partnership
to assist in the development of the State plan described in
section 304 and carry out the functions described in sub-
section (d).
(b) MEMBERSHIP.—
(1) IN
GENERAL.—The statewide partnership
shall include—
(A) the Governor;
(B) representatives, appointed by the Gov-
ernor, who—
(i) are representatives of business in
the State;
(ii) are owners of businesses, chief ex-
ecutives or operating officers of private
businesses, and other business executives or
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employers with optimum policymaking or
hiring authority, including members of
local partnerships described in section
308(c)(2)(A)(i);
(iii) represent businesses with employ-
ment opportunities that reflect the employ-
ment opportunities of the State; and
(iv) are appointed from among indi-
viduals nominated by State business orga-
nizations and business trade associations;
(C) representatives, appointed by the Gov-
ernor, who are individuals who have optimum
policymaking authority, including—
(i) representatives of—
(I) chief elected officials (rep-
resenting both cities and counties,
where appropriate);
(II) labor organizations, who have
been nominated by State labor federa-
tions; and
(III) individuals, and organiza-
tions, that have experience relating to
youth activities;
(ii) the eligible agency officials respon-
sible for vocational education, including
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postsecondary vocational education, and for
adult education and literacy, and the State
officials responsible for postsecondary edu-
cation (including education in community
colleges); and
(iii) the State agency official respon-
sible for vocational rehabilitation and,
where applicable, the State agency official
responsible for providing vocational reha-
bilitation program activities for the blind;
(D) such other State agency officials as the
Governor may designate, such as State agency
officials carrying out activities relating to em-
ployment and training, economic development,
public assistance, veterans, youth, juvenile justice
and the employment service established under the
Wagner-Peyser Act (29 U.S.C. 49 et seq.); and
(E) two members of each chamber of the
State legislature, appointed by the appropriate
presiding officer of the chamber.
(2) MAJORITY.—A majority of the members of
the statewide partnership shall be representatives de-
scribed in paragraph (1)(B).
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(c) CHAIRMAN.—The Governor shall select a chair-
person for the statewide partnership from among the rep-
resentatives described in subsection (b)(1)(B).
(d) FUNCTIONS.—In addition to developing the State
plan, the statewide partnership shall—
(1) advise the Governor on the development of a
comprehensive statewide workforce investment system;
(2) assist the Governor in preparing the annual
report to the Secretaries described in section 321(d);
(3) assist the Governor in developing the state-
wide labor market information system described in
section 15(e) of the Wagner-Peyser Act; and
(4) assist in the monitoring and continuous im-
provement of the performance of the statewide work-
force investment system, including the evaluation of
the effectiveness of workforce investment activities car-
ried out under this subtitle in serving the needs of
employers seeking skilled employees and individuals
seeking services.
(e) AUTHORITY OF GOVERNOR.—
(1) AUTHORITY.—The Governor shall have the
final authority to determine the contents of and sub-
mit the State plan described in section 304.
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(2) PROCESS.—Prior to the date on which the
Governor submits a State plan under section 304, the
Governor shall—
(A) make available copies of a proposed
State plan to the public;
(B) allow members of the statewide partner-
ship and members of the public, including rep-
resentatives of labor organizations and busi-
nesses, to submit comments on the proposed State
plan to the Governor, not later than the end of
the 30-day period beginning on the date on
which the proposed State plan is made available;
and
(C) include with the State plan submitted
to the Secretary under section 304 any such com-
ments that represent disagreement with the plan.
(f) ALTERNATIVE ENTITY.—
(1) IN
GENERAL.—For purposes of complying
with subsections (a), (b), and (c), a State may use
any State entity (including a State council, State
workforce development board, combination of regional
workforce development boards, or similar entity)
that—
(A) is in existence on December 31, 1997;
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(B)(i) is established pursuant to section 122
or title VII of the Job Training Partnership Act
(29 U.S.C. 1532 or 1792 et seq.), as in effect on
December 31, 1997; or
(ii) is substantially similar to the statewide
partnership described in subsections (a), (b), and
(c); and
(C) includes representatives of business in
the State and representatives of labor organiza-
tions in the State.
(2) REFERENCES.—References in this Act to a
statewide partnership shall be considered to include
such an entity.
SEC. 304. STATE PLAN.
(a) IN GENERAL.—For a State to be eligible to receive
an allotment under section 302, the Governor of the State
shall submit to the Secretary for approval a single com-
prehensive State plan (referred to in this title as the ‘‘State
plan’’) that outlines a 3-year strategy for the statewide
workforce investment system of the State and that meets the
requirements of section 303 and this section.
(b) CONTENTS.—The State plan shall include—
(1) a description of the statewide partnership de-
scribed in section 303 used in developing the plan;
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(2) a description of State-imposed requirements
for the statewide workforce investment system;
(3) a description of the State performance meas-
ures developed for the workforce investment activities
to be carried out through the system, that includes in-
formation identifying the State performance meas-
ures, established in accordance with section 321(b);
(4) information describing—
(A) the needs of the State with regard to
current and projected employment opportunities;
(B) the job skills necessary to obtain the
needed employment opportunities;
(C) the economic development needs of the
State; and
(D) the type and availability of workforce
investment activities in the State;
(5) an identification of local areas designated in
the State, including a description of the process used
for the designation of such areas, which shall—
(A) ensure a linkage between participants
in workforce investment activities funded under
this subtitle, and local employment opportuni-
ties;
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(B) ensure that a significant portion of the
population that lives in the local area also works
in the same local area;
(C) ensure cooperation and coordination of
activities between neighboring local areas; and
(D) take into consideration State economic
development areas;
(6) an identification of the criteria for recogni-
tion of chief elected officials who will carry out the
policy, planning, and other responsibilities authorized
for the officials in this title in the local areas identi-
fied under paragraph (5);
(7) an identification of criteria for the appoint-
ment of members of local partnerships based on the
requirements of section 308;
(8) the detailed plans required under section 8 of
the Wagner-Peyser Act;
(9) a description of the measures that will be
taken by the State to assure coordination of and
avoid duplication among—
(A) workforce investment activities author-
ized under this subtitle;
(B) other activities authorized under this
title;
(C) activities authorized under title I or II;
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(D) programs authorized under the Wagner-
Peyser Act (29 U.S.C. 49 et seq.), title I of the
Rehabilitation Act of 1973 (29 U.S.C. 720 et
seq.), part A of title IV of the Social Security
Act (42 U.S.C. 601 et seq.), and section 6(d) of
the Food Stamp Act of 1977 (7 U.S.C. 2015(d)),
and activities authorized under title V of the
Older Americans Act of 1965 (42 U.S.C. 3056 et
seq.);
(E) work programs authorized under section
6(o) of the Food Stamp Act of 1977 (7 U.S.C.
2015(o));
(F) activities authorized under chapter 2 of
title II of the Trade Act of 1974 (19 U.S.C. 2271
et seq.);
(G) activities authorized under chapter 41
of title 38, United States Code;
(H) training activities carried out by the
Department of Housing and Urban Develop-
ment; and
(I) programs authorized under State unem-
ployment compensation laws (in accordance with
applicable Federal law);
(10) a description of the process used by the
State, consistent with section 303(e)(2), to provide an
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opportunity for public comment, including comment
by representatives of labor organizations and busi-
nesses, and input into the development of the State
plan, prior to submission of the plan;
(11) a description of the process for the public to
comment on members of the local partnerships;
(12) a description of the length of terms and ap-
pointment processes for members of the statewide
partnership and local partnerships in the State;
(13) information identifying how the State will
leverage any funds the State receives under this sub-
title with other private and Federal resources;
(14) assurances that the State will provide, in
accordance with section 374, for fiscal control and
fund accounting procedures that may be necessary to
ensure the proper disbursement of, and accounting
for, funds paid to the State through the allotment
made under section 302;
(15) if appropriate, a description of a within-
State allocation formula—
(A) that is based on factors relating to ex-
cess poverty in local areas or excess unemploy-
ment above the State average in local areas; and
(B) through which the State may distribute
the funds the State receives under this subtitle
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for adult employment and training activities or
youth activities to local areas;
(16) an assurance that the funds made available
to the State through the allotment made under section
302 will supplement and not supplant other public
funds expended to provide activities described in this
subtitle;
(17) information indicating—
(A) how the services of one-stop partners in
the State will be provided through the one-stop
customer service system;
(B) how the costs of such services and the
operating costs of the system will be funded; and
(C) how the State will assist in the develop-
ment and implementation of the operating agree-
ment described in section 311(c);
(18) information specifying the actions that con-
stitute a conflict of interest prohibited in the State for
purposes of section 308(g)(2)(B);
(19) a description of a core set of consistently de-
fined data elements for reporting on the activities car-
ried out through the one-stop customer service system
in the State;
(20) with respect to employment and training
activities funded under this subtitle—