I 
112TH CONGRESS 
1ST SESSION H. R. 2137 
To amend the Internal Revenue Code of 1986 to authorize an unemployment 
assistance voucher program. 
IN THE HOUSE OF REPRESENTATIVES 
JUNE 3, 2011 
Mr. RENACCI (for himself and Mr. CLARKE of Michigan) introduced the 
following bill; which was referred to the Committee on Ways and Means 
A BILL 
To amend the Internal Revenue Code of 1986 to authorize 
an unemployment assistance voucher program. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Empowering More 
Productive and Lasting Opportunity Act of 2011’’. 
SEC. 2. TREATMENT OF EMPLOYMENT ASSISTANCE VOUCH-
ER PROGRAMS. 
(a) USE OF UNEMPLOYMENT FUND FOR EMPLOY-
MENT ASSISTANCE VOUCHER PROGRAM.— 
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(1) STATE LAW.—Section 3304(a)(4) of the In-
ternal Revenue Code of 1986 is amended by striking 
‘‘and’’ at the end of subparagraph (F), by inserting 
‘‘and’’ at the end of subparagraph (G), and by add-
ing at the end the following new subparagraph: 
‘‘(H) during the 5-year period beginning 
on the date of the enactment of the Empow-
ering More Productive and Lasting Opportunity 
Act of 2011, amounts may be withdrawn for 
the payment of allowances under an employ-
ment assistance voucher program (as defined in 
section 3306(v));’’. 
(2) 
PERMISSIBLE
EXPENDITURES.—Section 
3306(f) of such Code is amended— 
(A) by striking ‘‘and’’ at the end of para-
graph (5), 
(B) by redesignating the paragraph relat-
ing to the self-employment assistance program 
as paragraph (6) and striking the period at the 
end of such paragraph and inserting ‘‘; and’’; 
and 
(C) by adding at the end the following new 
paragraph: 
‘‘(7) during the 5-year period beginning on the 
date of the enactment of the Empowering More Pro-
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ductive and Lasting Opportunity Act of 2011, 
amounts may be withdrawn for the payment of al-
lowances under an employment assistance voucher 
program (as defined in subsection (v)).’’. 
(b) EMPLOYMENT ASSISTANCE VOUCHER PROGRAM 
DEFINED.—Section 3306 of such Code is amended by 
adding at the end the following new subsection: 
‘‘(v) EMPLOYMENT
ASSISTANCE
VOUCHER
PRO-
GRAM.—For the purposes of this chapter— 
‘‘(1) IN GENERAL.—The term ‘employment as-
sistance voucher program’ means a program under 
which— 
‘‘(A) an eligible individual is issued an em-
ployment assistance voucher, 
‘‘(B) upon employment with an employer 
described in paragraph (5)— 
‘‘(i) the eligible individual transfers 
the employment assistance voucher to the 
employer, 
‘‘(ii) the individual ceases to receive 
unemployment compensation and is paid 
wages by the employer, and 
‘‘(iii) the employer receives payments 
upon presenting the voucher to the State, 
and 
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‘‘(C) the program meets such other re-
quirements as the Secretary of Labor deter-
mines to be appropriate. 
‘‘(2) RULES RELATING TO UNEMPLOYED INDI-
VIDUALS.—For purposes of paragraph (1)— 
‘‘(A) COMPENSATION.—Compensation pur-
suant to paragraph (1)(B)(ii) shall— 
‘‘(i) be at a rate equal to or greater 
than the percentage specified by State law 
(but in no event less than 110 percent) of 
the rate which would otherwise be payable 
to the individual, 
‘‘(ii) not be less than the minimum 
wage (as specified in section 6 of the Fair 
Labor Standards Act of 1938), 
‘‘(iii) be payable for a period not to 
exceed the maximum number of remaining 
weeks of unemployment compensation (in-
cluding supplemental and emergency) to 
which the employee would be entitled (but 
for participating in the employment assist-
ance voucher program), determined as of 
the date of employment. 
‘‘(B) TERMINATION OF EMPLOYMENT.—If, 
before the end of the period referred to in sub-
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paragraph (A)(iii), an individual’s employment 
with an employer under the employment assist-
ance voucher program is terminated for reasons 
other than cause, the individual is entitled to 
the remaining period of entitlement referred to 
in subparagraph (A)(iii) less the number of 
weeks of such employment. 
‘‘(C) CERTAIN
REQUIREMENTS
NOT
TO 
APPLY.—State requirements relating to avail-
ability for work, active search for work, and re-
fusal to accept work are not applicable to indi-
viduals participating in the employment assist-
ance voucher program. 
‘‘(3) EMPLOYMENT
ASSISTANCE
VOUCHER.— 
The term ‘employment assistance voucher’ means a 
voucher— 
‘‘(A) obtained by an eligible individual pur-
suant to the State law, 
‘‘(B) payable to the employer of the eligible 
individual— 
‘‘(i) at a rate determined under State 
law but not to exceed 90 percent of the 
amount of unemployment compensation to 
which the eligible individual is entitled, and 
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‘‘(ii) on the same schedule as unem-
ployment compensation would be payable 
to the individual but for employment under 
the employment assistance voucher pro-
gram. 
‘‘(4) ELIGIBLE INDIVIDUAL.—The term ‘eligible 
individual’ means an individual who— 
‘‘(A) is eligible to receive regular unem-
ployment compensation under the State law, ex-
tended unemployment, or emergency unemploy-
ment or would be eligible to receive such com-
pensation except for the requirements described 
in paragraph (1)(B), 
‘‘(B) is identified pursuant to a State 
worker profiling system as an individual likely 
to exhaust regular unemployment compensation, 
and 
‘‘(C) is employed by an eligible employer. 
‘‘(5) ELIGIBLE EMPLOYER.—The term ‘eligible 
employer’ means an employer who agrees to the 
terms and conditions of employment under the un-
employment assistance voucher program and who is 
approved by the State agency. 
‘‘(6) TREATMENT OF PARTICIPATING INDIVID-
UALS UNDER FEDERAL AND STATE LAW.—Individ-
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uals participating in an unemployment assistance 
voucher program shall be treated as unemployed for 
the purposes of Federal and State laws applicable to 
unemployment compensation, except that wages paid 
to the employee under such program shall be subject 
to Federal and State taxation to the same extent 
and in the same manner as wages generally. 
‘‘(7) COST
LIMITER.—A State program shall 
not be treated as an employment assistance voucher 
program for purposes of this chapter unless the pro-
gram does not result in any cost to the Unemploy-
ment Trust Fund (established by section 904(a) of 
the Social Security Act) in excess of the cost that 
would be incurred by such State and charged to 
such Fund, or to any Federal funds in the system 
if the State had not participated in such program. 
‘‘(8) PREVENTION
OF
EMPLOYMENT
TERMI-
NATION
TO
PARTICIPATE
IN
PROGRAM.—A State 
program shall not be treated as an employment as-
sistance voucher program for purposes of this chap-
ter unless the State has in effect measures to pre-
vent employers from terminating employment for 
purposes of participating in the employment assist-
ance voucher program.’’. 
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(c) CONFORMING AMENDMENT.—Section 303(a)(5) 
of the Social Security Act (42 U.S.C. 503(a)(5)) is amend-
ed by striking ‘‘; and’’ and inserting ‘‘: Provided further, 
That amounts may be withdrawn for the payment of al-
lowances under an employment assistance voucher pro-
gram (as defined in section 3306(v) of the Internal Rev-
enue Code of 1986); and’’. 
(d) STATE REPORTS.—Any State operating an em-
ployment assistance voucher program approved by the 
Secretary of Labor pursuant to section 3304(a)(4)(H) of 
the Internal Revenue Code of 1986 (as added by this sec-
tion) shall report annually to the Secretary on the number 
of individuals who participate in the program, the oper-
ating costs of the program, compliance with program re-
quirements, and any other relevant aspects of program op-
erations requested by the Secretary. 
(e) REPORT TO CONGRESS.—Not later than 4 years 
after the date of the enactment of this Act, the Secretary 
of Labor shall submit a report to the Congress with re-
spect to the operation of the employment assistance vouch-
er program. Such report shall be based on the reports re-
ceived from the States pursuant to subsection (d) and in-
clude such other information as the Secretary of Labor 
determines is appropriate. 
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(f) EFFECTIVE DATE.—The provisions of this section 
and the amendments made by this section shall take effect 
on the date of the enactment of this Act. 
Æ 
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