‘‘(A) IN GENERAL.—The local board may
use up to 10 percent of the funds allocated to
a local area under section 133(b) to carry out
incumbent worker training programs in accord-
ance with this paragraph.
‘‘(B) TRAINING ACTIVITIES.—The training
programs for incumbent workers under this
paragraph shall be carried out by the local area
in conjunction with the employers of such work-
ers for the purpose of assisting such workers in
obtaining the skills necessary to retain employ-
ment and avert layoffs.
‘‘(C) EMPLOYER MATCH REQUIRED.—
‘‘(i) IN GENERAL.—Employers partici-
pating in programs under this paragraph
shall be required to pay a proportion of the
costs of providing the training to the in-
cumbent workers. The Governor shall es-
tablish, or may authorize the local board to
establish, the required portion of such
costs, which shall not be less than—
‘‘(I) 10 percent of the costs, for
employers with 50 or fewer employees;
‘‘(II) 25 percent of the costs, for
employers with more than 50 employ-
ees but fewer than 100 employees;
and
‘‘(III) 50 percent of the costs, for
employers with 100 or more employ-
ees.
‘‘(ii) CALCULATION OF MATCH.—The
wages paid by an employer to a worker
while they are attending training may be
included as part of the requirement pay-
ment of the employer.’’.
SEC. 113. PERFORMANCE ACCOUNTABILITY SYSTEM.
(a) STATE PERFORMANCE MEASURES.—
(1) 
IN
GENERAL.—Section 
136(b)(1) 
(29
U.S.C. 2871(b)(1)) is amended—
(A) in subparagraph (A)(i), by striking
‘‘and the customer satisfaction indicator of per-
formance described in paragraph (2)(B)’’; and
(B) in subparagraph (A)(ii), by striking
‘‘paragraph (2)(C)’’ and inserting ‘‘paragraph
(2)(B)’’.
(2) INDICATORS
OF
PERFORMANCE.—Section
136(b)(2) (29 U.S.C. 2871(b)(2)) is amended—
(A) in subparagraph (A)(i), by striking
‘‘(except for self-service and information activi-
ties) and (for participants who are eligible
youth age 19 through 21) for youth activities
authorized under section 129’’;
(B) in subparagraph (A)(i)(II), by insert-
ing ‘‘and’’ after the semicolon;
(C) in subparagraph (A)(i)(III), by strik-
ing ‘‘; and’’ and inserting a period;
(D) by striking subparagraph (A)(i)(IV);
(E) by amending subparagraph (A)(ii) to
read as follows:
‘‘(ii) CORE INDICATORS FOR ELIGIBLE
YOUTH.—The core indicators of perform-
ance for youth activities authorized under
section 129 shall consist of—
‘‘(I) entry into employment, edu-
cation or advanced training, or mili-
tary service;
‘‘(II) attainment of secondary
school diploma, General Educational
Development credential (GED), or
other State-recognized equivalent (in-
cluding recognized alternative stand-
ards for individuals with disabilities);
and
‘‘(III) 
literacy 
or 
numeracy
gains.’’;
(F) by striking subparagraph (B); and
(G) by redesignating subparagraph (C) as
subparagraph (B), and by adding at the end of
such subparagraph (as so redesignated) the fol-
lowing new sentence: ‘‘Such indicators may in-
clude customer satisfaction of employers and
participants with services received from the
workforce 
investment 
activities 
authorized
under this subtitle.’’.
(3) 
LEVELS
OF
PERFORMANCE.—Section
136(b)(3)(A) 
(29 
U.S.C. 
2871(b)(3)(A)) 
is
amended—
(A) in clause (i), by striking ‘‘and the cus-
tomer satisfaction indicator described in para-
graph (2)(B)’’;
(B) in clause (ii), by striking ‘‘and the cus-
tomer satisfaction indicator of performance, for
the first 3’’ and inserting ‘‘for the 2’’;
(C) in clause (iii)—
(i) in the heading, by striking ‘‘FOR
FIRST 3 YEARS’’; and
(ii) by striking ‘‘and the customer sat-
isfaction indicator of performance, for the
first 3’’ and inserting ‘‘for the 2’’;
(D) in clause (iv)—
(i) by striking subclause (I);
(ii) by redesignating subclauses (II)
and (III) as subclauses (I) and (II), re-
spectively; and
(iii) in subclause (I) (as so redesig-
nated)—
(I) by striking ‘‘taking into ac-
count’’ and inserting ‘‘which shall be
adjusted based on’’;
(II) by inserting ‘‘, such as un-
employment rates and job losses or
gains in particular industries’’ after
‘‘economic conditions’’; and
(III) by inserting ‘‘, such as indi-
cators of poor work history, lack of
work experience, low levels of literacy
or English proficiency, disability sta-
tus, including the number of veterans
with disabilities, and welfare depend-
ency’’ after ‘‘program’’;
(E) by striking clause (v); and
(F) by redesignating clause (vi) as clause
(v).
(4) 
ADDITIONAL
INDICATORS.—Section
136(b)(3)(B) is amended by striking ‘‘paragraph
(2)(C)’’ and inserting ‘‘paragraph (2)(B)’’.
(b) LOCAL
PERFORMANCE
MEASURES.—Section
136(c) (29 U.S.C 2871(c)) is amended—
(1) in paragraph (1)(A)(i), by striking ‘‘, and
the customer satisfaction indicator of performance
described in subsection (b)(2)(B),’’;
(2) in paragraph (1)(A)(ii), by striking ‘‘sub-
section 
(b)(2)(C)’’ 
and 
inserting 
‘‘subsection
(b)(2)(B)’’; and
(3) by amending paragraph (3) to read as fol-
lows:
‘‘(3) DETERMINATIONS.—In determining such
local levels of performance, the local board, the chief
elected official, and the Governor shall ensure such
levels are adjusted based on the specific economic
characteristics (such as unemployment rates and job
losses or gains in particular industries), demographic
characteristics, or other characteristics of the popu-
lation to be served in the local area, such as poor
work history, lack of work experience, low levels of
literacy or English proficiency, disability status, in-
cluding the number of veterans with disabilities, and
welfare dependency.’’.
(c) REPORT.—Section 136(d) (29 U.S.C. 2871(d)) is
amended—
(1) in paragraph (1), by striking ‘‘and the cus-
tomer satisfaction indicator’’ in both places that it
appears;
(2) in paragraph (2)—
(A) in subparagraph (E), by striking ‘‘(ex-
cluding participants who received only self-serv-
ice and informational activities); and’’ and in-
serting a semicolon;
(B) in subparagraph (F), by striking the
period and inserting ‘‘; and’’; and
(C) by adding at the end the following:
‘‘(G) the number of participants served
and the cost per participant.’’; and
(3) by adding at the end the following:
‘‘(4) DATA VALIDATION.—In preparing the re-
ports described in this subsection, the States shall
establish procedures, consistent with guidelines
issued by the Secretary, to ensure the information
contained in the report is valid and reliable.’’.
(d) SANCTIONS
FOR STATE.—Section 136(g) (29
U.S.C. 2871(g)) is amended—
(1) in paragraph (1)(A), by striking ‘‘or (B)’’;
and
100
(2) in paragraph (2), by striking ‘‘section 503’’
and inserting ‘‘section 136(i)’’.
(e) SANCTIONS FOR LOCAL AREAS.—Section 136(h)
(29 U.S.C. 2871(h)) is amended—
(1) in paragraph (1), by striking ‘‘or (B)’’; and
(2) by amending paragraph (2)(B) to read as
follows:
‘‘(B) APPEAL TO GOVERNOR.—A local area
that is subject to a reorganization plan under
subparagraph (A) may, not later than 30 days
after receiving notice of the reorganization plan,
appeal to the Governor to rescind or revise such
plan. In such case, the Governor shall make a
final decision not later than 30 days after the
receipt of the appeal.’’.
(f) INCENTIVE GRANTS.—Section 136(i) (29 U.S.C.
2871(i)) is amended to read as follows:
‘‘(i) INCENTIVE GRANTS FOR STATES AND LOCAL
AREAS.—
‘‘(1) INCENTIVE GRANTS FOR STATES.—
‘‘(A) IN
GENERAL.—From funds appro-
priated under section 174, the Secretary may
award grants to States for exemplary perform-
ance in carrying programs under chapters 4
and 5 of this title. Such awards may be based
101
on States meeting or exceeding the performance
measures established under this section, on the
performance of the State in serving special pop-
ulations, including the levels of service provided
and the performance outcomes, and such other
factors relating to the performance of the State
under this title as the Secretary determines is
appropriate.
‘‘(B) USE OF FUNDS.—The funds awarded
to a State under this paragraph may be used to
carry out any activities authorized under chap-
ters 4 and 5 of this title, including demonstra-
tions and innovative programs for special popu-
lations.
‘‘(2) INCENTIVE GRANTS FOR LOCAL AREAS.—
‘‘(A) IN GENERAL.—From funds reserved
under sections 128(a) and 133(a), the Governor
may award incentive grants to local areas for
exemplary performance with respect to the
measures established under this section and
with the performance of the local area in serv-
ing special populations, including the levels of
service and the performance outcomes.
‘‘(B) USE OF FUNDS.—The funds awarded
to a local area may be used to carry out activi-
102
ties authorized for local areas under chapters 4
and 5 of this title, and such demonstration or
other innovative programs to serve special pop-
ulations as may be approved by the Governor.’’.
(g) USE OF CORE INDICATORS FOR OTHER PRO-
GRAMS.—Section 136 (29 U.S.C. 2871) is further amend-
ed by adding at the end the following subsection:
‘‘(j) USE OF CORE INDICATORS FOR OTHER PRO-
GRAMS.—In addition to the programs carried out under
chapters 4 and 5, and consistent with the requirements
of the applicable authorizing laws, the Secretary shall use
the core indicators of performance described in subsection
(b)(2)(A) to assess the effectiveness of the programs de-
scribed under section 121(b)(1)(B) that are carried out
by the Secretary.’’.
(h) REPEAL OF DEFINITIONS.—Sections 502 and
503 (and the items related to such sections in the table
of contents) are repealed.
SEC. 114. AUTHORIZATION OF APPROPRIATIONS.
(a) YOUTH ACTIVITIES.—Section 137(a) (29 U.S.C.
2872(a)) is amended by striking ‘‘such sums as may be
necessary for each of fiscal years 1999 through 2003’’ and
inserting ‘‘$1,250,000,000 for fiscal year 2006 and such
sums as may be necessary for each of fiscal years 2007
through 2011’’.
103
(b) ADULT EMPLOYMENT AND TRAINING ACTIVI-
TIES.—Section 137(b) (29 U.S.C. 2872(b)) is amended by
striking ‘‘section 132(a)(1), such sums as may be nec-
essary for each of fiscal years 1999 through 2003’’ and
inserting ‘‘section 132(a), $3,140,000,000 for fiscal year
2006 and such sums as may be necessary for each of fiscal
years 2007 through 2011’’.
(c) 
DISLOCATED
WORKER
EMPLOYMENT
AND
TRAINING ACTIVITIES.—Section 137 is further amended
by striking subsection (c).
SEC. 115. JOB CORPS.
(a) INDUSTRY
COUNCILS.—Section 154(b) (29
U.S.C. 2894(b)) is amended—
(1) in paragraph (1)(A), by striking ‘‘local and
distant’’; and
(2) by adding after paragraph (2) the following:
‘‘(3) EMPLOYERS OUTSIDE OF LOCAL AREAS.—
The industry council may include, or otherwise pro-
vide for consultation with, employers from outside
the local area who are likely to hire a significant
number of enrollees from the Job Corps center.’’.
(b) INDICATORS OF PERFORMANCE AND ADDITIONAL
INFORMATION.—Section 159(c) (29 U.S.C. 2893(c)) is
amended—
104
(1) by amending paragraph (1) to read as fol-
lows:
‘‘(1) CORE INDICATORS.—The Secretary shall
annually establish expected levels of performance for
Job Corps centers and the Job Corps program relat-
ing to each of the core indicators for youth identified
in section 136(b)(2)(A)(ii).’’; and
(2) in paragraph (2), by striking ‘‘measures’’
each place it appears and inserting ‘‘indicators’’.
(c) AUTHORIZATION OF APPROPRIATIONS.—Section
161 (29 U.S.C. 2901) is amended by striking ‘‘1999
through 2003’’ and inserting ‘‘2006 through 2011’’.
SEC. 116. NATIVE AMERICAN PROGRAMS.
(a) ADVISORY COUNCIL.—Section 166(h)(4)(C) (29
U.S.C. 2911(h)(4)(C)) is amended to read as follows:
‘‘(C) DUTIES.—The Council shall advise
the Secretary on the operation and administra-
tion of the programs assisted under this sec-
tion.’’.
(b) ASSISTANCE
TO AMERICAN SAMOANS
IN HA-
WAII.—Section 166 (29 U.S.C. 2911) is further amended
by striking subsection (j).
105
SEC. 117. MIGRANT AND SEASONAL FARMWORKER PRO-
GRAMS.
Section 167(d) is amended by inserting ‘‘(including
permanent housing)’’ after ‘‘housing’’.
SEC. 118. VETERANS’ WORKFORCE INVESTMENT PRO-
GRAMS.
Section 168(a)(3)(C) (29 U.S.C. 2913 (a)(3)(C)) is
amended by striking ‘‘section 134(c)’’ and inserting ‘‘sec-
tion 121(e)’’.
SEC. 119. YOUTH CHALLENGE GRANTS.
(a) IN GENERAL.—Section 169 (29 U.S.C. 2914) is
amended to read as follows:
‘‘SEC. 169. YOUTH CHALLENGE GRANTS.
‘‘(a) IN GENERAL.—Of the amounts reserved by the
Secretary under section 127(a)(1)(A) for a fiscal year—
‘‘(1) the Secretary shall use not less than 80
percent to award competitive grants under sub-
section (b); and
‘‘(2) the Secretary may use not more than 20
percent to award discretionary grants under sub-
section (c).
‘‘(b) COMPETITIVE GRANTS TO STATES AND LOCAL
AREAS.—
‘‘(1) ESTABLISHMENT.—From the funds de-
scribed in subsection (a)(1), the Secretary shall
award competitive grants to eligible entities to carry
106
out activities authorized under this section to assist
eligible youth in acquiring the skills, credentials and
employment experience necessary to succeed in the
labor market.
‘‘(2) ELIGIBLE ENTITIES.—Grants under this
subsection may be awarded to States, local boards,
recipients of grants under section 166 (relating to
Native American programs), and public or private
entities (including consortia of such entities) apply-
ing in conjunction with local boards.
‘‘(3) GRANT
PERIOD.—The Secretary may
make a grant under this section for a period of 1
year and may renew the grants for each of the 4
succeeding years.
‘‘(4) AUTHORITY
TO
REQUIRE
MATCH.—The
Secretary may require that grantees under this sub-
section provide a non-Federal share of the cost of
activities carried out under a grant awarded under
this subsection.
‘‘(5) PARTICIPANT
ELIGIBILITY.—Youth ages
14 through 19 as of the time the eligibility deter-
mination is made may be eligible to participate in
activities provided under this subsection.
‘‘(6) USE OF FUNDS.—Funds under this sub-
section may be used for activities that are designed
107
to assist youth in acquiring the skills, credentials
and employment experience that are necessary to
succeed in the labor market, including the activities
identified in section 129. The activities may include
activities such as—
‘‘(A) training and internships for out-of-
school youth in sectors of the economy experi-
encing or projected to experience high growth;
‘‘(B) after-school dropout prevention activi-
ties for in-school youth;
‘‘(C) activities designed to assist special
youth populations, such as court-involved youth
and youth with disabilities; and
‘‘(D) activities combining remediation of
academic skills, work readiness training, and
work experience, and including linkages to post-
secondary education, apprenticeships, and ca-
reer-ladder employment.
‘‘(7) APPLICATIONS.—To be eligible to receive a
grant under this subsection, an eligible entity shall
submit an application to the Secretary at such time,
in such manner, and containing such information as
the Secretary may require, including—
108
‘‘(A) a description of the activities the eli-
gible entity will provide to eligible youth under
this subsection;
‘‘(B) a description of the programs of dem-
onstrated effectiveness on which the provision
of the activities under subparagraph (A) are
based, and a description of how such activities
will expand the base of knowledge relating to
the provision of activities for youth;
‘‘(C) a description of the private and pub-
lic, and local and State resources that will be le-
veraged to provide the activities described under
subparagraph (A) in addition to the funds pro-
vided under this subsection; and
‘‘(D) the levels of performance the eligible
entity expects to achieve with respect to the in-
dicators of performance for youth specified in
section 136(b)(2)(A)(ii).
‘‘(8) FACTORS
FOR
AWARD.—In awarding
grants under this subsection the Secretary may con-
sider the quality of the proposed project, the goals
to be achieved, the likelihood of successful implemen-
tation, the extent to which the project is based on
proven strategies or the extent to which the project
will expand the knowledge base on activities for
109
youth, and the additional State, local or private re-
sources that will be provided.
‘‘(9) EVALUATION.—The Secretary may reserve
up to 5 percent of the funds described in sub-
section(a)(1) to provide technical assistance to, and
conduct evaluations of the projects funded under
this subsection (using appropriate techniques as de-
scribed in section 172(c)).
‘‘(c) DISCRETIONARY GRANTS FOR YOUTH ACTIVI-
TIES.—
‘‘(1) IN GENERAL.—From the funds described
in subsection(a)(2), the Secretary may award grants
to eligible entities to provide activities that will as-
sist youth in preparing for, and entering and retain-
ing, employment.
‘‘(2) ELIGIBLE ENTITIES.—Grants under this
subsection may be awarded to public or private enti-
ties that the Secretary determines would effectively
carry out activities relating to youth under this sub-
section.
‘‘(3) PARTICIPANT
ELIGIBILITY.—Youth ages
14 through 19 at the time the eligibility determina-
tion is made may be eligible to participate in activi-
ties under this subsection.
110
‘‘(4) USE OF FUNDS.—Funds provided under
this subsection may be used for activities that will
assist youth in preparing for, and entering and re-
taining, employment, including the activities de-
scribed in section 129 for out-of-school youth, activi-
ties designed to assist in-school youth to stay in
school and gain work experience, and such other ac-
tivities that the Secretary determines are appro-
priate.
‘‘(5) APPLICATIONS.—To be eligible to receive a
grant under this subsection, an eligible entity shall
submit an application to the Secretary at such time,
in such manner, and containing such information as
the Secretary may require.
‘‘(6) ADDITIONAL
REQUIREMENTS.—The Sec-
retary may require the provision of a non-Federal
share for projects funded under this subsection and
may require participation of grantees in evaluations
of such projects, including evaluations using the
techniques as described in section 172(c).’’.
(b) CLERICAL AMENDMENT.—The table of contents
in section 1(b) is amended by amending the item related
to section 169 to read as follows:
‘‘Sec. 169. Youth challenge grants.’’.
SEC. 120. TECHNICAL ASSISTANCE.
Section 170 (29 U.S.C. 2915) is amended—
111
(1) by striking subsection (b);
(2) by striking
‘‘(a) GENERAL TECHNICAL ASSISTANCE.—’’;
(3) by redesignating paragraphs (1), (2), and
(3) as subsections (a), (b), and (c) respectively, and
moving such subsections 2 ems to the left;
(4) in subsection (a) (as redesignated by para-
graph (3))—
(A) by inserting ‘‘the training of staff pro-
viding rapid response services, the training of
other staff of recipients of funds under this
title, peer review activities under this title, as-
sistance regarding accounting and program op-
eration practices (when such assistance would
not be duplicative to assistance provided by the
State), technical assistance to States that do
not meet State performance measures described
in section 136,’’ after ‘‘localities,’’; and
(B) by striking ‘‘from carrying out activi-
ties’’ and all that follows up to the period and
inserting ‘‘to implement the amendments made
by the Job Training Improvement Act of
2005’’; and
(5) by inserting, after subsection (c) (as redes-
ignated by paragraph (3)), the following:
112
‘‘(d) BEST PRACTICES COORDINATION.—The Sec-
retary shall establish a system whereby States may share
information regarding best practices with regard to the
operation of workforce investment activities under this
Act.’’.
SEC. 121. DEMONSTRATION, PILOT, MULTISERVICE, RE-
SEARCH AND MULTI-STATE PROJECTS.
(a) DEMONSTRATION AND PILOT PROJECTS.—Sec-
tion 171(b) (29 U.S.C. 2916(b)) is amended—
(1) in paragraph (1)—
(A) by striking ‘‘Under a’’ and inserting
‘‘Consistent with the priorities specified in the’’;
(B) 
by 
amending 
subparagraphs 
(A)
through (D) to read as follows:
‘‘(A) projects that assist national employ-
ers in connecting with the workforce investment
system established under this title in order to
facilitate the recruitment and employment of
needed workers and to provide information to
such system on skills and occupations in de-
mand;
‘‘(B) projects that promote the develop-
ment of systems that will improve the effective-
ness and efficiency of programs carried out
under this title;
113
‘‘(C) projects that focus on opportunities
for employment in industries and sectors of in-
dustries that are experiencing or are likely to
experience high rates of growth, including those
relating to information technology;
‘‘(D) projects carried out by States and
local areas to test innovative approaches to de-
livering employment-related services;’’;
(C) by striking subparagraph (E);
(D) by redesignating subparagraphs (F)
and (G) as subparagraphs (E) and (F), respec-
tively;
(E) in subparagraph (F) (as so redesig-
nated, by striking ‘‘; and’’ and inserting a semi-
colon;
(F) by inserting after subparagraph (F)
(as so redesignated) the following:
‘‘(G) projects that provide retention grants
to qualified job training programs upon place-
ment or retention of a low-income individual
trained by that program in employment with a
single employer for a period of 1 year, provided
that such employment is providing to the low-
income individual an income not less than twice
the poverty line for that individual;’’;
114
(G) by amending subparagraph (H) to
read as follows:
‘‘(H) projects that focus on opportunities
for employment in industries and sectors of in-
dustries that are being transformed by tech-
nology and innovation requiring new knowledge
or skill sets for workers, including advanced
manufacturing; and’’; and
(H) by adding at the end the following:
‘‘(I) projects carried out by States and
local areas to assist adults or out of school
youth in starting a small business, including
training and assistance in business or financial
management or in developing other skills nec-
essary to operate a business.’’; and
(2) in paragraph (2)—
(A) by striking subparagraph (B); and
(B) by redesignating subparagraph (C) as
subparagraph (B).
(b) 
MULTISERVICE
PROJECTS.—Section
171(c)(2)(B) (29 U.S.C. 2916(c)(2)(B)) is amended to
read as follows:
‘‘(B) NET
IMPACT
STUDIES
AND
RE-
PORTS.—The Secretary shall conduct studies to
determine the net impacts of programs, serv-
115
ices, and activities carried out under this title.
The Secretary shall prepare and disseminate to
Congress and the public reports containing the
results of such studies.’’.
SEC. 122. COMMUNITY-BASED JOB TRAINING.
Section 171(d) of the Workforce Investment Act of
1998 is amended to read as follows:
‘‘(d) COMMUNITY-BASED JOB TRAINING.—
‘‘(1) DEMONSTRATION
PROJECT.—In addition
to the demonstration projects under subsection (b),
the Secretary may establish and implement a na-
tional demonstration project designed to develop
local solutions to the workforce challenges facing
high-growth, high-skill industries with labor short-
ages, and increase opportunities for workers to gain
access to employment in high-growth, high-demand
occupations by promoting the establishment of part-
nerships among education entities, the workforce in-
vestment system, and businesses in high-growth,
high-skill industries.
‘‘(2) GRANTS.—In carrying out the demonstra-
tion project under this subsection, the Secretary
shall award competitive grants, in accordance with
generally applicable Federal requirements, to eligible
116
entities to carry out activities authorized under this
subsection.
‘‘(3) DEFINITIONS.—
‘‘(A) ELIGIBLE
ENTITY.—In this sub-
section, the term ‘eligible entity’ means a com-
munity college or consortium of community col-
leges that shall work in conjunction with—
‘‘(i) the local workforce investment
system; and
‘‘(ii) business or businesses in a quali-
fied industry or an industry association in
a qualified industry.
‘‘(B) QUALIFIED INDUSTRY.—In this sub-
section, the term ‘qualified industry’ means an
industry or economic sector that is projected to
experience significant growth, such as an indus-
try and economic sector that—
‘‘(i) is projected to add substantial
numbers of new jobs to the economy;
‘‘(ii) has significant impact on the
economy;
‘‘(iii) impacts the growth of other in-
dustries and economic sectors;
117
‘‘(iv) is being transformed by tech-
nology 
and 
innovation 
requiring 
new
knowledge or skill sets for workers;
‘‘(v) is a new or emerging industry or
economic sector that is projected to grow;
or
‘‘(vi) has high-skilled occupations and
significant labor shortages in the local
area.
‘‘(C) COMMUNITY COLLEGE.—As used in
this subsection, the term ‘community college’
means an institution of higher education, as de-
fined in section 101 of the Higher Education
Act of 1965 (20 U.S.C. 1001), that provides
not less than a 2-year program that is accept-
able for full credit toward a bachelor’s degree,
or is a tribally controlled college or university.
‘‘(4) AUTHORITY
TO
REQUIRE
NON-FEDERAL
SHARE.—The Secretary may require that recipients
of grants under this subsection provide a non-Fed-
eral share, from either cash or noncash resources, of
the costs of activities carried out under a grant
awarded under this subsection.
‘‘(5) USE OF FUNDS.—Grants awarded under
this subsection may be used for—
118
‘‘(A) the development, by a community col-
lege, in consultation with representatives of
qualified industries, of rigorous training and
education programs related to employment in a
qualified industry identified in the eligible enti-
ty’s application;
‘‘(B) training of adults and dislocated
workers in the skills and competencies needed
to obtain or upgrade employment in a qualified
industry identified in the eligible entity’s appli-
cation;
‘‘(C) disseminating to adults and dis-
located workers, through the one-stop delivery
system, information on high-growth, high-de-
mand occupations in qualified industries;
‘‘(D) placing, through the one-stop delivery
system, trained individuals into employment in
qualified industries; and
‘‘(E) increasing the integration of commu-
nity colleges with activities of businesses and
the one-stop delivery system to meet the train-
ing needs for qualified industries.
‘‘(6) APPLICATIONS.—To be eligible to receive a
grant under this subsection, an eligible entity shall
submit an application to the Secretary at such time,
119
in such manner, and containing such information as
the Secretary may require, including—
‘‘(A) a description of the community col-
lege that will offer training under the grant;
‘‘(B) an economic analysis of the local
labor market to identify high-growth, high-de-
mand industries and identify the workforce
issues faced by those industries;
‘‘(C) a description of the qualified industry
for which training will occur and the availability
of competencies on which training will be based;
‘‘(D) an assurance that the application was
developed in consultation with the local board
or boards in the area or areas where the pro-
posed grant will be used;
‘‘(E) performance outcomes for the grant,
including expected number of individuals to be
trained in a qualified industry, the employment
and retention rates for such individuals in a
qualified industry, and earnings increases for
such individuals;
‘‘(F) a description of how the activities
funded by the proposed grant will be coordi-
nated with activities provided through the one-
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stop delivery system in the local area or areas;
and
‘‘(G) a description of any local or private
resources that will support the activities carried
out under this subsection and allow the entity
to carry out and expand such activities after
the expiration of the grant.
‘‘(7) FACTORS FOR AWARD OF GRANT.—
‘‘(A) IN
GENERAL.—In awarding grants
under this subsection the Secretary shall
consider—
‘‘(i) the extent of public and private
collaboration, including existing partner-
ships among industries, community col-
leges, and the public workforce investment
system;
‘‘(ii) the extent to which the grant will
provide job seekers with employment op-
portunities in high-growth, high-demand
occupations;
‘‘(iii) the extent to which the grant
will expand the local one-stop delivery sys-
tem’s capacity to be demand-driven and re-
sponsive to local economic needs;
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‘‘(iv) the extent to which local busi-
nesses commit to hire or retain individuals
who receive training through the grant;
and
‘‘(v) the extent to which the eligible
entity commits to make any newly devel-
oped products, such as competencies or
training curriculum, available for distribu-
tion nationally.
‘‘(B) LEVERAGING
OF
RESOURCES.—In
awarding grants under this subsection, the Sec-
retary shall also consider—
‘‘(i) the extent to which local or pri-
vate resources, in addition to the funds
provided under this subsection, will be
made available to support the activities
carried out under this subsection; and
‘‘(ii) the ability of an eligible entity to
continue to carry out and expand such ac-
tivities after the expiration of the grant.
‘‘(C) 
DISTRIBUTION
OF
GRANTS.—In
awarding grants under this subsection the Sec-
retary shall ensure an equitable distribution of
such grants across geographically diverse areas.
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‘‘(8) PERFORMANCE
ACCOUNTABILITY
AND
EVALUATION.—
‘‘(A) PERFORMANCE
ACCOUNTABILITY.—
The Secretary shall require an eligible entity
that receives a grant under this subsection to
report to the Secretary on the employment out-
comes obtained by individuals receiving training
under this subsection using the indicators of
performance identified in the eligible entity’s
grant application.
‘‘(B) EVALUATION.—The Secretary may
require that an eligible entity that receives a
grant under this subsection participate in an
evaluation of activities carried out under this
subsection, including an evaluation using the
techniques described in section 172(c).’’.
SEC. 123. PERSONAL REEMPLOYMENT ACCOUNTS.
Section 171 of the Workforce Investment Act of 1998
is further amended by adding at the end the following:
‘‘(e) PERSONAL REEMPLOYMENT ACCOUNTS.—
‘‘(1) DEFINITION.—In this subsection, the term
‘State’ means each of the several States of the
United States, the District of Columbia, the Com-
monwealth of Puerto Rico, and the United States
Virgin Islands.
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‘‘(2) DEMONSTRATION
PROJECT.—In addition
to the demonstration projects under subsection (b),
the Secretary may establish and implement a na-
tional demonstration project designed to analyze and
provide data on workforce training programs that
accelerate the reemployment of unemployed individ-
uals, promote the retention in employment of such
individuals, and provide such individuals with en-
hanced flexibility, choice, and control in obtaining
intensive reemployment, training, and supportive
services.
‘‘(3) GRANTS.—
‘‘(A) IN GENERAL.—In carrying out the
demonstration project, the Secretary shall make
grants, on a competitive basis, to eligible enti-
ties to provide personal reemployment accounts
to eligible individuals. In awarding grants under
this subsection the Secretary shall take into
consideration awarding grants to eligible enti-
ties from diverse geographic areas, including
rural areas.
‘‘(B) DURATION.—The Secretary shall
make the grants for periods of not less than 2
years and may renew the grant for each of the
succeeding 3 years.