verification of such eligibility may occur after 
the individual is employed under the program. 
(E) Earnings from such program shall not 
be regarded as income and shall not be re-
garded as a resource for the month of receipt 
and the following 12 months, for purposes of 
determining the eligibility of an individual (or 
the individual’s spouse or family) for benefits or 
assistance, or the amount or extent of benefits 
or assistance, under any Federal program or 
under any State or local program financed in 
whole or in part with Federal funds. 
(F) Such program shall coordinate with 
the workforce systems and activities promoted 
by the State or local board to connect youth 
with a barrier to employment to educational or 
career opportunities. 
(G) Such program shall establish or ex-
pand diversity and inclusion opportunities and 
collect disaggregated data on related efforts. 
SEC. 102. COMPETITIVE GRANTS TO ELIGIBLE ENTITIES. 
(a) IN GENERAL.—From the amounts appropriated 
under section 105(b), the Secretary shall award grants, 
on a competitive basis, to eligible entities for activities de-
scribed in subsection (d). 
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(b) REQUIREMENTS ON USES OF FUNDS.—In award-
ing funds under this section the Secretary shall ensure the 
following: 
(1) DIRECT FINANCIAL ASSISTANCE.—Not less 
than 40 percent of such funds are used to provide 
direct financial assistance to eligible youth to sup-
port such youth with financial needs with respect to 
entering, remaining enrolled in, and completing a 
subsidized employment program described in section 
101(b) (including related costs of training, supplies, 
food and nutrition, housing, transportation, child 
care, mental health and substance abuse services, 
payment of fines, or other targeted costs determined 
allowable by the Secretary). 
(2) IN-DEMAND INDUSTRY SECTORS OR OCCU-
PATIONS.—Not less than 40 percent of such funds 
are used to connect eligible youth to employers for 
in-demand industry sectors or occupations, work- 
based learning opportunities, registered apprentice-
ship programs, or to reconnect to a public education 
entity. 
(3) DIVERSITY AND INCLUSION ACTIVITIES.— 
Not less than 10 percent of such funds are used for 
promoting, creating, or expanding diversity and in-
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clusion activities for the purposes of diversifying 
workforce systems. 
(c) ELIGIBLE ENTITY DEFINED.— 
(1) IN GENERAL.—The term ‘‘eligible entity’’ 
means an entity that the Secretary determines to 
serve a high number or high percentage of youth 
with a barrier to employment who are employed in 
a subsidized employment programs described in sec-
tion 101(b). 
(2) INCLUSIONS.—The term ‘‘eligible entity’’ 
includes— 
(A) a community-based organization; 
(B) a State and unit of general local gov-
ernment in a partnership with a community- 
based organization; 
(C) a partnership among States and units 
of general local government, community-based 
organizations, public education entities, reg-
istered apprenticeships, and employers from in- 
demand industry sectors or occupations; 
(D) a partnership among community-based 
organizations and juvenile and adult correc-
tional facilities; 
(E) a labor organization or joint labor- 
management organization; or 
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(F) a tribal organization (as defined in 
section 4 of the Indian Self-Determination and 
Education Assistance Act (25 U.S.C. 450b)) or 
an urban Indian organization (as defined in 
section 4 of the Indian Health Care Improve-
ment Act (25 U.S.C. 1603))’’. 
(d) USES OF FUNDS.—An eligible entity that receives 
a grant under this section— 
(1) shall use the grant to match youth with a 
barrier to employment to subsidized employment 
programs funded under section 101, and provide 
hands-on work experience that does not supplant the 
work of existing employees; and 
(2) may use a grant received under this section 
to carry out 1 or more of the following: 
(A) Establish or expand diversity and in-
clusion opportunities and collect disaggregated 
data on related efforts. 
(B) Provide (directly or through partner-
ships) technical assistance and supportive serv-
ices to eligible youth and their families to help 
navigate supportive services and other Federal 
and State assistance programs to support the 
recruitment, retention, and completion of a pro-
gram funded under section 101. 
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(C) Coordinate partnerships with programs 
funded under section 101 to connect eligible 
youth to educational or career opportunities, in-
cluding to employers for in-demand industry 
sectors or occupations, work-based learning op-
portunities, registered apprenticeship programs, 
or to reconnect to a public education entity. 
(D) Form comprehensive youth service de-
livery systems to improve education and em-
ployment outcomes for youth and to strategi-
cally connect local sectors, systems, and re-
sources by strategically coordinating resources 
and public, private, and nonprofit funding to 
create youth pathways to further the education, 
skills, and access to jobs and successful careers, 
by— 
(i) conducting and improving outreach 
to underrepresented youth and families 
with respect to the programs funded under 
section 101; 
(ii) making appropriate use of existing 
education, child welfare, social services, 
and workforce development data collection 
systems to facilitate the entity’s ability to 
recruit youth participants; and 
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