H. R. 4015
One Hundred Seventh Congress
of the
United States of America
AT THE SECOND SESSION
Begun and held at the City of Washington on Wednesday,
the twenty-third day of January, two thousand and two
An Act
To amend title 38, United States Code, to revise and improve employment, training,
and placement services furnished to veterans, and for other purposes.
Be it enacted by the Senate and House of Representatives of
the United States of America in Congress assembled,
SECTION 1. SHORT TITLE; REFERENCES TO TITLE 38, UNITED STATES
CODE.
(a) SHORT TITLE.—This Act may be cited as the ‘‘Jobs for
Veterans Act’’.
(b) REFERENCES TO TITLE 38, UNITED STATES CODE.—Except
as otherwise expressly provided, whenever in this Act an amend-
ment or repeal is expressed in terms of an amendment to, or
repeal of, a section or other provision, the reference shall be consid-
ered to be made to a section or other provision of title 38, United
States Code.
SEC. 2. PRIORITY OF SERVICE FOR VETERANS IN DEPARTMENT OF
LABOR JOB TRAINING PROGRAMS.
(a) VETERANS’ JOB TRAINING ASSISTANCE.—(1) Chapter 42 is
amended by adding at the end the following new section:
‘‘§ 4215. Priority of service for veterans in Department of
Labor job training programs
‘‘(a) DEFINITIONS.—In this section:
‘‘(1) The term ‘covered person’ means any of the following
individuals:
‘‘(A) A veteran.
‘‘(B) The spouse of any of the following individuals:
‘‘(i) Any veteran who died of a service-connected
disability.
‘‘(ii) Any member of the Armed Forces serving
on active duty who, at the time of application for
assistance under this section, is listed, pursuant to
section 556 of title 37 and regulations issued there-
under, by the Secretary concerned in one or more of
the following categories and has been so listed for
a total of more than 90 days: (I) missing in action,
(II) captured in line of duty by a hostile force, or
(III) forcibly detained or interned in line of duty by
a foreign government or power.
‘‘(iii) Any veteran who has a total disability
resulting from a service-connected disability.
‘‘(iv) Any veteran who died while a disability so
evaluated was in existence.
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‘‘(2) The term ‘qualified job training program’ means any
workforce preparation, development, or delivery program or
service that is directly funded, in whole or in part, by the
Department of Labor and includes the following:
‘‘(A) Any such program or service that uses technology
to assist individuals to access workforce development pro-
grams (such as job and training opportunities, labor market
information, career assessment tools, and related support
services).
‘‘(B) Any such program or service under the public
employment service system, one-stop career centers, the
Workforce Investment Act of 1998, a demonstration or other
temporary program, and those programs implemented by
States or local service providers based on Federal block
grants administered by the Department of Labor.
‘‘(C) Any such program or service that is a workforce
development program targeted to specific groups.
‘‘(3) The term ‘priority of service’ means, with respect to
any qualified job training program, that a covered person shall
be given priority over nonveterans for the receipt of employ-
ment, training, and placement services provided under that
program, notwithstanding any other provision of law.
‘‘(b) ENTITLEMENT TO PRIORITY OF SERVICE.—(1) A covered per-
son is entitled to priority of service under any qualified job training
program if the person otherwise meets the eligibility requirements
for participation in such program.
‘‘(2) The Secretary of Labor may establish priorities among
covered persons for purposes of this section to take into account
the needs of disabled veterans and special disabled veterans, and
such other factors as the Secretary determines appropriate.
‘‘(c) ADMINISTRATION
OF
PROGRAMS
AT
STATE
AND
LOCAL
LEVELS.—An entity of a State or a political subdivision of the
State that administers or delivers services under a qualified job
training program shall—
‘‘(1) provide information and priority of service to covered
persons regarding benefits and services that may be obtained
through other entities or service providers; and
‘‘(2) ensure that each covered person who applies to or
who is assisted by such a program is informed of the employ-
ment-related rights and benefits to which the person is entitled
under this section.
‘‘(d) ADDITION
TO ANNUAL REPORT.—In the annual report
required under section 4107(c) of this title for the program year
beginning in 2003 and each subsequent program year, the Secretary
of Labor shall evaluate whether covered persons are receiving pri-
ority of service and are being fully served by qualified job training
programs, and whether the representation of veterans in such pro-
grams is in proportion to the incidence of representation of veterans
in the labor market, including within groups that the Secretary
may designate for priority under such programs, if any.’’.
(2) The table of sections at the beginning of chapter 42 is
amended by inserting after the item relating to section 4214 the
following new item:
‘‘4215. Priority of service for veterans in Department of Labor job training pro-
grams.’’.
(b) EMPLOYMENT OF VETERANS WITH RESPECT TO FEDERAL CON-
TRACTS.—(1) Section 4212(a) is amended to read as follows:
H. R. 4015—3
‘‘(a)(1) Any contract in the amount of $100,000 or more entered
into by any department or agency of the United States for the
procurement of personal property and nonpersonal services
(including construction) for the United States, shall contain a provi-
sion requiring that the party contracting with the United States
take affirmative action to employ and advance in employment quali-
fied covered veterans. This section applies to any subcontract in
the amount of $100,000 or more entered into by a prime contractor
in carrying out any such contract.
‘‘(2) In addition to requiring affirmative action to employ such
qualified covered veterans under such contracts and subcontracts
and in order to promote the implementation of such requirement,
the Secretary of Labor shall prescribe regulations requiring that—
‘‘(A) each such contractor for each such contract shall imme-
diately list all of its employment openings with the appropriate
employment service delivery system (as defined in section
4101(7) of this title), and may also list such openings with
one-stop career centers under the Workforce Investment Act
of 1998, other appropriate service delivery points, or America’s
Job Bank (or any additional or subsequent national electronic
job bank established by the Department of Labor), except that
the contractor may exclude openings for executive and senior
management positions and positions which are to be filled
from within the contractor’s organization and positions lasting
three days or less;
‘‘(B) each such employment service delivery system shall
give such qualified covered veterans priority in referral to such
employment openings; and
‘‘(C) each such employment service delivery system shall
provide a list of such employment openings to States, political
subdivisions of States, or any private entities or organizations
under contract to carry out employment, training, and place-
ment services under chapter 41 of this title.
‘‘(3) In this section:
‘‘(A) The term ‘covered veteran’ means any of the following
veterans:
‘‘(i) Disabled veterans.
‘‘(ii) Veterans who served on active duty in the Armed
Forces during a war or in a campaign or expedition for
which a campaign badge has been authorized.
‘‘(iii) Veterans who, while serving on active duty in
the Armed Forces, participated in a United States military
operation for which an Armed Forces service medal was
awarded pursuant to Executive Order No. 12985 (61 Fed.
Reg. 1209).
‘‘(iv) Recently separated veterans.
‘‘(B) The term ‘qualified’, with respect to an employment
position, means having the ability to perform the essential
functions of the position with or without reasonable accommoda-
tion for an individual with a disability.’’.
(2)(A) Section 4212(c) is amended—
(i) by striking ‘‘suitable’’; and
(ii) by striking ‘‘subsection (a)(2) of this section’’ and
inserting ‘‘subsection (a)(2)(B)’’.
(B) Section 4212(d)(1) is amended—
(i) in the matter preceding subparagraph (A), by striking
‘‘of this section’’ after ‘‘subsection (a)’’; and
H. R. 4015—4
(ii) by amending subparagraphs (A) and (B) to read as
follows:
‘‘(A) the number of employees in the workforce of such
contractor, by job category and hiring location, and the number
of such employees, by job category and hiring location, who
are qualified covered veterans;
‘‘(B) the total number of new employees hired by the con-
tractor during the period covered by the report and the number
of such employees who are qualified covered veterans; and’’.
(C) Section 4212(d)(2) is amended by striking ‘‘of this sub-
section’’ after ‘‘paragraph (1)’’.
(D) Section 4211(6) is amended by striking ‘‘one-year period’’
and inserting ‘‘three-year period’’.
(3) The amendments made by this subsection shall apply with
respect to contracts entered into on or after the first day of the
first month that begins 12 months after the date of the enactment
of this Act.
(c) EMPLOYMENT WITHIN THE FEDERAL GOVERNMENT.—(1) Sec-
tion 4214(a)(1) is amended—
(A) in the first sentence, by striking ‘‘life’’ and all that
follows and inserting ‘‘life.’’; and
(B) in the second sentence, by striking ‘‘major’’ and
inserting ‘‘uniquely qualified’’.
(2) Section 4214(b) is amended—
(A) in paragraph (1), by striking ‘‘readjustment’’ and
inserting ‘‘recruitment’’;
(B) in paragraph (2), by striking ‘‘to—’’ and all that follows
through the period at the end and inserting ‘‘to qualified covered
veterans.’’;
(C) in paragraph (3), to read as follows:
‘‘(3) A qualified covered veteran may receive such an appoint-
ment at any time.’’.
(3)(A) Section 4214(a) is amended—
(i) in the third sentence of paragraph (1), by striking ‘‘dis-
abled veterans and certain veterans of the Vietnam era and
of the post-Vietnam era’’ and inserting ‘‘qualified covered vet-
erans (as defined in paragraph (2)(B))’’; and
(ii) in paragraph (2), to read as follows:
‘‘(2) In this section:
‘‘(A) The term ‘agency’ has the meaning given the term
‘department or agency’ in section 4211(5) of this title.
‘‘(B) The term ‘qualified covered veteran’ means a veteran
described in section 4212(a)(3) of this title.’’.
(B) Clause (i) of section 4214(e)(2)(B) is amended by striking
‘‘of the Vietnam era’’.
(C) Section 4214(g) is amended—
(i) by striking ‘‘qualified’’ the first place it occurs and all
that follows through ‘‘era’’ the first place it occurs and inserting
‘‘qualified covered veterans’’; and
(ii) by striking ‘‘under section 1712A of this title’’ and
all that follows and inserting ‘‘under section 1712A of this
title.’’.
(4) The amendments made by this subsection shall apply to
qualified covered veterans without regard to any limitation relating
to the date of the veteran’s last discharge or release from active
duty that may have otherwise applied under section 4214(b)(3)
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as in effect on the date before the date of the enactment of this
Act.
SEC. 3. FINANCIAL AND NON-FINANCIAL PERFORMANCE INCENTIVE
AWARDS 
FOR 
QUALITY 
VETERANS 
EMPLOYMENT,
TRAINING, AND PLACEMENT SERVICES.
(a) PERFORMANCE INCENTIVE AWARDS FOR QUALITY EMPLOY-
MENT, TRAINING, 
AND
PLACEMENT
SERVICES.—Chapter 41 is
amended by adding at the end the following new section:
‘‘§ 4112. Performance incentive awards for quality employ-
ment, training, and placement services
‘‘(a) CRITERIA FOR PERFORMANCE INCENTIVE AWARDS.—(1) For
purposes of carrying out a program of performance incentive awards
under section 4102A(c)(2)(A)(i)(III) of this title, the Secretary, acting
through the Assistant Secretary of Labor for Veterans’ Employment
and Training, shall establish criteria for performance incentive
awards programs to be administered by States to—
‘‘(A) encourage the improvement and modernization of
employment, training, and placement services provided under
this chapter; and
‘‘(B) recognize eligible employees for excellence in the provi-
sion of such services or for having made demonstrable improve-
ments in the provision of such services.
‘‘(2) The Secretary shall establish such criteria in consultation
with representatives of States, political subdivisions of States, and
other providers of employment, training, and placement services
under the Workforce Investment Act of 1998 consistent with the
performance measures established under section 4102A(b)(7) of this
title.
‘‘(b) FORM OF AWARDS.—Under the criteria established by the
Secretary for performance incentive awards to be administered
by States, an award under such criteria may be a cash award
or such other nonfinancial awards as the Secretary may specify.
‘‘(c) RELATIONSHIP
OF
AWARD
TO
GRANT
PROGRAM
AND
EMPLOYEE COMPENSATION.—Performance incentive cash awards
under this section—
‘‘(1) shall be made from amounts allocated from the grant
or contract amount for a State for a program year under section
4102A(c)(7) of this title; and
‘‘(2) is in addition to the regular pay of the recipient.
‘‘(d) ELIGIBLE EMPLOYEE DEFINED.—In this section, the term
‘eligible employee’ means any of the following:
‘‘(1) A disabled veterans’ outreach program specialist.
‘‘(2) A local veterans’ employment representative.
‘‘(3) An individual providing employment, training, and
placement services to veterans under the Workforce Investment
Act of 1998 or through an employment service delivery system
(as defined in section 4101(7) of this title).’’.
H. R. 4015—6
(b) CLERICAL AMENDMENT.—The table of sections at the begin-
ning of chapter 41 is amended by adding at the end the following
new item:
‘‘4112. Performance incentive awards for quality employment, training, and place-
ment services.’’.
SEC. 4. REFINEMENT OF JOB TRAINING AND PLACEMENT FUNCTIONS
OF THE DEPARTMENT.
(a) REVISION OF DEPARTMENT LEVEL SENIOR OFFICIALS AND
FUNCTIONS.—(1) Sections 4102A and 4103 are amended to read
as follows:
‘‘§ 4102A. Assistant Secretary of Labor for Veterans’ Employ-
ment and Training; program functions; Regional
Administrators
‘‘(a) ESTABLISHMENT OF POSITION OF ASSISTANT SECRETARY OF
LABOR FOR VETERANS’ EMPLOYMENT AND TRAINING.—(1) There is
established within the Department of Labor an Assistant Secretary
of Labor for Veterans’ Employment and Training, appointed by
the President by and with the advice and consent of the Senate,
who shall formulate and implement all departmental policies and
procedures to carry out (A) the purposes of this chapter, chapter
42, and chapter 43 of this title, and (B) all other Department
of Labor employment, unemployment, and training programs to
the extent they affect veterans.
‘‘(2) The employees of the Department of Labor administering
chapter 43 of this title shall be administratively and functionally
responsible to the Assistant Secretary of Labor for Veterans’
Employment and Training.
‘‘(3)(A) There shall be within the Department of Labor a Deputy
Assistant Secretary of Labor for Veterans’ Employment and
Training. The Deputy Assistant Secretary shall perform such func-
tions as the Assistant Secretary of Labor for Veterans’ Employment
and Training prescribes.
‘‘(B) No individual may be appointed as a Deputy Assistant
Secretary of Labor for Veterans’ Employment and Training unless
the individual has at least five years of service in a management
position as an employee of the Federal civil service or comparable
service in a management position in the Armed Forces. For purposes
of determining such service of an individual, there shall be excluded
any service described in subparagraphs (A), (B), and (C) of section
308(d)(2) of this title.
‘‘(b) PROGRAM FUNCTIONS.—The Secretary shall carry out the
following functions:
‘‘(1) Except as expressly provided otherwise, carry out all
provisions of this chapter and chapter 43 of this title through
the Assistant Secretary of Labor for Veterans’ Employment
and Training and administer through such Assistant Secretary
all programs under the jurisdiction of the Secretary for the
provision of employment and training services designed to meet
the needs of all veterans and persons eligible for services fur-
nished under this chapter.
‘‘(2) In order to make maximum use of available resources
in meeting such needs, encourage all such programs, and all
grantees and contractors under such programs to enter into
cooperative arrangements with private industry and business
concerns (including small business concerns owned by veterans
H. R. 4015—7
or disabled veterans), educational institutions, trade associa-
tions, and labor unions.
‘‘(3) Ensure that maximum effectiveness and efficiency are
achieved in providing services and assistance to eligible vet-
erans under all such programs by coordinating and consulting
with the Secretary of Veterans Affairs with respect to (A)
programs conducted under other provisions of this title, with
particular emphasis on coordination of such programs with
readjustment counseling activities carried out under section
1712A of this title, apprenticeship or other on-the-job training
programs carried out under section 3687 of this title, and
rehabilitation and training activities carried out under chapter
31 of this title and (B) determinations covering veteran popu-
lation in a State.
‘‘(4) Ensure that employment, training, and placement
activities are carried out in coordination and cooperation with
appropriate State public employment service officials.
‘‘(5) Subject to subsection (c), make available for use in
each State by grant or contract such funds as may be necessary
to support—
‘‘(A) disabled veterans’ outreach program specialists
appointed under section 4103A(a)(1) of this title,
‘‘(B) 
local 
veterans’ 
employment 
representatives
assigned under section 4104(b) of this title, and
‘‘(C) the reasonable expenses of such specialists and
representatives described in subparagraphs (A) and (B),
respectively, for training, travel, supplies, and other busi-
ness expenses, including travel expenses and per diem
for attendance at the National Veterans’ Employment and
Training Services Institute established under section 4109
of this title.
‘‘(6) Monitor and supervise on a continuing basis the dis-
tribution and use of funds provided for use in the States under
paragraph (5).
‘‘(7) Establish, and update as appropriate, a comprehensive
performance accountability system (as described in subsection
(f)) and carry out annual performance reviews of veterans
employment, training, and placement services provided through
employment service delivery systems, including through dis-
abled veterans’ outreach program specialists and through local
veterans’ employment representatives in States receiving
grants, contracts, or awards under this chapter.
‘‘(c) CONDITIONS FOR RECEIPT OF FUNDS.—(1) The distribution
and use of funds under subsection (b)(5) in order to carry out
sections 4103A(a) and 4104(a) of this title shall be subject to the
continuing supervision and monitoring of the Secretary and shall
not be governed by the provisions of any other law, or any regula-
tions prescribed thereunder, that are inconsistent with this section
or section 4103A or 4104 of this title.
‘‘(2)(A) A State shall submit to the Secretary an application
for a grant or contract under subsection (b)(5). The application
shall contain the following information:
‘‘(i) A plan that describes the manner in which the State
shall furnish employment, training, and placement services
required under this chapter for the program year, including
a description of—
H. R. 4015—8
‘‘(I) duties assigned by the State to disabled veterans’
outreach program specialists and local veterans’ employ-
ment representatives consistent with the requirements of
sections 4103A and 4104 of this title;
‘‘(II) the manner in which such specialists and rep-
resentatives are integrated in the employment service
delivery systems in the State; and
‘‘(III) the program of performance incentive awards
described in section 4112 of this title in the State for
the program year.
‘‘(ii) The veteran population to be served.
‘‘(iii) Such additional information as the Secretary may
require to make a determination with respect to awarding
a grant or contract to the State.
‘‘(B)(i) Subject to the succeeding provisions of this subpara-
graph, of the amount available under subsection (b)(5) for a fiscal
year, the Secretary shall make available to each State with an
application approved by the Secretary an amount of funding in
proportion to the number of veterans seeking employment using
such criteria as the Secretary may establish in regulation, including
civilian labor force and unemployment data, for the State on an
annual basis. The proportion of funding shall reflect the ratio of—
‘‘(I) the total number of veterans residing in the State
that are seeking employment; to
‘‘(II) the total number of veterans seeking employment
in all States.
‘‘(ii) The Secretary shall phase in over the three fiscal-year
period that begins on October 1, 2002, the manner in which amounts
are made available to States under subsection (b)(5) and this sub-
section, as amended by the Jobs for Veterans Act.
‘‘(iii) In carrying out this paragraph, the Secretary may estab-
lish minimum funding levels and hold-harmless criteria for States.
‘‘(3)(A)(i) As a condition of a grant or contract under this section
for a program year, in the case of a State that the Secretary
determines has an entered-employment rate for veterans that is
deficient for the preceding program year, the State shall develop
a corrective action plan to improve that rate for veterans in the
State.
‘‘(ii) The State shall submit the corrective action plan to the
Secretary for approval, and if approved, shall expeditiously imple-
ment the plan.
‘‘(iii) If the Secretary does not approve a corrective action plan
submitted by the State under clause (i), the Secretary shall take
such steps as may be necessary to implement corrective actions
in the State to improve the entered-employment rate for veterans
in that State.
‘‘(B) To carry out subparagraph (A), the Secretary shall estab-
lish in regulations a uniform national threshold entered-employ-
ment rate for veterans for a program year by which determinations
of deficiency may be made under subparagraph (A).
‘‘(C) In making a determination with respect to a deficiency
under subparagraph (A), the Secretary shall take into account the
applicable annual unemployment data for the State and consider
other factors, such as prevailing economic conditions, that affect
performance of individuals providing employment, training, and
placement services in the State.
H. R. 4015—9
‘‘(4) In determining the terms and conditions of a grant or
contract under which funds are made available to a State in order
to carry out section 4103A or 4104 of this title, the Secretary
shall take into account—
‘‘(A) the results of reviews, carried out pursuant to sub-
section (b)(7), of the performance of the employment, training,
and placement service delivery system in the State, and
‘‘(B) the monitoring carried out under this section.
‘‘(5) Each grant or contract by which funds are made available
to a State shall contain a provision requiring the recipient of the
funds—
‘‘(A) to comply with the provisions of this chapter; and
‘‘(B) on an annual basis, to notify the Secretary of, and
provide supporting rationale for, each nonveteran who is
employed as a disabled veterans’ outreach program specialist
and local veterans’ employment representative for a period
in excess of 6 months.
‘‘(6) Each State shall coordinate employment, training, and
placement services furnished to veterans and eligible persons under
this chapter with such services furnished with respect to such
veterans and persons under the Workforce Investment Act of 1998
and the Wagner-Peyser Act.
‘‘(7) With respect to program years beginning during or after
fiscal year 2004, one percent of the amount of a grant or contract
under which funds are made available to a State in order to carry
out section 4103A or 4104 of this title for the program year shall
be for the purposes of making cash awards under the program
of performance incentive awards described in section 4112 of this
title in the State.
‘‘(d) PARTICIPATION IN OTHER FEDERALLY FUNDED JOB TRAINING
PROGRAMS.—The Assistant Secretary of Labor for Veterans’ Employ-
ment and Training shall promote and monitor participation of quali-
fied veterans and eligible persons in employment and training
opportunities under title I of the Workforce Investment Act of
1998 and other federally funded employment and training programs.
‘‘(e) REGIONAL ADMINISTRATORS.—(1) The Secretary shall assign
to each region for which the Secretary operates a regional office
a representative of the Veterans’ Employment and Training Service
to serve as the Regional Administrator for Veterans’ Employment
and Training in such region.
‘‘(2) Each such Regional Administrator shall carry out such
duties as the Secretary may require to promote veterans employ-
ment and reemployment within the region that the Administrator
serves.
‘‘(f) ESTABLISHMENT OF PERFORMANCE STANDARDS AND OUT-
COMES MEASURES.—(1) By not later than 6 months after the date
of the enactment of this section, the Assistant Secretary of Labor
for Veterans’ Employment and Training shall establish and imple-
ment a comprehensive performance accountability system to
measure the performance of employment service delivery systems,
including disabled veterans’ outreach program specialists and local
veterans’ 
employment 
representatives 
providing 
employment,
training, and placement services under this chapter in a State
to provide accountability of that State to the Secretary for purposes
of subsection (c).
‘‘(2) Such standards and measures shall—