In the Senate of the United States, 
June 25, 2014. 
Resolved, That the bill from the House of Representa-
tives (H.R. 803) entitled ‘‘An Act to reform and strengthen 
the workforce investment system of the Nation to put Ameri-
cans back to work and make the United States more competi-
tive in the 21st century.’’, do pass with the following 
AMENDMENTS: 
Strike all after the enacting clause and insert the 
following: 
SECTION 1. SHORT TITLE; TABLE OF CONTENTS. 
(a) SHORT TITLE.—This Act may be cited as the 
‘‘Workforce Innovation and Opportunity Act’’. 
(b) TABLE OF CONTENTS.—The table of contents for 
this Act is as follows: 
Sec. 1. Short title; table of contents. 
Sec. 2. Purposes. 
Sec. 3. Definitions.
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TITLE I—WORKFORCE DEVELOPMENT ACTIVITIES 
Subtitle A—System Alignment 
CHAPTER 1—STATE PROVISIONS 
Sec. 101. State workforce development boards. 
Sec. 102. Unified State plan. 
Sec. 103. Combined State plan. 
CHAPTER 2—LOCAL PROVISIONS 
Sec. 106. Workforce development areas. 
Sec. 107. Local workforce development boards. 
Sec. 108. Local plan. 
CHAPTER 3—BOARD PROVISIONS 
Sec. 111. Funding of State and local boards. 
CHAPTER 4—PERFORMANCE ACCOUNTABILITY 
Sec. 116. Performance accountability system. 
Subtitle B—Workforce Investment Activities and Providers 
CHAPTER 1—WORKFORCE INVESTMENT ACTIVITIES AND PROVIDERS 
Sec. 121. Establishment of one-stop delivery systems. 
Sec. 122. Identification of eligible providers of training services. 
Sec. 123. Eligible providers of youth workforce investment activities. 
CHAPTER 2—YOUTH WORKFORCE INVESTMENT ACTIVITIES 
Sec. 126. General authorization. 
Sec. 127. State allotments. 
Sec. 128. Within State allocations. 
Sec. 129. Use of funds for youth workforce investment activities. 
CHAPTER 3—ADULT AND DISLOCATED WORKER EMPLOYMENT AND TRAINING 
ACTIVITIES 
Sec. 131. General authorization. 
Sec. 132. State allotments. 
Sec. 133. Within State allocations. 
Sec. 134. Use of funds for employment and training activities. 
CHAPTER 4—GENERAL WORKFORCE INVESTMENT PROVISIONS 
Sec. 136. Authorization of appropriations. 
Subtitle C—Job Corps 
Sec. 141. Purposes. 
Sec. 142. Definitions. 
Sec. 143. Establishment. 
Sec. 144. Individuals eligible for the Job Corps. 
Sec. 145. Recruitment, screening, selection, and assignment of enrollees. 
Sec. 146. Enrollment. 
Sec. 147. Job Corps centers.
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Sec. 148. Program activities. 
Sec. 149. Counseling and job placement. 
Sec. 150. Support. 
Sec. 151. Operations. 
Sec. 152. Standards of conduct. 
Sec. 153. Community participation. 
Sec. 154. Workforce councils. 
Sec. 155. Advisory committees. 
Sec. 156. Experimental projects and technical assistance. 
Sec. 157. Application of provisions of Federal law. 
Sec. 158. Special provisions. 
Sec. 159. Management information. 
Sec. 160. General provisions. 
Sec. 161. Job Corps oversight and reporting. 
Sec. 162. Authorization of appropriations. 
Subtitle D—National Programs 
Sec. 166. Native American programs. 
Sec. 167. Migrant and seasonal farmworker programs. 
Sec. 168. Technical assistance. 
Sec. 169. Evaluations and research. 
Sec. 170. National dislocated worker grants. 
Sec. 171. YouthBuild program. 
Sec. 172. Authorization of appropriations. 
Subtitle E—Administration 
Sec. 181. Requirements and restrictions. 
Sec. 182. Prompt allocation of funds. 
Sec. 183. Monitoring. 
Sec. 184. Fiscal controls; sanctions. 
Sec. 185. Reports; recordkeeping; investigations. 
Sec. 186. Administrative adjudication. 
Sec. 187. Judicial review. 
Sec. 188. Nondiscrimination. 
Sec. 189. Secretarial administrative authorities and responsibilities. 
Sec. 190. Workforce flexibility plans. 
Sec. 191. State legislative authority. 
Sec. 192. Transfer of Federal equity in State employment security agency real 
property to the States. 
Sec. 193. Continuation of State activities and policies. 
Sec. 194. General program requirements. 
Sec. 195. Restrictions on lobbying activities. 
TITLE II—ADULT EDUCATION AND LITERACY 
Sec. 201. Short title. 
Sec. 202. Purpose. 
Sec. 203. Definitions. 
Sec. 204. Home schools. 
Sec. 205. Rule of construction regarding postsecondary transition and concurrent 
enrollment activities. 
Sec. 206. Authorization of appropriations.
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Subtitle A—Federal Provisions 
Sec. 211. Reservation of funds; grants to eligible agencies; allotments. 
Sec. 212. Performance accountability system. 
Subtitle B—State Provisions 
Sec. 221. State administration. 
Sec. 222. State distribution of funds; matching requirement. 
Sec. 223. State leadership activities. 
Sec. 224. State plan. 
Sec. 225. Programs for corrections education and other institutionalized individ-
uals. 
Subtitle C—Local Provisions 
Sec. 231. Grants and contracts for eligible providers. 
Sec. 232. Local application. 
Sec. 233. Local administrative cost limits. 
Subtitle D—General Provisions 
Sec. 241. Administrative provisions. 
Sec. 242. National leadership activities. 
Sec. 243. Integrated English literacy and civics education. 
TITLE III—AMENDMENTS TO THE WAGNER-PEYSER ACT 
Sec. 301. Employment service offices. 
Sec. 302. Definitions. 
Sec. 303. Federal and State employment service offices. 
Sec. 304. Allotment of sums. 
Sec. 305. Use of sums. 
Sec. 306. State plan. 
Sec. 307. Performance measures. 
Sec. 308. Workforce and labor market information system. 
TITLE IV—AMENDMENTS TO THE REHABILITATION ACT OF 1973 
Subtitle A—Introductory Provisions 
Sec. 401. References. 
Sec. 402. Findings, purpose, policy. 
Sec. 403. Rehabilitation Services Administration. 
Sec. 404. Definitions. 
Sec. 405. Administration of the Act. 
Sec. 406. Reports. 
Sec. 407. Evaluation and information. 
Sec. 408. Carryover. 
Sec. 409. Traditionally underserved populations. 
Subtitle B—Vocational Rehabilitation Services 
Sec. 411. Declaration of policy; authorization of appropriations. 
Sec. 412. State plans. 
Sec. 413. Eligibility and individualized plan for employment. 
Sec. 414. Vocational rehabilitation services. 
Sec. 415. State Rehabilitation Council.
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Sec. 416. Evaluation standards and performance indicators. 
Sec. 417. Monitoring and review. 
Sec. 418. Training and services for employers. 
Sec. 419. State allotments. 
Sec. 420. Payments to States. 
Sec. 421. Client assistance program. 
Sec. 422. Pre-employment transition services. 
Sec. 423. American Indian vocational rehabilitation services. 
Sec. 424. Vocational rehabilitation services client information. 
Subtitle C—Research and Training 
Sec. 431. Purpose. 
Sec. 432. Authorization of appropriations. 
Sec. 433. National Institute on Disability, Independent Living, and Rehabilita-
tion Research. 
Sec. 434. Interagency committee. 
Sec. 435. Research and other covered activities. 
Sec. 436. Disability, Independent Living, and Rehabilitation Research Advisory 
Council. 
Sec. 437. Definition of covered school. 
Subtitle D—Professional Development and Special Projects and Demonstration 
Sec. 441. Purpose; training. 
Sec. 442. Demonstration, training, and technical assistance programs. 
Sec. 443. Migrant and seasonal farmworkers; recreational programs. 
Subtitle E—National Council on Disability 
Sec. 451. Establishment. 
Sec. 452. Report. 
Sec. 453. Authorization of appropriations. 
Subtitle F—Rights and Advocacy 
Sec. 456. Interagency Committee, Board, and Council. 
Sec. 457. Protection and advocacy of individual rights. 
Sec. 458. Limitations on use of subminimum wage. 
Subtitle G—Employment Opportunities for Individuals With Disabilities 
Sec. 461. Employment opportunities for individuals with disabilities. 
Subtitle H—Independent Living Services and Centers for Independent Living 
CHAPTER 1—INDIVIDUALS WITH SIGNIFICANT DISABILITIES 
SUBCHAPTER A—GENERAL PROVISIONS 
Sec. 471. Purpose. 
Sec. 472. Administration of the independent living program. 
Sec. 473. Definitions. 
Sec. 474. State plan. 
Sec. 475. Statewide Independent Living Council. 
Sec. 475A. Responsibilities of the Administrator.
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SUBCHAPTER B—INDEPENDENT LIVING SERVICES 
Sec. 476. Administration. 
SUBCHAPTER C—CENTERS FOR INDEPENDENT LIVING 
Sec. 481. Program authorization. 
Sec. 482. Centers. 
Sec. 483. Standards and assurances. 
Sec. 484. Authorization of appropriations. 
CHAPTER 2—INDEPENDENT LIVING SERVICES FOR OLDER INDIVIDUALS WHO 
ARE BLIND 
Sec. 486. Independent living services for older individuals who are blind. 
Sec. 487. Program of grants. 
Sec. 488. Independent living services for older individuals who are blind author-
ization of appropriations. 
Subtitle I—General Provisions 
Sec. 491. Transfer of functions regarding independent living to Department of 
Health and Human Services, and savings provisions. 
Sec. 492. Table of contents. 
TITLE V—GENERAL PROVISIONS 
Subtitle A—Workforce Investment 
Sec. 501. Privacy. 
Sec. 502. Buy-American requirements. 
Sec. 503. Transition provisions. 
Sec. 504. Reduction of reporting burdens and requirements. 
Sec. 505. Report on data capability of Federal and State databases and data ex-
change agreements. 
Sec. 506. Effective dates. 
Subtitle B—Amendments to Other Laws 
Sec. 511. Repeal of the Workforce Investment Act of 1998. 
Sec. 512. Conforming amendments. 
Sec. 513. References. 
SEC. 2. PURPOSES. 
The purposes of this Act are the following: 
(1) To increase, for individuals in the United 
States, particularly those individuals with barriers to 
employment, access to and opportunities for the em-
ployment, education, training, and support services 
they need to succeed in the labor market.
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(2) To support the alignment of workforce invest-
ment, education, and economic development systems 
in support of a comprehensive, accessible, and high- 
quality workforce development system in the United 
States. 
(3) To improve the quality and labor market rel-
evance of workforce investment, education, and eco-
nomic development efforts to provide America’s work-
ers with the skills and credentials necessary to secure 
and advance in employment with family-sustaining 
wages and to provide America’s employers with the 
skilled workers the employers need to succeed in a 
global economy. 
(4) To promote improvement in the structure of 
and delivery of services through the United States 
workforce development system to better address the 
employment and skill needs of workers, jobseekers, and 
employers. 
(5) To increase the prosperity of workers and 
employers in the United States, the economic growth 
of communities, regions, and States, and the global 
competitiveness of the United States. 
(6) For purposes of subtitle A and B of title I, 
to provide workforce investment activities, through 
statewide and local workforce development systems,
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that increase the employment, retention, and earnings 
of participants, and increase attainment of recognized 
postsecondary credentials by participants, and as a 
result, improve the quality of the workforce, reduce 
welfare dependency, increase economic self-sufficiency, 
meet the skill requirements of employers, and enhance 
the productivity and competitiveness of the Nation. 
SEC. 3. DEFINITIONS. 
In this Act, and the core program provisions that are 
not in this Act, except as otherwise expressly provided: 
(1) ADMINISTRATIVE COSTS.—The term ‘‘admin-
istrative costs’’ means expenditures incurred by State 
boards and local boards, direct recipients (including 
State grant recipients under subtitle B of title I and 
recipients of awards under subtitles C and D of title 
I), local grant recipients, local fiscal agents or local 
grant subrecipients, and one-stop operators in the 
performance of administrative functions and in car-
rying out activities under title I that are not related 
to the direct provision of workforce investment serv-
ices (including services to participants and employ-
ers). Such costs include both personnel and nonper-
sonnel costs and both direct and indirect costs.
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(2) ADULT.—Except as otherwise specified in 
section 132, the term ‘‘adult’’ means an individual 
who is age 18 or older. 
(3) ADULT EDUCATION; ADULT EDUCATION AND 
LITERACY ACTIVITIES.—The terms ‘‘adult education’’ 
and ‘‘adult education and literacy activities’’ have the 
meanings given the terms in section 203. 
(4) AREA CAREER AND TECHNICAL EDUCATION 
SCHOOL.—The term ‘‘area career and technical edu-
cation school’’ has the meaning given the term in sec-
tion 3 of the Carl D. Perkins Career and Technical 
Education Act of 2006 (20 U.S.C. 2302). 
(5) BASIC SKILLS DEFICIENT.—The term ‘‘basic 
skills deficient’’ means, with respect to an indi-
vidual— 
(A) who is a youth, that the individual has 
English reading, writing, or computing skills at 
or below the 8th grade level on a generally ac-
cepted standardized test; or 
(B) who is a youth or adult, that the indi-
vidual is unable to compute or solve problems, or 
read, write, or speak English, at a level nec-
essary to function on the job, in the individual’s 
family, or in society.
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(6) CAREER AND TECHNICAL EDUCATION.—The 
term ‘‘career and technical education’’ has the mean-
ing given the term in section 3 of the Carl D. Perkins 
Career and Technical Education Act of 2006 (20 
U.S.C. 2302). 
(7) CAREER PATHWAY.—The term ‘‘career path-
way’’ means a combination of rigorous and high- 
quality education, training, and other services that— 
(A) aligns with the skill needs of industries 
in the economy of the State or regional economy 
involved; 
(B) prepares an individual to be successful 
in any of a full range of secondary or postsec-
ondary education options, including apprentice-
ships registered under the Act of August 16, 1937 
(commonly known as the ‘‘National Apprentice-
ship Act’’; 50 Stat. 664, chapter 663; 29 U.S.C. 
50 et seq.) (referred to individually in this Act 
as an ‘‘apprenticeship’’, except in section 171); 
(C) includes counseling to support an indi-
vidual in achieving the individual’s education 
and career goals; 
(D) includes, as appropriate, education of-
fered concurrently with and in the same context
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as workforce preparation activities and training 
for a specific occupation or occupational cluster; 
(E) organizes education, training, and other 
services to meet the particular needs of an indi-
vidual in a manner that accelerates the edu-
cational and career advancement of the indi-
vidual to the extent practicable; 
(F) enables an individual to attain a sec-
ondary school diploma or its recognized equiva-
lent, and at least 1 recognized postsecondary cre-
dential; and 
(G) helps an individual enter or advance 
within a specific occupation or occupational 
cluster. 
(8) CAREER PLANNING.—The term ‘‘career plan-
ning’’ means the provision of a client-centered ap-
proach in the delivery of services, designed— 
(A) to prepare and coordinate comprehen-
sive employment plans, such as service strategies, 
for participants to ensure access to necessary 
workforce investment activities and supportive 
services, using, where feasible, computer-based 
technologies; and
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(B) to provide job, education, and career 
counseling, as appropriate during program par-
ticipation and after job placement. 
(9) 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, 
the individuals designated under the agreement 
described in section 107(c)(1)(B). 
(10) COMMUNITY-BASED
ORGANIZATION.—The 
term ‘‘community-based organization’’ means a pri-
vate nonprofit organization (which may include a 
faith-based organization), that is representative of a 
community or a significant segment of a community 
and that has demonstrated expertise and effectiveness 
in the field of workforce development. 
(11) COMPETITIVE INTEGRATED EMPLOYMENT.— 
The term ‘‘competitive integrated employment’’ has 
the meaning given the term in section 7 of the Reha-
bilitation Act of 1973 (29 U.S.C. 705), for individ-
uals with disabilities.
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(12) CORE
PROGRAM.—The term ‘‘core pro-
grams’’ means a program authorized under a core 
program provision. 
(13) CORE
PROGRAM
PROVISION.—The term 
‘‘core program provision’’ means— 
(A) chapters 2 and 3 of subtitle B of title 
I (relating to youth workforce investment activi-
ties and adult and dislocated worker employment 
and training activities); 
(B) title II (relating to adult education and 
literacy activities); 
(C) sections 1 through 13 of the Wagner- 
Peyser Act (29 U.S.C. 49 et seq.) (relating to em-
ployment services); and 
(D) title I of the Rehabilitation Act of 1973 
(29 U.S.C. 720 et seq.), other than section 112 or 
part C of that title (29 U.S.C. 732, 741) (relat-
ing to vocational rehabilitation services). 
(14) CUSTOMIZED
TRAINING.—The term ‘‘cus-
tomized training’’ means training— 
(A) that is designed to meet the specific re-
quirements of an employer (including a group of 
employers);
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(B) that is conducted with a commitment 
by the employer to employ an individual upon 
successful completion of the training; and 
(C) for which the employer pays— 
(i) a significant portion of the cost of 
training, as determined by the local board 
involved, taking into account the size of the 
employer and such other factors as the local 
board determines to be appropriate, which 
may include the number of employees par-
ticipating in training, wage and benefit lev-
els of those employees (at present and an-
ticipated upon completion of the training), 
relation of the training to the competitive-
ness of a participant, and other employer- 
provided training and advancement oppor-
tunities; and 
(ii) in the case of customized training 
(as defined in subparagraphs (A) and (B)) 
involving an employer located in multiple 
local areas in the State, a significant por-
tion of the cost of the training, as deter-
mined by the Governor of the State, taking 
into account the size of the employer and
† HR 803 EAS 
such other factors as the Governor deter-
mines to be appropriate. 
(15) DISLOCATED
WORKER.—The term ‘‘dis-
located 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 center referred to in section 121(e), 
attachment to the workforce, but is not eligible 
for unemployment compensation due to insuffi-
cient earnings or having performed services for 
an employer that were not covered under a State 
unemployment 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, 
from employment as a result of any permanent 
closure of, or any substantial layoff at, a plant, 
facility, or enterprise;
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(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 other than training services described in 
section 134(c)(3), career services described in sec-
tion 134(c)(2)(A)(xii), or supportive services, is 
employed at a facility 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; 
(D) is a displaced homemaker; or 
(E)(i) is the spouse of a member of the 
Armed Forces on active duty (as defined in sec-
tion 101(d)(1) of title 10, United States Code), 
and who has experienced a loss of employment as 
a direct result of relocation to accommodate a 
permanent change in duty station of such mem-
ber; or
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(B) is unemployed or underemployed and is 
experiencing difficulty in obtaining or upgrad-
ing employment. 
(17) ECONOMIC
DEVELOPMENT
AGENCY.—The 
term ‘‘economic development agency’’ includes a local 
planning or zoning commission or board, a commu-
nity development agency, or another local agency or 
institution responsible for regulating, promoting, or 
assisting in local economic development. 
(18) ELIGIBLE YOUTH.—Except as provided in 
subtitles C and D of title I, the term ‘‘eligible youth’’ 
means an in-school youth or out-of-school youth. 
(19) EMPLOYMENT
AND
TRAINING
ACTIVITY.— 
The term ‘‘employment and training activity’’ means 
an activity described in section 134 that is carried 
out for an adult or dislocated worker. 
(20) ENGLISH
LANGUAGE
ACQUISITION
PRO-
GRAM.—The term ‘‘English language acquisition pro-
gram’’ has the meaning given the term in section 203. 
(21) ENGLISH LANGUAGE LEARNER.—The term 
‘‘English language learner’’ has the meaning given 
the term in section 203. 
(22) GOVERNOR.—The term ‘‘Governor’’ means 
the chief executive of a State or an outlying area.
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(23) IN-DEMAND INDUSTRY SECTOR OR OCCUPA-
TION.— 
(A) IN
GENERAL.—The term ‘‘in-demand 
industry sector or occupation’’ means— 
(i) an industry sector that has a sub-
stantial current or potential impact (in-
cluding through jobs that lead to economic 
self-sufficiency and opportunities for ad-
vancement) on the State, regional, or local 
economy, as appropriate, and that contrib-
utes to the growth or stability of other sup-
porting businesses, or the growth of other 
industry sectors; or 
(ii) an occupation that currently has 
or is projected to have a number of posi-
tions (including positions that lead to eco-
nomic self-sufficiency and opportunities for 
advancement) in an industry sector so as to 
have a significant impact on the State, re-
gional, or local economy, as appropriate. 
(B) DETERMINATION.—The determination 
of whether an industry sector or occupation is 
in-demand under this paragraph shall be made 
by the State board or local board, as appro-
priate, using State and regional business and
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labor market projections, including the use of 
labor market information. 
(24) INDIVIDUAL WITH A BARRIER TO EMPLOY-
MENT.—The term ‘‘individual with a barrier to em-
ployment’’ means a member of 1 or more of the fol-
lowing populations: 
(A) Displaced homemakers. 
(B) Low-income individuals. 
(C) Indians, Alaska Natives, and Native 
Hawaiians, as such terms are defined in section 
166. 
(D) Individuals with disabilities, including 
youth who are individuals with disabilities. 
(E) Older individuals. 
(F) Ex-offenders. 
(G) Homeless individuals (as defined in sec-
tion 41403(6) of the Violence Against Women Act 
of 1994 (42 U.S.C. 14043e–2(6))), or homeless 
children and youths (as defined in section 725(2) 
of the McKinney-Vento Homeless Assistance Act 
(42 U.S.C. 11434a(2))). 
(H) Youth who are in or have aged out of 
the foster care system. 
(I) Individuals who are English language 
learners, individuals who have low levels of lit-
† HR 803 EAS 
eracy, and individuals facing substantial cul-
tural barriers. 
(J) Eligible migrant and seasonal farm-
workers, as defined in section 167(i). 
(K) Individuals within 2 years of exhaust-
ing lifetime eligibility under part A of title IV 
of the Social Security Act (42 U.S.C. 601 et 
seq.). 
(L) Single parents (including single preg-
nant women). 
(M) Long-term unemployed individuals. 
(N) Such other groups as the Governor in-
volved determines to have barriers to employ-
ment. 
(25) INDIVIDUAL WITH A DISABILITY.— 
(A) IN
GENERAL.—The term ‘‘individual 
with a disability’’ means an individual with a 
disability as defined in section 3 of the Ameri-
cans 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. 
(26) INDUSTRY OR SECTOR PARTNERSHIP.—The 
term ‘‘industry or sector partnership’’ means a work-
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force collaborative, convened by or acting in partner-
ship with a State board or local board, that— 
(A) organizes key stakeholders in an indus-
try cluster into a working group that focuses on 
the shared goals and human resources needs of 
the industry cluster and that includes, at the ap-
propriate stage of development of the partner-
ship— 
(i) representatives of multiple busi-
nesses or other employers in the industry 
cluster, including small and medium-sized 
employers when practicable; 
(ii) 1 or more representatives of a rec-
ognized State labor organization or central 
labor council, or another labor representa-
tive, as appropriate; and 
(iii) 1 or more representatives of an 
institution of higher education with, or an-
other provider of, education or training pro-
grams that support the industry cluster; 
and 
(B) may include representatives of— 
(i) State or local government; 
(ii) State or local economic develop-
ment agencies;
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(iii) State boards or local boards, as 
appropriate; 
(iv) a State workforce agency or other 
entity providing employment services; 
(v) other State or local agencies; 
(vi) business or trade associations; 
(vii) economic development organiza-
tions; 
(viii) nonprofit organizations, commu-
nity-based organizations, or intermediaries; 
(ix) philanthropic organizations; 
(x) industry associations; and 
(xi) other organizations, as determined 
to be necessary by the members comprising 
the industry or sector partnership. 
(27) IN-SCHOOL
YOUTH.—The term ‘‘in-school 
youth’’ 
means 
a 
youth 
described 
in 
section 
129(a)(1)(C). 
(28) INSTITUTION OF HIGHER EDUCATION.—The 
term ‘‘institution of higher education’’ has the mean-
ing given the term in section 101, and subparagraphs 
(A) and (B) of section 102(a)(1), of the Higher Edu-
cation Act of 1965 (20 U.S.C. 1001, 1002(a)(1)).
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(29) INTEGRATED EDUCATION AND TRAINING.— 
The term ‘‘integrated education and training’’ has the 
meaning given the term in section 203. 
(30) LABOR
MARKET
AREA.—The term ‘‘labor 
market area’’ means an economically integrated geo-
graphic area within which individuals can reside and 
find employment within a reasonable distance or can 
readily change employment without changing their 
place of residence. Such an area shall be identified in 
accordance with criteria used by the Bureau of Labor 
Statistics of the Department of Labor in defining 
such areas or similar criteria established by a Gov-
ernor. 
(31) LITERACY.—The term ‘‘literacy’’ has the 
meaning given the term in section 203. 
(32) LOCAL
AREA.—The term ‘‘local area’’ 
means a local workforce investment area designated 
under section 106, subject to sections 106(c)(3)(A), 
107(c)(4)(B)(i), and 189(i). 
(33) LOCAL
BOARD.—The term ‘‘local board’’ 
means a local workforce development board estab-
lished 
under 
section 
107, 
subject 
to 
section 
107(c)(4)(B)(i). 
(34) LOCAL EDUCATIONAL AGENCY.—The term 
‘‘local educational agency’’ has the meaning given the
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(I) the poverty line; or 
(II) 70 percent of the lower living 
standard income level; 
(iii) is a homeless individual (as de-
fined in section 41403(6) of the Violence 
Against Women Act of 1994 (42 U.S.C. 
14043e–2(6))), or a homeless child or youth 
(as defined under section 725(2) of the 
McKinney-Vento Homeless Assistance Act 
(42 U.S.C. 11434a(2))); 
(iv) receives or is eligible to receive a 
free or reduced price lunch under the Rich-
ard B. Russell National School Lunch Act 
(42 U.S.C. 1751 et seq.); 
(v) is a foster child on behalf of whom 
State or local government payments are 
made; or 
(vi) is an individual with a disability 
whose own income meets the income require-
ment of clause (ii), but who is a member of 
a family whose income does not meet this 
requirement. 
(B) LOWER
LIVING
STANDARD
INCOME 
LEVEL.—The term ‘‘lower living standard in-
come level’’ means that income level (adjusted for
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regional, metropolitan, urban, and rural dif-
ferences and family size) determined annually by 
the Secretary of Labor based on the most recent 
lower living family budget issued by the Sec-
retary. 
(37) NONTRADITIONAL EMPLOYMENT.—The term 
‘‘nontraditional employment’’ refers to occupations or 
fields of work, for which individuals from the gender 
involved comprise less than 25 percent of the individ-
uals employed in each such occupation or field of 
work. 
(38) OFFENDER.—The term ‘‘offender’’ means an 
adult or juvenile— 
(A) who is or has been subject to any stage 
of the criminal justice process, and for whom 
services under this Act may be beneficial; or 
(B) who requires assistance in overcoming 
artificial barriers to employment resulting from 
a record of arrest or conviction. 
(39) OLDER INDIVIDUAL.—The term ‘‘older indi-
vidual’’ means an individual age 55 or older. 
(40) ONE-STOP
CENTER.—The term ‘‘one-stop 
center’’ means a site described in section 121(e)(2).
† HR 803 EAS 
(41) ONE-STOP OPERATOR.—The term ‘‘one-stop 
operator’’ means 1 or more entities designated or cer-
tified under section 121(d). 
(42) ONE-STOP PARTNER.—The term ‘‘one-stop 
partner’’ means— 
(A) an entity described in section 121(b)(1); 
and 
(B) an entity described in section 121(b)(2) 
that is participating, with the approval of the 
local board and chief elected official, in the oper-
ation of a one-stop delivery system. 
(43) ONE-STOP PARTNER PROGRAM.—The term 
‘‘one-stop partner program’’ means a program or ac-
tivities described in section 121(b) of a one-stop part-
ner. 
(44) ON-THE-JOB TRAINING.—The term ‘‘on-the- 
job training’’ means training by an employer that is 
provided to a paid participant while engaged in pro-
ductive work in a job that— 
(A) provides knowledge or skills essential to 
the full and adequate performance of the job; 
(B) is made available through a program 
that provides reimbursement to the employer of 
up to 50 percent of the wage rate of the partici-
pant, except as provided in section 134(c)(3)(H),
† HR 803 EAS 
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, taking into account the content of the 
training, the prior work experience of the partic-
ipant, and the service strategy of the partici-
pant, as appropriate. 
(45) OUTLYING
AREA.—The term ‘‘outlying 
area’’ means— 
(A) American Samoa, Guam, the Common-
wealth of the Northern Mariana Islands, and the 
United States Virgin Islands; and 
(B) the Republic of Palau, except during 
any period for which the Secretary of Labor and 
the Secretary of Education determine that a 
Compact of Free Association is in effect and con-
tains provisions for training and education as-
sistance prohibiting the assistance provided 
under this Act. 
(46) OUT-OF-SCHOOL YOUTH.—The term ‘‘out-of- 
school youth’’ means a youth described in section 
129(a)(1)(B).
† HR 803 EAS 
(47) PAY-FOR-PERFORMANCE CONTRACT STRAT-
EGY.—The term ‘‘pay-for-performance contract strat-
egy’’ means a procurement strategy that uses pay-for- 
performance contracts in the provision of training 
services described in section 134(c)(3) or activities de-
scribed in section 129(c)(2), and includes— 
(A) contracts, each of which shall specify a 
fixed amount that will be paid to an eligible 
service provider (which may include a local or 
national community-based organization or inter-
mediary, community college, or other training 
provider, that is eligible under section 122 or 
123, as appropriate) based on the achievement of 
specified levels of performance on the primary 
indicators of performance described in section 
116(b)(2)(A) for target populations as identified 
by the local board (including individuals with 
barriers to employment), within a defined time-
table, and which may provide for bonus pay-
ments to such service provider to expand capac-
ity to provide effective training; 
(B) a strategy for independently validating 
the achievement of the performance described in 
subparagraph (A); and
† HR 803 EAS 
(C) a description of how the State or local 
area will reallocate funds not paid to a provider 
because the achievement of the performance de-
scribed in subparagraph (A) did not occur, for 
further activities related to such a procurement 
strategy, subject to section 189(g)(4). 
(48) PLANNING
REGION.—The term ‘‘planning 
region’’ means a region described in subparagraph 
(B) or (C) of section 106(a)(2), subject to section 
107(c)(4)(B)(i). 
(49) 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. 
(50) PUBLIC ASSISTANCE.—The term ‘‘public as-
sistance’’ means Federal, State, or local government 
cash payments for which eligibility is determined by 
a needs or income test. 
(51) RAPID
RESPONSE
ACTIVITY.—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 
134(a)(1)(A), in the case of a permanent closure or
† HR 803 EAS 
mass layoff at a plant, facility, or enterprise, or a 
natural or other disaster, that results in mass job dis-
location, in order to assist dislocated workers in ob-
taining reemployment as soon as possible, with serv-
ices including— 
(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 on and ac-
cess to available employment and training ac-
tivities; 
(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;
† HR 803 EAS 
(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. 
(52) RECOGNIZED
POSTSECONDARY
CREDEN-
TIAL.—The term ‘‘recognized postsecondary creden-
tial’’ means a credential consisting of an industry- 
recognized certificate or certification, a certificate of 
completion of an apprenticeship, a license recognized 
by the State involved or Federal Government, or an 
associate or baccalaureate degree. 
(53) REGION.—The term ‘‘region’’, used without 
further description, means a region identified under 
section 106(a), subject to section 107(c)(4)(B)(i) and 
except as provided in section 106(b)(1)(B)(ii). 
(54) 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. 
(55) SECONDARY SCHOOL.—The term ‘‘secondary 
school’’ has the meaning given the term in section
† HR 803 EAS 
9101 of the Elementary and Secondary Education 
Act of 1965 (20 U.S.C. 7801). 
(56) STATE.—The term ‘‘State’’ means each of 
the several States of the United States, the District of 
Columbia, and the Commonwealth of Puerto Rico. 
(57) STATE
BOARD.—The term ‘‘State board’’ 
means a State workforce development board estab-
lished under section 101. 
(58) STATE PLAN.—The term ‘‘State plan’’, used 
without further description, means a unified State 
plan under section 102 or a combined State plan 
under section 103. 
(59) SUPPORTIVE
SERVICES.—The term ‘‘sup-
portive services’’ means services such as transpor-
tation, child care, dependent care, housing, and needs- 
related payments, that are necessary to enable an in-
dividual to participate in activities authorized under 
this Act. 
(60) TRAINING SERVICES.—The term ‘‘training 
services’’ 
means 
services 
described 
in 
section 
134(c)(3). 
(61) UNEMPLOYED INDIVIDUAL.—The term ‘‘un-
employed individual’’ means an individual who is 
without a job and who wants and is available for 
work. The determination of whether an individual is
† HR 803 EAS 
without a job, for purposes of this paragraph, shall be 
made in accordance with the criteria used by the Bu-
reau of Labor Statistics of the Department of Labor 
in defining individuals as unemployed. 
(62) UNIT OF GENERAL LOCAL GOVERNMENT.— 
The term ‘‘unit of general local government’’ means 
any general purpose political subdivision of a State 
that has the power to levy taxes and spend funds, as 
well as general corporate and police powers. 
(63) VETERAN; RELATED DEFINITION.— 
(A) VETERAN.—The term ‘‘veteran’’ has the 
meaning given the term in section 101 of title 
38, United States Code. 
(B) RECENTLY SEPARATED VETERAN.—The 
term ‘‘recently separated veteran’’ means any 
veteran who applies for participation under this 
Act within 48 months after the discharge or re-
lease from active military, naval, or air service. 
(64) VOCATIONAL REHABILITATION PROGRAM.— 
The term ‘‘vocational rehabilitation program’’ means 
a program authorized under a provision covered 
under paragraph (13)(D). 
(65) WORKFORCE DEVELOPMENT ACTIVITY.—The 
term ‘‘workforce development activity’’ means an ac-
† HR 803 EAS 
tivity carried out through a workforce development 
program. 
(66) WORKFORCE
DEVELOPMENT
PROGRAM.— 
The term ‘‘workforce development program’’ means a 
program made available through a workforce develop-
ment system. 
(67) WORKFORCE DEVELOPMENT SYSTEM.—The 
term ‘‘workforce development system’’ means a system 
that makes available the core programs, the other one- 
stop partner programs, and any other programs pro-
viding employment and training services as identified 
by a State board or local board. 
(68) WORKFORCE
INVESTMENT
ACTIVITY.—The 
term ‘‘workforce investment activity’’ means an em-
ployment and training activity, and a youth work-
force investment activity. 
(69) WORKFORCE
PREPARATION
ACTIVITIES.— 
The term ‘‘workforce preparation activities’’ has the 
meaning given the term in section 203. 
(70) WORKPLACE LEARNING ADVISOR.—The term 
‘‘workplace learning advisor’’ means an individual 
employed by an organization who has the knowledge 
and skills necessary to advise other employees of that 
organization about the education, skill development, 
job training, career counseling services, and creden-
† HR 803 EAS 
tials, including services provided through the work-
force development system, required to progress toward 
career goals of such employees in order to meet em-
ployer requirements related to job openings and career 
advancements that support economic self-sufficiency. 
(71) YOUTH
WORKFORCE
INVESTMENT
ACTIV-
ITY.—The term ‘‘youth workforce investment activity’’ 
means an activity described in section 129 that is 
carried out for eligible youth (or as described in sec-
tion 129(a)(3)(A)). 
TITLE I—WORKFORCE 
DEVELOPMENT ACTIVITIES 
Subtitle A—System Alignment 
CHAPTER 1—STATE PROVISIONS 
SEC. 101. STATE WORKFORCE DEVELOPMENT BOARDS. 
(a) IN GENERAL.—The Governor of a State shall estab-
lish a State workforce development board to carry out the 
functions described in subsection (d). 
(b) MEMBERSHIP.— 
(1) IN
GENERAL.—The State board shall in-
clude— 
(A) the Governor; 
(B) a member of each chamber of the State 
legislature (to the extent consistent with State
† HR 803 EAS 
law), appointed by the appropriate presiding of-
ficers of such chamber; and 
(C) members appointed by the Governor, of 
which— 
(i) a majority shall be representatives 
of businesses in the State, who— 
(I) are owners of businesses, chief 
executives or operating officers of busi-
nesses, or other business executives or 
employers with optimum policymaking 
or hiring authority, and who, in addi-
tion, may be members of a local board 
described in section 107(b)(2)(A)(i); 
(II) represent businesses (includ-
ing small businesses), or organizations 
representing businesses described in 
this subclause, that provide employ-
ment opportunities that, at a min-
imum, include high-quality, work-rel-
evant training and development in in- 
demand industry sectors or occupa-
tions in the State; and 
(III) are appointed from among 
individuals nominated by State busi-
† HR 803 EAS 
ness organizations and business trade 
associations; 
(ii) not less than 20 percent shall be 
representatives of the workforce within the 
State, who— 
(I) shall include representatives of 
labor organizations, who have been 
nominated by State labor federations; 
(II) shall include a representative, 
who shall be a member of a labor orga-
nization or a training director, from a 
joint labor-management apprenticeship 
program, or if no such joint program 
exists in the State, such a representa-
tive of an apprenticeship program in 
the State; 
(III) may include representatives 
of community-based organizations that 
have demonstrated experience and ex-
pertise in addressing the employment, 
training, or education needs of indi-
viduals with barriers to employment, 
including organizations that serve vet-
erans or that provide or support com-
† HR 803 EAS 
petitive, integrated employment for in-
dividuals with disabilities; and 
(IV) may include representatives 
of 
organizations 
that 
have 
dem-
onstrated experience and expertise in 
addressing the employment, training, 
or education needs of eligible youth, in-
cluding representatives of organiza-
tions that serve out-of-school youth; 
and 
(iii) the balance— 
(I) shall include representatives of 
government, who— 
(aa) shall include the lead 
State officials with primary re-
sponsibility for the core programs; 
and 
(bb) shall include chief elect-
ed 
officials 
(collectively 
rep-
resenting both cities and counties, 
where appropriate); and 
(II) may include such other rep-
resentatives and officials as the Gov-
ernor may designate, such as—
† HR 803 EAS 
(aa) the State agency offi-
cials from agencies that are one- 
stop partners not specified in sub-
clause (I) (including additional 
one-stop partners whose programs 
are covered by the State plan, if 
any); 
(bb) State agency officials re-
sponsible for economic develop-
ment or juvenile justice programs 
in the State; 
(cc) individuals who rep-
resent an Indian tribe or tribal 
organization, as such terms are 
defined in section 166(b); and 
(dd) State agency officials 
responsible for education pro-
grams in the State, including 
chief executive officers of commu-
nity colleges and other institu-
tions of higher education. 
(2) DIVERSE AND DISTINCT REPRESENTATION.— 
The members of the State board shall represent di-
verse geographic areas of the State, including urban, 
rural, and suburban areas.
† HR 803 EAS 
(3) NO
REPRESENTATION
OF
MULTIPLE
CAT-
EGORIES.—No person shall serve as a member for 
more than 1 of— 
(A) the category described in paragraph 
(1)(C)(i); or 
(B) 1 category described in a subclause of 
clause (ii) or (iii) of paragraph (1)(C). 
(c) CHAIRPERSON.—The Governor shall select a chair-
person for the State board from among the representatives 
described in subsection (b)(1)(C)(i). 
(d) FUNCTIONS.—The State board shall assist the Gov-
ernor in— 
(1) the development, implementation, and modi-
fication of the State plan; 
(2) consistent with paragraph (1), the review of 
statewide policies, of statewide programs, and of rec-
ommendations on actions that should be taken by the 
State to align workforce development programs in the 
State in a manner that supports a comprehensive and 
streamlined workforce development system in the 
State, including the review and provision of com-
ments on the State plans, if any, for programs and 
activities of one-stop partners that are not core pro-
grams;
† HR 803 EAS 
(3) the development and continuous improvement 
of the workforce development system in the State, in-
cluding— 
(A) the identification of barriers and means 
for removing barriers to better coordinate, align, 
and avoid duplication among the programs and 
activities carried out through the system; 
(B) the development of strategies to support 
the use of career pathways for the purpose of 
providing 
individuals, 
including 
low-skilled 
adults, youth, and individuals with barriers to 
employment (including individuals with disabil-
ities), with workforce investment activities, edu-
cation, and supportive services to enter or retain 
employment; 
(C) the development of strategies for pro-
viding effective outreach to and improved access 
for individuals and employers who could benefit 
from services provided through the workforce de-
velopment system; 
(D) the development and expansion of strat-
egies for meeting the needs of employers, workers, 
and jobseekers, particularly through industry or 
sector partnerships related to in-demand indus-
try sectors and occupations;
† HR 803 EAS 
(E) the identification of regions, including 
planning regions, for the purposes of section 
106(a), and the designation of local areas under 
section 106, after consultation with local boards 
and chief elected officials; 
(F) the development and continuous im-
provement of the one-stop delivery system in 
local areas, including providing assistance to 
local boards, one-stop operators, one-stop part-
ners, and providers with planning and deliv-
ering services, including training services and 
supportive services, to support effective delivery 
of services to workers, jobseekers, and employers; 
and 
(G) the development of strategies to support 
staff training and awareness across programs 
supported under the workforce development sys-
tem; 
(4) the development and updating of comprehen-
sive State performance accountability measures, in-
cluding State adjusted levels of performance, to assess 
the effectiveness of the core programs in the State as 
required under section 116(b);
† HR 803 EAS 
(5) the identification and dissemination of infor-
mation on best practices, including best practices 
for— 
(A) the effective operation of one-stop cen-
ters, relating to the use of business outreach, 
partnerships, and service delivery strategies, in-
cluding strategies for serving individuals with 
barriers to employment; 
(B) the development of effective local boards, 
which may include information on factors that 
contribute to enabling local boards to exceed ne-
gotiated local levels of performance, sustain fiscal 
integrity, and achieve other measures of effective-
ness; and 
(C) effective training programs that respond 
to real-time labor market analysis, that effec-
tively use direct assessment and prior learning 
assessment to measure an individual’s prior 
knowledge, skills, competencies, and experiences, 
and that evaluate such skills, and competencies 
for adaptability, to support efficient placement 
into employment or career pathways; 
(6) the development and review of statewide poli-
cies affecting the coordinated provision of services
† HR 803 EAS 
through the State’s one-stop delivery system described 
in section 121(e), including the development of— 
(A) objective criteria and procedures for use 
by local boards in assessing the effectiveness and 
continuous improvement of one-stop centers de-
scribed in such section; 
(B) guidance for the allocation of one-stop 
center infrastructure funds under section 121(h); 
and 
(C) policies relating to the appropriate roles 
and contributions of entities carrying out one- 
stop partner programs within the one-stop deliv-
ery system, including approaches to facilitating 
equitable and efficient cost allocation in such 
system; 
(7) the development of strategies for technological 
improvements to facilitate access to, and improve the 
quality of, services and activities provided through the 
one-stop delivery system, including such improve-
ments to— 
(A) enhance digital literacy skills (as de-
fined in section 202 of the Museum and Library 
Services Act (20 U.S.C. 9101); referred to in this 
Act as ‘‘digital literacy skills’’);
† HR 803 EAS 
(B) accelerate the acquisition of skills and 
recognized postsecondary credentials by partici-
pants; 
(C) strengthen the professional development 
of providers and workforce professionals; and 
(D) ensure such technology is accessible to 
individuals with disabilities and individuals re-
siding in remote areas; 
(8) the development of strategies for aligning 
technology and data systems across one-stop partner 
programs to enhance service delivery and improve ef-
ficiencies in reporting on performance accountability 
measures (including the design and implementation 
of common intake, data collection, case management 
information, and performance accountability meas-
urement and reporting processes and the incorpora-
tion of local input into such design and implementa-
tion, to improve coordination of services across one- 
stop partner programs); 
(9) the development of allocation formulas for the 
distribution of funds for employment and training ac-
tivities for adults, and youth workforce investment ac-
tivities, to local areas as permitted under sections 
128(b)(3) and 133(b)(3);
† HR 803 EAS 
(10) the preparation of the annual reports de-
scribed in paragraphs (1) and (2) of section 116(d); 
(11) the development of the statewide workforce 
and labor market information system described in 
section 15(e) of the Wagner-Peyser Act (29 U.S.C. 
49l–2(e)); and 
(12) the development of such other policies as 
may promote statewide objectives for, and enhance the 
performance of, the workforce development system in 
the State. 
(e) ALTERNATIVE ENTITY.— 
(1) IN GENERAL.—For the purposes of complying 
with subsections (a), (b), and (c), a State may use 
any State entity (including a State council, State 
workforce development board (within the meaning of 
the Workforce Investment Act of 1998, as in effect on 
the day before the date of enactment of this Act), com-
bination of regional workforce development boards, or 
similar entity) that— 
(A) was in existence on the day before the 
date of enactment of the Workforce Investment 
Act of 1998; 
(B) is substantially similar to the State 
board described in subsections (a) through (c); 
and
† HR 803 EAS 
(C) includes representatives of business in 
the State and representatives of labor organiza-
tions in the State. 
(2) REFERENCES.—A reference in this Act, or a 
core program provision that is not in this Act, to a 
State board shall be considered to include such an en-
tity. 
(f) CONFLICT OF INTEREST.—A member of a State 
board may not— 
(1) vote on a matter under consideration by the 
State board— 
(A) regarding the provision of services by 
such member (or by an entity that such member 
represents); or 
(B) that would provide direct financial ben-
efit to such member or the immediate family of 
such member; or 
(2) engage in any other activity determined by 
the Governor to constitute a conflict of interest as 
specified in the State plan. 
(g) SUNSHINE PROVISION.—The State board shall 
make available to the public, on a regular basis through 
electronic means and open meetings, information regarding 
the activities of the State board, including information re-
garding the State plan, or a modification to the State plan,
† HR 803 EAS 
prior to submission of the plan or modification of the plan, 
respectively, information regarding membership, and, on 
request, minutes of formal meetings of the State board. 
(h) AUTHORITY TO HIRE STAFF.— 
(1) IN GENERAL.—The State board may hire a 
director and other staff to assist in carrying out the 
functions described in subsection (d) using funds 
available as described in section 129(b)(3) or 
134(a)(3)(B)(i). 
(2) QUALIFICATIONS.—The State board shall es-
tablish and apply a set of objective qualifications for 
the position of director, that ensures that the indi-
vidual selected has the requisite knowledge, skills, and 
abilities, to meet identified benchmarks and to assist 
in effectively carrying out the functions of the State 
board. 
(3) LIMITATION
ON
RATE.—The director and 
staff described in paragraph (1) shall be subject to the 
limitations on the payment of salary and bonuses de-
scribed in section 194(15). 
SEC. 102. UNIFIED STATE PLAN. 
(a) PLAN.—For a State to be eligible to receive allot-
ments for the core programs, the Governor shall submit to 
the Secretary of Labor for the approval process described 
under subsection (c)(2), a unified State plan. The unified
† HR 803 EAS 
strengths and weaknesses of such activities, and 
the capacity of State entities to provide such ac-
tivities, in order to address the identified edu-
cation and skill needs of the workforce and the 
employment needs of employers in the State; 
(D) a description of the State’s strategic vi-
sion and goals for preparing an educated and 
skilled workforce (including preparing youth and 
individuals with barriers to employment) and 
for meeting the skilled workforce needs of employ-
ers, including goals relating to performance ac-
countability measures based on primary indica-
tors 
of 
performance 
described 
in 
section 
116(b)(2)(A), in order to support economic 
growth and economic self-sufficiency, and of how 
the State will assess the overall effectiveness of 
the workforce investment system in the State; 
and 
(E) taking into account analyses described 
in subparagraphs (A) through (C), a strategy for 
aligning the core programs, as well as other re-
sources available to the State, to achieve the stra-
tegic vision and goals described in subparagraph 
(D). 
(2) OPERATIONAL PLANNING ELEMENTS.—
† HR 803 EAS 
(A) IN GENERAL.—The unified State plan 
shall include the operational planning elements 
contained in this paragraph, which shall support 
the strategy described in paragraph (1)(E), in-
cluding a description of how the State board will 
implement the functions under section 101(d). 
(B) IMPLEMENTATION
OF
STATE
STRAT-
EGY.—The unified State plan shall describe how 
the lead State agency with responsibility for the 
administration of a core program will imple-
ment the strategy described in paragraph (1)(E), 
including a description of— 
(i) the activities that will be funded by 
the entities carrying out the respective core 
programs to implement the strategy and 
how such activities will be aligned across 
the programs and among the entities ad-
ministering the programs, including using 
co-enrollment and other strategies; 
(ii) how the activities described in 
clause (i) will be aligned with activities 
provided under employment, training, edu-
cation, including career and technical edu-
cation, and human services programs not 
covered by the plan, as appropriate, assur-
† HR 803 EAS 
ing coordination of, and avoiding duplica-
tion among, the activities referred to in this 
clause; 
(iii) how the entities carrying out the 
respective core programs will coordinate ac-
tivities and provide comprehensive, high- 
quality services including supportive serv-
ices, to individuals; 
(iv) how the State’s strategy will en-
gage the State’s community colleges and 
area career and technical education schools 
as partners in the workforce development 
system and enable the State to leverage 
other Federal, State, and local investments 
that have enhanced access to workforce de-
velopment programs at those institutions; 
(v) how the activities described in 
clause (i) will be coordinated with economic 
development strategies and activities in the 
State; and 
(vi) how the State’s strategy will im-
prove access to activities leading to a recog-
nized postsecondary credential (including a 
credential that is an industry-recognized
† HR 803 EAS 
certificate or certification, portable, and 
stackable). 
(C) STATE OPERATING SYSTEMS AND POLI-
CIES.—The unified State plan shall describe the 
State operating systems and policies that will 
support the implementation of the strategy de-
scribed in paragraph (1)(E), including a de-
scription of— 
(i) the State board, including the ac-
tivities to assist members of the State board 
and the staff of such board in carrying out 
the functions of the State board effectively 
(but funds for such activities may not be 
used for long-distance travel expenses for 
training or development activities available 
locally or regionally); 
(ii)(I) how the respective core pro-
grams will be assessed each year, including 
an assessment of the quality, effectiveness, 
and improvement of programs (analyzed by 
local area, or by provider), based on State 
performance accountability measures de-
scribed in section 116(b); and 
(II) how other one-stop partner pro-
grams will be assessed each year;
† HR 803 EAS 
(iii) the results of an assessment of the 
effectiveness of the core programs and other 
one-stop partner programs during the pre-
ceding 2-year period; 
(iv) the methods and factors the State 
will use in distributing funds under the core 
programs, in accordance with the provisions 
authorizing such distributions; 
(v)(I) how the lead State agencies with 
responsibility for the administration of the 
core programs will align and integrate 
available workforce and education data on 
core programs, unemployment insurance 
programs, and education through postsec-
ondary education; 
(II) how such agencies will use the 
workforce development system to assess the 
progress of participants that are exiting 
from core programs in entering, persisting 
in, and completing postsecondary education, 
or entering or remaining in employment; 
and 
(III) the privacy safeguards incor-
porated in such system, including safe-
guards required by section 444 of the Gen-
† HR 803 EAS 
eral Education Provisions Act (20 U.S.C. 
1232g) and other applicable Federal laws; 
(vi) how the State will implement the 
priority of service provisions for veterans in 
accordance with the requirements of section 
4215 of title 38, United States Code; 
(vii) how the one-stop delivery system, 
including one-stop operators and the one- 
stop partners, will comply with section 188, 
if applicable, and applicable provisions of 
the Americans with Disabilities Act of 1990 
(42 U.S.C. 12101 et seq.), regarding the 
physical and programmatic accessibility of 
facilities, programs, services, technology, 
and materials, for individuals with disabil-
ities, including complying through pro-
viding staff training and support for ad-
dressing the needs of individuals with dis-
abilities; and 
(viii) such other operational planning 
elements as the Secretary of Labor or the 
Secretary of Education, as appropriate, de-
termines to be necessary for effective State 
operating systems and policies.
† HR 803 EAS 
(D) PROGRAM-SPECIFIC REQUIREMENTS.— 
The unified State plan shall include— 
(i) with respect to activities carried 
out under subtitle B, a description of— 
(I) State policies or guidance, for 
the statewide workforce development 
system and for use of State funds for 
workforce investment activities; 
(II) the local areas designated in 
the State, including the process used 
for designating local areas, and the 
process used for identifying any plan-
ning regions under section 106(a), in-
cluding a description of how the State 
consulted with the local boards and 
chief elected officials in determining 
the planning regions; 
(III) the appeals process referred 
to in section 106(b)(5), relating to des-
ignation of local areas; 
(IV) the appeals process referred 
to in section 121(h)(2)(E), relating to 
determinations for infrastructure fund-
ing; and
† HR 803 EAS 
(V) with respect to youth work-
force investment activities authorized 
in section 129, information identifying 
the criteria to be used by local boards 
in awarding grants for youth work-
force investment activities and describ-
ing how the local boards will take into 
consideration the ability of the pro-
viders to meet performance account-
ability measures based on primary in-
dicators of performance for the youth 
program 
as 
described 
in 
section 
116(b)(2)(A)(ii) 
in 
awarding 
such 
grants; 
(ii) with respect to activities carried 
out under title II, a description of— 
(I) how the eligible agency will, if 
applicable, align content standards for 
adult education with State-adopted 
challenging academic content stand-
ards, 
as 
adopted 
under 
section 
1111(b)(1) of the Elementary and Sec-
ondary Education Act of 1965 (20 
U.S.C. 6311(b)(1));
† HR 803 EAS 
(II) how the State will fund local 
activities using considerations specified 
in section 231(e) for— 
(aa) activities under section 
231(b); 
(bb) programs for corrections 
education under section 225; 
(cc) programs for integrated 
English literacy and civics edu-
cation under section 243; and 
(dd) 
integrated 
education 
and training; 
(III) how the State will use the 
funds to carry out activities under sec-
tion 223; 
(IV) how the State will use the 
funds to carry out activities under sec-
tion 243; 
(V) how the eligible agency will 
assess the quality of providers of adult 
education and literacy activities under 
title II and take actions to improve 
such quality, including providing the 
activities 
described 
in 
section 
223(a)(1)(B);
† HR 803 EAS 
(iii) with respect to programs carried 
out under title I of the Rehabilitation Act 
of 1973 (29 U.S.C. 720 et seq.), other than 
section 112 or part C of that title (29 
U.S.C. 732, 741), the information described 
in section 101(a) of that Act (29 U.S.C. 
721(a)); and 
(iv) information on such additional 
specific requirements for a program ref-
erenced in any of clauses (i) through (iii) or 
the Wagner-Peyser Act (29 U.S.C. 49 et 
seq.) as the Secretary of Labor determines to 
be necessary to administer that program but 
cannot reasonably be applied across all such 
programs. 
(E) ASSURANCES.—The unified State plan 
shall include assurances— 
(i) that the State has established a pol-
icy identifying circumstances that may 
present a conflict of interest for a State 
board or local board member, or the entity 
or class of officials that the member rep-
resents, and procedures to resolve such con-
flicts;
† HR 803 EAS 
(ii) that the State has established a 
policy to provide to the public (including 
individuals with disabilities) access to meet-
ings of State boards and local boards, and 
information regarding activities of State 
boards and local boards, such as data on 
board membership and minutes; 
(iii)(I) that the lead State agencies 
with responsibility for the administration of 
core programs reviewed and commented on 
the appropriate operational planning ele-
ments of the unified State plan, and ap-
proved the elements as serving the needs of 
the populations served by such programs; 
and 
(II) that the State obtained input into 
the development of the unified State plan 
and provided an opportunity for comment 
on the plan by representatives of local 
boards and chief elected officials, businesses, 
labor organizations, institutions of higher 
education, other primary stakeholders, and 
the general public and that the unified 
State plan is available and accessible to the 
general public;
† HR 803 EAS 
(iv) that the State has established, in 
accordance with section 116(i), fiscal con-
trol and fund accounting procedures that 
may be necessary to ensure the proper dis-
bursement of, and accounting for, funds 
paid to the State through allotments made 
for adult, dislocated worker, and youth pro-
grams to carry out workforce investment ac-
tivities under chapters 2 and 3 of subtitle 
B; 
(v) that the State has taken appro-
priate action to secure compliance with uni-
form administrative requirements in this 
Act, including that the State will annually 
monitor local areas to ensure compliance 
and otherwise take appropriate action to se-
cure compliance with the uniform adminis-
trative 
requirements 
under 
section 
184(a)(3); 
(vi) that the State has taken the appro-
priate action to be in compliance with sec-
tion 188, if applicable; 
(vii) that the Federal funds received to 
carry out a core program will not be ex-
pended for any purpose other than for ac-
† HR 803 EAS 
tivities authorized with respect to such 
funds under that core program; 
(viii) that the eligible agency under 
title II will— 
(I) expend the funds appropriated 
to carry out that title only in a man-
ner consistent with fiscal requirements 
under section 241(a) (regarding sup-
plement and not supplant provisions); 
and 
(II) ensure that there is at least 1 
eligible provider serving each local 
area; 
(ix) that the State will pay an appro-
priate share (as defined by the State board) 
of the costs of carrying out section 116, 
from funds made available through each of 
the core programs; and 
(x) regarding such other matters as the 
Secretary of Labor or the Secretary of Edu-
cation, as appropriate, determines to be 
necessary for the administration of the core 
programs. 
(3) EXISTING
ANALYSIS.—As appropriate, a 
State may use an existing analysis in order to carry
† HR 803 EAS 
out the requirements of paragraph (1) concerning an 
analysis. 
(c) PLAN SUBMISSION AND APPROVAL.— 
(1) SUBMISSION.— 
(A) INITIAL
PLAN.—The initial unified 
State plan under this section (after the date of 
enactment of the Workforce Innovation and Op-
portunity Act) shall be submitted to the Sec-
retary of Labor not later than 120 days prior to 
the commencement of the second full program 
year after the date of enactment of this Act. 
(B) SUBSEQUENT PLANS.—Except as pro-
vided in subparagraph (A), a unified State plan 
shall be submitted to the Secretary of Labor not 
later than 120 days prior to the end of the 4- 
year period covered by the preceding unified 
State plan. 
(2) SUBMISSION AND APPROVAL.— 
(A) SUBMISSION.—In approving a unified 
State plan under this section, the Secretary shall 
submit the portion of the unified State plan cov-
ering a program or activity to the head of the 
Federal agency that administers the program or 
activity for the approval of such portion by such 
head.
† HR 803 EAS 
(B) APPROVAL.—A unified State plan shall 
be subject to the approval of both the Secretary 
of Labor and the Secretary of Education, after 
approval of the Commissioner of the Rehabilita-
tion Services Administration for the portion of 
the plan described in subsection (b)(2)(D)(iii). 
The plan shall be considered to be approved at 
the end of the 90-day period beginning on the 
day the plan is submitted, unless the Secretary 
of Labor or the Secretary of Education makes a 
written determination, during the 90-day period, 
that the plan is inconsistent with the provisions 
of this section or the provisions authorizing the 
core programs, as appropriate. 
(3) MODIFICATIONS.— 
(A) MODIFICATIONS.—At the end of the first 
2-year period of any 4-year unified State plan, 
the State board shall review the unified State 
plan, and the Governor shall submit modifica-
tions to the plan to reflect changes in labor mar-
ket and economic conditions or in other factors 
affecting the implementation of the unified State 
plan. 
(B) APPROVAL.—A modified unified State 
plan submitted for the review required under
† HR 803 EAS 
subparagraph (A) shall be subject to the ap-
proval requirements described in paragraph (2). 
A Governor may submit a modified unified State 
plan at such other times as the Governor deter-
mines to be appropriate, and such modified uni-
fied State plan shall also be subject to the ap-
proval requirements described in paragraph (2). 
(4) EARLY
IMPLEMENTERS.—The Secretary of 
Labor, in conjunction with the Secretary of Edu-
cation, shall establish a process for approving and 
may approve unified State plans that meet the re-
quirements of this section and are submitted to cover 
periods commencing prior to the second full program 
year described in paragraph (1)(A). 
SEC. 103. COMBINED STATE PLAN. 
(a) IN GENERAL.— 
(1) AUTHORITY TO SUBMIT PLAN.—A State may 
develop and submit to the appropriate Secretaries a 
combined State plan for the core programs and 1 or 
more of the programs and activities described in 
paragraph (2) in lieu of submitting 2 or more plans, 
for the programs and activities and the core pro-
grams. 
(2) PROGRAMS.—The programs and activities re-
ferred to in paragraph (1) are as follows:
† HR 803 EAS 
(A) Career and technical education pro-
grams authorized under the Carl D. Perkins Ca-
reer and Technical Education Act of 2006 (20 
U.S.C. 2301 et seq.). 
(B) Programs authorized under part A of 
title IV of the Social Security Act (42 U.S.C. 
601 et seq.). 
(C) Programs authorized under section 
6(d)(4) of the Food and Nutrition Act of 2008 (7 
U.S.C. 2015(d)(4)). 
(D) Work programs authorized under sec-
tion 6(o) of the Food and Nutrition Act of 2008 
(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) Programs authorized under State un-
employment compensation laws (in accordance 
with applicable Federal law). 
(H) Programs authorized under title V of 
the Older Americans Act of 1965 (42 U.S.C. 
3056 et seq.).
† HR 803 EAS 
(I) Employment and training activities 
carried out by the Department of Housing and 
Urban Development. 
(J) Employment and training activities 
carried out under the Community Services Block 
Grant Act (42 U.S.C. 9901 et seq.). 
(K) Programs authorized under section 212 
of the Second Chance Act of 2007 (42 U.S.C. 
17532). 
(b) REQUIREMENTS.— 
(1) IN GENERAL.—The portion of a combined 
plan covering the core programs shall be subject to the 
requirements of section 102 (including section 
102(c)(3)). The portion of such plan covering a pro-
gram or activity described in subsection (a)(2) shall 
be subject to the requirements, if any, applicable to a 
plan or application for assistance for that program or 
activity, under the Federal law authorizing the pro-
gram or activity. At the election of the State, section 
102(c)(3) may apply to that portion. 
(2) ADDITIONAL SUBMISSION NOT REQUIRED.—A 
State that submits a combined plan that is approved 
under subsection (c) shall not be required to submit 
any other plan or application in order to receive Fed-
eral funds to carry out the core programs or the pro-
† HR 803 EAS 
gram or activities described in subsection (a)(2) that 
are covered by the combined plan. 
(3) COORDINATION.—A combined plan shall in-
clude— 
(A) a description of the methods used for 
joint planning and coordination of the core pro-
grams and the other programs and activities cov-
ered by the combined plan; and 
(B) an assurance that the methods included 
an opportunity for the entities responsible for 
planning or administering the core programs 
and the other programs and activities to review 
and comment on all portions of the combined 
plan. 
(c) APPROVAL BY THE APPROPRIATE SECRETARIES.— 
(1) JURISDICTION.—The appropriate Secretary 
shall have the authority to approve the corresponding 
portion of a combined plan as described in subsection 
(d). On the approval of the appropriate Secretary, 
that portion of the combined plan, covering a pro-
gram or activity, shall be implemented by the State 
pursuant to that portion of the combined plan, and 
the Federal law authorizing the program or activity. 
(2) APPROVAL OF CORE PROGRAMS.—No portion 
of the plan relating to a core program shall be imple-
† HR 803 EAS 
mented until the appropriate Secretary approves the 
corresponding portions of the plan for all core pro-
grams. 
(3) TIMING OF APPROVAL.— 
(A) IN GENERAL.—Except as provided in 
subparagraphs (B) and (C), a portion of the 
combined State plan covering the core programs 
or a program or activity described in subsection 
(a)(2) shall be considered to be approved by the 
appropriate Secretary at the end of the 90-day 
period beginning on the day the plan is sub-
mitted. 
(B) PLAN APPROVED BY 3 OR MORE APPRO-
PRIATE SECRETARIES.—If an appropriate Sec-
retary other than the Secretary of Labor or the 
Secretary of Education has authority to approve 
a portion of a combined plan, that portion of the 
combined plan shall be considered to be approved 
by the appropriate Secretary at the end of the 
120-day period beginning on the day the plan is 
submitted. 
(C) DISAPPROVAL.—The portion shall not 
be considered to be approved if the appropriate 
Secretary makes a written determination, during 
the 90-day period (or the 120-day period, for an
† HR 803 EAS 
appropriate Secretary covered by subparagraph 
(B)), that the portion is not consistent with the 
requirements of the Federal law authorizing or 
applicable to the program or activity involved, 
including the criteria for approval of a plan or 
application, if any, under such law, or the plan 
is not consistent with the requirements of this 
section. 
(4) SPECIAL RULE.—In paragraph (3), the term 
‘‘criteria for approval of a plan or application’’, with 
respect to a State and a core program or a program 
under the Carl D. Perkins Career and Technical Edu-
cation Act of 2006 (20 U.S.C. 2301 et seq.), includes 
a requirement for agreement between the State and 
the appropriate Secretaries regarding State perform-
ance measures or State performance accountability 
measures, as the case may be, including levels of per-
formance. 
(d) APPROPRIATE SECRETARY.—In this section, the 
term ‘‘appropriate Secretary’’ means— 
(1) with respect to the portion of a combined 
plan relating to any of the core programs (including 
a description, and an assurance concerning that pro-
gram, specified in subsection (b)(3)), the Secretary of 
Labor and the Secretary of Education; and
† HR 803 EAS 
(2) with respect to the portion of a combined 
plan relating to a program or activity described in 
subsection (a)(2) (including a description, and an as-
surance concerning that program or activity, specified 
in subsection (b)(3)), the head of the Federal agency 
who exercises plan or application approval authority 
for the program or activity under the Federal law au-
thorizing the program or activity, or, if there are no 
planning or application requirements for such pro-
gram or activity, exercises administrative authority 
over the program or activity under that Federal law. 
CHAPTER 2—LOCAL PROVISIONS 
SEC. 106. WORKFORCE DEVELOPMENT AREAS. 
(a) REGIONS.— 
(1) IDENTIFICATION.—Before the second full pro-
gram year after the date of enactment of this Act, in 
order for a State to receive an allotment under section 
127(b) or 132(b) and as part of the process for devel-
oping the State plan, a State shall identify regions in 
the State after consultation with the local boards and 
chief elected officials in the local areas and consistent 
with the considerations described in subsection 
(b)(1)(B). 
(2) TYPES OF REGIONS.—For purposes of this 
Act, the State shall identify—
† HR 803 EAS 
(A) which regions are comprised of 1 local 
area that is aligned with the region; 
(B) which regions are comprised of 2 or 
more local areas that are (collectively) aligned 
with the region (referred to as planning regions, 
consistent with section 3); and 
(C) which, of the regions described in sub-
paragraph (B), are interstate areas contained 
within 2 or more States, and consist of labor 
market areas, economic development areas, or 
other appropriate contiguous subareas of those 
States. 
(b) LOCAL AREAS.— 
(1) IN GENERAL.— 
(A) PROCESS.—Except as provided in sub-
section (d), and consistent with paragraphs (2) 
and (3), in order for a State to receive an allot-
ment under section 127(b) or 132(b), the Gov-
ernor of the State shall designate local workforce 
development areas within the State— 
(i) through consultation with the State 
board; and 
(ii) after consultation with chief elected 
officials and local boards, and after consid-
eration of comments received through the
† HR 803 EAS 
public comment process as described in sec-
tion 102(b)(2)(E)(iii)(II). 
(B) CONSIDERATIONS.—The Governor shall 
designate local areas (except for those local areas 
described in paragraphs (2) and (3)) based on 
considerations consisting of the extent to which 
the areas— 
(i) are consistent with labor market 
areas in the State; 
(ii) are consistent with regional eco-
nomic development areas in the State; and 
(iii) have available the Federal and 
non-Federal resources necessary to effec-
tively administer activities under subtitle B 
and other applicable provisions of this Act, 
including whether the areas have the appro-
priate education and training providers, 
such as institutions of higher education and 
area career and technical education schools. 
(2) INITIAL DESIGNATION.—During the first 2 
full program years following the date of enactment of 
this Act, the Governor shall approve a request for ini-
tial designation as a local area from any area that 
was designated as a local area for purposes of the 
Workforce Investment Act of 1998 for the 2-year pe-
† HR 803 EAS 
riod preceding the date of enactment of this Act, per-
formed successfully, and sustained fiscal integrity. 
(3) SUBSEQUENT DESIGNATION.—After the pe-
riod for which a local area is initially designated 
under paragraph (2), the Governor shall approve a 
request for subsequent designation as a local area 
from such local area, if such area— 
(A) performed successfully; 
(B) sustained fiscal integrity; and 
(C) in the case of a local area in a plan-
ning region, met the requirements described in 
subsection (c)(1). 
(4) DESIGNATION
ON
RECOMMENDATION
OF 
STATE BOARD.—The Governor may approve a request 
from any unit of general local government (including 
a combination of such units) for designation of an 
area as a local area if the State board determines, 
based on the considerations described in paragraph 
(1)(B), and recommends to the Governor, that such 
area should be so designated. 
(5) APPEALS.—A unit of general local govern-
ment (including a combination of such units) or 
grant recipient that requests but is not granted des-
ignation of an area as a local area under paragraph 
(2) or (3) may submit an appeal to the State board
† HR 803 EAS 
under an appeal process established in the State plan. 
If the appeal does not result in such a designation, 
the Secretary of Labor, after receiving a request for 
review from the unit or grant recipient and on deter-
mining that the unit or grant recipient was not ac-
corded procedural rights under the appeals process de-
scribed in the State plan, as specified in section 
102(b)(2)(D)(i)(III), or that the area meets the re-
quirements of paragraph (2) or (3), may require that 
the area be designated as a local area under such 
paragraph. 
(6) REDESIGNATION
ASSISTANCE.—On the re-
quest of all of the local areas in a planning region, 
the State shall provide funding from funds made 
available under sections 128(a) and 133(a)(1) to as-
sist the local areas in carrying out activities to facili-
tate the redesignation of the local areas to a single 
local area. 
(c) REGIONAL COORDINATION.— 
(1) REGIONAL PLANNING.—The local boards and 
chief elected officials in each planning region de-
scribed in subparagraph (B) or (C) of subsection 
(a)(2) shall engage in a regional planning process 
that results in—
† HR 803 EAS 
(A) the preparation of a regional plan, as 
described in paragraph (2); 
(B) the establishment of regional service 
strategies, including use of cooperative service 
delivery agreements; 
(C) the development and implementation of 
sector initiatives for in-demand industry sectors 
or occupations for the region; 
(D) the collection and analysis of regional 
labor market data (in conjunction with the 
State); 
(E) the establishment of administrative cost 
arrangements, including the pooling of funds for 
administrative costs, as appropriate, for the re-
gion; 
(F) the coordination of transportation and 
other supportive services, as appropriate, for the 
region; 
(G) the coordination of services with re-
gional economic development services and pro-
viders; and 
(H) the establishment of an agreement con-
cerning how the planning region will collectively 
negotiate and reach agreement with Governor on 
local levels of performance for, and report on, the
† HR 803 EAS 
performance accountability measures described 
in section 116(c), for local areas or the planning 
region. 
(2) REGIONAL PLANS.—The State, after consulta-
tion with local boards and chief elected officials for 
the planning regions, shall require the local boards 
and chief elected officials within a planning region to 
prepare, submit, and obtain approval of a single re-
gional plan that includes a description of the activi-
ties described in paragraph (1) and that incorporates 
local plans for each of the local areas in the planning 
region. The State shall provide technical assistance 
and labor market data, as requested by local areas, to 
assist with such regional planning and subsequent 
service delivery efforts. 
(3) REFERENCES.—In this Act, and the core 
program provisions that are not in this Act: 
(A) LOCAL AREA.—Except as provided in 
section 101(d)(9), this section, paragraph (1)(B) 
or (4) of section 107(c), or section 107(d)(12)(B), 
or in any text that provides an accompanying 
provision specifically for a planning region, the 
term ‘‘local area’’ in a provision includes a ref-
erence to a planning region for purposes of im-
† HR 803 EAS 
plementation of that provision by the cor-
responding local areas in the region. 
(B) LOCAL PLAN.—Except as provided in 
this subsection, the term ‘‘local plan’’ includes a 
reference to the portion of a regional plan devel-
oped with respect to the corresponding local area 
within the region, and any regionwide provision 
of that plan that impacts or relates to the local 
area. 
(d) SINGLE STATE LOCAL AREAS.— 
(1) CONTINUATION
OF
PREVIOUS
DESIGNA-
TION.—The Governor of any State that was a single 
State local area for purposes of title I of the Work-
force Investment Act of 1998, as in effect on July 1, 
2013, may designate the State as a single State local 
area for purposes of this title. In the case of such des-
ignation, the Governor shall identify the State as a 
local area in the State plan. 
(2) EFFECT ON LOCAL PLAN AND LOCAL FUNC-
TIONS.—In any case in which a State is designated 
as a local area pursuant to this subsection, the local 
plan prepared under section 108 for the area shall be 
submitted for approval as part of the State plan. In 
such a State, the State board shall carry out the func-
tions of a local board, as specified in this Act or the
† HR 803 EAS 
provisions authorizing a core program, but the State 
shall not be required to meet and report on a set of 
local performance accountability measures. 
(e) DEFINITIONS.—For purposes of this section: 
(1) 
PERFORMED
SUCCESSFULLY.—The 
term 
‘‘performed successfully’’, used with respect to a local 
area, means the local area met or exceeded the ad-
justed levels of performance for primary indicators of 
performance described in section 116(b)(2)(A) (or, if 
applicable, core indicators of performance described 
in section 136(b)(2)(A) of the Workforce Investment 
Act of 1998, as in effect the day before the date of en-
actment of this Act) for each of the last 2 consecutive 
years for which data are available preceding the de-
termination of performance under this paragraph. 
(2) SUSTAINED
FISCAL
INTEGRITY.—The term 
‘‘sustained fiscal integrity’’, used with respect to a 
local area, means that the Secretary has not made a 
formal determination, during either of the last 2 con-
secutive years preceding the determination regarding 
such integrity, that either the grant recipient or the 
administrative entity of the area misexpended funds 
provided under subtitle B (or, if applicable, title I of 
the Workforce Investment Act of 1998 as in effect 
prior to the effective date of such subtitle B) due to
† HR 803 EAS 
willful disregard of the requirements of the provision 
involved, gross negligence, or failure to comply with 
accepted standards of administration. 
SEC. 107. LOCAL WORKFORCE DEVELOPMENT BOARDS. 
(a) ESTABLISHMENT.—Except as provided in sub-
section (c)(2)(A), there shall be established, and certified by 
the Governor of the State, a local workforce development 
board in each local area of a State to carry out the func-
tions described in subsection (d) (and any functions speci-
fied for the local board under this Act or the provisions es-
tablishing a core program) for such area. 
(b) MEMBERSHIP.— 
(1) STATE CRITERIA.—The Governor, in part-
nership with the State board, shall establish criteria 
for use by chief elected officials in the local areas for 
appointment of members of the local boards in such 
local areas in accordance with the requirements of 
paragraph (2). 
(2) COMPOSITION.—Such criteria shall require 
that, at a minimum— 
(A) a majority of the members of each local 
board shall be representatives of business in the 
local area, who— 
(i) are owners of businesses, chief ex-
ecutives or operating officers of businesses,
† HR 803 EAS 
or other business executives or employers 
with optimum policymaking or hiring au-
thority; 
(ii) represent businesses, including 
small businesses, or organizations rep-
resenting businesses described in this clause, 
that provide employment opportunities that, 
at a minimum, include high-quality, work- 
relevant training and development in in-de-
mand industry sectors or occupations in the 
local area; and 
(iii) are appointed from among indi-
viduals nominated by local business organi-
zations and business trade associations; 
(B) not less than 20 percent of the members 
of each local board shall be representatives of the 
workforce within the local area, who— 
(i) shall include representatives of 
labor organizations (for a local area in 
which employees are represented by labor 
organizations), who have been nominated by 
local labor federations, or (for a local area 
in which no employees are represented by 
such organizations) other representatives of 
employees;
† HR 803 EAS 
(ii) shall include a representative, who 
shall be a member of a labor organization 
or a training director, from a joint labor- 
management apprenticeship program, or if 
no such joint program exists in the area, 
such a representative of an apprenticeship 
program in the area, if such a program ex-
ists; 
(iii) may include representatives of 
community-based organizations that have 
demonstrated experience and expertise in 
addressing the employment needs of individ-
uals with barriers to employment, including 
organizations that serve veterans or that 
provide or support competitive integrated 
employment for individuals with disabil-
ities; and 
(iv) may include representatives of or-
ganizations that have demonstrated experi-
ence and expertise in addressing the em-
ployment, training, or education needs of el-
igible youth, including representatives of or-
ganizations that serve out-of-school youth;
† HR 803 EAS 
(C) each local board shall include represent-
atives of entities administering education and 
training activities in the local area, who— 
(i) shall include a representative of eli-
gible providers administering adult edu-
cation and literacy activities under title II; 
(ii) shall include a representative of 
institutions of higher education providing 
workforce investment activities (including 
community colleges); 
(iii) may include representatives of 
local educational agencies, and of commu-
nity-based organizations with demonstrated 
experience and expertise in addressing the 
education or training needs of individuals 
with barriers to employment; 
(D) each local board shall include represent-
atives of governmental and economic and com-
munity development entities serving the local 
area, who— 
(i) shall include a representative of 
economic and community development enti-
ties; 
(ii) shall include an appropriate rep-
resentative from the State employment serv-
† HR 803 EAS 
ice office under the Wagner-Peyser Act (29 
U.S.C. 49 et seq.) serving the local area; 
(iii) shall include an appropriate rep-
resentative of the programs carried out 
under title I of the Rehabilitation Act of 
1973 (29 U.S.C. 720 et seq.), other than sec-
tion 112 or part C of that title (29 U.S.C. 
732, 741), serving the local area; 
(iv) may include representatives of 
agencies or entities administering programs 
serving the local area relating to transpor-
tation, housing, and public assistance; and 
(v) may include representatives of phil-
anthropic organizations serving the local 
area; and 
(E) each local board may include such other 
individuals or representatives of entities as the 
chief elected official in the local area may deter-
mine to be appropriate. 
(3) CHAIRPERSON.—The members of the local 
board shall elect a chairperson for the local board 
from among the representatives described in para-
graph (2)(A). 
(4) STANDING COMMITTEES.—
† HR 803 EAS 
(A) IN
GENERAL.—The local board may 
designate and direct the activities of standing 
committees to provide information and to assist 
the local board in carrying out activities under 
this section. Such standing committees shall be 
chaired by a member of the local board, may in-
clude other members of the local board, and shall 
include other individuals appointed by the local 
board who are not members of the local board 
and who the local board determines have appro-
priate experience and expertise. At a minimum, 
the local board may designate each of the fol-
lowing: 
(i) A standing committee to provide 
information and assist with operational 
and other issues relating to the one-stop de-
livery system, which may include as mem-
bers representatives of the one-stop partners. 
(ii) A standing committee to provide 
information and to assist with planning, 
operational, and other issues relating to the 
provision of services to youth, which shall 
include 
community-based 
organizations 
with a demonstrated record of success in 
serving eligible youth.
† HR 803 EAS 
(iii) A standing committee to provide 
information and to assist with operational 
and other issues relating to the provision of 
services to individuals with disabilities, in-
cluding issues relating to compliance with 
section 188, if applicable, and applicable 
provisions of the Americans with Disabil-
ities Act of 1990 (42 U.S.C. 12101 et seq.) 
regarding providing programmatic and 
physical access to the services, programs, 
and activities of the one-stop delivery sys-
tem, as well as appropriate training for 
staff on providing supports for or accom-
modations to, and finding employment op-
portunities for, individuals with disabil-
ities. 
(B) ADDITIONAL
COMMITTEES.—The local 
board may designate standing committees in ad-
dition to the standing committees specified in 
subparagraph (A). 
(C) DESIGNATION OF ENTITY.—Nothing in 
this paragraph shall be construed to prohibit the 
designation of an existing (as of the date of en-
actment of this Act) entity, such as an effective 
youth council, to fulfill the requirements of this
† HR 803 EAS 
paragraph as long as the entity meets the re-
quirements of this paragraph. 
(5) AUTHORITY OF BOARD MEMBERS.—Members 
of the board that represent organizations, agencies, or 
other entities shall be individuals with optimum pol-
icymaking authority within the organizations, agen-
cies, or entities. The members of the board shall rep-
resent diverse geographic areas within the local area. 
(6) SPECIAL RULE.—If there are multiple eligi-
ble providers serving the local area by administering 
adult education and literacy activities under title II, 
or multiple institutions of higher education serving 
the local area by providing workforce investment ac-
tivities, each representative on the local board de-
scribed in clause (i) or (ii) of paragraph (2)(C), re-
spectively, shall be appointed from among individuals 
nominated by local providers representing such pro-
viders or institutions, respectively. 
(c) APPOINTMENT AND CERTIFICATION OF BOARD.— 
(1) APPOINTMENT OF BOARD MEMBERS AND AS-
SIGNMENT OF RESPONSIBILITIES.— 
(A) IN GENERAL.—The chief elected official 
in a local area is authorized to appoint the 
members of the local board for such area, in ac-
† HR 803 EAS 
cordance with the State criteria established 
under subsection (b). 
(B) MULTIPLE UNITS OF LOCAL GOVERN-
MENT IN AREA.— 
(i) IN GENERAL.—In a case in which 
a local area includes more than 1 unit of 
general local government, the chief elected 
officials of such units may execute an agree-
ment that specifies the respective roles of the 
individual chief elected officials— 
(I) in the appointment of the 
members of the local board from the in-
dividuals nominated or recommended 
to be such members in accordance with 
the criteria established under sub-
section (b); and 
(II) in carrying out any other re-
sponsibilities assigned to such officials 
under this title. 
(ii) LACK OF AGREEMENT.—If, after a 
reasonable effort, the chief elected officials 
are unable to reach agreement as provided 
under clause (i), the Governor may appoint 
the members of the local board from indi-
viduals so nominated or recommended.
† HR 803 EAS 
(C) CONCENTRATED
EMPLOYMENT
PRO-
GRAMS.—In the case of an area that was des-
ignated as a local area in accordance with sec-
tion 116(a)(2)(B) of the Workforce Investment 
Act of 1998 (as in effect on the day before the 
date of enactment of this Act), and that remains 
a local area on that date, the governing body of 
the concentrated employment program involved 
shall act in consultation with the chief elected of-
ficial in the local area to appoint members of the 
local board, in accordance with the State criteria 
established under subsection (b), and to carry out 
any other responsibility relating to workforce in-
vestment activities assigned to such official 
under this Act. 
(2) CERTIFICATION.— 
(A) IN GENERAL.—The Governor shall, once 
every 2 years, certify 1 local board for each local 
area in the State. 
(B) CRITERIA.—Such certification shall be 
based on criteria established under subsection 
(b), and for a second or subsequent certification, 
the extent to which the local board has ensured 
that workforce investment activities carried out 
in the local area have enabled the local area to
† HR 803 EAS 
meet the corresponding performance account-
ability measures and achieve sustained fiscal in-
tegrity, as defined in section 106(e)(2). 
(C) 
FAILURE
TO
ACHIEVE
CERTIFI-
CATION.—Failure of a local board to achieve cer-
tification shall result in appointment and cer-
tification of a new local board for the local area 
pursuant to the process described in paragraph 
(1) and this paragraph. 
(3) DECERTIFICATION.— 
(A) FRAUD, ABUSE, FAILURE TO CARRY OUT 
FUNCTIONS.—Notwithstanding paragraph (2), 
the Governor shall have the authority to decertify 
a local board at any time after providing notice 
and an opportunity for comment, for— 
(i) fraud or abuse; or 
(ii) failure to carry out the functions 
specified for the local board in subsection 
(d). 
(B) 
NONPERFORMANCE.—Notwithstanding 
paragraph (2), the Governor may decertify a 
local board if a local area fails to meet the local 
performance accountability measures for such 
local area in accordance with section 116(c) for 
2 consecutive program years.
† HR 803 EAS 
(C) REORGANIZATION
PLAN.—If the Gov-
ernor decertifies a local board for a local area 
under subparagraph (A) or (B), the Governor 
may require that a new local board be appointed 
and certified for the local area pursuant to a re-
organization plan developed by the Governor, in 
consultation with the chief elected official in the 
local area and in accordance with the criteria es-
tablished under subsection (b). 
(4) SINGLE STATE LOCAL AREA.— 
(A) STATE BOARD.—Notwithstanding sub-
section (b) and paragraphs (1) and (2), if a 
State described in section 106(d) indicates in the 
State plan that the State will be treated as a 
single State local area, for purposes of the appli-
cation of this Act or the provisions authorizing 
a core program, the State board shall carry out 
any of the functions of a local board under this 
Act or the provisions authorizing a core pro-
gram, including the functions described in sub-
section (d). 
(B) REFERENCES.— 
(i) IN GENERAL.—Except as provided 
in clauses (ii) and (iii), with respect to such 
a State, a reference in this Act or a core
† HR 803 EAS 
program provision to a local board shall be 
considered to be a reference to the State 
board, and a reference in the Act or provi-
sion to a local area or region shall be con-
sidered to be a reference to the State. 
(ii) PLANS.—The State board shall 
prepare a local plan under section 108 for 
the State, and submit the plan for approval 
as part of the State plan. 
(iii) PERFORMANCE
ACCOUNTABILITY 
MEASURES.—The State shall not be re-
quired to meet and report on a set of local 
performance accountability measures. 
(d) FUNCTIONS OF LOCAL BOARD.—Consistent with 
section 108, the functions of the local board shall include 
the following: 
(1) LOCAL PLAN.—The local board, in partner-
ship with the chief elected official for the local area 
involved, shall develop and submit a local plan to the 
Governor that meets the requirements in section 108. 
If the local area is part of a planning region that in-
cludes other local areas, the local board shall collabo-
rate with the other local boards and chief elected offi-
cials from such other local areas in the preparation
† HR 803 EAS 
and submission of a regional plan as described in sec-
tion 106(c)(2). 
(2) WORKFORCE
RESEARCH
AND
REGIONAL 
LABOR MARKET ANALYSIS.—In order to assist in the 
development and implementation of the local plan, 
the local board shall— 
(A) carry out analyses of the economic con-
ditions in the region, the needed knowledge and 
skills for the region, the workforce in the region, 
and workforce development activities (including 
education and training) in the region described 
in section 108(b)(1)(D), and regularly update 
such information; 
(B) assist the Governor in developing the 
statewide workforce and labor market informa-
tion system described in section 15(e) of the 
Wagner-Peyser Act (29 U.S.C. 49l–2(e)), specifi-
cally in the collection, analysis, and utilization 
of workforce and labor market information for 
the region; and 
(C) conduct such other research, data collec-
tion, and analysis related to the workforce needs 
of the regional economy as the board, after re-
ceiving input from a wide array of stakeholders,
† HR 803 EAS 
determines to be necessary to carry out its func-
tions. 
(3) CONVENING, BROKERING, LEVERAGING.—The 
local board shall convene local workforce development 
system stakeholders to assist in the development of the 
local plan under section 108 and in identifying non- 
Federal expertise and resources to leverage support for 
workforce development activities. The local board, in-
cluding standing committees, may engage such stake-
holders in carrying out the functions described in this 
subsection. 
(4) EMPLOYER ENGAGEMENT.—The local board 
shall lead efforts to engage with a diverse range of 
employers and with entities in the region involved— 
(A) to promote business representation (par-
ticularly representatives with optimal policy-
making or hiring authority from employers 
whose employment opportunities reflect existing 
and emerging employment opportunities in the 
region) on the local board; 
(B) to develop effective linkages (including 
the use of intermediaries) with employers in the 
region to support employer utilization of the 
local workforce development system and to sup-
port local workforce investment activities;
† HR 803 EAS 
(C) to ensure that workforce investment ac-
tivities meet the needs of employers and support 
economic growth in the region, by enhancing 
communication, coordination, and collaboration 
among employers, economic development entities, 
and service providers; and 
(D) to develop and implement proven or 
promising strategies for meeting the employment 
and skill needs of workers and employers (such 
as the establishment of industry and sector part-
nerships), that provide the skilled workforce 
needed by employers in the region, and that ex-
pand employment and career advancement op-
portunities for workforce development system 
participants in in-demand industry sectors or 
occupations. 
(5) CAREER
PATHWAYS
DEVELOPMENT.—The 
local board, with representatives of secondary and 
postsecondary education programs, shall lead efforts 
in the local area to develop and implement career 
pathways within the local area by aligning the em-
ployment, training, education, and supportive serv-
ices that are needed by adults and youth, particularly 
individuals with barriers to employment.
† HR 803 EAS 
(6) PROVEN
AND
PROMISING
PRACTICES.—The 
local board shall lead efforts in the local area to— 
(A) identify and promote proven and prom-
ising strategies and initiatives for meeting the 
needs of employers, and workers and jobseekers 
(including individuals with barriers to employ-
ment) in the local workforce development system, 
including providing physical and programmatic 
accessibility, in accordance with section 188, if 
applicable, and applicable provisions of the 
Americans with Disabilities Act of 1990 (42 
U.S.C. 12101 et seq.), to the one-stop delivery 
system; and 
(B) identify and disseminate information 
on proven and promising practices carried out 
in other local areas for meeting such needs. 
(7) TECHNOLOGY.—The local board shall develop 
strategies for using technology to maximize the acces-
sibility and effectiveness of the local workforce devel-
opment system for employers, and workers and job-
seekers, by— 
(A) facilitating connections among the in-
take and case management information systems 
of the one-stop partner programs to support a
† HR 803 EAS 
comprehensive workforce development system in 
the local area; 
(B) facilitating access to services provided 
through the one-stop delivery system involved, 
including facilitating the access in remote areas; 
(C) identifying strategies for better meeting 
the needs of individuals with barriers to employ-
ment, including strategies that augment tradi-
tional service delivery, and increase access to 
services and programs of the one-stop delivery 
system, such as improving digital literacy skills; 
and 
(D) leveraging resources and capacity with-
in the local workforce development system, in-
cluding resources and capacity for services for 
individuals with barriers to employment. 
(8) PROGRAM OVERSIGHT.—The local board, in 
partnership with the chief elected official for the local 
area, shall— 
(A)(i) conduct oversight for local youth 
workforce investment activities authorized under 
section 129(c), local employment and training 
activities authorized under subsections (c) and 
(d) of section 134, and the one-stop delivery sys-
tem in the local area; and
100 
† HR 803 EAS 
(ii) ensure the appropriate use and man-
agement of the funds provided under subtitle B 
for the activities and system described in clause 
(i); and 
(B) for workforce development activities, en-
sure the appropriate use, management, and in-
vestment of funds to maximize performance out-
comes under section 116. 
(9) NEGOTIATION OF LOCAL PERFORMANCE AC-
COUNTABILITY MEASURES.—The local board, the chief 
elected official, and the Governor shall negotiate and 
reach agreement on local performance accountability 
measures as described in section 116(c). 
(10) SELECTION
OF
OPERATORS
AND
PRO-
VIDERS.— 
(A) 
SELECTION
OF
ONE-STOP
OPERA-
TORS.—Consistent with section 121(d), the local 
board, with the agreement of the chief elected of-
ficial for the local area— 
(i) shall designate or certify one-stop 
operators 
as 
described 
in 
section 
121(d)(2)(A); and 
(ii) may terminate for cause the eligi-
bility of such operators.
101 
† HR 803 EAS 
(B) SELECTION
OF
YOUTH
PROVIDERS.— 
Consistent with section 123, the local board— 
(i) shall identify eligible providers of 
youth workforce investment activities in the 
local area by awarding grants or contracts 
on a competitive basis (except as provided 
in section 123(b)), based on the rec-
ommendations of the youth standing com-
mittee, if such a committee is established for 
the local area under subsection (b)(4); and 
(ii) may terminate for cause the eligi-
bility of such providers. 
(C) IDENTIFICATION
OF
ELIGIBLE
PRO-
VIDERS
OF
TRAINING
SERVICES.—Consistent 
with section 122, the local board shall identify 
eligible providers of training services in the local 
area. 
(D) IDENTIFICATION
OF
ELIGIBLE
PRO-
VIDERS OF CAREER SERVICES.—If the one-stop 
operator does not provide career services de-
scribed in section 134(c)(2) in a local area, the 
local board shall identify eligible providers of 
those career services in the local area by award-
ing contracts.
102 
† HR 803 EAS 
(E) CONSUMER CHOICE REQUIREMENTS.— 
Consistent with section 122 and paragraphs (2) 
and (3) of section 134(c), the local board shall 
work with the State to ensure there are sufficient 
numbers and types of providers of career services 
and training services (including eligible pro-
viders with expertise in assisting individuals 
with disabilities and eligible providers with ex-
pertise in assisting adults in need of adult edu-
cation and literacy activities) serving the local 
area and providing the services involved in a 
manner that maximizes consumer choice, as well 
as providing opportunities that lead to competi-
tive integrated employment for individuals with 
disabilities. 
(11) COORDINATION
WITH
EDUCATION
PRO-
VIDERS.— 
(A) IN GENERAL.—The local board shall co-
ordinate activities with education and training 
providers in the local area, including providers 
of workforce investment activities, providers of 
adult education and literacy activities under 
title II, providers of career and technical edu-
cation (as defined in section 3 of the Carl D. 
Perkins Career and Technical Education Act of
103 
† HR 803 EAS 
2006 (20 U.S.C. 2302)) and local agencies ad-
ministering plans under title I of the Rehabilita-
tion Act of 1973 (29 U.S.C. 720 et seq.), other 
than section 112 or part C of that title (29 
U.S.C. 732, 741). 
(B) APPLICATIONS AND AGREEMENTS.—The 
coordination described in subparagraph (A) shall 
include— 
(i) consistent with section 232— 
(I) reviewing the applications to 
provide adult education and literacy 
activities under title II for the local 
area, submitted under such section to 
the eligible agency by eligible pro-
viders, to determine whether such ap-
plications are consistent with the local 
plan; and 
(II) making recommendations to 
the eligible agency to promote align-
ment with such plan; and 
(ii) replicating cooperative agreements 
in accordance with subparagraph (B) of 
section 101(a)(11) of the Rehabilitation Act 
of 1973 (29 U.S.C. 721(a)(11)), and imple-
menting cooperative agreements in accord-
104 
† HR 803 EAS 
ance with that section with the local agen-
cies administering plans under title I of 
that Act (29 U.S.C. 720 et seq.) (other than 
section 112 or part C of that title (29 
U.S.C. 732, 741) and subject to section 
121(f)), with respect to efforts that will en-
hance the provision of services to individ-
uals with disabilities and other individuals, 
such as cross training of staff, technical as-
sistance, use and sharing of information, 
cooperative efforts with employers, and 
other efforts at cooperation, collaboration, 
and coordination. 
(C) COOPERATIVE
AGREEMENT.—In this 
paragraph, the term ‘‘cooperative agreement’’ 
means an agreement entered into by a State des-
ignated agency or State designated unit under 
subparagraph (A) of section 101(a)(11) of the 
Rehabilitation Act of 1973. 
(12) BUDGET AND ADMINISTRATION.— 
(A) BUDGET.—The local board shall develop 
a budget for the activities of the local board in 
the local area, consistent with the local plan and 
the duties of the local board under this section,
105 
† HR 803 EAS 
subject to the approval of the chief elected offi-
cial. 
(B) ADMINISTRATION.— 
(i) GRANT RECIPIENT.— 
(I) IN GENERAL.—The chief elect-
ed official in a local area shall serve as 
the local grant recipient for, and shall 
be liable for any misuse of, the grant 
funds allocated to the local area under 
sections 128 and 133, unless the chief 
elected official reaches an agreement 
with the Governor for the Governor to 
act as the local grant recipient and 
bear such liability. 
(II) DESIGNATION.—In order to 
assist in administration of the grant 
funds, the chief elected official or the 
Governor, where the Governor serves as 
the local grant recipient for a local 
area, may designate an entity to serve 
as a local grant subrecipient for such 
funds or as a local fiscal agent. Such 
designation shall not relieve the chief 
elected official or the Governor of the
106 
† HR 803 EAS 
liability for any misuse of grant funds 
as described in subclause (I). 
(III) 
DISBURSAL.—The 
local 
grant recipient or an entity designated 
under subclause (II) shall disburse the 
grant funds for workforce investment 
activities at the direction of the local 
board, pursuant to the requirements of 
this title. The local grant recipient or 
entity designated under subclause (II) 
shall disburse the funds immediately 
on receiving such direction from the 
local board. 
(ii) GRANTS
AND
DONATIONS.—The 
local board may solicit and accept grants 
and donations from sources other than Fed-
eral funds made available under this Act. 
(iii) TAX-EXEMPT STATUS.—For pur-
poses of carrying out duties under this Act, 
local boards may incorporate, and may op-
erate as entities described in section 
501(c)(3) of the Internal Revenue Code of 
1986 that are exempt from taxation under 
section 501(a) of such Code.
107 
† HR 803 EAS 
(13) ACCESSIBILITY FOR INDIVIDUALS WITH DIS-
ABILITIES.—The local board shall annually assess the 
physical and programmatic accessibility, in accord-
ance with section 188, if applicable, and applicable 
provisions of the Americans with Disabilities Act of 
1990 (42 U.S.C. 12101 et seq.), of all one-stop centers 
in the local area. 
(e) SUNSHINE PROVISION.—The local board shall make 
available to the public, on a regular basis through electronic 
means and open meetings, information regarding the ac-
tivities of the local board, including information regarding 
the local plan prior to submission of the plan, and regard-
ing membership, the designation and certification of one- 
stop operators, and the award of grants or contracts to eligi-
ble providers of youth workforce investment activities, and 
on request, minutes of formal meetings of the local board. 
(f) STAFF.— 
(1) IN GENERAL.—The local board may hire a 
director and other staff to assist in carrying out the 
functions described in subsection (d) using funds 
available under sections 128(b) and 133(b) as de-
scribed in section 128(b)(4). 
(2) QUALIFICATIONS.—The local board shall es-
tablish and apply a set of objective qualifications for 
the position of director, that ensures that the indi-
108 
† HR 803 EAS 
vidual selected has the requisite knowledge, skills, and 
abilities, to meet identified benchmarks and to assist 
in effectively carrying out the functions of the local 
board. 
(3) LIMITATION
ON
RATE.—The director and 
staff described in paragraph (1) shall be subject to the 
limitations on the payment of salaries and bonuses 
described in section 194(15). 
(g) LIMITATIONS.— 
(1) TRAINING SERVICES.— 
(A) IN GENERAL.—Except as provided in 
subparagraph (B), no local board may provide 
training services. 
(B) WAIVERS OF TRAINING PROHIBITION.— 
The Governor of the State in which a local board 
is located may, pursuant to a request from the 
local board, grant a written waiver of the prohi-
bition set forth in subparagraph (A) (relating to 
the provision of training services) for a program 
of training services, if the local board— 
(i) submits to the Governor a proposed 
request for the waiver that includes— 
(I) satisfactory evidence that there 
is an insufficient number of eligible 
providers of such a program of train-
109 
† HR 803 EAS 
ing services to meet local demand in 
the local area; 
(II) information demonstrating 
that the board meets the requirements 
for an eligible provider of training 
services under section 122; and 
(III) information demonstrating 
that the program of training services 
prepares participants for an in-de-
mand industry sector or occupation in 
the local area; 
(ii) makes the proposed request avail-
able to eligible providers of training services 
and other interested members of the public 
for a public comment period of not less than 
30 days; and 
(iii) includes, in the final request for 
the waiver, the evidence and information 
described in clause (i) and the comments re-
ceived pursuant to clause (ii). 
(C) DURATION.—A waiver granted to a 
local board under subparagraph (B) shall apply 
for a period that shall not exceed the duration of 
the local plan. The waiver may be renewed for 
additional periods under subsequent local plans,
110 
† HR 803 EAS 
not to exceed the durations of such subsequent 
plans, pursuant to requests from the local board, 
if the board meets the requirements of subpara-
graph (B) in making the requests. 
(D) REVOCATION.—The Governor shall have 
the authority to revoke the waiver during the ap-
propriate period described in subparagraph (C) 
if the Governor determines the waiver is no 
longer needed or that the local board involved 
has engaged in a pattern of inappropriate refer-
rals to training services operated by the local 
board. 
(2) CAREER SERVICES; DESIGNATION OR CER-
TIFICATION AS ONE-STOP OPERATORS.—A local board 
may provide career services described in section 
134(c)(2) through a one-stop delivery system or be 
designated or certified as a one-stop operator only 
with the agreement of the chief elected official in the 
local area and the Governor. 
(3) LIMITATION ON AUTHORITY.—Nothing in this 
Act shall be construed to provide a local board with 
the authority to mandate curricula for schools. 
(h) CONFLICT OF INTEREST.—A member of a local 
board, or a member of a standing committee, may not—
111 
† HR 803 EAS 
(1) vote on a matter under consideration by the 
local board— 
(A) regarding the provision of services by 
such member (or by an entity that such member 
represents); or 
(B) that would provide direct financial ben-
efit to such member or the immediate family of 
such member; or 
(2) engage in any other activity determined by 
the Governor to constitute a conflict of interest as 
specified in the State plan. 
(i) ALTERNATIVE ENTITY.— 
(1) IN
GENERAL.—For purposes of complying 
with subsections (a), (b), and (c), a State may use 
any local entity (including a local council, regional 
workforce development board, or similar entity) 
that— 
(A) is established to serve the local area (or 
the service delivery area that most closely cor-
responds to the local area); 
(B) was in existence on the day before the 
date of enactment of this Act, pursuant to State 
law; and 
(C) includes—
112 
† HR 803 EAS 
(i) representatives of business in the 
local area; and 
(ii)(I) representatives of labor organi-
zations (for a local area in which employees 
are represented by labor organizations), 
nominated by local labor federations; or 
(II) other representatives of employees 
in the local area (for a local area in which 
no employees are represented by such orga-
nizations). 
(2) REFERENCES.—A reference in this Act or a 
core program provision to a local board, shall include 
a reference to such an entity. 
SEC. 108. LOCAL PLAN. 
(a) IN GENERAL.—Each local board shall develop and 
submit to the Governor a comprehensive 4-year local plan, 
in partnership with the chief elected official. The local plan 
shall support the strategy described in the State plan in 
accordance with section 102(b)(1)(E), and otherwise be con-
sistent with the State plan. If the local area is part of a 
planning region, the local board shall comply with section 
106(c) in the preparation and submission of a regional 
plan. At the end of the first 2-year period of the 4-year 
local plan, each local board shall review the local plan and 
the local board, in partnership with the chief elected official,
113 
† HR 803 EAS 
shall prepare and submit modifications to the local plan 
to reflect changes in labor market and economic conditions 
or in other factors affecting the implementation of the local 
plan. 
(b) CONTENTS.—The local plan shall include— 
(1) a description of the strategic planning ele-
ments consisting of— 
(A) an analysis of the regional economic 
conditions including— 
(i) existing and emerging in-demand 
industry sectors and occupations; and 
(ii) the employment needs of employers 
in those industry sectors and occupations; 
(B) an analysis of the knowledge and skills 
needed to meet the employment needs of the em-
ployers in the region, including employment 
needs in in-demand industry sectors and occupa-
tions; 
(C) an analysis of the workforce in the re-
gion, including current labor force employment 
(and unemployment) data, and information on 
labor market trends, and the educational and 
skill levels of the workforce in the region, includ-
ing individuals with barriers to employment;
114 
† HR 803 EAS 
(D) an analysis of the workforce develop-
ment activities (including education and train-
ing) in the region, including an analysis of the 
strengths and weaknesses of such services, and 
the capacity to provide such services, to address 
the identified education and skill needs of the 
workforce and the employment needs of employ-
ers in the region; 
(E) a description of the local board’s stra-
tegic vision and goals for preparing an educated 
and skilled workforce (including youth and indi-
viduals with barriers to employment), including 
goals relating to the performance accountability 
measures based on primary indicators of per-
formance described in section 116(b)(2)(A) in 
order to support regional economic growth and 
economic self-sufficiency; and 
(F) taking into account analyses described 
in subparagraphs (A) through (D), a strategy to 
work with the entities that carry out the core 
programs to align resources available to the local 
area, to achieve the strategic vision and goals de-
scribed in subparagraph (E); 
(2) a description of the workforce development 
system in the local area that identifies the programs
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† HR 803 EAS 
that are included in that system and how the local 
board will work with the entities carrying out core 
programs and other workforce development programs 
to support alignment to provide services, including 
programs of study authorized under the Carl D. Per-
kins Career and Technical Education Act of 2006 (20 
U.S.C. 2301 et seq.), that support the strategy identi-
fied in the State plan under section 102(b)(1)(E); 
(3) a description of how the local board, working 
with the entities carrying out core programs, will ex-
pand access to employment, training, education, and 
supportive services for eligible individuals, particu-
larly eligible individuals with barriers to employ-
ment, including how the local board will facilitate the 
development of career pathways and co-enrollment, as 
appropriate, in core programs, and improve access to 
activities leading to a recognized postsecondary cre-
dential (including a credential that is an industry- 
recognized certificate or certification, portable, and 
stackable); 
(4) a description of the strategies and services 
that will be used in the local area— 
(A) in order to— 
(i) facilitate engagement of employers, 
including small employers and employers in
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in-demand industry sectors and occupa-
tions, in workforce development programs; 
(ii) support a local workforce develop-
ment system that meets the needs of busi-
nesses in the local area; 
(iii) better coordinate workforce devel-
opment programs and economic develop-
ment; and 
(iv) strengthen linkages between the 
one-stop delivery system and unemployment 
insurance programs; and 
(B) that may include the implementation of 
initiatives such as incumbent worker training 
programs, on-the-job training programs, cus-
tomized training programs, industry and sector 
strategies, career pathways initiatives, utiliza-
tion of effective business intermediaries, and 
other business services and strategies, designed to 
meet the needs of employers in the corresponding 
region in support of the strategy described in 
paragraph (1)(F); 
(5) a description of how the local board will co-
ordinate workforce investment activities carried out 
in the local area with economic development activities 
carried out in the region in which the local area is
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† HR 803 EAS 
located (or planning region), and promote entrepre-
neurial skills training and microenterprise services; 
(6) a description of the one-stop delivery system 
in the local area, including— 
(A) a description of how the local board will 
ensure the continuous improvement of eligible 
providers of services through the system and en-
sure that such providers meet the employment 
needs of local employers, and workers and job-
seekers; 
(B) a description of how the local board 
will facilitate access to services provided through 
the one-stop delivery system, including in remote 
areas, through the use of technology and through 
other means; 
(C) a description of how entities within the 
one-stop delivery system, including one-stop op-
erators and the one-stop partners, will comply 
with section 188, if applicable, and applicable 
provisions of the Americans with Disabilities Act 
of 1990 (42 U.S.C. 12101 et seq.) regarding the 
physical and programmatic accessibility of fa-
cilities, programs and services, technology, and 
materials for individuals with disabilities, in-
cluding providing staff training and support for
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† HR 803 EAS 
addressing the needs of individuals with disabil-
ities; and 
(D) a description of the roles and resource 
contributions of the one-stop partners; 
(7) a description and assessment of the type and 
availability of adult and dislocated worker employ-
ment and training activities in the local area; 
(8) a description of how the local board will co-
ordinate workforce investment activities carried out 
in the local area with statewide rapid response activi-
ties, as described in section 134(a)(2)(A); 
(9) a description and assessment of the type and 
availability of youth workforce investment activities 
in the local area, including activities for youth who 
are individuals with disabilities, which description 
and assessment shall include an identification of suc-
cessful models of such youth workforce investment ac-
tivities; 
(10) a description of how the local board will co-
ordinate education and workforce investment activi-
ties carried out in the local area with relevant sec-
ondary and postsecondary education programs and 
activities to coordinate strategies, enhance services, 
and avoid duplication of services;
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† HR 803 EAS 
(11) a description of how the local board will co-
ordinate workforce investment activities carried out 
under this title in the local area with the provision 
of transportation, including public transportation, 
and other appropriate supportive services in the local 
area; 
(12) a description of plans and strategies for, 
and assurances concerning, maximizing coordination 
of services provided by the State employment service 
under the Wagner-Peyser Act (29 U.S.C. 49 et seq.) 
and services provided in the local area through the 
one-stop delivery system, to improve service delivery 
and avoid duplication of services; 
(13) a description of how the local board will co-
ordinate workforce investment activities carried out 
under this title in the local area with the provision 
of adult education and literacy activities under title 
II in the local area, including a description of how 
the local board will carry out, consistent with sub-
paragraphs (A) and (B)(i) of section 107(d)(11) and 
section 232, the review of local applications submitted 
under title II; 
(14) a description of the replicated cooperative 
agreements (as defined in section 107(d)(11)) between 
the local board or other local entities described in sec-
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† HR 803 EAS 
tion 101(a)(11)(B) of the Rehabilitation Act of 1973 
(29 U.S.C. 721(a)(11)(B)) and the local office of a 
designated State agency or designated State unit ad-
ministering programs carried out under title I of such 
Act (29 U.S.C. 720 et seq.) (other than section 112 or 
part C of that title (29 U.S.C. 732, 741) and subject 
to section 121(f)) in accordance with section 
101(a)(11) of such Act (29 U.S.C. 721(a)(11)) with 
respect to efforts that will enhance the provision of 
services to individuals with disabilities and to other 
individuals, such as cross training of staff, technical 
assistance, use and sharing of information, coopera-
tive efforts with employers, and other efforts at co-
operation, collaboration, and coordination; 
(15) an identification of the entity responsible 
for the disbursal of grant funds described in section 
107(d)(12)(B)(i)(III), as determined by the chief 
elected official or the Governor under section 
107(d)(12)(B)(i); 
(16) a description of the competitive process to 
be used to award the subgrants and contracts in the 
local area for activities carried out under this title; 
(17) a description of the local levels of perform-
ance negotiated with the Governor and chief elected 
official pursuant to section 116(c), to be used to meas-
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† HR 803 EAS 
ure the performance of the local area and to be used 
by the local board for measuring the performance of 
the local fiscal agent (where appropriate), eligible 
providers under subtitle B, and the one-stop delivery 
system, in the local area; 
(18) a description of the actions the local board 
will take toward becoming or remaining a high-per-
forming board, consistent with the factors developed 
by the State board pursuant to section 101(d)(6); 
(19) a description of how training services under 
chapter 3 of subtitle B will be provided in accordance 
with section 134(c)(3)(G), including, if contracts for 
the training services will be used, how the use of such 
contracts will be coordinated with the use of indi-
vidual training accounts under that chapter and how 
the local board will ensure informed customer choice 
in the selection of training programs regardless of 
how the training services are to be provided; 
(20) a description of the process used by the local 
board, consistent with subsection (d), to provide an 
opportunity for public comment, including comment 
by representatives of businesses and comment by rep-
resentatives of labor organizations, and input into the 
development of the local plan, prior to submission of 
the plan;
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† HR 803 EAS 
(21) a description of how one-stop centers are 
implementing and transitioning to an integrated, 
technology-enabled intake and case management in-
formation system for programs carried out under this 
Act and programs carried out by one-stop partners; 
and 
(22) such other information as the Governor may 
require. 
(c) EXISTING ANALYSIS.—As appropriate, a local area 
may use an existing analysis in order to carry out the re-
quirements of subsection (b)(1) concerning an analysis. 
(d) PROCESS.—Prior to the date on which the local 
board submits a local plan under this section, the local 
board shall— 
(1) make available copies of a proposed local 
plan to the public through electronic and other means, 
such as public hearings and local news media; 
(2) allow members of the public, including rep-
resentatives of business, representatives of labor orga-
nizations, and representatives of education to submit 
to the local board comments on the proposed local 
plan, not later than the end of the 30-day period be-
ginning on the date on which the proposed local plan 
is made available; and
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(3) include with the local plan submitted to the 
Governor under this section any such comments that 
represent disagreement with the plan. 
(e) PLAN SUBMISSION AND APPROVAL.—A local plan 
submitted to the Governor under this section (including a 
modification to such a local plan) shall be considered to 
be approved by the Governor at the end of the 90-day period 
beginning on the day the Governor receives the plan (in-
cluding such a modification), unless the Governor makes 
a written determination during the 90-day period that— 
(1) deficiencies in activities carried out under 
this subtitle or subtitle B have been identified, 
through audits conducted under section 184 or other-
wise, and the local area has not made acceptable 
progress in implementing corrective measures to ad-
dress the deficiencies; 
(2) the plan does not comply with the applicable 
provisions of this Act; or 
(3) the plan does not align with the State plan, 
including failing to provide for alignment of the core 
programs to support the strategy identified in the 
State plan in accordance with section 102(b)(1)(E).
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CHAPTER 3—BOARD PROVISIONS 
SEC. 111. FUNDING OF STATE AND LOCAL BOARDS. 
(a) STATE BOARDS.—In funding a State board under 
this subtitle, a State— 
(1) shall use funds available as described in sec-
tion 129(b)(3) or 134(a)(3)(B); and 
(2) may use non-Federal funds available to the 
State that the State determines are appropriate and 
available for that use. 
(b) LOCAL BOARDS.—In funding a local board under 
this subtitle, the chief elected official and local board for 
the local area— 
(1) shall use funds available as described in sec-
tion 128(b)(4); and 
(2) may use non-Federal funds available to the 
local area that the chief elected official and local 
board determine are appropriate and available for 
that use. 
CHAPTER 4—PERFORMANCE 
ACCOUNTABILITY 
SEC. 116. PERFORMANCE ACCOUNTABILITY SYSTEM. 
(a) PURPOSE.—The purpose of this section is to estab-
lish performance accountability measures that apply across 
the core programs to assess the effectiveness of States and 
local areas (for core programs described in subtitle B) in
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achieving positive outcomes for individuals served by those 
programs. 
(b) STATE PERFORMANCE ACCOUNTABILITY MEAS-
URES.— 
(1) IN GENERAL.—For each State, the perform-
ance accountability measures for the core programs 
shall consist of— 
(A)(i) the primary indicators of perform-
ance described in paragraph (2)(A); and 
(ii) the additional indicators of perform-
ance (if any) identified by the State under para-
graph (2)(B); and 
(B) a State adjusted level of performance 
for each indicator described in subparagraph 
(A). 
(2) INDICATORS OF PERFORMANCE.— 
(A) PRIMARY
INDICATORS
OF
PERFORM-
ANCE.— 
(i) IN GENERAL.—The State primary 
indicators of performance for activities pro-
vided under the adult and dislocated worker 
programs authorized under chapter 3 of 
subtitle B, the program of adult education 
and literacy activities authorized under 
title II, the employment services program
126 
† HR 803 EAS 
authorized under sections 1 through 13 of 
the Wagner-Peyser Act (29 U.S.C. 49 et 
seq.) (except that subclauses (IV) and (V) 
shall not apply to such program), and the 
program authorized under title I of the Re-
habilitation Act of 1973 (29 U.S.C. 720 et 
seq.), other than section 112 or part C of 
that title (29 U.S.C. 732, 741), shall consist 
of— 
(I) the percentage of program par-
ticipants who are in unsubsidized em-
ployment during the second quarter 
after exit from the program; 
(II) the percentage of program 
participants who are in unsubsidized 
employment during the fourth quarter 
after exit from the program; 
(III) the median earnings of pro-
gram participants who are in unsub-
sidized employment during the second 
quarter after exit from the program; 
(IV) the percentage of program 
participants who obtain a recognized 
postsecondary credential, or a sec-
ondary school diploma or its recog-
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† HR 803 EAS 
nized equivalent (subject to clause 
(iii)), during participation in or with-
in 1 year after exit from the program; 
(V) the percentage of program 
participants who, during a program 
year, are in an education or training 
program that leads to a recognized 
postsecondary credential or employ-
ment and who are achieving measur-
able skill gains toward such a creden-
tial or employment; and 
(VI) the indicators of effectiveness 
in serving employers established pursu-
ant to clause (iv). 
(ii) PRIMARY INDICATORS FOR ELIGI-
BLE
YOUTH.—The primary indicators of 
performance for the youth program author-
ized under chapter 2 of subtitle B shall con-
sist of— 
(I) the percentage of program par-
ticipants who are in education or 
training activities, or in unsubsidized 
employment, during the second quarter 
after exit from the program;
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(II) the percentage of program 
participants who are in education or 
training activities, or in unsubsidized 
employment, during the fourth quarter 
after exit from the program; and 
(III) the primary indicators of 
performance described in subclauses 
(III) through (VI) of subparagraph 
(A)(i). 
(iii) INDICATOR RELATING TO CREDEN-
TIAL.—For purposes of clause (i)(IV), or 
clause (ii)(III) with respect to clause 
(i)(IV), program participants who obtain a 
secondary school diploma or its recognized 
equivalent shall be included in the percent-
age counted as meeting the criterion under 
such clause only if such participants, in ad-
dition to obtaining such diploma or its rec-
ognized equivalent, have obtained or re-
tained employment or are in an education 
or training program leading to a recognized 
postsecondary credential within 1 year after 
exit from the program. 
(iv) INDICATOR FOR SERVICES TO EM-
PLOYERS.—Prior to the commencement of
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† HR 803 EAS 
the second full program year after the date 
of enactment of this Act, for purposes of 
clauses (i)(VI), or clause (ii)(III) with re-
spect to clause (i)(IV), the Secretary of 
Labor and the Secretary of Education, after 
consultation with the representatives de-
scribed in paragraph (4)(B), shall jointly 
develop and establish, for purposes of this 
subparagraph, 1 or more primary indica-
tors of performance that indicate the effec-
tiveness of the core programs in serving em-
ployers. 
(B) ADDITIONAL
INDICATORS.—A State 
may identify in the State plan additional per-
formance accountability indicators. 
(3) LEVELS OF PERFORMANCE.— 
(A) STATE ADJUSTED LEVELS OF PERFORM-
ANCE FOR PRIMARY INDICATORS.— 
(i) IN GENERAL.—For each State sub-
mitting a State plan, there shall be estab-
lished, in accordance with this subpara-
graph, levels of performance for each of the 
corresponding primary indicators of per-
formance described in paragraph (2) for
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† HR 803 EAS 
each of the programs described in clause 
(ii). 
(ii) INCLUDED PROGRAMS.—The pro-
grams included under clause (i) are— 
(I) the youth program authorized 
under chapter 2 of subtitle B; 
(II) the adult program authorized 
under chapter 3 of subtitle B; 
(III) the dislocated worker pro-
gram authorized under chapter 3 of 
subtitle B; 
(IV) the program of adult edu-
cation and literacy activities author-
ized under title II; 
(V) the employment services pro-
gram authorized under sections 1 
through 13 of the Wagner-Peyser Act 
(29 U.S.C. 49 et seq.); and 
(VI) 
the 
program 
authorized 
under title I of the Rehabilitation Act 
of 1973 (29 U.S.C. 720 et seq.), other 
than section 112 or part C of that title 
(29 U.S.C. 732, 741). 
(iii) 
IDENTIFICATION
IN
STATE 
PLAN.—Each State shall identify, in the
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† HR 803 EAS 
State plan, expected levels of performance 
for each of the corresponding primary indi-
cators of performance for each of the pro-
grams described in clause (ii) for the first 
2 program years covered by the State plan. 
(iv) AGREEMENT ON STATE ADJUSTED 
LEVELS OF PERFORMANCE.— 
(I) FIRST
YEARS.—The State 
shall reach agreement with the Sec-
retary of Labor, in conjunction with 
the Secretary of Education on levels of 
performance for each indicator de-
scribed in clause (iii) for each of the 
programs described in clause (ii) for 
each of the first 2 program years cov-
ered by the State plan. In reaching the 
agreement, the State and the Secretary 
of Labor in conjunction with the Sec-
retary of Education shall take into ac-
count the levels identified in the State 
plan under clause (iii) and the factors 
described in clause (v). The levels 
agreed to shall be considered to be the 
State adjusted levels of performance for 
the State for such program years and
132 
† HR 803 EAS 
shall be incorporated into the State 
plan prior to the approval of such 
plan. 
(II) THIRD AND FOURTH YEAR.— 
The State and the Secretary of Labor, 
in conjunction with the Secretary of 
Education, 
shall 
reach 
agreement, 
prior to the third program year cov-
ered by the State plan, on levels of per-
formance for each indicator described 
in clause (iii) for each of the programs 
described in clause (ii) for each of the 
third and fourth program years cov-
ered by the State plan. In reaching the 
agreement, the State and Secretary of 
Labor, in conjunction with the Sec-
retary of Education, shall take into ac-
count the factors described in clause 
(v). The levels agreed to shall be con-
sidered to be the State adjusted levels of 
performance for the State for such pro-
gram years and shall be incorporated 
into the State plan as a modification 
to the plan.
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† HR 803 EAS 
(v) FACTORS.—In reaching the agree-
ments described in clause (iv), the State 
and Secretaries shall— 
(I) take into account how the lev-
els involved compare with the State ad-
justed levels of performance established 
for other States; 
(II) ensure that the levels involved 
are adjusted, using the objective statis-
tical model established by the Secre-
taries pursuant to clause (viii), based 
on— 
(aa) the differences among 
States in actual economic condi-
tions (including differences in un-
employment rates and job losses 
or gains in particular industries); 
and 
(bb) the characteristics of 
participants when the partici-
pants entered the program in-
volved, including indicators of 
poor work history, lack of work 
experience, lack of educational or 
occupational 
skills 
attainment,
134 
† HR 803 EAS 
dislocation from high-wage and 
high-benefit employment, low lev-
els of literacy or English pro-
ficiency, disability status, home-
lessness, ex-offender status, and 
welfare dependency; 
(III) take into account the extent 
to which the levels involved promote 
continuous improvement in perform-
ance accountability on the performance 
accountability measures by such State 
and ensure optimal return on the in-
vestment of Federal funds; and 
(IV) take into account the extent 
to which the levels involved will assist 
the State in meeting the goals described 
in clause (vi). 
(vi) GOALS.—In order to promote en-
hanced performance outcomes and to facili-
tate the process of reaching agreements with 
the States under clause (iv), the Secretary 
of Labor, in conjunction with the Secretary 
of Education, shall establish performance 
goals for the core programs, in accordance 
with the Government Performance and Re-
135 
† HR 803 EAS 
sults Act of 1993 (Public Law 103–62; 107 
Stat. 285) and the amendments made by 
that Act, and in consultation with States 
and other appropriate parties. Such goals 
shall be long-term goals for the adjusted lev-
els of performance to be achieved by each of 
the programs described in clause (ii) re-
garding the corresponding primary indica-
tors of performance described in paragraph 
(2)(A). 
(vii) REVISIONS BASED ON ECONOMIC 
CONDITIONS AND INDIVIDUALS SERVED DUR-
ING THE PROGRAM YEAR.—The Secretary of 
Labor, in conjunction with the Secretary of 
Education, shall, in accordance with the ob-
jective statistical model developed pursuant 
to clause (viii), revise the State adjusted 
levels of performance applicable for each of 
the programs described in clause (ii), for a 
program year and a State, to reflect the ac-
tual economic conditions and characteristics 
of participants (as described in clause 
(v)(II)) in that program during such pro-
gram year in such State.
136 
† HR 803 EAS 
(viii) 
STATISTICAL
ADJUSTMENT 
MODEL.—The Secretary of Labor and the 
Secretary of Education, after consultation 
with the representatives described in para-
graph (4)(B), shall develop and disseminate 
an objective statistical model that will be 
used to make the adjustments in the State 
adjusted levels of performance for actual 
economic conditions and characteristics of 
participants under clauses (v) and (vii). 
(B) LEVELS OF PERFORMANCE FOR ADDI-
TIONAL INDICATORS.—The State may identify, 
in the State plan, State levels of performance for 
each of the additional indicators identified under 
paragraph (2)(B). Such levels shall be considered 
to be State adjusted levels of performance for 
purposes of this section. 
(4) DEFINITIONS OF INDICATORS OF PERFORM-
ANCE.— 
(A) IN GENERAL.—In order to ensure na-
tionwide comparability of performance data, the 
Secretary of Labor and the Secretary of Edu-
cation, after consultation with representatives 
described in subparagraph (B), shall issue defi-
137 
† HR 803 EAS 
nitions for the indicators described in paragraph 
(2). 
(B) REPRESENTATIVES.—The representa-
tives referred to in subparagraph (A) are rep-
resentatives of States and political subdivisions, 
business and industry, employees, eligible pro-
viders of activities carried out through the core 
programs, educators, researchers, participants, 
the lead State agency officials with responsibility 
for the programs carried out through the core 
programs, individuals with expertise in serving 
individuals with barriers to employment, and 
other interested parties. 
(c) LOCAL PERFORMANCE ACCOUNTABILITY MEAS-
URES FOR SUBTITLE B.— 
(1) IN GENERAL.—For each local area in a State 
designated under section 106, the local performance 
accountability measures for each of the programs de-
scribed in subclauses (I) through (III) of subsection 
(b)(3)(A)(ii) shall consist of— 
(A)(i) the primary indicators of perform-
ance described in subsection (b)(2)(A) that are 
applicable to such programs; and
138 
† HR 803 EAS 
(ii) additional indicators of performance, if 
any, identified by the State for such programs 
under subsection (b)(2)(B); and 
(B) the local level of performance for each 
indicator described in subparagraph (A). 
(2) LOCAL LEVEL OF PERFORMANCE.—The local 
board, the chief elected official, and the Governor shall 
negotiate and reach agreement on local levels of per-
formance based on the State adjusted levels of per-
formance established under subsection (b)(3)(A). 
(3) ADJUSTMENT FACTORS.—In negotiating the 
local levels of performance, the local board, the chief 
elected official, and the Governor shall make adjust-
ments for the expected economic conditions and the 
expected characteristics of participants to be served in 
the local area, using the statistical adjustment model 
developed pursuant to subsection (b)(3)(A)(viii). In 
addition, the negotiated local levels of performance 
applicable to a program year shall be revised to re-
flect the actual economic conditions experienced and 
the characteristics of the populations served in the 
local area during such program year using the statis-
tical adjustment model. 
(d) PERFORMANCE REPORTS.—
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† HR 803 EAS 
(1) IN
GENERAL.—Not later than 12 months 
after the date of enactment of this Act, the Secretary 
of Labor, in conjunction with the Secretary of Edu-
cation, shall develop a template for performance re-
ports that shall be used by States, local boards, and 
eligible providers of training services under section 
122 to report on outcomes achieved by the core pro-
grams. In developing such templates, the Secretary of 
Labor, in conjunction with the Secretary of Edu-
cation, will take into account the need to maximize 
the value of the templates for workers, jobseekers, em-
ployers, local elected officials, State officials, Federal 
policymakers, and other key stakeholders. 
(2) CONTENTS
OF
STATE
PERFORMANCE
RE-
PORTS.—The performance report for a State shall in-
clude, subject to paragraph (5)(C)— 
(A) information specifying the levels of per-
formance achieved with respect to the primary 
indicators of performance described in subsection 
(b)(2)(A) for each of the programs described in 
subsection (b)(3)(A)(ii) and the State adjusted 
levels of performance with respect to such indica-
tors for each program; 
(B) information specifying the levels of per-
formance achieved with respect to the primary
140 
† HR 803 EAS 
indicators of performance described in subsection 
(b)(2)(A) for each of the programs described in 
subsection (b)(3)(A)(ii) with respect to individ-
uals with barriers to employment, disaggregated 
by each subpopulation of such individuals, and 
by race, ethnicity, sex, and age; 
(C) the total number of participants served 
by each of the programs described in subsection 
(b)(3)(A)(ii); 
(D) the number of participants who received 
career and training services, respectively, during 
the most recent program year and the 3 pre-
ceding program years, and the amount of funds 
spent on each type of service; 
(E) the number of participants who exited 
from career and training services, respectively, 
during the most recent program year and the 3 
preceding program years; 
(F) the average cost per participant of those 
participants who received career and training 
services, respectively, during the most recent pro-
gram year and the 3 preceding program years; 
(G) the percentage of participants in a pro-
gram authorized under this subtitle who received 
training services and obtained unsubsidized em-
141 
† HR 803 EAS 
ployment in a field related to the training re-
ceived; 
(H) the number of individuals with barriers 
to employment served by each of the programs 
described 
in 
subsection 
(b)(3)(A)(ii), 
disaggregated by each subpopulation of such in-
dividuals; 
(I) the number of participants who are en-
rolled in more than 1 of the programs described 
in subsection (b)(3)(A)(ii); 
(J) the percentage of the State’s annual al-
lotment under section 132(b) that the State spent 
on administrative costs; 
(K) in the case of a State in which local 
areas are implementing pay-for-performance 
contract strategies for programs— 
(i) the performance of service providers 
entering into contracts for such strategies, 
measured against the levels of performance 
specified in the contracts for such strategies; 
and 
(ii) an evaluation of the design of the 
programs and performance of the strategies, 
and, where possible, the level of satisfaction 
with the strategies among employers and
142 
† HR 803 EAS 
participants benefitting from the strategies; 
and 
(L) other information that facilitates com-
parisons of programs with programs in other 
States. 
(3) CONTENTS OF LOCAL AREA PERFORMANCE 
REPORTS.—The performance reports for a local area 
shall include, subject to paragraph (6)(C)— 
(A) the information specified in subpara-
graphs (A) through (L) of paragraph (2), for 
each of the programs described in subclauses (I) 
through (III) of subsection (b)(3)(A)(ii); 
(B) the percentage of the local area’s alloca-
tion under sections 128(b) and 133(b) that the 
local area spent on administrative costs; and 
(C) other information that facilitates com-
parisons of programs with programs in other 
local areas (or planning regions, as appro-
priate). 
(4) CONTENTS
OF
ELIGIBLE
TRAINING
PRO-
VIDERS
PERFORMANCE
REPORTS.—The performance 
report for an eligible provider of training services 
under section 122 shall include, subject to paragraph 
(6)(C), with respect to each program of study (or the 
equivalent) of such provider—
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(A) information specifying the levels of per-
formance achieved with respect to the primary 
indicators of performance described in subclauses 
(I) through (IV) of subsection (b)(2)(A)(i) with 
respect to all individuals engaging in the pro-
gram of study (or the equivalent); 
(B) the total number of individuals exiting 
from the program of study (or the equivalent); 
(C) the total number of participants who re-
ceived training services through each of the adult 
program and the dislocated worker program au-
thorized 
under 
chapter 
of 
subtitle 
B, 
disaggregated by the type of entity that provided 
the training, during the most recent program 
year and the 3 preceding program years; 
(D) the total number of participants who 
exited from training services, disaggregated by 
the type of entity that provided the training, 
during the most recent program year and the 3 
preceding program years; 
(E) the average cost per participant for the 
participants who received training services, 
disaggregated by the type of entity that provided 
the training, during the most recent program 
year and the 3 preceding program years; and
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† HR 803 EAS 
(F) the number of individuals with barriers 
to employment served by each of the adult pro-
gram and the dislocated worker program author-
ized under chapter 3 of subtitle B, disaggregated 
by each subpopulation of such individuals, and 
by race, ethnicity, sex, and age. 
(5) DATA VALIDATION.—In preparing the State 
reports described in this subsection, each State shall 
establish procedures, consistent with guidelines issued 
by the Secretary, in conjunction with the Secretary of 
Education, to ensure the information contained in the 
reports is valid and reliable. 
(6) PUBLICATION.— 
(A) STATE PERFORMANCE REPORTS.—The 
Secretary of Labor and the Secretary of Edu-
cation shall annually make available (including 
by electronic means), in an easily understand-
able format, the performance reports for States 
containing the information described in para-
graph (2). 
(B) LOCAL AREA AND ELIGIBLE TRAINING 
PROVIDER PERFORMANCE REPORTS.—The State 
shall make available (including by electronic 
means), in an easily understandable format, the 
performance reports for the local areas con-
145 
† HR 803 EAS 
taining the information described in paragraph 
(3) and the performance reports for eligible pro-
viders of training services containing the infor-
mation described in paragraph (4). 
(C) RULES FOR REPORTING OF DATA.—The 
disaggregation of data under this subsection 
shall not be required when the number of partici-
pants in a category is insufficient to yield statis-
tically reliable information or when the results 
would reveal personally identifiable information 
about an individual participant. 
(D) DISSEMINATION
TO
CONGRESS.—The 
Secretary of Labor and the Secretary of Edu-
cation shall make available (including by elec-
tronic means) a summary of the reports, and the 
reports, required under this subsection to the 
Committee on Education and the Workforce of 
the House of Representatives and the Committee 
on Health, Education, Labor, and Pensions of 
the Senate. The Secretaries shall prepare and 
make available with the reports a set of rec-
ommendations for improvements in and adjust-
ments to pay-for-performance contract strategies 
used under subtitle B. 
(e) EVALUATION OF STATE PROGRAMS.—
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† HR 803 EAS 
(1) IN GENERAL.—Using funds authorized under 
a core program and made available to carry out this 
section, the State, in coordination with local boards 
in the State and the State agencies responsible for the 
administration of the core programs, shall conduct 
ongoing evaluations of activities carried out in the 
State under such programs. The State, local boards, 
and State agencies shall conduct the evaluations in 
order to promote, establish, implement, and utilize 
methods for continuously improving core program ac-
tivities in order to achieve high-level performance 
within, and high-level outcomes from, the workforce 
development system. The State shall coordinate the 
evaluations with the evaluations provided for by the 
Secretary of Labor and the Secretary of Education 
under section 169, section 242(c)(2)(D), and sections 
12(a)(5), 14, and 107 of the Rehabilitation Act of 
1973 (29 U.S.C. 709(a)(5), 711, 727) (applied with 
respect to programs carried out under title I of that 
Act (29 U.S.C. 720 et seq.)) and the investigations 
provided for by the Secretary of Labor under section 
10(b) of the Wagner-Peyser Act (29 U.S.C. 49i(b)). 
(2) DESIGN.—The evaluations conducted under 
this subsection shall be designed in conjunction with 
the State board, State agencies responsible for the ad-
147 
† HR 803 EAS 
ministration of the core programs, and local boards 
and shall include analysis of customer feedback and 
outcome and process measures in the statewide work-
force development system. The evaluations shall use 
designs that employ the most rigorous analytical and 
statistical methods that are reasonably feasible, such 
as the use of control groups. 
(3) RESULTS.—The State shall annually pre-
pare, submit to the State board and local boards in 
the State, and make available to the public (including 
by electronic means), reports containing the results of 
evaluations conducted under this subsection, to pro-
mote the efficiency and effectiveness of the workforce 
development system. 
(4) COOPERATION
WITH
FEDERAL
EVALUA-
TIONS.—The State shall, to the extent practicable, co-
operate in the conduct of evaluations (including re-
lated research projects) provided for by the Secretary 
of Labor or the Secretary of Education under the pro-
visions of Federal law identified in paragraph (1). 
Such cooperation shall include the provision of data 
(in accordance with appropriate privacy protections 
established by the Secretary of Labor), the provision 
of responses to surveys, and allowing site visits in a 
timely manner, for the Secretaries or their agents.
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† HR 803 EAS 
(f) SANCTIONS FOR STATE FAILURE TO MEET STATE 
PERFORMANCE ACCOUNTABILITY MEASURES.— 
(1) STATES.— 
(A) TECHNICAL
ASSISTANCE.—If a State 
fails to meet the State adjusted levels of perform-
ance relating to indicators described in sub-
section (b)(2)(A) for a program for any program 
year, the Secretary of Labor and the Secretary 
of Education shall provide technical assistance, 
including assistance in the development of a per-
formance improvement plan. 
(B) REDUCTION IN AMOUNT OF GRANT.—If 
such failure continues for a second consecutive 
year, or (except in the case of exceptional cir-
cumstances as determined by the Secretary of 
Labor or the Secretary of Education, as appro-
priate) a State fails to submit a report under 
subsection (d) for any program year, the percent-
age of each amount that would (in the absence 
of this paragraph) be reserved by the Governor 
under section 128(a) for the immediately suc-
ceeding program year shall be reduced by 5 per-
centage points until such date as the Secretary 
of Labor or the Secretary of Education, as ap-
propriate, determines that the State meets such
149 
† HR 803 EAS 
State adjusted levels of performance and has sub-
mitted such reports for the appropriate program 
years. 
(g) SANCTIONS FOR LOCAL AREA FAILURE TO MEET 
LOCAL PERFORMANCE ACCOUNTABILITY MEASURES.— 
(1) TECHNICAL
ASSISTANCE.—If a local area 
fails to meet local performance accountability meas-
ures established under subsection (c) for the youth, 
adult, or dislocated worker program authorized under 
chapter 2 or 3 of subtitle B for a program described 
in subsection (d)(2)(A) for any program year, the 
Governor, or upon request by the Governor, the Sec-
retary of Labor, shall provide technical assistance, 
which may include assistance in the development of 
a performance improvement plan or the development 
of a modified local plan (or regional plan). 
(2) CORRECTIVE ACTIONS.— 
(A) IN GENERAL.—If such failure continues 
for a third consecutive year, the Governor shall 
take corrective actions, which shall include devel-
opment of a reorganization plan through which 
the Governor shall— 
(i) require the appointment and cer-
tification of a new local board, consistent
150 
† HR 803 EAS 
with the criteria established under section 
107(b); 
(ii) prohibit the use of eligible pro-
viders and one-stop partners identified as 
achieving a poor level of performance; or 
(iii) take such other significant actions 
as the Governor determines are appropriate. 
(B) APPEAL BY LOCAL AREA.— 
(i) APPEAL TO GOVERNOR.—The local 
board and chief elected official for 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. 
(ii) SUBSEQUENT ACTION.—The local 
board and chief elected official for a local 
area may, not later than 30 days after re-
ceiving a decision from the Governor pursu-
ant to clause (i), appeal such decision to the 
Secretary of Labor. In such case, the Sec-
151 
† HR 803 EAS 
retary shall make a final decision not later 
than 30 days after the receipt of the appeal. 
(C) EFFECTIVE DATE.—The decision made 
by the Governor under subparagraph (B)(i) shall 
become effective at the time the Governor issues 
the decision pursuant to such clause. Such deci-
sion shall remain effective unless the Secretary of 
Labor rescinds or revises such plan pursuant to 
subparagraph (B)(ii). 
(h) ESTABLISHING PAY-FOR-PERFORMANCE CONTRACT 
STRATEGY INCENTIVES.—Using non-Federal funds, the 
Governor may establish incentives for local boards to imple-
ment pay-for-performance contract strategies for the deliv-
ery of training services described in section 134(c)(3) or ac-
tivities described in section 129(c)(2) in the local areas 
served by the local boards. 
(i) FISCAL AND MANAGEMENT ACCOUNTABILITY IN-
FORMATION SYSTEMS.— 
(1) IN GENERAL.—Using funds authorized under 
a core program and made available to carry out this 
chapter, the Governor, in coordination with the State 
board, the State agencies administering the core pro-
grams, local boards, and chief elected officials in the 
State, shall establish and operate a fiscal and man-
agement accountability information system based on
152 
† HR 803 EAS 
guidelines established by the Secretary of Labor and 
the Secretary of Education after consultation with the 
Governors of States, chief elected officials, and one- 
stop partners. Such guidelines shall promote efficient 
collection and use of fiscal and management informa-
tion for reporting and monitoring the use of funds 
authorized under the core programs and for preparing 
the annual report described in subsection (d). 
(2) WAGE RECORDS.—In measuring the progress 
of the State on State and local performance account-
ability measures, a State shall utilize quarterly wage 
records, consistent with State law. The Secretary of 
Labor shall make arrangements, consistent with State 
law, to ensure that the wage records of any State are 
available to any other State to the extent that such 
wage records are required by the State in carrying 
out the State plan of the State or completing the an-
nual report described in subsection (d). 
(3) CONFIDENTIALITY.—In carrying out the re-
quirements of this Act, the State shall comply with 
section 444 of the General Education Provisions Act 
(20 U.S.C. 1232g).
153 
† HR 803 EAS 
Subtitle B—Workforce Investment 
Activities and Providers 
CHAPTER 1—WORKFORCE INVESTMENT 
ACTIVITIES AND PROVIDERS 
SEC. 121. ESTABLISHMENT OF ONE-STOP DELIVERY SYS-
TEMS. 
(a) IN GENERAL.—Consistent with an approved State 
plan, the local board for a local area, with the agreement 
of the chief elected official for the local area, shall— 
(1) develop and enter into the memorandum of 
understanding described in subsection (c) with one- 
stop partners; 
(2) designate or certify one-stop operators under 
subsection (d); and 
(3) conduct oversight with respect to the one-stop 
delivery system in the local area. 
(b) ONE-STOP PARTNERS.— 
(1) REQUIRED PARTNERS.— 
(A) ROLES AND RESPONSIBILITIES OF ONE- 
STOP PARTNERS.—Each entity that carries out a 
program or activities described in subparagraph 
(B) in a local area shall— 
(i) provide access through the one-stop 
delivery system to such program or activi-
ties carried out by the entity, including
154 
† HR 803 EAS 
making the career services described in sec-
tion 134(c)(2) that are applicable to the 
program or activities available at the one- 
stop centers (in addition to any other ap-
propriate locations); 
(ii) use a portion of the funds available 
for the program and activities to maintain 
the one-stop delivery system, including pay-
ment of the infrastructure costs of one-stop 
centers in accordance with subsection (h); 
(iii) enter into a local memorandum of 
understanding with the local board, relating 
to the operation of the one-stop system, that 
meets the requirements of subsection (c); 
(iv) participate in the operation of the 
one-stop system consistent with the terms of 
the memorandum of understanding, the re-
quirements of this title, and the require-
ments of the Federal laws authorizing the 
program or activities; and 
(v) provide representation on the State 
board to the extent provided under section 
101.
155 
† HR 803 EAS 
(B) PROGRAMS AND ACTIVITIES.—The pro-
grams and activities referred to in subparagraph 
(A) consist of— 
(i) programs authorized under this 
title; 
(ii) programs authorized under the 
Wagner-Peyser Act (29 U.S.C. 49 et seq.); 
(iii) adult education and literacy ac-
tivities authorized under title II; 
(iv) programs authorized under title I 
of the Rehabilitation Act of 1973 (29 U.S.C. 
720 et seq.) (other than section 112 or part 
C of title I of such Act (29 U.S.C. 732, 
741); 
(v) activities authorized under title V 
of the Older Americans Act of 1965 (42 
U.S.C. 3056 et seq.); 
(vi) career and technical education 
programs at the postsecondary level author-
ized under the Carl D. Perkins Career and 
Technical Education Act of 2006 (20 U.S.C. 
2301 et seq.); 
(vii) activities authorized under chap-
ter 2 of title II of the Trade Act of 1974 (19 
U.S.C. 2271 et seq.);
156 
† HR 803 EAS 
(viii) activities authorized under chap-
ter 41 of title 38, United States Code; 
(ix) employment and training activi-
ties carried out under the Community Serv-
ices Block Grant Act (42 U.S.C. 9901 et 
seq.); 
(x) employment and training activities 
carried out by the Department of Housing 
and Urban Development; 
(xi) programs authorized under State 
unemployment compensation laws (in ac-
cordance with applicable Federal law); 
(xii) programs authorized under sec-
tion 212 of the Second Chance Act of 2007 
(42 U.S.C. 17532); and 
(xiii) programs authorized under part 
A of title IV of the Social Security Act (42 
U.S.C. 601 et seq.), subject to subparagraph 
(C). 
(C) DETERMINATION BY THE GOVERNOR.— 
(i) IN GENERAL.—An entity that car-
ries out a program referred to in subpara-
graph (B)(xiii) shall be included in the one- 
stop partners for the local area, as a re-
quired partner, for purposes of this Act and
157 
† HR 803 EAS 
the other core program provisions that are 
not part of this Act, unless the Governor 
provides the notification described in clause 
(ii). 
(ii) NOTIFICATION.—The notification 
referred to in clause (i) is a notification 
that— 
(I) is made in writing of a deter-
mination by the Governor not to in-
clude such entity in the one-stop part-
ners described in clause (i); and 
(II) is provided to the Secretary 
of Labor (referred to in this subtitle, 
and subtitles C through E, as the ‘‘Sec-
retary’’) and the Secretary of Health 
and Human Services. 
(2) ADDITIONAL PARTNERS.— 
(A) IN GENERAL.—With the approval of the 
local board and chief elected official, in addition 
to the entities described in paragraph (1), other 
entities that carry out workforce development 
programs described in subparagraph (B) may be 
one-stop partners for the local area and carry 
out the responsibilities described in paragraph 
(1)(A).
158 
† HR 803 EAS 
(B) PROGRAMS.—The programs referred to 
in subparagraph (A) may include— 
(i) employment and training programs 
administered by the Social Security Admin-
istration, including the Ticket to Work and 
Self-Sufficiency Program established under 
section 1148 of the Social Security Act (42 
U.S.C. 1320b–19); 
(ii) employment and training pro-
grams carried out by the Small Business 
Administration; 
(iii) programs authorized under sec-
tion 6(d)(4) of the Food and Nutrition Act 
of 2008 (7 U.S.C. 2015(d)(4)); 
(iv) work programs authorized under 
section 6(o) of the Food and Nutrition Act 
of 2008 (7 U.S.C. 2015(o)); 
(v) programs carried out under section 
112 of the Rehabilitation Act of 1973 (29 
U.S.C. 732); 
(vi) programs authorized under the 
National and Community Service Act of 
1990 (42 U.S.C. 12501 et seq.); and 
(vii) other appropriate Federal, State, 
or local programs, including employment,
159 
† HR 803 EAS 
education, and training programs provided 
by public libraries or in the private sector. 
(c) MEMORANDUM OF UNDERSTANDING.— 
(1) DEVELOPMENT.—The local board, with the 
agreement of the chief elected official, shall develop 
and enter into a memorandum of understanding (be-
tween the local board and the one-stop partners), con-
sistent with paragraph (2), concerning the operation 
of the one-stop delivery system in the local area. 
(2) CONTENTS.—Each memorandum of under-
standing shall contain— 
(A) provisions describing— 
(i) the services to be provided through 
the one-stop delivery system consistent with 
the requirements of this section, including 
the manner in which the services will be co-
ordinated and delivered through such sys-
tem; 
(ii) how the costs of such services and 
the operating costs of such system will be 
funded, including— 
(I) funding through cash and in- 
kind contributions (fairly evaluated), 
which contributions may include fund-
ing from philanthropic organizations
160 
† HR 803 EAS 
or other private entities, or through 
other alternative financing options, to 
provide a stable and equitable funding 
stream for ongoing one-stop delivery 
system operations; and 
(II) funding of the infrastructure 
costs of one-stop centers in accordance 
with subsection (h); 
(iii) methods of referral of individuals 
between the one-stop operator and the one- 
stop partners for appropriate services and 
activities; 
(iv) methods to ensure the needs of 
workers and youth, and individuals with 
barriers to employment, including individ-
uals with disabilities, are addressed in the 
provision of necessary and appropriate ac-
cess to services, including access to tech-
nology and materials, made available 
through the one-stop delivery system; and 
(v) the duration of the memorandum of 
understanding 
and 
the 
procedures 
for 
amending the memorandum during the du-
ration of the memorandum, and assurances 
that such memorandum shall be reviewed
161 
† HR 803 EAS 
not less than once every 3-year period to en-
sure appropriate funding and delivery of 
services; and 
(B) such other provisions, consistent with 
the requirements of this title, as the parties to 
the agreement determine to be appropriate. 
(d) ONE-STOP OPERATORS.— 
(1) LOCAL DESIGNATION AND CERTIFICATION.— 
Consistent with paragraphs (2) and (3), the local 
board, with the agreement of the chief elected official, 
is authorized to designate or certify one-stop operators 
and to terminate for cause the eligibility of such oper-
ators. 
(2) ELIGIBILITY.—To be eligible to receive funds 
made available under this subtitle to operate a one- 
stop center referred to in subsection (e), an entity 
(which may be a consortium of entities)— 
(A) shall be designated or certified as a one- 
stop operator through a competitive process; and 
(B) shall be an entity (public, private, or 
nonprofit), or consortium of entities (including a 
consortium of entities that, at a minimum, in-
cludes 3 or more of the one-stop partners de-
scribed in subsection (b)(1)), of demonstrated ef-
162 
† HR 803 EAS 
fectiveness, located in the local area, which may 
include— 
(i) an institution of higher education; 
(ii) an employment service State agen-
cy established under the Wagner-Peyser Act 
(29 U.S.C. 49 et seq.), on behalf of the local 
office of the agency; 
(iii) a community-based organization, 
nonprofit organization, or intermediary; 
(iv) a private for-profit entity; 
(v) a government agency; and 
(vi) another interested organization or 
entity, which may include a local chamber 
of commerce or other business organization, 
or a labor organization. 
(3) EXCEPTION.—Elementary schools and sec-
ondary schools shall not be eligible for designation or 
certification as one-stop operators, except that non-
traditional public secondary schools and area career 
and technical education schools may be eligible for 
such designation or certification. 
(4) ADDITIONAL
REQUIREMENTS.—The State 
and local boards shall ensure that in carrying out ac-
tivities under this title, one-stop operators—
163 
† HR 803 EAS 
(A) disclose any potential conflicts of inter-
est arising from the relationships of the operators 
with particular training service providers or 
other service providers; 
(B) do not establish practices that create 
disincentives to providing services to individuals 
with barriers to employment who may require 
longer-term services, such as intensive employ-
ment, training, and education services; and 
(C) comply with Federal regulations, and 
procurement policies, relating to the calculation 
and use of profits. 
(e) ESTABLISHMENT OF ONE-STOP DELIVERY SYS-
TEM.— 
(1) IN GENERAL.—There shall be established in 
each local area in a State that receives an allotment 
under section 132(b) a one-stop delivery system, 
which shall— 
(A) provide the career services described in 
section 134(c)(2); 
(B) provide access to training services as 
described in section 134(c)(3), including serving 
as the point of access to training services for 
participants 
in 
accordance 
with 
section 
134(c)(3)(G);
164 
† HR 803 EAS 
(C) provide access to the employment and 
training activities carried out under section 
134(d), if any; 
(D) provide access to programs and activi-
ties carried out by one-stop partners described in 
subsection (b); and 
(E) provide access to the data, information, 
and analysis described in section 15(a) of the 
Wagner-Peyser Act (29 U.S.C. 49l–2(a)) and all 
job search, placement, recruitment, and other 
labor exchange services authorized under the 
Wagner-Peyser Act (29 U.S.C. 49 et seq.). 
(2) ONE-STOP DELIVERY.—The one-stop delivery 
system— 
(A) at a minimum, shall make each of the 
programs, services, and activities described in 
paragraph (1) accessible at not less than 1 phys-
ical center in each local area of the State; and 
(B) may also make programs, services, and 
activities described in paragraph (1) available— 
(i) through a network of affiliated sites 
that can provide 1 or more of the programs, 
services, and activities to individuals; and 
(ii) through a network of eligible one- 
stop partners—
165 
† HR 803 EAS 
(I) in which each partner pro-
vides 1 or more of the programs, serv-
ices, and activities to such individuals 
and is accessible at an affiliated site 
that consists of a physical location or 
an electronically or technologically 
linked access point; and 
(II) that assures individuals that 
information on the availability of the 
career services will be available regard-
less of where the individuals initially 
enter the statewide workforce develop-
ment system, including information 
made available through an access point 
described in subclause (I); 
(C) may have specialized centers to address 
special needs, such as the needs of dislocated 
workers, youth, or key industry sectors or clus-
ters; and 
(D) as applicable and practicable, shall 
make programs, services, and activities accessible 
to individuals through electronic means in a 
manner that improves efficiency, coordination, 
and quality in the delivery of one-stop partner 
services.
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† HR 803 EAS 
(3) COLOCATION
OF
WAGNER-PEYSER
SERV-
ICES.—Consistent with section 3(d) of the Wagner- 
Peyser Act (29 U.S.C. 49b(d)), and in order to im-
prove service delivery, avoid duplication of services, 
and enhance coordination of services, including loca-
tion of staff to ensure access to services in underserved 
areas, the employment service offices in each State 
shall be colocated with one-stop centers established 
under this title. 
(4) USE OF COMMON ONE-STOP DELIVERY SYS-
TEM IDENTIFIER.—In addition to using any State or 
locally developed identifier, each one-stop delivery sys-
tem shall include in the identification of products, 
programs, activities, services, facilities, and related 
property and materials, a common one-stop delivery 
system identifier. The identifier shall be developed by 
the Secretary, in consultation with heads of other ap-
propriate departments and agencies, and representa-
tives of State boards and local boards and of other 
stakeholders in the one-stop delivery system, not later 
than the beginning of the second full program year 
after the date of enactment of this Act. Such common 
identifier may consist of a logo, phrase, or other iden-
tifier that informs users of the one-stop delivery sys-
tem that such products, programs, activities, services,
167 
† HR 803 EAS 
facilities, property, or materials are being provided 
through such system. Nothing in this paragraph shall 
be construed to prohibit one-stop partners, States, or 
local areas from having additional identifiers. 
(f) APPLICATION TO CERTAIN VOCATIONAL REHABILI-
TATION PROGRAMS.— 
(1) LIMITATION.—Nothing in this section shall 
be construed to apply to part C of title I of the Reha-
bilitation Act of 1973 (29 U.S.C. 741). 
(2) CLIENT ASSISTANCE.—Nothing in this Act 
shall be construed to require that any entity carrying 
out a client assistance program authorized under sec-
tion 112 of the Rehabilitation Act of 1973 (29 U.S.C. 
732)— 
(A) be included as a mandatory one-stop 
partner under subsection (b)(1); or 
(B) if the entity is included as an addi-
tional one-stop partner under subsection (b)(2)— 
(i) violate the requirement of section 
112(c)(1)(A) 
of 
that 
Act 
(29 
U.S.C. 
732(c)(1)(A)) that the entity be independent 
of any agency that provides treatment, serv-
ices, or rehabilitation to individuals under 
that Act; or
168 
† HR 803 EAS 
(ii) carry out any activity not author-
ized under section 112 of that Act (includ-
ing appropriate Federal regulations). 
(g) CERTIFICATION AND CONTINUOUS IMPROVEMENT 
OF ONE-STOP CENTERS.— 
(1) IN GENERAL.—In order to be eligible to re-
ceive infrastructure funding described in subsection 
(h), the State board, in consultation with chief elected 
officials and local boards, shall establish objective cri-
teria and procedures for use by local boards in assess-
ing at least once every 3 years the effectiveness, phys-
ical and programmatic accessibility in accordance 
with section 188, if applicable, and the Americans 
with Disabilities Act of 1990 (42 U.S.C. 12101 et 
seq), and continuous improvement of one-stop centers 
and the one-stop delivery system, consistent with the 
requirements of section 101(d)(6). 
(2) CRITERIA.—The criteria and procedures de-
veloped under this subsection shall include standards 
relating to service coordination achieved by the one- 
stop delivery system with respect to the programs ad-
ministered by the one-stop partners at the one-stop 
centers. Such criteria and procedures shall— 
(A) be developed in a manner that is con-
sistent with the guidelines, guidance, and poli-
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† HR 803 EAS 
cies provided by the Governor and by the State 
board, in consultation with the chief elected offi-
cials and local boards, for such partners’ partici-
pation under subsections (h)(1) and (i); and 
(B) include such factors relating to the effec-
tiveness, accessibility, and improvement of the 
one-stop delivery system as the State board deter-
mines to be appropriate, including at a min-
imum how well the one-stop center— 
(i) supports the achievement of the ne-
gotiated local levels of performance for the 
indicators of performance described in sec-
tion 116(b)(2) for the local area; 
(ii) integrates available services; and 
(iii) meets the workforce development 
and employment needs of local employers 
and participants. 
(3) LOCAL CRITERIA.—Consistent with the cri-
teria developed under paragraph (1) by the State, a 
local board in the State may develop additional cri-
teria (or higher levels of service coordination than re-
quired for the State-developed criteria) relating to 
service coordination achieved by the one-stop delivery 
system, for purposes of assessments described in para-
graph (1), in order to respond to labor market, eco-
170 
† HR 803 EAS 
nomic, and demographic, conditions and trends in the 
local area. 
(4) EFFECT OF CERTIFICATION.—One-stop cen-
ters certified under this subsection shall be eligible to 
receive the infrastructure funding described in sub-
section (h). 
(5) REVIEW
AND
UPDATE.—The criteria and 
procedures established under this subsection shall be 
reviewed and updated by the State board or the local 
board, as the case may be, as part of the biennial 
process for review and modification of State and local 
plans described in sections 102(c)(2) and 108(a). 
(h) FUNDING OF ONE-STOP INFRASTRUCTURE.— 
(1) IN GENERAL.— 
(A) OPTIONS FOR INFRASTRUCTURE FUND-
ING.— 
(i) LOCAL OPTIONS.—The local board, 
chief elected officials, and one-stop partners 
described in subsection (b)(1) in a local 
area may fund the costs of infrastructure of 
one-stop centers in the local area through— 
(I) methods agreed on by the local 
board, chief elected officials, and one- 
stop partners (and described in the
171 
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memorandum of understanding de-
scribed in subsection (c)); or 
(II) if no consensus agreement on 
methods is reached under subclause (I), 
the State infrastructure funding mech-
anism described in paragraph (2). 
(ii) FAILURE
TO
REACH
CONSENSUS 
AGREEMENT
ON
FUNDING
METHODS.—Be-
ginning July 1, 2016, if the local board, 
chief elected officials, and one-stop partners 
described in subsection (b)(1) in a local 
area fail to reach consensus agreement on 
methods of sufficiently funding the costs of 
infrastructure of one-stop centers for a pro-
gram year, the State infrastructure funding 
mechanism described in paragraph (2) shall 
be applicable to such local area for that pro-
gram year and for each subsequent program 
year for which those entities and individ-
uals fail to reach such agreement. 
(B) 
GUIDANCE
FOR
INFRASTRUCTURE 
FUNDING.—In addition to carrying out the re-
quirements relating to the State infrastructure 
funding mechanism described in paragraph (2), 
the Governor, after consultation with chief elect-
172 
† HR 803 EAS 
ed officials, local boards, and the State board, 
and consistent with the guidance and policies 
provided by the State board under subpara-
graphs (B) and (C)(i) of section 101(d)(7), shall 
provide, for the use of local areas under subpara-
graph (A)(i)(I)— 
(i) guidelines for State-administered 
one-stop partner programs, for determining 
such programs’ contributions to a one-stop 
delivery system, based on such programs’ 
proportionate use of such system consistent 
with chapter II of title 2, Code of Federal 
Regulations (or any corresponding similar 
regulation or ruling), including deter-
mining funding for the costs of infrastruc-
ture, which contributions shall be negotiated 
pursuant to the memorandum of under-
standing under subsection (c); and 
(ii) guidance to assist local boards, 
chief elected officials, and one-stop partners 
in local areas in determining equitable and 
stable methods of funding the costs of infra-
structure of one-stop centers in such areas. 
(2) STATE
ONE-STOP
INFRASTRUCTURE
FUND-
ING.—
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(A) DEFINITION.—In this paragraph, the 
term ‘‘covered portion’’, used with respect to 
funding for a fiscal year for a program described 
in subsection (b)(1), means a portion determined 
under subparagraph (C) of the Federal funds 
provided to a State (including local areas within 
the State) under the Federal law authorizing 
that program described in subsection (b)(1) for 
the fiscal year (taking into account the avail-
ability of funding for purposes related to infra-
structure from philanthropic organizations, pri-
vate entities, or other alternative financing op-
tions). 
(B) PARTNER CONTRIBUTIONS.—Subject to 
subparagraph (D), for local areas in a State that 
are not covered by paragraph (1)(A)(i)(I), the 
covered portions of funding for a fiscal year shall 
be provided to the Governor from the programs 
described in subsection (b)(1), to assist in paying 
the costs of infrastructure of one-stop centers in 
those local areas of the State not adequately 
funded under the option described in paragraph 
(1)(A)(i)(I). 
(C) DETERMINATION OF GOVERNOR.—
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† HR 803 EAS 
(i) IN GENERAL.—Subject to clause (ii) 
and subparagraph (D), the Governor, after 
consultation with chief elected officials, local 
boards, and the State board, shall determine 
the portion of funds to be provided under 
subparagraph (B) by each one-stop partner 
from each program described in subpara-
graph (B). In making such determination 
for the purpose of determining funding con-
tributions, for funding pursuant to clause 
(i)(II) or (ii) of paragraph (1)(A) by each 
partner, 
the 
Governor 
shall 
calculate 
amounts for the proportionate use of the 
one-stop centers in the State, consistent 
with chapter II of title 2, Code of Federal 
Regulations (or any corresponding similar 
regulation or ruling), taking into account 
the costs of administration of the one-stop 
delivery system for purposes not related to 
one-stop centers, for each partner. The Gov-
ernor shall exclude from such determination 
of funds the amounts for proportionate use 
of one-stop centers attributable to the pro-
grams of one-stop partners for those local 
areas of the State where the costs of infra-
175 
† HR 803 EAS 
structure of one-stop centers are funded 
under the option described in paragraph 
(1)(A)(i)(I). The Governor shall also take 
into account the statutory requirements for 
each partner program and the partner pro-
gram’s ability to fulfill such requirements. 
(ii) SPECIAL
RULE.—In a State in 
which the State constitution or a State stat-
ute places policymaking authority that is 
independent of the authority of the Gov-
ernor in an entity or official with respect to 
the funds provided for adult education and 
literacy activities authorized under title II, 
postsecondary career and technical edu-
cation activities authorized under the Carl 
D. Perkins Career and Technical Education 
Act of 2006 (20 U.S.C. 2301 et seq.), or vo-
cational rehabilitation services offered under 
a provision covered by section 3(13)(D), the 
determination described in clause (i) with 
respect to the programs authorized under 
that title, Act, or provision shall be made by 
the chief officer of the entity, or the official, 
with such authority in consultation with 
the Governor.
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† HR 803 EAS 
(D) LIMITATIONS.— 
(i) PROVISION FROM ADMINISTRATIVE 
FUNDS.— 
(I) IN GENERAL.—Subject to sub-
clause (II), the funds provided under 
this paragraph by each one-stop part-
ner shall be provided only from funds 
available for the costs of administra-
tion under the program administered 
by such partner, and shall be subject to 
the program’s limitations with respect 
to the portion of funds under such pro-
gram that may be used for administra-
tion. 
(II) 
EXCEPTIONS.—Nothing 
in 
this clause shall be construed to apply 
to the programs carried out under this 
title, or under title V of the Older 
Americans Act of 1965 (42 U.S.C. 
3056 et seq.). 
(ii) CAP
ON
REQUIRED
CONTRIBU-
TIONS.—For local areas in a State that are 
not covered by paragraph (1)(A)(i)(I), the 
following rules shall apply:
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† HR 803 EAS 
(I) WIA FORMULA PROGRAMS AND 
EMPLOYMENT
SERVICE.—The portion 
of funds required to be contributed 
under this paragraph from a program 
authorized under chapter 2 or 3, or the 
Wagner-Peyser Act (29 U.S.C. 49 et 
seq.) shall not exceed 3 percent of the 
amount of Federal funds provided to 
carry out that program in the State 
for a fiscal year. 
(II) 
OTHER
ONE-STOP
PART-
NERS.—The portion of funds required 
to be contributed under this paragraph 
from a program described in subsection 
(b)(1) other than the programs de-
scribed in subclause (I) shall not exceed 
1.5 percent of the amount of Federal 
funds provided to carry out that pro-
gram in the State for a fiscal year. 
(III) VOCATIONAL
REHABILITA-
TION.—Notwithstanding subclauses (I) 
and (II), an entity administering a 
program 
described 
in 
subsection 
(b)(1)(B)(iv) shall not be required to
178 
† HR 803 EAS 
provide from that program, under this 
paragraph, a portion that exceeds— 
(aa) 0.75 percent of the 
amount of Federal funds provided 
to carry out such program in the 
State for the second full program 
year that begins after the date of 
enactment of this Act; 
(bb) 
1.0 
percent 
of 
the 
amount provided to carry out 
such program in the State for the 
third full program year that be-
gins after such date; 
(cc) 1.25 percent of the 
amount provided to carry out 
such program in the State for the 
fourth full program year that be-
gins after such date; and 
(dd) 
1.5 
percent 
of 
the 
amount provided to carry out 
such program in the State for the 
fifth and each succeeding full pro-
gram year that begins after such 
date.
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† HR 803 EAS 
(iii) FEDERAL DIRECT SPENDING PRO-
GRAMS.—For local areas in a State that are 
not covered by paragraph (1)(A)(i)(I), an 
entity administering a program funded 
with direct spending as defined in section 
250(c)(8) of the Balanced Budget and 
Emergency Deficit Control Act of 1985, as 
in effect on February 15, 2014 (2 U.S.C. 
900(c)(8)) shall not be required to provide, 
for purposes of this paragraph, an amount 
in excess of the amount determined under 
subparagraph (C)(i) to be equivalent to the 
cost of the proportionate use of the one-stop 
centers for the one-stop partner for such 
program in the State. 
(iv) NATIVE
AMERICAN
PROGRAMS.— 
One-stop partners for Native American pro-
grams established under section 166 shall 
not be subject to the provisions of this sub-
section (other than this clause) or subsection 
(i). 
For 
purposes 
of 
subsection 
(c)(2)(A)(ii)(II), the method for determining 
the appropriate portion of funds to be pro-
vided by such partners to pay for the costs 
of infrastructure of a one-stop center shall
180 
† HR 803 EAS 
be determined as part of the development of 
the memorandum of understanding under 
subsection (c) for the one-stop center and 
shall be stated in the memorandum. 
(E) APPEAL BY ONE-STOP PARTNERS.—The 
Governor shall establish a process, described 
under section 102(b)(2)(D)(i)(IV), for a one-stop 
partner administering a program described in 
subsection (b)(1) to appeal a determination re-
garding the portion of funds to be provided 
under this paragraph. Such a determination 
may be appealed under the process on the basis 
that such determination is inconsistent with the 
requirements of this paragraph. Such process 
shall ensure prompt resolution of the appeal in 
order to ensure the funds are distributed in a 
timely manner, consistent with the requirements 
of section 182(e). 
(3) ALLOCATION BY GOVERNOR.— 
(A) IN GENERAL.—From the funds provided 
under paragraph (1), the Governor shall allocate 
the funds to local areas described in subpara-
graph (B) in accordance with the formula estab-
lished under subparagraph (B) for the purposes
181 
† HR 803 EAS 
of assisting in paying the costs of infrastructure 
of one-stop centers. 
(B) ALLOCATION
FORMULA.—The State 
board shall develop a formula to be used by the 
Governor to allocate the funds provided under 
paragraph (1) to local areas not funding costs of 
infrastructure under the option described in 
paragraph (1)(A)(i)(I). The formula shall be 
based on factors including the number of one- 
stop centers in a local area, the population 
served by such centers, the services provided by 
such centers, and other factors relating to the 
performance of such centers that the State board 
determines are appropriate. 
(4) COSTS OF INFRASTRUCTURE.—In this sub-
section, the term ‘‘costs of infrastructure’’, used with 
respect to a one-stop center, means the nonpersonnel 
costs that are necessary for the general operation of 
the one-stop center, including the rental costs of the 
facilities, the costs of utilities and maintenance, 
equipment (including assessment-related products and 
assistive technology for individuals with disabilities), 
and technology to facilitate access to the one-stop cen-
ter, including the center’s planning and outreach ac-
tivities.
182 
† HR 803 EAS 
(i) OTHER FUNDS.— 
(1) IN GENERAL.—Subject to the memorandum 
of understanding described in subsection (c) for the 
one-stop delivery system involved, in addition to the 
funds provided to carry out subsection (h), a portion 
of funds made available under Federal law author-
izing the programs described in subsection (b) and 
administered by one-stop partners, or the noncash re-
sources available under such programs, shall be used 
to pay the additional costs relating to the operation 
of the one-stop delivery system that are not paid from 
the funds provided under subsection (h), as deter-
mined in accordance with paragraph (3), to the ex-
tent not inconsistent with the Federal law involved. 
Such costs shall include the costs of the provision of 
career services described in section 134(c)(2) applica-
ble to each program and may include common costs 
that are not paid from the funds provided under sub-
section (h). 
(2) SHARED
SERVICES.—The costs described 
under paragraph (1) may include costs of services 
that are authorized for and may be commonly pro-
vided through the one-stop partner programs to any 
individual, such as initial intake, assessment of needs, 
appraisal of basic skills, identification of appropriate
183 
† HR 803 EAS 
services to meet such needs, referrals to other one-stop 
partners, and other similar services. 
(3) DETERMINATION AND GUIDANCE.—The meth-
od for determining the appropriate portion of funds 
and noncash resources to be provided by the one-stop 
partner for each program under paragraph (1) for a 
one-stop center shall be determined as part of the de-
velopment of the memorandum of understanding 
under subsection (c) for the one-stop center and shall 
be stated in the memorandum. The State board shall 
provide guidance to facilitate the determination, for 
purposes of the memorandum of understanding, of an 
appropriate allocation of the funds and noncash re-
sources in local areas, consistent with the require-
ments of section 101(d)(6)(C). 
SEC. 122. IDENTIFICATION OF ELIGIBLE PROVIDERS OF 
TRAINING SERVICES. 
(a) ELIGIBILITY.— 
(1) IN GENERAL.—Except as provided in sub-
section (h), the Governor, after consultation with the 
State board, shall establish criteria, information re-
quirements, and procedures regarding the eligibility 
of providers of training services to receive funds pro-
vided under section 133(b) for the provision of train-
ing services in local areas in the State.
184 
† HR 803 EAS 
(2) PROVIDERS.—Subject to the provisions of 
this section, to be eligible to receive those funds for the 
provision of training services, the provider shall be— 
(A) an institution of higher education that 
provides a program that leads to a recognized 
postsecondary credential; 
(B) an entity that carries out programs reg-
istered under the Act of August 16, 1937 (com-
monly known as the ‘‘National Apprenticeship 
Act’’; 50 Stat. 664, chapter 663; 29 U.S.C. 50 et 
seq.); or 
(C) another public or private provider of a 
program of training services, which may include 
joint labor-management organizations, and eligi-
ble providers of adult education and literacy ac-
tivities under title II if such activities are pro-
vided in combination with occupational skills 
training. 
(3) INCLUSION
IN
LIST
OF
ELIGIBLE
PRO-
VIDERS.—A provider described in subparagraph (A) 
or (C) of paragraph (2) shall comply with the cri-
teria, information requirements, and procedures es-
tablished under this section to be included on the list 
of eligible providers of training services described in 
subsection (d). A provider described in paragraph
185 
† HR 803 EAS 
(2)(B) shall be included and maintained on the list 
of eligible providers of training services described in 
subsection (d) for so long as the corresponding pro-
gram of the provider remains registered as described 
in paragraph (2)(B). 
(b) CRITERIA AND INFORMATION REQUIREMENTS.— 
(1) STATE
CRITERIA.—In establishing criteria 
pursuant to subsection (a), the Governor shall take 
into account each of the following: 
(A) The performance of providers of train-
ing services with respect to— 
(i) 
the 
performance 
accountability 
measures and other matters for which infor-
mation is required under paragraph (2); 
and 
(ii) other appropriate measures of per-
formance outcomes determined by the Gov-
ernor for those participants receiving train-
ing services under this subtitle (taking into 
consideration the characteristics of the pop-
ulation served and relevant economic condi-
tions), and the outcomes of the program 
through which those training services were 
provided for students in general with re-
186 
† HR 803 EAS 
spect to employment and earnings as de-
fined under section 116(b)(2). 
(B) The need to ensure access to training 
services throughout the State, including in rural 
areas, and through the use of technology. 
(C) Information reported to State agencies 
with respect to Federal and State programs in-
volving training services (other than the program 
carried out under this subtitle), including one- 
stop partner programs. 
(D) The degree to which the training pro-
grams of such providers relate to in-demand in-
dustry sectors and occupations in the State. 
(E) The requirements for State licensing of 
providers of training services, and the licensing 
status of providers of training services if appli-
cable. 
(F) Ways in which the criteria can encour-
age, to the extent practicable, the providers to use 
industry-recognized certificates or certifications. 
(G) The ability of the providers to offer pro-
grams that lead to recognized postsecondary cre-
dentials. 
(H) The quality of a program of training 
services, including a program of training serv-
187 
† HR 803 EAS 
ices that leads to a recognized postsecondary cre-
dential. 
(I) The ability of the providers to provide 
training services to individuals who are em-
ployed and individuals with barriers to employ-
ment. 
(J) Such other factors as the Governor de-
termines are appropriate to ensure— 
(i) the accountability of the providers; 
(ii) that the one-stop centers in the 
State will ensure that such providers meet 
the needs of local employers and partici-
pants; 
(iii) the informed choice of partici-
pants among training services providers; 
and 
(iv) that the collection of information 
required to demonstrate compliance with the 
criteria is not unduly burdensome or costly 
to providers. 
(2) STATE INFORMATION REQUIREMENTS.—The 
information requirements established by the Governor 
shall require that a provider of training services sub-
mit appropriate, accurate, and timely information to 
the State, to enable the State to carry out subsection
188 
† HR 803 EAS 
(d), with respect to participants receiving training 
services under this subtitle in the applicable program, 
including— 
(A) information on the performance of the 
provider with respect to the performance ac-
countability measures described in section 116 
for such participants (taking into consideration 
the characteristics of the population served and 
relevant economic conditions), and information 
specifying the percentage of such participants 
who entered unsubsidized employment in an oc-
cupation related to the program, to the extent 
practicable; 
(B) information on recognized postsec-
ondary credentials received by such participants; 
(C) information on cost of attendance, in-
cluding costs of tuition and fees, for participants 
in the program; 
(D) information on the program completion 
rate for such participants; and 
(E) information on the criteria described in 
paragraph (1). 
(3) LOCAL
CRITERIA
AND
INFORMATION
RE-
QUIREMENTS.—A local board in the State may estab-
lish criteria and information requirements in addi-
189 
† HR 803 EAS 
tion to the criteria and information requirements es-
tablished by the Governor, or may require higher lev-
els of performance than required for the criteria estab-
lished by the Governor, for purposes of determining 
the eligibility of providers of training services to re-
ceive funds described in subsection (a) for the provi-
sion of training services in the local area involved. 
(4) CRITERIA AND INFORMATION REQUIREMENTS 
TO ESTABLISH INITIAL ELIGIBILITY.— 
(A) PURPOSE.—The purpose of this para-
graph is to enable the providers of programs car-
ried out under chapter 3 to offer the highest 
quality training services and be responsive to in- 
demand and emerging industries by providing 
training services for those industries. 
(B) INITIAL
ELIGIBILITY.—Providers may 
seek initial eligibility under this paragraph as 
providers of training services and may receive 
that initial eligibility for only 1 fiscal year for 
a particular program. The criteria and informa-
tion requirements established by the Governor 
under this paragraph shall require that a pro-
vider who has not previously been an eligible 
provider of training services under this section 
(or section 122 of the Workforce Investment Act