To amend the Housing and Urban Development Act of 1968 to ensure improved access to employment opportunities for low-income people.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Earning and Living Opportunities 
Act''.

SEC. 2. REQUIREMENT FOR EMPLOYING LOW- AND VERY LOW-INCOME PERSONS.

    (a) In General.--Section 3 of the Housing and Urban Development Act 
of 1968 (12 U.S.C. 1701u) is amended--
            (1) by redesignating subsections (e), (f), and (g) as 
        subsections (i), (j), and (k), respectively;
            (2) in subsection (i), as so redesignated--
                    (A) in paragraph (1), by inserting at the end 
                ``Provided, however, that any resident of a public or 
                Indian housing development or any other person who 
                qualifies for a priority under section (c)(1)(B), and 
                who was very low-income shall, for purposes of this 
                Act, continue to qualify, as initially verified, for a 
                period of 5 years, irrespective of any increase in the 
                person's income or other change in that person's 
                priority status during that period.''; and
                    (B) by inserting after paragraph (2) the following 
                new paragraph:
            ``(3) One-stop delivery system.--The term `one-stop 
        delivery system' has the meaning given that term in section 
        134(c) of the Workforce Investment Act of 1998 (29 U.S.C. 
        2864(c)).''; and
            (3) by inserting after subsection (d) the following new 
        subsections:
    ``(e) Requirement for Employing Low- and Very Low-Income Persons.--
            ``(1) Twenty percent requirement.--
                    ``(A) Condition of assistance.--It shall be a 
                condition of any assistance provided to a public or 
                Indian housing agency or contract awarded by a public 
                or Indian housing agency for work to be performed in 
                connection with development assistance provided from 
                the capital fund under section 9(d) of the United 
                States Housing Act of 1937, the operating fund under 
                section 9(e) of such Act, or any other Federal 
                assistance for housing and community development, 
                including funding under section (8)(o)(13) of such Act, 
                that, except as provided in paragraph 2(B), a minimum 
                of 20 percent of all hours worked by employees of the 
                public or Indian housing agency or of a contractor in 
                connection with such contract shall be performed by 
                low- or very low-income persons who qualify for a 
                priority under subsection (c)(1)(B).
                    ``(B) Requirement.--It shall be a condition of any 
                assistance provided to a recipient of other Federal 
                housing and community development assistance for 
                housing rehabilitation, housing construction, or other 
                public construction projects and their contractors, 
                that a minimum of 20 percent of all hours worked by 
                employees of the recipient or its contractors shall be 
                performed by low- or very low-income persons who 
                qualify for a priority under subsection (c)(2)(B).
            ``(2) Compliance.--As a condition of any contract awarded 
        for the work described in paragraph (1), any contractor awarded 
        such a contract shall--
                    ``(A)(i) immediately before beginning work under 
                such contract, submit evidence to the satisfaction of 
                the contracting agency and the section 3 committee, 
                showing that a minimum of 20 percent of all hours 
                worked in connection with such contract shall be 
                performed by low- or very low-income persons who 
                qualify for a priority under paragraphs (1)(B) and 
                (2)(B) of subsection (c); and
                    ``(ii) submit evidence to the satisfaction of the 
                contracting agency and the section 3 committee showing 
                that a minimum of 20 percent of all hours actually 
                worked in connection with such contract were in fact 
                performed by low- or very low-income persons who 
                qualify for a priority under paragraphs (1)(B) and 
                (2)(B) of subsection (c); or
                    ``(B) if such contractor cannot meet the 
                requirement imposed by paragraph (1)--
                            ``(i) submit evidence to the satisfaction 
                        of the contracting agency and the section 3 
                        committee that such contractor used all 
                        feasible means to meet such requirement by 
                        taking steps which include--
                                    ``(I) recruiting and conducting job 
                                interviews at the affected development, 
                                in the affected community, and at 
                                training facilities;
                                    ``(II) working with the contracting 
                                agency to advertise and recruit low- 
                                and very low-income persons; and
                                    ``(III) giving notice of such 
                                contract to the one-stop delivery 
                                system for the area in which the work 
                                is to be done, including the particular 
                                skills, knowledge, and abilities needed 
                                by potential employees for work under 
                                such contract; and
                            ``(ii) provide to the contracting agency 
                        and the section 3 committee, evidence, as the 
                        Secretary shall by regulation require, 
                        sufficient to show why low- or very low-income 
                        persons who were referred by either the 
                        contracting agency or by the one-stop delivery 
                        system, or who otherwise made themselves 
                        available did not have the skills, knowledge, 
                        or abilities to perform the work.
            ``(3) Section 3 committee.--The Secretary shall require 
        that a public and Indian housing agency and other recipients of 
        Federal housing and community development assistance establish 
        a section 3 committee composed of interested parties, including 
        a representative of the affected section 3 residents to oversee 
        all aspects of compliance with section 3. For projects with a 
        significant economic impact relative to the community size and 
        the public housing agency, membership on the section 3 
        committee shall, at a minimum, include a representative of--
                    ``(A) the contractor;
                    ``(B) the public or Indian Housing Agency;
                    ``(C) the resident association from the development 
                (or tenant delegate or section 3 resident where a 
                tenant association does not exist);
                    ``(D) where possible, a community based 
                organization that has as its mission the promotion of 
                workforce development or economic development in low-
                income communities;
                    ``(E) where they exist, women and minority trades 
                organizations that offer employment services with 
                expertise in preparing skilled workers for the 
                construction field; and
                    ``(F) when possible, coordinators and 
                representatives of the apprenticeship programs.
            ``(4) Training.--Any contractor awarded a contract for the 
        work described in paragraph (1) shall provide on-the-job 
        training to any employee who is eligible for priority under 
        subsection (c)(1)(B) and (c)(2)(B). Such training shall be 
        provided through a State approved apprenticeship program.
    ``(f) Recruitment, Referral, and Training Requirements.--The 
Secretary shall require the following of public and Indian housing 
agencies and recipients of other Federal housing and community 
development assistance:
            ``(1) That such agencies and other recipients advertise the 
        availability of training and employment opportunities generated 
        by development assistance, and, with the section 3 committee, 
        maintain a registry of eligible low- and very low-income 
        persons who express interest in those opportunities. For public 
        and Indian housing agencies, advertising shall be conducted in 
        a manner that is most likely to reach eligible low- and very 
        low income persons who reside in public or Indian housing or 
        who otherwise qualify for a priority in accordance with 
        subsection (c)(1)(B). For recipients of other housing and 
        community development assistance, advertising shall be 
        conducted in a manner that is most likely to reach eligible 
        low- or very low-income persons who qualify for a priority in 
        accordance with subsection (c)(2)(B). The registry shall 
        contain sufficient information (such as work experience, 
        education level, desired employment, career goals, etc.) to 
        allow each public and Indian housing agency or recipient of 
        other Federal housing and community development assistance to 
        make appropriate job referrals and to determine the need for 
        job training and other support services.
            ``(2) That such agencies and other recipients provide to 
        any contractor and the section 3 committee names, priority 
        status, and applications of low- and very low-income persons 
        who have the skills identified by the contractor or the public 
        housing agency for the work to be performed.
            ``(3) That such agencies and other recipients refer any 
        low- or very low-income persons who are participants in the 
        housing agency's housing programs and who are seeking 
        qualifying skills to the one-stop delivery system for the area 
        in which the work is to be done.
            ``(4) That such agencies and other recipients consult with 
        contractors to ensure that low- and very low-income persons 
        with the skills, knowledge, and abilities are provided a 
        priority in hiring and are not passed over.
            ``(5) That such agencies and other recipients provide to 
        the one-stop delivery system for the area in which the 
        development where the work is to be done, a detailed 
        description of the work to be done, including all projects for 
        which it is accepting, or will be accepting, bids, and a list 
        of the applicable priority categories (as set forth in 
        subsection (c)(1)(B) and (c)(2)(B), so that eligible low- and 
        very low-income persons may be appropriately trained.
            ``(6) That such agencies and other recipients make any 
        other effort that may be necessary, including contacting and 
        working with other job clearinghouses, job training centers, 
        labor groups, and resident and community groups, to increase 
        the number of low- and very low-income persons who are provided 
        with training and employment opportunities and a priority in 
        accordance with subsections (c)(1)(B) and (c)(2)(B).
    ``(g) Reports.--
            ``(1) Agency reports.--All public and Indian housing 
        agencies shall report quarterly to the Secretary on the number 
        of hours worked by persons eligible for a priority under 
        subsection (c)(1)(B) or (c)(2)(B) at the public and Indian 
        agency and with their contractors. Grantees shall ensure that 
        they and other recipients of housing and community development 
        funds and their contractors report quarterly to the Secretary 
        on the number of hours worked by persons eligible for a 
        priority under subsection (c)(1)(B) or (c)(2)(B). The reports 
        shall include at a minimum current information by job category 
        regarding the total number of hours worked by all persons and 
        by persons within each priority. The reports shall also include 
        current information about the dollar amount and the number of 
        the contracts provided to section 3 businesses, by priority 
        category and as a percentage of the total amount of contracts 
        awarded.
            ``(2) Report to congress.--The Secretary shall report 
        annually to Congress a summary of information derived from the 
        quarterly reports required under paragraph (1) and shall 
        provide information on the total amount of Federal funds that 
        are subject to section 3. For each program, including public 
        housing and other Federal housing and community development 
        assistance, by program, the report shall provide the number of 
        jobs and training opportunities generated and the number of 
        hours worked by low and very low income persons, and the number 
        and amount of contracts and percentage of total contracts 
        awarded to section 3 businesses.
    ``(h) Fines for Noncompliance.--
            ``(1) Fines.--If a contractor of a public or Indian housing 
        agency or any other contractor for a project receiving 
        assistance under this section fails to comply with the 
        requirements of this section, such contractor shall be fined by 
        the Secretary in an amount not less than 1 percent of the 
        amount of the contract with such agency.
            ``(2) Deposit of amounts.--The Secretary shall make the 
        amounts collected under paragraph (1) available to the 
        respective section 3 committee in the locality where such fines 
        are assessed for the purpose of providing job training 
        opportunities for low- or very low-income persons who reside in 
        the area of the contract described in paragraph (1).''.
    (b) Regulations.--Not later than 180 days after the date of the 
enactment of this Act, the Secretary shall promulgate regulations to 
implement the requirements of subsections (e), (f), and (g) of section 
3 of the Housing and Urban Development Act of 1968 (12 U.S.C. 1701u), 
including a requirement that public and Indian housing agencies include 
information regarding their compliance with this section in their five 
year plan, annual plans, or any alternative plan which calls for 
similar reporting.
    (c) Conforming Amendments.--Section 3(c) of the Housing and Urban 
Development Act of 1968 (12 U.S.C. 1701u(c) is amended--
            (1) in paragraph (1)(A), by inserting before the period ``, 
        and development and operating assistance provided pursuant to 
        any other Federal housing and community development 
        assistance'';
            (2) in paragraph (1)(B), by striking clause (iv) and 
        inserting after clause (iii) the following:
                            ``(iv) To participants in section 8 
                        programs administered by the public and Indian 
                        housing agency.
                            ``(v) To other low-income persons residing 
                        within the metropolitan area (or 
                        nonmetropolitan county) in which the assistance 
                        is expended, with preference to very low-income 
                        persons.'';
            (3) in paragraph (2)(A), by adding at the end: ``The 
        Secretary shall further ensure that permanent opportunities for 
        training and employment created and retained as a result of 
        housing and community development assistance are given to low- 
        and very low-income persons residing within the metropolitan 
        area (or nonmetropolitan county) in which the project is 
        located.''; and
            (4) in paragraph (2)(B), by inserting ``, with preference 
        to very low-income persons'' after ``very low-income persons''.

Summary: Earning and Living Opportunities Act - Amends the Housing and Urban Development Act of 1968 to set forth as a condition of federal housing and community development assistance that: (1) a public or Indian housing agency or contractor shall require that at least 20% of employee hours be performed by low- or very low-income persons; and (2) a recipient of assistance for housing rehabilitation, construction, or other public construction projects and their contractors shall require that at least 20% of new employee hours be performed by low- or very low-income persons.

Directs the Secretary to require a public or Indian housing agency and other recipients of federal housing and community development assistance to: (1) establish a section 3 committee of interested parties to oversee all aspects of compliance with section 3 of such Act; (2) advertise training and employment opportunities generated by development assistance; and (3) maintain a registry of eligible low- and very low-income persons who express interest in those opportunities.

(Section 3 declares the policy of the Congress to ensure that the employment and other economic opportunities generated by federal financial assistance for housing and community development programs shall, to the greatest extent feasible, be directed toward low- and very low-income persons, particularly those who are recipients of government assistance for housing.)

Prescribes requirements for: (1) contractor compliance and job training; and (2) agency recruitment and referral.

Establishes fines for noncompliance.