American Energy Worker Opportunity Act of 2021
Bill: S.2966 | Sponsor: Sen. Brown, Sherrod (D-OH)
Policy area: Labor and Employment

Summary:
American Energy Worker Opportunity Act of 2021
This bill establishes the Office of American Energy Workers in the Department of the Treasury to provide displaced coal workers with wage replacement, health care premiums, retirement savings contributions, and educational assistance. The bill also provides educational assistance for the children of displaced coal workers and provides an incentive for clean energy employers to hire displaced coal workers.

To provide additional benefits to American workers whose employment has 
 been impacted as a result of the transition to a clean energy economy.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``American Energy Worker Opportunity 
Act of 2021''.

SEC. 2. OFFICE OF AMERICAN ENERGY WORKERS.

    (a) Establishment of Office.--Not later than 60 days after the date 
of enactment of this Act, there shall be established within the 
Department of the Treasury an office to be known as the Office of 
American Energy Workers. The Office of American Energy Workers shall be 
headed by an Assistant Secretary who shall be appointed by the 
Secretary of the Treasury (referred to in this section as the 
``Secretary'').
    (b) Responsibilities of Assistant Secretary.--The Secretary, acting 
through the Assistant Secretary, shall be responsible for--
            (1) hiring personnel and making employment decisions with 
        regard to such personnel;
            (2) issuing such regulations as may be necessary to carry 
        out the purposes of this section;
            (3) entering into cooperative agreements with other 
        agencies and departments to ensure the efficiency of the 
        administration of this section;
            (4) determining eligibility for benefits provided under 
        this section and providing such benefits to qualified 
        individuals;
            (5) preventing fraud and abuse relating to such benefits;
            (6) establishing and maintaining a system of records 
        relating to the administration of this section;
            (7) ensuring that the Office of American Energy Workers is 
        designed a manner that maximizes efficiency and ease of use by 
        qualified individuals, which may include establishment and 
        deployment of mobile field or satellite offices within eligible 
        counties (as defined by the Secretary);
            (8) consulting with the Secretary of Labor with respect to 
        the benefits provided under this section to avoid duplication 
        with other Federal programs to assist qualified individuals; 
        and
            (9) administering the programs established under this 
        section.
    (c) Authorization of Appropriations.--Beginning in fiscal year 2022 
and in each fiscal year thereafter, there is authorized to be 
appropriated, out of moneys in the Treasury not otherwise appropriated, 
such sums as may be necessary to administer the office established 
under subsection (a).
    (d) Administration.--
            (1) Notification.--
                    (A) In general.--Not later than the date that is 90 
                days before the date of the closure of a coal mine or 
                fossil-fuel intensive plant, the operator of such mine 
                or plant shall provide notice to the Secretary with 
                respect to such closure, including such information as 
                is determined necessary by the Secretary to determine 
                the eligibility of any former employee of such mine or 
                plant for any benefits provided under this section, as 
                well as the amount of such benefits.
                    (B) Compliance.--In determining compliance with the 
                notification requirement of subparagraph (A), the 
                Secretary shall confirm the compliance, as applicable, 
                of the coal mine or fossil-fuel intensive plant with 
                the notification requirements of the Worker Adjustment 
                and Retraining Notification Act (29 U.S.C. 2101 et 
                seq.) through communication with the Secretary of Labor 
                and, as appropriate, the State or the chief elected 
                official of the unit of local government within which 
                the closure of such coal mine or fossil-fuel intensive 
                plant is to occur.
            (2) Closure.--For purposes of this section, the term 
        ``closure'' means--
                    (A) with respect to any coal mine, any reduction in 
                production occurring after the date of enactment of 
                this Act which is accompanied by permanent layoffs; and
                    (B) with respect to any fossil-fuel intensive 
                plant, the permanent closure of 1 or more generating 
                units occurring after the date of enactment of this Act 
                which is accompanied by permanent layoffs.
            (3) Fossil-fuel intensive plant.--For purposes of this 
        section--
                    (A) In general.--The term ``fossil-fuel intensive 
                plant'' means a fixed facility for which the primary 
                purpose is processing or utilization of fossil fuels 
                for--
                            (i) the generation of energy or electric 
                        power; or
                            (ii) the production of fuels.
                    (B) Oil refineries.--The term ``fossil-fuel 
                intensive plant'' shall include oil refineries.
            (4) Qualified individual.--
                    (A) In general.--For purposes of this section, the 
                term ``qualified individual'' means--
                            (i) any individual--
                                    (I) whose employment was terminated 
                                as the result of the closure of a coal 
                                mine or a fossil-fuel intensive plant;
                                    (II) who, prior to such closure, 
                                was continually employed at such mine 
                                or plant--
                                            (aa) for a period of not 
                                        less than 12 months; and
                                            (bb) for an average of not 
                                        less than 30 hours a week 
                                        during the 12-month period 
                                        preceding such closure; and
                                    (III) for whom the applicable 
                                information has been provided to the 
                                Secretary pursuant to paragraph (1); 
                                and
                            (ii) any individual who has been 
                        determined, pursuant to subparagraph (C), to be 
                        a fossil-fuel dependent worker.
                    (B) Railroad and allied industries workers.--
                Pursuant to regulations issued by the Secretary, the 
                term ``qualified individual'' shall include any 
                individual--
                            (i) whose employment as a railroad worker, 
                        or whose employment involves coal 
                        transportation, maintenance, and supply, was 
                        terminated;
                            (ii) whose income during the 12-month 
                        period preceding the closure of a coal mine or 
                        a fossil-fuel intensive plant has been 
                        substantially dependent on the continued 
                        operation of such mine or plant (as determined 
                        by the Secretary, in coordination with the 
                        Secretary of Labor); and
                            (iii) who has applied for benefits provided 
                        under this section and has provided the 
                        Secretary with such information as determined 
                        appropriate by the Secretary.
                    (C) Fossil-fuel dependent worker.--For purposes of 
                subparagraph (A)(ii), the term ``fossil-fuel dependent 
                worker'' means an individual who, as determined by the 
                Secretary (in coordination with the Secretary of Labor 
                and the Secretary of Energy), is--
                            (i) employed in a fossil-fuel intensive 
                        industry at a fixed facility or work site which 
                        has been determined to be likely to close 
                        within the following 3-year-period; and
                            (ii) eligible for benefits provided under 
                        this section based on need.
    (e) Wage Replacement.--
            (1) In general.--
                    (A) Payment.--In the case of any qualified 
                individual, during the applicable period, the Secretary 
                shall provide such individual with payments in an 
                amount which, for each month during such period, is 
                equal to--
                            (i) the average amount of monthly 
                        remuneration for employment paid to such 
                        individual during the 12-month period prior to 
                        the termination of their employment (as 
                        described in subsection (d)(4)); minus
                            (ii) an amount equal to the sum of--
                                    (I) except as provided under 
                                paragraph (5)(B), any wages (as defined 
                                in section 3121(a)) received by such 
                                individual with respect to employment 
                                (as defined in section 3121(b)) during 
                                such month;
                                    (II) any payments made to such 
                                individual pursuant to a Federal 
                                benefit program during such month; plus
                                    (III) any unemployment compensation 
                                (as defined in section 85(b) of the 
                                Internal Revenue Code of 1986) during 
                                such month.
                    (B) Notification.--During the applicable period, a 
                qualified individual shall notify the Secretary with 
                respect to any wages, payments, or compensation 
                described in subparagraph (A)(ii).
                    (C) Compliance.--
                            (i) In general.--Notwithstanding section 
                        6103 of the Internal Revenue Code of 1986, with 
                        respect to any qualified individual who 
                        receives a payment under this subsection for 
                        any month, if the Secretary determines that 
                        such individual failed to comply with the 
                        requirement under subparagraph (B) with respect 
                        to such month, such individual shall be subject 
                        to a penalty in an amount equal to the lesser 
                        of--
                                    (I) the amount of such payment for 
                                such month; or
                                    (II) the amount determined under 
                                subparagraph (A)(ii) with respect to 
                                such month.
                            (ii) No additional payments.--
                                    (I) In general.--No payment shall 
                                be allowed under this subsection for 
                                any month during the disallowance 
                                period.
                                    (II) Disallowance period.--For 
                                purposes of subclause (I), the 
                                disallowance period shall be any month 
                                during the applicable period beginning 
                                prior to the date on which an 
                                individual described in clause (i) has 
                                made full payment with respect to any 
                                penalty imposed under such clause.
            (2) Applicable period.--For purposes of this subsection, 
        the term ``applicable period'' means, with respect to any 
        qualified individual, the 60-month period subsequent to the 
        termination of their employment (as described in subsection 
        (d)(4)).
            (3) Frequency of payment.--Any payment required to be 
        provided to a qualified individual under this subsection shall 
        be provided by the Secretary on a basis which is not less 
        frequent than once per month during the applicable period.
            (4) Adjustment for inflation.--For purposes of any payment 
        described in paragraph (1) which is provided to a qualified 
        individual during a calendar year beginning after the date that 
        the employment of such individual was terminated, such amount 
        shall be adjusted in a manner similar to the cost-of-living 
        adjustment determined under section 1(f)(3) of the Internal 
        Revenue Code of 1986 for such calendar year.
            (5) Tax treatment.--Any amount provided to a qualified 
        individual under this subsection shall be treated as--
                    (A) gross income for purposes of the Internal 
                Revenue Code of 1986; and
                    (B) for purposes of section 3101 of such Code, 
                wages received by the individual with respect to 
                employment.
    (f) Health Insurance Benefits.--
            (1) In general.--The Secretary shall provide the following 
        health insurance benefits:
                    (A) In the case of a qualified individual who is 
                receiving continuation coverage pursuant to part 6 of 
                subtitle B of title I of the Employee Retirement Income 
                Security Act of 1974 (29 U.S.C. 1161 et seq.) and 
                section 4980B of the Internal Revenue Code of 1986, the 
                Secretary shall transfer, each month, to the group 
                health plan (or health insurance issuer offering health 
                insurance coverage in connection with such a plan) of 
                such qualified individual, the amount required to cover 
                the same percentage of the qualified individual's 
                monthly premium (including coverage for any qualified 
                beneficiaries) that such individual's former employer 
                contributed toward such premium during the individual's 
                employment.
                    (B) In the case of a qualified individual who is 
                not eligible for continuation coverage as described in 
                subparagraph (A), the Secretary shall transfer to the 
                qualified individual, each month, an amount equal to 
                the amount that the individual's former employer 
                contributed each month towards premiums for enrollment 
                of the individual and qualified beneficiaries in a 
                group health plan (including any health insurance 
                coverage offered in connection with such a plan), 
                adjusted in accordance with the average increase in 
                health insurance premiums for plans offered at the gold 
                level of coverage (as described in section 1302(d)(1) 
                of the Patient Protection and Affordable Care Act (42 
                U.S.C. 18022(d)(1))) in the individual market in the 
                applicable State. This amount shall not be considered 
                as gross income for purposes of the Internal Revenue 
                Code of 1986 provided that the individual provides 
                proof that it has been used to purchase health 
                insurance coverage that qualifies as minimum essential 
                coverage (as defined in section 5000A(f) of the 
                Internal Revenue Code of 1986).
            (2) Reduction of premiums payable by individuals.--In the 
        case of a qualified individual and qualified beneficiaries 
        receiving benefits described in paragraph (1)(A) during the 
        applicable period of coverage described in paragraph (3)(A), 
        such individual and beneficiaries shall be treated for purposes 
        of part 6 of subtitle B of title I of the Employee Retirement 
        Income Security Act of 1974 (29 U.S.C. 1161 et seq.) and 
        section 4980B of the Internal Revenue Code of 1986 as having 
        paid in full the amount of such premium for a month if such 
        qualified individual and qualified beneficiary pays the total 
        monthly premium due, less the amount of benefits paid on behalf 
        of such individual and beneficiaries pursuant to paragraph 
        (1)(A).
            (3) Period of coverage with respect to cobra continuation 
        coverage.--For purposes of this subsection, the following shall 
        apply:
                    (A) In general.--Subject to subparagraph (B), with 
                respect to a qualified individual or qualified 
                beneficiary who is receiving continuation coverage 
                pursuant to part 6 of subtitle B of title I of the 
                Employee Retirement Income Security Act of 1974 (29 
                U.S.C. 1161 et seq.) and 4980B of the Internal Revenue 
                Code of 1986, the period of coverage described in 
                section 602(2) of the Employee Retirement Income 
                Security Act of 1974 (29 U.S.C. 1162(2)) and section 
                4980B(f)(2)(B) of the Internal Revenue Code of 1986 is 
                deemed to extend to the date which is 5 years after 
                termination of the qualified individual's employment.
                    (B) End of plan.--With respect to a qualified 
                individual and qualified beneficiaries described in 
                subparagraph (A), if the employer ceases to provide any 
                group health plan to any employee before the period of 
                coverage described in such subparagraph ends, or if the 
                qualified individual and qualified beneficiaries become 
                ineligible for continuation coverage (other than for 
                reasons described in paragraph (4)(A)(ii)), such 
                qualified individual and qualified beneficiaries shall 
                be eligible for benefits described in paragraph (1)(B).
            (4) Duration of benefits.--
                    (A) Benefits with respect to cobra continuation 
                coverage.--The benefits described in paragraph (1)(A) 
                shall continue until the earlier of--
                            (i) the date that is 5 years after closure 
                        of a coal mine or fossil-fuel intensive plant; 
                        or
                            (ii) the date on which the qualified 
                        individual or qualified beneficiary becomes 
                        ineligible for continuation coverage pursuant 
                        to subparagraph (C) or (D)(ii) of section 
                        602(2) of Employee Retirement Income Security 
                        Act of 1974 (29 U.S.C. 1162(2)) or clause (iii) 
                        or (iv) of section 4980B(f)(2)(B) of the 
                        Internal Revenue Code of 1986.
                    (B) Other benefits.--The benefits described in 
                paragraph (1)(B) shall continue until the date that is 
                5 years after closure of a coal mine or fossil-fuel 
                intensive plant.
                    (C) Special rule.--With respect to a qualified 
                individual and qualified beneficiaries, section 
                602(2)(C) of the Employee Retirement Income Security 
                Act of 1974 and section 4980B(f)(2)(B)(iii) of the 
                Internal Revenue Code of 1986 shall apply only if, with 
                respect to such individual and beneficiaries, at least 
                2 consecutive premium payments are not made.
            (5) Outreach.--The Secretary of Labor, in consultation with 
        the Secretary of the Treasury and the Secretary of Health and 
        Human Services, shall provide outreach consisting of public 
        education and enrollment assistance relating to premium 
        assistance provided under this subsection, that targets 
        employers, group health plan administrators, public assistance 
        programs, States, health insurance issuers, and other entities 
        as determined appropriate by such Secretaries. Such outreach 
        shall initially focus on individuals electing COBRA 
        continuation coverage. Information on premium assistance, 
        including enrollment, shall be made available on the websites 
        of the Departments of Labor, Treasury, and Health and Human 
        Services.
            (6) Definitions.--In this subsection--
                    (A) the terms ``group health plan'', ``health 
                insurance coverage'', and ``health insurance issuer'' 
                have the meanings given such terms in section 733 of 
                the Employee Retirement Income Security Act of 1974 (29 
                U.S.C. 1191b); and
                    (B) the term ``qualified beneficiary'' has the 
                meaning given such term in section 607(3)(A) of the 
                Employee Retirement Income Security Act of 1974 (29 
                U.S.C. 1167(3)(A)).
    (g) Retirement Savings Contributions.--
            (1) In general.--In the case of a qualified individual, the 
        Secretary shall pay to such individual amounts equal to the 
        amount of employer contributions (other than elective 
        deferrals) which were made to a qualified retirement plan (as 
        defined in section 4974(c) of the Internal Revenue Code of 
        1986) of the individual as of the last month the individual was 
        employed by the employer. Such payments shall be made on the 
        same schedule as employer contributions under the plan.
            (2) Tax treatment of contributions.--If the qualified 
        individual demonstrates that the payments made under paragraph 
        (1) are contributed to a qualified retirement plan (as so 
        defined) of the individual, such payments shall be treated for 
        purposes of the Internal Revenue Code of 1986 as if they had 
        been made as employer contributions.
    (h) Educational Benefits.--
            (1) Definitions.--In this subsection:
                    (A) Child.--The term ``child'' means, with respect 
                to any qualified individual, a son or daughter of such 
                individual.
                    (B) Public, in-state institution or vocational 
                school.--The term ``public, in-State institution or 
                vocational school'' means a public institution of 
                higher education (as defined in section 101(a) of the 
                Higher Education Act of 1965 (20 U.S.C. 1001(a))), or a 
                public vocational school, of the State in which the 
                qualified individual or child resides.
            (2) In general.--The Secretary of Education shall carry out 
        a program of educational assistance for any qualified 
        individual and child of a qualified individual that is 
        comparable to the program of education assistance administered 
        by the Secretary of Veterans Affairs under chapter 33 of title 
        38, United States Code, except that--
                    (A) a qualified individual, and each child of a 
                qualified individual, may receive the educational 
                assistance provided under the program; and
                    (B) the educational assistance shall only be 
                available for use--
                            (i) at a public, in-State institution or 
                        vocational school; or
                            (ii) for a program of training services 
                        included on the most recent list of eligible 
                        training programs issued under section 122(d) 
                        of the Workforce Innovation and Opportunity Act 
                        (29 U.S.C. 3152(d)) by the Governor of the 
                        State in which the qualified individual or 
                        child of a qualified individual resides.
    (i) Priority for Employment.--The Secretary, in coordination with 
the Secretary of Labor, the Secretary of Commerce, and the Secretary of 
Energy, shall, with respect to any clean energy grants which are made 
available after the date of enactment of this Act, give priority to 
employers that intend to hire qualified individuals.
    (j) Effective Date.--This section shall take effect on the date of 
the establishment of the Office of American Energy Workers (as 
described in subsection (a)).
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