Guaranteeing Unemployment Assistance and Reducing Deception Act
Bill: H.R.8661 | Sponsor: Rep. Horsford, Steven (D-NV)
Policy area: Labor and Employment

Summary:
Guaranteeing Unemployment Assistance and Reducing Deception Act or the GUARD Act
This bill addresses state unemployment insurance programs. Among other provisions, the bill directs the Department of Labor to establish new program performance standards (including measures that address equity and assistance in fraud recovery) and award performance bonuses to states for their excellent performance or substantial improvement with respect to these performance standards.

To improve equity and accountability in State unemployment programs, 
     recover fraudulent payments, and prevent future fraud in the 
                    unemployment insurance program.

    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 ``Guaranteeing Unemployment Assistance 
and Reducing Deception Act'' or the ``GUARD Act''.

   TITLE I--PAYMENT RECOVERY FOR PANDEMIC FRAUD VICTIMS AND TAXPAYERS

SEC. 101. SUPPORT FOR FEDERAL RECOVERY OF PAYMENTS MADE DUE TO FRAUD.

    There is authorized to be appropriated $5,000,000 in each of fiscal 
years 2023 and 2024 to the Secretary of Labor for costs related to 
funding any coordinating body or task force which includes the 
Secretary of Labor, the Inspector General of the Department of Labor, 
the Attorney General, the Secretary of Homeland Security, and other 
appropriate Federal agencies charged with supporting recovery of 
amounts paid due to fraud under an agreement under section 2102, 2104, 
2105, or 2107 of the CARES Act.

SEC. 102. SUPPORT FOR STATE RECOVERY OF PAYMENTS MADE DUE TO FRAUD.

    (a) In General.--In determining the payments due to a State for 
administrative expenses incurred by the State by reason of an agreement 
under section 2102, 2104, 2105, or 2107 of the CARES Act (as required 
under sections 2102(f)(2)(B), 2104(d)(1)(A)(ii), 2105(c)(1)(B), and 
2107(d)(2)(A) of such Act, respectively), the Secretary of Labor shall, 
subject to subsection (b), include the cost of any administrative 
expenses incurred for the purposes of--
            (1) identifying payments made under the agreement 
        potentially due to fraud;
            (2) recovering payments made under the agreement due to 
        fraud; and
            (3) supporting prosecution of such fraud.
    (b) State Participation Requirements.--Subsection (a) shall not 
apply to any State that does not agree to submit annual reports to the 
Secretary of Labor through fiscal year 2024 describing any open fraud 
investigations and recoveries in the State relating to assistance paid 
under an agreement under section 2102, 2104, 2105, or 2107 of the CARES 
Act.
    (c) BBDCA Exemption.--Any payments due to a State for 
administrative expenses under an agreement described in subsection (a) 
shall be exempt from any reduction ordered under the Balanced Budget 
and Emergency Deficit Control Act of 1985.

SEC. 103. DEFINED POINT OF CONTACT FOR IDENTITY THEFT VICTIMS.

    Section 303 of the Social Security Act (42 U.S.C. 503) is amended 
by adding at the end the following:
    ``(n)(1) For purposes of subsection (a), the State agency charged 
with the administration of the State law shall--
            ``(A) ensure that individuals who report that they are 
        victims of identity theft and that their information was or is 
        being used fraudulently to claim unemployment benefits have a 
        defined point of contact within the State organization to 
        follow up on their report;
            ``(B) coordinate with other State and Federal agencies to 
        ensure prompt resolution of issues reported as described in 
        subparagraph (A) and any other consequences related to the 
        making of such a report; and
            ``(C) ensure clear and timely communication with each 
        individual making a report as described in subparagraph (A) 
        about the status of the resolution of issues reported.
    ``(2) Not later than 60 days after the date of enactment of this 
subsection, the Secretary of Labor shall publish guidance to States 
establishing appropriate minimum standards, in consultation with 
appropriate Federal agencies, to ensure consistent reporting and 
resolution of issues reported to States as described in paragraph 
(1)(A).
    ``(3) The Secretary of Labor shall provide such technical and 
financial assistance as may be necessary to assist States in carrying 
out the requirements of paragraph (1).
    ``(4) The requirements of paragraph (1) shall be effective for 
weeks beginning on or after the date that is 60 days after the 
Secretary of Labor issues the guidance required under paragraph (2).''.

 TITLE II--PREVENTING FUTURE UNEMPLOYMENT FRAUD AND IMPROVING PROGRAM 
                               INTEGRITY

SEC. 201. MANDATORY PARTICIPATION IN INFORMATION SHARING SYSTEMS.

    (a) In General.--Section 303(a) of the Social Security Act (42 
U.S.C. 503(a)) is amended--
            (1) in paragraph (11)(B), by striking the period at the end 
        and inserting ``; and'';
            (2) in paragraph (12), by striking the period at the end 
        and inserting ``; and''; and
            (3) by adding at the end the following:
            ``(13) Participation by the State in any system designated 
        by the Secretary of Labor for the purpose of preventing and 
        detecting payments due to fraud and other improper payments, 
        including any such system for--
                    ``(A) cross-matching claimants of unemployment 
                compensation under State and Federal law to prevent and 
                detect payments due to fraud and other improper 
                payments;
                    ``(B) the electronic transmission of requests from 
                employers (or their agents) for cross-matching 
                information relating to unemployment compensation held 
                by the State agency charged with the administration of 
                the State law;
                    ``(C) the authentication of bank account or payment 
                information;
                    ``(D) the interstate exchange of beneficiary 
                information for the purposes of identifying individuals 
                who have filed a claim for unemployment compensation in 
                more than one State;
                    ``(E) cross-matching information on individuals who 
                are incarcerated using data which is verified to be 
                accurate and up-to-date;
                    ``(F) cross-matching against the National Directory 
                of New Hires established under section 453(i) in 
                accordance with section 453(j)(8); and
                    ``(G) any other purpose determined by the Secretary 
                of Labor.
            ``(14) Provision of access by the State to the system 
        specified in paragraph (13)(A) to the Inspector General of the 
        Department of Labor solely for purposes of investigating 
        unemployment compensation fraud.''.
    (b) Regulations.--Not later than 1 year after the date of the 
enactment of this Act, the Secretary of Labor shall issue a regulation 
designating the systems described in section 303(a)(13) of the Social 
Security Act, and may, in such regulations, remove a designation or 
designate other systems as necessary. Such regulations shall--
            (1) specify the method and frequency of cross-matching;
            (2) specify methods to ensure that data used for cross-
        matching is accurate and up-to-date;
            (3) provide for a period of time for States to implement a 
        cross-matching system modified or newly designated by the 
        Secretary of Labor; and
            (4) take into account equity, access, and due process in 
        developing processes for using cross-match data.
    (c) Effective Date.--The amendment made by subsection (a) shall 
apply with respect to a system designated by the Secretary of Labor 
under section 303(a)(13) of the Social Security Act beginning 2 years 
after the date on which such system is so designated.

SEC. 202. IMPROVING PROGRAM INTEGRITY THROUGH COMMUNICATION WITH 
              CLAIMANTS.

    Section 303(a)(12) of the Social Security Act (42 U.S.C. 503(a)), 
as amended by section 201, is further amended by inserting after 
``actively seeking work'' the following: ``, except that in any case in 
which the State agency charged with the administration of the State law 
determines that a claimant is not actively seeking work, the State 
agency may issue not more than one warning during a benefit year before 
taking any other action with respect to the claimant's eligibility for 
unemployment compensation''.

SEC. 203. RETENTION OF CERTAIN RECOVERIES FOR PROGRAM INTEGRITY AND 
              EQUITABLE ACCESS.

    (a) In General.--Section 3304(a)(4) of the Internal Revenue Code of 
1986 is amended--
            (1) in subparagraph (F), by striking ``and'' after the 
        semicolon;
            (2) by inserting after subparagraph (G) the following:
                    ``(H) amounts may be withdrawn, to be deposited in 
                a separate State fund from which amounts may be 
                withdrawn for administrative costs related to program 
                integrity or equitable access to benefits for workers, 
                up to the sum of--
                            ``(i) a portion, not to exceed 5 percent, 
                        of any overpayment of compensation due to fraud 
                        that is recovered by the State; and
                            ``(ii) a portion, not to exceed 5 percent, 
                        of any contribution collected as a result of 
                        the misclassification of employees as 
                        independent contractors, implementation of 
                        provisions of State law implementing section 
                        303(k) of the Social Security Act, or other 
                        provisions of State law relating to employer 
                        fraud or evasion of contributions; and
                    ``(I) amounts collected by the State in penalty and 
                interest payments shall be deposited in a separate 
                State fund from which amounts may be withdrawn for 
                administrative costs, including costs relating to 
                improving technology and access, and for reemployment 
                services under section 306 of the Social Security Act, 
                except that, in the case of a State with an improper 
                payment rate of 10 percent or higher, at least 50 
                percent of such funds must be used for program 
                integrity;''.
    (b) Conforming Amendments.--
            (1) Internal revenue code.--Chapter 23 of the Internal 
        Revenue Code of 1986 is amended--
                    (A) in section 3304(a)(3), by striking ``and except 
                for refunds paid in accordance with the provisions of 
                section 3305(b)'' and inserting ``refunds paid in 
                accordance with the provisions of section 3305(b), and 
                as otherwise provided in section 3304(a)(4)''; and
                    (B) in section 3306(f), by striking ``; except 
                that--'' and all that follows and inserting ``, except 
                as otherwise provided in section 3304(a)(4).''.
            (2) Social security act.--Section 303(a) of the Social 
        Security Act (42 U.S.C. 503(a)) is amended--
                    (A) in paragraph (4), by striking ``and except for 
                refunds paid in accordance with the provisions of 
                3305(b) of the Federal Unemployment Tax Act'' and 
                inserting ``refunds paid in accordance with the 
                provisions of 3305(b) of the Internal Revenue Code of 
                1986, and as otherwise provided in section 3304(a)(4) 
                of such Code''; and
                    (B) in paragraph (5), by striking ``refunds paid in 
                accordance with the provisions of 3305(b)'' and all 
                that follows and inserting ``, except as otherwise 
                provided in section 3304(a)(4) of the Internal Revenue 
                Code of 1986.''.
    (c) Guidance.--Not later than 1 year after the date of the 
enactment of this Act, the Secretary of Labor shall issue guidance 
describing--
            (1) the method by which a State shall determine the amounts 
        for deposit under a separate State fund pursuant to each of 
        subparagraphs (H) and (I) of section 3304(a)(4) of the Internal 
        Revenue Code of 1986;
            (2) requirements for the establishment of such separate 
        State funds; and
            (3) the purposes for which amounts withdrawn from such 
        separate State funds may be used.
    (d) Effective Date.--The amendments made by this section shall 
apply with respect to overpayments and contributions (or payments in 
lieu of contributions) collected as a result of an investigation and 
assessment by a State agency and to penalties and interest collected 
after the earlier of--
            (1) the end of the two-year period beginning on the date of 
        the enactment of this Act; or
            (2) the date on which a State's law comes into conformity 
        with the requirements of this section.

             TITLE III--IMPROVING EQUITY AND ACCOUNTABILITY

SEC. 301. ADDITIONAL TARGETED PENALTIES TO ENFORCE FEDERAL 
              REQUIREMENTS.

    (a) In General.--Section 303(b) of the Social Security Act (42 
U.S.C. 503(b)) is amended--
            (1) by striking ``Whenever'' and inserting ``(1) 
        Whenever'';
            (2) by striking ``(1) A denial'' and inserting ``(A) A 
        denial'';
            (3) by striking ``(2) A failure to comply substantially 
        with any provision specified in this section'' and inserting 
        ``(B) A failure to comply substantially with any provision 
        specified in this section or section 307'';
            (4) by inserting ``, except as provided in paragraph (2),'' 
        after ``the Secretary of Labor shall notify'';
            (5) by striking ``clause (1)'' and inserting ``subparagraph 
        (A)''; and
            (6) by adding at the end the following:
    ``(2)(A) Whenever a denial or failure to comply as described in 
paragraph (1) occurs in a substantial number of cases, the Secretary of 
Labor may, in lieu of imposing the penalty described in such paragraph, 
withhold up to 15 percent of each payment (with such percentage to be 
determined by the Secretary of Labor based on factors including the 
severity and the extent of such denial or failure) made to the State 
under section 302 until such time as the Secretary of Labor is 
satisfied that there is no longer any such denial or failure to comply. 
The Secretary of Labor may make such withheld amount available to the 
State, and shall provide technical assistance to the State for such 
purpose.
    ``(B) The Secretary of Labor shall provide for a reduction to, or 
an exemption from, the penalty described in subparagraph (A) in cases 
where the Secretary of Labor determines that good cause for substantial 
noncompliance exists, and may allow for flexibility in times of 
heightened workload or reduced penalties in a case in which a State is 
making progress toward compliance.''.
    (b) Regulations.--Not later than 2 years after the date of 
enactment of this Act, the Secretary of Labor shall issue an interim 
final regulation prescribing--
            (1) the circumstances in which a penalty described in 
        paragraph (2)(A) of section 303(b) of the Social Security Act 
        will be imposed, including a description of what constitutes 
        substantial noncompliance within the meaning of such section;
            (2) the method to be used to determine--
                    (A) the percentage of payment to be withheld;
                    (B) any increased penalty to be imposed for failure 
                to take corrective action after the imposition of an 
                initial penalty; and
                    (C) a description of any circumstances in which all 
                or a portion of the penalty will be provided to the 
                State to be used only for corrective action as 
                specified by the Secretary of Labor;
            (3) procedures under which the Secretary of Labor shall 
        notify a State of any penalty that may potentially be imposed;
            (4) the timing in which the penalty will be imposed;
            (5) the permissible uses of any withheld amount made 
        available to the State for corrective action pursuant to such 
        paragraph (2)(A); and
            (6) any other requirements or guidance the Secretary of 
        Labor deems appropriate to implement the amendments made by 
        subsection (a).
    (c) Effective Date.--The amendments made by subsection (a) shall 
apply with respect to fiscal years beginning on or after the date on 
which the regulations described in subsection (b) are finalized.

SEC. 302. SETTING AND ENFORCING OVERALL STANDARDS FOR EQUITY, 
              PERFORMANCE, AND PROGRAM INTEGRITY.

    (a) In General.--Title III of the Social Security Act (42 U.S.C. 
501 et seq.) is amended by adding at the end the following:

``SEC. 307. PERFORMANCE AND ADMINISTRATIVE STANDARDS.

    ``(a) Program Performance Standards.--
            ``(1) In general.--The Secretary of Labor shall, by 
        regulation, establish program performance standards applicable 
        to each State to which a payment is made under section 302(a) 
        for a fiscal year. Such standards shall--
                    ``(A) set forth categories that include measures 
                addressing equity (including with respect to race, 
                ethnicity, gender, and disability status), timeliness, 
                access, program integrity, assistance in fraud 
                recovery, and other performance areas as determined by 
                the Secretary of Labor;
                    ``(B) define each such measure and the minimum 
                acceptable performance level with respect to such 
                measure; and
                    ``(C) require that States report such data as the 
                Secretary of Labor may require and that such data--
                            ``(i) include the total number of 
                        individuals receiving unemployment compensation 
                        in the State;
                            ``(ii) as necessary, be disaggregated by 
                        race, ethnicity, gender, language, disability, 
                        and other demographic groups; and
                            ``(iii) be stored and maintained as 
                        required by the use, disclosure, and storage 
                        requirements of section 308(b).
            ``(2) Inclusion of technology standards.--The program 
        performance standards established under paragraph (1) shall 
        include minimum standards for the technology used to administer 
        the unemployment compensation program which ensure that the 
        process of filing initial and continuing claims for 
        unemployment compensation can be readily understood and 
        accomplished by the vast majority of individuals, including 
        those with limited English proficiency, individuals with 
        disabilities (in compliance with section 508 of the 
        Rehabilitation Act of 1973 (29 U.S.C. 794d)), older 
        individuals, and individuals with literacy challenges.
    ``(b) State Data Reporting Requirement.--Each State to which a 
payment is made under section 302(a) for a fiscal year shall provide to 
the Secretary of Labor such data as the Secretary of Labor may require 
related to the program performance standards issued pursuant to 
subsection (a). Any State that fails to provide such data shall be 
ineligible for a performance bonus under subsection (c) for that fiscal 
year and any subsequent fiscal year until such State has provided data 
for all fiscal years and may also be subject to any other penalty 
provided under this title.
    ``(c) Performance Bonuses.--
            ``(1) In general.--In each fiscal year for which 
        appropriations are made available for such purpose pursuant to 
        paragraph (4), the Secretary of Labor shall award performance 
        bonuses to States that the Secretary of Labor determines have 
        demonstrated sustained excellent performance or substantial 
        improvement with respect to program performance standards 
        issued pursuant to subsection (a).
            ``(2) Timing of award.--The Secretary of Labor shall award 
        a performance bonus under paragraph (1) to a State not later 
        than the end of the year following the year in which the 
        performance on which such award is based occurs. An award under 
        this subsection shall remain available to a State for a period 
        of 2 years following the date of award.
            ``(3) Amount of award.--The amount of a performance bonus 
        under paragraph (1) for a fiscal year shall be determined on 
        the basis of a formula to be prescribed by the Secretary of 
        Labor taking into account each of the following:
                    ``(A) The performance of the State in such fiscal 
                year in comparison to its performance in prior years 
                and to the performance of other States.
                    ``(B) The rate of insured unemployment (as defined 
                in Section 203(e)(1) of the Federal-State Extended 
                Unemployment Compensation Act of 1970 (26 U.S.C. 3304 
                note (e)(1))) in the State for such fiscal year.
                    ``(C) The volume of weekly claims expected to be 
                filed in the State as determined by Secretary of Labor 
                for such fiscal year.
            ``(4) Use of award funds.--Amounts received by a State as a 
        performance bonus under this subsection shall--
                    ``(A) be deposited by the State in State's account 
                in the Unemployment Trust Fund;
                    ``(B) be used for costs of administering the 
                unemployment compensation law of the State; or
                    ``(C) be used for the State's program of 
                reemployment services and eligibility assessments in 
                accordance with section 306.
            ``(5) Notification of eligiblity requirement.--No State 
        shall be eligible for a performance bonus under paragraph (1) 
        for a year unless the State--
                    ``(A) has in effect during such year a requirement 
                that employers notify workers when they are potentially 
                eligible for unemployment compensation; and
                    ``(B) provides information to the Secretary of 
                Labor describing the State's process for enforcing the 
                requirement described in subparagraph (A).
            ``(6) Authorization of appropriations.--There is authorized 
        to be appropriated to the Secretary of Labor to carry out this 
        subsection $280,000,000 for each fiscal year beginning with 
        fiscal year 2024.
            ``(7) Holdover funds.--In any fiscal year for which an 
        insufficient number of States qualify for a performance bonus 
        under the criteria established for such purpose by the 
        Secretary of Labor, the Secretary may withhold a portion of the 
        funds appropriated pursuant to paragraph (5) for such fiscal 
        year. Any funds so withheld shall remain available to the 
        Secretary of Labor for the purposes of paragraph (1) for 
        subsequent fiscal years.
    ``(d) Requirement To Conduct Analysis and Take Corrective Actions 
Regarding Equity Relating to Race and Ethnicity.--
            ``(1) In general.--The Secretary of Labor shall conduct an 
        analysis of the data reported by each State to which a payment 
        is made under section 302(a) as such data measures equity 
        related to race and ethnicity in the unemployment compensation 
        program of the State. Such analysis shall be conducted in the 
        4th fiscal year beginning after the date of enactment of this 
        section and every 2 fiscal years thereafter, shall assess the 
        State during the period of the 2 most recent fiscal years (or, 
        in the case of the 1st such analysis, the most recent fiscal 
        year), and shall include the following:
                    ``(A) An assessment of equity related to race and 
                ethnicity measures in each of the following categories:
                            ``(i) Access to benefits, including with 
                        respect to--
                                    ``(I) how information about 
                                eligibility and benefits are provided 
                                to potentially eligible workers, 
                                including any targeted outreach to 
                                specific groups or categories of 
                                workers and any requirement that 
                                employers provide notification of the 
                                availability of unemployment 
                                compensation to employees at the time 
                                of separation from employment;
                                    ``(II) administrative procedures, 
                                including documentation and notice 
                                requirements, for filing new and 
                                continuing claims; and
                                    ``(III) what specific steps the 
                                State takes to ensure that individuals 
                                with limited English proficiency have 
                                access to translated information and 
                                application materials or free language 
                                assistance in order to provide 
                                meaningful access to program benefits, 
                                including claims filing, 
                                recertification, program compliance, 
                                and appeals.
                            ``(ii) Eligibility for benefits, including 
                        with respect to--
                                    ``(I) eligibility conditions; and
                                    ``(II) how information about 
                                requirements relating to eligibility 
                                for continuing benefits is provided, 
                                including requirements relating to the 
                                documentation of work search.
                            ``(iii) Timeliness and accuracy of claims 
                        processing, payment, and appeals, including 
                        information about reasons for denial.
                            ``(iv) Adequacy of benefits, including with 
                        respect to wage replacement and benefit 
                        exhaustion.
                    ``(B) A description of any equity-focused training 
                provided to employees of the State agency charged with 
                the administration of the State unemployment 
                compensation law, and the frequency and content of such 
                training.
                    ``(C) A descriptive analysis of the impact of the 
                State's policies with respect to each of the categories 
                described in subparagraph (A) on the State's 
                performance.
                    ``(D) Other relevant information or analysis as 
                determined by the Secretary of Labor.
            ``(2) State participation required.--Each State to which a 
        payment is made under section 302(a) shall provide any data not 
        already required under Section 303 or regulations implementing 
        Section 303, and all other information requested by the 
        Secretary of Labor for the purpose of conducting the analysis 
        under paragraph (1). Such data and information is to be 
        reported in a manner prescribed by the Secretary of Labor and, 
        as necessary, be disaggregated by race and ethnicity. The 
        Secretary of Labor shall ensure the data is stored and 
        maintained as required by the use, disclosure, and storage 
        requirements of section 308(b).
            ``(3) Corrective action and continuous improvement plans.--
        In any case in which the Secretary of Labor finds that an 
        analysis conducted under this paragraph demonstrates that a 
        State does not meet the performance metrics defined by the 
        Secretary of Labor pursuant to subsection (a) related to 
        equitable treatment by race and ethnicity, the Secretary of 
        Labor shall negotiate specific good faith efforts the State 
        will make to improve equity related to race and ethnicity in 
        the unemployment compensation program and shall set specific 
        milestones or performance targets for future improvement.
            ``(4) Publication and reporting.--
                    ``(A) In general.--Not later than 180 days after 
                the beginning of the 4th fiscal year beginning after 
                the date of enactment of this section, and every 2 
                fiscal years thereafter, the Secretary of Labor shall 
                post on a publicly accessible website of the Department 
                of Labor the results of the most recent equity analyses 
                conducted pursuant to paragraph (1).
                    ``(B) Report to congress.--Whenever the Secretary 
                of Labor publishes the results described in 
                subparagraph (A), the Secretary of Labor shall prepare 
                a comprehensive report summarizing the results of all 
                State data used in the preparation of such publication, 
                including a State-by-State comparison with respect to 
                information described in paragraph (1) and an analysis 
                of key factors driving disparities in eligibility, 
                access, or benefit levels for workers on the basis of 
                race or ethnicity, and any penalties or corrective 
                action plans applicable to the State based on the 
                analysis. Such report shall be publicly displayed on 
                the website described in subparagraph (A) and shall be 
                submitted to the Committee on Ways and Means of the 
                House of Representatives and the Committee on Finance 
                of the Senate.
    ``(e) Authority Not Affected.--Nothing in this section shall limit 
the authority otherwise provided to the Secretary of Labor regarding 
program administration under this title.''.
    (b) Regulations.--Not later than 18 months after the date of 
enactment of this Act, the Secretary of Labor shall issue regulations 
to implement the amendments made by subsection (a), including with 
respect to the program performance standards and performance bonuses.
    (c) Effective Date.--The amendment made by subsection (a) shall 
apply with respect to fiscal years beginning 2 or more years after the 
date of enactment of this Act.

                      TITLE IV--GENERAL PROVISIONS

SEC. 401. CENTRALIZED SUPPORT AND TECHNICAL ASSISTANCE FOR STATE 
              PROGRAM IMPROVEMENT.

    Title III of the Social Security Act (42 U.S.C. 501 et seq.), as 
amended by section 302, is further amended by adding at the end the 
following:

``SEC. 308. CENTRALIZED SUPPORT AND TECHNICAL ASSISTANCE FOR STATE 
              PROGRAM IMPROVEMENT.

    ``(a) Centralized Support and Technical Assistance for State 
Program Improvement.--
            ``(1) In general.--Subject to the availability of the 
        appropriations made available by section 403 of the GUARD Act, 
        the Secretary of Labor shall make available to each State 
        administering an unemployment compensation program central 
        supportive services and direct technical assistance to assist 
        the State in--
                    ``(A) promoting equitable access to such 
                unemployment compensation program;
                    ``(B) preventing and identifying fraud and 
                supporting law enforcement in the recovery of payments 
                made due to fraud; and
                    ``(C) improving timely payments and reducing 
                workload backlogs.
            ``(2) Scope of assistance.--The assistance provided by the 
        Secretary of Labor under subsection (a) may include the 
        following:
                    ``(A) Response teams that provide consultative 
                assessments.
                    ``(B) Prototyping and piloting technology solutions 
                and conducting feasibility studies.
                    ``(C) Sustaining technology solutions and 
                supporting State process changes to improve access and 
                efficiency.
    ``(b) Administrative Database.--
            ``(1) In general.--The Secretary of Labor may establish and 
        maintain a database for the purposes of administering the 
        requirements of sections 303 and 307.
            ``(2) Use.--The Secretary of Labor may use data contained 
        in the database established under paragraph (1) only--
                    ``(A) for purposes of program administration, 
                including research, evaluation, and performance 
                assessment, of State and Federal unemployment 
                compensation programs, including reemployment services 
                and eligibility assessments in accordance with section 
                306; and
                    ``(B) to address identity theft within such 
                unemployment compensation programs.
            ``(3) Storage.--The Secretary of Labor shall comply with 
        appropriate industry safeguards with respect to the storage of 
        such data.
            ``(4) Disclosure.--
                    ``(A) In general.--Such data may be disclosed by 
                the Secretary of Labor to Federal or State government 
                officials, or their contractors, only to the extent 
                necessary to carry out the purposes described in 
                paragraph (2) and only under the terms of a written 
                agreement with the Federal or State government official 
                providing for appropriate measures to protect the 
                confidentiality of such data, including oversight of 
                their contractors. The Secretary of Labor may not 
                disclose such data to any other person or entity, and 
                no Federal or State government official, or their 
                contractor, may redisclose such data to any person or 
                entity, except as provided in this subparagraph.
                    ``(B) Exemption from disclosure.--Such data shall 
                be exempt from disclosure under 552(b)(3) of title 5, 
                United States Code.''.

SEC. 402. IMPLEMENTATION.

    (a) Non-Application of the Paperwork Reduction Act.--Chapter 35 of 
title 44, United States Code (commonly referred to as the ``Paperwork 
Reduction Act of 1995''), shall not apply to the provisions of, and the 
amendments made by, this Act.
    (b) Operating Instructions or Other Guidance.--Notwithstanding any 
other provision of law, the Secretary of Labor may issue any 
regulations, operating instructions, or other guidance necessary to 
carry out the provisions of, or the amendments made by, this Act.

SEC. 403. AUTHORIZATION OF APPROPRIATIONS.

    There is authorized to be appropriated to the Secretary of Labor to 
carry out this Act and the amendments made by this Act, including 
maintaining staffing levels, hiring new staff, extending grants and 
contracts, and entering into grants and contracts--
            (1) any unobligated balance of funds appropriated under 
        section 2118 of the CARES Act (15 U.S.C. 9034); and
            (2) for each fiscal year beginning with fiscal year 2024, 
        such sums as may be necessary.
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