I 113th CONGRESS 1st Session H. R. 1340 IN THE HOUSE OF REPRESENTATIVES March 21, 2013 Mr. Fattah (for himself, Mr. Grijalva , Ms. Clarke , Ms. Hahn , Mr. Hastings of Florida , Mr. Lewis , Ms. Brown of Florida , Mr. Scott of Virginia , Mr. Rangel , Mr. Conyers , Mr. Payne , Ms. Wilson of Florida , Ms. Eddie Bernice Johnson of Texas , Ms. Lee of California , Mr. Al Green of Texas , Ms. Waters , and Mr. Ellison ) introduced the following bill; which was referred to the Committee on Education and the Workforce A BILL To amend the Workforce Investment Act of 1998 to authorize the Secretary of Labor to provide grants for Urban Jobs Programs, and for other purposes.

1. Short title This Act may be cited as the Urban Jobs Act of 2013 . 2. Findings and purpose (a) Findings Congress finds the following: (1) Every school day, nearly 7,000 students become dropouts. Annually, that dropout rate results in about 1,200,000 students not graduating from high school with their peers as scheduled. Lacking a high school diploma, those individuals will be far more likely than graduates to spend their lives periodically unemployed, on government assistance, or cycling in and out of the prison system. (2) The average annual income in 2009 was $19,540 for a high school dropout, compared to $27,380 for a high school graduate, a difference of $7,840. (3) According to a 2011 report by Diploma Counts— (A) about 42 percent of Hispanic students, 43 percent of African-American students, and 46 percent of American Indian students will not graduate on time with a regular high school diploma; and (B) by comparison, 17 percent of Asian students and 22 percent of White students will not graduate as described in subparagraph (A). (4) Among all races and ethnicities, males graduate from high school at a lower rate than their female peers do. Among all students, 68 percent of males and 75 percent of females graduate. (5) According to a report by the College Board Advocacy & Policy Center, one of the most unfortunate destinations for high school dropouts, students, and graduates age 18 to 24 is incarceration in Federal or State prisons or local jails. Since 2000, the number of individuals in the 18 to 24 age group who are incarcerated at the Federal, State, and local levels has risen from about 1,400,000 in 2000 to about 1,600,000 in 2008. Over 475,000 individuals in that age group were incarcerated in 2008, with males accounting for 92.4 percent of all those individuals. In contrast, only 36,000 women in the same age group (7.6 percent) were incarcerated in 2008. (6) High school graduation rates are significantly lower in school districts with higher percentages of students in poverty, measured as students who are eligible for free or reduced price lunches. (7) According to a 2010 National Center for Education Statistics report, high school students from low-income families drop out of high school at 6 times the rate of their peers from high-income families. (8) Over half of State parole entrants are not high school graduates, and as many as eleven percent of the entrants have only an eighth grade education or less. (9) The lowest achieving 25 percent of students are 20 times more likely to drop out of high school, compared to the highest achieving 25 percent of students. (10) According to the Department of Labor, each year approximately 650,000 persons are released from Federal and State prisons. Those ex-prisoners do not return to communities evenly distributed across the United States, but rather return disproportionately to high-poverty communities characterized by high rates of joblessness, crime, and drug abuse. (11) The unemployment rate among ex-prisoners has been estimated to be between 25 and 40 percent. An estimated 19 percent of adults in State prisons are functionally illiterate. Over half of State parole entrants are not high school graduates, and about 11 percent of the entrants have only an eighth grade education or less. (b) Purpose It is the purpose of this Act to provide adequate resources for national or regional nonprofit organizations to prevent and reduce the disproportionate incarceration of eligible youth, especially minority youth, and to prepare eligible youth for entry into employment, or education leading to employment, that places participants on a path to economic self-sufficiency and provides opportunities for advancement, by providing a comprehensive set of services that includes job training, education, and support services. 3. Urban jobs programs (a) In general Subtitle D of title I of the Workforce Investment Act of 1998 is amended by inserting after section 173A ( 29 U.S.C. 2918a ) the following: 173B. Urban jobs programs (a) Purpose The purpose of this section is to provide, through competitive grants, needed resources for the following objectives: (1) To establish a feeder system for youth ages 18 through 24, who are out-of-school youth or are or have been subject to the criminal justice process, in urban communities, into employment, or education leading to employment, through national or regional intermediaries that have demonstrated effectiveness in conducting outreach to, and serving, eligible youth through a national or regional network of community-based affiliates. (2) To provide a holistic approach for preparing eligible youth in urban communities for entry into employment, or education leading to employment, through a comprehensive set of services. (3) To prevent and reduce the disproportionate incarceration of eligible youth in urban communities, including minority youth. (b) Definitions In this section: (1) Community-based affiliate The term community-based affiliate means a community-based organization that is an affiliate of a national or regional intermediary. (2) Eligible youth The term eligible youth means individuals ages 18 through 24 who— (A) are not enrolled in secondary or post-secondary school; or (B) are or have been subject to any stage of the criminal justice process. (3) National intermediary The term national, with respect to an intermediary, means a national private nonprofit community-based organization that— (A) has an affiliate network comprised of community-based organizations in urban communities in more than one State; and (B) has demonstrated expertise and effectiveness in conducting outreach to eligible youth and providing workforce investment activities to such youth. (4) Recidivism The term recidivism means a tendency to return to criminal behavior. (5) Regional intermediary The term regional , used with respect to an intermediary, means a private nonprofit community-based organization that— (A) has an affiliate network comprised of community-based organizations that— (i) have experience conducting multi-site projects; and (ii) are in a geographic area defined by the Bureau of the Census; and (B) has demonstrated expertise and effectiveness in conducting outreach to eligible youth and providing workforce investment activities to such youth. (6) Unsubsidized job The term unsubsidized job means an employment position with an employer— (A) that pays the wages for the position; and (B) that does not receive public funds for the creation and maintenance of the employment position. (7) Urban jobs program The term Urban Jobs Program means an Urban Jobs Program funded under subsection (c). (c) Urban jobs program grants (1) Grants The Secretary is authorized to make grants, on a competitive basis, to national or regional intermediaries for the purpose of carrying out Urban Jobs Programs that provide a comprehensive set of services to eligible youth in urban communities to provide such youth with a pathway to employment, or education leading to employment. (2) Application (A) Form and procedure To be eligible to receive a grant under this subsection, a national or regional intermediary shall submit an application at such time, in such manner, and accompanied by such information as the Secretary may require. (B) Minimum requirements The Secretary shall require that the application contain, at a minimum— (i) a request for the grant, specifying the amount of the grant requested and proposed uses of the grant funds; (ii) a description of how the national or regional intermediary will meet, for participants in the Urban Jobs Program, goals consisting of— (I) increased long-term employment in unsubsidized jobs; (II) reduced recidivism; (III) increased attainment of the recognized equivalent of a high school diploma; (IV) improved literacy and numeracy; and (V) increased attainment of industry-recognized certificates or credentials, or preparation for entry into an institution of higher education without need for further remediation; (iii) a description of underlying supports for the program, including— (I) engaged community partners; (II) staff expertise in youth development; and (III) demonstrated understanding of youth characteristics; (iv) a description of how the program will enable program participants to achieve outcomes consisting of— (I) creation of caring relationships with peers and staff; (II) creation of goals (such as the attainment described in clause (ii)(III), attainment of employment, admission to or completion of a degree at an institution of higher education, attainment of industry-recognized certificates or credentials, or preparation for entry into an institution of higher education without need for further remediation); (III) participation in opportunities to contribute to the community through service or volunteerism; (IV) development of 21st century workplace skills, including critical thinking and collaboration; (V) development of a sense of responsibility for one’s future; (VI) development of plans or strategies to meet one’s goals; (VII) reduction of risk-taking behaviors; (VIII) achievement of improved educational outcomes (such as numeracy, literacy, or the attainment described in clause (ii)(II)); (IX) achievement of improved employment outcomes; and (X) reduction of recidivism; and (v) a description of activities to be provided through the Urban Jobs Program that lead to the attainment of industry-recognized certificates or credentials described in paragraph (3). (3) Eligible activities A national or regional intermediary that receives a grant under this subsection shall use the funds made available through the grant to carry out an Urban Jobs Program, which shall include the following comprehensive set of services: (A) Case management, through an individual responsible for helping participants navigate the Urban Jobs Program activities. (B) Educational services, including skill assessment, reading and math remediation, educational enrichment, services involving preparation for and opportunities for attainment of the recognized equivalent of a high school diploma, services that connect to career pathways such as opportunities for attainment of industry-recognized certificates or credentials or for preparation for entry into an institution of higher education without the need for further remediation, and postsecondary education. (C) Employment and job readiness activities, including mentoring, community service opportunities, internships, on-the-job training, occupational skills training, personal development, and unsubsidized jobs. (D) Support services, health and nutrition service referral, substance abuse counseling and treatment, and provision of housing assistance, interpersonal and basic living skills, and transportation, child care, clothing, and other assistance as needed. (4) Limitation Not more than 2 percent of the funds appropriated for any fiscal year under section 174(d) may be used for expenses associated with carrying out this subsection. (d) Reports (1) In general Not later than August 1 following each program year for which amounts are made available to carry out this section, the Secretary of Labor shall submit 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, a report that details the progress made under this section in establishing Urban Jobs Programs through national or regional intermediaries. (2) Inapplicability of Section 172 The program shall not be subject to evaluations required under section 172. (e) National jobs council advisory committee (1) Establishment The Secretary of Labor shall establish a committee to be known as the National Jobs Council Advisory Committee (referred to in this subsection as the Committee ). (2) Membership The Committee shall be comprised of 12 members, appointed by the Secretary, consisting of— (A) 3 individuals from the private sector, who are senior human resources or diversity employees with national or regional responsibilities, and who have experience in oversight that includes hiring, employee training, or overseeing employee relations; (B) 5 representatives of employers in high-impact, high-growth industries, as defined by the Secretary; (C) 1 national intermediary staff member; (D) 1 regional intermediary staff member; and (E) 2 representatives from the Department of Labor. (3) Period of appointment; vacancies Members shall be appointed for the life of the Committee. Any vacancy in the Committee shall not affect the powers of the Committee, but shall be filled in the same manner as the original appointment was made. (4) Duties (A) Analysis The Committee shall analyze, and prepare recommendations for the Secretary concerning— (i) the design and operation of the program carried out under this section; (ii) long-term strategic priorities for the program; and (iii) the formulation and application of guidelines related to activities carried out under the program. (B) Reports The Committee shall prepare and submit to the Secretary periodic reports containing the recommendations described in subparagraph (A). (5) Personnel (A) Travel expenses The members of the Committee shall not receive compensation for the performance of services for the Committee, but shall be allowed travel expenses, including per diem in lieu of subsistence, at rates authorized for employees of agencies under subchapter I of chapter 57 of title 5, United States Code, while away from their homes or regular places of business in the performance of services for the Committee. Notwithstanding section 1342 of title 31, United States Code, the Secretary may accept the voluntary and uncompensated services of members of the Committee. (B) Detail of government employees Any Federal Government employee may be detailed to the Committee without reimbursement, and such detail shall be without interruption or loss of civil service status or privilege. (6) Permanent committee Section 14 of the Federal Advisory Committee Act (5 U.S.C. App.) shall not apply to the Committee. (f) Sense of Congress regarding local advisory committees It is the sense of Congress that— (1) a community-based affiliate receiving funding under this section should establish a local jobs council advisory committee to aid in establishing support from the local community for and guiding the local implementation of the program; and (2) not less than 1/3 of the members of the committee should be employers in high-impact, high-growth industries in the locality. . (b) Funding Section 174 of the Workforce Investment Act of 1998 ( 29 U.S.C. 2919 ) is amended by adding at the end the following: (d) Urban Jobs Programs There is authorized to be appropriated to carry out section 173B— (1) $20,000,000 for fiscal year 2012; (2) $30,000,000 for fiscal year 2013; (3) $40,000,000 for fiscal year 2014; (4) $50,000,000 for fiscal year 2015; and (5) $60,000,000 for fiscal year 2016. . (c) Conforming amendment The table of contents in section 1(b) of the Workforce Investment Act of 1998 is amended— (1) by inserting a period at the end of the item relating to section 173A; and (2) by inserting after the item relating to section 173A the following: Sec. 173B. Urban jobs programs. .