II 118th CONGRESS 2d Session S. 4580 IN THE SENATE OF THE UNITED STATES June 18, 2024 Mr. Warnock (for himself and Mr. Braun ) introduced the following bill; which was read twice and referred to the Committee on Health, Education, Labor, and Pensions A BILL To establish, improve, or expand high-quality workforce development programs at community colleges, and for other purposes.

1. Short title This Act may be cited as the Pathways to Prosperity Act . 2. Strengthening community colleges grant program Subtitle D of title I of the Workforce Innovation and Opportunity Act ( 29 U.S.C. 3221 et seq. ) is amended— (1) by redesignating section 172 as section 173; and (2) by inserting after section 171 the following: 172. Strengthening community colleges workforce development grants program (a) Purposes The purposes of this section are— (1) to establish, improve, or expand high-quality workforce development programs at community colleges; (2) to expand opportunities for individuals to obtain recognized postsecondary credentials that are nationally or regionally portable and stackable for in-demand industry sectors or occupations; (3) to better align high-quality workforce development programs at community colleges with local industry needs and in-demand industry sectors or occupations; and (4) to strengthen partnerships between employers in in-demand industry sectors or occupations and community colleges for the purpose of ensuring high-quality workforce development curriculums. (b) Strengthening community colleges workforce development grants program (1) In general From the amounts appropriated to carry out this section under section 173(e) and not reserved under paragraph (2), the Secretary shall, on a competitive basis, award grants to eligible institutions, to work with eligible partnerships to carry out the activities described in subsection (e). (2) Reservation Of the amounts appropriated to carry out this section under section 173(e), the Secretary may reserve not more than 2 percent for the administration of grants awarded under this section, including— (A) providing technical assistance and targeted outreach to support eligible institutions serving a high number or high percentage of low-income individuals or individuals with barriers to employment, and rural-serving eligible institutions, to provide guidance and assistance in the process of applying for grants under this section; and (B) evaluating and reporting on the performance and impact of programs funded under this section in accordance with subsections (f) through (h). (c) Award period (1) Initial grant period Each grant awarded under this section shall be awarded for an initial period of not more than 4 years. (2) Subsequent grants An eligible institution that receives an initial grant under this section may receive one or more additional grants under this section, for additional periods of not more than 4 years each, if the eligible institution demonstrates that, during the most recently completed grant period for a grant received under this section, the institution's eligible partnership achieved the levels of performance established under subsection (f) with respect to the indicators of performance specified in subsection (f). (d) Application (1) In general To be eligible to receive a grant under this section, an eligible institution shall submit an application to the Secretary at such time and in such manner as the Secretary may require. (2) Contents An application submitted by an eligible institution under paragraph (1) shall include a description of each the following: (A) The extent to which the eligible institution has demonstrated success building partnerships with local employers in in-demand industry sectors or occupations to carry out activities to provide students with the skills needed for such occupations or occupations in such industry sectors and an explanation of the results of any such partnership activities. (B) The methods and strategies the eligible institution will use to engage with employers in in-demand industry sectors or occupations, including any arrangements the institution will make to place individuals who complete the workforce development program supported by the grant into employment with such employers. (C) The proposed eligible partnership that the eligible institution will establish and maintain to comply with subsection (e)(1) (referred to in this section as an eligible partnership ), including— (i) the roles and responsibilities (including serving as a provider), determined by the eligible institution, of each employer, organization, agency, or institution of higher education that the eligible institution will partner with to carry out the activities under this section; and (ii) the needs that will be addressed by such eligible partnership. (D) One or more industry sectors or occupations that such partnership will target and real-time labor market data demonstrating that those sectors or occupations are aligned with employer demand in the geographic area to be served by the eligible institution. (E) Information that consists of— (i) a description of the extent to which the eligible institution will leverage additional resources to support the program to be funded with the grant, and an assurance that the eligible institution will obtain a written commitment for any leveraged funds (such as matching funds) for the program; (ii) information demonstrating the future sustainability of such program; and (iii) a description of any investments or matching funds provided by employers participating in the eligible partnerships. (F) The steps the institution will take to ensure the high quality of the program to be funded with the grant, including the career pathways within such program. (G) The population and geographic area to be served by the eligible institution, including the number of individuals the eligible institution intends to serve during the grant period. (H) The workforce development program to be supported by the grant. (I) The recognized postsecondary credential that is expected to be earned by participants in such workforce development program and the related in-demand industry sector or occupation for which such program will prepare participants. (J) The evidence upon which the education and skills development strategies to be used in such workforce development program are based and an explanation of how such evidence influenced the design of the program to improve education and employment outcomes. (K) How activities of the eligible institution and its eligible partnership carried out through the program are expected to align with the workforce strategies identified in— (i) any State plan or local plan submitted under this Act by the State, outlying area, or locality in which the eligible institution is expected to operate; (ii) any State plan submitted under section 122 of the Carl D. Perkins Career and Technical Education Act of 2006 ( 20 U.S.C. 2342 ) by such State or outlying area; and (iii) any economic development plan of the chief executive of such State or outlying area. (L) The expected measures of the eligible institution, for the eligible partnership, with respect to— (i) a capacity building indicator (as described in subsection (f)(1)(B)); and (ii) the expected levels of performance of individuals participating in the program to be offered by the eligible institution, with respect to any indicators of performance applicable under subsection (f). (M) In the case of an eligible institution proposing a workforce development program that leads to a recognized postsecondary credential described in subsection (e)(2)(C)(i), the information described in subclauses (I) through (VI) of subsection (e)(2)(C)(i). (N) How the eligible institution will keep tuition and other costs of attendance (as described in subsection (e)(3)(D)) low or affordable for students who are participants. (O) How the eligible institution will work with employers and industry partners in an eligible partnership to design curricula and training programs aligned to industry needs for the workforce development programs. (3) Consideration of previous experience The Secretary may not disqualify an eligible institution from receiving a grant under this section solely because such institution lacks previous experience in building partnerships, as described in paragraph (2)(A). (4) Priority In awarding grants under this section, the Secretary shall give priority to eligible institutions that— (A) will use such a grant to serve— (i) individuals with barriers to employment; or (ii) incumbent workers who need to gain or improve foundational skills to enhance their employability; (B) use competency-based assessments, such as the covered assessment identified by the State in which the eligible institution is located, to award academic credit for prior learning for the program supported by the grant; or (C) have, or will seek to have, the provider of the career education program within the program supported by the grant included on the list of eligible providers of training services under section 122(d) for the State in which the eligible institution is located. (e) Uses of funds (1) Eligible partnership For the purpose of carrying out the activities specified in paragraphs (2) and (3), an eligible institution that receives a grant under this section shall establish a partnership (including continuing an existing partnership) that shall include one or more employers in an in-demand industry sector or occupation and may include other organizations, agencies, or institutions of higher education. The eligible institution shall maintain such eligible partnership for the duration of the grant period. The eligible institution shall ensure that the partnership, in carrying out its roles and responsibilities under subsection (d)(2)(C) for the program under the grant— (A) targets one or more specific in-demand industry sectors or occupations; (B) carries out activities that include collaboration with the workforce development system; (C) serves adult and dislocated workers, incumbent workers, and new entrants to the workforce; (D) uses an evidence-based program design that is appropriate for the activities carried out by the partnership; (E) incorporates work-based learning opportunities, as defined in section 3 of the Carl D. Perkins Career and Technical Education Act of 2006 ( 20 U.S.C. 2302 ); and (F) incorporates, to the extent appropriate, virtual service delivery to facilitate technology-enabled learning. (2) Required activities An eligible institution that receives a grant under this section shall use the grant funds, in consultation with the employers in the eligible partnership described in paragraph (1), to— (A) establish, improve, or expand a high-quality, evidence-based workforce development program, such as a career pathway program, or work-based learning program (including apprenticeship programs or pre-apprenticeships); (B) provide career services to individuals participating in the program funded with the grant to facilitate retention and program completion, which may include— (i) career navigation, coaching, mentorship, and case management services, including providing information and outreach to individuals with barriers to employment to encourage such individuals to participate in the program funded with the grant; and (ii) providing access to course materials, technological devices, required equipment, and other supports necessary for participation in and successful completion of such program; and (C) make available, in a format that is open, searchable, and easily comparable, information on— (i) curricula and recognized postsecondary credentials offered through the program funded with the grant, including any curricula or credentials created or further developed using such grant, which for each recognized postsecondary credential shall include— (I) the issuing entity of such credential; (II) any third-party endorsement of such credential; (III) the occupations for which the credential prepares individuals; (IV) the skills and competencies necessary to achieve to earn such credential; (V) the level of mastery of such skills and competencies (including how mastery necessary to achieve to earn such credential is assessed); and (VI) any transfer value or stackability of the credential; (ii) any skills or competencies developed by individuals who participate in such program beyond the skills and competencies identified as necessary to earn such credential; and (iii) related employment and earnings outcomes on the primary indicators of performance described in subclauses (I) through (III) of section 116(b)(2)(A)(i). (3) Additional activities In addition to the activities required under paragraph (2), an eligible institution that receives a grant under this section shall use the grant funds, in consultation with the employers in the eligible partnership described in paragraph (1), to carry out one or more of the following activities: (A) Establish, improve, or expand for the workforce development program carried out under the grant— (i) articulation agreements (as defined in section 486A(a) of the Higher Education Act of 1965 ( 20 U.S.C. 1093a(a) )); (ii) credit transfer agreements; (iii) a corequisite remediation program that enables a student to receive remedial education services while enrolled in a postsecondary course rather than requiring the student to receive remedial education before enrolling in a such a course; (iv) a dual or concurrent enrollment program; (v) competency-based education and assessment; or (vi) policies and processes to award academic credit for prior learning or for a program described in paragraph (2)(A). (B) Establish or implement plans for providers of the program described in paragraph (2)(A) to meet the criteria and information requirements and carry out the procedures necessary to be included on the eligible training services provider list described in section 122(d), to provide training services through the program. (C) Purchase, lease, or refurbish specialized equipment as necessary to carry out such program, except that not more than 15 percent of the funds awarded to the eligible institution under this section may be used for activities described in this subparagraph. (D) Reduce or eliminate unmet financial need relating to the cost of attendance (as defined under section 472 of the Higher Education Act of 1965 ( 20 U.S.C. 1087ll )) of participants in such program. (4) Administrative cost limit An eligible institution may use not more than 7 percent of the funds awarded to the institution under this section for administrative costs, including costs related to collecting information, analysis, and coordination for purposes of subsection (f). (f) Performance levels and performance reviews (1) In general The Secretary shall develop and implement guidance that establishes the levels of performance that are expected to be achieved by the eligible partnership established or maintained by the eligible institution under subsection (e)(1) receiving a grant under this section. Such levels of performance shall be established on the following indicators of performance: (A) Each of the primary indicators of performance for adults described in section 116(b), which shall be applied for all individuals who participate in a program that receives funding from a grant under this section. (B) An indicator for the extent to which the eligible partnership built capacity by— (i) increasing the breadth and depth of employer engagement and investment in a workforce development program in the in-demand industry sector or occupation targeted by the eligible partnership; (ii) designing or implementing new and accelerated instructional techniques or technologies, including the use of advanced online and technology-enabled learning (such as learning through immersive technology); and (iii) increasing program and policy alignment across systems and decreasing duplicative services or service gaps. (C) Indicators, with respect to individuals who participated in the workforce development program funded with the grant, for— (i) the percentage of participants who successfully completed the program; and (ii) of the participants who were incumbent workers at the time of enrollment in the program, the percentage who advanced into higher-level positions during or after completing the program. (2) Consultation and determination of performance levels (A) Consideration In developing levels of performance for the indicators of performance described in paragraph (1) in accordance with paragraph (1), the Secretary shall take into consideration the expected measures of the eligible institution pursuant to subsection (d)(2)(L). (B) Determination After completing the consideration required under subparagraph (A), the Secretary shall separately determine the levels of performance that will apply to each eligible partnership for the indicators, taking into account— (i) the expected levels of performance of the corresponding eligible institution with respect to the expected measures described by the eligible institution pursuant to subsection (d)(2)(L); and (ii) local economic conditions in the geographic area to be served by the eligible institution, including differences in unemployment rates and job losses or gains in particular industry sectors or occupations. (C) Notice and acknowledgment (i) Notice The Secretary shall provide each eligible institution with a written notification that sets forth the levels of performance that will apply to the eligible partnership on the indicators as determined under subparagraph (B). (ii) Acknowledgment After receiving the notification described in clause (i), each eligible institution shall submit to the Secretary written confirmation that the eligible institution— (I) received the notification; and (II) agrees that the eligible partnership shall be evaluated in accordance with the levels of performance determined by the Secretary. (3) Performance reviews On an annual basis during each year of the grant period, the Secretary shall evaluate the performance on the indicators of performance during such year of the eligible partnership of each eligible institution receiving a grant under this section in a manner consistent with the levels of performance determined for such partnership pursuant to paragraph (2). (4) Failure to meet performance levels After conducting an evaluation under paragraph (3), if the Secretary determines that an eligible partnership did not achieve the levels of performance applicable to the eligible partnership under paragraph (2), the Secretary shall— (A) provide technical assistance to the eligible partnership; and (B) develop a performance improvement plan for the eligible partnership. (g) Evaluations and reports (1) In general Not later than 4 years after the date on which the first grant is awarded under this section, the Secretary shall design and conduct an evaluation to determine the overall effectiveness of the eligible partnerships of eligible institutions receiving grants under this section. (2) Elements The evaluation of the effectiveness of eligible partnerships conducted under paragraph (1) shall include an assessment of the general effectiveness of programs and activities supported by the grants awarded to the corresponding eligible institutions under this section, including the extent to which the eligible partnerships, through the programs and activities— (A) developed new, or expanded existing, successful industry sector or occupation strategies, including the extent to which such eligible partnerships deepened employer engagement in workforce development programs, and developed such programs that met industry skill needs; (B) created, expanded, or enhanced career pathways, including the extent to which the eligible partnerships developed or improved provision of competency-based assessment and education, credit for prior learning, modularized and self-paced curricula, integrated education and workforce development, dual enrollment in secondary and postsecondary career pathways, stacked and latticed credentials, and online and distance learning; (C) created alignment between eligible institutions and the workforce development system; (D) assisted individuals with finding, retaining, or advancing in employment; (E) assisted individuals with earning recognized postsecondary credentials; and (F) provided equal access to various demographic groups, including people of different geographic locations, ages, races, national origins, and sexes. (3) Design requirements The evaluation under this subsection shall— (A) be designed by the Secretary (acting through the Chief Evaluation Officer) in conjunction with the eligible partnerships being evaluated; (B) include analysis of program participant feedback and include outcome and process measures; and (C) use designs that employ the most rigorous analytical and statistical methods that are reasonably feasible, such as the use of control groups. (4) Data accessibility The Secretary shall make available on a publicly accessible website of the Department of Labor data collected as part of the evaluation under this subsection. Such data shall be made available in an aggregated format that does not reveal personally identifiable information and that ensures compliance with relevant Federal laws, including section 444 of the General Education Provisions Act ( 20 U.S.C. 1232g ), which shall be applied as if the programs described in this section are applicable programs under that section. (5) Publication and reporting of evaluation findings The Secretary (acting through the Chief Evaluation Officer) shall— (A) in accordance with the timeline determined to be appropriate by the Chief Evaluation Officer, publish an interim report on the preliminary results of the evaluation conducted under this subsection; (B) not later than 60 days after the date on which the evaluation is completed under this subsection, 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 on such evaluation; and (C) not later than 90 days after such completion date, publish and make the results of such evaluation available on a publicly accessible website of the Department of Labor. (h) Annual reports The Secretary shall make available on a publicly accessible website of the Department of Labor, in transparent, linked, open, and interoperable data formats, information on each of the following: (1) The performance of eligible partnerships on the indicators of performance set forth under subparagraphs (A), (B), and (C) of subsection (f)(1). (2) The number of individuals enrolled in workforce development programs funded with a grant under this section. (i) Supplement not supplant Funds made available to carry out this section shall be used to supplement, and not supplant, other Federal, State, and local public funds made available for carrying out the activities described in this section. (j) Definitions In this section: (1) Community college The term community college means— (A) 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) )), at which— (i) the highest degree awarded is an associate degree; or (ii) an associate degree is the most frequently awarded degree; (B) a branch campus of a 4-year public institution of higher education (as defined in section 101 of the Higher Education Act of 1965 ( 20 U.S.C. 1001 )), if, at such branch campus— (i) the highest degree awarded is an associate degree; or (ii) an associate degree is the most frequently awarded degree; (C) a 2-year Tribal College or University (as defined in section 316(b)(3) of the Higher Education Act of 1965 ( 20 U.S.C. 1059c(b)(3) )); or (D) a degree-granting Tribal College or University (as defined in section 316(b)(3) of the Higher Education Act of 1965 ( 20 U.S.C. 1059c(b)(3) )) at which— (i) the highest degree awarded is an associate degree; or (ii) an associate degree is the most frequently awarded degree. (2) Eligible institution The term eligible institution means— (A) a community college; (B) a postsecondary vocational institution (as defined in section 102(c) of the Higher Education Act of 1965 ( 20 U.S.C. 1002(c) )); or (C) a consortium of such colleges or institutions. . 3. Table of contents The table of contents in section 1(b) of the Workforce Innovation and Opportunity Act is amended by striking the item relating to section 172 and inserting the following: Sec. 172. Strengthening community colleges workforce development grants program. Sec. 173. Authorization of appropriations. .