H.R. 3089

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3089 Introduced in House (IH)]

<DOC>

119th CONGRESS
1st Session
H. R. 3089

To direct the Secretary of Labor to carry out a grant program to award 
grants to States to carry out a paid family leave program, to establish 
the Interstate Paid Leave Action Network, and for other purposes.

_______________________________________________________________________

IN THE HOUSE OF REPRESENTATIVES

April 30, 2025

Mrs. Bice (for herself, Ms. Houlahan, Mrs. Miller-Meeks, Ms. Stevens, 
Ms. Letlow, Mr. Beyer, Mr. Feenstra, and Mr. Gomez) introduced the 
following bill; which was referred to the Committee on Education and 
Workforce, and in addition to the Committees on Ways and Means, Armed 
Services, Oversight and Government Reform, House Administration, and 
the Judiciary, for a period to be subsequently determined by the 
Speaker, in each case for consideration of such provisions as fall 
within the jurisdiction of the committee concerned

_______________________________________________________________________

A BILL

To direct the Secretary of Labor to carry out a grant program to award 
grants to States to carry out a paid family leave program, to establish 
the Interstate Paid Leave Action Network, and for other purposes.

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 ``More Paid Leave for More Americans 
Act''.

TITLE I--STATE PAID FAMILY LEAVE PUBLIC-PRIVATE PARTNERSHIP

SEC. 101. ESTABLISHMENT OF THE STATE PAID FAMILY LEAVE PUBLIC-PRIVATE 
PARTNERSHIP GRANT PROGRAM.

(a) In General.--The Secretary of Labor shall establish and 
administer a competitive grant program to provide grants to States that 
have enacted a law establishing a paid family leave program as 
described in subsection (d).
(b) Eligibility.--To be eligible to receive a grant under this 
section, a State shall--
(1) have enacted a State law establishing a paid family 
leave program as described in subsection (d); and
(2) participate in the Interstate Paid Leave Action Network 
established under section 202(a).
(c) Application.--
(1) In general.--To be eligible to receive a grant under 
this section, a State shall submit to the Secretary an 
application at such time, in such manner, and containing such 
information as the Secretary may require, including how the 
funds will be used, the working population of the State, the 
percentage of the State's working population that is able to 
access a paid family leave benefit, and the source of such 
benefit.
(2) Priority.--
(A) In general.--The Secretary shall prioritize 
States--
(i) that indicate in the application 
submitted under paragraph (1) that the covered 
partnership will use software that is a 
commercially available off-the-shelf item (as 
defined in part 2.101 of the Federal 
Acquisition Regulation) to administer benefits;
(ii) that have, relative to other States 
that have submitted an application in a given 
year, a lower percentage of the working 
population of the State that have access to a 
paid family leave benefit at the time of the 
submission of the application;
(iii) that demonstrate in the application 
that the State has a plan to implement a 
financing mechanism that does not have long-
term reliance on Federal funding; and
(iv) that demonstrate in the application 
how the State paid family leave program serves 
low-income populations.
(B) Consideration prohibition.--The Secretary may 
not consider whether a State provides benefits in 
excess of those required under subsection (d) when 
deciding which States shall receive a grant under this 
title.
(d) Paid Family Leave Program Requirements.--
(1) Program requirements.--A paid family leave program 
described in this subsection shall, at a minimum--
(A) provide, through the covered partnership, a 
paid family leave benefit to eligible employees because 
of--
(i) the birth of a son or daughter of an 
eligible employee and in order to care for such 
son or daughter; and
(ii) the placement of a son or daughter 
with the eligible employee for adoption;
(B) provide 6 weeks of paid family leave benefits;
(C) annually establish a weekly maximum benefit 
amount that is equal to 150 percent of the State's 
average weekly wage (based on the most recent calendar 
year for which data is available from the Quarterly 
Census of Employment and Wages program of the BLS);
(D) only permit an eligible employee to be entitled 
to a leave benefit under clauses (i) and (ii) of 
subparagraph (A) for a birth or placement of a son or 
daughter during the 12-month period beginning on the 
date of such birth or placement;
(E) require the establishment and use of a covered 
partnership; and
(F) establish premium rates or a financing method 
to fund the paid family leave program for employees, 
employers, or both to pay.
(2) Paid family leave benefit.--For the purposes of this 
title, a paid family leave benefit provided to an eligible 
employee shall, at a minimum, include weekly compensation in an 
amount (not to exceed the amount described in paragraph (1)(C)) 
equal to the product of the average weekly earnings of the 
eligible employee and--
(A) in the case of an eligible employee whose 
earnings for the 4 most recently completed calendar 
quarters that immediately precede the paid family leave 
benefit request are less than or equal to the poverty 
line (as defined in section 673 of the Community 
Services Block Grant Act (42 U.S.C. 9902)) applicable 
to a 4-person household, 67 percent;
(B) in the case of an eligible employee whose 
earnings for such calendar quarters are more than such 
poverty line, but less than the amount that is double 
such poverty line, a percentage equal to--
(i) 67 percent, minus
(ii) the product of--
(I) 17 percent; and
(II) the percentage by which the 
employee's earnings exceed such poverty 
line; or
(C) in the case of any other eligible employee, 50 
percent.
(3) Recalculation of benefit amount.--The weekly 
compensation calculated under paragraph (2) for an eligible 
employee shall be recalculated each time such employee applies 
for a paid family leave benefit.
(4) Employees with multiple employers.--In the case that an 
employee is employed by multiple employers, such an employee is 
entitled to receive a benefit from each employer, but the 
employee may not receive a total combined weekly benefit in 
excess of the maximum benefit amount established by a State 
pursuant to paragraph (1)(C).
(5) Employer self-administration flexibility.--In the case 
that a State's paid family leave program includes a requirement 
for employer participation, States shall be deemed to be in 
compliance with this section only if they allow employers to 
self-administer paid family leave benefits to eligible 
employees, provided such benefits meet or exceed the paid 
family leave program established by the State that meets the 
requirements of this subsection.
(6) Rule of construction.--Nothing in this subsection shall 
be construed to limit the ability of a State to provide 
additional paid family leave benefits (including benefits for 
reasons described in section 102(a)(1) of the Family and 
Medical Leave Act of 1993 (29 U.S.C. 2612(a)(1))) in excess of 
the benefits required to be provided under this subsection.
(e) Use of Funds.--Grants awarded under this section may be used by 
States for the following purposes:
(1) Start up costs for the implementation of the paid 
family leave program.
(2) To pay out benefits to eligible employees, but only for 
the reasons described in subsection (d)(1)(A).
(3) To fund the covered partnership.
(4) Paid family leave program design.
(5) Purchasing and maintaining any necessary software.
(6) Establishing a covered partnership.
(7) Obtaining technical assistance for the State or the 
covered partnership to carry out a paid family leave program.
(8) Outreach to employers, payroll providers, relevant 
professional or trade associations, and the general public to 
increase awareness of the State's paid family leave program and 
to convey relevant information such as program eligibility, 
funding requirements, benefit information, the application 
process, and any other information the State deems relevant.
(9) Other activities to disseminate information about, and 
otherwise support, the accessibility of the State's paid family 
leave program, including the operation and maintenance of a 
program website, running a call center, and sending marketing 
materials on the State's covered partnership to the groups 
described in paragraph (8).
(10) Research to inform the establishment and operation of 
the State's paid family leave program, including program 
evaluations, and the dissemination of such research to the 
public.
(11) To evaluate existing programs and models.
(12) To reduce administrative burdens on employers in the 
State.
(f) Grant Amounts.--
(1) In general.--In determining the amount of a grant to be 
provided to a State, the Secretary shall consider--
(A) the size of the working population of the State 
relative to the size of the working population of the 
other States that are receiving a grant;
(B) the birth rate of the State relative to the 
other such States;
(C) the share of low-income individuals in the 
State; and
(D) the demonstrated need of a State in the grant 
application.
(2) Limits.--A grant provided under this section may not be 
less than $1,500,000 and not more than $7,000,000.

SEC. 102. OVERSIGHT.

(a) Report.--Not later than 1 year after a State receives a grant 
under this section, and on an annual basis thereafter, the State shall 
submit to the Secretary, and make publicly available, a report on--
(1) how the State has used the grant funds; and
(2) the number of individuals in the State that have used 
paid family leave benefits as a result of the grant program 
described in section 101.
(b) Annual Report.--The Secretary shall, on an annual basis 
beginning on the date that is 1 year after the date the Secretary 
receives the first report under subsection (a), submit a report to the 
appropriate committees on the progress of States establishing paid 
family leave programs, the modification of existing paid family leave 
programs, and any changes in the levels of access workers have to paid 
family leave benefits in each State that receives a grant under section 
101.
(c) Audit Required.--Not later than 1 year after a State receives a 
grant under section 101, and on an annual basis thereafter, the 
Inspector General of the Department of Labor shall conduct audits on 
States that received such a grant to determine whether such States--
(1) are using the grant funds in compliance with the 
requirements described in section 101(e); and
(2) engaging in any waste, fraud, or abuse.
(d) Appropriate Committees Defined.--In this section, the term 
``appropriate committees'' means--
(1) the Committee on Education and Workforce, the Ways and 
Means Committee, and the Committee on Appropriations of the 
House of Representatives; and
(2) the Committee on Health, Education, Labor, and 
Pensions, the Committee on Finance, and the Committee on 
Appropriations of the Senate.

SEC. 103. DEFINITIONS.

In this title:
(1) Average weekly earnings.--The term ``weekly earnings'', 
with respect to an individual, means the quotient obtained by 
dividing--
(A) the earnings of the individual, by
(B) 52.
(2) Covered partnership.--The term ``covered 
partnership''--
(A) means a partnership between a State and at 
least one private entity (such as an insurance company 
or other private entity handling specific functions of 
the paid leave program, such as the benefit application 
process), that provides a paid family leave benefit to 
eligible employees pursuant to the paid family leave 
program established by the State that meets the 
requirements of section 101(d); and
(B) includes a State that allows employers to self-
administer paid family leave benefits, as described in 
section 101(d)(5).
(3) Earnings.--The term ``earnings'', with respect to an 
individual, means all compensation for employment that is 
considered under the applicable State unemployment compensation 
law for the purpose of calculating the amount of unemployment 
compensation for the individual.
(4) Eligible employee.--
(A) In general.--The term ``eligible employee'' 
means an employee who has been employed--
(i) for at least 12 months by the employer 
with respect to whom leave is requested for the 
birth or placement of a son or daughter; and
(ii) for at least 1,250 hours of service 
with such employer during the previous 12-month 
period.
(B) Determination.--For purposes of determining 
whether an employee meets the hours of service 
requirement specified in subparagraph (A)(ii), the 
legal standards established under section 7 of the Fair 
Labor Standards Act of 1938 (29 U.S.C. 207) shall 
apply.
(5) Employer.--The term ``employer'' has the meaning given 
the term in section 101(4)(A)(i) and (ii) of the Family and 
Medical Leave Act of 1993 (29 U.S.C. 2611(4)(A)(i)-(ii)).
(6) FLSA terms.--The terms ``employ'' and ``employee'' have 
the meanings given the terms in section 3 of the Fair Labor 
Standards Act of 1938 (29 U.S.C. 203).
(7) State.--The term ``State'' includes any State of the 
United States, the District of Columbia, Puerto Rico, the 
Virgin Islands, American Samoa, Guam, and the Commonwealth of 
the Northern Mariana Islands.
(8) Son or daughter.--The term ``son or daughter'' has the 
meaning given the term in section 101 of the Family and Medical 
Leave Act of 1993 (29 U.S.C. 2611).

SEC. 104. RESCISSION AND APPROPRIATION OF FUNDS.

(a) Tariff Act Enforcement Actions.--Section 11334 of the James M. 
Inhofe National Defense Authorization Act for Fiscal Year 2023 (16 
U.S.C. 1885a) is amended by striking ``$20,000,000'' and inserting 
``$10,000,000''.
(b) Department of Defense Golf Courses; Limitation on Use of 
Appropriated Funds.--Section 2491a of title 10, United States Code, is 
amended--
(1) by striking ``(a) Limitation.--Except as provided in 
subsection (b), funds'' and inserting ``Funds''; and
(2) by striking subsection (b).
(c) Contract Modification.--
(1) Release.--The head of each executive agency that, as of 
the day before the date of enactment of this Act, has entered 
into a contract or purchase order under Procurement Instrument 
Identifier GS03F047CA shall take such steps as may be necessary 
to terminate any such order or contract and release the 
unexpended balances of any funds obligated to carry out any 
such order or contract.
(2) Rescission.--Any balance released from obligation 
pursuant to the termination of a contract or order pursuant to 
paragraph (1) shall be permanently rescinded as of the date of 
the termination of the applicable contract or order.
(3) Executive agency defined.--In this subsection, the term 
``executive agency'' has the meaning given the term in section 
133 of title 41, United States Code.
(d) Authorization of Appropriations.--There are authorized to be 
appropriated to carry out this title the following amounts:
(1) $39,787,500 for fiscal year 2026.
(2) $79,575,000 for fiscal year 2027.
(3) $145,887,500 for fiscal year 2028.

TITLE II--I-PLAN

SEC. 201. DEFINITIONS.

In this title:
(1) BLS.--The term ``BLS'' means the Bureau of Labor 
Statistics.
(2) Employer-provided paid family and medical leave plan.--
The terms ``employer-provided paid family and medical leave 
plan'' and ``employer plan'' mean a plan that--
(A) is provided by an employer to the employees of 
such employer (whether directly, under a contract with 
an insurer, or provided through a multiemployer plan);
(B) is an option for an employer within the 
structure of a State paid family and medical leave 
program in such State; and
(C) meets or exceeds the requirements of the State 
paid family and medical leave program of the State in 
which such employee is employed.
(3) I-PLAN.--The term ``I-PLAN'' means the Interstate Paid 
Leave Action Network established in section 202(a).
(4) I-PLAN agreement.--The term ``I-PLAN Agreement'' means 
the interstate agreement produced pursuant to section 202(b).
(5) National intermediary.--The term ``national 
intermediary'' means a national nongovernmental workforce 
organization that has extensive experience partnering with the 
Department of Labor to operate interstate technological systems 
and the electronic transmission of information and data for 
State workforce agencies and employers.
(6) Paid leave.--The term ``paid leave'' means an increment 
of compensated leave that is provided, in the case of a State 
program, by such State or, in the case of an employer plan, by 
such employer for use during a period in which such individual 
is not working due to a qualifying reason.
(7) Qualifying reason.--The term ``qualifying reason'' 
means, in relation to an individual, a reason described in 
subparagraphs (A) through (D) of section 102(a)(1) of the 
Family and Medical Leave Act of 1993 (29 U.S.C. 2612(a)(1)) 
(applied for purposes of this paragraph as if the individual 
involved were the employee referred to in such section).
(8) Secretary.--The term ``Secretary'' means the Secretary 
of Labor.
(9) State focal.--The term ``State focal'' means, with 
respect to a State, an individual--
(A) designated by the State agency in charge of 
such State's paid family and medical leave program to--
(i) participate in the I-PLAN;
(ii) lead such State's efforts to adopt and 
implement the I-PLAN Agreement; and
(iii) communicate with key paid leave 
stakeholders across the State; and
(B) who--
(i) is employed by such State's paid family 
and medical leave program; and
(ii) has knowledge, experience, and 
authority in paid leave matters.
(10) State paid family and medical leave program.--The 
terms ``State paid family and medical leave program'' and 
``State program'' mean a program under State law that provides, 
during any 24-month period, a total of not less than 6 weeks of 
paid leave to individuals--
(A) for each qualifying reason; and
(B) in aggregate.

SEC. 202. INTERSTATE PAID LEAVE ACTION NETWORK.

(a) In General.--
(1) Establishment.--There is established an Interstate Paid 
Leave Action Network the purpose of which is to provide support 
and incentives for the development and adoption of an 
interstate agreement in accordance with this title to benefit 
employees, States, and employers by--
(A) facilitating streamlined benefit delivery;
(B) reducing administrative burden; and
(C) coordinating and harmonizing State programs.
(2) Membership.--The I-PLAN shall include a State focal 
from each State receiving a conforming grant under section 
204(a).
(3) Meetings.--The I-PLAN shall meet not less than 3 times 
in each calendar year.
(4) Processes.--
(A) Certification.--States shall certify to the 
Secretary their participation in the I-PLAN.
(B) Procedures.--State focals may determine, in 
coordination with the Secretary, the process for the 
following:
(i) the order in which States approach the 
substance of each I-PLAN requirement;
(ii) the process by which States reach 
consensus on such substance and agree to the I-
PLAN Agreement;
(iii) the process by which a State may 
leave the I-PLAN; and
(iv) other processes relevant to the 
success and administration of the I-PLAN as the 
Secretary determines.
(5) Roadmap.--The I-PLAN shall develop, and annually 
update, a roadmap for developing and implementing the 
interstate agreement described in subsection (b) including 
metrics for success.
(b) Duties.--The duty of the I-PLAN shall be to produce an 
interstate agreement into which States offering a State paid family and 
medical leave program may enter and to periodically update such 
agreement as necessary to improve clarity and scope. Such agreement 
shall be publicly available and pursue each of the following 
requirements:
(1) Policy standard.--Create a single policy standard with 
respect to all participating States to facilitate easier 
compliance with and understanding of paid leave programs across 
States, including definitions for the following:
(A) Benefit day, week, and year.
(B) Base period.
(C) Intermittent and reduced schedule leave.
(D) Place of performance.
(E) Family members.
(F) Employee eligibility.
(G) Employee coverage.
(H) Waiting period.
(I) Covered wage.
(2) Administrative standard.--Create a single 
administrative standard with respect to all participating 
States to facilitate easier compliance with and understanding 
of paid leave programs across States, including--
(A) the process by which employers respond to 
requests from States to verify and provide employee 
information for eligibility determinations, including 
wages and work history;
(B) the process by which employers provide periodic 
and permanent notice of the availability of paid leave 
under a State program or employer plan to employees;
(C) employees' responsibility to provide notices of 
leave to their employers;
(D) timing of and process for collecting payroll 
contributions;
(E) coordinating with other types of paid time off 
and leaves of absence;
(F) continuing other benefits;
(G) accessing employee leave information;
(H) protecting personal information;
(I) creating and updating written leave materials 
such as handbooks;
(J) maintaining records and documentation; and
(K) if a State program permits employers to elect 
to provide employer plans, facilitating such election, 
including by creating a single equivalency standard 
with respect to all participating States to determine 
whether the maximum monetary value of an employer plan 
for the average weekly wage of workers in the State for 
total covered establishments in all industries (based 
on the most recent calendar year for which data are 
available from the Quarterly Census of Employment and 
Wages program of the BLS) is greater than or equal to 
the maximum monetary value of a State program (or that 
of multiple States), taking into account programmatic 
elements such as--
(i) how benefit duration, wage replacement, 
absence of a weekly benefit cap, absence of a 
waiting week, and other factors interact in a 
quantitative manner; and
(ii) how an individual taking paid family 
and medical leave for a qualifying reason 
affects the ability of such individual to take 
paid family and medical leave for another 
qualifying reason.
(3) Coordination of benefits across state programs.--Create 
a single process for State programs to process claims for an 
individual who has work history across multiple participating 
States so that a single State program may provide benefits to 
such individual on the basis of all such work history.

SEC. 203. NATIONAL INTERMEDIARY TO SUPPORT THE INTERSTATE PAID LEAVE 
ACTION NETWORK.

(a) Authority To Make Grants.--Subject to the availability of 
appropriations under section 205(a), the Secretary, acting through the 
Employment and Training Administration, shall award a grant to one 
national intermediary to facilitate the activities of the I-PLAN.
(b) Use of Funds.--A national intermediary awarded a grant under 
subsection (a) shall use funds for the costs related to each of the 
following:
(1) Meetings.--Meeting activities, including--
(A) convening the State focals as described in 
section 202(a)(3), including reasonable travel, 
transportation, and other expenses of State focals and 
staff of the national intermediary (and any necessary 
accompanying State personnel);
(B) making publicly available information on the 
agendas and outcomes of such meetings; and
(C)(i) not later than 12 months after the date of 
enactment of this title, making publicly available the 
roadmap described under section 202(a)(5); and
(ii) making any updates to such roadmap publicly 
available.
(2) Annual report.--Producing and making publicly available 
on an annual basis a report that compares State programs, 
including information on--
(A) benefit eligibility;
(B) the maximum number of weeks an eligible 
employee is allowed to receive benefits--
(i) for each qualifying reason; and
(ii) in aggregate;
(C) wage replacement rate and how that may vary 
based on prior earnings;
(D) maximum weekly benefit amount;
(E) how such programs are financed by employees and 
employers, including the payroll tax rate and amount of 
wages subject to tax;
(F) whether and how such programs allow employers 
to provide employer plans, taking into consideration 
elements such as--
(i) benefit payment timeliness; and
(ii) employer and employee administrative 
complexity;
(G) whether and how such programs coordinate with 
other types of paid-time off and leaves of absence;
(H) the reasons, including qualifying reasons, 
under which an individual is eligible to take paid 
family and medical leave; and
(I) other activities essential for the success, 
effectiveness, and sustainability of the I-PLAN.
(3) Outreach and coordination.--Engagement, consulting, and 
gathering relevant information in coordination with I-PLAN 
States from a wide range of external stakeholders, including--
(A) State legislatures;
(B) Governors;
(C) employees;
(D) representatives of employers, including--
(i) employers with employees in multiple 
States; and
(ii) employers with fewer than 50 
employees;
(E) self-employed individuals;
(F) policy experts and other organizations with 
expertise on paid leave and unemployment compensation 
programs; and
(G) Tribal governments.
(4) Standardized and interoperable technology system for 
wages.--Providing a standardized technology-based system to 
facilitate States' ability to carry out the I-PLAN Agreement, 
allowing States to process interstate claims and strengthen 
program integrity, that--
(A) adopts or leverages modular technology that--
(i) ensures privacy, security, and prompt 
data availability;
(ii) enhances and streamlines the claimant, 
employer, and participating State experience; 
and
(iii) is interoperable with other relevant 
State systems; and
(B) permits States to report on, to the extent 
reasonable and technologically feasible, and 
disaggregated by qualifying reason, on trends such as--
(i) the number of initial and continued 
benefit claims;
(ii) average duration of benefits;
(iii) average weekly benefit amount;
(iv) average time between filing a claim 
and receiving an initial benefit payment; and
(v) the accuracy of benefit payment 
amounts.
(5) Additional uses.--Additional activities, including--
(A) hiring and compensating staff;
(B) formulating guidance, recommendations, and best 
practices for States;
(C) providing training on program administration;
(D) providing technical assistance to States; and
(E) creating or leveraging technology essential for 
the success and effectiveness of the I-PLAN.
(c) Duration of Award.--
(1) In general.--Subject to paragraph (2), the period 
during which payments are made to an entity from an award of a 
grant under subsection (a) shall be 5 years.
(2) Compliance.--The Secretary shall annually evaluate 
whether the national intermediary is complying with the 
requirements of this title and, if the Secretary determines 
that the national intermediary is not so complying, shall 
withhold any payment or part of the payment to the national 
intermediary under this section for the following fiscal year 
unless and until the Secretary determines the national 
intermediary has remedied such compliance issue.
(d) National Intermediary Oversight.--The Secretary shall--
(1) monitor the national intermediary to ensure compliance 
with the requirements of this title;
(2) provide technical assistance to assist the national 
intermediary with such compliance; and
(3) require regular reports on the performance of the 
national intermediary, including on the roadmap under section 
202(a)(5), the use of funds under section 203(b), and other 
methods of evaluation.

SEC. 204. GRANTS TO ELIGIBLE STATES.

(a) Conforming Grants.--
(1) In general.--
(A) Authority to make grants.--Subject to the 
availability of appropriations under section 205(b), 
the Secretary, acting through the Employment and 
Training Administration, shall, on an annual basis, 
make a conforming grant to each eligible State.
(B) Amount of grant.--
(i) In general.--A grant to an eligible 
State under this subsection shall be--
(I) not less than $1,500,000 and 
not more than $8,000,000; and
(II) subject to subclause (I), 
awarded on the basis of the relative 
annual level of employment (as 
published by the Current Employment 
Statistics program of the BLS) of the 
eligible State, compared to the annual 
level of employment in all eligible 
States.
(ii) Adjustment.--The amounts specified in 
clause (i) shall be ratably increased or 
decreased to the extent that funds available 
under section 205(b) exceed or are less than 
(respectively) the amount required to provide 
the amounts specified in clause (i).
(2) Eligible states.--
(A) In general.--To be eligible to receive a grant 
under paragraph (1), a State shall--
(i) have a State focal; and
(ii) participate in the I-PLAN in good 
faith.
(B) Good faith requirement.--
(i) Withholding.--If the Secretary, in 
consultation with the national intermediary 
awarded the grant under section 203(a), 
determines that a State is not participating in 
the I-PLAN in good faith, the Secretary--
(I) shall provide warning and 
feedback to States in a prompt manner; 
and
(II) if, six months after the date 
on which the Secretary provides such 
warning and feedback, the Secretary 
determines such State continues not to 
participate in the I-PLAN in good 
faith, the Secretary may elect to 
withhold a portion or the total amount 
of a grant under paragraph (1) to such 
State.
(ii) Restoration.--If the Secretary elects 
to withhold an amount from a State under clause 
(i)(II), the Secretary may later elect to 
provide the amount so withheld to such State if 
the Secretary later determines that such State 
is participating in good faith.
(b) Implementation Grants.--
(1) In general.--
(A) Authority to make grants.--Subject to the 
availability of appropriations under section 205(c), 
the Secretary, acting through the Employment and 
Training Administration, shall, on an annual basis, 
make an implementation grant to each eligible State.
(B) Amount of grant.--
(i) In general.--A grant to an eligible 
State under this subsection shall be--
(I) not less than $1,500,000 and 
not more than $8,000,000; and
(II) subject to subclause (I), 
awarded on the basis of the relative 
annual level of employment (as 
published by Current Employment 
Statistics program of the BLS) of the 
eligible State, compared to the annual 
level of employment in all eligible 
States.
(ii) Adjustment.--The amounts specified in 
clause (i) shall be ratably increased or 
decreased to the extent that funds available 
under section 205(c) exceed or are less than 
(respectively) the amount required to provide 
the amounts specified in clause (i).
(2) Eligibility.--
(A) In general.--Subject to subparagraph (B), to be 
eligible to receive a grant under paragraph (1), a 
State shall--
(i) meet the requirements of subsection 
(a)(2)(A); and
(ii) have entered into the I-PLAN 
Agreement.
(B) Limitation.--A State described in subparagraph 
(A) shall be ineligible to receive a grant for any 
fiscal year beginning after the date that is 4 years 
after the date on which such State enters into the I-
PLAN Agreement in which such State does not meet the 
requirements of such Agreement.
(c) Use of Funds.--A State may use grants received under this 
section--
(1) to help pay administrative costs, including costs 
related to--
(A) customer service;
(B) staffing and training;
(C) technology;
(D) data sharing;
(E) identity validation; and
(F) program awareness; and
(2) to help small businesses, as defined by the State, 
afford employer payroll contributions or access other forms of 
technical and operational assistance related to State paid 
family and medical leave.

SEC. 205. AUTHORIZATION OF APPROPRIATIONS.

(a) National Intermediary Grant.--There are authorized to be 
appropriated not more than $8,824,106.36 for the purposes of section 
203 for each of fiscal years 2026 through 2028.
(b) Conforming Grants.--There are authorized to be appropriated not 
more than $35,296,425.43 for the purposes of section 204(a) for each of 
fiscal years 2026 through 2028.
(c) Implementation Grants.--There are authorized to be appropriated 
not more than $35,296,425.43 for the purposes of section 204(b) for 
each of fiscal years 2026 through 2028.
<all>