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Bills/119th Congress · House

H.R. 8210

Introduced

A Stronger Workforce for America Act of 2026

Sponsor
RTim Walberg· Michigan
Introduced
April 6, 2026
Policy area
Labor and Employment
Latest action
Ordered to be Reported (Amended) by the Yeas and Nays: 19 - 14.April 21, 2026
[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 8210 Introduced in House (IH)]

<DOC>

119th CONGRESS
2d Session
H. R. 8210

To reauthorize the Workforce Innovation and Opportunity Act.

_______________________________________________________________________

IN THE HOUSE OF REPRESENTATIVES

April 6, 2026

Mr. Walberg introduced the following bill; which was referred to the 
Committee on Education and Workforce, and in addition to the Committee 
on Ways and Means, 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 reauthorize the Workforce Innovation and Opportunity Act.

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

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

(a) Short Title.--This Act may be cited as the ``A Stronger 
Workforce for America Act of 2026''.
(b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; table of contents.
TITLE I--WORKFORCE DEVELOPMENT ACTIVITIES

Subtitle A--General Provisions

Sec. 101. Purposes.
Sec. 102. Definitions.
Sec. 103. Table of contents amendments.
Subtitle B--System Alignment

Chapter 1--State Provisions

Sec. 111. State workforce development board.
Sec. 112. Unified State plan.
Chapter 2--Local Provisions

Sec. 115. Workforce development areas.
Sec. 116. Local workforce development boards.
Sec. 117. Local plan.
Chapter 3--Performance Accountability

Sec. 119. Performance accountability system.
Subtitle C--Workforce Investment Activities and Providers

Chapter 1--Workforce Investment Activities and Providers

Sec. 121. Establishment of one-stop delivery systems.
Sec. 122. Identification of eligible providers of training services.
Sec. 123. Eligible providers of youth workforce investment activities.
Chapter 2--Youth Workforce Investment Activities

Sec. 131. Reservations; Reallocation.
Sec. 132. Use of funds for youth workforce investment activities.
Chapter 3--Adult and Dislocated Worker Employment and Training 
Activities

Sec. 141. State allotments.
Sec. 142. Reservations for State activities; within State allocations; 
Reallocation.
Sec. 143. Use of funds for employment and training activities.
Chapter 4--General Workforce Investment Provisions

Sec. 145. Authorization of appropriations.
Subtitle D--Job Corps

Sec. 151. Purposes.
Sec. 152. Definitions.
Sec. 153. Individuals eligible for the Job Corps.
Sec. 154. Recruitment, screening, selection, and assignment of 
enrollees.
Sec. 155. Job Corps Campuses.
Sec. 156. Program activities.
Sec. 157. Counseling and job placement.
Sec. 158. Support.
Sec. 159. Operations.
Sec. 160. Standards of conduct.
Sec. 161. Community participation.
Sec. 162. Workforce councils.
Sec. 163. Advisory committees.
Sec. 164. Experimental projects and technical assistance.
Sec. 165. Special provisions.
Sec. 166. Management information.
Sec. 167. Job Corps oversight and reporting.
Sec. 168. Authorization of appropriations.
Sec. 169. Conforming amendments.
Subtitle E--National Programs

Sec. 171. Native American programs.
Sec. 172. Migrant and seasonal farmworker programs.
Sec. 173. Technical assistance.
Sec. 174. Evaluations and research.
Sec. 175. National dislocated worker grants.
Sec. 176. YouthBuild Program.
Sec. 177. Reentry employment opportunities.
Sec. 178. Youth apprenticeship readiness grant program.
Sec. 179. Strengthening community colleges grant program.
Sec. 180. Authorization of appropriations.
Subtitle F--Administration

Sec. 191. Requirements and restrictions.
Sec. 192. Monitoring.
Sec. 193. Fiscal controls; sanctions.
Sec. 194. Administrative adjudication.
Sec. 195. Judicial review.
Sec. 196. General waivers of statutory or regulatory requirements.
Sec. 197. Make America Skilled Again grants.
Sec. 198. General program requirements.
TITLE II--ADULT EDUCATION AND LITERACY

Subtitle A--Transferring All Functions of the Adult Education and 
Family Literacy Act to the Department of Labor

Sec. 201. Transfer of functions.
Sec. 202. Personnel Determinations by the Office of Management and 
Budget.
Sec. 203. Delegation and assignment.
Sec. 204. Reorganization; Rules.
Sec. 205. Transfer and allocation of appropriations and personnel.
Sec. 206. Incidental transfers.
Sec. 207. Savings provisions.
Sec. 208. References.
Sec. 209. Transition.
Sec. 210. Updating references.
Sec. 211. Effective date.
Subtitle B--Adult Education and Family Literacy Act

Sec. 221. Purposes.
Sec. 222. Definitions.
Sec. 223. Authorization of appropriations.
Sec. 224. Special rule.
Sec. 225. Performance accountability system.
Sec. 226. Matching requirement.
Sec. 227. State leadership activities.
Sec. 228. Programs for corrections education and other 
institutionalized individuals.
Sec. 229. Grants and contracts for eligible providers.
Sec. 230. Local application.
Sec. 231. Local administrative cost limits.
Sec. 232. National leadership activities.
Sec. 233. Integrated English literacy and civics education.
TITLE III--AMENDMENTS TO OTHER LAWS

Sec. 301. Amendments to the Wagner-Peyser Act.
Sec. 302. Job training grants.
Sec. 303. Access to National Directory of New Hires.
Sec. 304. References to other laws.
TITLE IV--DEPARTMENT OF LABOR TECHNICAL ASSISTANCE

Sec. 401. Technical assistance for transforming to competitive 
integrated employment.
TITLE V--GENERAL PROVISIONS

Sec. 501. Report on data capability and interoperability of Federal and 
State databases and data exchange 
agreements.
Sec. 502. Effective dates; transition authority.

TITLE I--WORKFORCE DEVELOPMENT ACTIVITIES

Subtitle A--General Provisions

SEC. 101. PURPOSES.

Section 2 of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3101) is amended--
(1) in paragraph (1), by striking ``support services'' and 
inserting ``supportive services'';
(2) in paragraph (2), by inserting ``, for youth and 
adults,'' after ``economic development systems'';
(3) in paragraph (6), by striking ``of the workforce, 
reduce welfare dependency,'' and inserting ``of the workforce, 
provide economic mobility, reduce dependency on public 
assistance programs,''; and
(4) by adding at the end the following:
``(7) To prepare a globally competitive workforce by 
developing robust education and skills development programs for 
youth to access career pathways that will lead such youth into 
in-demand industry sectors and occupations.''.

SEC. 102. DEFINITIONS.

(a) Foundational Skill Needs.--Section 3(5) of the Workforce 
Innovation and Opportunity Act (29 U.S.C. 3102(5)) is amended to read 
as follows:
``(5) Foundational skill needs.--The term `foundational 
skill needs' means, with respect to an individual who is a 
youth or adult, that the individual--
``(A) has English reading, writing, or computing 
skills at or below the 8th grade level on a generally 
accepted standardized test; or
``(B) is unable to compute or solve problems, is 
unable to read, write, or speak English, or does not 
possess digital literacy skills, at a level necessary 
to function in the individual's education or 
occupation, in the individual's family, or in 
society.''.
(b) Career Pathway.--Section 3(7)(F) of the Workforce Innovation 
and Opportunity Act (29 U.S.C. 3102(7)(F)) is amended by striking 
``secondary school diploma'' and inserting ``regular high school 
diploma''.
(c) Employer-Directed Skills Development.--Section 3(14) of the 
Workforce Innovation and Opportunity Act (29 U.S.C. 3102(14)) is 
amended to read as follows:
``(14) Employer-directed skills development.--The term 
`employer-directed skills development' means skills development 
provided through a program--
``(A) that is selected or designed to meet the 
specific skill demands of an employer (including a 
group of employers, such as an industry or trade 
association or an industry or sector partnership);
``(B) that is conducted pursuant to the terms and 
conditions established under an employer-directed 
skills agreement described in section 134(c)(3)(I), 
including a commitment by the employer to employ an 
individual upon successful completion of the program; 
and
``(C) for which the employer pays a portion of the 
cost of the program, as determined by the local board 
involved, which shall not be less than--
``(i) 10 percent of the cost, in the case 
of an employer with 50 or fewer employees;
``(ii) 25 percent of the cost, in the case 
of an employer with more than 50 but not more 
than 100 employees; and
``(iii) 50 percent of the cost, in the case 
of an employer with more than 100 employees.''.
(d) Dislocated Worker.--Section 3(15)(B) of the Workforce 
Innovation and Opportunity Act (29 U.S.C. 3102(15)(B)) is amended--
(1) in clause (i), by inserting ``, including such a 
closure or layoff due to advances in automation technology'' 
before the semicolon; and
(2) in clause (iii), by striking ``section 
134(c)(2)(A)(xii)'' and inserting ``section 
134(c)(2)(B)(vii)''.
(e) Displaced Homemaker.--Section 3(16) of the Workforce Innovation 
and Opportunity Act (29 U.S.C. 3102(16)) is amended, in the matter 
preceding subparagraph (A), by striking ``family members'' and 
inserting ``a family member''.
(f) English Learner.--Section 3 of the Workforce Innovation and 
Opportunity Act (29 U.S.C. 3102) is further amended--
(1) in paragraph (21)--
(A) in the heading, by striking ``language''; and
(B) by striking ``language''; and
(2) in paragraph (24)(I), by striking ``language''.
(g) Individual With a Barrier to Employment.--Section 3(24) of the 
Workforce Innovation and Opportunity Act (29 U.S.C. 3102(24)) is 
amended--
(1) in subparagraph (G), by striking ``(42 U.S.C. 14043e-
2(6)))'' and inserting ``(34 U.S.C. 12473(6)))'';
(2) by redesignating subparagraphs (I) through (N) as 
subparagraphs (J) through (O), respectively;
(3) by inserting after subparagraph (H) the following:
``(I) Out of school youth.''; and
(4) in subparagraph (K), as so redesignated, by striking 
``section 167(i)'' and inserting ``167(j)''.
(h) Industry or Sector Partnership.--Section 3(26) of the Workforce 
Innovation and Opportunity Act (29 U.S.C. 3102(26)) is amended--
(1) in subparagraph (A)(ii), by striking ``or another labor 
representative, as appropriate;'' and inserting ``and, to the 
extent practicable, another labor representative;''; and
(2) in subparagraph (B)--
(A) by redesignating clauses (vi) through (xi) as 
clauses (viii) through (xiii), respectively; and
(B) by striking clause (v) and inserting the 
following:
``(v) State educational agencies or local 
educational agencies;
``(vi) State higher education agencies, as 
defined in section 103 of the Higher Education 
Act of 1965 (20 U.S.C. 1003), or State systems 
of higher education;
``(vii) other State or local agencies;''.
(i) Local Area.--Section 3(32) of the Workforce Innovation and 
Opportunity Act (29 U.S.C. 3102(32)) is amended by striking ``sections 
106(c)(3)(A)'' and inserting ``sections 106(c)(4)(A)''.
(j) Educational Agencies.--Section 3(34) of the Workforce 
Innovation and Opportunity Act (29 U.S.C. 3102(34)) is amended to read 
as follows:
``(1) Local educational agency; state educational agency.--
The terms `local educational agency' and `State educational 
agency' have the meanings given the terms in section 8101 of 
the Elementary and Secondary Education Act of 1965.''.
(k) Local Plan.--Section 3(35) of the Workforce Innovation and 
Opportunity Act (29 U.S.C. 3102(32)) is amended by striking ``section 
106(c)(3)(B)'' and inserting ``section 106(c)(4)(B)''.
(l) Low-income Individual.--Section 3(36)(A)(iii) of the Workforce 
Innovation and Opportunity Act (29 U.S.C. 3102(36)(A)(iii)) is amended 
by striking ``(42 U.S.C. 14043e-2(6)))'' and inserting ``(34 U.S.C. 
12473(6)))''.
(m) Pay-for-Performance Contract Strategy.--Section 3(47) of the 
Workforce Innovation and Opportunity Act (29 U.S.C. 3102(47)) is 
amended to read as follows:
``(47) Pay-for-performance contract strategy.--The term 
`pay-for-performance contract strategy' means a performance-
based contract strategy that uses pay-for-performance contracts 
in the provision of services described in paragraph (2) or (3) 
of section 134(c) or activities described in section 129(c)(2), 
and includes--
``(A) contracts, each of which--
``(i) shall specify a fixed amount that 
will be paid to an eligible service provider 
(which may include a local or national 
community-based organization or intermediary, 
community college, or other provider) based on 
the achievement of specified levels of 
performance on the primary indicators of 
performance described in section 116(b)(2)(A) 
for target populations as identified by the 
local board and which shall identify a specific 
target for the number or percentage of 
individuals to be served that will be 
individuals with barriers to employment, within 
a defined timetable; and
``(ii) may provide for bonus payments to 
such service provider to expand capacity to 
provide effective training and other services, 
including bonus payments for exceeding the 
identified target for serving individuals with 
barriers to employment;
``(B) a strategy for validating the achievement of 
the performance described in subparagraph (A); and
``(C) a description of how the State or local area 
will reallocate funds not paid to a provider because 
the achievement of the performance described in 
subparagraph (A) did not occur, for further activities 
related to such a contract strategy, subject to section 
189(g)(2)(D).''.
(n) Rapid Response Activity.--Section 3(51) of the Workforce 
Innovation and Opportunity Act (29 U.S.C. 3102(51)) is amended--
(1) in the matter preceding subparagraph (A), by inserting 
``, through a rapid response unit'' after ``designated by a 
State'';
(2) in subparagraph (B), by inserting before the semicolon 
at the end the following: ``, including access through 
individual training accounts for eligible dislocated workers 
under section 414(c) of the American Competitiveness and 
Workforce Improvement Act of 1998 (29 U.S.C. 3224a)'';
(3) in subparagraph (D), by striking ``and'' at the end;
(4) by redesignating subparagraph (E) as subparagraph (F);
(5) by inserting after subparagraph (D) the following new 
subparagraph:
``(E) assistance in identifying workers eligible 
for assistance, including workers who work a majority 
of their time offsite or remotely;'';
(6) in subparagraph (F), as so redesignated, by striking 
the period at the end and inserting ``; and''; and
(7) by adding at the end the following:
``(G) the provision of business engagement or 
layoff aversion strategies and other activities 
designed to prevent or minimize the duration of 
unemployment, such as--
``(i) connecting employers to short-term 
compensation or other programs designed to 
prevent layoffs;
``(ii) conducting worker skill assessment, 
and programs to match workers to different 
occupations;
``(iii) establishing incumbent worker 
training or other upskilling approaches, 
including through incumbent worker upskilling 
accounts described in section 134(d)(4)(E);
``(iv) facilitating business support 
activities, such as connecting employers to 
programs that offer access to credit, financial 
support, and business consulting; and
``(v) partnering or contracting with 
business-focused organizations to assess risks 
to companies, and to propose, implement, and 
measure the impact of strategies and services 
to address such risks.''.
(o) School Dropout.--Section 3(54) of the Workforce Innovation and 
Opportunity Act (29 U.S.C. 3102(54)) is amended by striking ``secondary 
school diploma'' and inserting ``regular high school diploma''.
(p) Supportive Services.--Section 3(59) of the Workforce Innovation 
and Opportunity Act (29 U.S.C. 3102(59)) is amended by striking 
``housing,'' and inserting ``assistive technology, housing, food 
assistance,''.
(q) New Definitions.--Section 3 of the Workforce Innovation and 
Opportunity Act (29 U.S.C. 3102) is further amended by adding at the 
end the following:
``(72) Co-enrollment.--The term `co-enrollment' means 
simultaneous enrollment in more than one of the programs or 
activities carried out by a one-stop partner specified in 
section 121(b)(1)(B).
``(73) Digital literacy skills.--The term `digital literacy 
skills' has the meaning given the term in section 203.
``(74) Evidence-based.--The term `evidence-based', when 
used with respect to an activity, service, strategy, or 
intervention, or content of materials, means an activity, 
service, strategy, or intervention, or content of materials 
that--
``(A) demonstrates a statistically significant 
effect on improving participant outcomes or other 
relevant outcomes based on--
``(i) strong evidence from at least 1 well-
designed and well-implemented experimental 
study;
``(ii) moderate evidence from at least 1 
well-designed and well-implemented quasi-
experimental study; or
``(iii) promising evidence from at least 1 
well-designed and well-implemented 
correlational study with statistical controls 
for selection bias; or
``(B)(i) demonstrates a rationale based on high-
quality research findings or positive evaluation that 
such activity, service, strategy, or intervention is 
likely to improve student outcomes or other relevant 
outcomes; and
``(ii) includes ongoing efforts to examine the effects of 
such activity, service, strategy, or intervention.
``(75) Labor organization.--The term `labor organization' 
means a labor organization, as defined in section 2(5) of the 
National Labor Relations Act (29 U.S.C. 152(5)), and an 
organization representing public sector employees.
``(76) Regular high school diploma.--The term `regular high 
school diploma' has the meaning given the term in section 8101 
of the Elementary and Secondary Education Act of 1965 (20 
U.S.C. 7801).
``(77) Work-based learning.--The term `work-based learning' 
has the meaning given the term in section 3 of the Carl D. 
Perkins Career and Technical Education Act of 2006 (20 U.S.C. 
2302).
``(78) Talent marketplace.--
``(A) Talent marketplace.--The term `talent 
marketplace' means an array of publicly- and privately-
owned platforms supported by interconnected and, where 
relevant, interoperable and based on open standards, 
technologies (which may include artificial 
intelligence) that--
``(i) is made available to the public;
``(ii) is used to match individuals with 
employment and learning opportunities in a 
State (or a consortium of States) using 
information provided by users, including--
``(I) education and training 
providers;
``(II) employers;
``(III) jobseekers;
``(IV) students; and
``(V) any other individual; and
``(iii) incorporates and allows users 
access to--
``(I) the learning and employment 
records of users of such marketplace;
``(II) a credential registry; and
``(III) a skills profile generator.
``(B) Credential registry.--The term `credential 
registry' means a process through which a digital 
portal or repository may be used by education and 
training providers to make publicly available, and, 
where relevant, interoperable and based on open 
standards, a description, using standardized 
terminology, of the skills, competencies and learning 
outcomes associated with credentials, including 
recognized postsecondary credentials.
``(C) Learning and employment record.--The term 
`learning and employment record' means a digital, 
machine-readable record of an individual's educational 
and employment history that--
``(i) contains information that may be self 
attested and is verified by the employers, 
persons for whom the individual performed 
services, and education and training providers 
of such individual;
``(ii) allows the individual to control 
such information and use any such information 
for the purpose of matching such individual 
with employment and learning opportunities as 
described in subparagraph (A)(ii); and
``(iii) uses standardized terminology.
``(D) Skills profile generator.--The term `skills 
profile generator' means a digital tool that can be 
used to create a skill profile that, using standardized 
terminology, describes skills gained through, or 
necessary for--
``(i) employment;
``(ii) hiring; or
``(iii) education.
``(E) Standardized terminology.--The term 
`standardized terminology' means, in relation to a 
learning employment record, credential registry, or 
skills profile generator made available through a 
talent marketplace, a limited set of terms that is 
provided through a publicly available, and, where 
relevant, interoperable and based on open standards, 
skills framework and used to describe skills, 
competencies, or learning outcomes in a manner that--
``(i) provides a definition of such skill, 
competency, or outcome, and identifies the 
skills framework used for such definition;
``(ii) ensures that identical terms are 
used to describe substantially similar skills, 
competencies, or outcomes across such records, 
registries, and generators in such marketplace; 
and
``(iii) permits such terms to be 
effectively used for the purpose of matching 
individuals with employment and learning 
opportunities as described in subparagraph 
(A)(ii).''.
(r) Redesignations.--Section 3 of the Workforce Innovation and 
Opportunity Act (29 U.S.C. 3102) is further amended by reordering 
paragraphs (1) through (71), as amended by this section, and the 
paragraphs added by subsection (q) of this section in alphabetical 
order, and renumbering such paragraphs as so reordered.

SEC. 103. TABLE OF CONTENTS AMENDMENTS.

The table of contents in section 1(b) of the Workforce Innovation 
and Opportunity Act is amended--
(1) by redesignating the item relating to section 172 as 
section 175;
(2) by inserting after the item relating to section 171, 
the following:

``Sec. 172. Reentry employment opportunities.
``Sec. 173. Youth apprenticeship readiness grant program.
``Sec. 174. Strengthening community colleges workforce development 
grants program.''; and
(3) by striking the item relating to section 190 and 
inserting the following:

``Sec. 190. Make America Skilled Again grants.''.

Subtitle B--System Alignment

CHAPTER 1--STATE PROVISIONS

SEC. 111. STATE WORKFORCE DEVELOPMENT BOARD.

Section 101(d)(3)(B) of the Workforce Innovation and Opportunity 
Act (29 U.S.C. 3112(d)(3)(B)) is amended by striking ``low-skilled 
adults'' and inserting ``adults with foundational skill needs''.

SEC. 112. UNIFIED STATE PLAN.

Section 102 of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3112) is amended--
(1) in subsection (b)--
(A) in paragraph (1)--
(i) by redesignating subparagraphs (C) 
through (E) as subparagraphs (D) through (F), 
respectively;
(ii) by inserting the following after 
subparagraph (B):
``(C) a description of--
``(i) how the State will use real-time 
labor market information to continually assess 
the economic conditions and workforce trends 
described in subparagraphs (A) and (B); and
``(ii) how the State will communicate 
changes in such conditions or trends to the 
workforce system in the State;'';
(iii) in subparagraph (D), as so 
redesignated, by inserting ``the extent to 
which such activities are evidence-based,'' 
after ``of such activities,'';
(iv) in subparagraph (E), as so 
redesignated--
(I) by striking ``and for meeting 
the skilled workforce needs of 
employers'' and inserting ``and for 
preparing workers to meet the skilled 
workforce needs of employers and to 
enter and remain in unsubsidized 
employment''; and
(II) by striking ``and'' at the 
end;
(v) in subparagraph (F), as so 
redesignated, by striking the period at the end 
and inserting a semicolon; and
(vi) by adding at the end the following:
``(G) a description of activities the State is 
conducting to expand economic opportunity for 
individuals and reduce barriers to labor market entry 
by--
``(i) developing, in cooperation with 
employers, education and training providers, 
and other stakeholders, statewide skills-based 
initiatives that promote the use of 
demonstrated skills and competencies as an 
alternative to the exclusive use of degree 
attainment as a requirement for employment or 
advancement in a career; and
``(ii) evaluating the existing occupational 
licensing policies in the State and identifying 
potential changes to recommend to the 
appropriate State entity to--
``(I) remove or streamline 
licensing requirements, as appropriate; 
and
``(II) improve the reciprocity of 
licensing, including through 
participating in interstate licensing 
compacts;
``(H) an analysis of the out-of-school youth 
population in the State, including the estimated number 
of out-of-school youth and any gaps in services 
provided to such population by other existing workforce 
development activities, as identified under 
subparagraph (D);
``(I) a description of the availability of 
apprenticeship and pre-apprenticeship programs in the 
State and the providers of such programs, including any 
that serve youth; and
``(J) a description of any strategies the State 
will use to prioritize the funding of evidence-based 
programs through the funds available for statewide 
workforce development activities described in section 
128(a).''; and
(B) in paragraph (2)--
(i) in subparagraph (B), by striking 
``including a description'' and inserting 
``which may include a description'';
(ii) in subparagraph (C)(viii), by striking 
``necessary for effective State operating 
systems and policies'' and inserting ``useful 
to States to be included in the State plan, on 
an optional basis'';
(iii) in subparagraph (D)(i)--
(I) in subclause (II), by striking 
``any''; and
(II) in subclause (IV), by striking 
``section 121(h)(2)(E)'' and inserting 
``section 121(h)(1)(E)''; and
(iv) in subparagraph (E)--
(I) in clause (iv), by striking 
``116(i)'' and inserting ``116(j)''; 
and
(II) in clause (x), by striking 
``necessary for the administration of 
the core programs'' and inserting 
``useful to States to be included in 
the State plan, on an optional basis''; 
and
(2) in subsection (c)(3)--
(A) in subparagraph (A), by striking ``shall'' the 
second place it appears and inserting ``may''; and
(B) in subparagraph (B)--
(i) by striking ``required''; and
(ii) by inserting ``, except that 
communicating changes in economic conditions 
and workforce trends to the workforce system in 
the State as described in subsection (b)(1)(C) 
shall not be considered modifications subject 
to approval under this paragraph'' before the 
period at the end.

CHAPTER 2--LOCAL PROVISIONS

SEC. 115. WORKFORCE DEVELOPMENT AREAS.

(a) Regions.--Section 106(a) of the Workforce Innovation and 
Opportunity Act (29 U.S.C. 3121(a)) is amended by adding at the end the 
following:
``(3) Review.--Before the second full program year after 
the date of enactment of the A Stronger Workforce for America 
Act of 2026, in order for a State to receive an allotment under 
section 127(b) or 132(b) and as part of the process for 
developing the State plan, a State shall--
``(A) review each region in the State identified 
under this subsection (as such subsection was in effect 
on the day before the date of enactment of the A 
Stronger Workforce for America Act of 2026); and
``(B) after consultation with the local boards and 
chief elected officials in the local areas and 
consistent with the considerations described in 
subsection (b)(1)(B)--
``(i) revise such region and any other 
region impacted by such revision; or
``(ii) make a determination to maintain 
such region with no revision.''.
(b) Local Areas.--Section 106(b) of the Workforce Innovation and 
Opportunity Act (29 U.S.C. 3121(b)) is amended--
(1) in paragraph (1)--
(A) in subparagraph (A), by striking ``subsection 
(d), and consistent with paragraphs (2) and (3),'' and 
inserting ``subsection (d)''; and
(B) in subparagraph (B), by striking ``(except for 
those local areas described in paragraphs (2) and 
(3))''; and
(2) by striking paragraphs (2) through (7), and inserting 
the following:
``(2) Continuation period.--Except as provided in paragraph 
(5) of this subsection and subsection (d), in order to receive 
an allotment under section 127(b) or 132(b), the Governor shall 
maintain the designations of local areas in the State under 
this subsection (as in effect on the day before the date of 
enactment of the A Stronger Workforce for America Act of 2026) 
until the end of the third full program year after the date of 
enactment of the A Stronger Workforce for America Act of 2026.
``(3) Initial alignment review.--
``(A) In general.--Prior to the third full program 
year after the date of enactment of the A Stronger 
Workforce for America Act of 2026, the Governor shall--
``(i) review the designations of local 
areas in the State (as in effect on the day 
before the date of enactment of the A Stronger 
Workforce for America Act of 2026); and
``(ii)(I) based on the considerations 
described in paragraph (1)(B), issue proposed 
redesignations of local areas in the State 
through the process described in paragraph 
(1)(A), which shall--
``(aa) include an explanation of 
the strategic goals and objectives that 
the State intends to achieve through 
such redesignations; and
``(bb) be subject to the approval 
of the chief elected officials of the 
local areas in the State in accordance 
with the process described in 
subparagraph (C); or
``(II) with respect to a State described in 
subsection (d)(2)(B), if the Governor 
determines that such State should be designated 
as a single State local area, conduct a process 
in accordance with the requirements of 
subsection (d)(2).
``(B) Designation of local areas.--A redesignation 
of local areas in a State that is approved by a 
majority of the chief elected officials of the local 
areas in the State through the process described in 
subparagraph (C) shall take effect on the first day of 
the 4th full program year after the date of enactment 
of the A Stronger Workforce for America Act of 2026.
``(C) Process to reach majority approval.--To 
approve a designation of local areas in the State, the 
chief elected officials of the local areas in the State 
shall comply with the following:
``(i) Initial vote.--Not later than 60 days 
after the Governor issues proposed 
redesignations under subparagraph (A), the 
chief elected official of each local area shall 
review the proposed redesignations and submit a 
vote to the Governor either approving or 
rejecting the proposed redesignations.
``(ii) Results of initial vote.--If a 
majority of the chief elected officials of the 
local areas in the State vote under clause 
(i)--
``(I) to approve such proposed 
redesignations, such redesignations 
shall take effect in accordance with 
subparagraph (B); or
``(II) to disapprove such proposed 
redesignations, the chief elected 
officials of the local areas in the 
State shall comply with the 
requirements of clause (iii).
``(iii) Alternate redesignations.--In the 
case of the disapproval described in clause 
(ii)(II), not later than 120 days after the 
Governor issues proposed redesignations under 
subparagraph (A), the chief elected officials 
of the local areas in the State shall--
``(I) select 2 alternate 
redesignations of local areas--
``(aa) one of which aligns 
with the regional economic 
development areas in the State; 
and
``(bb) one of which aligns 
with the regions described in 
subparagraph (A) or (B) of 
subsection (a)(2); and
``(II) conduct a vote to approve, 
by majority vote, 1 of the 2 alternate 
redesignations described in subclause 
(I).
``(iv) Effective date of alternate 
designations.--The alternate redesignations 
approved pursuant to clause (iii)(II) shall 
take effect in accordance with subparagraph 
(B).
``(4) Subsequent alignment reviews.--On the date that is 
the first day of the 12th full program year after the date of 
enactment of the A Stronger Workforce for America Act of 2026, 
and every 8 years thereafter, the Governor shall--
``(A) review the designation of local areas; and
``(B) carry out the requirements of paragraph 
(3)(A)(ii), except that any redesignation of local 
areas in a State that is approved by a majority of the 
chief elected officials of the local areas in the State 
through the process described in paragraph (3)(C) shall 
take effect on the first day of the next full program 
year after the Governor's review pursuant to this 
paragraph.
``(5) Interim revisions.--
``(A) Approval of certain redesignation requests.--
``(i) In general.--At any time, and 
notwithstanding the requirements of paragraphs 
(2), (3), and (4), the Governor, upon receipt 
of a request for a redesignation of a local 
area described in clause (ii), may approve such 
request.
``(ii) Requests.--The following requests 
may be approved pursuant to clause (i) upon 
request:
``(I) A request from multiple local 
areas to be redesignated as a single 
local area.
``(II) A request from multiple 
local areas for a revision to the 
designations of such local areas, which 
would not impact the designations of 
local areas that have not made such 
request.
``(III) A request for designation 
as a local area from an area described 
in section 107(c)(1)(C).
``(B) Other redesignations.--Other than the 
redesignations described in subparagraph (A), the 
Governor may only redesignate a local area outside of 
the process described in paragraphs (3) and (4), if the 
local area that will be subject to such redesignation 
has not--
``(i) performed successfully;
``(ii) sustained fiscal integrity; or
``(iii) in the case of a local area in any 
planning region described in subparagraph (B) 
or (C) of subsection (a)(2), met the 
requirements described in subsection (c)(1).
``(C) Effective date.--Any redesignation of a local 
area approved by the Governor under subparagraph (A) or 
(B) shall take effect on the first date of the first 
full program year after such date of approval.
``(6) Appeals.--
``(A) In general.--The chief elected official of a 
local area that is subject to a redesignation of such 
local area under paragraph (3), (4), or (5) may submit 
an appeal to maintain its existing designation to the 
State board under an appeal process established in the 
State plan as specified in section 
102(b)(2)(D)(i)(III).
``(B) State board requirements.--The State board 
shall grant an appeal to maintain an existing 
designation of a local area described in subparagraph 
(A) only if the local board of the local area can 
demonstrate that the process for redesignation of such 
local area under paragraph (3), (4), or (5), as 
applicable, has not been followed.
``(C) Secretarial requirements.--If a request to 
maintain an existing designation as a local area is not 
granted as a result of such appeal, the Secretary, 
after receiving a request for review from the local 
board of such local area and determining that the local 
board was not accorded procedural rights under the 
appeals process referred to in subparagraph (A), 
shall--
``(i) review the process for the 
redesignation of the local area under paragraph 
(3), (4), or (5), as applicable; and
``(ii) upon determining that the applicable 
process has not been followed, require that the 
local area's existing designation be 
maintained.
``(7) Redesignation incentive.--The State may provide 
funding from funds made available under sections 128(a)(1) and 
133(a)(1) to provide payments to incentivize--
``(A) groups of local areas to request to be 
redesignated as a single local area under paragraph 
(5)(A); or
``(B) multiple local boards in a planning region to 
develop an agreement to operate as a regional 
consortium under subsection (c)(3).''.
(c) Regional Coordination.--Section 106(c) of the Workforce 
Innovation and Opportunity Act (29 U.S.C. 3121(c)) is amended--
(1) in paragraph (1)--
(A) by redesignating subparagraphs (F) through (H) 
as subparagraphs (G) through (I), respectively; and
(B) by inserting the following after subparagraph 
(E):
``(F) the establishment of cost arrangements for 
services described in subsections (c) and (d) of 
section 134, including the pooling of funds for such 
services, as appropriate, for the region;'';
(2) in paragraph (2), by inserting ``, including to assist 
with establishing administrative costs arrangements or cost 
arrangements for services under subparagraphs (F) and (G) of 
such paragraph'' after ``delivery efforts'';
(3) by redesignating paragraph (3) as paragraph (4); and
(4) by inserting after paragraph (2), as so amended, the 
following:
``(3) Regional consortiums.--
``(A) In general.--The local boards and chief 
elected officials of any local area in any planning 
region described in subparagraph (B) or (C) of 
subsection (a)(2) may develop an agreement to receive 
funding under section 128(b) and section 133(b) as a 
single consortium for the planning region.
``(B) Consortium agreements.--If the local boards 
and chief elected officials develop such an agreement--
``(i) one of the chief elected officials in 
the planning region shall designate the fiscal 
agent for the consortium;
``(ii) the local boards shall develop a 
memorandum of understanding to jointly 
administer the activities for the consortium; 
and
``(iii) the required activities for local 
areas under this Act (including the required 
functions of the local boards described in 
section 107(d)) shall apply to such a 
consortium as a whole and may not be applied 
separately or differently to the local areas or 
local boards within such consortium.''.
(d) Single State Local Areas.--Section 106(d) of the Workforce 
Innovation and Opportunity Act (29 U.S.C. 3121(d)) is amended--
(1) by redesignating paragraph (2) as paragraph (3); and
(2) by inserting after paragraph (1), the following:
``(2) New designation.--
``(A) Process.--If, upon a review described in 
paragraph (3)(A) or (4)(B) of subsection (b) of a State 
described in subparagraph (B)of this paragraph, the 
Governor of such State determines, after consultation 
with the State board, that such State should be 
designated as a single State local area--
``(i) the Governor shall propose to the 
legislature of the State to designate such 
State as a single State local area;
``(ii) in a case in which the majority of 
the legislature of the State consents to the 
Governor's proposed designation--
``(I) such designation shall take 
effect in accordance with subparagraph 
(C); and
``(II) the Governor shall identify 
the State as a local area in the State 
plan; and
``(iii) in a case in which in which the 
majority of the legislature of the State does 
not so consent to the Governor's proposed 
designation, the designations of the local 
areas in the State shall be maintained and 
shall be subject to the requirements of 
subsection (b)(4).
``(B) State described.--A State described in this 
subparagraph is a State that--
``(i) has not been designated as a single 
State local area under paragraph (1); and
``(ii)(I) has a population of less than 
5,100,000, as determined by the last decennial 
census preceding such designation; or
``(II) contains 5 or fewer local areas.
``(C) Effective date.--Notwithstanding subsection 
(b)(2), a designation described in paragraph (A) shall 
take effect on the later of--
``(i) the first day of the third full 
program year after the date of enactment of the 
A Stronger Workforce for America Act of 2026; 
or
``(ii) the first day of the first full 
program year following the date on which the 
Governor so designates the State as a single 
State local area.
``(D) Reestablishment of local areas.--
``(i) In general.--At the end of the 5-year 
period beginning on the date on which a State 
is designated as a single State local area 
under subparagraph (A), the Secretary shall 
notify the Governor of such State if, during 
such 5-year period, the average of the overall 
State program scores (as referred to in section 
116(f)(2)) across the adult and dislocated 
worker programs and youth programs authorized 
under chapters 2 and 3 of subtitle B are lower 
than the average of the State overall program 
scores across such programs during the 5-year 
period for such period ending on the date prior 
the date on which such State was so designated.
``(ii) Determination after notice.--
``(I) In general.--If, after 
receiving the notice described in 
clause (i) with respect to a State, the 
Governor determines--
``(aa) that the designation 
of the State as a single State 
local area should be 
maintained, the Governor shall 
comply with subclause (II) or 
(III), as appropriate; or
``(bb) that such 
designation should not be so 
maintained, the Governor shall 
reestablish the local areas 
that comprised the State prior 
to the designation of the State 
as a single State local area 
under subparagraph (A), and 
such reestablishment shall take 
effect on the first day of the 
first full program year after 
the Governor receives such 
notice.
``(II) Requirements for maintaining 
designation.--A designation described 
in subclause (I)(aa) with respect to a 
State may only be so maintained if the 
Governor--
``(aa) not later than 180 
days after the date on which 
Governor receives the notice 
described in clause (i), issues 
a public notice of the 
determination by the Governor 
that the designation of such 
State as a single State local 
area should be maintained; and
``(bb) not later than 1 
year after the date on which 
the Governor issues such public 
notice, the Governor receives 
the consent of a majority of 
the legislature of the State to 
so maintain the designation.
``(III) Failure to meet 
requirements.--If the Governor fails to 
comply with each of the requirements of 
subclause (II) with respect to a 
State--
``(aa) a designation 
described in subclause (I)(aa) 
for such State may not be so 
maintained; and
``(bb) the Governor shall 
reestablish the local areas 
that comprised the State prior 
to the designation of the State 
as a single State local area 
under subparagraph (A), and 
such reestablishment shall take 
effect on the first full 
program year after the date 
that is 1 year after the date 
on which the Governor issues 
the public notice described in 
subclause (II)(aa) with respect 
to the State.''.
(e) Definition of Performed Successfully.--Section 106(e)(1) of the 
Workforce Innovation and Opportunity Act (29 U.S.C. 3121(e)) is amended 
to read as follows:
``(1) Performed successfully.--The term `performed 
successfully', used with respect to a local area, means the 
local area is not subject to corrective action as described in 
section 116(g)(2) on the local performance accountability 
measures for the most recent year for which data are available 
preceding the determination of performance under this 
paragraph.''.

SEC. 116. LOCAL WORKFORCE DEVELOPMENT BOARDS.

(a) Membership.--Section 107(b) of the Workforce Innovation and 
Opportunity Act (29 U.S.C. 3122(b)) is amended--
(1) in paragraph (2)--
(A) in subparagraph (B), by striking ``20'' and 
inserting ``30''; and
(B) in subparagraph (C)--
(i) in clause (i), by inserting after 
``title II'' the following: ``(such as 
corrections education programs under such 
title)'';
(ii) in clause (ii), by inserting after 
``community colleges'' the following: ``and, as 
applicable, other institutions of higher 
education''; and
(iii) by adding at the end the following:
``(iv) may include faculty and staff 
members working directly with students in 
providing workforce investment activities 
through education or training programs that 
support an industry cluster.''; and
(2) in paragraph (4)(A)--
(A) in clause (ii), by striking ``include'' and all 
that follows through the period at the end and 
inserting the following: ``include--
``(I) representatives from 
community-based organizations and other 
representatives with professional 
expertise in youth workforce 
development programs and with a 
demonstrated record of success in 
serving eligible youth;
``(II) out-of-school youth, 
including youth who are individuals 
with disabilities;
``(III) at least 1 representative 
of a public or nonprofit agency that 
serves youth, including juvenile 
justice and child welfare agencies, and 
at least 1 representative of a local 
public housing authority;
``(IV) for a local area in which a 
Job Corps campus (as such term is 
defined in section 142) is located, at 
least 1 representative of that campus; 
and
``(V) for a local area in which a 
YouthBuild program (as such term is 
defined in section 171(b)) is carried 
out, at least 1 representative of such 
program.''; and
(B) by adding at the end the following:
``(iv) A standing committee to provide 
information and to assist with planning, 
operational, and other issues relating to the 
engagement of representatives of the workforce 
in the local area, which--
``(I) shall include at least 1 
representative of local labor 
organizations or joint labor-management 
organizations, including at least 1 
representative of either of such 
organizations with special interest or 
expertise in youth workforce readiness 
or apprenticeship and pre-
apprenticeship programs that serve 
youth; and
``(II) may include, in a local area 
with a significant number of dislocated 
workers (as determined by the local 
board), at least 1 representative with 
special interest or expertise in 
providing supports for finding 
education, training, and employment 
opportunities for dislocated workers.
``(v) A standing committee to provide 
information and to assist with planning, 
operational, and other issues relating to the 
engagement of educational entities in the local 
area, which shall include, at a minimum--
``(I) at least 1 representative of 
a local educational agency that serves 
students residing in such local area;
``(II) at least 1 representative of 
institutions of higher education in the 
local area, including community 
colleges in the local area; and
``(III) at least 1 representative 
of entities administering education and 
training activities, including career 
and technical education programs or 
after- school and summer learning 
programs, in the local area.
``(vi) A standing committee to provide 
information and to assist with planning, 
operational, and other issues relating to the 
provision of services to offenders, including 
pre-release education, training, and career 
services for such individuals, which shall 
include--
``(I) at least 1 offender; and
``(II) representatives from 
community-based organizations with 
special interest or expertise in 
reentry services for incarcerated 
individuals and ex-offenders, including 
at least 1 representative of an 
organization that is a recipient of a 
grant under section 172.''.
(b) Functions of Local Board.--Section 107(d) of the Workforce 
Innovation and Opportunity Act (29 U.S.C. 3122(d)) is amended--
(1) in paragraph (2)(A), by striking ``section 
108(b)(1)(D)'' and inserting ``108(b)(1)(E)'';
(2) in paragraph (3), by inserting ``, including, to the 
extent practicable, local representatives of the core programs 
and the programs described in section 121(b)(1)(B),'' after 
``system stakeholders'';
(3) in paragraph (4)--
(A) in subparagraph (B), by inserting ``and 
industry and sector partnerships'' after 
``intermediaries'';
(B) in subparagraph (C), by inserting ``, local 
educational agencies, community colleges and other 
institutions of higher education'' after ``economic 
development entities''; and
(C) in subparagraph (D)--
(i) by striking ``proven'' and inserting 
``evidence-based'';
(ii) by inserting ``individual'' after 
``needs of''; and
(iii) by inserting ``from a variety of 
industries and occupations'' after ``and 
employers'';
(4) in paragraph (5), by inserting ``and which, to the 
extent practicable, shall be aligned with career and technical 
education programs of study (as defined in section 3 of the 
Carl D. Perkins Career and Technical Education Act of 2006 (20 
U.S.C. 2302(3)) offered within the local area'' before the 
period at the end;
(5) in paragraph (6)--
(A) in the heading, by striking ``PROVEN'' and 
inserting ``EVIDENCE-BASED'';
(B) in subparagraph (A)--
(i) by striking ``proven'' and inserting 
``evidence-based'';
(ii) by inserting ``and covered veterans 
(as defined in section 4212(a)(3)(A) of title 
38, United States Code)'' after ``employment''; 
and
(iii) by inserting ``, and give priority to 
covered persons in accordance with section 4215 
of title 38, United States Code'' after 
``delivery system''; and
(C) in subparagraph (B), by striking ``proven'' and 
inserting ``evidence-based'';
(6) in paragraph (10)(C)--
(A) by inserting ``, on the State eligible training 
provider list,'' after ``identify''; and
(B) by inserting ``that operate in or are 
accessible to individuals'' after ``training 
services''; and
(7) in paragraph (12)(A), by striking ``activities'' and 
inserting ``funds allocated to the local area under section 
128(b) and section 133(b) for the youth workforce development 
activities described in section 129 and local employment and 
training activities described in section 134(b), and the 
activities''.
(c) Limitations.--Section 107(g)(1)(D) of the Workforce Innovation 
and Opportunity Act (29 U.S.C. 3122(g)(1)(D)) is amended by striking 
``needed or'' and inserting the following: ``, that the local board is 
failing to meet the requirements for eligible providers of training 
services under section 122, or''.

SEC. 117. LOCAL PLAN.

Section 108 of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3123) is amended--
(1) in subsection (a)--
(A) by striking ``section 102(b)(1)(E)'' and 
inserting ``section 102(b)(1)(F)''; and
(B) by striking ``shall prepare'' and inserting 
``may prepare''; and
(2) in subsection (b)--
(A) in paragraph (1)--
(i) by redesignating subparagraphs (D), 
(E), and (F) as subparagraphs (E), (F), and 
(H), respectively;
(ii) by inserting the following after 
subparagraph (C):
``(D) a description of--
``(i) how the local board will use real-
time labor market information to continually 
assess the economic conditions and workforce 
trends described in subparagraphs (A), (B), and 
(C); and
``(ii) how changes in such conditions or 
trends will be communicated to jobseekers, 
education and training providers, and employers 
in the local area;'';
(iii) in subparagraph (F), as so 
redesignated, by striking ``and'' at the end; 
and
(iv) by inserting after subparagraph (F), 
as so redesignated, the following:
``(G) an analysis, which may be conducted in 
coordination with the State, of the out-of-school youth 
population in the local area including the estimated 
number of such youth and any gaps in services for such 
population from other existing workforce development 
activities, as identified under paragraph (9), and a 
description of how the local board will address any 
such gaps in services identified in such analysis; 
and'';
(B) in paragraph (2), by striking ``section 
102(b)(1)(E)'' and inserting ``section 102(b)(1)(F);
(C) in paragraph (4)--
(i) in subparagraph (A)--
(I) by striking ``and'' at the end 
of clause (iii); and
(II) by adding at the end the 
following:
``(v) carry out any statewide skills-based 
initiatives identified in the State plan that 
promote the use of demonstrated skills and 
competencies as an alternative to the exclusive 
use of degree attainment as a requirement for 
employment or advancement in a career; and''; 
and
(ii) in subparagraph (B), by striking 
``customized training'' and inserting 
``employer-directed skills development'';
(D) in paragraph (6)(B), by inserting ``, such as 
the use of affiliated sites'' after ``means'';
(E) in paragraph (9)--
(i) by striking ``including activities'' 
and inserting the following: ``including--
``(A) the availability of community based 
organizations that serve youth primarily during 
nonschool time hours to carry out activities under 
section 129;
``(B) activities'';
(ii) in subparagraph (B), as so 
redesignated--
(I) by inserting ``or evidence-
based'' after ``successful''; and
(II) by adding ``and'' at the end; 
and
(iii) by adding at the end the following:
``(C) the availability of preapprenticeship and 
apprenticeship programs serving youth;'';
(F) in paragraph (12), by inserting ``including as 
described in section 134(c)(2),'' after ``system,''; 
and
(G) in paragraph (13), by inserting before the 
semicolon at the end the following: ``, and encourage 
eligible youth who are enrolled in adult education and 
literacy activities under title II to co-enroll in 
youth workforce investment activities carried out by 
the local board, as appropriate''.

CHAPTER 3--PERFORMANCE ACCOUNTABILITY

SEC. 119. PERFORMANCE ACCOUNTABILITY SYSTEM.

(a) State Performance Accountability Measures.--
(1) Primary indicators of performance.--Section 
116(b)(2)(A) of the Workforce Innovation and Opportunity Act 
(29 U.S.C. 3141(b)(2)(A)) is amended--
(A) in clause (i)--
(i) in subclause (II)--
(I) by striking ``fourth'' and 
inserting ``second''; and
(II) by inserting ``and remain in 
unsubsidized employment during the 
fourth quarter after exit from the 
program'' after ``the program'';
(ii) in subclause (IV), by striking 
``secondary school diploma'' and inserting 
``regular high school diploma'';
(iii) in subclause (V)--
(I) by striking ``, during a 
program year,'';
(II) by striking ``are in'' and 
inserting ``enter into''; and
(III) by inserting before the 
semicolon at the end the following: 
``within 12 months after the quarter in 
which the participant enters into the 
education and training program''; and
(iv) by amending subclause (VI) to read as 
follows:
``(VI) of the program participants 
who received training services during a 
program year, the percentage of such 
program participants who participated 
in on-the-job training, employer-
directed skills development, incumbent 
worker training, or an 
apprenticeship.'';
(B) in clause (ii)--
(i) in subclause (II)--
(I) by striking ``fourth'' and 
inserting ``second'';
(II) by inserting ``, and who 
remain either in such activities or 
unsubsidized employment during the 
fourth quarter after exit from the 
program'' after ``the program''; and
(III) by striking ``and'' at the 
end;
(ii) in subclause (III)--
(I) by striking ``(VI)'' and 
inserting ``(V)''; and
(II) by striking the period at the 
end and inserting ``; and''; and
(iii) by adding at the end the following:
``(IV) of the program participants 
who exited the program during a program 
year, the percentage of such program 
participants who completed, prior to 
such exit, a work experience as 
described in section 129(c)(2)(C).''; 
and
(C) in clause (iii), by striking ``secondary school 
diploma'' and inserting ``regular high school 
diploma''; and
(D) by striking clause (iv).
(2) Levels of performance.--Section 116(b)(3)(A) of the 
Workforce Innovation and Opportunity Act (29 U.S.C. 
3141(b)(3)(A)) is amended--
(A) by amending clause (iii) to read as follows:
``(iii) Identification in state plan.--
``(I) Secretaries.--For each State 
submitting a State plan, the Secretary 
of Labor shall, not later than January 
15 of the year in which such State plan 
is submitted, for the first 2 program 
years covered by the State plan, and 
not later than January 15 of the second 
program year covered by the State plan, 
for the third and fourth program years 
covered by the State plan--
``(aa) propose to the State 
expected levels of performance, 
for each of the corresponding 
primary indicators of 
performance for each of the 
programs described in clause 
(ii) for such State, which 
shall--

``(AA) be 
consistent with the 
factors listed in 
clause (v); and

``(BB) be proposed 
in a manner that 
ensures sufficient time 
is provided for the 
State to evaluate and 
respond to such 
proposals; and

``(bb) publish, on a public 
website of the Department of 
Labor, the statistical model 
developed under clause (viii) 
and the methodology used to 
develop each such expected 
level of performance.
``(II) States.--Each State shall--
``(aa) evaluate each of the 
expected levels of performance 
proposed under subclause (I) 
with respect to such State;
``(bb) based on such 
evaluation of each such 
expected level of performance--

``(AA) accept the 
expected level of 
performance as so 
proposed; or

``(BB) provide a 
counterproposal for 
such expected level of 
performance, including 
an analysis of how the 
counterproposal 
addresses factors or 
circumstances unique to 
the State that may not 
have been accounted for 
in the expected level 
of performance; and

``(cc) include in the State 
plan, with respect to each of 
the corresponding primary 
indicators of performance for 
each of the programs described 
in clause (ii) for such State--

``(AA) the expected 
level of performance 
proposed under 
subclause (I);

``(BB) the 
counterproposal for 
such proposed level, if 
any; and

``(CC) the level of 
performance that is 
agreed to under clause 
(iv).'';

(B) in clause (iv)--
(i) in subclause (I)--
(I) in the second sentence, by 
striking ``the levels identified in the 
State plan under clause (iii) and the 
factors described in clause (v)'' and 
inserting ``the factors described in 
clause (v) and any counterproposal, and 
the analysis provided by the State with 
such counterproposal, described in 
clause (iii)(II)(bb)(BB)''; and
(II) in the third sentence, by 
striking ``incorporated into the State 
plan'' and inserting ``included in the 
State plan, as described in clause 
(iii)(II)(cc),''; and
(ii) in subclause (II)--
(I) in the second sentence, by 
striking ``the factors described in 
clause (v)'' and inserting ``the 
factors described in clause (v) and any 
counterproposal, and the analysis 
provided by the State with such 
counterproposal, described in clause 
(iii)(II)(bb)(BB)''; and
(II) in the third sentence, by 
striking ``incorporated into the State 
plan'' and inserting ``included in the 
State plan, as described in clause 
(iii)(II)(cc),''; and
(C) in clause (v)(II)--
(i) in the matter preceding item (aa), by 
striking ``based on'' and inserting ``based on 
each consideration that is found to be 
predictive of performance on an indicator for a 
program and consists of''; and
(ii) in item (bb)--
(I) by striking ``including'' and 
inserting ``such as''; and
(II) by striking ``and welfare 
dependency'' and inserting ``school 
status, education level, highest grade 
level completed, low-income status, and 
receipt of public assistance''.
(b) Performance Reports.--Section 116(d) of the Workforce 
Innovation and Opportunity Act (29 U.S.C. 3141(d)) is amended--
(1) by amending paragraph (1) to read as follows:
``(1) In general.--
``(A) Templates for performance reports.--Not later 
than 24 months after the date of enactment of the A 
Stronger Workforce for America Act of 2026, the 
Secretary of Labor shall develop, or review and modify, 
as appropriate, to comply with the requirements of this 
subsection, the templates for performance reports that 
shall be used by States (including by States on behalf 
of eligible providers of training services under 
section 122) and local areas to produce a report on 
outcomes achieved by the core programs. In developing, 
or reviewing and modifying, such templates, the 
Secretary of Labor shall take into account the need to 
maximize the value of the templates for workers, 
jobseekers, employers, local elected officials, State 
officials, Federal policymakers, and other key 
stakeholders.
``(B) Standardized reporting.--In developing, or 
reviewing and modifying, the templates under 
subparagraph (A), the Secretary of Labor shall ensure 
that States and local areas, in producing performance 
reports for core programs and eligible providers of 
training services, collect and report information on 
common data elements--
``(i) in a comparable and uniform format; 
and
``(ii) using terms that are assigned 
identical meanings across all such reports.
``(C) Additional reporting.--The Secretary of 
Labor--
``(i) in addition to the information on the 
common data elements, may require additional 
information with respect to any core program as 
necessary for effective reporting; and
``(ii) shall periodically review any such 
requirement for additional information to 
ensure the requirement is necessary and does 
not impose an undue reporting burden.
``(D) Privacy.--The Secretary of Labor shall ensure 
subparagraph (B) is carried out in a manner that 
protects and promotes individual privacy and data 
security, in accordance with applicable Federal privacy 
laws.
``(E) Access to wage records.--
``(i) Access.--A State may facilitate for a 
local area that meets the requirements of 
clause (ii), for the sole purpose of fulfilling 
the reporting requirements under this 
subsection, access to the quarterly wage 
records (excluding such records made available 
by any other State) of program participants in 
the local area.
``(ii) Privacy protections.--To receive 
access to such quarterly wage records, the 
local area shall have demonstrated to the State 
the ability to comply, and agree to comply, 
with all applicable Federal and State 
requirements relating to the access and use of 
such quarterly wage records, including 
requirements relating to data privacy and 
cybersecurity.'';
(2) in paragraph (2)--
(A) in subparagraph (B), by inserting ``, and 
aggregated to compare those levels of performance for 
all individuals with barriers to employment with those 
levels of performance for all other individuals'' 
before the semicolon at the end;
(B) in subparagraphs (D) and (F), by striking 
``career and training services, respectively'' and 
inserting ``career services, training services, and 
supportive services, respectively'';
(C) by redesignating subparagraphs (J) through (L) 
as subparagraphs (K) through (M), respectively and 
inserting after subparagraph (I) the following:
``(J) the median earnings gain of participants who 
received training services, calculated as the median 
value of the difference between--
``(i) participant earnings in unsubsidized 
employment during the 4 quarters after program 
exit; and
``(ii) participant earnings in the 4 
quarters prior to entering the program;''; and
(D) in subparagraph (L), as so redesignated--
(i) by striking clause (ii); and
(ii) by striking ``strategies for 
programs'' and all that follows through ``the 
performance'', and inserting ``strategies for 
programs, the performance'';
(3) in paragraph (3)--
(A) in subparagraph (A), by striking ``(L)'' and 
inserting ``(M)'';
(B) in subparagraph (B), by striking ``and'' at the 
end;
(C) by redesignating subparagraph (C) as 
subparagraph (F); and
(D) by inserting after subparagraph (B) the 
following:
``(C) the percentage of the local area's allocation 
under section 133(b) that the local area spent on 
services paid for through an individual training 
account described in section 134(c)(3)(F)(iii) or a 
training contract described in section 
134(c)(3)(G)(ii);
``(D) the percentage of the local area's allocation 
under section 133(b) that the local area spent on 
supportive services;
``(E) the percentage of the local area's allocation 
under section 133(b), if any, that is spent on 
incumbent worker training, disaggregated by whether the 
amount so spent was spent on the provision of incumbent 
worker training through contracts or through incumbent 
worker upskilling accounts described in section 
134(d)(4)(E); and'';
(4) by amending paragraph (4) to read as follows:
``(4) Contents of eligible training providers performance 
report.--
``(A) In general.--The State shall use the 
information submitted by the eligible providers of 
training services under section 122 and administrative 
records, including quarterly wage records, of the 
participants of the programs offered by the providers 
to produce a performance report on the eligible 
providers of training services in the State, which 
shall include, subject to paragraph (6)(C)--
``(i) with respect to each program of study 
(or the equivalent) of a provider on the list 
described in section 122(d)--
``(I) information specifying the 
levels of performance achieved with 
respect to the primary indicators of 
performance described in subclauses (I) 
through (IV) of subsection (b)(2)(A)(i) 
with respect to all individuals 
engaging in the program of study (or 
the equivalent); and
``(II) the total number of 
individuals exiting from the program of 
study (or the equivalent), 
disaggregated by whether such 
individuals completed the program of 
study (or equivalent); and
``(ii) with respect to all eligible 
providers of training services under section 
122--
``(I) the total number of 
participants who received training 
services through each adult and 
dislocated worker program authorized 
under chapter 3 of subtitle B, 
disaggregated by the type of entity 
that provided the training services, 
during the most recent program year and 
the 3 preceding program years;
``(II) the total number of 
participants who exited from training 
services, disaggregated by the type of 
entity that provided the training 
services, and by whether such 
participants completed the training 
services, during the most recent 
program year and the 3 preceding 
program years;
``(III) the average cost per 
participant for the participants who 
received training services, 
disaggregated by the type of entity 
that provided the training, during the 
most recent program year and the 3 
preceding program years;
``(IV) the average of the per-
program ratios of median earnings 
increase for a participant to the total 
cost of the provider's program, as 
described in section 
122(b)(5)(B)(i)(III) for the 
participant; and
``(V) the number of individuals 
with barriers to employment served by 
each adult and dislocated worker 
program authorized under chapter 3 of 
subtitle B, disaggregated by each 
subpopulation of such individuals, and 
by race, ethnicity, sex, and age; and
``(iii) to the extent practicable, with 
respect to each recognized postsecondary 
credential on the list of credentials awarded 
by eligible providers in the State described in 
section 122(d)(2)--
``(I) information specifying the 
levels of performance achieved with 
respect to the primary indicators of 
performance described in subclauses (I) 
through (IV) of subsection (b)(2)(A)(i) 
for all participants in the State 
receiving such credential; and
``(II) information specifying the 
levels of performance achieved with 
respect to the primary indicators of 
performance described in subclauses (I) 
through (IV) of subsection (b)(2)(A)(i) 
for participants in the State receiving 
such credential who are individuals 
with barriers to employment, 
disaggregated by each subpopulation of 
such individuals, and by race, 
ethnicity, sex, and age.''; and
(5) in paragraph (6)--
(A) by amending subparagraph (A) to read as 
follows:
``(A) State performance reports.--The Secretary of 
Labor shall annually make available the performance 
reports for States containing the information described 
in paragraph (2), which shall include making such 
reports available--
``(i) digitally using transparent, linked, 
open, machine readable, and interoperable data 
formats that are human readable and machine 
actionable such that the data from these 
reports--
``(I) are easily understandable; 
and
``(II) can be easily included in 
web-based tools and services supporting 
search, discovery, comparison, 
analysis, navigation, and guidance;
``(ii) in a printable format; and
``(iii) in multiple languages, to the 
extent practicable.'';
(B) in subparagraph (B)--
(i) by striking ``(including by electronic 
means), in an easily understandable format,''; 
and
(ii) by adding at the end the following: 
``The Secretary of Labor shall include, on the 
website where the State performance reports are 
required under subparagraph (A) to be made 
available, a link to local area performance 
reports and the eligible provider of training 
services report for each State. Such reports 
shall be made available in each of the formats 
described in subparagraph (A).''; and
(C) by adding at the end the following:
``(E) Rule of construction.--Nothing in this 
subsection shall be construed to require the 
retroactive collection of information, from program 
years prior to the effective date described in section 
502(a)(1) of the A Stronger Workforce for America Act 
of 2026, that was not required under this subsection 
prior to that effective date.''.
(c) Evaluation of State Programs.--Section 116(e) of the Workforce 
Innovation and Opportunity Act (29 U.S.C. 3141(e)) is amended--
(1) in paragraph (1)--
(A) in the first sentence, by striking ``shall 
conduct ongoing'' and inserting ``shall use data to 
conduct analyses and ongoing''; and
(B) in the second sentence, by striking ``conduct 
the'' and inserting ``conduct such analyses and''; and
(2) in paragraph (2), by adding ``A State may use various 
forms of analysis, such as machine learning or other advanced 
analytics, to improve program operations and outcomes and to 
identify areas for further evaluation.'' at the end.
(d) Sanctions for State Failure To Meet State Performance 
Accountability Measures.--Section 116(f) of the Workforce Innovation 
and Opportunity Act (29 U.S.C. 3141(f)) is amended to read as follows:
``(f) Sanctions for State Failure To Meet State Performance 
Accountability Measures.--
``(1) Targeted support and assistance.--
``(A) In general.--If a State fails to meet 80 
percent of the State adjusted level of performance for 
an indicator described in subsection (b)(2)(A) 
(referred to in the regulations carrying out this 
section as an `individual indicator score') for a core 
program for any program year, the Secretary of Labor 
shall provide technical assistance.
``(B) Sanctions.--
``(i) In general.--If the State fails in 
the manner described in subclause (I) or (II) 
of clause (ii) with respect to the program year 
specified in that subclause, the percentage of 
each amount that could (in the absence of this 
subsection) be reserved by the Governor under 
section 128(a)(1) for the immediately 
succeeding program year shall be reduced by 5 
percent and an amount equivalent to the amount 
reduced shall be returned to the Secretary of 
Labor until such date as the Secretary of Labor 
determines that the State meets the State 
adjusted level of performance, in the case of a 
failure described in clause (ii)(II), or has 
submitted the reports for the appropriate 
program years, in the case of a failure 
described in clause (ii)(I).
``(ii) Failures.--A State shall be subject 
to clause (i)--
``(I) if (except in the case of 
exceptional circumstances as determined 
by the Secretary of Labor), such State 
fails to submit a report under 
subsection (d) for any program year; or
``(II) for a failure under 
subparagraph (A) that has continued for 
a second consecutive program year.
``(2) Comprehensive support and assistance.--
``(A) In general.--If a State fails to meet an 
average of 90 percent of the State adjusted levels of 
performance for a single core program across all 
indicators of performance (referred to in the 
regulations carrying out this section as an `overall 
State program score') for any program year, or if a 
State fails to meet an average of 90 percent of the 
State adjusted levels of performance for a single 
indicator of performance across all core programs 
(referred to in the regulations carrying out this 
section as an `overall State indicator score') for any 
program year, the Secretary of Labor shall provide 
technical assistance, as described and authorized under 
section 168(b), including assistance in the development 
of a comprehensive performance improvement plan.
``(B) Second consecutive year failure.--If such 
failure under subparagraph (A) continues for a second 
consecutive program year, the percentage of each amount 
that could (in the absence of this subsection) be 
reserved by the Governor under section 128(a)(1) for 
the immediately succeeding program year shall be 
reduced by 8 percent and an amount equivalent to the 
amount reduced shall be returned to the Secretary of 
Labor until such date as the Secretary of Labor 
determines that the State meets such State adjusted 
levels of performance.
``(3) Limitation.--The total reduction under this 
subsection to the percentage of each amount that could (in the 
absence of this subsection) be reserved by the Governor under 
section 128(a)(1) may not exceed 10 percent for a program year.
``(4) Reallotment of reductions.--
``(A) In general.--The amounts available for 
reallotment for a program year shall be reallotted to a 
State (in this paragraph referred to as an `eligible 
State') that--
``(i) was not subject to a reduction of 
funds under paragraph (1)(B) or paragraph 
(2)(B) of this subsection for such program 
year;
``(ii) in the case of amounts available 
under section 127(b)(1)(C), was 1 of the 5 
States that achieved, in the most recent 
program year, the greatest increase from the 
prior year to the average of the State's 
adjusted levels of performance across all 
indicators of performance for the youth program 
under chapter 2 of subtitle B;
``(iii) in the case of amounts available 
under section 132(b)(1)(B), was 1 of the 5 
States that achieved, in the most recent 
program year, the greatest increase from the 
prior year to the average of the State's 
adjusted levels of performance across all 
indicators of performance for the adult program 
under chapter 3 of subtitle B; and
``(iv) in the case of amounts available 
under section 132(b)(2)(B), was 1 of the 5 
States that achieved, in the most recent 
program year, the greatest increase from the 
prior year to the average of the State's 
adjusted levels of performance across all 
indicators of performance for the dislocated 
worker program under chapter 3 of subtitle B.
``(B) Amounts available for reallotment.--In this 
paragraph, the term `amounts available for reallotment 
for a program year' means the amounts available under 
section 127(b)(1)(C) and paragraphs (1)(B) and (2)(B) 
of section 132(b) for such program year which could (in 
the absence of the requirements to return funds of 
paragraph (1)(B) or paragraph (2)(B) of this 
subsection) have otherwise been reserved under section 
128(a)(1) by a Governor of a State for such program 
year.
``(C) Reallotment amounts.--In making reallotments 
under subparagraph (A) for a program year to eligible 
States, the Secretary shall allot to each eligible 
State--
``(i) in the case of amounts available 
under section 127(b)(1)(C), an amount based on 
the relative amount of the allotment made 
(before the reallotments under this paragraph 
are made) to such eligible State under section 
127(b)(1)(C) for such program year, compared to 
the total allotments made (before the 
reallotments under this paragraph are made) to 
all eligible States under section 127(b)(1)(C) 
for such program year;
``(ii) in the case of amounts available 
under paragraph (1)(B) of section 132(b), an 
amount based on the relative amount of the 
allotment made (before the reallotments under 
this paragraph are made) to such eligible State 
under paragraph (1)(B) of section 132(b) for 
such program year, compared to the total 
allotments made (before the reallotments under 
this paragraph are made) to all eligible States 
under paragraph (1)(B) of section 132(b) for 
such program year; and
``(iii) in the case of amounts available 
under paragraph (2)(B) of section 132(b), an 
amount based on the relative amount of the 
allotment made (before the reallotments under 
this paragraph are made) to such eligible State 
under paragraph (2)(B) of section 132(b) for 
such program year, compared to the total 
allotments made (before the reallotments under 
this paragraph are made) to all eligible States 
under paragraph (2)(B) of section 132(b) for 
such program year.''.
(e) Sanctions for Local Area Failure To Meet Local Performance 
Accountability Measures.--Section 116(g) of the Workforce Innovation 
and Opportunity Act (29 U.S.C. 3141(g)) is amended--
(1) in paragraph (1)--
(A) by inserting ``80 percent of the'' before 
``local performance''; and
(B) by striking ``local performance accountability 
measures established under subsection (c)'' and 
inserting ``local level of performance established 
under subsection (c) for an indicator of performance 
described in subsection (b)(2)(A) for a single program, 
an average of 90 percent of the local levels of 
performance across all such indicators for a single 
program, or an average of 90 percent of the local 
levels of performance for a single such indicator 
across all programs,''; and
(2) in paragraph (2)--
(A) by amending subparagraph (A) to read as 
follows:
``(A) In general.--If such failure continues, the 
Governor shall take corrective actions, which shall 
include--
``(i) in the case of such failure, as 
described in paragraph (1), for a second 
consecutive year, on any single indicator, 
across indicators for a single program, or on a 
single indicator across programs, a 5-percent 
reduction in the amount that would (in the 
absence of this clause) be allocated to the 
local area for the immediately succeeding 
program year under chapter 2 or 3 of subtitle B 
for the program subject to the performance 
failure;
``(ii) in the case of such failure, as 
described in paragraph (1), for a third 
consecutive year, the development of a 
reorganization plan through which the Governor 
shall--
``(I) require the appointment and 
certification of a new local board, 
consistent with the criteria 
established under section 107(b);
``(II) prohibit the use of one-stop 
delivery system contractors or service 
providers identified as achieving a 
poor level of performance; and
``(III) redesignate a local area 
(which may include merging a local area 
with another local area), if the 
Governor determines that the likely 
cause of such continued performance 
failure of a local area is due to such 
local area's designation being granted 
without the appropriate consideration 
of parameters described under section 
106(b)(1)(B); or
``(iii) taking another significant action 
determined appropriate by the Governor.'';
(B) in subparagraph (B)(i), by inserting ``(ii)'' 
after ``subparagraph (A)''; and
(C) by adding at the end the following:
``(D) Reallocation of reductions.--With respect to 
any amounts available to carry out section 128(b), 
paragraph (2)(A) or (3) of section 133(b), and section 
133(b)(2)(B) to a Governor for a program year which 
would (in the absence of subparagraph (A)(i)) have 
otherwise been allocated by such Governor to a local 
area (referred to individually in this subparagraph as 
an `unallocated amount') for such program year--
``(i) 10 percent of those 3 unallocated 
amounts shall be reserved by the Governor to 
provide technical assistance to local areas 
within the State that were subject to a 
reduction of allocation amounts pursuant to 
subparagraph (A)(i) for such program year; and
``(ii) the amounts remaining after the 
reservations under clause (i) shall be 
reallocated by the Governor, to the local areas 
within the State that were not subject to a 
reduction of allocation amounts pursuant to 
subparagraph (A)(i) for such program year, in a 
manner determined by the Governor, which may 
take into consideration the extent to which 
local areas serve a significant number, as 
determined by the Governor, of individuals with 
barriers to employment.''.
(f) Establishing Pay-for-Performance Contract Strategy 
Incentives.--Section 116(h) of the Workforce Innovation and Opportunity 
Act (29 U.S.C. 3141(h)) is amended by striking ``non-Federal funds'' 
and inserting ``not more than 5 percent of the funds reserved under 
section 128(a)(1)''.
(g) Information and Technical Assistance.--Section 116 of the 
Workforce Innovation and Opportunity Act (29 U.S.C. 3141) is amended--
(1) by redesignating subsection (i) as subsection (j); and
(2) by inserting after subsection (h) the following:
``(i) Information and Technical Assistance.--Beginning not later 
than 12 months after the date of enactment of the A Stronger Workforce 
for America Act of 2026, the Secretary of Labor shall hold meetings 
with each State board and State agency that administers a core program, 
and that requests such a meeting, to provide information and technical 
assistance concerning the performance accountability measures 
established in accordance with subsection (b), and related requirements 
for States under this section.''.
(h) Fiscal and Management Accountability Information Systems.--
Section 116(j) of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3141(j)), as so redesignated, is amended--
(1) in the first sentence of paragraph (2), by inserting 
``, and may use information provided from the National 
Directory of New Hires in accordance with section 453(j)(8) of 
the Social Security Act (42 U.S.C. 653(j)(8))'' after ``State 
law'';
(2) by redesignating paragraph (3) as paragraph (4); and
(3) by inserting after paragraph (2) the following:
``(3) Designated entity.--The Governor shall designate a 
State agency (or appropriate State entity) to assist in 
carrying out the performance reporting requirements of this 
section for core programs and eligible providers of training 
services. The designated State agency (or appropriate State 
entity) shall be responsible for--
``(A) facilitating data matches using quarterly 
wage record information, including wage record 
information made available by other States, to measure 
employment and earnings outcomes;
``(B) notifying State agencies that administer core 
programs and eligible providers of training services of 
the State's procedures for data validation and 
reliability, as described in subsection (d)(5); and
``(C) protection against disaggregation that would 
violate applicable privacy standards, as described in 
subsection (d)(6)(C).''.
(i) Implementation of Performance Accountability Measures.--Section 
116 of the Workforce Innovation and Opportunity Act (29 U.S.C. 3141) is 
amended by adding at the end the following:
``(k) Implementation of Performance Accountability Measures.--Not 
later than 24 months after the date of enactment of the A Stronger 
Workforce for America Act of 2026, the Secretary of Labor shall fully 
implement the requirements of this section for programs described in 
subsection (b)(3)(A)(iv), including--
``(1) developing and disseminating the objective 
statistical adjustment model framework described in subsection 
(b)(3)(A)(viii) and using the model as described in subsection 
(b)(3)(A)(viii) for each program; and
``(2) notifying the State agencies carrying out such 
programs of the performance accountability measures established 
under this section, of the reporting and evaluation 
requirements for such programs, and of the sanctions 
requirements for programs that fail to meet State adjusted 
levels of performance under subsection (b)(3)(A)(iv).''.

Subtitle C--Workforce Investment Activities and Providers

CHAPTER 1--WORKFORCE INVESTMENT ACTIVITIES AND PROVIDERS

SEC. 121. ESTABLISHMENT OF ONE-STOP DELIVERY SYSTEMS.

(a) One-Stop Partners.--Section 121(b) of the Workforce Innovation 
and Opportunity Act (29 U.S.C. 3151(b)) is amended--
(1) in paragraph (1)--
(A) in subparagraph (B)--
(i) in clause (xi), by inserting ``and'' at 
the end;
(ii) by striking clause (xii); and
(iii) by redesignating clause (xiii) as 
clause (xii); and
(B) in subparagraph (C), by striking ``subparagraph 
(B)(xiii)'' and inserting ``subparagraph (B)(xii)''; 
and
(2) in paragraph (2)--
(A) in subparagraph (A), by striking ``With'' and 
inserting ``At the direction of the Governor or with''; 
and
(B) in subparagraph (B)--
(i) in clause (vi), by striking ``and'' at 
the end;
(ii) by redesignating clause (vii) as 
clause (viii);
(iii) by inserting after clause (vi) the 
following:
``(vii) any applicable economic development 
and workforce development programs carried out 
in the State--
``(I) by the Economic Development 
Administration;
``(II) under Public Law 117-167 
(commonly known as the `CHIPS and 
Science Act of 2022');
``(III) under the Infrastructure 
Investment and Jobs Act (Public Law 
117-58); or
``(IV) under Public Law 117-168 
(commonly known as the `Inflation 
Reduction Act of 2022'); and''; and
(iv) in clause (viii), as so redesignated--
(I) by inserting ``out-of-school 
youth services,'' after ``education,''; 
and
(II) by inserting ``, by community-
based organizations,'' after 
``libraries''.
(b) Memorandum of Understanding.--Section 121(c)(2)(A)(iv) of the 
Workforce Innovation and Opportunity Act (29 U.S.C. 3151(c)(2)(A)(iv)) 
is amended by striking ``access to services, including access to 
technology and materials, made'' and inserting ``access or referral to 
services, including access or referral to technology, materials, and 
other supportive services, made''.
(c) One-Stop Operators.--Section 121(d) of the Workforce Innovation 
and Opportunity Act (29 U.S.C. 3151(d)) is amended--
(1) in paragraph (1), by striking ``paragraphs (2) and 
(3)'' and inserting ``paragraphs (2) and (5)'';
(2) in paragraph (2)(B)--
(A) in the matter preceding clause (i), by 
inserting ``(including effectiveness in serving 
individuals with barriers to employment)'' after 
``demonstrated effectiveness'';
(B) in clause (i), by inserting after ``education'' 
the following: ``or an area career and technical 
education school'';
(C) in clause (v), by striking ``and'';
(D) by redesignating clause (vi) as clause (viii);
(E) by inserting after clause (v) the following:
``(vi) a public library;
``(vii) a local board that meets the 
requirements of paragraph (4); and''; and
(F) in clause (viii), as so redesignated, by 
inserting after ``labor organization'' the following: 
``or joint labor-management organization'';
(3) by redesignating paragraphs (3) and (4) as paragraphs 
(5) and (6), respectively; and
(4) by inserting after paragraph (2) the following:
``(3) Responsibilities.--
``(A) In general.--In operating a one-stop delivery 
system referred to in subsection (e), a one-stop 
operator--
``(i) shall--
``(I) manage operations of the one-
stop delivery system in the local area;
``(II) facilitate coordination 
among the one-stop partners in such 
one-stop delivery system; and
``(III) take the necessary steps to 
ensure efficient and effective service 
delivery for individuals served by the 
one-stop delivery system, including 
individuals with barriers to 
employment; and
``(ii) may, subject to the requirements 
under subparagraph (B), directly provide 
services to job seekers and employers.
``(B) Internal controls.--In a case in which a one-
stop operator seeks to operate as a service provider 
pursuant to subparagraph (A)(ii), the local board shall 
establish internal controls (which shall include 
written policies and procedures)--
``(i) with respect to the competition in 
which the one-stop operator will compete to be 
selected as such service provider, and the 
subsequent oversight, monitoring, and 
evaluation of the performance of such one-stop 
operator as such service provider; and
``(ii) which require compliance with--
``(I) relevant Office of Management 
and Budget circulars relating to 
conflicts of interest; and
``(II) any applicable State 
conflict of interest policy.
``(4) Local boards as one-stop operators.--Subject to 
approval from the chief elected official and Governor and in 
accordance with any other eligibility criteria established by 
the State, a local board may serve as a one-stop operator, if 
the local board--
``(A) enters into a written agreement with the 
chief elected official that clarifies how the local 
board will carry out the functions and responsibilities 
as a one-stop operator in a manner that complies with 
the appropriate internal controls to prevent any 
conflicts of interest, which shall include how the 
local board, while serving as a one-stop operator, 
will--
``(i) comply with the relevant Office of 
Management and Budget circulars relating to 
conflicts of interest; and
``(ii) any applicable State conflict of 
interest policy; and
``(B) complies with the other applicable 
requirements of this subsection.''.
(d) One-Stop Delivery.--Section 121(e) of the Workforce Innovation 
and Opportunity Act (29 U.S.C. 3151(e)) is amended--
(1) in paragraph (2)--
(A) in subparagraph (A), to read as follows:
``(A) shall make each of the programs, services 
(meaning a referral in the case of supportive services, 
for the purposes of this paragraph), and activities 
described in paragraph (1) available--
``(i) at not less than 1 physical or 
virtual center for each local area of the 
State, except that local areas may share--
``(I) a virtual center, if the 
local area complies with subparagraph 
(E); or
``(II) a physical center, if such 
center is located in a location that 
promotes accessibility to services for 
individuals residing in all such local 
areas served by the center; and
``(ii) in a manner that is designed to 
promote efficiency, coordination, quality, and 
accessibility for individuals with barriers to 
employment, as determined by the local board, 
in the delivery of such programs, services, and 
activities;'';
(B) in subparagraph (B)(i), by inserting after 
``affiliated sites'' the following: ``(such as a site 
of any of the entities described in subsection 
(d)(2)(B))'';
(C) in subparagraph (C)--
(i) by inserting after ``centers'' the 
following: ``(which may be virtual or physical 
centers)''; and
(ii) by striking ``and'' at the end;
(D) in subparagraph (D)--
(i) by striking ``as applicable and 
practicable, shall'' and inserting ``in the 
case of a one-stop delivery system that is 
making each of the programs, services, and 
activities described in paragraph (1) 
accessible at not less than 1 physical center, 
as described in subparagraph (A)(i), shall, in 
accordance with the regulations issued pursuant 
to paragraph (5),''; and
(ii) by striking the period at the end and 
inserting ``, and local areas that share at 
least 1 common border may coordinate in making 
such programs, services, and activities 
accessible through electronic means through 
such a one-stop delivery system; and''; and
(E) by inserting after subparagraph (D) the 
following:
``(E) in the case of a one-stop delivery system 
that is making each of the programs, services, and 
activities accessible through electronic means, as 
described in subparagraph (A)(i), shall--
``(i) have not fewer than 2 affiliated 
sites (not fewer than 1 of which will have not 
fewer than 1 professional staff member) with a 
physical location where individuals can access, 
virtually, each of the programs, services, and 
activities described in paragraph (1) that are 
virtually accessible; and
``(ii) comply with the regulations issued 
pursuant to paragraph (5).'';
(2) in paragraph (4), by inserting after the first sentence 
the following: ``The system identifier shall be prominently and 
visibly displayed at each comprehensive and specialized one-
stop center operated by the one-stop delivery system, including 
physical and virtual centers identified in paragraph (2)(A), 
and the sites and centers described in subparagraphs (B) 
through (E) of paragraph (2).''; and
(3) by adding at the end the following:
``(5) Minimum digital functionality regulations.--The 
Secretary shall issue regulations to establish minimum digital 
functionality requirements with respect to the one-stop 
delivery system.''.
(e) Certification and Improvement Criteria.--Section 121(g)(2)(A) 
of the Workforce Innovation and Opportunity Act (29 U.S.C. 
3151(g)(2)(A)) is amended by striking ``under subsections (h)(1)'' and 
inserting ``under subsections (h)(1)(C)''.
(f) Funding of One-Stop Infrastructure.--Section 121(h) of the 
Workforce Innovation and Opportunity Act (29 U.S.C. 3151(h)) is 
amended--
(1) by striking paragraph (1);
(2) by redesignating paragraphs (2) and (3) as paragraphs 
(1) and (2), respectively;
(3) in paragraph (1), as so redesignated--
(A) by amending subparagraph (B) to read as 
follows:
``(B) Partner contributions.--Subject to 
subparagraph (D), the covered portions of funding for a 
fiscal year shall be provided to the Governor from the 
programs described in subsection (b)(1) to pay the 
costs of infrastructure of one-stop centers in local 
areas of the State.'';
(B) in subparagraph (C)(i)--
(i) by striking ``for funding pursuant to 
clause (i)(II) or (ii) of paragraph (1)(A) by 
each partner,''; and
(ii) by striking the third sentence; and
(C) in subparagraph (D)--
(i) in clause (ii), by striking ``For local 
areas in a State that are not covered by 
paragraph (1)(A)(i)(I), the'' and inserting 
``The'';
(ii) in clause (ii)--
(I) in subclause (I)--
(aa) by striking ``Wia'' in 
the header and inserting 
``Wioa''; and
(bb) by striking ``3 
percent'' and inserting ``5 
percent''; and
(II) by striking subclause (III) 
and inserting the following:
``(III) Vocational 
rehabilitation.--Notwithstanding 
subclauses (I) and (II), an entity 
administering a program described in 
subsection (b)(1)(B)(iii) shall not be 
required to provide from that program, 
under this paragraph, a portion that 
exceeds 1.5 percent of the amount of 
Federal funds provided to carry out 
such program in the State for a program 
year.''; and
(iii) in clause (iii), by striking ``For 
local areas in a State that are not covered by 
paragraph (1)(A)(i)(I), an'' and inserting 
``An'';
(4) in paragraph (2), as so redesignated--
(A) in subparagraph (A), by striking ``purposes of 
assisting in'' and inserting ``purpose of''; and
(B) in subparagraph (B)--
(i) in the first sentence, by striking 
``not funding costs of infrastructure under the 
option described in paragraph (1)(A)(i)(I)''; 
and
(ii) in the second sentence, by inserting 
after ``local area,'' the following: ``the 
intensity of services provided by such centers, 
the number and types of one-stop partners 
engaged by or providing services through such 
centers'';
(5) by inserting after paragraph (2), as so redesignated, 
the following:
``(3) Supplemental infrastructure funding.--For any fiscal 
year in which the allocation received by a local area under 
paragraph (2) is insufficient to cover the total costs of 
infrastructure of one-stop centers in such local area, the 
local board, the chief elected official, and the one-stop 
partners that have entered into the local memorandum of 
understanding with the local board under subsection (c) may 
agree to fund, using Federal or other funds, the remainder of 
any such costs using a method described in such memorandum.''; 
and
(6) in paragraph (4), by inserting after ``operation of the 
one-stop center'' the following: ``(whether for in-person or 
virtual service delivery)''.
(g) Other Funds.--Section 121(i)(2) of the Workforce Innovation and 
Opportunity Act (29 U.S.C. 3151(i)(2)) is amended by striking 
``intake,'' and all that follows through ``skills,'' and inserting 
``intake, case management, assessment of needs, appraisal of 
foundational skill needs,''.

SEC. 122. IDENTIFICATION OF ELIGIBLE PROVIDERS OF TRAINING SERVICES.

(a) In General.--Section 122 of the Workforce Innovation and 
Opportunity Act (29 U.S.C. 3152) is amended--
(1) by redesignating subsections (f) through (i) as 
subsections (g) through (j), respectively;
(2) by striking the section heading and all that follows 
through subsection (e) and inserting the following:

``SEC. 122. IDENTIFICATION OF ELIGIBLE PROVIDERS OF TRAINING SERVICES.

``(a) Eligibility.--
``(1) In general.--Except as provided in subsection (i), 
the Governor, after consultation with the State board and 
considering the State's adjusted levels of performance 
described in section 116(b)(3)(A)(iv), shall establish--
``(A) procedures regarding the eligibility of 
providers of training services to receive funds 
provided under section 133(b) for the provision of 
training services through programs with eligibility 
under this section (in this section referred to as 
`eligible programs') in local areas in the State; and
``(B) the minimum levels of performance on the 
criteria for a program to receive such eligibility.
``(2) Providers.--Subject to the provisions of this 
section, to be eligible to receive those funds for the 
provision of training services, the provider shall be--
``(A) an institution of higher education that 
provides a program that leads to a recognized 
postsecondary credential;
``(B) an entity that carries out programs 
registered under the Act of August 16, 1937 (commonly 
known as the `National Apprenticeship Act'; 50 Stat. 
664, chapter 663; 29 U.S.C. 50 et seq.); or
``(C) another public or private provider of a 
program of training services, which may include joint 
labor-management organizations, providers of 
entrepreneurial skills development programs, industry 
or sector partnerships, groups of employers, trade or 
professional associations, and eligible providers of 
adult education and literacy activities under title II 
(if such activities are provided in combination with 
occupational skills training or integrated education 
and training programs).
``(3) Inclusion in list of eligible providers.--
``(A) Compliance with additional criteria, 
information requirements and procedures.--A provider 
described in subparagraph (A) or (C) of paragraph (2) 
(other than a provider described in subparagraph 
(B)(ii) of this paragraph) shall comply with the 
criteria, information requirements, and procedures 
established under this section to be included on the 
list of eligible providers of training services 
described in subsection (d).
``(B) Automatic inclusion.--
``(i) Providers of registered 
apprenticeship programs.--A provider described 
in paragraph (2)(B) shall be included and 
maintained on the list of eligible providers of 
training services described in subsection (d) 
for so long as the corresponding program of the 
provider remains registered as described in 
paragraph (2)(B).
``(ii) Providers of workforce pell 
programs.--With respect to a provider described 
in paragraph (2)(A) that provides an eligible 
program for purposes of the Workforce Pell 
Grant program under section 401(k) of the 
Higher Education Act of 1965 (20 U.S.C. 
1070a(k)), as added by section 83002(a) of 
Public Law 119-21, such provider shall be 
included and maintained on the list of eligible 
providers of training services described in 
subsection (d) for so long as the provider 
provides such eligible program.
``(b) Criteria and Information Requirements.--
``(1) General criteria for programs.--Each provider shall 
demonstrate to the Governor that the program for which the 
provider is seeking eligibility under this section--
``(A) prepares participants to meet the hiring 
requirements of potential employers in the State, or a 
local area within the State, for employment that--
``(i) is high-skill and high-wage; or
``(ii) is in an in-demand industry sector 
or occupation;
``(B) leads to a recognized postsecondary 
credential;
``(C) has been offered by the provider for not less 
than 1 year; and
``(D) meets the performance requirements for 
eligibility described in paragraph (2).
``(2) Performance criteria for eligibility.--
``(A) In general.--The Governor shall--
``(i) establish and publicize minimum 
levels of performance for each of the criteria 
listed in subparagraph (B) that a program 
offered by a provider of training services 
shall achieve, for all participants in the 
program (including participants for whom the 
provider receives payments under this title) 
for the program to receive and maintain 
eligibility under this section;
``(ii) verify the performance achieved by 
such a program with respect to each such 
criterion to determine whether the program 
meets the corresponding minimum level of 
performance established under clause (i)--
``(I) in the case of the criteria 
described in (ii) through (iv) of 
subparagraph (B), using State 
administrative data (such as quarterly 
wage records); and
``(II) in the case of the criteria 
described in subparagraph (B)(i), using 
any applicable method for such 
verification; and
``(iii) in verifying the performance 
achievement of a program to make such 
determination, verify that such program 
included a sufficient number of program 
participants to protect participants' 
personally identifiable information, and to 
provide information that is a reliable 
indicator of performance achievement.
``(B) Performance criteria.--The performance 
criteria to receive and maintain eligibility for a 
program under this section are each of the following:
``(i) The credential attainment rate of 
program participants (calculated as the 
percentage of program participants who obtain 
the recognized postsecondary credential that 
the program prepares participants to earn 
within 6 months after exit from the program).
``(ii) The job placement rate of program 
participants (calculated as the percentage of 
program participants in unsubsidized employment 
during the second quarter after exit from the 
program).
``(iii) The median earnings of program 
participants who are in unsubsidized employment 
during the second quarter after exit from the 
program.
``(iv) The ratio of median earnings 
increase to the total cost of program, 
calculated as the ratio of--
``(I) the median value of the 
difference between--
``(aa) participant wages 
from unsubsidized employment 
during the second quarter after 
program exit; and
``(bb) participant wages 
during the quarter prior to 
entering the program; to
``(II) the total cost of the 
program (as described in paragraph 
(5)(B)(i)(III)).
``(C) Local criteria.--With respect to any program 
receiving eligibility under this section from a 
Governor, a local board in the State may require higher 
levels of performance than the minimum levels of 
performance established by the Governor under this 
paragraph for the program to be an eligible program in 
the corresponding local area, but may not--
``(i) require any information or 
application from the provider that is not 
required for such eligibility; or
``(ii) establish a performance requirement 
with respect to any criterion not listed in 
subparagraph (B).
``(3) Employer-sponsored or industry or sector partnership 
designation.--
``(A) In general.--The Governor shall establish 
procedures and criteria for a provider to demonstrate 
that a program meets, in applying for an employer-
sponsored designation for a program that has received 
eligibility under this subsection, which shall include 
demonstrating a commitment from an employer or an 
industry or sector partnership to--
``(i) pay to the provider, on behalf of 
each participant enrolled in such program under 
this Act, not less than 25 percent of the total 
cost of the program (as described in paragraph 
(5)(B)(i)(III)), which shall be provided in 
lieu of 25 percent of the amount that the 
provider would have otherwise received under 
section 133(b) for the provision of training 
services by such program to such participant; 
and
``(ii) guarantee an interview and 
meaningful consideration for a job with the 
employer, or in the case of an industry or 
sector partnership, an employer within such 
partnership, for each such participant that 
successfully completes the program.
``(B) Restriction on financial arrangement.--A 
provider of a program receiving an employer-sponsored 
designation under this paragraph may not--
``(i) have an ownership stake in the 
employer or industry or sector partnership 
making a commitment described in subparagraph 
(A); or
``(ii) enter into an arrangement to 
reimburse an employer or partnership for the 
costs of a participant paid by such employer or 
partnership under this paragraph.
``(4) Workforce innovation leader designation.--
``(A) In general.--If the Governor determines that 
a program offered by an eligible provider meets the 
minimum levels of performance described in subparagraph 
(B) to receive a Workforce Innovation Leader (or WIL) 
designation, which designates the program as a WIL 
program, the Governor shall grant the program 
designation as a WIL program and inform the provider of 
such program of their ability to display the WIL seal, 
as described in subparagraph (C), in marketing 
materials.
``(B) Levels.--A eligible program shall meet the 
levels of performance to receive a WIL designation if 
such program has achieved--
``(i) a credential attainment rate of 
program participants (calculated as the 
percentage of program participants who obtain 
the recognized postsecondary credential that 
the program prepares participants to earn 
within 6 months after exit from the program) of 
not less than 80 percent;
``(ii) a job placement rate of program 
participants (calculated as the percentage of 
program participants in unsubsidized employment 
during the second quarter after exit from the 
program) of not less than 70 percent;
``(iii) median earnings of program 
participants who are in unsubsidized employment 
during the second quarter after exit from the 
program that are not less than 25 percent 
greater than the State-level median earnings of 
individuals ages 25 through 34 in the labor 
force who have only a regular high school 
diploma or its recognized equivalent; and
``(iv) a ratio of greater than 1.5 of 
median earnings increase to the total cost of 
program, calculated as the ratio of--
``(I) the median value of the 
difference between--
``(aa) participant wages 
from unsubsidized employment 
during the second quarter after 
program exit; and
``(bb) participant wages 
during the quarter prior to 
entering the program; to
``(II) the total cost of the 
program (as described in paragraph 
(5)(B)(i)(III)).
``(C) WIL seal.--Not later than 2 years after the 
date of enactment of the A Stronger Workforce for 
America Act of 2026, the Secretary shall design a seal 
signifying that a program has achieved a WIL 
designation, for the Governor of each State to provide 
to any programs in their State that achieve the 
performance necessary to receive a WIL designation.
``(D) Loss of wil designation.--If, during the 
annual review of eligibility described in subsection 
(c)(3), the Governor determines that a WIL program no 
longer meets the levels described in subparagraph (B) 
or otherwise has eligibility under this section revoked 
or terminated, or the provider of the program has 
eligibility terminated under subsection (g)(1)(A), the 
Governor shall revoke the program's WIL designation and 
inform the provider of such program that such provider 
may no longer display the WIL seal in marketing 
materials or otherwise.
``(5) Information requirements.--A provider that seeks to 
establish eligibility under this section, and an eligible 
provider, shall submit appropriate, accurate, and timely 
information to the Governor, to enable the Governor to carry 
out subsection (d), with respect to all participants in each 
eligible program (including participants for whom the provider 
receives payments under this title) offered by the provider, 
which information shall--
``(A) be made available by the State in a common, 
linked, open, and interoperable data format; and
``(B) consist of--
``(i) information on--
``(I) in the case of an eligible 
provider offering a program who is 
seeking to maintain eligibility, the 
performance of the program with respect 
to the indicators described in section 
116(b)(2)(A) for participants in the 
program;
``(II) the recognized postsecondary 
credentials received by such 
participants, including, in relation to 
each such credential, the issuing 
entity, any third-party endorsements, 
the occupations for which the 
credential prepares individuals, the 
competencies achieved by the 
individuals, the level of mastery of 
such competencies (including how 
mastery is assessed) achieved by the 
individuals, and any transfer value or 
stackability;
``(III) the total cost of the 
program, including the costs of the 
published tuition and fees, supplies, 
and books, and any other costs required 
by the provider, for a participant in 
the program;
``(IV) the percentage of such 
participants that complete the program 
within the expected time to completion; 
and
``(V) the program's level of 
performance on the criteria described 
in paragraph (2) and not otherwise 
included in clause (I) of this clause; 
and
``(ii) with respect to employment and 
earnings measures described in subclauses (I) 
through (III) of section 116(b)(2)(A)(i) and 
the performance criteria described in 
subsection (b)(2) for such participants--
``(I) the necessary information for 
the State to develop program 
performance data using State 
administrative data (such as quarterly 
wage records); and
``(II) the necessary information to 
determine the percentage of such 
participants who entered unsubsidized 
employment in an occupation related to 
the program, to the extent practicable.
``(6) Eligible provider.--In this section, other than 
subsection (i), a provider of an eligible program under this 
section shall be considered to be identified as an eligible 
provider of training services.
``(c) Procedures.--
``(1) Application procedures.--The procedures established 
under subsection (a) shall identify the application process for 
a provider of training services (for a program offered by the 
provider) to become eligible to receive funds provided under 
section 133(b) for the provision of training services. That 
process shall be implemented in a manner that minimizes the 
financial and administrative burden on the provider and shall 
not require the submission of information in excess of the 
information required to determine a program's eligibility under 
paragraphs (1), (2), and (5) of subsection (b). The procedures 
shall identify the respective roles of the State and local 
areas in receiving and reviewing the applications and in making 
determinations of such eligibility based on the criteria, 
information requirements, and procedures established under this 
section. The procedures shall also establish a process, for a 
provider of training services to appeal a denial or revocation 
or termination of eligibility under this section, that includes 
an opportunity for a hearing and prescribes appropriate time 
limits to ensure prompt resolution of the appeal.
``(2) Approval.--A Governor shall make a determination of 
such eligibility with respect to a program for which the 
provider is seeking eligibility under this section not later 
than 30 days after receipt of an application submitted by such 
provider consistent with the procedures in paragraph (1).
``(3) Renewal procedures.--The procedures established by 
the Governor shall also provide for annual review and renewal 
of eligibility under this section for a program of training 
services that continues to meet the requirements under 
paragraphs (1), (2), and (5) of subsection (b).
``(4) Revocation of eligibility.--The procedures 
established under subsection (a) shall adhere to the following 
requirements for revocation of eligibility by the Governor:
``(A) Failure to provide required information.--
With respect to a provider of training services that is 
eligible under this section for a program year with 
respect to an eligible program, but that does not 
provide the information described in subsection (b)(5) 
with respect to such program for such program year 
(including information on performance necessary to 
determine if the program meets the minimum levels of 
performance on the performance criteria to maintain 
eligibility), the provider shall be ineligible under 
this section with respect to such program for the 
program year after the program year for which the 
provider fails to provide such information.
``(B) Failure to meet performance criteria.--
``(i) First year.--The provider of an 
eligible program that has received eligibility 
under subsection (c)(2) for a program year but 
fails to meet the minimum levels of performance 
on the performance criteria described in 
subsection (b)(2) for the most recent program 
year for which performance data on such 
criteria are available shall be notified of 
such failure by the Governor.
``(ii) Second consecutive year.--A program 
that fails to meet the minimum levels of 
performance for a second consecutive program 
year shall be ineligible under this section 
with respect to such program for the program 
year following such second consecutive program 
year and until the program meets the minimum 
levels of performance.
``(iii) Reapplication.--A provider that 
loses eligibility under this subparagraph with 
respect to a program may reapply to receive 
eligibility for the program according to the 
procedures described in this subparagraph if 
the program meets the minimum levels of 
performance described in clause (i), for the 
most recent program year for which performance 
data on the performance criteria are available.
``(C) Repeated failure.--A program for which the 
Governor revokes eligibility under subparagraph (A) or 
(B)--
``(i) 2 times shall be determined 
ineligible under this section by the Governor 
for a period of at least 2 years;
``(ii) 3 times shall be determined 
ineligible under the section by the Governor 
for a period of at least 5 years; and
``(iii) more than 3 times shall be 
determined ineligible under this section by the 
Governor for a period of at least 10 years.
``(5) Continuity of training services.--A provider of a 
program for which the Governor revokes eligibility under 
paragraph (4) shall--
``(A) be prohibited from enrolling any new 
participants whose participation would be funded under 
section 133(b) in the program and from receiving any 
payments from funds provided under section 133(b) for 
any participants not already enrolled in the program on 
the date of revocation or termination until and unless 
the Governor determines that the provider has 
demonstrated that the program offered by the provider 
has met the requirements for the provider to gain the 
opportunity to reapply for eligibility under the 
procedure described in paragraph (4)(B)(iii); and
``(B) enable each participant currently enrolled in 
the program, on the date of the revocation or 
termination, to complete such program.
``(6) Notification of program loss of eligibility.--The 
local board serving participants whose participation is funded 
under section 133(b) in a program for which eligibility is 
revoked by the Governor under this subsection shall notify such 
participants that such program no longer meets the State's 
requirements for eligible providers of training services under 
this Act and that the participant has the opportunity to 
continue receiving training services from such program, in 
order to complete the program.
``(7) Multistate providers.--The procedures established 
under subsection (a) shall specify the process for any provider 
of training services offering a program that is eligible under 
this section in a first State to establish eligibility under 
this section in an additional State, which shall, to the extent 
practicable, minimize financial and administrative burdens on 
any such provider by authorizing the provider to submit the 
same application materials and information to the Governor of 
the additional State that was accepted by the Governor granting 
the provider's eligibility in the first State, as long as the 
program meets the applicable State requirements for such 
eligibility established under subsection (b).
``(8) Online providers.--The procedures established under 
subsection (a) shall apply to a provider that delivers training 
services exclusively online. If a participant chooses a 
provider that delivers training services exclusively online and 
is not located in the State of the local area that approved 
such training services for the participant in accordance with 
section 133(c)(3)(A)(i), such provider shall be ineligible to 
receive payment for such participant from funds allotted to 
such State under section 132 unless such provider is on the 
list of eligible providers of training services described in 
subsection (d) for such State with respect to the program 
involved.
``(d) List and Information to Assist Participants in Choosing 
Providers.--
``(1) In general.--In order to facilitate and assist 
participants in choosing employment and training activities and 
in choosing providers of training services, the Governor shall 
ensure that an appropriate list of providers determined to be 
eligible under this section to offer a program in the State 
(and, as appropriate, in a local area), accompanied by 
information identifying the recognized postsecondary credential 
offered by the provider and other appropriate information, is 
prepared. The list shall be provided to the local boards in the 
State, and made available to such participants and to members 
of the public through the one-stop delivery system in the State 
in accordance with paragraph (4).
``(2) Talent marketplace.--The Governor may establish (or 
develop in partnership with other States) a talent marketplace.
``(3) Accompanying information.--The accompanying 
information referred to in paragraph (1) shall consist of--
``(A) with respect to providers described in 
subparagraphs (A) and (C) of subsection (a)(2) (other 
than providers described in subsection (a)(3)(B)(ii)), 
information provided by such providers (disaggregated 
by local areas served, as applicable) in accordance 
with subsection (b);
``(B) with respect to a program described in 
subsection (b)(3) that is offered by a provider, 
information promoting the program as having an 
employer-sponsored designation and identifying the 
employer or partnership sponsoring the program; and
``(C) with respect to a program described in 
subsection (b)(4) that is offered by a provider, 
information promoting the program as being a WIL 
program and displaying the seal described in subsection 
(b)(4)(C).
``(4) Availability.--The list (including the talent 
marketplace if one has been established by the State), and the 
accompanying information shall be made available to such 
participants and to members of the public through the one-stop 
delivery system in the State--
``(A) on a publicly accessible website that--
``(i) is consumer-tested; and
``(ii) is searchable, easily 
understandable, and navigable, and allows for 
the comparison of eligible programs through the 
use of common, linked, open-data descriptive 
language, including interoperable skills and 
competency data; and
``(B) in a manner that does not reveal personally 
identifiable information about an individual 
participant.
``(5) Website technical assistance.--The Secretary shall--
``(A) upon request, provide technical assistance to 
a State on establishing a website that meets the 
requirements of paragraph (4); and
``(B) disseminate to each State effective practices 
or resources from States and private sector entities 
related to establishing a website that is consumer-
tested to ensure that the website is easily understood, 
searchable, and navigable.
``(6) Limitation.--In carrying out the requirements of this 
subsection, no personally identifiable information regarding a 
student, including a Social Security number, student 
identification number, or other identifier, may be disclosed 
without the prior written consent of the student or student's 
parent in compliance with section 444 of the General Education 
Provisions Act (20 U.S.C. 1232g).
``(e) Opportunity to Submit Comments.--In establishing, under this 
section, criteria, procedures, and the list of eligible providers 
described in subsection (d), the Governor shall provide an opportunity 
for interested members of the public to make recommendations and submit 
comments regarding such criteria, procedures, and list.
``(f) Provider Performance Incentives.--
``(1) In general.--The Governor shall establish a system of 
performance incentive payments to be awarded to eligible 
providers in addition to the amount paid under section 133(b) 
to such providers for the provision of training services to 
participants of eligible programs. Such system of performance 
incentive payments may be established to award the payments to 
providers of eligible programs that--
``(A) achieve levels of performance above the 
minimum levels established by the Governor under 
subsection (b)(2);
``(B) serve a significantly higher number of 
individuals with barriers to employment compared to 
training providers offering similar training services; 
or
``(C) achieve other performance successes, 
including those related to jobs that provide economic 
stability and upward mobility (such as jobs with high 
wages and family sustainable benefits) as determined by 
the State or the local board.
``(2) Incentive payments.--Incentive payments to providers 
established under paragraph (1) shall be awarded to eligible 
providers from funds reserved by the Governor under section 
128(a)(1), except that not more than 5 percent of the funds 
reserved by the Governor under section 128(a)(1) may be used 
for such payments.'';
(3) by striking subsections (i) and (j) and inserting the 
following:
``(i) On-the-job Training, Employer-directed Skills Development, 
Incumbent Worker Training, and Other Training Exceptions.--
``(1) In general.--Providers of on-the-job training, 
employer-directed skills development, incumbent worker 
training, internships, paid or unpaid work experience 
opportunities, or transitional employment shall not be subject 
to the requirements of subsections (a) through (f).
``(2) Collection and dissemination of information.--A one-
stop operator in a local area shall collect the minimum amount 
of information from providers of on-the-job training, employer-
directed skills development, incumbent worker training, 
internships, paid or unpaid work experience opportunities, or 
transitional employment as necessary to enable the use of State 
administrative data to generate such performance information as 
the Governor may require, and use the information to determine 
whether the providers meet such performance criteria as the 
Governor may require. The one-stop operator shall disseminate 
information identifying such providers that meet the criteria 
as eligible providers, and the performance information, through 
the one-stop delivery system. Providers determined to meet the 
criteria shall be considered to be identified as eligible 
providers of training services.
``(j) Technical Assistance.--The Governor may apply to the 
Secretary for technical assistance, as described in section 168(c), for 
purposes of carrying out the requirements of the amendments made by the 
A Stronger Workforce for America Act of 2026 to this section, and the 
Secretary shall provide such technical assistance in a timely 
manner.''.
(b) Report to Congress on State Performance Criteria.--Not later 
than 4 years after the date of enactment of this Act, the Secretary of 
Labor shall submit a report to the Committee on Education and Workforce 
of the House of Representatives and the Committee on Health, Education, 
Labor, and Pensions of the Senate on eligible providers of training 
services under section 122 of the Workforce Innovation and Opportunity 
Act (29 U.S.C. 3152), as amended by this Act, in each State that shall 
include--
(1) the minimum levels of performance established by the 
Governor of each State with respect to the performance criteria 
under subsection (b)(2) of that section 122 for such eligible 
providers of training services in the State;
(2) the number of such eligible providers of training 
services in the State in each program year that begins after 
the date of enactment of this Act, compared with the number of 
such providers in the State in the program year that began 
immediately preceding that date of enactment; and
(3) the average length of time that such eligible providers 
of training services in the State maintain eligibility, 
disaggregated by the type of entity that provided the training 
services.

SEC. 123. ELIGIBLE PROVIDERS OF YOUTH WORKFORCE INVESTMENT ACTIVITIES.

Section 123(a) of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3153(a)) is amended by inserting ``, which may include providers 
of pre-apprenticeship programs, and apprenticeship programs, that serve 
youth,'' before ``identified based''.

CHAPTER 2--YOUTH WORKFORCE INVESTMENT ACTIVITIES

SEC. 131. RESERVATIONS; REALLOCATION.

(a) Reservations for Statewide Activities.--Section 128(a) of the 
Workforce Innovation and Opportunity Act (29 U.S.C. 3163(a)) is 
amended--
(1) in paragraph (2), by striking ``reserved amounts'' in 
each place and inserting ``reserved amounts required under 
paragraph (1)''; and
(2) by adding at the end the following:
``(3) Critical industry skills fund, and industry sector 
partnership and career pathways development fund.--
``(A) Authorized reservation.--In addition to the 
reservations required under paragraph (1) and section 
133(a)(2), and subject to subparagraph (B), the 
Governor may reserve not more than 10 percent of each 
of the amounts allotted to the State under section 
127(b)(1)(C) and paragraphs (1)(B) and (2)(B) of 
section 132(b) for a fiscal year to establish and 
administer any one, or both, of the following:
``(i) A critical industry skills fund 
described in section 134(a)(4).
``(ii) An industry or sector partnership 
and career pathways development fund described 
in section 134(a)(5).
``(B) Matching funds.--
``(i) Requirement.--The amount of funds 
reserved by a Governor under subparagraph (A) 
for a fiscal year may not exceed the amount of 
funds that such Governor commits to using from 
any of the funds listed in clause (ii) of this 
subparagraph for the purposes of establishing 
and administering the funds described in 
clauses (i) and (ii) of subparagraph (A) for 
such fiscal year.
``(ii) Sources of matching funds.--The 
funds listed in this clause are as follows:
``(I) Funds reserved by the 
Governor under paragraph (1) of this 
subsection.
``(II) Other Federal funds not 
described in subclause (I).
``(III) State funds.''.
(b) Reallocation Among Local Areas.--Section 128(c) of the 
Workforce Innovation and Opportunity Act (29 U.S.C. 3173(c)) is 
amended--
(1) in paragraph (1), by inserting the following before the 
period at the end: ``as performance-based incentive payments''; 
and
(2) in paragraph (4)--
(A) by striking ``that does not'' and inserting the 
following: ``that--
``(A) does not'';
(B) by striking the period at the end and inserting 
a semicolon; and
(C) by adding at the end the following:
``(B) has met or exceeded an average of 100 percent 
of the local level of performance described in section 
116(c)(1)(B) for the local area across all indicators 
for the youth program authorized under this chapter for 
the most recent program year for which performance data 
is available; and
``(C) was not subject to corrective action by the 
Governor under section 184(a)(5)(A) for a determination 
of non-compliance with the uniform administrative 
requirements described in section 184(a)(3) for the 
program year for which the determination under 
paragraph (2) is made.''.

SEC. 132. USE OF FUNDS FOR YOUTH WORKFORCE INVESTMENT ACTIVITIES.

(a) Youth Participant Eligibility.--
(1) Eligibility determination.--
(A) Eligibility.--Subparagraph (A) of section 
129(a)(1) of the Workforce Innovation and Opportunity 
Act (29 U.S.C. 3164(a)(1)) is amended to read as 
follows:
``(A) Eligibility determination.--
``(i) In general.--To be eligible to 
participate in activities carried out under 
this chapter during any program year, an 
individual shall, at the time the eligibility 
determination is made, be an out-of-school 
youth or an in-school youth.
``(ii) Enrollment.--If a one-stop operator 
or eligible provider of youth workforce 
activities carrying out activities under this 
chapter reasonably believes that an individual 
is eligible to participate in such activities, 
the operator or provider may allow such 
individual to participate in such activities 
for not more than a 40-day period during which 
the operator or provider shall obtain the 
necessary information to make an eligibility 
determination with respect to such individual 
(which may involve working with such individual 
and other entities in the local area, and using 
available sources of administrative data, to 
obtain the necessary information).
``(iii) Determination of ineligibility.--
With respect to an individual who is determined 
to be ineligible for activities under this 
chapter by a one-stop operator or an eligible 
provider of youth workforce activities during 
the period described in clause (ii) and who 
does not qualify for an exception under 
paragraph (3)(A)(ii) applicable to the local 
area involved, such operator or service 
provider--
``(I) may--
``(aa) continue serving 
such individual using non-
Federal funds; or
``(bb) end the 
participation of such 
individual in activities under 
this chapter and refer the 
individual to other services 
that may be available in the 
local area for which the 
individual may be eligible; and
``(II) shall be paid for any 
services provided to such individual 
under this chapter during the period 
described in clause (ii) by the local 
area involved using funds allocated to 
such area under section 128(b).
``(iv) Determination process for homeless 
youth and foster youth.--In determining whether 
an individual is eligible to participate in 
activities carried out under this chapter on 
the basis of being an individual who is a 
homeless youth, or a youth in foster care, as 
described in subparagraph (B)(iii)(V), the one-
stop operator or service provider involved 
may--
``(I) if determining whether the 
individual is a homeless youth, use a 
process that is in compliance with the 
requirements of subsection (a) of 
section 479D of the Higher Education 
Act of 1965 (20 U.S.C. 1087uu-2) for 
financial aid administrators; and
``(II) if determining whether the 
individual is a youth in foster care, 
use a process that is in compliance 
with the requirements of subsection (b) 
of section 479D of the Higher Education 
Act of 1965 (20 U.S.C. 1087uu-2) for 
financial aid administrators.''.
(B) Definition of out-of-school youth.--
Subparagraph (B) of section 129(a)(1) of the Workforce 
Innovation and Opportunity Act (29 U.S.C. 3164(a)(1)) 
is amended--
(i) in clause (i), by inserting ``, except 
that an individual described in subparagraph 
(IV) or (V) of clause (iii) may be attending 
school (as defined under State law)'' after 
``(as defined under State law)'';
(ii) in clause (ii), by inserting before 
the semicolon at the end, the following : ``, 
except that an individual described in 
subparagraph (IV) or (V) of clause (iii) may be 
not younger than age 14 or older than age 24''; 
and
(iii) in clause (iii)--
(I) in subclause (III)--
(aa) in the matter 
preceding item (aa)--

(AA) by striking 
``secondary school 
diploma or its 
recognized equivalent'' 
and inserting ``regular 
high school diploma or 
its recognized 
equivalent''; and

(BB) by striking 
``and is'' and 
inserting ``and'';

(bb) in item (aa), by 
striking ``basic skills 
deficient;'' and inserting 
``has foundational skill 
needs;''; and
(cc) in item (bb), by 
striking ``an English language 
learner'' and inserting ``is an 
English learner''; and
(II) in subclause (V), by striking 
``(42 U.S.C. 14043e-2(6))'' and 
inserting ``(34 U.S.C. 12473(6))''.
(C) Definition of in-school youth.--Clause (iv) of 
section 129(a)(1)(C) of the Workforce Innovation and 
Opportunity Act (29 U.S.C. 3164(a)(1)(C)) is amended--
(i) in subclause (I), by striking ``Basic 
skills deficient.'' and inserting ``An 
individual who has foundational skill needs.'';
(ii) in subclause (II), by striking 
``language'';
(iii) by striking subclauses (III) and 
(IV); and
(iv) by redesignating subclauses (V), (VI), 
and (VII) as subclauses (III), (IV), and (V), 
respectively.
(D) Rule for certain out-of-school youth.--Section 
129(a)(1) of the Workforce Innovation and Opportunity 
Act (29 U.S.C. 3164(a)(1)) is amended by adding at the 
end the following:
``(D) Rule for certain out-of-school youth.--An 
out-of-school youth described in subclause (IV) or (V) 
of subparagraph (B)(iii) who is attending any school 
(as defined under State law) shall be eligible to 
participate in any activity for in-school youth carried 
out under this chapter.''.
(2) Exception and limitation.--Section 129(a)(3) of the 
Workforce Innovation and Opportunity Act (29 U.S.C. 3164(a)(3)) 
is amended--
(A) in subparagraph (A)(ii), by striking ``5'' and 
inserting ``10''; and
(B) in subparagraph (B)--
(i) by striking ``5'' and inserting ``10''; 
and
(ii) by striking ``paragraph 
(1)(C)(iv)(VII)'' and inserting ``paragraph 
(1)(C)(iv)(V)''.
(3) Out-of-school youth priority.--Section 129(a)(4) of the 
Workforce Innovation and Opportunity Act (29 U.S.C. 3164(a)(4)) 
is amended--
(A) in subparagraph (A)--
(i) by striking ``75'' each place it 
appears and inserting ``70'';
(ii) by inserting ``the total amount of'' 
before ``funds available''; and
(iii) by inserting ``in the State'' after 
``subsection (c)'';
(B) in subparagraph (B)(i), by striking ``75'' and 
inserting ``70'';
(C) by redesignating subparagraph (B), as so 
amended, as subparagraph (C); and
(D) by inserting after subparagraph (A) the 
following:
``(B) Local area targets.--The local board, the 
chief elected official, and the Governor shall 
negotiate and reach agreement on the minimum amount of 
funds provided to a local area under subsection (c) 
that shall be used to provide youth workforce 
investment activities for out-of-school youth based on 
the needs of the youth in the local area, which--
``(i) may not be an amount that is less 
than 45 percent of the funds provided to such 
local area under subsection (c); and
``(ii) shall be the amount that is 
necessary for the State to meet the 
requirements of subparagraph (A) with respect 
to the total amount of funds available for 
local areas under subsection (c).''.
(b) Required Statewide Youth Activities.--Section 129(b)(1) of the 
Workforce Innovation and Opportunity Act (29 U.S.C. 3164(b)(1)) is 
amended--
(1) in the matter preceding subparagraph (A), by striking 
``sections 128(a)'' and inserting ``sections 128(a)(1)'';
(2) in subparagraph (B), by inserting ``through a website 
that is consumer-tested to ensure that the website is easily 
understood, searchable, and navigable and allows for comparison 
of eligible providers based on the program elements offered by 
such providers and the performance of such providers on the 
primary indicators of performance for the youth program as 
described in section 116(b)(2)(A)(ii)'' after ``under section 
123''; and
(3) in subparagraph (D), by striking ``section 116(i)'' and 
inserting ``section 116(j)''.
(c) Allowable Statewide Youth Activities.--Section 129(b)(2) of the 
Workforce Innovation and Opportunity Act (29 U.S.C. 3164(b)(2)) is 
amended--
(1) in the matter preceding subparagraph (A), by striking 
``sections 128(a)'' and inserting ``sections 128(a)(1)'';
(2) in subparagraph (C), by inserting ``, which may include 
providing guidance on career options in in-demand industry 
sectors or occupations'' after ``in the State'';
(3) in subparagraph (D)--
(A) in clause (iv), by striking ``and'' at the end; 
and
(B) by inserting after clause (v) the following:
``(vi) supporting the ability to understand 
relevant tax information and obligations;'';
(4) in subparagraph (E), by striking the period at the end 
and inserting a semicolon; and
(5) by adding at the end the following:
``(F) establishing, supporting, and expanding work-
based learning opportunities (including transitional 
jobs and work-based learning opportunities designed for 
youth to develop and gain experience using emerging 
technologies, including artificial intelligence, in the 
workplace) that are aligned with career pathways;
``(G) raising public awareness (including through 
public service announcements, such as social media 
campaigns and elementary and secondary school showcases 
and school visits) about career and technical education 
programs and community-based and youth services 
organizations, and other endeavors focused on programs 
that prepare students for in-demand industry sectors or 
occupations;
``(H) developing partnerships between educational 
institutions (including area career and technical 
schools and institutions of higher education) and 
employers to create or improve workforce development 
programs to address the identified education and skill 
needs of the workforce (including the skills needed to 
use emerging technology tools and systems in the 
workplace) and the employment needs of employers in the 
regions or local areas of the State, as determined 
based on the most recent analysis conducted under 
subparagraphs (B) and (C) of section 102(b)(1);
``(I) coordinating activities with providers of a 
pre-apprenticeship program or apprenticeship program 
for youth in the State to establish, support, or expand 
the program described in this subparagraph, including 
any such program in the State receiving assistance 
under section 173;
``(J) coordinating activities with entities 
implementing reentry projects in the State focused on 
establishing or improving workforce development 
programs for juvenile offenders, including any such 
reentry projects in the State receiving assistance 
under section 172; and
``(K) coordinating activities with agencies 
implementing corrections education and other education 
programs in the State focused on providing incarcerated 
youth with education and skills development programs, 
including any such programs in the State receiving 
assistance under section 225.''.
(d) Local Elements and Requirements.--
(1) Program design.--Section 129(c)(1) of the Workforce 
Innovation and Opportunity Act (29 U.S.C. 3164(c)(1)) is 
amended--
(A) in subparagraph (A), by striking ``basic 
skills'' and inserting ``foundational skill needs'';
(B) in subparagraph (B), by inserting ``(which, in 
the case of a participant 18 years or older, may 
include co-enrollment in any employment or training 
activity provided under section 134 for adults)'' after 
``services for the participant'';
(C) in subparagraph (C)--
(i) in clause (i), by striking ``secondary 
school diploma or its recognized equivalent'' 
and inserting ``regular high school diploma or 
its recognized equivalent''; and
(ii) in clause (v), by inserting ``high-
skill, high-wage, or'' after ``small employers, 
in''; and
(D) in subparagraph (D), by striking ``10'' and 
inserting ``30''.
(2) Program elements.--Section 129(c)(2) of the Workforce 
Innovation and Opportunity Act (29 U.S.C. 3164(c)(2)) is 
amended--
(A) in the matter preceding subparagraph (A), by 
striking ``secondary school diploma or its recognized 
equivalent'' and inserting ``regular high school 
diploma or its recognized equivalent'';
(B) in subparagraph (A), by striking ``secondary 
school diploma or its recognized equivalent'' and 
inserting ``regular high school diploma or its 
recognized equivalent'';
(C) in subparagraph (C)--
(i) in clause (i)--
(I) by striking ``other'' and 
inserting ``year-round''; and
(II) by inserting ``that meet the 
requirements of paragraph (10)'' after 
``school year'';
(ii) in clause (ii), by inserting ``and 
apprenticeship programs that serve youth'' 
after ``programs'';
(iii) by amending clause (iii) to read as 
follows:
``(iii) internships that--
``(I) are paid internships or are 
unpaid internships for which academic 
credit may be awarded;
``(II) are, to the extent 
practicable, aligned with in-demand 
industry sectors or occupations in the 
State or local area; and
``(III) for which participants 
shall be paid (by the entity providing 
the internship, through funds allocated 
to the local area pursuant to paragraph 
(1) for the program, or by another 
entity) if such internships are longer 
than--
``(aa) 4 weeks in the 
summer or 8 weeks during the 
school year for in-school youth 
and out-of-school youth who are 
enrolled in school; or
``(bb) 8 weeks for out-of-
school youth who are not 
enrolled in school;'';
(iv) by redesignating clause (iv) as clause 
(v);
(v) by inserting after clause (iii), as so 
amended, the following:
``(iv) job shadowing;'';
(vi) in clause (v), as so redesignated, by 
inserting ``and'' at the end; and
(vii) by adding at the end the following:
``(vi) work-based learning;'';
(D) in subparagraph (H), by striking ``adult 
mentoring'' and inserting ``coaching and adult 
mentoring services'';
(E) in subparagraph (I), by inserting ``(including 
case management)'' after ``services'';
(F) in subparagraph (M)--
(i) by inserting ``high-skill, high-wage, 
or'' before ``in-demand industry''; and
(ii) by striking the ``and'' at the end;
(G) in subparagraph (N), by striking the period at 
the end and inserting ``; and''; and
(H) by adding at the end the following:
``(O) activities to develop fundamental workforce 
readiness, which may include creativity, collaboration, 
critical thinking, digital literacy, persistence, and 
other relevant skills.''.
(3) Priority.--Section 129(c)(4) of the Workforce 
Innovation and Opportunity Act (29 U.S.C. 3164(c)(4)) is 
amended to read as follows:
``(4) Priority.--
``(A) Work experiences.--Not less than 40 percent 
of the funds allocated to the local area as described 
in paragraph (1) shall be used to provide in-school 
youth and out-of-school youth with activities under 
paragraph (2)(C).
``(B) Apprenticeships and pre-apprenticeships for 
youth.--Not less than 12 and 1/2 percent of the funds 
used for the purposes described in subparagraph (A) 
shall be used to provide in-school youth and out-of-
school youth with activities under paragraph 
(2)(C)(ii).''.
(4) Rule of construction.--Section 129(c)(5) of the 
Workforce Innovation and Opportunity Act (29 U.S.C. 3164(c)(5)) 
is amended by inserting ``or local area'' after ``youth 
services''.
(5) Linkages.--Section 129(c)(7) of the Workforce 
Innovation and Opportunity Act (29 U.S.C. 3164(c)(7)) is 
amended by inserting ``, secondary schools, and area career and 
technical schools'' after ``agencies''.
(6) Individual training accounts.--Section 129(c) of the 
Workforce Innovation and Opportunity Act (29 U.S.C. 3164(c)) is 
amended by adding at the end the following:
``(9) Individual training accounts.--
``(A) In general.--Subject to subparagraph (B), 
funds allocated pursuant to paragraph (1) to a local 
area may be used to pay, through an individual training 
account, an eligible provider of training services 
described in section 122(d) for training services 
described in section 134(c)(3) provided to in-school 
youth who are not younger than age 16 and not older 
than age 21 and out-of-school youth, in the same manner 
that an individual training account is used to pay an 
eligible provider of training services under section 
134(c)(3)(F)(iii) for training services provided to an 
adult or dislocated worker.
``(B) Special rule for in-school youth younger than 
age 18.--To use an individual training account to pay 
for a program of training services that will take place 
during regular school hours for an in-school youth who 
is younger than the age 18, the local area shall 
receive written approval from the secondary school at 
which the in-school youth is enrolled prior to the 
start of the program of training services.''.
(7) Summer and year-round employment opportunities 
requirements.--Section 129(c) of the Workforce Innovation and 
Opportunity Act (29 U.S.C. 3164(c)) is further amended by 
adding at the end the following:
``(10) Summer and year-round employment opportunities 
requirements.--
``(A) In general.--A summer employment opportunity 
or a year-round employment opportunity referred to in 
paragraph (2)(C)(i) shall be a program that matches 
eligible youth participating in such program with an 
appropriate employer (based on factors including the 
needs of the employer and the age, skill, and informed 
aspirations of the eligible youth) that--
``(i) shall include--
``(I) a component of occupational 
skills education; and
``(II) not less than 2 of the 
activities described in subparagraphs 
(G), (H), (I), (K), (M), and (O) of 
paragraph (2);
``(ii) may not use funds allocated under 
this chapter to subsidize more than 50 percent 
of the wages of each eligible youth participant 
in such program;
``(iii) in the case of a summer employment 
opportunity, complies with the requirements of 
subparagraph (B); and
``(iv) in the case of a year-round 
employment opportunity, complies with the 
requirements of subparagraph (C).
``(B) Summer employment opportunity.--In addition 
to the applicable requirements described in 
subparagraph (A), a summer employment opportunity--
``(i) may not be less than 4 weeks; and
``(ii) may not pay less than the highest 
applicable wage required by the applicable 
Federal, State, or local minimum wage law.
``(C) Year-round employment opportunity.--In 
addition to the applicable requirements described in 
subparagraph (A), a year-round employment opportunity--
``(i) may not be shorter than 180 days or 
longer than 1 year;
``(ii) may not pay less than the highest 
applicable wage required by the applicable 
Federal, State, or local minimum wage law; and
``(iii) may not employ the eligible youth 
for less than 20 hours per week, except in 
instances when the eligible youth are under the 
age of 18 or enrolled in school.
``(D) Priority.--In selecting summer employment 
opportunities or year-round employment opportunities 
for purposes of paragraph (2)(C)(i), a local area shall 
give priority to such opportunities that meet the 
requirements of this paragraph and that are in existing 
or emerging high-skill, high-wage, or in-demand 
industry sectors or occupations.''.
(8) Conforming amendment.--Section 129(c)(3)(B) of the 
Workforce Innovation and Opportunity Act (29 U.S.C. 
3164(c)(3)(B)) is amended by striking ``basic skills'' and 
inserting ``foundational skill needs''.

CHAPTER 3--ADULT AND DISLOCATED WORKER EMPLOYMENT AND TRAINING 
ACTIVITIES

SEC. 141. STATE ALLOTMENTS.

Section 132(a)(2)(A) of the Workforce Innovation and Opportunity 
Act (29 U.S.C. 3172(a)(2)(A)) is amended by--
(1) striking ``, 169(c) (relating to dislocated worker 
projects),''; and
(2) by inserting ``, and under subsections (c) (related to 
dislocated worker projects) and (d) (related to workforce data 
quality initiatives) of section 169'' before ``; and''

SEC. 142. RESERVATIONS FOR STATE ACTIVITIES; WITHIN STATE ALLOCATIONS; 
REALLOCATION.

(a) Reservations for State Activities.--Section 133(a) of the 
Workforce Innovation and Opportunity Act (29 U.S.C. 3173(a)) is 
amended--
(1) in paragraph (1), by striking ``section 128(a)'' and 
inserting ``section 128(a)(1)''; and
(2) by adding at the end the following:
``(3) Critical industry skills fund, and industry or sector 
partnership and career pathways fund.--In addition to the 
reservations required under paragraphs (1) and (2), the 
Governor may make the reservation authorized under section 
128(a)(3).''.
(b) Within State Allocations.--Section 133(b)(1) of the Workforce 
Innovation and Opportunity Act (29 U.S.C. 3173(b)) is amended--
(1) in subparagraph (A), by striking ``subsection (a)(1)'' 
and inserting ``paragraph (1) or (3) of subsection (a)''; and
(2) in subparagraph (B), by striking ``paragraph (1) or (2) 
of subsection (a)'' and inserting ``paragraph (1), (2), or (3) 
of subsection (a)''.
(c) Reallocation Among Local Areas.--Section 133(c) of the 
Workforce Innovation and Opportunity Act (29 U.S.C. 3173(c)) is 
amended--
(1) in paragraph (1), by inserting before the period at the 
end, the following: ``as performance-based incentive 
payments'';
(2) in paragraph (4)--
(A) in subparagraph (A)--
(i) by striking ``that does not'' and 
inserting the following: ``that--
``(i) does not'';
(ii) by striking ``; and'' and inserting a 
semicolon; and
(iii) by adding at the end the following:
``(ii) has met or exceeded an average of 
100 percent of the local level of performance 
described in section 116(c)(1)(B) for the local 
area across all indicators for the adult 
program authorized under this chapter for the 
most recent program year for which performance 
data is available; and
``(iii) was not subject to corrective 
action by the Governor under section 
184(a)(5)(A) for a determination of non-
compliance with the uniform administrative 
requirements described in section 184(a)(3) for 
the program year for which the determination 
under paragraph (2) is made; and''; and
(B) in subparagraph (B)--
(i) by striking ``that does not'' and 
inserting the following: ``that--
``(i) does not'';
(ii) by striking the period at the end and 
inserting a semicolon; and
(iii) by adding at the end the following:
``(ii) has met or exceeded an average of 
100 percent of the local level of performance 
described in section 116(c)(1)(B) for the local 
area across all indicators for the dislocated 
worker program authorized under this chapter 
for the most recent program year for which 
performance data is available; and
``(iii) was not subject to corrective 
action by the Governor under section 
184(a)(5)(A) for a determination of non-
compliance with the uniform administrative 
requirements described in section 184(a)(3) for 
the program year for which the determination 
under paragraph (2) is made; and''; and
(3) by adding at the end the following:
``(5) Use of incentive funds.--Any amounts provided to a 
local area as a performance incentive payment under this 
subsection shall not be subject to the requirements described 
in section 134(c)(1)(B).''.

SEC. 143. USE OF FUNDS FOR EMPLOYMENT AND TRAINING ACTIVITIES.

(a) Statewide Employment and Training Activities.--
(1) In general.--Section 134(a)(1) of the Workforce 
Innovation and Opportunity Act (29 U.S.C. 3174(a)(1))--
(A) in subparagraph (A), by striking ``and'' at the 
end;
(B) in subparagraph (B)--
(i) in the matter preceding clause (i), by 
striking ``128(a)'' and inserting 
``128(a)(1)''; and
(ii) by amending clause (ii) to read as 
follows:
``(ii) may be used to carry out any of the 
statewide employment and training activities 
described in paragraph (3) (including 
establishing and administering any one, or 
both, of the funds referred to in subparagraph 
(C));''; and
(C) by inserting before the flush left text at the 
end the following:
``(C) as described in section 128(a)(3), shall be 
used to establish and administer any one, or both, of 
the following:
``(i) a critical industry skills fund 
described in paragraph (4); or
``(ii) an industry or sector partnership 
and career pathways development fund described 
in paragraph (5),''.
(2) Required statewide employment and training 
activities.--
(A) Statewide rapid response activities.--Section 
134(a)(2)(A) of the Workforce Innovation and 
Opportunity Act (29 U.S.C. 3174(a)(2)(A)) is amended--
(i) in clause (i)--
(I) in subclause (I)--
(aa) by striking 
``working'' and inserting ``as 
a rapid response unit 
working''; and
(bb) by striking ``and'' at 
the end;
(II) in subclause (II), by striking 
the period at the end and inserting ``; 
and''; and
(III) by adding at the end the 
following:
``(III) provision of additional 
assistance to any local area that has 
excess demand for individual training 
accounts for dislocated workers in such 
local area and requests such additional 
assistance under this subclause in 
accordance with paragraph (4) of 
section 414(c) of the American 
Competitiveness and Workforce 
Improvement Act of 1998 (29 U.S.C. 
3224a(5)), upon a determination by the 
State that, in using funds allocated to 
such local area pursuant to paragraph 
(1) of such section 414(c) and in using 
funds as required under subsection 
(c)(1)(B) of this section for the 
purpose described in paragraph (2)(A) 
of such section 414(c)), the local area 
is in compliance with the requirements 
of such section 414(c).''; and
(ii) by adding at the end the following:
``(iii) Insufficient funds to meet excess 
demand.--If a State determines that a local 
area with excess demand as described in clause 
(i)(III) has met the compliance requirements 
described in such clause, but the State does 
not have sufficient funds reserved under 
section 133(a)(2) to meet such excess demand, 
the State--
``(I) shall notify the Secretary of 
such excess demand; and
``(II) if eligible, may apply for a 
national dislocated worker grant under 
section 170 of this Act.''.
(B) Statewide employment and training activities.--
Section 134(a)(2)(B) of the Workforce Innovation and 
Opportunity Act (29 U.S.C. 3174(a)(2)(B) is amended--
(i) in clause (i)--
(I) in subclause (III), by striking 
``and'' at the end;
(II) by amending subclause (IV) to 
read as follows:
``(IV) local areas, one-stop 
operators, one-stop partners, and 
eligible providers, including the 
development and training of staff, 
which may include--
``(aa) the development and 
training of staff to provide 
information about wage levels 
and available benefits across 
in-demand industry sectors or 
occupations, and information 
about opportunities for 
individuals with barriers to 
employment to enter in-demand 
industry sectors or occupations 
and nontraditional occupations;
``(bb) providing capacity 
building and technical 
assistance to State board and 
local board members on the 
development of exemplary 
program activities;
``(cc) the development and 
education of staff to increase 
expertise in providing 
opportunities for covered 
veterans (as defined in section 
4212(a)(3)(A) of title 38, 
United States Code) to enter 
in-demand industry sectors or 
occupations and nontraditional 
occupations: and
``(dd) the provision of 
technical assistance to local 
areas that fail to meet local 
performance accountability 
measures described in section 
116(c); and''; and
(III) by adding at the end the 
following:
``(V) local boards and eligible 
providers of training services in 
carrying out the performance reporting 
required under section 116(d), 
including facilitating data matches for 
program participants--
``(aa) using quarterly wage 
record information (including 
the wage records made available 
by any other State and 
information provided from the 
National Directory of New Hires 
in accordance with section 
453(j)(8) of the Social 
Security Act (42 U.S.C. 
653(j)(8))); and
``(bb) other sources of 
information, as necessary to 
measure the performance of 
programs and activities 
conducted under this chapter or 
chapter 2 of this subtitle;'';
(ii) in clause (ii), by striking ``section 
106(b)(7)'' and inserting ``section 
106(b)(6)'';
(iii) in clause (iii), by striking 
``section 116(i)'' and inserting ``section 
116(j)''; and
(iv) in clause (v)--
(I) in subclause (II)--
(aa) by striking 
``customized training'' and 
inserting ``employer-directed 
skills development''; and
(bb) by striking 
``transitional jobs'' and 
inserting ``transitional jobs, 
or sponsors of apprenticeships 
and pre-apprenticeships'';
(II) in subclause (III), by 
inserting ``, including business 
engaged in joint labor-management 
partnerships'' before the semicolon;
(III) by redesignating subclauses 
(V) and (VI) as subclauses (VI) and 
(VII), respectively;
(IV) by inserting after subclause 
(IV) the following:
``(V) information on effective 
coordination of supportive services for 
workers and jobseekers;'';
(V) in subclause (VI), as so 
redesignated--
(aa) by striking 
``subsections (d) and (h) of 
section 122'' and inserting 
``subsections (d) and (i) of 
section 122''; and
(bb) by striking ``and'' at 
the end; and
(VI) by adding at the end the 
following:
``(VIII) information to 
participants on understanding and 
accessing State-administered programs 
and services available to 
jobseekers;'';
(v) by redesignating clause (vi) as clause 
(vii);
(vi) by inserting after clause (v) the 
following:
``(vi) notifying participants of an 
eligible program of training services whose 
participation is funded under this Act, if such 
program's status as an eligible program of 
training services is revoked under section 
122(c)(4);'';
(vii) in clause (vii), as so redesignated, 
by striking the period at the end and inserting 
a semicolon; and
(viii) by adding at the end the following:
``(viii) coordinating (which may be done in 
partnership with other States) with industry 
organizations, employers (including small and 
mid-sized employers), industry or sector 
partnerships, training providers, local boards, 
and institutions of higher education to 
identify or develop competency-based 
assessments that are a valid and reliable 
method of collecting information with respect 
to, and measuring, the prior knowledge, skills, 
and abilities of individuals who are adults or 
dislocated workers for the purpose of--
``(I) awarding, based on the 
knowledge, skills, and abilities of 
such an individual validated by such 
assessments--
``(aa) a recognized 
postsecondary credential that 
is used by employers in the 
State for recruitment, hiring, 
retention, or advancement 
purposes;
``(bb) postsecondary credit 
toward a recognized 
postsecondary credential 
aligned with in-demand industry 
sectors and occupations in the 
State for the purpose of 
accelerating attainment of such 
credential; and
``(cc) postsecondary credit 
for progress along a career 
pathway developed by the State 
or a local area within the 
State;
``(II) developing individual 
employment plans under subsection 
(c)(2)(B)(vii)(II) that incorporate the 
knowledge, skills, and abilities of 
such an individual to identify--
``(aa) in-demand industry 
sectors or occupations that 
require similar knowledge, 
skills, and abilities; and
``(bb) any upskilling 
needed for the individual to 
secure employment in such a 
sector or occupation; and
``(III) helping such an individual 
communicate such knowledge, skills, and 
abilities to prospective employers 
through a skills-based resume, profile, 
or portfolio; and
``(ix) disseminating to local areas and 
employers information relating to the 
competency-based assessments identified or 
developed pursuant to clause (viii), 
including--
``(I) any credential or credit 
awarded pursuant to items (aa) through 
(cc) of clause (viii)(I);
``(II) the industry organizations, 
employers, training providers, and 
institutions of higher education 
located within the State that recognize 
the knowledge, skills, and abilities of 
an individual validated by such 
assessments;
``(III) how such assessments may be 
provided to, and accessed by, 
individuals through the one-stop 
delivery system; and
``(IV) information on the extent to 
which such assessments are being used 
by employers and local areas in the 
State.''.
(3) Allowable statewide employment and training 
activities.--Section 134(a)(3)(A) of the Workforce Innovation 
and Opportunity Act (29 U.S.C. 3174(a)(3)(A))--
(A) in clause (i)--
(i) by inserting ``or evidence-based'' 
after ``innovative'';
(ii) by inserting ``local communities and'' 
after ``needs of'';
(iii) by striking ``customized training'' 
and inserting ``employer-directed skills 
development'';
(iv) by inserting ``and partnerships with'' 
after ``utilization of'';
(v) by inserting ``and labor-management 
partnerships'' after ``business 
intermediaries''; and
(vi) by inserting ``and medium-sized'' 
before ``employers) in the State, and'';
(B) in clause (ii)--
(i) by inserting ``, or bringing evidence-
based strategies to scale,'' after 
``strategies''; and
(ii) by inserting ``supporting such 
individuals in achieving economic self-
sufficiency and mobility, and'' after 
``employment and'';
(C) in clause (iii)--
(i) by striking `` and prior learning 
assessment to'' and inserting ``, prior 
learning assessment, or a competency-based 
assessment identified or developed by the State 
under paragraph (2)(B)(viii), to''; and
(ii) by striking ``stackable'' and 
inserting ``permit articulation into higher 
level degree or other credential programs'';
(D) in clause (iv), by inserting ``, which may 
include on-the job training, employer-directed skills 
development, transitional jobs, industry or sector 
partnerships, apprenticeships, and other programs'' 
after ``employment'';
(E) in clause (viii)--
(i) in subclause (I), by inserting ``, 
including such activities funded through other 
Federal and State laws'' after ``development 
activities''; and
(ii) in subclause (II)--
(I) in item (cc), by inserting 
``activities carried out by 
comprehensive transition and 
postsecondary programs for students 
with intellectual disabilities 
established under section 767 of the 
Higher Education Act of 1965 (20 U.S.C. 
1140g),'' after ``developmental 
disabilities,'';
(II) in item (dd), by striking 
``activities, including those'' and 
inserting ``activities and services to 
promote digital literacy skills, 
including activities and services'';
(III) by adding at the end the 
following:
``(gg) programs under the 
Older Americans Act of 1965 (42 
U.S.C. 3001 et seq.) that 
support employment and economic 
security; and'';
(F) in clause (xi), by inserting ``that exceed the 
local levels of performance'' after ``local areas'';
(G) in clause (xiii), by striking ``and'' at the 
end;
(H) in clause (xiv)--
(i) by inserting ``conducting feasibility 
studies for the effectiveness of such 
strategies in meeting the employment and skills 
development needs of target populations in the 
local areas that are using such feasibility 
studies,'' after ``data collection,''; and
(ii) by striking the period at the end and 
inserting a semicolon; and
(I) by adding at the end the following:
``(xv) supporting employers seeking to 
implement skills-based hiring practices, which 
may include technical assistance on the use and 
validation of employment assessments (including 
competency-based assessments developed or 
identified by the State pursuant to paragraph 
(2)(B)(viii)), and support in the creation of 
skills-based job descriptions;
``(xvi) developing partnerships between 
educational institutions (including area career 
and technical education schools, local 
educational agencies, and institutions of 
higher education) and employers to create or 
improve workforce development programs to 
address the identified education and skill 
needs of the workforce and the employment needs 
of employers in regions of the State, as 
determined by the most recent analysis 
conducted under subparagraphs (A), (B), and (D) 
of section 102(b)(1);
``(xvii) identifying and making available 
to residents of the State, free or reduced cost 
access to online skills development programs 
that are aligned with in-demand industries or 
occupations in the State and lead to attainment 
of a recognized postsecondary credential valued 
by employers in such industries or occupations;
``(xviii) establishing and administering a 
critical industry skills fund described in 
paragraph (4); and
``(xix) establishing and administering an 
industry or sector partnership and career 
pathways development fund described in 
paragraph (5).''.
(4) Critical industry skills fund.--Section 134(a) of the 
Workforce Innovation and Opportunity Act (29 U.S.C. 3174(a)), 
as amended, is further amended by adding at the end the 
following:
``(4) Critical industry skills fund.--
``(A) Performance-based payments.--In addition to 
the funds described in paragraph (3)(A), a State may 
use any funds reserved under paragraph (3)(A) of 
section 128(a) to establish and administer a critical 
industry skills fund to award performance-based 
payments on a per-worker basis to eligible entities 
that provide, to prospective workers or incumbent 
workers (which may include youth age 18 through age 
24), eligible skills development programs that are in 
any of the industries and occupations identified by the 
Governor (in consultation with the State board) for 
purposes of this paragraph, and that will result in 
employment or retention with an employer in such an 
industry or occupation (in this paragraph referred to 
as a `participating employer').
``(B) Optional priority.--The Governor (in 
consultation with the State board) may select the 
industries and occupations identified under 
subparagraph (A) that should be prioritized under this 
paragraph.
``(C) Submission of proposals.--To be eligible to 
receive a payment under the critical industry skills 
fund established under this paragraph by a State, an 
eligible entity shall submit to the Governor, a 
proposal describing the eligible skills development 
program to be provided by the eligible entity under 
this paragraph, in such form, at such time, and 
containing such information, as the Governor may 
reasonably require.
``(D) Reimbursement for approved proposals.--
``(i) State requirements.--
``(I) In general.--With respect to 
each eligible entity whose proposal 
under subparagraph (C) has been 
approved by the Governor, the Governor 
shall make payments (in an amount 
determined by the Governor and subject 
to the requirements of subclause (II) 
of this clause, subparagraph (E), and 
any other limitations determined 
necessary by the State) from the 
critical industry skills fund 
established under this paragraph to 
such eligible entity for each 
participant of the eligible skills 
development program described in such 
proposal and with respect to whom the 
eligible entity meets the requirements 
of clause (ii).
``(II) Payments.--In making 
payments to an eligible entity under 
subclause (I) with respect to a 
participant--
``(aa) a portion of the 
total payment shall be made 
after the participant 
successfully completes the 
eligible skills development 
program offered by the eligible 
entity; and
``(bb) the remainder of 
such total payment shall be 
made after the participant has 
been employed by the 
participating employer of the 
eligible entity for the 6-month 
period after successful 
completion of the program.
``(ii) Eligible entity requirements.--To be 
eligible to receive the payments described in 
clause (i) with respect to a participant, an 
eligible entity shall submit such documentation 
as the Governor determines necessary to verify 
whether the participant meets the requirements 
of items (aa) and (bb) of clause (i)(II), and 
to comply with the performance reporting 
described in subparagraph (F).
``(E) Non-federal cost sharing.--
``(i) Limits on federal share.--An eligible 
entity may not receive funds under subparagraph 
(D) with respect to a participant of the 
eligible skills development program offered by 
the eligible entity in excess of the following 
costs of such program with respect to such 
participant:
``(I) In the case of a 
participating employer of such eligible 
entity with 25 or fewer employees, 90 
percent of the costs.
``(II) In the case of a 
participating employer of such eligible 
entity with more than 25 employees, but 
fewer than 100 employees, 75 percent of 
the costs.
``(III) In the case of a 
participating employer of such eligible 
entity with 100 or more employees, 50 
percent of the costs.
``(ii) Non-federal share.--
``(I) In general.--Any costs of the 
eligible skills development program 
offered to a participant by such 
eligible entity that are not covered by 
the funds received under subparagraph 
(D) shall be the non-Federal share 
provided by the eligible entity (in 
cash or in-kind).
``(II) Employer cost sharing.--If 
the eligible skills development program 
is being provided on-the-job, the non-
Federal share provided by an eligible 
entity may include the amount of the 
wages paid by the participating 
employer of the eligible entity to a 
participant while such participant is 
receiving the training.
``(F) Performance reporting.--Using the participant 
information provided by eligible entities under 
subparagraph (D)(ii), the State shall submit to the 
Secretary a report, on an annual basis, with respect to 
all participants for which the eligible entities 
received funds under this paragraph for the most recent 
program year, which shall include--
``(i) the number of individuals who 
participated in eligible skills development 
programs provided by such eligible entities 
through the critical industry skills fund under 
this paragraph; and
``(ii) the performance of such participants 
on the primary indicators of performance 
described in subclauses (I) through (III) of 
section 116(b)(2)(A)(i).
``(G) Definitions.--In this paragraph:
``(i) Eligible entity.--The term `eligible 
entity' means--
``(I) a participating employer or a 
group of participating employers;
``(II) an industry or sector 
partnership that includes a 
participating employer; or
``(III) another entity serving as 
an intermediary (such as a local board) 
that is in partnership with a 
participating employer.
``(ii) Eligible skills development 
program.--The term `eligible skills development 
program', when used with respect to an eligible 
entity--
``(I) means a program with respect 
to which a State may set a maximum and 
minimum length (in weeks);
``(II) includes work-based 
education or related occupational 
skills instruction that--
``(aa) develops the 
specific technical skills 
necessary for successful 
performance of the occupations 
in which participants are to be 
employed upon completion; and
``(bb) may be provided--

``(AA) by the 
eligible entity; or

``(BB) by any 
training provider that 
is selected by the 
eligible entity and 
without regard to 
whether such provider 
is on a list of 
eligible providers of 
training services 
described in section 
122(d); and

``(III) does not include employee 
onboarding, orientation, or 
professional development generally 
provided to employees.''.
(5) Industry or sector partnership and career pathways 
development fund.--Section 134(a) of the Workforce Innovation 
and Opportunity Act (29 U.S.C. 3174(a)), as amended, is further 
amended by adding at the end the following:
``(5) Industry or sector partnership and career pathways 
development fund.--
``(A) Purpose.--The purpose of this paragraph is to 
establish new or expand existing industry or sector 
partnerships and career pathway programs to encourage 
regional economic growth and competitiveness, and 
improve worker training, retention, and advancement.
``(B) Description of fund.--In addition to the 
funds described in paragraph (3)(A), a State may use 
any funds reserved under paragraph (3)(A) of section 
128(a) to establish and administer an industry or 
sector partnership and career pathways development fund 
to award grants to eligible partnerships to establish 
or expand industry or sector partnerships that include 
employers in a high-growth or high-wage industry of the 
State in order to meet the following objectives:
``(i) Build capacity among such 
partnerships to prepare jobseekers and 
incumbent workers participating in such 
partnerships for careers in such a high-growth 
or high-wage industry.
``(ii) Leverage the capacity of such 
partnerships to develop, improve, expand, or 
implement education, employment, and training 
opportunities for individuals with barriers to 
employment.
``(iii) Strengthen coordination between 
such industry or sector partnerships and one-
stop partners for the local areas involved that 
are described in paragraphs (1) and (2) of 
section 121(b).
``(iv) Develop or expand a career pathway 
program that utilizes integrated education and 
training strategies and supports multiple 
points of entry and exit for working learners.
``(C) Duration.--Each grant awarded under this 
paragraph shall be for a period of not more than 2 
years.
``(D) Award basis.--
``(i) Geographic diversity.--The Governor 
shall award grants under this paragraph in a 
manner that ensures geographic diversity in the 
areas in the State in which activities will be 
carried out under the grants.
``(ii) Priority.--In awarding grants under 
this paragraph, the Governor shall give 
priority consideration to eligible partnerships 
that--
``(I) include (or will include) as 
a partner in the industry or sector 
partnership to be established or 
expanded under this paragraph, a 2-year 
public institution of higher education;
``(II) demonstrate long-term 
sustainability of such industry or 
sector partnership; and
``(III) demonstrate the ability of 
such industry or sector partnership to 
serve individuals who--
``(aa) are individuals with 
a barrier to employment, 
including individuals with 
disabilities;
``(bb) are facing 
significant worker dislocation 
due to a disruption or change 
in the regional or State 
economy or labor market;
``(cc) have traditionally 
been underserved by regional 
economic development and sector 
partnership activities 
(including rural areas in the 
State); or
``(dd) are--

``(AA) out-of-
school youth, 
disadvantaged youth, or 
disadvantaged adults; 
or

``(BB) unemployed 
individuals, within the 
meaning of section 
6(b)(1)(B) of the 
Wagner-Peyser Act (29 
U.S.C. 49e(b)(1)(B)).

``(iii) Additional optional priority.--In 
awarding grants under this paragraph, in 
addition to the priority consideration required 
under clause (ii), the Governor may give 
priority consideration to eligible partnerships 
that include, or will include, as a partner in 
the industry or sector partnership to be 
established or expanded under this section--
``(I) a 4-year public institution 
of higher education at which the 
highest degree that is predominantly 
awarded to students is an associate 
degree; or
``(II) a 2-year Tribal College or 
University (as defined in section 
316(b) of the Higher Education Act of 
1965 (20 U.S.C. 1059c(b)).
``(E) Application.--
``(i) In general.--An eligible partnership 
seeking a grant under this paragraph shall 
submit an application to the Governor at such 
time, in such manner, and containing such 
information as the Governor may reasonably 
require, including the contents described in 
clause (ii).
``(ii) Contents.--An eligible partnership 
seeking a grant under this paragraph shall 
submit an application to the Governor under 
clause (i) containing, at minimum--
``(I) a description of the eligible 
partnership, and the industry or sector 
partnership that will be established or 
expanded with such grant;
``(II) the expected participation 
and responsibilities of each of the 
partners that will be included in such 
industry or sector partnership;
``(III) a description of the high-
growth or high-wage industry sector to 
be served by such industry or sector 
partnership, and a description of how 
such industry sector was identified;
``(IV) a description of the workers 
and other individuals who will be 
targeted or recruited by such industry 
or sector partnership, including the 
number of workers and other individuals 
who will be served by the partnership;
``(V) an analysis of the existing 
labor market to be served by such 
industry or sector partnership, which 
includes--
``(aa) a description of 
potential barriers to 
employment for the targeted 
workers and other individuals;
``(bb) the estimated share 
of such workers and other 
individuals who are individuals 
with a barrier to employment; 
and
``(cc) a description of 
strategies that will be 
developed to help such workers 
and other individuals overcome 
such barriers;
``(VI) a description of the Federal 
and non-Federal resources, available 
under provisions of law other than this 
paragraph, that will be leveraged in 
support of such industry or sector 
partnership and the activities carried 
out by the partnership under this 
paragraph;
``(VII) a description, using 
common, linked, open-data descriptive 
language, of the recognized 
postsecondary credential that will be 
provided to individuals who 
successfully complete the education and 
training program provided through an 
education provider in such industry or 
sector partnership;
``(VIII) an assurance that any 
eligible provider of training services 
in such industry or sector partnership 
is on a list of eligible providers of 
training services described in section 
122(d); and
``(IX) a commitment from a 
participating employer in such industry 
or sector partnership to employ each 
participant of such education and 
training program (which may be a career 
pathway program) for not less than a 1-
year period, in accordance with the 
employment policies of such employer, 
after successful completion of the 
training portion of the education and 
training program operated by such 
participating employer.
``(F) Uses of funds.--
``(i) In general.--An eligible partnership 
awarded a grant under this paragraph shall use 
such grant funds to establish a new industry or 
sector partnership or expand the industry or 
sector partnership of the eligible partnership 
to meet the objectives listed in subparagraph 
(B)--
``(I) by engaging businesses in 
accordance with clause (iii); and
``(II) by carrying out an education 
and training program that--
``(aa) leads to the 
recognized postsecondary 
credential described in the 
eligible partnership's 
application in subparagraph 
(E)(ii)(VII);
``(bb) includes an 
apprenticeship, work-based 
learning, or on-the-job 
training program that leads to 
an employment commitment 
described in subparagraph 
(E)(ii)(IX) with a 
participating employer of the 
industry or sector partnership;
``(cc) may include the 
development or expansion of a 
new or existing career pathway 
program as described in clause 
(iv); and
``(dd) may include the 
provision of supportive 
services as described in clause 
(v).
``(ii) Planning activities.--An eligible 
partnership receiving a grant under this 
paragraph may use not more than 20 percent of 
the grant funds to carry out planning 
activities during the first year of the grant 
period that are necessary to establish a new 
industry or sector partnership or expand the 
industry or sector partnership of the eligible 
partnership, which may include--
``(I) recruiting key stakeholders 
in the high-growth or high-wage 
industry to be served by such industry 
or sector partnership;
``(II) conducting outreach to local 
businesses, employers, labor 
organizations, local boards, education 
and training providers, and business 
and employer associations;
``(III) identifying, through an 
evaluation, the training needs of 
multiple businesses in the high-growth 
or high-wage industry, including 
identifying any needs for--
``(aa) skills critical to 
competitiveness and innovation 
in the high-growth or high-wage 
industry;
``(bb) an education and 
training program, including any 
apprenticeship program or other 
work-based learning program 
supported by the grant; and
``(cc) the usage of career 
pathways to align education and 
training with job openings in 
the high-growth or high-wage 
industry; and
``(IV) recruiting individuals with 
barriers to employment to participate 
in the education and training program.
``(iii) Business engagement.--An industry 
or sector partnership established or expanded 
with a grant under this paragraph shall use the 
grant funds to engage businesses (including 
small and medium-sized businesses that are in 
the high-growth or high-wage industry and that 
may be a participating employer of the 
partnership) in the establishment and 
implementation of an apprenticeship, work-based 
learning, or on-the-job training program 
offered through the education and training 
program of the partnership, and which may 
include--
``(I) the navigation of the 
registration process for a sponsor of 
such an apprenticeship program;
``(II) the connection of the 
business with an education provider in 
the industry or sector partnership to 
develop classroom instruction to 
complement learning through such an 
apprenticeship, work-based learning, or 
on-the-job training program;
``(III) the development of such a 
work-based learning program;
``(IV) the provision of career 
awareness activities for participants 
of such an apprenticeship, work-based 
learning, or on-the-job training 
program, such as career guidance and 
academic counseling;
``(V) the recruitment of 
individuals with barriers to employment 
to participate in such an 
apprenticeship, work-based learning, or 
on-the-job training program; and
``(VI) other evidence-based 
approaches to connecting businesses 
with workers and establishing pathways 
to unsubsidized employment for 
individuals participating in the 
education and training program and 
other programs funded under this title.
``(iv) Career pathway programs.--
``(I) In general.--An industry or 
sector partnership established or 
expanded with a grant under this 
paragraph may use such grant funds for 
the development or expansion of a new 
or existing career pathway program that 
utilizes integrated education and 
training strategies and supports 
multiple entry and exit points for 
working students and other working 
participants, which may include--
``(aa) dual-enrollment 
approaches for participants, 
including youth, seeking to 
participate in a career pathway 
program; and
``(bb) strategies that help 
working students and other 
nontraditional and adult 
student populations access 
skills and the recognized 
postsecondary credentials 
described in subparagraph 
(E)(ii)(VII) of the eligible 
partnership's application.
``(II) Authorized activities.--In 
establishing or expanding such new or 
existing career pathway program, the 
industry or sector partnership may use 
a grant under this paragraph for--
``(aa) the provision of 
evidence-based professional 
development for faculty and 
other staff of an education 
provider in the industry or 
sector partnership;
``(bb) the acquisition of 
equipment necessary to support 
the delivery of the career 
pathway program; and
``(cc) any other evidence-
based activities to support the 
development or implementation 
of the career pathway program.
``(v) Supportive services.--In accordance 
with section 181(h), an industry or sector 
partnership established or expanded with a 
grant under this paragraph may use such grant 
funds to provide supportive services to support 
the success of individuals, including 
individuals with barriers to employment, who 
are participating in training services, as 
described in subsection (c)(3)(D), which are 
offered through such partnership.
``(G) Designation of a fiscal agent.--An eligible 
partnership receiving a grant under this paragraph 
shall designate an entity of the eligible partnership 
as the fiscal agent for the receipt, management, and 
expenditure of the grant funds.
``(H) Non-federal cost sharing.--
``(i) Limits on federal share.--An industry 
or sector partnership established or expanded 
with a grant under this paragraph may not 
receive such grant funds for purposes of 
funding the education and training program 
offered through such partnership in excess of 
the following costs of establishing, operating, 
and sustaining such program:
``(I) In the case in which the 
participating employers in such 
eligible partnership employ 25 or fewer 
employees, 70 percent of the costs.
``(II) In the case in which the 
participating employers in such 
eligible partnership employ more than 
25 employees, but fewer than 100 
employees, 55 percent of the costs.
``(III) In the case in which the 
participating employers in such 
eligible partnership employ 100 or more 
employees, 40 percent of the costs.
``(ii) Non-federal share.--Any costs of 
establishing, operating, and sustaining such 
program that are not covered by the grant 
received under this paragraph shall be the non-
Federal share provided by the industry or 
sector partnership.
``(I) Performance reporting.--Not later than 2 
years after the first award of funds under this 
paragraph is made by the Governor and on an annual 
basis thereafter, the Governor shall prepare and submit 
to the Secretary a report with respect to the 
participants served by each eligible partnership 
receiving funds under this paragraph in the most recent 
program year, which report shall include--
``(i) levels of performance achieved by the 
eligible partnership, with respect to the 
primary indicators of performance under clause 
(i) or (ii) of section 116(b)(2)(A), as 
applicable, for all individuals served by the 
eligible partnership, disaggregated by race, 
ethnicity, sex, disability status, and age; and
``(ii) levels of performance achieved by 
the eligible partnership with respect to the 
primary indicators of performance under clause 
(i) or (ii) of section 116(b)(2)(A), as 
applicable, for individuals with barriers to 
employment served by the eligible partnership, 
disaggregated by race, ethnicity, sex, 
disability status, and age.
``(J) Availability of report.--The report submitted 
by eligible partnerships under subparagraph (I) shall--
``(i) be made digitally available by the 
Secretary using linked, open, and interoperable 
data; and
``(ii) include the number of individuals 
who were served by each such eligible 
partnership.
``(K) Limit on administrative costs.--An eligible 
partnership receiving a grant under this paragraph may 
not use more than 10 percent of the grant funds for 
administrative costs.
``(L) Definitions.--In this paragraph:
``(i) Eligible partnership.--The term 
`eligible partnership' means--
``(I) an industry or sector 
partnership that--
``(aa) includes a 
participating employer; and
``(bb) is seeking to 
further implement or expand 
such industry or sector 
partnership; or
``(II) a workforce collaborative 
that is seeking to become an industry 
or sector partnership that includes a 
participating employer.
``(ii) High-growth or high-wage industry.--
The term `high-growth or high-wage industry', 
when used with respect to an eligible 
partnership, means an industry that--
``(I) has, or is expected to have, 
a high rate of growth and an unmet 
demand for skilled workers, as 
determined by the Governor of the State 
in which the eligible partnership is 
located;
``(II) has been designated by the 
Governor as an in-demand industry 
experiencing high growth in such State; 
and
``(III) includes occupations 
determined by the Governor--
``(aa) with wages that are 
significantly higher than an 
occupation of similar level of 
skill or needed skill 
development; or
``(bb) that are aligned 
with career pathways into 
higher wage occupations.
``(iii) Participating employer.--The term 
`participating employer', when used with 
respect to an eligible partnership, means an 
employer in a high-growth or high-wage industry 
that is (or will be) part of the industry or 
sector partnership that will be expanded (or 
established) by the eligible partnership under 
this paragraph.''.
(b) Required Local Employment and Training Activities.--
(1) Minimum amount for skills development.--Section 
134(c)(1) of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3174(c)(1)) is amended--
(A) in subparagraph (A)(iv), by striking ``to'' and 
inserting ``to provide business services described in 
paragraph (4) and'';
(B) by redesignating subparagraph (B) as 
subparagraph (C); and
(C) by inserting after subparagraph (A), as so 
amended, the following:
``(B) Minimum amount for skills development.--
``(i) In general.--Subject to clause (ii), 
not less than 50 percent of the funds described 
in subparagraph (A) shall be used by the local 
area--
``(I) for the payment of training 
services--
``(aa) provided to adults 
under paragraph (3)(F)(iii); 
and
``(bb) provided to adults 
and dislocated workers under 
paragraph (3)(G)(ii); and
``(II) for the payment of training 
services under paragraph (2)(A) of 
section 414(c) of the American 
Competitiveness and Workforce 
Improvement Act of 1998 (29 U.S.C. 
3224a(c)) after funds allocated to such 
local area under paragraph (1) of such 
section 414(c) have been exhausted.
``(ii) Exception.--With respect to a local 
area that uses any funds described in 
subparagraph (A) to provide supportive 
services, in accordance with subsection (d)(2) 
of this section, for adults and dislocated 
workers who are participating in training 
services, or individualized career services 
described in clauses (iii) and (vii) of 
paragraph (2)(B) that enable participation in 
training services, each percentage of such 
funds so used shall reduce, by one percentage 
point, the percentage of such funds required to 
be used by such local area in accordance with 
clause (i), except that such percentage of 
funds may not be reduced by more than 10 
percentage points pursuant to this clause.''; 
and
(D) in subparagraph (C), as so redesignated, by 
striking ``and (ii)'' and inserting ``, (ii), and 
(iv)''.
(2) Career services.--Section 134(c)(2) of the Workforce 
Innovation and Opportunity Act (29 U.S.C. 3174(c)(2)) is 
amended--
(A) by redesignating subparagraphs (A) through (C) 
as subparagraphs (B) through (D), respectively;
(B) by inserting before subparagraph (B), as so 
redesignated, the following:
``(A) Basic career services.--
``(i) In general.--The one-stop delivery 
system--
``(I) shall coordinate with the 
Employment Service office colocated 
with the one-stop delivery system for 
such Employment Service office to 
provide, using the funds allotted to 
the State under section 6 of the 
Wagner-Peyser Act (29 U.S.C. 49e), 
basic career services, which--
``(aa) shall--

``(AA) include, at 
a minimum, the services 
listed in clause (ii); 
and

``(BB) be available 
to individuals who are 
adults or dislocated 
workers in an 
integrated manner to 
streamline access to 
assistance for such 
individuals, to avoid 
duplication of 
services, and to 
enhance coordination of 
services; and

``(bb) may include access 
to talent marketplaces; and
``(II) may use funds allocated 
under paragraph (1), as necessary, to 
supplement the services that are 
provided pursuant to subclause (I) to 
individuals who are adults or 
dislocated workers.
``(ii) Services.--The basic career services 
provided pursuant to clause (i) shall include--
``(I) provision of workforce and 
labor market employment statistics 
information, including the provision of 
accurate (and, to the extent 
practicable, real-time) information 
relating to local, regional, and 
national labor market areas, 
including--
``(aa) job vacancy listings 
in such labor market areas;
``(bb) information on job 
skills necessary to obtain the 
jobs included on such listings; 
and
``(cc) information relating 
to local occupations in demand 
(which may include 
entrepreneurship 
opportunities), and the 
earnings, skill requirements, 
and opportunities for 
advancement for such 
occupations;
``(II) labor exchange services, 
including job search and placement 
assistance and, in appropriate cases, 
career counseling, including--
``(aa) provision of 
information on in-demand 
industry sectors and 
occupations;
``(bb) provision of 
information on nontraditional 
employment; and
``(cc) provision of 
information on 
entrepreneurship, as 
appropriate;
``(III)(aa) provision of 
information, in formats that are usable 
by and understandable to one-stop 
center customers, relating to the 
availability of supportive services or 
assistance, including child care, child 
support, medical or child health 
assistance under title XIX or XXI of 
the Social Security Act (42 U.S.C. 1396 
et seq. and 1397aa et seq.), benefits 
under the supplemental nutrition 
assistance program established under 
the Food and Nutrition Act of 2008 (7 
U.S.C. 2011 et seq.), assistance 
through the earned income tax credit 
under section 32 of the Internal 
Revenue Code of 1986, and assistance 
under a State program for temporary 
assistance for needy families funded 
under part A of title IV of the Social 
Security Act (42 U.S.C. 601 et seq.) 
and other supportive services and 
transportation provided through funds 
made available under such part, 
available in the local area; and
``(bb) referral to the services or 
assistance described in item (aa), as 
appropriate;
``(IV) provision of information and 
assistance regarding filing claims for 
unemployment compensation; and
``(V) assistance in establishing 
eligibility for programs of financial 
aid assistance for training and 
education programs that are not funded 
under this Act.'';
(C) in subparagraph (B), as so redesignated--
(i) in the heading, by striking the heading 
and inserting ``Individualized career'';
(ii) in the matter preceding clause (i)--
(I) by inserting ``individualized'' 
before ``career services''; and
(II) by inserting ``shall, to the 
extent practicable, be evidence-
based,'' before ``and shall'';
(iii) in clause (iii), by inserting ``, and 
a determination (considering factors including 
prior work experience, military service, 
education, and the in-demand industry sectors 
and occupations in the local area) of whether 
such an individual would benefit from a 
competency-based assessment developed or 
identified by the State pursuant to subsection 
(a)(2)(B)(viii) to accelerate the time to 
obtaining employment that leads to economic 
self-sufficiency or career advancement'' before 
the semi-colon at the end;
(iv) by striking clauses (iv), (vi), (ix), 
(x), and (xi);
(v) by redesignating clauses (v), (vii), 
(viii), (xii), and (xiii) as clauses (iv), (v), 
(vi), (vii), and (viii), respectively;
(vi) in clause (v), as so redesignated, by 
inserting ``and credential'' after ``by 
program'';
(vii) in clause (vi), as so redesignated, 
by inserting ``and in multiple languages, to 
the extent practicable,'' after ``customers,''; 
and
(viii) in clause (vii), as so 
redesignated--
(I) in subclause (I)(aa), as so 
redesignated, by inserting ``, 
including a competency-based assessment 
developed or identified by the State 
pursuant to subsection 
(a)(2)(B)(viii)'' after ``tools'';
(II) in subclause (VI), by 
inserting ``digital literacy skills,'' 
after ``learning skills,'';
(III) in subclause (X), by striking 
``or'' at the end;
(IV) in subclause (XI)--
(aa) by striking 
``language''; and
(bb) by striking ``and'' at 
the end and inserting ``or'';
(V) by adding at the end the 
following:
``(XII) review or creation of a 
resume or similar document showcasing 
the skills, experience, relevant 
credentials, and education of the 
individual; and''.
(D) by amending subparagraph (C), as so 
redesignated, to read as follows:
``(C) Use of previous assessments.--A one-stop 
operator or one-stop partner shall not be required to 
conduct a new interview, evaluation, or assessment of a 
participant under subparagraph (B)(vii) if the one-stop 
operator or one-stop partner determines that--
``(i) it is appropriate to use a recent 
interview, evaluation, or assessment of the 
participant conducted pursuant to another 
education or training program; and
``(ii) using such recent interview, 
evaluation, or assessment will accelerate an 
eligibility determination.''; and
(E) in subparagraph (D), as so redesignated--
(i) in the matter preceding clause (i)--
(I) by inserting ``individualized'' 
before ``career''; and
(II) by striking ``subparagraph 
(A)'' and inserting ``subparagraph 
(B)''; and
(ii) in clause (ii), by inserting ``, 
libraries, and community-based organizations'' 
after ``nonprofit service providers''.
(3) Training services.--Section 134(c)(3) of the Workforce 
Innovation and Opportunity Act (29 U.S.C. 3174(c)(3)) is 
amended--
(A) in subparagraph (A)--
(i) in clause (i), in the matter preceding 
subclause (I), by striking ``clause (ii)'' and 
inserting ``clause (ii) or (iii)'';
(ii) by amending clause (i)(II) to read as 
follows:
``(II) who select programs of 
training services that are directly 
linked to the employment 
opportunities--
``(aa) in the local area or 
the planning region;
``(bb) in another area to 
which the adults or dislocated 
workers are willing to commute 
or relocate; or
``(cc) that may be 
performed remotely;''.
(iii) by redesignating clause (iii) as 
clause (iv);
(iv) by inserting after clause (ii) the 
following:
``(iii) Employer referral.--
``(I) In general.--A one-stop 
operator or one-stop partner shall not 
be required to conduct an interview, 
evaluation, or assessment of an 
individual under clause (i) if such 
individual--
``(aa) is referred by an 
employer to receive on-the-job 
training or employer-directed 
skills development in 
connection with that employer; 
and
``(bb) has been certified 
by the employer as being an 
individual who is in need of 
training services to obtain 
unsubsidized employment with 
such employer and who has the 
skills and qualifications to 
successfully participate in the 
selected program of training 
services.
``(II) Priority.--A one-stop 
operator or one-stop partner shall 
follow the priority system in effect 
under subparagraph (E) to determine 
whether an individual who meets the 
requirements of subclause (I) of this 
clause is eligible to receive training 
services.''; and
(v) by adding at the end the following:
``(v) Adult education and family literacy 
activities.--In the case of an individual who, 
after an interview, evaluation, or assessment 
under clause (i)(I), is determined to not have 
the skills and qualifications to successfully 
participate in the selected program of training 
services under clause (i)(I)(cc), the one-stop 
operator or one-stop partner shall refer such 
individual to adult education and literacy 
activities under title II, including for co-
enrollment in such activities, as 
appropriate.'';
(B) in subparagraph (B)--
(i) in clause (i)--
(I) in subclause (I), by striking 
``other grant assistance for such 
services, including'' and inserting 
``assistance for such services under''; 
and
(II) by striking ``under other 
grant assistance programs, including'' 
and inserting ``under''; and
(ii) by adding at the end the following:
``(iv) Participation during eligibility 
determination.--An individual may participate 
in a program of training services during the 
period during which such individual's 
eligibility for training services under 
subparagraph (A)(i) is being determined, except 
that the provider of such a program shall 
receive reimbursement under this Act for the 
individual's participation during such period 
only if such individual is determined to be 
eligible under subparagraph (A)(i).'';
(C) in subparagraph (D)(xi), by striking 
``customized training'' and inserting ``employer-
directed skills development'';
(D) in subparagraph (E)--
(i) by striking ``are basic skills 
deficient'' and inserting ``have foundational 
skill needs''; and
(ii) by striking ``paragraph (2)(A)(xii)'' 
and inserting ``paragraph (2)(B)(vii)'';
(E) in subparagraph (F)(ii), by inserting ``and the 
levels of performance for such providers on the 
performance criteria described in section 122(b) for 
the 2 most recent program years'' after ``in section 
122(d)'';
(F) in subparagraph (G)(ii)--
(i) in subclause (II), by striking 
``customized training'' and inserting 
``employer-directed skills development''; and
(ii) in subclause (IV)--
(I) by striking ``is a'' and 
inserting ``is an evidence-based''; and
(II) by inserting ``and to support 
such individuals in gaining requisite 
skills for in-demand industry sectors 
or occupations in the local area, 
obtaining recognized postsecondary 
credentials, and entering unsubsidized 
employment'' after ``employment'';
(G) in subparagraph (H)--
(i) in clause (i), in the matter preceding 
subclause (I), by striking ``reimbursement 
described in section 3(44)'' and inserting 
``reimbursement described in section 3(48)''; 
and
(ii) in clause (ii)--
(I) in subclause (I), by inserting 
``, such as the extent to which 
participants are individuals with 
barriers to employment'' after 
``participants''; and
(II) in subclause (III), by 
inserting ``in an occupation or 
industry sector, including whether the 
skills a participant will obtain are 
transferable to other employers, 
occupations, or industries in the local 
area or the State'' after 
``opportunities''; and
(H) by adding at the end the following:
``(I) Employer-directed skills development.--An 
employer may receive a contract from a local board to 
provide employer-directed skills development to a 
participant or group of participants if the employer 
submits to the local board an agreement that 
establishes--
``(i) the provider of the skills 
development program, which may be the employer;
``(ii) the length of the skills development 
program;
``(iii) the recognized postsecondary 
credentials that will be awarded to, or the 
occupational skills that will be gained by, 
program participants;
``(iv) the cost of the skills development 
program;
``(v) the estimated earnings of program 
participants upon successful completion of the 
program;
``(vi) the amount of such cost that will be 
paid by the employer, which shall not be less 
than the amount specified in subparagraph (C) 
of section 3(19); and
``(vii) a commitment by the employer to 
employ the participating individual or 
individuals upon successful completion of the 
program.''.
(c) Business Services.--Section 134(c) of the Workforce Innovation 
and Opportunity Act (29 U.S.C. 3174(c)) is further amended by adding at 
the end the following:
``(4) Business services.--Funds described in paragraph (1) 
shall be used to provide appropriate recruitment and other 
business services and strategies on behalf of employers, 
including small employers and mid-sized employers, that meet 
the workforce investment needs of area employers, as determined 
by the local board and consistent with the local plan under 
section 108, which services--
``(A) may be provided--
``(i) through effective business 
intermediaries working in conjunction with the 
local board;
``(ii) on a fee-for-service basis; or
``(iii) through the leveraging of economic 
development, philanthropic, and other public 
and private resources in a manner determined 
appropriate by the local board; and
``(B) may include one or more of the following:
``(i) Developing and implementing industry 
sector strategies (including strategies 
involving industry partnerships, regional 
skills alliances, industry skill panels, and 
sectoral skills partnerships).
``(ii) Developing and delivering innovative 
workforce investment services and strategies 
for area employers, which may include career 
pathways, skills upgrading, skill standard 
development and certification for recognized 
postsecondary credential or other employer use, 
apprenticeship, developing and offering 
industry-recognized credential (including 
short-term industry-recognized credential) 
programs, including those that support 
individuals with foundational skill needs, and 
other effective initiatives for meeting the 
workforce investment needs of area employers 
and workers.
``(iii) Assistance to area employers in 
managing reductions in force in coordination 
with rapid response activities provided under 
subsection (a)(2)(A) and developing strategies 
for the aversion of layoffs, which strategies 
may include early identification of firms at 
risk of layoffs, use of feasibility studies to 
assess the needs of and options for at-risk 
firms, and the delivery of employment and 
training activities to address risk factors.
``(iv) The marketing of business services 
offered under this title to appropriate area 
employers, including small and mid-sized 
employers.
``(v) Technical assistance or other support 
to employers seeking to implement skills-based 
hiring practices, which may include technical 
assistance on the use and validation of 
employment assessments, including competency-
based assessments developed or identified by 
the State pursuant to paragraph (2)(B)(viii), 
and support in the creation of skills-based job 
descriptions.
``(vi) Other services described in this 
subsection, including providing information and 
referral to microenterprise services, as 
appropriate, and specialized business services 
not traditionally offered through the one-stop 
delivery system.''.
(d) Permissible Local Employment and Training Activities.--
(1) Activities.--Section 134(d)(1)(A) of the Workforce 
Innovation and Opportunity Act (29 U.S.C. 3174(d)(1)(A)) is 
amended--
(A) in clause (iii), by striking ``10 percent'' and 
inserting ``30 percent'';
(B) in clause (v), by inserting ``case 
management,'' after ``assessments,'';
(C) in clause (vi)--
(i) in subclause (III), by striking ``and'' 
at the end;
(ii) by redesignating subclause (IV) as 
subclause (VI); and
(iii) by inserting after subclause (III) 
the following:
``(IV) employment and training 
activities under subsections (d) and 
(o) of section 6 of the Food and 
Nutrition Act of 2008 (7 U.S.C. 2015);
``(V) programs under the Older 
Americans Act of 1965 (42 U.S.C. 3001 
et seq.) that support employment and 
economic security; and'';
(D) in clause (vii)--
(i) in subclause (II)--
(I) by inserting ``and providers of 
supportive services,'' after ``small 
employers,''; and
(II) by striking ``and'' at the 
end;
(ii) in subclause (III), by inserting 
``and'' at the end; and
(iii) by adding at the end the following:
``(IV) to strengthen, through 
professional development activities, 
the knowledge and capacity of one-stop 
staff to use the latest digital 
technologies, tools, and strategies to 
deliver high quality services and 
outcomes for jobseekers, workers, and 
employers;'';
(E) by striking clause (ix);
(F) by redesignating clauses (x) through (xii) as 
clauses (ix) through (xi), respectively;
(G) in clause (x), as so redesignated, by striking 
``and'' at the end;
(H) in clause (xi), as so redesignated, by striking 
the period at the end and inserting a semicolon; and
(I) by adding at the end the following:
``(xii) training programs for individuals 
who are dislocated workers as a result of 
advances in automation technology;
``(xiii) the use of competency-based 
assessments for individuals upon initial 
assessment of skills (pursuant to subsection 
(c)(2)(A)(iii)) or completion of training 
services or other learning experiences;
``(xiv) the development of partnerships 
between educational institutions (including 
area career and technical education schools, 
local educational agencies, and institutions of 
higher education) and employers to create or 
improve workforce development programs to 
address the identified education and skill 
needs of the workforce and the employment needs 
of employers in a region, as determined based 
on the most recent analysis conducted by the 
local board under section 107(d)(2); and
``(xv) assistance to one or more public 
libraries located in the local area that has 
demonstrated success in leveraging additional 
resources (such as staff, facilities, 
computers, and learning materials) to provide 
free and open access to individualized career 
services, in order to promote and expand access 
to such services.''.
(2) Supportive services.--Section 134(d)(2)(B) of the 
Workforce Innovation and Opportunity Act (29 U.S.C. 
3174(d)(2)(B)) is amended, by inserting ``, including through 
programs of one-stop partners, who are'' after ``programs''.
(3) Needs-related payments.--Section 134(d)(3) of the 
Workforce Innovation and Opportunity Act (29 U.S.C. 3174(d)(3)) 
is amended--
(A) in subparagraph (A), by inserting ``or for 
financial assistance through a program carried out by a 
one-stop partner'' after ``compensation''; and
(B) in subparagraph (B), by inserting ``or 
financial assistance through a program carried out by a 
one-stop partner'' after ``compensation''
(4) Incumbent worker training programs.--
(A) In general.--Section 134(d)(4)(A) of the 
Workforce Innovation and Opportunity Act (29 U.S.C. 
3174(d)(4)(A)) is amended--
(i) in clause (i), by striking ``20'' and 
inserting ``30'';
(ii) by redesignating clauses (ii) and 
(iii) as clauses (iii) and (iv), respectively; 
and
(iii) by inserting after clause (i) the 
following:
``(ii) Increase in reservation of funds.--
Notwithstanding clause (i)--
``(I) with respect to a local area 
that had a rate of unemployment of not 
more than 3 percent for not less than 6 
months during the preceding program 
year, clause (i) shall be applied by 
substituting `40 percent' for `30 
percent'; or
``(II) with respect to a local area 
that meets the requirement in subclause 
(I) and is located in a State that had 
a labor force participation rate of not 
less than 69 percent for not less than 
6 months during the preceding program 
year, clause (i) shall be applied by 
substituting `45 percent' for `30 
percent'.''.
(B) Training activities.--Section 134(d)(4)(B) of 
the Workforce Innovation and Opportunity Act (29 U.S.C. 
3174(d)(4)(B)) is amended--
(i) by striking ``The training'', and 
inserting the following:
``(i) In general.--The training''; and
(ii) by striking ``delivering training'' 
and inserting ``delivering training, such as 
industry or sector partnerships''.
(C) Non-federal share.--Section 
134(d)(4)(D)(ii)(III) of the Workforce Innovation and 
Opportunity Act (29 U.S.C. 3174(d)(4)(D)(ii)(III)) is 
amended by striking ``50'' and inserting ``55''.
(D) Incumbent worker upskilling accounts.--Section 
134(d)(4) of the Workforce Innovation and Opportunity 
Act (29 U.S.C. 3174(d)(4)) is further amended by adding 
at the end the following:
``(E) Incumbent worker upskilling accounts.--
``(i) In general.--To establish incumbent 
worker upskilling accounts through which an 
eligible provider of training services under 
section 122 may be paid for the program of 
training services provided to an incumbent 
worker, a local board--
``(I)(aa) may use, from the funds 
reserved by the local area under 
subparagraph (A)(i), an amount that 
does not exceed 5 percent of the funds 
allocated to such local area under 
section 133(b); or
``(bb) if the local area reserved funds 
under subparagraph (A)(ii), may use, from the 
funds reserved by the local area under 
subparagraph (A)(ii), an amount that does not 
exceed 10 percent of the funds allocated to 
such local area under section 133(b); and
``(II) may use funds reserved under 
section 134(a)(2)(A) for statewide 
rapid response activities and provided 
by the State to local area to establish 
such accounts.
``(ii) Eligibility.--
``(I) In general.--Subject to 
subclause (II), a local board that 
seeks to establish incumbent worker 
upskilling accounts under clause (i) 
shall establish criteria for 
determining the eligibility of an 
incumbent worker to receive such an 
account, which shall take into account 
factors of--
``(aa) the wages of the 
incumbent worker as of the date 
of determining such worker's 
eligibility under this clause;
``(bb) the career 
advancement opportunities for 
the incumbent worker in the 
occupation of such worker as of 
such date; and
``(cc) the ability of the 
incumbent worker to, upon 
completion of the program of 
training services selected by 
such worker, secure employment 
in an in-demand industry or 
occupation in the local area 
that will lead to economic 
self-sufficiency and wages 
higher than the current wages 
of the incumbent worker.
``(II) Limitation.--
``(aa) In general.--An 
incumbent worker described in 
item (bb) shall be ineligible 
to receive an incumbent worker 
upskilling account under this 
subparagraph.
``(bb) Ineligibility.--Item 
(aa) shall apply to an 
incumbent worker--

``(AA) whose total 
annual wages for the 
most recent year are 
greater than the median 
household income of the 
State; or

``(BB) who has 
earned a baccalaureate 
or professional degree.

``(iii) Cost sharing for certain incumbent 
workers.--With respect to an incumbent worker 
who is determined to be eligible to receive an 
incumbent worker upskilling account and who is 
not a low-income individual--
``(I) such incumbent worker shall 
pay not less than 25 percent of the 
cost of the program of training 
services selected by such worker; and
``(II) funds provided through the 
incumbent worker upskilling account 
established for such worker shall cover 
the remaining 75 percent of the cost of 
the program.''.
(E) Transitional jobs.--Section 134(d)(5) of the 
Workforce Innovation and Opportunity Act (29 U.S.C. 
3174(d)(5)) is amended by striking ``10'' and inserting 
``15''.
(e) Rule of Construction.--Section 134 of the Workforce Innovation 
and Opportunity Act (29 U.S.C. 3174) is further amended by adding at 
the end the following:
``(e) Rule of Construction.--Nothing in this section shall be 
construed to abrogate a collective bargaining agreement that covers 
employees of an entity providing a program of training services, 
including an incumbent worker training program.''.

CHAPTER 4--GENERAL WORKFORCE INVESTMENT PROVISIONS

SEC. 145. AUTHORIZATION OF APPROPRIATIONS.

Section 136 of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3181) is amended to read as follows:

``SEC. 136. AUTHORIZATION OF APPROPRIATIONS.

``(a) Youth Workforce Investment Activities.--There are authorized 
to be appropriated to carry out the activities described in section 
127(a) $948,130,000 for each of the fiscal years 2027 through 2032.
``(b) Adult Employment and Training Activities.--There are 
authorized to be appropriated to carry out the activities described in 
section 132(a)(1) $875,649,000 for each of the fiscal years 2027 
through 2032.
``(c) Dislocated Worker Employment and Training Activities.--There 
are authorized to be appropriated to carry out the activities described 
in section 132(a)(2) $1,331,412,000 for each of the fiscal years 2027 
through 2032.''.

Subtitle D--Job Corps

SEC. 151. PURPOSES.

Section 141 of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3191) is amended--
(1) by striking ``centers'' each place it appears and 
inserting ``campuses''; and
(2) in paragraph (1)(A)--
(A) by striking ``secondary school diplomas'' and 
inserting ``regular high school diplomas or their 
recognized equivalents'';
(B) in clause (i), by striking ``or'' at the end;
(C) in clause (ii), by striking ``, including an 
apprenticeship program; and'' and inserting ``; or''; 
and
(D) by adding at the end the following:
``(iii) enrollment in an apprenticeship 
program; and''.

SEC. 152. DEFINITIONS.

Section 142 of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3192) is amended--
(1) in paragraphs (1), (7), (8), and (10), by striking 
``center'' each place it appears and inserting ``campus'';
(2) in paragraph (1)(B), by inserting ``the community in 
which the Job Corps campus is located or the'' after 
``serves'';
(3) in paragraph (5)--
(A) by striking ``secondary school diploma or'' and 
inserting ``regular high school diploma or its'';
(B) by striking ``that prepares'' and inserting 
``that--
``(A) prepares'';
(C) in subparagraph (A), as so redesignated, by 
striking the period at the end and inserting ``; and''; 
and
(D) by adding at the end the following:
``(B) may lead to the attainment of a recognized 
postsecondary credential.''; and
(4) in paragraph (7), by striking ``center'' in the heading 
and inserting ``campus''.

SEC. 153. INDIVIDUALS ELIGIBLE FOR THE JOB CORPS.

Section 144 of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3194) is amended--
(1) in subsection (a)--
(A) in paragraph (1)--
(i) by striking ``21'' and inserting 
``24'';
(ii) by inserting `` or, if the date of 
enrollment is not greater than 60 days after 
the date of application, the date of 
application,'' after ``enrollment,'';
(iii) by amending subparagraph (A) to read 
as follows:
``(A) an individual who is age 16 or 17 shall be 
eligible only upon an individual determination by the 
director of a Job Corps campus that such individual 
meets the criteria described in subparagraph (A) or (B) 
of section 145(b)(1); and''; and
(iv) in subparagraph (B), by striking 
``either'';
(B) in paragraph (2), by inserting after 
``individual'' the following: ``or a resident of a 
qualified opportunity zone as defined in section 1400Z-
1(a) of the Internal Revenue Code of 1986''; and
(C) in paragraph (3)--
(i) by amending subparagraph (A) to read as 
follows:
``(A) Has foundational skill needs.''; and
(ii) in subparagraph (C), by striking ``(42 
U.S.C. 14043e-2(6)))'' and inserting ``(34 
U.S.C. 12473(6)))''.
(2) in subsection (b)--
(A) in the heading, by inserting ``and Certain 
Other Armed Forces Members'' after ``Veterans''; and
(B) by inserting ``or a member of the Armed Forces 
eligible for preseparation counseling of the Transition 
Assistance Program under section 1142 of title 10, 
United States Code,'' after ``a veteran''; and
(3) by inserting at the end the following:
``(c) Special Rule for Homeless Youth and Foster Youth.--In 
determining whether an individual is eligible to enroll for services 
under this subtitle on the basis of being a homeless youth, or a youth 
in foster care, as described in subsection (a)(3)(C), staff shall--
``(1) if determining whether the individual is a homeless 
youth, use a process that is in compliance with the 
requirements of subsection (a) of section 479D of the Higher 
Education Act of 1965 (20 U.S.C. 1087uu-2) for financial aid 
administrators; and
``(2) if determining whether the individual is a youth in 
foster care, use a process that is in compliance with the 
requirements of subsection (b) of such section 479D of the 
Higher Education Act of 1965 (20 U.S.C. 1087uu-2) for financial 
aid administrators.''.

SEC. 154. RECRUITMENT, SCREENING, SELECTION, AND ASSIGNMENT OF 
ENROLLEES.

Section 145 of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3195) is amended--
(1) in subsection (a)(2)--
(A) in subparagraph (A), by striking ``45'' and 
inserting ``55'';
(B) in subparagraph (D), by striking ``and'';
(C) in subparagraph (E), by striking the period and 
inserting ``; and''; and
(D) by adding at the end the following:
``(F) assist applicable one-stop centers and other 
entities identified in paragraph (3) in developing 
joint applications for Job Corps, YouthBuild, and the 
youth activities described in section 129.''; and
(2) in subsections (b), (c), and (d)--
(A) by striking ``center'' each place it appears 
and inserting ``campus''; and
(B) by striking ``centers'' each place it appears 
and inserting ``campuses''.

SEC. 155. JOB CORPS CAMPUSES.

Section 147 of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3197) is amended--
(1) in the heading, by striking ``centers'' and inserting 
``campuses'';
(2) in subsection (a)--
(A) in paragraph (1)--
(i) by striking ``center'' each place it 
appears and inserting ``campus''; and
(ii) in subparagraph (A), by inserting 
after ``area career and technical education 
school,'' the following: ``an institution of 
higher education,'';
(B) in paragraph (2)--
(i) in subparagraph (A)--
(I) by striking ``center'' each 
place it appears and inserting 
``campus''; and
(II) by inserting after ``United 
States Code,'' the following: ``and 
section 159(f)(2)(B)(i)(III),''; and
(ii) in subparagraph (B)--
(I) in clause (i)--
(aa) by striking ``operate 
a Job Corps center'' and 
inserting ``operate a Job Corps 
campus'';
(bb) by striking subclause 
(IV);
(cc) by redesignating 
subclauses (I), (II), (III), 
and (V), as subclauses (III), 
(IV), (V), and (VI), 
respectively;
(dd) by inserting before 
subclause (III), as so 
redesignated, the following:
``(I)(aa) in the case of an entity 
that has previously operated a Job 
Corps campus, a numeric metric of the 
past achievement on the primary 
indicators of performance for eligible 
youth described in section 
116(b)(2)(A)(ii); or
``(bb) in the case of an entity that has 
not previously operated a Job Corps campus, a 
comparable alternative numeric metric on the 
past effectiveness of the entity in 
successfully assisting at-risk youth to connect 
to the labor force, based on such primary 
indicators of performance for eligible youth;
``(II) in the case of an entity 
that has previously operated a Job 
Corps campus, any information regarding 
the entity included in any report 
developed by the Office of Inspector 
General of the Department of Labor;'';
(ee) in subclause (III), as 
so redesignated, by striking 
``center'' and inserting 
``campus'';
(ff) by amending subclause 
(IV), as so redesignated, to 
read as follows:
``(IV) the ability of the entity to 
offer career and technical education 
and training that has been proposed by 
the workforce council under section 
154(c), including--
``(aa) the degree to which 
such education and training 
reflects employment 
opportunities in the local 
areas in which enrollees at the 
campus intend to seek 
employment; and
``(bb) the degree to which 
such education and training 
leads to a recognized 
postsecondary credential, or 
postsecondary credit, that 
permits articulation into a 
higher level or other degree or 
credential program;'';
(gg) in subclause (V), as 
so redesignated, by striking 
``center is located;'' and 
inserting ``campus is located, 
including agreements to provide 
off-campus work-based learning 
opportunities aligned with the 
career and technical education 
provided to enrollees; and''; 
and
(hh) by amending subclause 
(VI), as so redesignated, to 
read as follows:
``(VI) the ability of the entity to 
implement an effective behavior 
management plan, as described in 
section 152(a), and maintain a safe and 
secure learning environment for 
enrollees.''; and
(II) in clause (ii), by striking 
``center'' and inserting ``campus''; 
and
(C) in paragraph (3)--
(i) by striking ``center'' each place it 
appears and inserting ``campus'';
(ii) in subparagraph (B), by inserting ``or 
postsecondary credit, which credit shall permit 
articulation into a credential program'' after 
``program'';
(iii) in subparagraph (D), by inserting 
after ``is located'' the following: ``, 
including agreements to provide off-campus 
work-based learning opportunities aligned with 
the career and technical education provided to 
enrollees'';
(iv) by redesignating subparagraphs (E), 
(F), (G), (H), (I), (J), and (K) as 
subparagraphs (F), (G), (H), (I), (J), (K), and 
(L), respectively; and
(v) by inserting after subparagraph (D) the 
following:
``(E) A description of the policies that will be 
implemented at the campus regarding security and access 
to campus facilities, including procedures to report on 
and respond to violations of the disciplinary policy 
described in section 152(b) and other emergencies 
occurring on campus.'';
(3) in subsection (b)--
(A) in the heading, by striking ``Centers'' and 
inserting ``Campuses'';
(B) by striking ``center'' each place it appears 
and inserting ``campus'';
(C) by striking ``centers'' each place it appears 
and inserting ``campuses'';
(D) in paragraph (2)(A), by striking ``20 percent'' 
and inserting ``25 percent''; and
(E) in paragraph (3)(A)(iv), by striking 
``secondary school diplomas'' and inserting ``regular 
high school diplomas'';
(4) in subsection (c)--
(A) by striking ``centers'' and inserting 
``campuses''; and
(B) by striking ``20 percent'' and inserting ``30 
percent'';
(5) in subsection (d)--
(A) in the first sentence, by striking ``centers'' 
and inserting ``campuses''; and
(B) in the second sentence, by striking ``centers'' 
and inserting ``Centers'';
(6) in subsection (e)--
(A) in paragraph (1), by striking ``centers'' and 
inserting ``campuses''; and
(B) in paragraph (2), by striking ``450b)'' and 
inserting ``5304)'';
(7) in subsection (f), by striking ``2-year period'' and 
inserting ``3-year period''; and
(8) in subsection (g)--
(A) by striking ``center'' each place it appears 
and inserting ``campus'';
(B) in paragraph (1), by striking subparagraphs (A) 
and (B) and inserting the following:
``(A) failed to achieve an average of 80 percent or 
higher of the expected level of performance under 
section 159(c)(1) across all of the primary indicators 
of performance for eligible youth described in section 
116(b)(2)(A)(ii); or
``(B) failed to--
``(i) take reasonable measures to achieve 
an average of 80 percent of the planned average 
onboard strength that was agreed to in the 
agreement described in subsection (a)(1)(A); or
``(ii) achieve an average of 60 percent of 
the planned average onboard strength that was 
agreed to in the agreement described in 
subsection (a)(1)(A).'';
(C) in paragraph (2)(B), by inserting ``or onboard 
strength or enrollment'' after ``performance'';
(D) in paragraph (3), by striking ``shall provide'' 
and inserting ``shall provide, at least 30 days prior 
to renewing the agreement''; and
(E) in paragraph (4)--
(i) in subparagraph (C), by striking 
``and'' after the semicolon;
(ii) by redesignating subparagraph (D) as 
subparagraph (E); and
(iii) by inserting after subparagraph (C) 
the following:
``(D) has maintained a safe and secure campus 
environment; and''.

SEC. 156. PROGRAM ACTIVITIES.

Section 148 of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3198) is amended--
(1) by striking ``center'' each place it appears and 
inserting ``campus'';
(2) by striking ``centers'' each place it appears and 
inserting ``campuses'';
(3) in subsection (a)--
(A) in the subsection heading, by striking 
``CENTERS'' and inserting ``CAMPUSES''; and
(B) in paragraph (1)--
(i) by inserting before the period at the 
end the following: ``, and productive 
activities, such as tutoring or other skills 
development opportunities, for enrollees to 
participate in outside of regular class time 
and work hours''; and
(ii) by striking ``clauses (i) through (xi) 
of section 134(c)(2)(A)'' and inserting 
``subclauses (I) through (V) of section 
134(c)(2)(A)(ii) or in clauses (i) through 
(viii) of section 134(c)(2)(B)'';
(4) in subsection (b), by striking ``career and technical 
educational institutions'' and inserting ``area career and 
technical education schools'';
(5) in subsection (c)(1)--
(A) by striking ``the eligible providers'' and 
inserting ``any eligible provider''; and
(B) by inserting after ``under section 122'' the 
following: ``that is aligned with the career and 
technical education an enrollee has completed''; and
(6) in subsection (d), by inserting ``, in coordination 
with the operator of the Job Corps program in which a graduate 
was enrolled,'' after ``Secretary''.

SEC. 157. COUNSELING AND JOB PLACEMENT.

Section 149(b) of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3199(b)) is amended--
(1) by inserting ``, in coordination with the operator of a 
Job Corps campus,'' after ``The Secretary'';
(2) by inserting ``assigned to such campus'' after ``for 
enrollees''; and
(3) by inserting ``, in coordination with the operator,'' 
after ``, the Secretary''.

SEC. 158. SUPPORT.

Section 150 of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3200) is amended--
(1) in subsection (a), by striking ``centers'' and 
inserting ``campuses''; and
(2) by adding at the end the following:
``(d) Period of Transition.--Notwithstanding the requirements of 
section 146(b), a Job Corps graduate may remain an enrollee and a 
resident of a Job Corps campus for not more than one month after 
graduation as such graduate transitions into independent living and 
employment if such graduate receives written approval from the director 
of the Job Corps campus to remain such a resident.''.

SEC. 159. OPERATIONS.

Section 151 of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3201) is amended--
(1) by striking ``center'' each place it appears and 
inserting ``campus''; and
(2) by adding at the end the following:
``(d) Local Authority.--
``(1) In general.--Subject to the limitations of the budget 
approved by the Secretary for a Job Corps campus, the operator 
of a Job Corps campus shall have the authority, without prior 
approval from the Secretary, to--
``(A) hire staff and provide staff professional 
development;
``(B) set terms and enter into agreements with 
Federal, State, or local educational partners, such as 
secondary schools, institutions of higher education, 
child development centers, units of Junior Reserve 
Officers' Training Corps programs established under 
section 2031 of title 10, United States Code, or 
employers; and
``(C) engage with and educate stakeholders 
(including eligible applicants for the Job Corps) about 
Job Corps operations, selection procedures, and 
activities.
``(2) Nonapplicability.--Notwithstanding section 6702 of 
title 41, United States Code, or any other provision of law, 
chapter 67 of such title shall not apply to any agreement 
described in paragraph (1)(B) for the purpose of providing 
child care to enrollees between an entity described in such 
paragraph and an operator of a Job Corps campus, if the 
operator is not using amounts made available under this 
subtitle to pay for such child care services.
``(e) Prior Notice.--Prior to making a change to the agreement 
described in section 147(a) or an operating plan described in this 
section, the Secretary shall solicit from the operators of the Job 
Corps campuses information on any operational costs the operators 
expect to result from such change.''.

SEC. 160. STANDARDS OF CONDUCT.

Section 152 of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3202) is amended--
(1) by striking ``centers'' each place it appears and 
inserting ``campuses'';
(2) in subsection (a), by inserting ``As part of the 
operating plan required under section 151(a), the director of 
each Job Corps campus shall develop and implement a behavior 
management plan consistent with the standards of conduct and 
subject to the approval of the Secretary.'' at the end;
(3) in subsection (b)(2)--
(A) in subparagraph (A), by striking ``or 
disruptive''; and
(B) in subparagraph (C)(ii), by inserting ``, 
subject to the appeal process described in subsection 
(c)'' after ``subparagraph (A)''; and
(4) by amending subsection (c) to read as follows:
``(c) Appeal Process.--
``(1) Enrollee appeals.--A disciplinary measure taken by a 
director under this section shall be subject to expeditious 
appeal in accordance with procedures established by the 
Secretary.
``(2) Director appeals.--
``(A) In general.--Not later than 1 year after the 
date of enactment of the A Stronger Workforce for 
America Act of 2026, the Secretary shall establish an 
appeals process under which the director of a Job Corps 
campus may submit a request that an enrollee who has 
engaged in an activity which is a violation of the 
guidelines established pursuant to subsection (b)(2)(A) 
remain enrolled in the program, but be subject to other 
disciplinary actions in lieu of automatic separation 
from the program.
``(B) Contents.--A request under subparagraph (A) 
shall include--
``(i) a signed certification from the 
director attesting that, to the belief of the 
director, the continued enrollment of such 
enrollee would not impact the safety or 
learning environment of the campus; and
``(ii) the behavioral records of such 
enrollee.
``(C) Default approval.--The Secretary shall review 
such appeal within 30 days of receiving such appeal and 
either approve or deny the appeal. An appeal shall be 
considered approved if the Secretary has not denied 
such appeal after 30 days.''.

SEC. 161. COMMUNITY PARTICIPATION.

Section 153 of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3203) is amended--
(1) by striking ``center'' each place it appears and 
inserting ``campus'';
(2) in subsection (a), by striking ``centers'' and 
inserting ``campuses'';
(3) in subsection (b)(1)(C)--
(A) in clause (iii), by striking ``and'' at the 
end; and
(B) by adding at the end the following:
``(v) industry or sector partnerships, where 
applicable; and''; and
(4) in subsection (c), in the heading, by striking 
``Centers'' and inserting ``Campuses''.

SEC. 162. WORKFORCE COUNCILS.

Section 154 of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3204) is amended--
(1) by striking ``center'' each place it appears and 
inserting ``campus'';
(2) in subsection (b)(1)--
(A) in subparagraph (B), by striking ``and'' at the 
end;
(B) by redesignating subparagraph (C) as 
subparagraph (D); and
(C) by inserting the following after subparagraph 
(B):
``(C) representatives of community-based 
organizations; and'';
(3) in subsection (c)(2)(C), by inserting ``, recognized 
postsecondary credentials,'' after ``skills''; and
(4) in subsection (d), in the heading, by striking ``New 
Centers'' and inserting ``New Campuses''.

SEC. 163. ADVISORY COMMITTEES.

Section 155 of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3205) is amended--
(1) by striking ``The Secretary'' and inserting ``(a) In 
General.--The Secretary'';
(2) by striking ``centers'' and inserting ``campuses'';
(3) by striking ``center'' and inserting ``campus''; and
(4) by adding at the end the following:
``(b) Advisory Committee to Improve Job Corps Safety and 
Performance.--Not later than one year after the date of enactment of 
the A Stronger Workforce for America Act of 2026, the Secretary shall 
establish an advisory committee to provide recommendations on effective 
or evidence-based strategies to improve--
``(1) safety, security, and learning conditions on Job 
Corps campuses;
``(2) the standards for campus safety established under 
section 159(c)(4);
``(3) the levels of performance established under section 
159(c)(1), including recommendations to improve the 
effectiveness and rigor of such levels of performance and 
recommendations to ensure such levels promote continuous 
performance improvement; and
``(4) the effectiveness of performance improvement plans 
and other measures to continuously improve the performance of 
the Job Corps program.''.

SEC. 164. EXPERIMENTAL PROJECTS AND TECHNICAL ASSISTANCE.

Section 156 of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3206) is amended--
(1) by striking ``center'' and inserting ``campus'';
(2) by striking ``centers'' and inserting ``campuses''; and
(3) in subsection (b)--
(A) by striking ``\1/4\ of 1 percent to provide'' 
and inserting ``1.25 percent to provide''; and
(B) in paragraph (1), by striking ``and'' at the 
end of subparagraph (C) and by adding at the end the 
following:
``(D) in the development and implementation of a 
behavior management plan under section 152(a); and
``(E) in complying with the campus and student 
safety standards described in section 159(c)(4); and''.

SEC. 165. SPECIAL PROVISIONS.

Section 158 of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3208) is amended--
(1) by striking ``center'' each place it appears and 
inserting ``campus''; and
(2) in subsection (f)--
(A) by striking ``may accept on behalf of the Job 
Corps or individual Job Corps campuses charitable 
donations of cash'' and inserting ``(or the Secretary 
of Agriculture, as appropriate), on behalf of the Job 
Corps, or a Job Corps campus operator, on behalf of 
such campus, may accept grants, charitable donations of 
cash,''; and
(B) by inserting at the end the following: 
``Notwithstanding sections 501(b) and 522 of title 40, 
United States Code, any property acquired by a Job 
Corps campus shall be directly transferred, on a 
nonreimbursable basis, to the Secretary.''.

SEC. 166. MANAGEMENT INFORMATION.

(a) Levels of Performance.--Section 159 of the Workforce Innovation 
and Opportunity Act (29 U.S.C. 3209) is amended--
(1) by striking ``center'' each place it appears and 
inserting ``campus'';
(2) in subsection (c)--
(A) in paragraph (1)--
(i) by striking ``The Secretary'' and 
inserting the following:
``(A) In general.--The Secretary'';
(ii) by inserting ``that are ambitious yet 
achievable and'' after ``program''; and
(iii) by adding at the end the following 
new subparagraphs:
``(B) Levels of performance.--In establishing the 
expected levels of performance under subparagraph (A) 
for a Job Corps campus, the Secretary may take into 
account factors including--
``(i) how the levels involved compare with 
the recent performance of such campus and the 
performance of other campuses within the same 
State or geographic region;
``(ii) the levels of performance set for 
the primary indicators of performance described 
in section 116(b)(2)(A)(ii) for the youth 
programs authorized under chapter 2 of subtitle 
B for the State in which the campus is located;
``(iii) the extent to which the levels 
involved promote continuous improvement in 
performance on the primary indicators of 
performance by such campus and ensure optimal 
return on the use of Federal funds; and
``(iv) any other considerations identified 
by the Secretary after reviewing the 
recommendations of the advisory group described 
in section 155(b).
``(C) Performance per contract.--The Secretary 
shall ensure the expected levels of performance are 
established in the relevant contract or agreement.
``(D) Adjustments based on economic conditions and 
individuals served during the program year.--
``(i) In general.--In the event of a 
significant economic downturn, the Secretary 
shall adjust the applicable levels of 
performance for each of the campuses for a 
program year to reflect the actual economic 
conditions during such program year.
``(ii) Report to congress.--Prior to 
implementing the adjustments described in 
clause (i), the Secretary shall submit to the 
Committee on Education and Workforce of the 
House of Representatives and the Committee on 
Health, Education, Labor, and Pensions of the 
Senate a report explaining the reason for such 
adjustments.
``(E) Review of levels of performance.--The Office 
of Inspector General of the Department of Labor shall, 
every 5 years, submit to the Committee on Education and 
Workforce of the House of Representatives and the 
Committee on Health, Education, Labor, and Pensions of 
the Senate, and publish in the Federal Register and on 
a publicly available website of the Department, a 
report containing--
``(i) a quadrennial review of the expected 
levels of performance; and
``(ii) an evaluation of whether--
``(I) the Secretary is establishing 
such expected levels of performance in 
accordance with this Act; and
``(II) such expected levels have 
led to continued improvement of the Job 
Corps program.'';
(B) in paragraph (2)(B), by striking ``(L), and 
(M)'' and inserting ``(M), and (N)'';
(C) in paragraph (3)(B), by striking ``(J), and 
(K)'' and inserting ``(K), and (L)'';
(D) by redesignating paragraph (4) as paragraph 
(5);
(E) by inserting after paragraph (3) the following:
``(4) Campus safety.--
``(A) In general.--The Secretary shall establish 
campus and student safety standards. The Secretary 
shall provide technical assistance and develop a safety 
improvement plan for a Job Corps campus that fails to 
achieve such standards.
``(B) Considerations.--In establishing the campus 
and student safety standards under subparagraph (A), 
the Secretary shall take into account--
``(i) incidents related to safety that are 
reported to the Secretary;
``(ii) survey data from enrollees, faculty, 
staff, and community members; and
``(iii) any other considerations identified 
by the Secretary after reviewing the 
recommendations of the advisory group described 
in section 155(b).'';
(F) in paragraph (5), as so redesignated--
(i) in subparagraph (A), by striking 
``and'' at the end;
(ii) in subparagraph (B), by striking the 
period at the end and inserting a semicolon; 
and
(iii) by adding at the end the following:
``(C) the number of contracts that were awarded a 
renewal compared to those eligible for a renewal;
``(D) the number of campuses where the contract was 
awarded to a new operator; and
``(E) the number of campuses that were required to 
receive performance improvement, as described under 
subsection (f)(2).''; and
(G) by adding at the end the following:
``(6) Wage records.--The Secretary shall make arrangements 
with a State or other appropriate entity to facilitate the use 
of State wage records to evaluate the performance of Job Corps 
campuses on the employment and earnings indicators described in 
clause (i)(III) of subparagraph (A) of section 116(b)(2) and 
subclauses (I) and (II) of clause (ii) of such subparagraph for 
the purposes of the report required under paragraph (5).'';
(3) in subsection (d)(1)--
(A) by inserting ``and make available on the 
website of the Department pertaining to the Job Corps 
program in a manner that is consumer-tested to ensure 
it is easily understood, searchable, and navigable,'' 
after ``subsection (c)(4),'';
(B) in subparagraph (B), by striking ``gender'' and 
inserting ``sex'';
(C) in subparagraph (F), by striking ``regular 
secondary school diploma'' and inserting ``regular high 
school diploma'';
(D) in subparagraph (G), by striking ``regular 
secondary school diploma'' and inserting ``regular high 
school diploma'';
(E) by redesignating subparagraphs (J) through (O) 
as subparagraphs (K) through (P), respectively; and
(F) by inserting the following after subparagraph 
(I):
``(J) the number of appeals under section 152(c) 
and a description of each appeal that was approved;'';
(4) in subsection (e), by striking ``116(i)(2)'' and 
inserting ``116(j)(2)''; and
(5) in subsection (g)(2), by striking ``comply'' and 
inserting ``attest to compliance''.
(b) Performance Assessments and Improvements.--Section 159(f) of 
the Workforce Innovation and Opportunity Act (29 U.S.C. 3209) is 
amended to read as follows:
``(f) Performance Assessments and Improvements.--
``(1) Assessments.--The Secretary shall conduct an annual 
assessment of the performance of each Job Corps campus on the 
primary indicators of performance described in section 
116(b)(2)(A)(ii), where each indicator shall be given equal 
weight in determining the overall performance of the campus. 
Based on the assessment, the Secretary shall take measures to 
continuously improve the performance of the Job Corps program.
``(2) Performance improvement.--
``(A) Comprehensive improvement.--
``(i) In general.--With respect to a Job 
Corps campus that, for a program year, performs 
as described in clause (ii) and is not already 
subject to a performance improvement plan under 
this paragraph for such program year or the 
succeeding program year, the Secretary shall 
develop and implement, for a comprehensive 
improvement period beginning with the 
succeeding program year, a performance 
improvement plan that meets the requirements of 
clause (iii).
``(ii) Performance failures.--A Job Corps 
campus performs as described in this clause if, 
for a program year, such campus--
``(I) fails to meet an average of 
90 percent on the expected levels of 
performance across all the primary 
indicators of performance specified in 
subsection (c)(1); and
``(II) is ranked among the lowest 
20 percent of all Job Corps campuses.
``(iii) Performance improvement plan 
requirements.--A performance improvement plan, 
with respect to a Job Corps campus, shall 
require the Secretary to take substantial 
action during a 3 consecutive program year 
period (in this paragraph, referred to as a 
`comprehensive improvement period') to improve 
the performance of such campus, which shall 
include--
``(I) providing technical 
assistance to the campus;
``(II) changing the management 
staff of the campus;
``(III) changing the career and 
technical education and training 
offered at the campus;
``(IV) replacing the operator of 
the campus; or
``(V) reducing the capacity of the 
campus.
``(B) Chronic failure.--
``(i) In general.--With respect to a Job 
Corps campus that, for the two consecutive 
program years immediately following a 
comprehensive improvement period and regardless 
of whether such campus is subject to a 
subsequent comprehensive improvement period, 
fails to meet an average of 85 percent on the 
expected levels of performance across all the 
primary indicators and is ranked among the 
lowest 15 percent of all Job Corps campuses, 
the Secretary shall take further substantial 
action to improve the performance of such 
campus, which shall include--
``(I) relocating the campus;
``(II) closing the campus; or
``(III) notifying the State in 
which the campus is located of such 
failure and, if such State submits a 
written plan to operate a residential 
campus in the current location, the 
Secretary--
``(aa) shall enter into a 
memorandum of understanding 
with the State for the purpose 
of so operating a residential 
campus and award funding 
directly to the State for such 
purpose;
``(bb) may encourage 
innovation in such memorandum 
of understanding by waiving any 
statutory or regulatory 
requirement of this subtitle 
except for those related to 
participant eligibility under 
section 144, program activities 
under section 148, counseling 
and job placement under section 
149, standards of conduct under 
section 152, and performance 
reporting and accountability 
under this section; and
``(cc) if a State chooses 
to award funds received under 
this clause to an entity that 
is not a State agency or other 
State entity, require that such 
State develop award criteria 
that will give priority 
consideration for the primary 
contract or grant for operation 
of the campus to any applicant 
that is a non-profit 
organization with expertise in 
serving out-of-school youth and 
that otherwise meets such award 
criteria.
``(ii) Indian tribes.--
``(I) In general.--In the case of a 
Job Corps campus described in clause 
(i) that is located on an Indian 
reservation, subclause (III) of such 
clause shall be applied by--
``(aa) by substituting 
`Indian Tribe' for `State' in 
each place it appears; and
``(bb) in item (cc), by 
substituting `Tribal 
organization' for `State agency 
or other State entity'.
``(II) Definition.--In this 
paragraph, the terms `Indian Tribe' and 
`Tribal organization' have the meanings 
given such terms in subsections (e) and 
(l), respectively, of section 4 of the 
Indian Self-Determination and Education 
Assistance Act (25 U.S.C. 5304).
``(3) Additional performance improvement.--In addition to 
the performance improvement plans required under paragraph (2), 
the Secretary may develop and implement additional performance 
improvement plans for a Job Corps campus that fails to meet 
criteria established by the Secretary other than the expected 
levels of performance described in subsection (c)(1).
``(4) Civilian conservation centers.--With respect to a 
Civilian Conservation Center that, for 3 consecutive program 
years, fails to meet an average of 90 percent of the expected 
levels of performance across all the primary indicators of 
performance specified in subsection (c)(1) and is ranked among 
the lowest 15 percent of campuses, the Secretary of Labor or, 
if appropriate, the Secretary of Agriculture shall select, on a 
competitive basis, an entity to operate part or all of the 
Civilian Conservation Center in accordance with the 
requirements of section 147.''.
(c) Conforming Amendments.--Section 159 of the Workforce Innovation 
and Opportunity Act (29 U.S.C. 3209) is further amended--
(1) in subsection (a)(3), by striking ``centers'' and 
inserting ``campuses'';
(2) in subsection (g)(1), in the heading, by striking 
``Center'' and inserting ``Campus''; and
(3) in subsection (j), in the heading, by striking 
``Center'' and inserting ``Campus''.

SEC. 167. JOB CORPS OVERSIGHT AND REPORTING.

Section 161 of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3211) is amended--
(1) in subsection (c)--
(A) in the heading, by striking ``Center'' and 
inserting ``Campus''; and
(B) by striking ``center'' and inserting 
``campus'';
(2) by redesignating subsection (d) as subsection (e); and
(3) by inserting after subsection (c) the following new 
subsection:
``(d) Report on Implementation of Recommendations.--The Secretary 
shall, on an annual basis, prepare and submit to the applicable 
committees a report regarding the implementation of all outstanding 
recommendations regarding the Job Corps program from the Office of 
Inspector General of the Department of Labor or the Government 
Accountability Office.''.

SEC. 168. AUTHORIZATION OF APPROPRIATIONS.

Section 162 of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3212) is amended to read as follows:

``SEC. 162. AUTHORIZATION OF APPROPRIATIONS.

``There are authorized to be appropriated to carry out this 
subtitle $1,760,155,000 for each of the fiscal years 2027 through 
2032.''.

SEC. 169. CONFORMING AMENDMENTS.

Section 146(a) of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3196(a)) is amended by striking ``App. 451'' and inserting 
``3801''.

Subtitle E--National Programs

SEC. 171. NATIVE AMERICAN PROGRAMS.

Section 166 of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3221) is amended--
(1) in subsection (a)(2), by striking ``(25 U.S.C. 450 et 
seq.)'' and inserting ``(25 U.S.C. 5301 et seq.)'';
(2) in subsection (b)--
(A) in paragraph (2), by striking ``(25 U.S.C. 
450b)'' and inserting ``(25 U.S.C. 5304)''; and
(B) in paragraph (3), by inserting ``(20 U.S.C. 
7517)'' before the period at the end;
(3) in subsection (d)(1)--
(A) in subparagraph (A), by striking ``and'';
(B) in subparagraph (B)--
(i) by striking ``leading'' and inserting 
``or self-employment that leads''; and
(ii) by striking the period at the end and 
inserting ``; and''; and
(C) by adding at the end the following:
``(C) are evidence-based, to the extent 
practicable.'';
(4) in subsection (d)(2), by striking subparagraph (B) and 
inserting the following:
``(B) Administrative costs.--Not more than 15 
percent of the funds made available to an entity under 
subsection (c) may be used for the administrative costs 
of the activities and services described in 
subparagraph (A).
``(C) Special rules.--
``(i) Eligibility.--Notwithstanding any 
other provision of this section, individuals 
who were eligible to participate in programs 
under section 401 of the Job Training 
Partnership Act (as such section was in effect 
on the day before the date of enactment of the 
Workforce Investment Act of 1998) shall be 
eligible to participate in an activity assisted 
under this section.
``(ii) Transfer of unobligated funds.--An 
entity receiving funds under subsection (c) may 
transfer such funds that are unobligated for an 
award year to the following award year for 
activities described in subparagraph (A)(i) in 
that following award year.'';
(5) in subsection (e)(3), by inserting ``or to develop 
skills necessary for successful self-employment'' before the 
semicolon at the end;
(6) in subsection (h)--
(A) in paragraph (1)--
(i) in the heading, by striking the heading 
and inserting ``Performance standards'';
(ii) by striking subparagraph (A) and 
inserting the following:
``(A) Consultation on performance standards.--The 
Secretary, in consultation with the Native American 
Employment and Training Council, shall develop 
performance standards on the primary indicators of 
performance described in section 116(b)(2)(A) that 
shall be applicable to programs under this section.''; 
and
(iii) in subparagraph (B), in the matter 
preceding clause (i), by striking ``indicators 
and'';
(B) in paragraph (2), by striking ``section 
116(b)(2)(A)'' and all that follows through the period 
at the end of the paragraph and inserting the 
following: ``section 116(b)(2)(A)--
``(A) taking into consideration--
``(i) economic conditions;
``(ii) characteristics and needs of the 
individuals and groups served, including the 
differences in needs among such groups in 
various geographic service areas; and
``(iii) other appropriate factors, 
including the economic circumstances of the 
communities served; and
``(B) using, to the extent practicable, the 
statistical adjustment model under section 
116(b)(3)(A)(viii).''; and
(C) by adding at the end the following:
``(3) Program plan.--The levels agreed to under paragraph 
(2) shall be the adjusted levels of performance and shall be 
incorporated in the program plan.
``(4) Wage records.--
``(A) In general.--The Secretary shall make 
arrangements with any State or other appropriate entity 
to facilitate the use of State wage records to evaluate 
the performance of entities funded under this section 
on the employment and earnings indicators described in 
subclauses (I) through (III) of section 116(b)(2)(A)(i) 
for the purposes of the report required under paragraph 
(5).
``(B) Other wage records.--For any individual 
working in Indian country (as defined in section 1151 
of title 18, United States Code) whose wages are not 
submitted to a relevant State as an unemployment 
insurance wage record, the Indian tribe with 
jurisdiction over that Indian country may submit other 
forms of documentation of the wages of such individual 
to the State for purposes of the report required under 
paragraph (5).
``(5) Performance results.--For each program year, the 
Secretary shall make available on a publicly accessible website 
of the Department of Labor a report on the performance, during 
such program year, of entities funded under this section on--
``(A) the primary indicators of performance 
described in section 116(b)(2)(A); and
``(B) the adjusted levels of performance for such 
entities as described in paragraph (2).''; and
(7) in subsection (i)--
(A) in paragraph (4)--
(i) in subparagraph (A)--
(I) by striking ``Using'' and 
inserting the following:
``(i) Establishment.--Using''; and
(II) by adding at the end the 
following:
``(ii) Recommendations.--The Secretary 
shall meet, on not less than an annual basis, 
with the Council to consider recommendations 
from the Council on the operation and 
administration of the programs assisted under 
this section.'';
(ii) in subparagraph (B)--
(I) by striking ``The Council'' and 
inserting the following:
``(i) In general.--The Council''; and
(II) by inserting at the end the 
following:
``(ii) Vacancies.--An individual appointed 
to fill a vacancy on the Council occurring 
before the expiration of the term for which the 
predecessor of such individual was appointed 
shall be appointed only for the remainder of 
that term. Such an individual may serve on the 
Council after the expiration of such term until 
a successor is appointed.''; and
(iii) in subparagraph (F), by inserting ``, 
virtually or in person'' before the period at 
the end; and
(B) in paragraph (6)--
(i) by striking ``more than one State'' and 
inserting ``a State'';
(ii) by inserting ``or provided by another 
grantee that receives funds awarded under 
subtitle B from any State for adult, youth, or 
dislocated worker programs'' after ``this 
title'';
(iii) by striking ``Governors of the 
affected States'' and inserting ``Governor of 
any affected State''; and
(iv) by striking ``the States'' and 
inserting ``the State or other grantee''.

SEC. 172. MIGRANT AND SEASONAL FARMWORKER PROGRAMS.

Section 167 of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3222) is amended--
(1) in subsection (b)--
(A) by striking ``To be'' and inserting the 
following:
``(1) In general.--To be''; and
(B) by adding at the end the following:
``(2) Prohibition on geographic limitations.--In 
determining eligibility under paragraph (1), the Secretary may 
not place limitations on the geographic location of the entity 
or on the intended area to be served.'';
(2) in subsection (c), by adding at the end the following:
``(5) Wage records.--The Secretary shall make arrangements 
with a State or other appropriate entity to facilitate the use 
of State wage records to evaluate the performance of entities 
funded under this section on the employment and earnings 
indicators described in subclauses (I) through (III) of section 
116(b)(2)(A)(i) for the purposes of the report required under 
paragraph (6).
``(6) Performance results.--For each program year, the 
Secretary shall make available on a publicly accessible website 
of the Department a report on the performance, during such 
program year, of entities funded under this section on--
``(A) the primary indicators of performance 
described in section 116(b)(2)(A); and
``(B) the adjusted levels of performance for such 
entities as described in paragraph (3).'';
(3) in subsection (d)(1), by inserting ``development of 
digital literacy skills,'' after ``literacy instruction,'';
(4) by redesignating subsections (e) through (i) as 
subsections (f) through (j), respectively;
(5) by inserting after subsection (d) the following:
``(e) Administrative Costs.--Not more than 10 percent of the funds 
provided to an entity under this section may be used for the 
administrative costs of the activities and services carried out under 
subsection (d).''; and
(6) in subsection (i), as so redesignated--
(A) in the heading, by striking ``Allocation'' and 
inserting ``Allocation; Funding Obligation'';
(B) by striking ``From'' and inserting the 
following:
``(1) Funding allocation.--From''; and
(C) by adding at the end the following:
``(2) Funding obligation.--Funds appropriated and made 
available to carry out this section for any fiscal year may be 
obligated by the Secretary during the period beginning on April 
1 of the calendar year that begins during such fiscal year and 
ending on June 30 of the following calendar year to be made 
available to an entity described in subsection (b).''.

SEC. 173. TECHNICAL ASSISTANCE.

(a) General Technical Assistance.--Section 168(a)(1) of the 
Workforce Innovation and Opportunity Act (29 U.S.C. 3223(a)(1)) is 
amended--
(1) by striking ``appropriate training, technical 
assistance, staff development'' and inserting ``appropriate 
education, technical assistance, professional development for 
staff'';
(2) in subparagraphs (B), (C), and (D), by striking 
``training'' each place it appears and inserting ``professional 
development'';
(3) by redesignating subparagraphs (G) and (H) as 
subparagraphs (J) and (K), respectively; and
(4) by inserting after subparagraph (F) the following:
``(G) assistance to the one-stop delivery system 
and the Employment Service established under the 
Wagner-Peyser Act for the integration of basic career 
service activities pursuant to section 134(c)(2)(A);
``(H) assistance to States with maintaining, and 
making accessible to jobseekers and employers, the 
lists of eligible providers of training services 
required under section 122;
``(I) assistance to States that apply for such 
assistance under section 122(j) for the purposes 
described in such subsection;''.
(b) Performance Accountability Technical Assistance.--Section 
168(b) of the Workforce Innovation and Opportunity Act (29 U.S.C. 
3223(b)) is amended--
(1) in the header, by striking ``Dislocated Worker'' and 
inserting ``Performance Accountability''; and
(2) in paragraph (1)--
(A) in the first sentence--
(i) by inserting ``, pursuant to paragraphs 
(1) and (2) of section 116(f),'' after 
``technical assistance''; and
(ii) by striking ``with respect to 
employment and training activities for 
dislocated workers'' and inserting ``with 
respect to the core programs''; and
(B) in the second sentence--
(i) by striking ``assistance to dislocated 
workers'' and inserting ``assistance to 
individuals served by a core program''; and
(ii) by striking ``provided to dislocated 
workers'' and inserting ``provided to such 
individuals''.
(c) Communities Impacted by Substance Use Disorders.--Section 168 
of the Workforce Innovation and Opportunity Act (29 U.S.C. 3223) is 
further amended by adding at the end the following:
``(d) Communities Impacted by Substance Use Disorders.--The 
Secretary shall, as part of the activities described in subsection 
(c)(2), evaluate and disseminate to States and local areas information 
regarding evidence-based and promising practices for addressing the 
economic workforce impacts associated with high rates of substance use 
disorders, which information shall--
``(1) be updated annually to reflect the most recent and 
available research; and
``(2) include information--
``(A) shared by States and local areas regarding 
effective practices for addressing such impacts; and
``(B) on how to apply for any funding that may be 
available under section 170(b)(1)(E).''.

SEC. 174. EVALUATIONS AND RESEARCH.

(a) In General.--Section 169 of the Workforce Innovation and 
Opportunity Act (29 U.S.C. 3224) is amended--
(1) in subsection (a)--
(A) in paragraph (2)--
(i) by redesignating subparagraph (G) as 
subparagraph (H);
(ii) in subparagraph (F)--
(I) by striking ``; and'' at the 
end; and
(II) by inserting ``, including 
individuals with barriers to 
employment'' after ``demographic 
groups''; and
(iii) by inserting the following after 
subparagraph (F):
``(G) the extent to which such programs or 
activities are using emerging technology to--
``(i) collect, analyze, use, and 
disseminate accurate and transparent local and 
State level labor market information;
``(ii) integrate administrative data, in 
accordance with Federal and State privacy laws, 
to more comprehensively understand and improve 
education and workforce outcomes; and
``(iii) identify and address deficiencies 
in existing Federal, State, and local workforce 
data infrastructure and related source systems; 
and'';
(B) in paragraph (3)--
(i) by striking ``The Secretary'' and 
inserting the following:
``(A) In general.--The Secretary''; and
(ii) by adding at the end the following new 
subparagraph:
``(B) Limitation.--The Secretary may not use the 
authority described in subparagraph (A) if the 
evaluations required under paragraph (1) have not been 
initiated or completed in the time period required.''; 
and
(C) in paragraph (4), in the second sentence--
(i) by striking ``The Secretary'' and 
inserting ``Beginning after the date of 
enactment of the A Stronger Workforce for 
America Act of 2026, the Secretary''; and
(ii) by striking ``2019'' and inserting 
``2028''; and
(2) in subsection (b)--
(A) by amending paragraph (4) to read as follows:
``(4) Studies and reports.--
``(A) Study on employment conditions.--The 
Secretary, in coordination with other heads of Federal 
agencies, as appropriate, may conduct a study examining 
the nature of participants' unsubsidized employment 
after exit from programs carried out under this Act--
``(i) including with respect to factors 
such as the availability of paid time off in 
the employment, health and retirement benefits 
provided through the employment, workplace 
safety standards at the place of employment, 
the predictability and stability of the work 
schedule for the employment, the ability to 
obtain through the employment credentials that 
may permit articulation into a higher level or 
other degree or credential program, and 
advancement opportunities in the employment; 
and
``(ii) that includes a description of the 
feasibility of Congress establishing, through 
future legislation, an indicator of performance 
under section 116 related to such factors.
``(B) Study on improving workforce services for 
individuals with disabilities.--The Secretary of Labor, 
in coordination with the Secretary of Health and Human 
Services, may conduct studies that analyze the access 
to services by individuals with disabilities, including 
whether an individual who is unable to receive services 
under title IV due to a wait list for such services is 
able to receive services under titles I through III.
``(C) Study on the effectiveness of pay for 
performance.--The Secretary shall, not later than 4 
years after the date of enactment of the A Stronger 
Workforce for America Act of 2026, conduct a study 
that--
``(i) compares the effectiveness of the 
pay-for-performance strategies used under 
sections 129, 134, and 172 after such date of 
enactment to the awarding of grants and 
contracts under such sections as in effect on 
the day before the date of enactment of such 
Act; and
``(ii) examines, with respect to grants 
under sections 129, 134, and 172 after such 
date of enactment--
``(I) the competition structure of 
pay-for-performance grants and 
contracts under such sections;
``(II) the quality of applications 
received for grants and contracts under 
such sections; and
``(III) whether individuals with 
barriers to employment were effectively 
served under the pay-for-performance 
strategies for grants and contracts 
under such sections.
``(D) Study on individual training accounts for 
dislocated workers.--The Secretary shall, not later 
than 4 years after the date of enactment of the A 
Stronger Workforce for America Act of 2026, conduct a 
study that compares the usage of individual training 
accounts for dislocated workers after such date of 
enactment to the usage of such accounts prior to such 
date of enactment, including a comparison of--
``(i) the types of training services and 
occupations targeted by dislocated workers when 
using their individual training accounts; and
``(ii) the effectiveness of the skills 
development funded through individual training 
accounts in helping such individuals attain 
credentials and secure unsubsidized employment.
``(E) Study on statewide critical industry skills 
funds.--The Secretary shall, not later than 4 years 
after the date of enactment of the A Stronger Workforce 
for America Act of 2026, conduct a study that will 
review the usage of statewide critical industry skills 
funds established by States under section 134(a)(4) and 
identify, for purposes of measuring the overall 
effectiveness of the program--
``(i) the industries targeted by the funds 
under section 134(a)(4);
``(ii) the occupations for which workers 
are being upskilled;
``(iii) how frequently skills development 
is provided to prospective workers and 
incumbent workers, and
``(iv) the reported performance outcomes.
``(F) Study on industry or sector partnership and 
career pathways development funds.--The Secretary 
shall, not later than 4 years after the date of 
enactment of the A Stronger Workforce for America Act 
of 2026, conduct a study that will review the usage of 
industry or sector partnership and career pathways 
development funds established by States under section 
134(a)(5) and identify, for purposes of measuring the 
overall effectiveness of the program--
``(i) the industries targeted by the funds 
under section 134(a)(5) and the growth in 
employment opportunities in such industries 
over the period of the study;
``(ii) the occupations workers are 
receiving skills development for and how 
frequently such skills development is occurring 
through the funds under section 134(a)(5);
``(iii) the States where such funds were 
used to establish new industry or sector 
partnerships, the States where such funds were 
used to expand existing industry or sector 
partnerships, and an overview of the types of 
partners participating in such partnerships; 
and
``(iv) the reported performance outcomes.
``(G) Study on the effectiveness of employer-based 
training.--The Secretary shall, not later than 4 years 
after the date of enactment of the A Stronger Workforce 
for America Act of 2026, conduct a study that measures 
the effectiveness of on-the-job training, employer-
directed skills training, apprenticeship, and incumbent 
worker training under this title in preparing 
jobseekers and workers, including those with barriers 
to employment, for unsubsidized employment. Such study 
shall include the cost per participant and wage and 
employment outcomes, as compared to other methods of 
training.
``(H) Study on the effectiveness and use of 
emerging technology in the workforce development 
system.--The Secretary shall, not later than 4 years 
after the date of enactment of the A Stronger Workforce 
for America Act of 2026, conduct a study that--
``(i) measures the effectiveness of 
emerging technology (including artificial 
intelligence and machine learning) and other 
advanced computational methods, in improving 
State workforce development system service 
delivery, labor market data system performance, 
data collection and integration to understand 
participant and program outcomes, and end-user 
tools for facilitating career exploration or 
related data insights;
``(ii) measures the extent to which States 
have adopted and implemented such technology 
and methods in their workforce development 
systems, including by describing how the 
technology or method is being used, analyzing 
the accuracy of such technology or method, and 
identifying any exhibited bias by any such 
technology or method; and
``(iii) includes an analysis of the 
consequences of advances in automation 
technology on employment opportunities, skills 
development, including digital literacy skills 
development, and worker dislocation.
``(I) Study on the alignment between education and 
workforce development systems.--The Secretary of Labor, 
shall, not later than 4 years after the date of 
enactment of the A Stronger Workforce for America Act 
of 2026, conduct a study on the alignment of workforce 
development programs under this Act with elementary and 
secondary education and postsecondary education. The 
study shall examine--
``(i) State efforts to integrate data 
related to career and technical education 
programs, dual enrollment programs, pre-
apprenticeships and apprenticeships, and other 
work-based learning programs to inform 
decisionmaking and improve educational 
opportunities and outcomes;
``(ii) challenges related to and strategies 
that promote such alignment to facilitate 
student participation in high-quality college 
and career pathways; and
``(iii) governance structures and funding 
sources to promote such alignment.
``(J) Study on job corps.--The Secretary of Labor 
shall, not later than 4 years after the date of 
enactment of the A Stronger Workforce for America Act 
of 2026, conduct an evaluation that--
``(i) uses the most rigorous available 
methods that are appropriate and feasible to 
evaluate program effectiveness;
``(ii) measures the effect of the Job Corps 
program on participating individuals on 
outcomes related to the purposes described in 
section 141(1), including educational 
attainment, employment, earnings, and other 
related outcomes, compared with the non-
participant peers of those individuals, to 
determine if the program has a statistically 
significant effect (including long-term 
effects) on such outcomes; and
``(iii) evaluates the cost-effectiveness of 
the program.
``(K) Reports.--The Secretary shall prepare and 
disseminate to the Committee on Health, Education, 
Labor, and Pensions of the Senate and the Committee on 
Education and Workforce of the House of 
Representatives, and on the publicly available website 
of the Department, reports containing the results of 
the studies conducted under this paragraph.''; and
(B) in paragraph (5), by adding at the end the 
following:
``(C) Evaluation of grants.--
``(i) In general.--For each grant or 
contract awarded under this paragraph, the 
Secretary shall conduct a rigorous evaluation 
of the multistate project to determine the 
impact of the activities supported by the 
project, including the impact on the employment 
and earnings of program participants.
``(ii) Report.--The Secretary shall prepare 
and disseminate to the Committee on Health, 
Education, Labor, and Pensions of the Senate 
and the Committee on Education and Workforce of 
the House of Representatives, and to the 
public, including through electronic means, 
reports containing the results of evaluations 
conducted under this subparagraph.''.
(b) Workforce Data Quality Initiative.--Section 169 of the 
Workforce Innovation and Opportunity Act (29 U.S.C. 3224) is further 
amended by adding at the end the following:
``(d) Workforce Data Quality Initiative.--
``(1) Grant program.--Of the amount made available pursuant 
to section 132(a)(2)(A) for any program year, the Secretary 
shall use not less than 5 percent and not more than 10 percent 
of such amount, and may also use funds authorized for purposes 
of carrying out this section, to award grants to eligible 
entities to create workforce longitudinal data systems, talent 
marketplaces, and associated resources for the purposes of 
assisting States to--
``(A) improve program quality;
``(B) produce evidence for decision making;
``(C) meet performance reporting requirements;
``(D) protect the privacy of users; and
``(E) improve transparency in relation to labor 
market trends and changes in job skills needed to 
obtain employment.
``(2) Application.--To be eligible to receive a grant under 
this subsection, an eligible entity shall submit an application 
to the Secretary, at such time and in such manner as the 
Secretary may require, which shall include--
``(A) a description of the activities the eligible 
entity is proposing, including a description of the 
need for such activities and a detailed budget;
``(B) a description of the expected outcomes and 
outputs (such as systems or products) that will result 
from the proposed activities and the proposed uses of 
such outputs;
``(C) a description of how the proposed activities 
will support the reporting of performance data for the 
performance accountability requirements under section 
116, including outcomes for eligible training 
providers;
``(D) a description of the methods and procedures 
the eligible entity will use to ensure the security and 
privacy of the collection, storage, and use of all data 
involved in the systems and resources supported through 
the grant, including compliance with State and Federal 
privacy and confidentiality law;
``(E) a plan for how the eligible entity will 
continue the activities or sustain the use of the 
outputs created with the grant funds after the grant 
period ends; and
``(F) a description of how the eligible entity will 
ensure interoperability and portability between the 
talent marketplace maintained by the eligible entity 
and other talent marketplaces through the use of open 
standards.
``(3) Priority.--In awarding grants under the subsection, 
the Secretary shall give priority to eligible entities that--
``(A) are--
``(i) State agencies of States that have 
not previously received a grant from the 
Secretary for the purposes of this subsection 
and demonstrate a substantial need to improve 
its data infrastructure, including for the 
development of a talent marketplace; or
``(ii) consortia of State agencies that are 
comprised of State agencies from multiple 
States and include at least one State agency 
described in clause (i) and have the capacity 
to make significant contributions toward 
building interoperable and portable interstate 
data infrastructure; and
``(B) will use grant funds to--
``(i) expand the adoption and use of 
linked, publicly available, and interoperable 
data on knowledge, skills, and abilities 
represented through credentials, occupational 
job descriptions, and learning assertions, 
including through the development of a talent 
marketplace or other tools and services 
designed to help learners and workers make 
informed decisions;
``(ii) participate in and contribute data 
to a multistate data collaborative, including 
data that provides participating States the 
ability to better understand--
``(I) earnings and employment 
outcomes of individuals who work out-
of-State; and
``(II) interstate earnings and 
employment trends;
``(iii) enhance collaboration with private 
sector workforce and labor market data entities 
and the end-users of workforce and labor market 
data, including individuals, employers, 
economic development agencies, and workforce 
development providers;
``(iv) leverage the use of non-Federal 
contributions to improve workforce data 
infrastructure, including staff capacity 
building; or
``(v) expand existing statewide integrated 
longitudinal data systems, including such 
systems receiving assistance under section 208 
of the Educational Technical Assistance Act of 
2002 (20 U.S.C. 9607).
``(4) Use of funds.--In addition to the activities 
described in paragraph (3)(B), an eligible entity awarded a 
grant under this subsection may use funds to carry out any of 
the following activities:
``(A) Developing or enhancing a State's workforce 
longitudinal data system, including by participating 
and contributing data to the State's data system, if 
applicable, that links with elementary and secondary 
school and postsecondary data.
``(B) Accelerating the replication and adoption of 
data systems, projects, products, or practices already 
in use in one or more States to other States.
``(C) Research and labor market data improvement 
activities to improve the timeliness, relevance, and 
accessibility of such data through pilot projects that 
are developed locally but designed to scale to other 
regions or States.
``(D) Establishing or enhancing a talent 
marketplace.
``(E) Developing policies, guidelines, and security 
measures for data collection, storing, and sharing to 
ensure compliance with relevant Federal and State 
privacy laws and regulations.
``(F) Increasing local board access to and 
integration with the State's workforce longitudinal 
data system in a secure manner.
``(G) Creating or participating in a data exchange 
for collecting and using standards-based jobs and 
employment data including, at a minimum, job titles or 
occupation codes.
``(H) Improving State and local staff capacity to 
understand, use, and analyze data to improve decision-
making and improve participant outcomes.
``(5) Administration.--
``(A) Duration.--A grant awarded under this 
subsection may be for a period of up to 3 years.
``(B) Supplement, not supplant.--Funds made 
available under this subsection shall be used to 
supplement, and not supplant, other Federal, State, or 
local funds used for development of State data systems.
``(C) Report.--Each eligible entity that receives a 
grant under this subsection shall submit a report to 
the Secretary not later than 180 days after the 
conclusion of the grant period on the activities 
supported through the grant and improvements in the use 
of workforce and labor market information that have 
resulted from such activities.
``(6) Definition.--In this subsection--
``(A) Eligible entity.--The term `eligible entity' 
means a State agency, including a State workforce 
agency or a consortium of State agencies, including a 
multistate data collaborative, that is or includes the 
State agency responsible for--
``(i) State employer wage records used by 
the State's unemployment insurance programs in 
labor market information reporting and analysis 
and for fulfilling the reporting requirements 
under section 116(d);
``(ii) the production of labor market 
information; and
``(iii) the direct administration of one or 
more of the core programs.
``(B) Multistate data collaborative.--The term 
`multistate data collaborative' means a partnership 
among two or more States to coordinate the governance 
and standards for workforce related data maintained by 
such States in order to facilitate interoperability and 
the secure exchange of such data between such 
States.''.

SEC. 175. NATIONAL DISLOCATED WORKER GRANTS.

Section 170 of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3225) is amended--
(1) in subsection (b)--
(A) in paragraph (1)--
(i) in subparagraph (C), by striking 
``and'' at the end;
(ii) in subparagraph (D)(ii), by striking 
the period at the end and inserting ``; and''; 
and
(iii) by adding at the end the following:
``(E) to an entity described in subsection 
(c)(1)(B) to provide employment and training activities 
related to the prevention and treatment of substance 
use disorders, including addiction treatment, mental 
health treatment, and pain management, in an area that, 
as a result of widespread substance use, addiction, and 
overdoses, has higher-than-average demand for such 
activities that exceeds the availability of State and 
local resources to provide such activities.''; and
(B) by adding at the end the following:
``(3) Performance results.--The Secretary shall collect the 
necessary information from each entity receiving a grant under 
this section to determine the performance of such entity on the 
primary indicators of performance described in section 
116(b)(2)(A)(i) and make such information available on the 
publicly accessible website of the Department in a format that 
does not reveal personally identifiable information.''; and
(2) in subsection (c)--
(A) in paragraph (1)(A)--
(i) by striking ``subsection (b)(1)(A)'' 
and inserting ``subparagraph (A) or (E) of 
subsection (b)(1)''; and
(ii) by striking ``, in such manner, and 
containing such information'' and inserting 
``and in such manner''; and
(B) in paragraph (2)--
(i) in subparagraph (B)--
(I) in the heading, by striking 
``Retraining'' and inserting 
``Reskilling''; and
(II) by striking ``retraining'' and 
inserting ``reskilling'';
(ii) by redesignating subparagraphs (C) and 
(D) as subparagraphs (D) and (E), respectively; 
and
(iii) by inserting after subparagraph (B) 
the following:
``(C) Substance use related grants.--In order to be 
eligible to receive employment and training assistance 
under a national dislocated worker grant awarded 
pursuant to subsection (b)(1)(E), an individual shall 
be--
``(i) a dislocated worker;
``(ii) a long-term unemployed individual;
``(iii) an individual who is unemployed or 
significantly underemployed as a result of 
widespread substance use in the area; or
``(iv) an individual who is employed or 
seeking employment in a health care profession 
involved in the prevention and treatment of 
substance use disorders, including such 
professions that provide addiction treatment, 
mental health treatment, or pain management.''.

SEC. 176. YOUTHBUILD PROGRAM.

Section 171 of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3226) is amended--
(1) in subsection (b)(7), by striking ``(25 U.S.C. 450b)'' 
and inserting ``(25 U.S.C. 5304)'';
(2) in subsection (c)--
(A) by amending paragraph (1) to read as follows:
``(1) Amount of grants; reservation.--
``(A) Amount of grants.--Subject to subparagraph 
(B), the Secretary is authorized to make grants to 
applicants for the purpose of carrying out YouthBuild 
programs approved under this section.
``(B) Reservation for rural areas and indian 
tribes.--
``(i) Tribal reservation.--Subject to 
clause (iii), in carrying out subparagraph (A), 
the Secretary shall reserve not less than 5 
percent of the total amount appropriated for 
the purposes of that subparagraph to make 
grants to applicants that are--
``(I) Indian tribes, tribal 
organizations, or Native Hawaiian 
organizations (as such term is defined 
in section 166(b)); or
``(II) carrying out programs for 
the benefit of Indians.
``(ii) Rural reservation.--Subject to 
clause (iii), in carrying out subparagraph (A), 
the Secretary shall reserve not less than 10 
percent of the total amount appropriated for 
purposes of that subparagraph to make grants to 
applicants that are located in rural areas.
``(iii) Exception.--If the Secretary does 
not receive a sufficient number of applications 
of sufficient quality to award the amounts 
reserved under clause (i) or amounts reserved 
under clause (ii) in accordance with the 
requirements of the applicable clause, the 
Secretary may--
``(I) award grants to applicants 
described in clause (i) or clause (ii), 
as the case may be, in an amount not to 
exceed $1,500,000 per grant; and
``(II) use any remaining amount 
reserved under the applicable clause 
to, notwithstanding the requirements of 
that clause, award grants under 
subparagraph (A) to other applications 
that are not described in such 
clause.'';
(B) in paragraph (2)--
(i) in subparagraph (A)--
(I) in clause (iv)--
(aa) in subclause (II), by 
striking ``language learners'' 
and inserting ``learners'';
(bb) in subclause (III), by 
striking ``a secondary'' and 
inserting ``a regular high''; 
and
(cc) in subclause (IV), by 
striking ``required'' and 
inserting ``available Federal, 
State, or institutional'';
(II) in clause (v), by striking 
``drug and alcohol abuse'' and 
inserting ``substance use disorder'';
(III) in clause (vii)--
(aa) by inserting ``to 
ensure full participation in a 
YouthBuild program, including 
such services for individuals 
with disabilities,'' after 
``services''; and
(bb) by inserting 
``unsubsidized'' after 
``retaining''; and
(IV) in clause (viii), by inserting 
``, including career services'' after 
``assistance''; and
(ii) by adding at the end the following:
``(I) Provision of meals and other food assistance 
to participants in conjunction with another activity 
described in this paragraph.
``(J) Provision of information on and referral to 
Federal and State means tested programs.'';
(C) in paragraph (3)--
(i) in subparagraph (A), by striking ``such 
time, in such manner, and containing such 
information'' and inserting ``such time and in 
such manner''; and
(ii) in subparagraph (B)--
(I) in the header, by striking 
``Minimum requirements'' and inserting 
``Requirements'';
(II) by striking ``, at a 
minimum'';
(III) in clause (iii), by striking 
``unions'' and inserting ``labor 
organizations'';
(IV) by amending clause (v) to read 
as follows:
``(v) a description of the educational and 
job training activities, work opportunities, 
postsecondary education and training 
opportunities, and other services that will be 
provided to participants, and how those 
activities, opportunities, and services will--
``(I) prepare youth for employment 
in in-demand industry sectors or 
occupations in the labor market area 
described in clause (i); and
``(II) support youth in attaining a 
regular high school diploma or its 
recognized equivalent;'';
(V) in clause (vii), by striking 
``(including agencies of Indian 
tribes)'' and inserting ``, Indian 
tribes, tribal organizations, and 
tribal educational agencies (as such 
term is defined in section 6132(b) of 
the Elementary and Secondary Education 
Act of 1965 (20 U.S.C. 7452(b)))'';
(VI) in clause (x), by inserting 
``located in the region proposed to be 
served by such applicant, as 
applicable'' after ``tribes'';
(VII) by amending clause (xii) to 
read as follows:
``(xii) a description of the levels of 
performance the applicant expects to achieve on 
the primary indicators of performance described 
in section 116(b)(2)(A)(ii);'';
(VIII) in clause (xiii), by 
striking ``unions'' and inserting 
``labor organizations'';
(IX) by redesignating clauses (xv) 
through (xxi) as clauses (xvi) through 
(xxii), respectively; and
(X) by inserting after clause (xiv) 
the following:
``(xv) a description of any strategies the 
applicant will use to engage program 
participants in providing feedback and 
informing decision-making related to the 
program;''; and
(D) in paragraph (4)--
(i) by striking ``such selection criteria 
as the Secretary shall establish under this 
section, which shall include criteria'' and 
inserting ``selection criteria'';
(ii) in subparagraph (J)(iii), by adding 
``and'' after the semicolon;
(iii) in subparagraph (K), by striking ``; 
and'' and inserting a period; and
(iv) by striking subparagraph (L);
(3) in subsection (e)(1)(B)(i)--
(A) by striking ``are basic skills deficient'' and 
inserting ``have foundational skill needs''; and
(B) by striking ``secondary'' and inserting 
``regular high'';
(4) in subsection (f), by striking paragraph (2) and 
inserting the following:
``(2) Use of wage records.--The Secretary shall make 
arrangements with a State or other appropriate entity to 
facilitate the use of State wage records to evaluate the 
performance of YouthBuild programs funded under this section on 
the employment and earnings indicators described in section 
116(b)(2)(A)(ii) for the purposes of the report required under 
paragraph (3).
``(3) Performance results.--For each program year, the 
Secretary shall make available, on a publicly accessible 
website of the Department, a report on the performance of 
YouthBuild programs, during such program year, funded under 
this section on--
``(A) the primary indicators of performance 
described in section 116(b)(2)(A)(ii); and
``(B) the expected levels of performance for such 
programs as described in paragraph (1).
``(4) Consultation.--In establishing expected levels of 
performance under paragraph (1), the Secretary shall consult, 
on not less than an annual basis, with entities carrying out 
YouthBuild programs to ensure such levels of performance 
account for the workforce development and postsecondary 
education experiences of youth served by such programs.'';
(5) in subsection (g), by inserting at the end the 
following:
``(4) Annual release of funding opportunity announcement.--
The Secretary shall, to the greatest extent practicable, 
announce new funding opportunities for grants under this 
section during the same time period each year for which such 
grants are available.''; and
(6) by amending subsection (i) to read as follows:
``(i) Authorization of Appropriations.--There are authorized to be 
appropriated to carry out this section $105,000,000 for each of the 
fiscal years 2027 through 2032.''.

SEC. 177. REENTRY EMPLOYMENT OPPORTUNITIES.

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 175; and
(2) by inserting after section 171 the following:

``SEC. 172. REENTRY EMPLOYMENT OPPORTUNITIES.

``(a) Purposes.--The purposes of this section are--
``(1) to improve the employment, earnings, and skill 
attainment, and reduce recidivism, of adults and youth who have 
been involved with the justice system;
``(2) to prompt innovation and improvement in the reentry 
of offenders into the workforce so that successful initiatives 
can be established or continued, and replicated; and
``(3) to further develop the evidence on how to improve 
employment, earnings, and skill attainment, and reduce 
recidivism, of offenders, through rigorous evaluations of 
specific services provided, including how they affect different 
populations and how they are best combined and sequenced, and 
disseminate such evidence to entities supporting the reentry of 
offenders is into the workforce.
``(b) Reentry Employment Opportunities Program.--
``(1) In general.--From the amounts appropriated under 
section 175(e) and not reserved under subsection (h), the 
Secretary shall carry out a Reentry Employment Opportunities 
Program, through which the Secretary--
``(A) except as provided in subparagraph (B), in 
order to implement reentry projects that serve eligible 
adults or eligible youth shall, on a competitive 
basis--
``(i) make direct awards (through grants, 
contracts, or cooperative agreements) to 
eligible entities to implement such reentry 
projects; and
``(ii) in any year for which the Secretary 
makes awards under clause (i), make 
intermediary awards to eligible entities who 
are national or regional intermediaries, who 
shall use the award funds--
``(I) to make direct awards to 
eligible entities to implement such 
reentry projects; or
``(II) to implement such reentry 
projects; and
``(B) in order to implement youth reentry 
employment opportunities projects, through that 
program, that serve eligible youth shall, on a 
competitive basis--
``(i) make direct awards to youth project 
eligible entities to implement such youth 
reentry projects; and
``(ii) in any year for which the Secretary 
makes awards under clause (i), make 
intermediary awards to youth project eligible 
entities who are national or regional 
intermediaries, who shall use the award funds--
``(I) to make direct awards to 
youth project eligible entities to 
implement such youth reentry projects; 
or
``(II) to implement such youth 
reentry projects.
``(2) Allocation to activities.--From the amounts 
appropriated under section 175(e) and not reserved under 
subsection (h), the Secretary--
``(A) shall use not less than 20 percent of such 
amounts for awards under paragraph (1)(A) to eligible 
entities to serve as national or regional 
intermediaries to provide the award funds to other 
eligible entities--
``(i) to implement reentry projects 
described in paragraph (1)(A); and
``(ii) to monitor and support such 
entities;
``(B) shall use not less than 20 percent of such 
amounts for direct or intermediary awards under 
paragraph (1)(B) to--
``(i) implement youth reentry projects 
described in paragraph (1)(B); and
``(ii) in cases in which the award 
recipients make direct awards to other youth 
reentry project eligible entities, monitor and 
support such entities;
``(C) shall use 20 percent of such amounts, from 
the portion reserved to carry out paragraph (1)(A), to 
award funds to eligible entities using pay-for-
performance contracts--
``(i) that specify a fixed amount that will 
be paid to such an entity based on the 
achievement, within a defined timeframe, of 
proposed levels of performance described under 
subsection (e)(2)(A) on the indicators of 
performance described in subsection 
(e)(1)(A)(i); and
``(ii) which may provide for bonus payments 
to such entity to expand capacity to provide 
effective services; and
``(D) shall ensure awards made under this section 
are made to eligible entities from geographically 
diverse areas, in addition to giving the priorities 
described in paragraph (5).
``(3) Initial award periods.--The Secretary shall make an 
award under this section for an initial period of not more than 
4 years.
``(4) Additional awards.--The Secretary may make, for a 
period of not more than 4 years, 1 or more additional awards to 
an eligible entity that received an award under this section if 
the eligible entity achieved the levels of performance agreed 
upon with the Secretary (as described in subsection (e)(2)) for 
the most recent award period.
``(5) Priority.--In awarding funds under this section, the 
Secretary shall give priority to eligible entities whose 
applications submitted under subsection (c) demonstrate a 
commitment to use such funds to implement a reentry project--
``(A) that will serve a high-poverty area;
``(B) that will enroll eligible youth or eligible 
adults--
``(i) prior to the release of such 
individuals from incarceration in a 
correctional institution; or
``(ii) not later than 90 days after such 
release;
``(C) whose strategy and design are evidence-based;
``(D) for which the eligible entity will establish 
a partnership with--
``(i) a business;
``(ii) an institution of higher education 
or provider under section 122 (as determined by 
the State where services are being provided) to 
provide project participants with a program 
leading to a recognized postsecondary 
credential in an in-demand industry sector or 
occupation;
``(iii) a local educational agency; or
``(iv) an agency that receives assistance 
for a program under section 225;
``(E) that provides training services, including 
employment-directed skills development and on-the-job 
training, that are designed to meet the specific 
requirements of an employer (including a group of 
employers), industry, or sector, and are conducted with 
a commitment by the employer to employ individuals upon 
successful completion of the preparation; and
``(F) that will serve a rural area.
``(6) Construction.--
``(A) Projects with intermediaries.--An 
intermediary who receives funds under paragraph (1), to 
the extent that the intermediary uses the funds to make 
direct awards to eligible entities, shall carry out the 
functions of the Secretary described in paragraphs (3), 
(4), and (5) of this subsection, and paragraphs (1), 
(2) (other than paragraph (2)(J)), and (4) of 
subsection (c).
``(B) Reentry employment opportunities program 
projects.--For purposes of this section, a reference to 
an eligible entity, used with respect to a youth 
reentry project carried out under paragraph (1)(B), 
shall be considered to be a reference to a youth 
project eligible entity.
``(c) Application.--
``(1) Form and procedure.--To be qualified to receive funds 
under this section, an eligible entity shall submit an 
application to the Secretary at such time, and in such manner, 
as is determined by the Secretary, and containing the 
information described in paragraph (2) and, as applicable, 
paragraph (3) or (4).
``(2) Contents.--An application submitted by an eligible 
entity under paragraph (1) shall contain the following:
``(A) A description of the eligible entity, 
including the experience of the eligible entity in 
providing education, employment, and training services 
for offenders.
``(B) A description of the needs that will be 
addressed by the reentry project supported by the funds 
received under this section and the target participant 
population and the geographic area to be served.
``(C) A description of the proposed education, 
employment, and training services and supportive 
services, if applicable, to be provided under such 
reentry project, and how such activities will prepare 
participants for employment in an in-demand industry 
sector or occupation within the geographic area to be 
served by such reentry project.
``(D) The anticipated schedule for carrying out the 
activities proposed for the reentry project.
``(E) A description of--
``(i) the partnerships the eligible entity 
will establish with agencies and entities 
within the criminal justice system, agencies 
and entities within the juvenile justice 
system, local boards, one-stop operators, one-
stop partners, community-based organizations, 
and employers (including local businesses) to 
provide participants in the reentry project 
with work-based learning, job placement, and 
recruitment (if applicable); and
``(ii) how the eligible entity will 
coordinate its activities with other services 
and benefits available to offenders in the 
geographic area to be served by the reentry 
project.
``(F) A description of the manner in which 
individuals will be recruited and selected for 
participation for the reentry project.
``(G) A detailed budget and a description of the 
system of fiscal controls, and auditing and 
accountability procedures, that will be used to ensure 
fiscal soundness for the reentry project.
``(H) A description of the proposed levels of 
performance to be achieved with respect to the 
indicators of performance described in subsection (e).
``(I) A description of the evidence-based practices 
the eligible entity will use in administration of the 
reentry project.
``(J) An assurance that the eligible entity will 
collect, disaggregate by each subpopulation of 
individuals with barriers to employment, and by race, 
ethnicity, sex, and age, and report to the Secretary 
the data required with respect to the reentry project 
carried out by the eligible entity for purposes of 
determining levels of performance achieved and 
conducting the evaluation under this section.
``(K) An assurance that the eligible entity will 
provide a match as described in subsection (d)(4).
``(L) A description of how the eligible entity 
plans to continue the reentry project after the award 
period.
``(M) For any project offering a recognized 
postsecondary credential, a description of how the 
project leads to the credential.
``(N) For a project that also serves as a program 
carried out under section 225, a description of how the 
award funds will be used to carry out the education 
described in section 225, in conjunction with the 
activities described in subsection (d).
``(3) Additional content for intermediary applicants.--An 
application submitted by an eligible entity seeking to serve as 
a national or regional intermediary as described in 
subparagraph (A) or (B) of subsection (b)(1) shall also contain 
each of the following:
``(A) An identification and description of the 
eligible entities that will be subawardees of such 
intermediary and implement the reentry projects, which 
shall include subawardees in--
``(i) 3 or more noncontiguous metropolitan 
areas or rural areas; and
``(ii) not fewer than 2 States.
``(B) A description of the services and supports 
the intermediary will provide to the subawardees, 
including administrative and fiscal support to ensure 
the subawardees comply with all subaward requirements.
``(C) A description of how the intermediary will 
facilitate the replication of evidence-based practices 
or other best practices identified by the intermediary 
across all subawardees.
``(D) If such intermediary is currently receiving, 
or has previously received, funds under this section as 
an intermediary to implement a reentry project, an 
assurance that none of the subawardees identified under 
subparagraph (A) are current or were previous 
subawardees of the intermediary for such reentry 
project and failed to meet the levels of performance 
established for such reentry project.
``(4) Additional content for youth reo applications.--An 
application submitted under paragraph (1) by a youth project 
eligible entity seeking to serve youth applicants through an 
award described in subsection (b)(1)(B) shall also contain the 
following:
``(A) A description of--
``(i) how the youth reentry project will 
facilitate the enrollment of eligible youth in 
a program of a local educational agency, a 
program of adult education and literacy 
activities, a YouthBuild program, the Job 
Corps, or a program of an institution of higher 
education;
``(ii) how the youth reentry project will 
connect eligible youth with mentors or peer 
support groups to provide guidance, 
encouragement, and positive role modeling 
during the reentry process;
``(iii) how the youth reentry project will 
involve family members, guardians, and other 
supportive people in an eligible youth's life 
in the reentry process;
``(iv) how the youth reentry project will 
provide or support access to counseling and 
substance use disorder programs for an eligible 
youth;
``(v) how the youth reentry project will 
assist eligible youth to find safe and stable 
housing;
``(vi) how the youth reentry project will 
ensure activities carried out under an award 
described in subsection (b)(1)(B) are designed 
to meet the needs of the population served; and
``(vii) the experience of the eligible 
entity in providing services to youth, 
including eligible youth, and the strategies 
the eligible entity will use to ensure that 
services provided are age-appropriate for 
eligible youth.
``(B) A description of how a youth project eligible 
entity plans to provide skills development, for 
stakeholders involved in an eligible youth's reentry, 
on best practices pertaining to eligible youth and 
reentry.
``(d) Uses of Funds.--
``(1) Required activities.--An eligible entity that 
receives funds under this section shall use such funds to 
implement a reentry project for eligible adults, eligible 
youth, or both, that provides each of the following:
``(A) One or more of the individualized career 
services listed in subclauses (I) through (IX) of 
section 134(c)(2)(B)(vii).
``(B) One or more of the training services listed 
in clauses (i) through (xi) in section 134(c)(3)(D), 
including subsidized employment opportunities through 
transitional jobs.
``(C) For participants who are eligible youth, 1 or 
more of the program elements listed in subparagraphs 
(A) through (O) of section 129(c)(2).
``(2) Allowable activities.--An eligible entity that 
receives funds under this section may use such funds to provide 
to eligible adults, eligible youth, or both, each of the 
following:
``(A) Followup services after placement in 
unsubsidized employment as described in section 
134(c)(2)(B)(viii).
``(B) Apprenticeship programs.
``(C) Education in digital literacy skills.
``(D) Mentoring.
``(E) Assistance in obtaining employment, including 
as a result of the eligible entity--
``(i) establishing and developing 
relationships and networks with large and small 
employers; and
``(ii) coordinating with employers to 
develop employer-directed skills development 
programs and on-the-job training.
``(F) Assistance with driver's license 
reinstatement (including assistance with removing or 
expunging records as permitted under the applicable 
Federal or State law to facilitate that reinstatement) 
and fees for driver's licenses and other necessary 
documents for employment and removing barriers to 
employment.
``(G) Provision of or referral to evidence-based 
mental health treatment by licensed practitioners.
``(H) Provision of or referral to substance use 
disorder treatment services, provided that funds 
awarded under this section are only used to provide 
such services to participants who are unable to obtain 
such services through other programs providing such 
services.
``(I) Provision of or referral to supportive 
services, provided that, notwithstanding section 
181(h)(2), no more than 10 percent of funds awarded to 
an eligible entity under this section may be used to 
provide such services to participants who may be able 
to obtain such services through other programs 
providing such services.
``(3) Administrative cost limit.--An eligible entity may 
not use more than 7 percent of the funds received under this 
section for administrative costs, including for costs related 
to collecting information, analysis, and coordination for 
purposes of subsection (e) or (f).
``(4) Matching.--An eligible entity shall provide a match, 
which may be provided in cash or in-kind, for the costs of the 
project in an amount that is not less than 25 percent of the 
total amount of funds awarded to the entity under this section 
for the period involved, except that the Secretary may waive 
the matching requirement, on a case-by-case basis and for not 
more than 20 percent of all awards made under this section, if 
the eligible entity involved demonstrates significant financial 
hardship.
``(e) Levels of Performance.--
``(1) Establishment of levels.--
``(A) In general.--The Secretary shall establish 
expected levels of performance for reentry projects 
funded under this section for--
``(i) each of the primary indicators of 
performance--
``(I) for adults, as described in 
section 116(b)(2)(A)(i), for eligible 
adults in reentry projects for eligible 
adults or reentry projects for both 
eligible adults and eligible youth; and
``(II) for youth, as described in 
section 116(b)(2)(A)(ii), for eligible 
youth in reentry projects for eligible 
youth or reentry projects for both 
eligible adults and eligible youth; and
``(ii) an indicator of performance 
established by the Secretary with respect to 
participant recidivism.
``(B) Updates.--The levels established under 
subparagraph (A) shall be updated for each 4-year-award 
period.
``(2) Agreement on levels of performance.--In establishing 
and updating levels of performance under paragraph (1), the 
Secretary shall reach agreement on such levels with the 
eligible entities receiving awards under this section that will 
be subject to such levels, based on, as the Secretary 
determines relevant for each indicator of performance 
applicable under paragraph (1), each of the following factors:
``(A) The proposed levels of performance of each 
such eligible entity described in the application 
submitted under subsection (c)(2)(H).
``(B) The local economic conditions of the 
geographic area to be served by each such eligible 
entity, including differences in unemployment rates and 
job losses or gains in particular industries.
``(C) The characteristics of project participants 
when entering the project involved, including--
``(i) criminal records;
``(ii) indicators of work history;
``(iii) work experience;
``(iv) educational or occupational skills 
attainment;
``(v) levels of literacy or English 
proficiency;
``(vi) disability status;
``(vii) homelessness; and
``(viii) receipt of public assistance.
``(3) Failure to meet levels of performance.--In the case 
of an eligible entity that fails to meet the levels of 
performance established under paragraph (1) and updated to 
reflect the actual local economic conditions and 
characteristics of participants (as described in subparagraphs 
(B) and (C) of paragraph (2)) served by the reentry project 
involved for any award year, the Secretary shall provide 
technical assistance to the eligible entity, including the 
development of a performance improvement plan.
``(f) Evaluation of Reentry Projects.--
``(1) In general.--Not later than 5 years after the first 
award of funds under this section is made, the Secretary 
(acting through the Chief Evaluation Officer) shall meet each 
of the following requirements:
``(A) Design and conduct of evaluation.--Design and 
conduct an evaluation to evaluate the effectiveness of 
the reentry projects funded under this section, which 
meets the requirements of paragraph (2), and includes 
an evaluation of each of the following:
``(i) The effectiveness of such projects in 
assisting individuals with finding unsubsidized 
employment, and maintaining unsubsidized 
employment during the second quarter and fourth 
quarter after exit from the project.
``(ii) The effectiveness of such projects 
in assisting individuals with earning 
recognized postsecondary credentials.
``(iii) The effectiveness of such projects 
in relation to their cost, including the extent 
to which the projects improve reentry outcomes, 
including in employment, compensation (which 
may include wages earned and benefits), career 
advancement, measurable skills gains, and 
recognized postsecondary credentials earned, 
and including the extent to which the projects 
reduce recidivism of participants in comparison 
to comparably situated individuals who did not 
participate in such projects.
``(iv) The effectiveness of specific 
services and interventions provided and of the 
overall project design.
``(v) If applicable, the extent to which 
such projects effectively serve various 
demographic groups, including people of 
different geographic locations, ages, races, 
national origins, and criminal records, and 
individuals with disabilities.
``(vi) If applicable, the appropriateness 
of the sequencing, combination, or concurrent 
structure, of services for each subpopulation 
of individuals who are participants in such 
projects, such as the order, combination, or 
concurrent structure of services in which 
transitional jobs and occupational skills 
development are provided, to ensure that such 
participants are prepared to fully benefit from 
education, employment, and training services 
provided under the project.
``(vii) Limitations or barriers to 
education and employment encountered by 
participants served by the projects as a result 
of occupational or educational licensing 
restrictions.
``(B) Data accessibility.--Make available, on the 
publicly accessible website managed by the Department 
of Labor, data collected during the course of 
evaluation under this subsection, in an aggregated 
format that does not disclose personally identifiable 
information.
``(2) Design requirements.--An evaluation under this 
subsection--
``(A) shall--
``(i) be designed by the Secretary (acting 
through the Chief Evaluation Officer) in 
conjunction with the eligible entities carrying 
out the reentry projects being evaluated;
``(ii) include analysis of participant 
feedback and outcome and process measures; and
``(iii) use designs that employ the most 
rigorous analytical and statistical methods 
that are reasonably feasible, such as the use 
of control groups; and
``(B) may not--
``(i) collect personally identifiable 
information, except to the extent such 
information is necessary to conduct the 
evaluation; or
``(ii) reveal or share personally 
identifiable information.
``(3) 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 such evaluation;
``(B) not later than 90 days after the date on 
which any evaluation is completed under this 
subsection, publish and make publicly available the 
results of such evaluation; and
``(C) not later than 60 days after the completion 
date described in subparagraph (B), submit to the 
Committee on Education and Workforce of the House of 
Representatives and the Committee on Health, Education, 
Labor, and Pensions of the Senate a report on such 
evaluation.
``(g) Annual Report.--
``(1) Contents.--Subject to paragraph (2), the Secretary 
shall post, using transparent, linked, open, and interoperable 
data formats, on the publicly accessible website described in 
subsection (f)(1)(B), an annual report, covering the most 
recent program preceding the report, on--
``(A) the number of individuals who participated in 
projects assisted under this section during the program 
year;
``(B) the percentage of such individuals who 
successfully completed the requirements of such 
projects;
``(C) the performance of eligible entities on such 
projects as measured by the indicators of performance 
set forth in subsection (e); and
``(D) an explanation of any waivers granted by the 
Secretary of the matching requirement under subsection 
(d)(4).
``(2) Disaggregation.--The information provided under 
subparagraphs (A) through (C) of paragraph (1) with respect to 
a program year shall be disaggregated by each project assisted 
under this section for such program year.
``(h) Reservation of Funds.--Of the funds appropriated under 
section 175(e) for a fiscal year, the Secretary--
``(1) may reserve not more than 5 percent for the 
administration of awards made under this section, of which not 
more than 2 percent of the appropriated funds may be reserved 
for the provision of--
``(A) technical assistance to eligible entities 
that receive funds under this section; and
``(B) outreach and technical assistance to eligible 
entities desiring to receive such funds, including 
assistance with application development and submission; 
and
``(2) shall reserve not less than 1 percent and not more 
than 2.5 percent for the evaluation activities under subsection 
(f) or to support eligible entities with any required data 
collection, analysis, and coordination related to such 
evaluation activities.
``(i) Definitions.--In this section:
``(1) Award.--The term `award' means an award of funds 
through a grant, contract, or cooperative agreement.
``(2) Chief evaluation officer.--The term `Chief Evaluation 
Officer' means the head of the independent evaluation office 
located in the Office of the Assistant Secretary for Policy of 
the Department of Labor.
``(3) Correctional institution.--The term `correctional 
institution' has the meaning given the term in section 225(e).
``(4) Eligible entity.--The term `eligible entity' means--
``(A) a private nonprofit organization under 
section 501(c)(3) of the Internal Revenue Code of 1986 
that is exempt from taxation under section 501(a) of 
such Code, including a community-based or faith-based 
organization;
``(B) a local board;
``(C) a State or local government;
``(D) an Indian or Native American entity eligible 
for grants under section 166;
``(E) a labor organization or joint labor-
management organization;
``(F) an industry or sector partnership;
``(G) an institution of higher education; or
``(H) a consortium of the entities described in 
subparagraphs (A) through (G).
``(5) Eligible adult.--The term `eligible adult' means an 
offender who is age 25 or older.
``(6) Eligible youth.--The term `eligible youth' means an 
offender who is not younger than age 14 or older than age 24.
``(7) High-poverty.--The term `high-poverty', when used 
with respect to a geographic area, means an area with a poverty 
rate of at least 20 percent as determined based on the most 
recently available data from the American Community Survey 
conducted by the Bureau of the Census.
``(8) Offender.--Notwithstanding section 3, the term 
`offender' means--
``(A) an individual of any age who--
``(i) not more than 5 years before 
enrollment in a project funded under subsection 
(b)(1)--
``(I) was released from 
incarceration in a correctional 
institution (including being enrolled 
in a work release center at the 
institution); or
``(II) finished serving an 
alternative sentence, or a sentence to 
a diversion program, ordered through 
the adult criminal justice system; or
``(ii) on such date of enrollment, is 
subject to the adult criminal justice system, 
including an individual who--
``(I) is incarcerated in a 
correctional institution (including 
being enrolled in a work release center 
at the institution), but is scheduled 
to be released not more than 180 days 
after such date of enrollment;
``(II) is residing in a residential 
reentry center;
``(III) is subject to electronic or 
home-based monitoring;
``(IV) is in the community on 
probation or parole; or
``(V) is serving an alternative 
sentence, or a sentence to a diversion 
program, ordered through that system; 
or
``(B) an individual who--
``(i) is not younger than age 14 or older 
than age 24; and
``(ii) has been--
``(I) charged with, or convicted 
of, any criminal offense; or
``(II) charged with, detained for, 
or adjudicated of, a delinquent act or 
status offense in a juvenile court.
``(9) Youth project eligible entity.--The term `youth 
project eligible entity' means--
``(A) an organization described in section 
501(c)(3) of the Internal Revenue Code of 1986 that is 
exempt from taxation under section 501(a) of such Code; 
or
``(B) a State or local juvenile justice agency, or 
a State or local adult correctional agency with a focus 
on eligible youth.''.

SEC. 178. YOUTH APPRENTICESHIP READINESS GRANT PROGRAM.

Subtitle D of title I of the Workforce Innovation and Opportunity 
Act (29 U.S.C. 3221 et seq.) is further amended by inserting after 
section 172, as added by the preceding section, the following:

``SEC. 173. YOUTH APPRENTICESHIP READINESS GRANT PROGRAM.

``(a) Purposes.--The purposes of this section are--
``(1) to increase earnings and employment for in-school 
youth and out-of-school youth, ages 16 through 24, through 
enrollment in and completion of evidence-based pre-
apprenticeship programs and apprenticeship programs that serve 
youth;
``(2) to engage educational entities, organizations 
carrying out programs that serve out-of-school youth, local 
educational agencies, State boards, local boards, employers, 
workforce partners (including one-stop partners), and other 
apprenticeship intermediaries, to establish innovative models 
for pre-apprenticeship programs and apprenticeship programs 
that serve youth, including coordinating with programs that 
offer supportive services that can enable participation in and 
completion of the program; and
``(3) to promote alignment between education and workforce 
development systems (such as through public-private 
partnerships) to enable in-school youth and out-of-school youth 
to participate in postsecondary education and career pathways, 
including apprenticeships, that result in careers.
``(b) Youth Apprenticeship Readiness Grant Program.--
``(1) In general.--From the amounts made available to carry 
out this section under section 414(c) of the American 
Competitiveness and Workforce Improvement Act (29 U.S.C. 3224a) 
and not reserved under paragraph (2), the Secretary shall, on a 
competitive basis, make grants to eligible entities for 
projects to develop new or expand existing pre-apprenticeship 
programs and apprenticeships that serve youth.
``(2) Administrative reservation.--Of the amounts made 
available to carry out this section, the Secretary may reserve 
not more than 5 percent for the administration of grants made 
under this section, including--
``(A) not more than 3 percent for the provision of 
technical assistance to eligible entities during the 
application period or the implementation phase of such 
grant; and
``(B) not more than 2 percent for evaluations of 
employment and earnings outcomes described in clauses 
(vi), (vii), and (viii) of subsection (e)(2)(B), 
identifying best practices, and facilitating the 
sharing of best practices among eligible entities by 
carrying out the identification and dissemination 
described in subsection (f)(2).
``(3) Grant period.--The Secretary shall make such a grant 
for a period of not more than 4 years and may extend the grant 
for a period of not more than 2 additional years if the grant 
recipient is making progress in achieving the objectives of the 
project's identified programs.
``(4) Priority.--In making grants under this section, the 
Secretary shall give priority to eligible entities that--
``(A) serve an area with significant workforce 
shortages in the industry sector or occupation for 
which the eligible entity proposes to establish an 
identified program;
``(B) propose to expand or have a demonstrated 
track record of expanding employment opportunities and 
career pathways for individuals with a barrier to 
employment;
``(C) propose to primarily serve a population that 
is located in a rural or urban community and has an 
area median household income of not more than 150 
percent of the poverty line; or
``(D) include within the eligible entity a high-
need local educational agency or a high-need 
educational service agency.
``(5) Matching requirement for grants.--In order to receive 
a grant from the Secretary under this section, an eligible 
entity shall provide a non-Federal contribution, which may be 
provided in cash or in-kind, for the costs of the project in an 
amount that is not less than 25 percent of the total amount of 
funds awarded to the entity for such period.
``(c) Application.--An eligible entity that desires to receive a 
grant under this section shall submit an application to the Secretary 
at such time and in such manner as the Secretary may require and shall 
include the following:
``(1)(A) A description of the eligible entity's proposed 
project, to be supported by such grant, including a provision 
identifying whether such project will develop or expand 1 or 
more pre-apprenticeship programs or 1 or more apprenticeship 
programs that serve youth.
``(B) Except in the case of an identified program by an eligible 
entity described in subsection (i)(5)(A)(i) that is an apprenticeship 
program that serves youth and requires each enrolled youth apprentice 
to have a regular high school diploma (or recognized equivalent) as a 
condition of enrollment, an assurance that each identified program will 
be designed to enable--
``(i) in-school youth to receive a regular high school 
diploma (in partnership with the local educational agency that 
serves such youth) and receive a recognized postsecondary 
credential (other than such a credential that is a 
baccalaureate degree) upon completion of the program; or
``(ii) out-of-school youth to receive a high school diploma 
or recognized equivalent and receive a recognized postsecondary 
credential (other than such a credential that is a 
baccalaureate degree) upon completion of the program.
``(2) A description of the eligible entity and a 
description of how such eligible entity will--
``(A) engage with employers to develop or expand, 
and sustain, each identified program; and
``(B) combine academic, career and technical 
education, or related classroom instruction with on-
the-job training, allowing youth to develop industry-
specific or occupation-specific workplace competencies 
and skills.
``(3) A description of the need for and design of the 
project, including--
``(A) a description of the specific youth 
population to be served by the project, including--
``(i) the subgroups of participants in the 
population and skill levels of such 
participants, and whether such participants are 
in-school youth or out-of-school youth;
``(ii) how the project will increase 
employment opportunities for youth who are 
individuals with a barrier to employment and 
youth from different subgroups of participants; 
and
``(iii) how the eligible entity will ensure 
that a wide range of youth, including youth who 
are individuals with a barrier to employment 
and youth from different subgroups of 
participants, are able to participate in each 
identified program;
``(B) a description of the industry sector or 
occupation targeted through the eligible entity's 
proposed project, the projected demand for the project 
in the area served by the eligible entity, and a 
citation of the data source for the projected demand;
``(C) a description of the on-the-job training 
portion of the project, including a list of the 
partners responsible for providing the on-the-job 
training, and how such training will be designed 
flexibly to meet the needs and schedule of in-school 
youth and out-of-school youth;
``(D) a description of the related classroom 
instruction portion of the project, including--
``(i) how coursework for that instruction 
will be integrated into each identified program 
and developed in conjunction with and provided 
by education and training providers that are or 
are within the eligible entity, the specific 
partners that will provide the related 
classroom instruction, and (as applicable) how 
the program may be aligned with the programs of 
early college high schools or dual or 
concurrent enrollment programs to support youth 
pre-apprentices or apprentices involved in 
earning postsecondary credit;
``(ii) with respect to an identified 
project by an eligible entity described in 
subsection (i)(5)(A)(ii) that is designed to 
serve in-school youth, a description of how the 
eligible entity, through the project, will 
partner with the local educational agency that 
serves such youth to align challenging State 
academic standards and occupational skill 
standards to enable such youth to obtain a 
regular high school diploma while served by the 
program; and
``(iii) an explanation of how the project 
will combine academic, career and technical 
education, or related classroom instruction 
with on-the-job training;
``(E) a description of the proposed supportive 
services strategy for the youth pre-apprentices or 
apprentices involved, how the project will partner with 
or refer youth pre-apprentices or apprentices to 
entities in the area served by the eligible entity that 
provide supportive services, how such supportive 
services will promote retention in and completion of 
the identified program involved, and the projected 
Federal, State, and local costs of such supportive 
services;
``(F) if the eligible entity proposes to operate an 
apprenticeship program that serves youth--
``(i) the youth apprenticeship agreement 
the eligible entity intends to use;
``(ii) a description of how such eligible 
entity will incorporate into the apprenticeship 
program recognized postsecondary credentials 
that enable youth apprentices to articulate to 
employment or higher level degree or other 
credential programs for multiple pathways, 
including enrollment in postsecondary education 
and employment; and
``(iii) if the eligible entity proposes to 
develop a new apprenticeship program that 
serves youth, a description of how the lead 
applicant and partners will register such new 
program with the Office of Apprenticeship or 
State apprenticeship agency and ensure the 
employer or sponsor is in compliance with the 
standards and requirements of a registered 
apprenticeship under the Act of August 16, 1937 
(commonly known as the `National Apprenticeship 
Act'; 50 Stat. 664, chapter 663; 29 U.S.C. 50 
et seq.), and that youth apprentices will earn 
a recognized postsecondary credential; and
``(G) if the eligible entity proposes to operate a 
pre-apprenticeship program--
``(i) a description of how the eligible 
entity, through the program, will connect 
participants to and prepare participants for an 
apprenticeship program; and
``(ii) an explanation of how the eligible 
entity, in carrying out the project involved, 
will work with alternative and non-traditional 
schools, institutions of higher education, and 
out-of-school youth programs.
``(4) A description of how the eligible entity will promote 
alignment between local or State education and workforce 
development systems by supporting policies or practices that 
facilitate transitions from secondary school (including 
alternative and nontraditional schools) and pre-apprenticeship 
programs to apprenticeship programs and postsecondary 
education.
``(5) A description of expected outcomes and outputs from 
the project that includes--
``(A) an attestation that the eligible entity will 
report to the Secretary, in a timely and complete 
manner, the information required under subsection (e); 
and
``(B) estimated levels of performance over each 
year of the grant period for each of the indicators 
described in subparagraphs (B) and (C) of subsection 
(e)(2).
``(6) A description of the roles and responsibilities of 
each entity involved in the project, including any such entity 
that is a State or local government entity, qualified 
intermediary, service provider, independent evaluator, or other 
stakeholder.
``(7) An attestation that the eligible entity has, or will 
attempt to develop, a memorandum of understanding with any 
relevant State workforce agency to facilitate matches to wage 
record data for youth pre-apprentices or apprentices to obtain 
the necessary information to fulfill the requirements of 
subsection (e)(2).
``(8) The total intended budget for the project, including 
a description of any additional resources that may supplement 
the amount awarded under this section, including any funds the 
eligible entity intends to use to fulfill the matching funds 
requirement described under subsection (b)(5), and a 
description of the eligible entity's plan to sustain the 
project funded through the grant beyond the conclusion of the 
grant period.
``(9) For any program offering a recognized postsecondary 
credential, a description of how the program leads to the 
credential.
``(d) Uses of Funds.--
``(1) In general.--An eligible entity receiving a grant 
under this section shall use the grant funds to carry out the 
project proposed under subsection (c) for purposes of carrying 
out 1 or more of the following activities:
``(A) Develop or expand a pre-apprenticeship 
program.
``(B) Develop or expand an apprenticeship program 
that serves youth, including registering such a program 
and its youth apprentices through the Office of 
Apprenticeship or an applicable State apprenticeship 
agency.
``(2) Additional uses.--An eligible entity receiving a 
grant under this section may use the grant funds, for each 
identified program, to--
``(A) recruit youth to and enroll youth in an 
identified program, including conducting outreach to 
individuals with a barrier to employment and 
individuals preparing for nontraditional employment 
(when the identified program is in such field);
``(B) conduct participant assessments to determine 
skill levels;
``(C) support the provision of on-the-job training 
for participants in accordance with subsection 
(c)(3)(C), including by developing or modifying 
training activities to meet the needs of participants, 
as applicable;
``(D) support the provision of related classroom 
instruction by education and training providers for 
participants in accordance with subsection (c)(3)(D), 
including--
``(i) the development of courses at the 
secondary level--
``(I) that are aligned with 
requirements to obtain a regular high 
school diploma and integrated into the 
identified program; and
``(II) that may be aligned with the 
requirements of early college high 
schools or dual or concurrent 
enrollment programs to support youth 
pre-apprentices or youth apprentices 
involved in earning postsecondary 
credit;
``(ii) if the identified program is 
designed to serve in-school youth, the 
alignment of challenging State academic 
standards and occupational skill standards in 
secondary education;
``(iii) payment of participant tuition or 
other educational fees for projects; and
``(iv) the provision of instructional 
materials, equipment, and educational 
technology for such instruction;
``(E) provide supportive services such as 
transportation, child care, dependent care, housing, 
and needs-related payments to enable youth to 
participate in and complete the education and training 
activities of the identified program;
``(F) provide professional development 
opportunities for secondary and postsecondary 
educators, and employers and mentors in the project, to 
prepare the educators, employers, and mentors to 
effectively support youth participating in the 
identified program;
``(G) increase awareness among parents, educators, 
students (especially individuals with a barrier to 
employment, individuals from underserved populations, 
and individuals from nontraditional apprenticeship 
populations), and employers or apprenticeship sponsors 
in the targeted service area about the benefits of 
youth participating in a pre-apprenticeship program or 
an apprenticeship program that serves youth;
``(H) promote innovation, inclusion in the 
identified program, and alignment of the program with 
programs authorized under the Carl D. Perkins Career 
and Technical Education Act of 2006 (20 U.S.C. 2301 et 
seq.); and
``(I) develop and integrate data collection 
systems, including within a statewide longitudinal data 
system, to track educational and employment outcomes of 
participants in the identified program.
``(3) Supportive services.--An eligible entity receiving a 
grant under this section may use, as provided in paragraph 
(2)(E), not more than 15 percent of grant funds awarded under 
this section to provide supportive services in accordance with 
that paragraph.
``(e) Levels of Performance.--
``(1) Targeted levels of performance.--
``(A) In general.--An eligible entity receiving a 
grant under this section shall, in accordance with the 
indicators for participant outcomes described in 
paragraph (2)(B) and for program outputs described in 
paragraph (2)(C), identify targeted levels of 
performance for such indicators, which shall, at 
minimum, be equal to or greater than the estimated 
levels of performance identified by the eligible entity 
in the entity's application under subsection (c)(5).
``(B) Agreement on targeted levels of 
performance.--Not later than 2 months after the 
identification described in subparagraph (A), the 
eligible entity shall reach an agreement with the 
Secretary on levels of performance for each indicator 
described in subparagraphs (B) and (C) of paragraph 
(2).
``(2) Annual recipient report.--
``(A) In general.--Not later than 2 years after 
receipt of a grant under this section and annually 
thereafter, the eligible entity shall prepare and 
submit to the Secretary a report evaluating the 
performance and impact of the project funded through 
the grant with respect to participant outcome and 
program output indicators described in subparagraphs 
(B) and (C), disaggregated by the subgroups of 
participants subject to paragraph (3).
``(B) Participant outcomes.--Consistent with 
subparagraph (A), an eligible entity receiving a grant 
under this section shall report to the Secretary data, 
for each identified program carried out by the eligible 
entity, on participant outcome indicators for each such 
program consisting of the--
``(i) total participants served and 
enrolled in any identified program, 
disaggregated by youth pre-apprentices and 
apprentices;
``(ii) retention rate during each fiscal 
year of participants enrolled in any identified 
program in the project that have not completed 
such program, compared to that retention rate 
for the previous fiscal year, disaggregated by 
youth pre-apprentices and apprentices;
``(iii) total participants who attain a 
regular high school diploma or recognized 
equivalent, disaggregated by youth pre-
apprentices and apprentices;
``(iv) total participants who complete such 
an identified program;
``(v) total participants who receive an 
associate or baccalaureate degree or other type 
of recognized postsecondary credential during 
or upon completion of the identified program;
``(vi) median hourly wage of youth pre-
apprentices (as applicable) or youth 
apprentices on the date of exit from the 
identified program and during the second and 
fourth quarters after exit from the program, 
and a comparison of such wage to the local 
median hourly wage for the industry sector or 
occupation for which the identified program is 
targeted;
``(vii) total participants in employment 
during the second and fourth quarter after exit 
from the program; and
``(viii) total participants who complete a 
pre-apprenticeship program, disaggregated by 
the type of education, skills development, and 
apprenticeship opportunities or employment 
pursued by such youth pre-apprentices after 
such completion.
``(C) Program outputs.--Consistent with 
subparagraph (A), an eligible entity receiving a grant 
under this section shall report to the Secretary data 
on program output indicators consisting of the--
``(i) total number of all identified 
programs developed or expanded during the 
period covered by the report, disaggregated by 
pre-apprenticeship programs and apprenticeship 
programs that serve youth;
``(ii) total number of apprenticeships that 
serve youth, if applicable, that were developed 
or expanded during that period, including an 
apprenticeship program expanded as described in 
subsection (d)(1) to new industry sectors, 
occupations, or service areas;
``(iii) total number of employers who 
became engaged in an identified program during 
that period, as a direct result of a grant 
under this section; and
``(iv) for each year of the period covered 
by the report, the total share of the grant 
received under this section spent by the 
eligible entity on the uses of funds described 
under subparagraphs (C) and (D) of subsection 
(d)(2).
``(3) Disaggregation.--The disaggregation of data under 
paragraph (2) shall not be required in a case where the number 
of participants in the subgroup of participants is insufficient 
to yield statistically reliable information or the results 
would reveal personally identifiable information about an 
individual participant.
``(4) Use of results.--
``(A) Evaluation.--
``(i) Annual evaluation.--Not later than 2 
years after the date of enactment of the A 
Stronger Workforce for America Act of 2026 and 
annually thereafter, the Secretary shall 
evaluate whether each eligible entity involved 
met the agreed levels of performance described 
in paragraph (1)(B) for each of the eligible 
entity's identified programs.
``(ii) End of program evaluation.--Not 
later than 30 days after each cohort of 
participants completes an eligible entity's 
identified program, the Secretary shall 
evaluate whether the eligible entity met the 
agreed levels of performance for that 
identified program.
``(B) Technical assistance.--If the Secretary 
determines under subparagraph (A) that an eligible 
entity fails to meet 1 or more of the agreed levels of 
performance for an identified program, the Secretary 
shall provide technical assistance, including 
assistance in the development of a performance 
improvement plan.
``(C) Nonrenewal of grant.--If the Secretary 
determines, 1 year after the eligible entity receives 
that technical assistance and implements that plan, 
that the eligible entity fails to meet the agreed 
levels of performance described in paragraph (1)(B) for 
an identified program, the Secretary shall not extend a 
grant for that eligible entity for that program under 
subsection (b).
``(f) Evaluations and Reports.--
``(1) Report to congress.--Not later than 24 months after 
the date of enactment of the A Stronger Workforce for America 
Act of 2026 and annually thereafter, the Secretary, in 
coordination with the Secretary of Education, using data 
reported by eligible entities pursuant to the requirements 
under subsection (e)--
``(A) shall publish the data;
``(B) shall prepare and make publicly available a 
report containing the data on the indicators described 
in subparagraphs (B) and (C) of subsection (e)(2); and
``(C) shall submit the report to the Committee on 
Health, Education, Labor, and Pensions of the Senate 
and the Committee on Education and Workforce of the 
House of Representatives.
``(2) Sharing of best practices.--Not later than 2 years 
after the date of enactment of the A Stronger Workforce for 
America Act of 2026, the Secretary shall use funds reserved 
under subsection (b)(2)(C) to identify and disseminate, through 
a website developed by the Department of Labor, best practices 
in developing and expanding pre-apprenticeship opportunities or 
apprenticeship opportunities for youth used by--
``(A) eligible entities receiving a grant under 
this section; and
``(B) States and local areas adopting innovative 
and effective practices to develop and expand such 
opportunities.
``(g) Compliance With Other Laws and Agreements.--
``(1) Collective bargaining.--Nothing in a youth 
apprenticeship agreement under this section shall be construed 
to invalidate an applicable provision in a collective 
bargaining agreement, between employers and employees, that 
establishes higher standards for programs in the national 
apprenticeship system.
``(2) Child labor.--
``(A) In general.--An eligible entity carrying out 
a project under this section shall ensure compliance 
with the provisions on child labor under the Fair Labor 
Standards Act of 1938 (29 U.S.C. 201 et seq.) and State 
law (including Federal and State regulations under 
those laws), and with State workers' compensation laws.
``(B) Minimum legal age.--The eligible entity shall 
only serve in-school youth, and out-of-school youth, 
who are not younger than the minimum legal age to be 
employed as apprentices under the Fair Labor Standards 
Act of 1938 (29 U.S.C. 201 et seq.) and any applicable 
State laws.
``(C) Pre-apprenticeship exception.--An eligible 
entity that prepares or intends to prepare individuals 
for a covered occupation may submit an application 
under subsection (c) to develop or expand a pre-
apprenticeship program that serves a youth who is 
younger than the age of 18 only if the program is 
limited to classroom instruction in the covered 
occupation.
``(h) Special Rules Regarding Protections for Youth in Programs 
That Prepare Youth for Covered Occupations.--
``(1) Pre-apprenticeships in covered occupations for youth 
under the age of 18.--A pre-apprenticeship program supported 
using funds awarded under this section that serves or intends 
to serve a youth who is younger than the age of 18 and prepares 
such youth for a covered occupation may only provide classroom 
instruction to such youth in such program and may not provide 
on-the-job training in a covered occupation to such youth in 
such program.
``(2) Prohibition on youth apprenticeships in covered 
occupations for youth under the age of 18.--An apprenticeship 
program that serves youth that is supported using funds awarded 
under this section and that prepares a youth apprentice for a 
covered occupation may not enroll in such program a youth who 
is younger than the age of 18.
``(3) Apprenticeships for youth under the age of 18.--An 
apprenticeship program supported using funds awarded under this 
section may serve youth who are not younger than age 16 or 
older than age 17, provided that such program is not preparing 
such youth for a covered occupation.
``(i) Definitions.--In this section:
``(1) Apprenticeship program that serves youth.--The term 
`apprenticeship program that serves youth' means a registered 
apprenticeship program registered by the Office of 
Apprenticeship or a State apprenticeship agency under the Act 
of August 16, 1937 (commonly known as the `National 
Apprenticeship Act'; 50 Stat. 664, chapter 663; 29 U.S.C. 50 et 
seq.), that is designed for youth not younger than age 16 or 
older than age 24.
``(2) Covered occupation.--The term `covered occupation' 
means an occupation in--
``(A) manufacturing;
``(B) construction;
``(C) mining;
``(D) trenching or excavation;
``(E) logging or an occupation related to timber;
``(F) work involving a saw mill;
``(G) work involving the operation of heavy 
machinery;
``(H) work involving exposure to radioactive 
substances or to ionizing radiations;
``(I) meat processing;
``(J) demolition;
``(K) explosives; or
``(L) work in any industry sector or occupation 
that is prohibited to a youth who is younger than the 
age of 18 under the laws or policies of the State where 
the work occurs.
``(3) CTE terms.--The terms `Tribally controlled college or 
university' and `Tribally controlled postsecondary career and 
technical institution' have the meanings given the terms 
`tribally controlled college or university' and `tribally 
controlled postsecondary career and technical institution', 
respectively, in section 3 of the Carl D. Perkins Career and 
Technical Education Act of 2006 (20 U.S.C. 2302).
``(4) Education and training provider.--The term `education 
and training provider' means--
``(A) an area career and technical education 
school;
``(B) an early college high school;
``(C) a provider of a dual or concurrent enrollment 
program;
``(D) a community-based organization that offers 
job training;
``(E) a high school operated by a local educational 
agency;
``(F) a local educational agency, educational 
service agency, or State educational agency;
``(G) a Tribal education agency (meaning such an 
agency within the meaning of section 3(20)(E) of the 
Carl D. Perkins Career and Technical Education Act of 
2006 (20 U.S.C. 2302(20)(E))), Tribally controlled 
college or university, or Tribally controlled 
postsecondary career and technical institution;
``(H) the Bureau of Indian Education;
``(I) an institution of higher education;
``(J) a State entity that coordinates higher 
education, such as a community college system office, a 
single State educational board, or State higher 
education agency (as defined in section 103 of the 
Higher Education Act of 1965 (20 U.S.C. 1003));
``(K) a historically Black college or university, 
meaning a part B institution as defined in section 322 
of the Higher Education Act of 1965 (20 U.S.C. 1061);
``(L) a minority-serving institution;
``(M) a local agency administering plans under 
title I of the Rehabilitation Act of 1973 (29 U.S.C. 
720 et seq.), other than section 112 or part C of that 
title (29 U.S.C. 732, 741);
``(N) a related integrated instruction provider, 
including a qualified intermediary acting as a related 
integrated instruction provider as approved by the 
Office of Apprenticeship or a State apprenticeship 
agency recognized by the Secretary;
``(O) a consortium of entities described in any of 
subparagraphs (A) through (N); or
``(P) as used with respect to an eligible entity 
described in paragraph (5)(A)(i), the joint labor-
management organization that is such eligible entity.
``(5) Eligible entity.--
``(A) In general.--The term `eligible entity' 
means--
``(i) a joint labor-management 
organization; or
``(ii) a partnership that--
``(I) shall include as the lead 
applicant 1 entity that is--
``(aa) an education and 
training provider;
``(bb) a workforce 
development system entity;
``(cc) a qualified 
intermediary;
``(dd) a State agency of 
the State in which the 
partnership is located; or
``(ee) a joint labor-
management organization;
``(II) shall include as a partner--
``(aa) at least 1 employer 
or an industry or trade 
association that represents at 
least 2 employers;
``(bb) an education and 
training provider;
``(cc) the State 
apprenticeship agency;
``(dd) a local board or the 
State board;
``(ee) a local educational 
agency, if the partnership is 
serving in-school youth; or
``(ff) a qualified 
intermediary; and
``(III) may include as an 
additional partner--
``(aa) the State 
educational agency;
``(bb) an institution of 
higher education;
``(cc) an Indian Tribe;
``(dd) the State entity 
that coordinates higher 
education, such as a community 
college system office, a single 
State educational board, or 
State higher education agency 
(as defined in section 103 of 
the Higher Education Act of 
1965 (20 U.S.C. 1003));
``(ee) a community-based 
organization that offers job 
training; or
``(ff) a joint labor-
management organization.
``(B) Rule of construction.--For purposes of this 
section, a reference to a lead applicant, partner, or 
partnership between a lead applicant and partners, with 
respect to an eligible entity described in subparagraph 
(A)(i), shall be deemed to be a reference to the 
eligible entity.
``(6) ESEA terms.--The terms `dual or concurrent enrollment 
program', `early college high school', `educational service 
agency', and `high school' have the meanings given the terms in 
section 8101 of the Elementary and Secondary Education Act of 
1965 (20 U.S.C. 7801).
``(7) Grant.--The term `grant' means a contract, 
cooperative agreement, or award.
``(8) High-need educational service agency.--The term 
`high-need educational service agency' means an educational 
service agency that serves a significant number or percentage 
of high-need local educational agencies.
``(9) High-need local educational agency.--The term `high-
need local educational agency' has the meaning given the term 
in section 200 of the Higher Education Act of 1965 (20 U.S.C. 
1021).
``(10) Identified program.--The term `identified program' 
means a pre-apprenticeship program, or youth program that 
serves youth, that is proposed to be carried out by an eligible 
entity in an application approved under subsection (c) for a 
project.
``(11) Minority-serving institution.--The term `minority-
serving institution' means an institution defined in any of 
paragraphs (1) through (7) of section 371(a) of the Higher 
Education Act of 1965 (20 U.S.C. 1067q(a)).
``(12) National apprenticeship system.--The term `national 
apprenticeship system' means the apprenticeship programs, 
apprenticeship programs that serve youth, and pre-
apprenticeship programs that are approved by the Office of 
Apprenticeship or State apprenticeship agencies.
``(13) Pre-apprenticeship program.--The term `pre-
apprenticeship program' means a program that--
``(A) prepares youth to enroll in and complete an 
apprenticeship program;
``(B) maintains a written partnership with an 
apprenticeship program; and
``(C) in the case of a program with respect to a 
covered occupation, is provided only through classroom 
instruction for any youth pre-apprentice who is younger 
than the age of 18.
``(14) Qualified intermediary.--The term `qualified 
intermediary'--
``(A) means a nonprofit entity operating in a State 
or local area that demonstrates expertise and 
experience in serving participants, employers, and 
schools by--
``(i) building, sustaining, measuring, and 
improving the quality and performance of 
apprenticeship programs that serve youth;
``(ii) assisting in the design, approval, 
registration, and implementation of 
apprenticeship programs that serve youth, 
including program development and meeting 
program requirements, including registration 
and reporting requirements;
``(iii) in collaboration with 1 or more 
State educational agencies, local educational 
agencies, or institutions of higher education 
included in the eligible entity involved, 
providing collaborative professional 
development activities such as training for 
workplace supervisors, mentors, counselors, and 
teachers, instructors, and other educators;
``(iv) supporting the recruitment for, 
retention in, and completion of apprenticeship 
programs that serve youth with respect to 
potential or enrolled youth apprentices, 
including youth apprentices who are from low-
income backgrounds or members of nontraditional 
apprenticeship populations;
``(v) developing and providing supportive 
services including by partnering with 
organizations to provide access to or referrals 
for supportive services, financial literacy 
services, and other support based upon needs of 
potential or enrolled youth apprentices; or
``(vi) serving as a program sponsor; and
``(B) may consist of--
``(i) a joint labor-management 
organization;
``(ii) a community-based organization; or
``(iii) an industry association.
``(15) State.--The term `State' means each of the several 
States of the United States, the District of Columbia, the 
Commonwealth of Puerto Rico, and an outlying area.
``(16) State agency.--The term `State agency' means a State 
educational agency, State workforce agency, or State 
apprenticeship agency.
``(17) State apprenticeship agency.--The term `State 
apprenticeship agency' means an agency of a State government 
that has been authorized by the Office of Apprenticeship to 
register and oversee apprenticeship programs and has the 
responsibility and accountability for apprenticeship programs 
within the State.
``(18) Subgroup of participants.--The term `subgroup of 
participants' means--
``(A) in-school youth;
``(B) out-of-school youth; and
``(C) each of the special populations, as defined 
in section 3 of the Carl D. Perkins Career and 
Technical Education Act of 2006 (20 U.S.C. 2302).
``(19) Workforce development system entity.--The term 
`workforce development system entity' means an entity that is 
involved in administering a workforce development system 
established under this Act, which shall be a State board, a 
local board, or an Indian Tribe, Tribal organization, or Native 
Hawaiian organization, as defined in section 166(b).
``(20) Youth.--The term `youth' means an individual who is 
not younger than age 16 or older than age 24.
``(21) Youth apprentice.--The term `youth', used with 
respect to an apprentice, means a youth who is participating in 
an apprenticeship program that serves youth.
``(22) Youth apprenticeship agreement.--The term `youth 
apprenticeship agreement' means a written agreement under 
subsection (c)(3)(F) that is agreed to by each of the 
following:
``(A) A youth.
``(B) The youth's parent or legal guardian, as 
applicable.
``(C) One or more local educational agencies, if 
the eligible entity involved is serving in-school 
youth.
``(D) The youth apprenticeship sponsor, which may 
be an employer.
``(E) As applicable, a qualified intermediary for 
an apprenticeship program that serves youth.
``(F) As applicable, one or more institutions of 
higher education.
``(G) As applicable, one or more employers.
``(23) Youth pre-apprentice.--The term `youth', used with 
respect to a pre-apprentice, means a youth who is participating 
in a pre-apprenticeship program.''.

SEC. 179. 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 further amended by inserting after 
section 173, as added by the preceding section, the following:

``SEC. 174. 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; and
``(2) to expand opportunities for individuals to obtain 
recognized postsecondary credentials that are nationally or 
regionally portable and stackable for high-skill, high-wage, or 
in-demand industry sectors or occupations.
``(b) Strengthening Community Colleges Workforce Development Grants 
Program.--
``(1) In general.--From the amounts appropriated to carry 
out this section under section 175(f) and not reserved under 
paragraph (2), the Secretary shall, on a competitive basis, 
make grants to eligible institutions to carry out the 
activities described in subsection (e).
``(2) Reservation.--Of the amounts appropriated to carry 
out this section under section 175(f), 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 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, 
such eligible institution achieved the levels of performance 
agreed to by the eligible institution with respect to the 
performance indicators 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 
employers in in-demand industry sectors or occupations 
to provide students with the skills needed for 
occupations in such industries and an explanation of 
the results of any such partnerships.
``(B) The methods and strategies the eligible 
institution will use to engage with employers in in-
demand industry sectors or occupations, including any 
arrangements to place individuals who complete the 
workforce development programs supported by the grant 
into employment with such employers.
``(C) The proposed eligible institution and 
industry partnership that the eligible institution will 
establish or maintain to comply with subsection (e)(1), 
including--
``(i) the roles and responsibilities 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 institution and industry 
partnership.
``(D) One or more industries that such partnership 
will target and real-time labor market data 
demonstrating that those industries are aligned with 
employer demand in the geographic area to be served by 
the eligible institution.
``(E) The extent to which the eligible institution 
can--
``(i) leverage additional resources to 
support the programs to be funded with the 
grant, which shall include written commitments 
of any leveraged or matching funds for the 
proposed programs; and
``(ii) demonstrate the future 
sustainability of each such program.
``(F) The steps the institution will take to ensure 
the high quality of each program to be funded with the 
grant, including the career pathways within such 
programs.
``(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 programs to be 
supported by the grant.
``(I) The recognized postsecondary credentials that 
are expected to be earned by participants in such 
workforce development programs and the related high-
skill, high-wage, or in-demand industry sectors or 
occupations for which such programs will prepare 
participants.
``(J) The evidence upon which the education and 
skills development strategies to be used in such 
workforce development programs are based and an 
explanation of how such evidence influenced the design 
of the programs to improve education and employment 
outcomes.
``(K) How activities of the eligible institution 
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 goals of the eligible institution with 
respect to--
``(i) capacity building (as described in 
subsection (f)(1)(B)); and
``(ii) the expected performance of 
individuals participating in the programs to be 
offered by the eligible institution, including 
with respect to any performance indicators 
applicable under section 116 or subsection (f) 
of this section.
``(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 the 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 
competency-based assessment identified by the State in 
which the eligible institution is located under section 
134(a)(2)(B)(vii), to award academic credit for prior 
learning for programs supported by the grant; or
``(C) have, or will seek to have, the career 
education programs supported by the grant included on 
the list of eligible providers of training services 
under section 122 for the State in which the eligible 
institution is located.
``(e) Uses of Funds.--
``(1) Eligible institution and industry 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 (or 
continue an existing partnership) with one or more employers in 
an in-demand industry sector or occupation (in this section 
referred to as an `eligible institution and industry 
partnership') and shall maintain such partnership for the 
duration of the grant period. The eligible institution shall 
ensure that the partnership--
``(A) targets one or more specific high-skill, 
high-wage, or in-demand industries;
``(B) includes 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; 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, in consultation with 
the employers in the eligible institution and industry 
partnership described in paragraph (1)--
``(A) establish, improve, or expand high-quality, 
evidence-based workforce development programs, career 
pathway programs, or work-based learning programs 
(including apprenticeship programs or 
preapprenticeships);
``(B) provide career services to individuals 
participating in the programs 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 
programs 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 programs; and
``(C) make available, in a format that is open, 
searchable, and easily comparable, information on--
``(i) curricula and recognized 
postsecondary credentials offered through 
programs 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 endorsements 
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 is assessed); and
``(VI) any transfer value or 
stackability of the credential;
``(ii) any skills or competencies developed 
by individuals who participate in such programs 
beyond the skills and competencies identified 
as part of the recognized postsecondary 
credential awarded; 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, in consultation with 
the employers in the eligible institution and industry 
partnership described in paragraph (1), carry out one or more 
of the following activities:
``(A) Establish, improve, or expand--
``(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) corequisite remediation programs 
that enable 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 such a course;
``(iv) dual or concurrent enrollment 
programs;
``(v) competency-based education and 
assessment; or
``(vi) policies and processes to award 
academic credit for prior learning or for the 
programs described in paragraph (2)(A).
``(B) Establish or implement plans for providers of 
the programs described in paragraph (2)(A) to meet the 
criteria and carry out the procedures necessary to be 
included on the list of eligible providers of training 
services described in section 122(d).
``(C) Purchase, lease, or refurbish specialized 
equipment as necessary to carry out such programs, 
provided 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 programs.
``(4) Administrative cost limit.--An eligible institution 
may use not more than 7 percent of the funds awarded under this 
section for administrative costs, including costs related to 
collecting information, analysis, and coordination for purposes 
of subsection (f).
``(f) Levels of Performance 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 each eligible institution 
receiving a grant under this section. Such levels of 
performance shall be established on the following indicators:
``(A) Each of the primary indicators of performance 
for adults described in section 116(b)(2)(A)(i), which 
shall be applied for all individuals who participated 
in a program that received funding from a grant under 
this section.
``(B) The extent to which the eligible institution 
built capacity by--
``(i) increasing the breadth and depth of 
employer engagement and investment in workforce 
development programs in the in-demand industry 
sectors and occupations targeted by the 
eligible institution and industry partnership 
established or maintained by the eligible 
institution under subsection (e)(1);
``(ii) designing or implementing new and 
accelerated instructional techniques or 
technologies, including the use of advanced 
online and technology-enabled learning (such as 
immersive technology); and
``(iii) increasing program and policy 
alignment across systems and decreasing 
duplicative services or service gaps.
``(C) With respect to individuals who participated 
in a workforce development program funded with the 
grant--
``(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 levels of 
performance.--
``(A) Consideration.--In developing levels of 
performance in accordance with paragraph (1), the 
Secretary shall take into consideration the goals 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 
institution, taking into account--
``(i) the expected levels of performance of 
each eligible institution with respect to the 
goals 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 industries.
``(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 
institution, 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 to 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 during such year of each eligible institution 
receiving a grant under this section in a manner consistent 
with the levels of performance determined for such institution 
pursuant to paragraph (2).
``(4) Failure to meet levels of performance.--After 
conducting an evaluation under paragraph (3), if the Secretary 
determines that an eligible institution did not achieve the 
levels of performance applicable to the eligible institution 
under paragraph (2), the Secretary shall--
``(A) provide technical assistance to the eligible 
institution; and
``(B) develop a performance improvement plan for 
the eligible institution.
``(g) Evaluations and Reports.--
``(1) In general.--Not later than 4 years after the date on 
which the first grant is made under this section, the Secretary 
shall design and conduct an evaluation to determine the overall 
effectiveness of the eligible institutions receiving a grant 
under this section.
``(2) Elements.--The evaluation of the effectiveness of 
eligible institutions conducted under paragraph (1) shall 
include an assessment of the general effectiveness of programs 
and activities supported by the grants awarded to such eligible 
institutions under this section, including the extent to which 
the programs and activities--
``(A) developed new, or expanded existing, 
successful industry sector strategies, including the 
extent to which such eligible institutions deepened 
employer engagement and developed workforce development 
programs that met industry skill needs;
``(B) created, expanded, or enhanced career 
pathways, including the extent to which the eligible 
institutions developed or improved competency-based 
education and assessment, 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 institutions being evaluated;
``(B) include analysis of program participant 
feedback and 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 any 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 
(commonly known as the `Family Educational Rights and Privacy 
Act of 1974') (20 U.S.C. 1232g).
``(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 
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, the following 
information:
``(1) The performance of eligible institutions on the 
capacity-building performance indicator set forth under 
subsection (f)(1)(B).
``(2) The performance of eligible institutions on the 
workforce development participant outcome performance 
indicators set forth under subsection (f)(1)(C).
``(3) The number of individuals enrolled in workforce 
development programs funded with a grant under this section.
``(i) Definitions.--In this section:
``(1) Chief evaluation officer.--The term `Chief Evaluation 
Officer' means the head of the independent evaluation office 
located in the Office of the Assistant Secretary for Policy of 
the Department of Labor.
``(2) 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 
(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.
``(3) 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.
``(j) Supplement Not Supplant.--Funds made available under 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.''.

SEC. 180. AUTHORIZATION OF APPROPRIATIONS.

Section 175 of the Workforce Innovation and Opportunity Act, as so 
redesignated, is amended--
(1) by redesignating subsections (e) and (f) as subsections 
(g) and (h), respectively; and
(2) by striking subsections (a) through (d) and inserting 
the following:
``(a) Native American Programs.--There are authorized to be 
appropriated to carry out section 166 (not including subsection (k) of 
such section) $62,500,000 for each of the fiscal years 2027 through 
2032.
``(b) Migrant and Seasonal Farmworker Programs.--There are 
authorized to be appropriated to carry out section 167 $97,396,000 for 
each of the fiscal years 2027 through 2032.
``(c) Evaluations and Research.--There are authorized to be 
appropriated to carry out section 169 $6,000,000 for each of the fiscal 
years 2027 through 2032.
``(d) Reentry Program.--There are authorized to be appropriated to 
carry out section 172 $110,000,000 for each of the fiscal years 2027 
through 2032.
``(e) Strengthening Community Colleges Program.--There are 
authorized to be appropriated to carry out section 173 $65,000,000 for 
each of the fiscal years 2027 through 2032.''.

Subtitle F--Administration

SEC. 191. REQUIREMENTS AND RESTRICTIONS.

(a) Labor Standards.--Section 181(b) of the Workforce Innovation 
and Opportunity Act (29 U.S.C. 3241(b)) is amended by adding at the end 
the following:
``(8) Child labor.--Individuals in on-the-job training or 
individuals employed in programs and activities under this 
title shall be employed in accordance with the provisions on 
child labor under the Fair Labor Standards Act of 1938 (29 
U.S.C. 201 et seq.) and applicable State law.
``(9) Consultation.--If an employer provides on-the-job 
training, incumbent worker training, or employer-directed 
skills development with funds made available under this title 
directly to employees of such employer that are subject to a 
collective bargaining agreement with the employer, the employer 
shall consult with the labor organization that represents such 
employees on the planning and design of such training or 
development.''.
(b) Remedies.--Section 181(c)(3)(B) of the Workforce Innovation and 
Opportunity Act (29 U.S.C. 3241(c)(3)(B)) is amended by inserting ``for 
a period of not less than 2 years'' before the semicolon at the end.
(c) Relocation.--Section 181(d)(2) of the Workforce Innovation and 
Opportunity Act (29 U.S.C. 3241(d)(2)) is amended by striking 
``incumbent worker training,'' and inserting ``incumbent worker 
training, employer-directed skills development,''.
(d) Supportive Services.--Section 181 of the Workforce Innovation 
and Opportunity Act (29 U.S.C. 3241) is amended by adding at the end 
the following:
``(h) Supportive Services.--Except as provided in section 
134(d)(2), funds provided under this title may only be used to provide 
supportive services to individuals who--
``(1) are participating in activities under programs 
authorized under this title;
``(2) are unable to obtain the supportive services through 
programs listed in section 121(b)(2); and
``(3) require supportive services to enable participation 
in activities under programs authorized under this title.''.

SEC. 192. MONITORING.

Section 183 of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3243) is amended by striking ``recipients'' each place it 
appears and inserting ``recipients and subrecipients''.

SEC. 193. FISCAL CONTROLS; SANCTIONS.

Section 184(b) of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3244(b)) is amended--
(1) by redesignating paragraphs (1), (2), and (3) as 
paragraphs (3), (5), and (6), respectively;
(2) by inserting before paragraph (3), as so redesignated, 
the following:
``(1) In general.--For the purposes of this title, a 
substantial violation shall--
``(A) be determined in accordance with the 
procedures established by the Governor as described in 
paragraph (2); and
``(B) include any willful violation of the 
requirements under subsections (a) or (b) of section 
181 for which there has been a final determination of 
the violation without any remaining right to appeal.
``(2) Procedures.--The Governor shall establish procedures 
to be used by local areas and, in the case of funds described 
in section 128(a) or pertaining to the enforcement provisions 
under section 122(g), by any other individual or entity 
specified by the Governor to determine if a substantial 
violation of this title has occurred.'';
(3) in paragraph (3), as so redesignated--
(A) in subparagraph (A), by striking ``; or'' and 
inserting a semicolon;
(B) in subparagraph (B)(v), by striking the period 
at the end and inserting ``; or''; and
(C) by adding at the end the following:
``(C) reduce any local allotment under section 
128(b) or 133(b) to the local area involved by not more 
than 5 percent for the fiscal year after the fiscal 
year in which the substantial violation, for which 
corrective action was not taken, occurred.'';
(4) by inserting after paragraph (3), as so redesignated, 
the following:
``(4) Reallocation of reductions.--Any amount that was 
reduced from an allotment to a local area in accordance with 
paragraph (3)(C) shall be reallocated by the Governor to the 
other local areas within the State that are not subject to an 
action described in paragraph (3) in a manner determined by the 
Governor, which may take into consideration whether such other 
local area is serving a significant number of individuals with 
barriers to employment.'';
(5) in paragraph (5), as so redesignated, by striking ``(A) 
and (B)'' and inserting ``(A), (B), and (C)''; and
(6) in paragraph (6), as so redesignated, by striking 
``paragraph (1)'' and inserting ``paragraph (2)''

SEC. 194. ADMINISTRATIVE ADJUDICATION.

Section 186(a) of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3246(a)) is amended by striking ``184'' and inserting ``181 or 
184''.

SEC. 195. JUDICIAL REVIEW.

Section 187(a)(1) of the Workforce Innovation and Opportunity Act 
(29 U.S.C. 3247(a)(1)) is amended by striking ``184'' and inserting 
``181 or 184''.

SEC. 196. GENERAL WAIVERS OF STATUTORY OR REGULATORY REQUIREMENTS.

Section 189(i)(3) of the Workforce Innovation and Opportunity Act 
(29 U.S.C. 3249(i)(3)) is amended--
(1) in subparagraph (A)(i) by striking ``procedures for 
review and approval of plans'' and inserting ``the procedures 
for review and approval of plans, the performance reports 
described in section 116(d), and the requirement described in 
section 134(c)(1)(B)''; and
(2) by adding at the end the following:
``(E) Model template.--Not later than one year 
after the date of enactment of the A Stronger Workforce 
for America Act of 2026, the Secretary shall issue 
guidance and provide model templates to States to 
assist States in requesting common waivers of statutory 
or regulatory requirements under this subsection.''.

SEC. 197. MAKE AMERICA SKILLED AGAIN GRANTS.

Section 190 of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3250) is amended to read as follows:

``SEC. 190. MAKE AMERICA SKILLED AGAIN GRANTS.

``(a) Purpose.--The purpose of this section is to--
``(1) authorize States to apply under this section on 
behalf of the State as a whole, or on behalf of a local area or 
a consortium of local areas in the State, to receive the 
allotments or allocations of the State or the local areas, 
respectively, for youth workforce investment activities under 
chapter 2 of subtitle B and adult and dislocated worker 
employment and training activities under chapter 3 of subtitle 
B as a consolidated grant for 5 years for the purpose of 
carrying out a pilot project to pursue innovative reforms to 
achieve better outcomes for jobseekers, workers, employers, and 
taxpayers; and
``(2) require that rigorous evaluations be conducted to 
demonstrate if better outcomes and opportunities to achieve 
economic self-sufficiency for participants, including 
participants receiving a priority for services under this 
section, and associated innovative reforms to improve service 
delivery were achieved as a result of such pilot projects.
``(b) General Authority.--
``(1) Waivers, pilot project grant amounts, and 
reservations.--Notwithstanding any other provision of subtitle 
A or B, except as otherwise provided in this section, during 
the pilot project period applicable to a pilot project approved 
for a State pursuant to subsection (d)(3), the Secretary, the 
Governor of a State participating in such pilot project on 
behalf of the State as a whole, local area, or consortium of 
local areas, and a local area or consortium of local areas on 
whose behalf a Governor is participating in such a pilot 
project, shall, as applicable, comply with each of the 
following:
``(A) Waivers.--Subject to paragraph (2), the 
Secretary shall waive for the State as a whole, or for 
the local area or the consortium of local areas 
selected by the State to carry out such pilot project, 
all the statutory and regulatory requirements of 
subtitles A and B.
``(B) Pilot project grant amounts.--For each fiscal 
year applicable to a pilot period, the Secretary shall 
carry out the following:
``(i) State as a whole.--In a case of a 
State approved to carry out a pilot project 
under this section on behalf of the State as a 
whole, distribute as a consolidated sum to the 
State, for purposes of carrying out the 
project, the State's total allotment for such 
fiscal year under--
``(I) subsections (b)(1)(C) and (c) 
of section 127;
``(II) paragraphs (1)(B) and (2)(B) 
of section 132(b); and
``(III) section 132(c).
``(ii) Local area.--In a case of a local 
area selected by a State and approved to carry 
out a pilot project under this section, require 
the State to--
``(I) distribute as a consolidated 
sum to the local board for such local 
area, for purposes of carrying out the 
project, the local area's allocation 
for such fiscal year under--
``(aa) subsections (b) and 
(c) of section 128; and
``(bb) subsections (b) and 
(c) of section 133; or
``(II) if the local board of the 
local area enters into a written 
agreement with the State for the State 
to serve as the fiscal agent for the 
local board during the pilot project, 
use the funds described in subclause 
(I) for purposes of carrying out the 
project on behalf of the local board.
``(iii) Consortium of local areas.--In a 
case of a consortium of local areas selected by 
a State and approved to carry out a pilot 
project under this section, require the State 
to--
``(I) distribute as a consolidated 
sum to the consortium, for purposes of 
carrying out the project, the total 
amount of the allocations for the local 
areas in such consortium for such 
fiscal year under--
``(aa) subsections (b) and 
(c) of section 128; and
``(bb) subsections (b) and 
(c) of section 133; or
``(II) if the consortium enters 
into a written agreement with the State 
for the State to serve as the fiscal 
agent for the consortium during the 
pilot project, use the funds described 
in subclause (I) for purposes of 
carrying out the project on behalf of 
such consortium.
``(C) State reservation.--The Governor of a State 
participating in a pilot project on behalf of the State 
as a whole shall reserve not less than 25 percent of 
the consolidated sum allotted to the State, as 
described in subparagraph (B)(i), for the purpose of 
developing and implementing evidence-based workforce 
development activities in the State. Such activities--
``(i) shall comply with the priority of 
service requirement described in subsection 
(e)(3); and
``(ii) may include strategies such as--
``(I) innovative skills development 
programs to improve employment outcomes 
for jobseekers, incumbent workers, and 
dislocated workers;
``(II) job training programs and 
assistance with removing barriers to 
employment for offenders;
``(III) pre-apprenticeships, 
apprenticeships, and evidence-based 
workforce development and employment 
opportunities, including for youth 
(particularly out-of-school youth);
``(IV) the development and 
strengthening of industry or sector 
partnerships and training programs 
offered under such partnerships;
``(V) the optimization of 
supportive service delivery and the 
integration of such services within the 
workforce system to promote retention 
in and completion of training programs 
for participants served under the pilot 
project; and
``(VI) other strategies as may be 
appropriate and necessary to achieve 
better outcomes for jobseekers, 
workers, employers, and taxpayers, as 
determined by the Governor.
``(D) Local area and consortium reservation.--A 
local area or a consortium of local areas for which a 
pilot project is authorized under this section shall 
reserve not less than 25 percent of the consolidated 
sum allotted, as described in clause (ii) or (iii), 
respectively, of subparagraph (B), to the local area or 
consortium of local areas, respectively, for the 
purpose of developing and implementing evidence-based 
workforce development activities described in 
subparagraph (C) in the local area or local areas 
served by the consortium, respectively.
``(2) Exceptions.--
``(A) In general.--A State, local area, or 
consortium of local areas carrying out a pilot project 
under this section shall comply with statutory or 
regulatory requirements of this Act relating to--
``(i) performance accountability and 
reporting, except as otherwise provided in this 
section;
``(ii) the membership of local boards or 
State boards in instances where a State 
carrying out a pilot project will maintain the 
use of such local boards or State boards, 
respectively, during the pilot project period;
``(iii) the requirement to set minimum 
levels of performance on the criteria described 
in section 122(b)(2)(B) for any providers of 
training services that will receive funding 
under the pilot project;
``(iv) the establishment of the one-stop 
delivery system to make the services and 
activities carried out under the pilot project 
available to individuals in the State, local 
area, or consortium of local areas carrying out 
the pilot project, except that, of the 
requirements in section 121(e), such one-stop 
delivery system shall only be required to meet 
the requirements of paragraph (2) of that 
section and only with respect to the services 
and activities of the pilot project;
``(v) the fiscal and management 
accountability information systems described in 
section 116(j) and, in the case of a pilot 
project carried out by a local area or 
consortium of local areas, the provisions on 
fiscal integrity described in section 106; and
``(vi) the priority of service described in 
section 134(c)(3)(E).
``(B) Applicability of defined terms.--In carrying 
out a pilot project under this section, a State, local 
area, or consortium of local areas may only use a term 
defined in section 3 to describe an activity carried 
out under such pilot project if the State, local area, 
or consortium of local areas gives such term the same 
meaning as such term is given under such section.
``(C) Rule of construction.--Nothing in 
subparagraph (A)(iv) shall be construed to prevent a 
State, local area, or consortium of local areas 
carrying out a pilot project under this section from 
deciding to maintain the one-stop delivery system in 
effect for the State, local area, or consortium, 
respectively, prior to the start of the pilot project.
``(3) Authority for third-party evaluation.--
``(A) In general.--Not later than 180 days after 
the first pilot project is approved under this section, 
the Secretary shall contract with a third-party 
evaluator to conduct a rigorous evaluation of each 
pilot project approved under this section. The 
evaluation shall--
``(i) cover the entire period of each pilot 
project;
``(ii) include a description of--
``(I) the populations served under 
the pilot project, including with 
respect to individuals with barriers to 
employment served under the pilot 
project, disaggregated by each 
subpopulation of such individuals, and 
by race, ethnicity, sex, and age;
``(II) the services provided 
through the pilot project, the 
providers of such services, and the 
cost of such services, disaggregated by 
the type of service provided;
``(III) if the pilot project is 
carried out by a State, the geographic 
distribution within the State of the 
services provided under the pilot 
project; and
``(IV) the workforce development 
systems in the State, local area, or 
consortium of local areas that were 
affected, and the nature of such 
effects, as a result of the pilot 
project;
``(iii) compare the employment and earnings 
outcomes of participants in activities carried 
out under the pilot project to--
``(I) the outcomes of similarly 
situated individuals who do not 
participate in such activities and who 
are located in such State, such local 
area, or a local area in such 
consortium, as applicable;
``(II) the outcomes of similarly 
situated participants in similarly 
situated States or local areas within 
such States, as applicable, that do not 
receive authority to carry out a pilot 
project under this section; and
``(III) the outcomes of 
participants in activities under 
chapter 2 or 3 of subtitle B in the 
State, local area, or a local area in 
the consortium that was awarded a 
waiver prior to the award of such 
waiver;
``(iv) conduct a qualitative analysis that 
identifies any practices or strategies 
(including promising, evidence-based, or 
innovative practices and strategies) that--
``(I) would not have been conducted 
without the waiving of statutory or 
regulatory provisions through the pilot 
project; and
``(II) led to changes in employment 
and earnings outcomes for the 
participants, including employment and 
earnings outcomes for participants who 
are out-of-school youth and individuals 
with barriers to employment; and
``(v) compare the outcomes for subclauses 
(I), (II), and (III) of clause (iii) with 
respect to the subpopulations described in 
section 116(d)(2)(B).
``(B) Report.--Not later than 2 years after the 
final year of a pilot project approved under this 
section, the Secretary shall submit to the Committee on 
Education and Workforce of the House of Representatives 
and the Committee on Health, Education, Labor, and 
Pensions of the Senate the results of the evaluation 
conducted under this paragraph.
``(c) Pilot Period; Limitations.--
``(1) In general.--A pilot project approved under this 
section for a State, local area, or consortium--
``(A) shall be carried out for a 5-year pilot 
project period; and
``(B) may be renewed for an additional 4-year pilot 
project period, if the State, local area, or 
consortium--
``(i) for each of the final 3 years of the 
preceding 5-year pilot project period, meets 
its expected levels of performance established 
under subsection (f)(1)(C); and
``(ii) for the final year of the preceding 
5-year pilot project period, achieves a 
performance improvement of not less than an 
average of a 5-percent increase across all of 
the indicators of performance described in 
clauses (i) and (ii) of subsection (f)(1)(A), 
compared with--
``(I) the highest level of 
performance for the corresponding 
indicators of performance, as described 
in subsection (f)(1)(B)(i) with respect 
to such State, for the most recent 
program year that ended prior to the 
beginning of the first year of the 
preceding 5-year pilot project period; 
or
``(II) the alternate baseline level 
of performance for the corresponding 
indicators of performance that is 
agreed upon between the State and the 
Secretary under subsection 
(f)(1)(B)(ii).
``(2) Limitations.--
``(A) Pilot period limitations.--For each pilot 
period (including renewals of such period) the 
Secretary may not approve--
``(i) more than 10 pilot projects for 
States to carry out a pilot project described 
in subsection (b)(1)(B)(i), except as provided 
in subparagraph (C); and
``(ii) more than 8 pilot projects for local 
areas (or consortia of local areas) to carry 
out a pilot project described in clause (ii) or 
(iii) of subsection (b)(1)(B).
``(B) State limitations.--Not more than 1 pilot 
project may be approved under this section per State. 
For purposes of this subparagraph, a pilot project 
described in clause (ii) or (iii) of subsection 
(b)(1)(B) approved for a local area or a consortium of 
local areas, respectively, in a State shall be 
considered a pilot project approved under this section 
for the State.
``(C) Subsequent approval.--Notwithstanding 
subparagraph (A)(i), the Secretary may award authority 
to carry out a pilot project for a State as a whole 
under this section to 2 additional States if, at the 
beginning of the third year of the pilot projects 
awarded to the 10 States under subparagraph (A)(i), 
each of such States--
``(i) has met or exceeded expected levels 
of performance under the primary indicators of 
performance described in section 116(b)(2)(A); 
and
``(ii) meets the requirement described in 
subsection (e)(4).
``(d) Application.--
``(1) In general.--To be eligible to carry out a pilot 
project under this section, a State shall submit to the 
Secretary an application at such time and in such manner as the 
Secretary may reasonably require, and containing the 
information described in paragraph (2).
``(2) Content.--Each application submitted by a State under 
this subsection shall include the following:
``(A) A description of the pilot project to be 
carried out under this section, including--
``(i) whether the project will be carried 
out--
``(I) by the State as a whole;
``(II) by a local area, and if so--
``(aa) an identification 
of--

``(AA) such local 
area; and

``(BB) whether the 
local area will be the 
fiscal agent for the 
project, or whether the 
local board has entered 
into a written 
agreement with the 
State for the State to 
serve as the fiscal 
agent during the 
project; and

``(bb) written verification 
from the local board for such 
local area that such local 
board agrees--

``(AA) to carry out 
such project; and

``(BB) to the 
fiscal agent identified 
in item (aa)(BB); or

``(III) by a consortium of local 
areas in the State, and if so--
``(aa) an identification 
of--

``(AA) each local 
area that comprises the 
consortium; and

``(BB) the local 
area that will serve as 
the fiscal agent for 
the consortium during 
the project, or whether 
the consortium has 
entered into a written 
agreement with the 
State for the State to 
serve as the fiscal 
agent; and

``(bb) written verification 
from each local board of each 
local area identified in item 
(aa)(AA) that such local board 
agrees--

``(AA) to carry out 
such project as a 
consortium; and

``(BB) to the 
fiscal agent for the 
consortium identified 
in item (aa)(BB);

``(ii) a description of the activities to 
be carried out under the project, including--
``(I) the activities to be carried 
out under the reservation required 
under subparagraph (C) or (D) of 
subsection (b)(1), as applicable;
``(II) how the activities will 
comply with the priority of service 
described in subsection (e)(3); and
``(III) how the activities will be 
made available through the one-stop 
delivery system described in subsection 
(b)(2)(A)(iv);
``(iii) the goals the State, local area, or 
consortium intends to achieve through such 
activities, which shall be aligned with the 
purpose described in subsection (a); and
``(iv) a description of any reforms or 
improvements, including any reforms or 
improvements that may be evidence-based, to 
service delivery to be carried out under the 
project.
``(B) A description of the performance outcomes the 
State, the local area, or consortium expects to achieve 
for such activities for each year of the pilot project 
period as described in subsection (f)(1).
``(C) A description of how the State, local area, 
or consortium consulted with employers, the State 
board, and the local boards in the State in determining 
the activities to carry out under the pilot project.
``(D) A description of how the State will make such 
activities available to jobseekers and employers in 
each of the local areas in the State or, in a case of a 
project that will be carried out by a local area or a 
consortium, a description of how such services will be 
made available to jobseekers and employers in such 
local area or each of the local areas in the 
consortium.
``(E) A description, if appropriate, of how the 
State, local area, or consortium will integrate the 
funds received, and the activities carried out, under 
the pilot project under this section with funds and 
activities for State workforce development programs and 
other Federal, State, or local workforce, education, or 
social service programs (including the programs and 
activities listed in section 103(a)(2), the program of 
adult education and literacy activities authorized 
under title II, and the program authorized under title 
I of the Rehabilitation Act of 1973 (29 U.S.C. 720 et 
seq.)).
``(F) An explanation of--
``(i) how the State, local area, or 
consortium will ensure that jobseekers and 
employers in urban, rural, and suburban areas 
are able to participate in the pilot project; 
or
``(ii) the factors preventing jobseekers 
and employers in such areas from participating.
``(G) An assurance that the State, local area, or 
consortium will meet the requirements of this section.
``(3) Secretarial approval.--
``(A) In general.--The Secretary shall--
``(i) approve an application submitted 
under this subsection, and the pilot project 
described in such application, not later than 
90 days after the date on which such 
application is submitted, unless the Secretary 
meets the requirements of clause (ii); and
``(ii) have the authority to disapprove 
such application only if, by not later than 90 
days after the date on which such application 
is submitted, the Secretary--
``(I) determines--
``(aa) that such 
application is subject to the 
limitations described in 
subsection (c)(2); or
``(bb) that such 
application fails to meet the 
requirements of this section; 
and
``(II) in a case which the 
Secretary makes the determination 
described in subclause (I)(bb), 
provides to the State a written 
explanation of initial disapproval that 
meets the requirements of subparagraph 
(B).
``(B) Initial disapproval.--An explanation of 
initial disapproval provided by the Secretary to a 
State under subparagraph (A)(ii)(II) shall provide the 
State with--
``(i) a detailed explanation of why the 
application does not meet the requirements of 
this section; and
``(ii) if the State is not subject to the 
limitations described in subsection (c), an 
opportunity to revise and resubmit the State's 
application under this section.
``(C) Rule of construction.--Nothing in this 
paragraph shall be construed to require the Secretary 
to approve more pilot projects than allowed under the 
limitations described in subsection (c)(2).
``(4) Priority.--In approving pilot projects under this 
section in the case that more States, on behalf of the State as 
a whole or on behalf of local areas and consortia of local 
areas, have submitted applications that meet the requirements 
of this section than the Secretary is allowed to approve 
pursuant to the limitations described in subsection (c)(2), the 
Secretary shall give priority consideration as follows:
``(A) For applications seeking a pilot project for 
the State as a whole--
``(i) first, to applications submitted by 
States with a population of not more than 
5,000,000 and not less than 15 workforce 
boards, as of the date of enactment of the A 
Stronger Workforce for America Act of 2026; and
``(ii) second, to applications submitted by 
States that have achieved the State adjusted 
levels of performance for the youth program 
authorized under chapter 2 of subtitle B and 
the adult and dislocated worker programs 
authorized under chapter 3 of subtitle B in the 
most recent program year for which performance 
information is available.
``(B) For applications seeking a pilot project for 
a local area or consortium of local areas, to 
applications submitted by local areas or consortia of 
local areas that have achieved the negotiated local 
levels of performance for such youth program and such 
adult and dislocated worker programs in the most recent 
program year for which performance information is 
available.
``(e) State Pilot Project Requirements.--A State, local area, or 
consortium that has been approved to carry out a pilot project under 
this section shall meet each of the following requirements:
``(1) Use of funds.--Use the funds received pursuant to 
subsection (b)(1)(B) solely to carry out the activities of the 
pilot project to achieve the goals of the pilot project, as 
described in subsection (d)(2)(A).
``(2) Administrative costs limitation.--Use not more than 
10 percent of the funds received pursuant to subsection 
(b)(1)(B) for a fiscal year for the administrative costs of 
carrying out the pilot project.
``(3) Priority for services.--Give priority for services 
under the project to veterans and their eligible spouses in 
accordance with the requirements of section 4215 of title 38, 
United States Code, recipients of public assistance, low-income 
individuals, individuals who have foundational skill needs, 
out-of-school youth, and dislocated workers.
``(4) Number of participants.--Serve a number of 
participants under the activities of the pilot project for each 
year of the pilot project period that--
``(A) is greater than the number of participants 
served by such State, local area, or consortium, as 
applicable, under the programs described in 
subparagraph (A) of section 3(13) for the most recent 
program year that ended prior to the beginning of the 
first year of the pilot project period; or
``(B) is not less than the number of participants 
to be served under the activities of the pilot project 
that is agreed upon between the State, local area, or 
consortium, as applicable, and the Secretary--
``(i) prior to the Secretary's approval of 
the application submitted under subsection (d); 
and
``(ii) after the Secretary takes into 
account--
``(I) the goals the State, local 
area, or consortium intends to achieve 
through the pilot project; and
``(II) the participants the State, 
local area, or consortium intends to 
serve under such project.
``(5) Reporting outcomes.--Submit, on an annual basis, to 
the Secretary a report, with respect to such State, local area, 
or consortium--
``(A) on participant outcomes for each indicator of 
performance described in subsection (f)(1)(A) for the 
activities carried out under the project;
``(B) on the applicable requirements of section 
116(d)(2), including--
``(i) subparagraph (B) of such section; and
``(ii) subparagraphs (C), (D), (E), (F), 
(G), and (J) of such section, as such 
subparagraphs are applicable to activities 
under the pilot project; and
``(C) containing a description of how the State 
spent the amounts reserved under subsection (b)(1)(C) 
or the local area or consortium spent the amounts 
reserved under subsection (b)(1)(D), as applicable, and 
any evidence-based practices developed with such 
amounts.
``(6) Compliance with certain existing requirements.--
Comply with the statutory or regulatory requirements listed in 
subparagraphs (A) and (B) of subsection (b)(2).
``(f) Performance Accountability.--
``(1) Establishment of baseline levels for performance.--
``(A) In general.--Each State shall describe in the 
application submitted under subsection (d), for each 
year of the pilot project period--
``(i) with respect to participants who are 
at least 25 years old, the expected State 
levels of performance or expected local levels 
of performance, as the case may be, for each of 
the indicators of performance under section 
116(b)(2)(A)(i) for the activities carried out 
under the project under this section, which 
shall meet the requirements of subparagraph 
(B); and
``(ii) with respect to participants who are 
at least 16 years old and not older than 24 
years old, the expected State levels of 
performance or expected local levels of 
performance, as the case may be, for each of 
the indicators of performance under section 
116(b)(2)(A)(ii) for the activities carried out 
under the project under this section, which 
shall meet the requirements of subparagraph 
(B).
``(B) Fifth year.--Each of the expected levels of 
performance established pursuant to subparagraph (A) 
for each of the indicators of performance for the fifth 
year of the pilot project period shall be higher than--
``(i) the highest State adjusted or 
negotiated local level of performance, as 
applicable, for the corresponding indicator of 
performance for the programs described in 
subparagraph (A) of section 3(13), for the most 
recent program year for such State that ended 
prior to the beginning of the first year of the 
pilot project period; or
``(ii) an alternate baseline level of 
performance that--
``(I) shall not be lower than the 
most recent State adjusted or 
negotiated local level of performance 
(including any revisions) for the 
corresponding indicator of performance 
for the youth program under chapter 2 
of subtitle B or the adult or 
dislocated worker program under chapter 
3 of such subtitle (using the program 
determined most applicable by the 
Governor of the State submitting the 
application), taking into account the 
goals the State intends to achieve 
through the pilot project and the 
participants the State intends to serve 
through such project; and
``(II) is agreed upon between the 
State and the Secretary--
``(aa) prior to the 
Secretary's approval of the 
application submitted under 
subsection (d); and
``(bb) after the Secretary 
takes into account--

``(AA) the goals 
the State intends to 
achieve through the 
pilot project; and

``(BB) the 
participants the State 
intends to serve under 
such project.

``(C) Agreed level for performance on expected 
levels of performance.--Prior to approving an 
application for a pilot project submitted by a State, 
and using the expected levels of performance described 
in such application, the Secretary shall reach an 
agreement with such State on the expected levels of 
performance for each of the indicators of performance. 
In reaching an agreement on such expected levels of 
performance, the Secretary and the State may consider 
the factors described in section 116(b)(3)(A)(v).
``(2) Sanctions.--
``(A) In general.--The sanctions described in 
section 116(f)(1)(B) shall apply to a State, local 
area, or consortium of local areas beginning on the 
third year of the pilot project period (and, for 
failures described in clause (ii)(II) of that section, 
shall first apply for consecutive failures in that 
third year and the following year) for such State, 
local area, or consortium, except that the expected 
levels of performance established under paragraph (1) 
shall be--
``(i) deemed to be levels of performance 
agreed to under section 116(b)(3)(A)(iv), for 
purposes of this paragraph; and
``(ii) adjusted at the end of each program 
year to reflect the actual characteristics of 
participants served and the actual economic 
conditions experienced using a statistical 
adjustment model similar to the model described 
in section 116(b)(3)(A)(viii).
``(B) Ineligibility for renewal.--A State, local 
area, or consortium that is subject to such sanctions 
shall be ineligible to renew its pilot project period 
under subsection (c).
``(3) Impact of local or consortium pilot projects on 
statewide accountability.--With respect to a State with an 
approved pilot project for a local area or consortium of local 
areas in the State--
``(A) the performance of such local area or 
consortium for the programs described in subparagraph 
(A) of section 3(13) shall not be included in the 
levels of performance for such State for any of such 
programs for purposes of section 116 for any program 
year that is applicable to any year of the pilot 
project period; and
``(B) with respect to any local areas of the State 
that are not part of the pilot project, the State shall 
reach a new agreement with the Secretary, for purposes 
of section 116(b)(3)(A), on levels of performance for 
such programs for such program years.
``(g) Termination.--Except as provided under subsection (c)(1)(B), 
the Secretary may not approve a pilot project after December 31, 
2031.''.

SEC. 198. GENERAL PROGRAM REQUIREMENTS.

Section 194 of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3254)) is amended by adding at the end the following:
``(16)(A) In general.--Each recipient of funds described in 
section 128(a), section 128(b), or section 133(b) or under 
subtitle C or D (including a provider described in section 
122(i) that is awarded such funds by a State or local area) 
shall provide to the appropriate entity an assurance that the 
recipient will adhere to the requirements under subsections (a) 
and (b) of section 181.
``(B) Appropriate Entity.--For the purposes of this paragraph, the 
term `appropriate entity' means--
``(i) in the case of any funds described in section 128(a), 
the Governor of the State providing such funds;
``(ii) in the case of any funds described in section 128(b) 
or section 133(b), the local board providing such funds; and
``(iii) in the case of any funds under subtitle C or D, the 
Secretary.
``(17) Regarding states with low population density.--
``(A) Low-density workforce area considerations.--
In the case of a local area located in a `low-density 
workforce area', section 129(c)(4) shall be applied--
``(i) by substituting `25 percent' for `40 
percent'; and
``(ii) by substituting `7 and 1/2 percent' 
for `12 and 1/2 percent'.
``(B) Low-density workforce area definition.--In 
this title, the term `low-density workforce area' means 
a State with a population density of less than 1.5 
persons per square mile, as determined by the most 
recent decennial census of the Bureau of the Census.''.

TITLE II--ADULT EDUCATION AND LITERACY

Subtitle A--Transferring All Functions of the Adult Education and 
Family Literacy Act to the Department of Labor

SEC. 201. TRANSFER OF FUNCTIONS.

There are transferred to the Secretary of Labor all functions which 
the Secretary of Education and the Department of Education exercised 
before the effective date of this subtitle (including all related 
functions of any officer or employee of that Department) under title II 
of the Workforce Innovation and Opportunity Act (29 U.S.C. 3271 et 
seq.).

SEC. 202. PERSONNEL DETERMINATIONS BY THE OFFICE OF MANAGEMENT AND 
BUDGET.

The Office of Management and Budget shall--
(1) ensure that this subtitle does not result in any net 
increase in full-time equivalent employees across all Federal 
agencies impacted by this subtitle; and
(2) not later than 1 year after the effective date of this 
subtitle, certify compliance with this subtitle to the 
Committee on Education and Workforce of the House of 
Representatives and the Committee on Health, Education, Labor, 
and Pensions of the Senate.

SEC. 203. DELEGATION AND ASSIGNMENT.

Except where otherwise expressly prohibited by law or otherwise 
provided by this subtitle, the Secretary of Labor may delegate any of 
the functions transferred to the Secretary of Labor by section 201 and 
any function described in section 201 that was transferred or granted 
to such Secretary after the effective date of this subtitle to such 
officers and employees of such Secretary as the Secretary may 
designate, and may authorize successive redelegations of such functions 
described in section 201 as may be necessary or appropriate. No 
delegation of such functions by the Secretary of Labor under this 
section or under any other provision of this subtitle shall relieve 
such Secretary of responsibility for the administration of such 
functions.

SEC. 204. REORGANIZATION; RULES.

(a) Reorganization.--Except where otherwise expressly prohibited by 
law or otherwise provided by this Act (or the amendments made by this 
Act), the Secretary of Labor is authorized to allocate or reallocate 
any function transferred under section 201 among the officers of the 
Department of Labor, and to consolidate, alter, or discontinue such 
organizational entities in such Department as may be necessary or 
appropriate.
(b) Rules.--The Secretary of Labor is authorized to prescribe, in 
accordance with the provisions of chapters 5 and 6 of title 5, United 
States Code, such rules and regulations as that the Secretary 
determines necessary or appropriate to administer and manage the 
functions described in section 201 of the Department of Labor.

SEC. 205. TRANSFER AND ALLOCATION OF APPROPRIATIONS AND PERSONNEL.

Except as otherwise provided in this subtitle, the personnel 
employed in connection with, and the assets, liabilities, contracts, 
property, records, and unexpended balance of appropriations, 
authorizations, allocations, and other funds employed, held, used, 
arising from, available to, or to be made available in connection with 
the functions and offices, or portions thereof transferred by section 
201, subject to section 1531 of title 31, United States Code, shall be 
transferred to the Secretary of Labor. Unexpended funds transferred 
pursuant to this section shall be used only for the purposes for which 
the funds were originally authorized and appropriated.

SEC. 206. INCIDENTAL TRANSFERS.

The Director of the Office of Management and Budget, at such time 
or times as the Director shall provide, is authorized to make such 
determinations as may be necessary with regard to the functions 
transferred by section 201, and to make such additional incidental 
dispositions of personnel, assets, liabilities, grants, contracts, 
property, records, and unexpended balances of appropriations, 
authorizations, allocations, and other funds held, used, arising from, 
available to, or to be made available in connection with such 
functions, as may be necessary to carry out the provisions of this 
subtitle. The Director of the Office of Management and Budget shall 
provide for the termination of the affairs of all entities terminated 
by this subtitle and for such further measures and dispositions as may 
be necessary to effectuate the purposes of this subtitle, with respect 
to such functions.

SEC. 207. SAVINGS PROVISIONS.

(a) Continuing Effect of Legal Documents.--All orders, 
determinations, rules, regulations, permits, grants, contracts, 
certificates, licenses, registrations, privileges, and other 
administrative actions--
(1) which have been issued, made, granted, or allowed to 
become effective by the President, any Federal department or 
agency or official thereof, or by a court of competent 
jurisdiction, in the performance of functions which are 
transferred under this Act to the Secretary or the Department, 
and
(2) which are in effect at the time this Act takes effect,
shall continue in effect according to their terms until modified, 
terminated, superseded, set aside, or revoked in accordance with the 
law by the President, the Secretary of Labor, or other authorized 
official, a court of competent jurisdiction, or by operation of law.
(b) Proceedings Not Affected.--The provisions of this subtitle 
shall not affect any proceedings, including notices of proposed 
rulemaking, or any application for any license, permit, certificate, or 
financial assistance pending on the effective date of this subtitle 
before the Department of Education with respect to functions of which 
are transferred by section 201 but such proceedings and applications 
shall be continued. Orders shall be issued in such proceedings, appeals 
shall be taken therefrom, and payments shall be made pursuant to such 
orders, as if this subtitle had not been enacted, and orders issued in 
any such proceedings shall continue in effect until modified, 
terminated, superseded, or revoked by a duly authorized individual, by 
a court of competent jurisdiction, or by operation of law. Nothing in 
this subsection shall be deemed to prohibit the discontinuance or 
modification of any such proceeding under the same terms and conditions 
and to the same extent that such proceeding could have been 
discontinued or modified if this subtitle had not been enacted.
(c) Suits Not Affected.--Except as provided in subsection (e) the 
provisions of this subtitle shall not affect suits commenced (with 
respect to the functions transferred under section 201) prior to the 
effective date of this subtitle, and in all such suits, proceedings 
shall be had, appeals taken, and judgments rendered in the same manner 
and effect as if this subtitle had not been enacted.
(d) Nonabatement of Actions.--No suit, action, or other proceeding 
commenced by or against the Department of Education (with regard to 
functions transferred under section 201), or by or against any officer 
in the official capacity of such individual as an officer of the 
Department of Education (with regard to functions transferred under 
section 201), shall abate by reason of the enactment of this subtitle.
(e) Administrative Actions Relating to Promulgation of 
Regulations.--Any administrative action relating to the preparation or 
promulgation of a regulation by the Secretary of Education (with regard 
to functions transferred under section 201) may be continued by the 
Secretary of Labor with the same effect as if this subtitle had not 
been enacted.

SEC. 208. REFERENCES.

A reference in any other Federal law, Executive order, rule, 
regulation, or delegation of authority, or any document of or relating 
to--
(1) the Secretary of Education (with regard to functions 
transferred under section 201), shall be deemed to refer to the 
Secretary of Labor; and
(2) the Department of Education or Office within the 
Department (with regard to functions transferred under section 
201), shall be deemed to refer to the Department of Labor.

SEC. 209. TRANSITION.

The Secretary of Labor is authorized to utilize--
(1) the services of such officers, employees, and other 
personnel of the Department of Education with regard to 
functions transferred under section 201; and
(2) funds appropriated to such functions,
for such period of time as may reasonably be needed to facilitate the 
orderly implementation of this subtitle.

SEC. 210. UPDATING REFERENCES.

(a) WIOA.--Section 203(15) of the Workforce Innovation and 
Opportunity Act (29 U.S.C. 3272(15)) is amended by striking 
``Education'' and inserting ``Labor''.
(b) Department of Education Organization Act.--
(1) Principal officers.--Section 202 of the Department of 
Education Organization Act (20 U.S.C. 3412) is amended--
(A) in subsection (b)(1)(C), by striking ``Career, 
Technical, and Adult Education'' and inserting ``Career 
and Technical Education''; and
(B) in subsection (h), by striking ``Career, 
Technical, and Adult Education'' each place it appears 
and inserting ``Career and Technical Education''.
(2) Office of career and technical education.--Section 206 
of the Department of Education Organization Act (20 U.S.C. 
3416) is amended--
(A) in the section header, by striking ``career, 
technical, and adult education'' and inserting ``career 
and technical education'';
(B) in the first sentence, by striking ``Career, 
Technical, and Adult Education'' and inserting ``Career 
and Technical Education''; and
(C) in the second sentence, by striking ``career, 
technical, and adult education'' and inserting ``career 
and technical education''.

SEC. 211. EFFECTIVE DATE.

This subtitle shall take effect on the date that is 1 year after 
the date of enactment of this Act.

Subtitle B--Adult Education and Family Literacy Act

SEC. 221. PURPOSES.

Section 202 of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3271) is amended--
(1) in paragraph (1), by inserting ``(including digital 
literacy skills and AI literacy skills)'' before ``necessary'';
(2) in paragraph (3), by striking ``secondary school 
diploma'' and inserting ``regular high school diploma or its 
recognized equivalent''; and
(3) in paragraph (4), by striking ``English language 
learners'' and inserting ``English learners''.

SEC. 222. DEFINITIONS.

Section 203 of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3272) is amended--
(1) in paragraph (1)--
(A) in subparagraph (A)--
(i) by striking ``and speak'' and inserting 
``listen, speak, and comprehend''; and
(ii) by striking ``secondary'' and 
inserting ``regular high'';
(B) in subparagraph (B), by striking ``and'' at the 
end;
(C) by redesignating subparagraph (C) as 
subparagraph (D); and
(D) by inserting after subparagraph (B) the 
following:
``(C) develop and use digital literacy skills; 
and'';
(2) by redesignating paragraphs (3) through (14), (15) (as 
amended by section 210(a)), (16), and (17), as paragraphs (5) 
through (16), (18), (19), and (20), respectively;
(3) by inserting after paragraph (2) the following:
``(3) AI literacy skills.--The term `AI literacy skills' 
means a foundational set of competencies, outlined by the AI 
literacy framework of the Department of Labor, that enable 
individuals to use and evaluate artificial intelligence 
technologies responsibly, with a primary focus on generative 
artificial intelligence.
``(4) Digital literacy skills.--The term `digital literacy 
skills'--
``(A) means the skills associated with using 
existing and emerging technologies to find, evaluate, 
organize, create, communicate information, and to 
complete tasks; and
``(B) includes AI literacy skills.'';
(4) in paragraph (6)(C) (as so redesignated)--
(A) by striking clause (i) and inserting the 
following:
``(i) has foundational skill needs;'';
(B) in clause (ii), by striking ``secondary'' and 
inserting ``regular high''; and
(C) in clause (iii), by striking ``English language 
learner'' and inserting ``English learner'';
(5) in paragraph (8) (as so redesignated)--
(A) in subparagraph (A), by striking ``English 
language learners'' and inserting ``English learners''; 
and
(B) in subparagraph (B)(i)(I), by striking 
``secondary'' and inserting ``regular high'';
(6) in paragraph (9) (as so redesignated)--
(A) in the paragraph heading, by striking 
``language''; and
(B) in the matter preceding subparagraph (A), by 
striking ``English language learner'' and inserting 
``English learner'';
(7) in the matter preceding subparagraph (A) in paragraph 
(11) (as so redesignated), by inserting ``and educational'' 
after ``the economic'';
(8) in paragraph (14) (as so redesignated)--
(A) by striking ``English language learners'' and 
inserting ``English learners''; and
(B) by striking ``and may include workforce 
training.'' and inserting the following: ``and may--
``(A) include skills development, postsecondary 
preparation activities, digital literacy skills 
instruction, financial literacy instruction, and 
workforce training; and
``(B) be provided concurrently with other 
activities and services, such as adult education.'';
(9) in paragraph (15) (as so redesignated), by striking 
``and speak in English, compute, and solve problems,'' and 
inserting ``speak, and comprehend in English, compute, solve 
problems, and have digital literacy skills,''; and
(10) by inserting after paragraph (16) (as so redesignated) 
the following:
``(17) Postsecondary preparation activities.--The term 
`postsecondary preparation activities' means academic 
counseling (which may be provided by a college and career 
navigator) and services designed to support enrollment and 
success in postsecondary education that include assisting 
individuals to--
``(A) identify postsecondary educational options 
that prepare individuals for unsubsidized employment;
``(B) navigate the transition from adult education 
to postsecondary education;
``(C) navigate the transition from adult education 
to workforce development programs and services;
``(D) coenroll in adult education and workforce 
development programs, if applicable;
``(E) improve academic skills so that individuals 
are prepared to participate in postsecondary education 
without need for remediation; or
``(F) learn notetaking, study skills, and other 
skills that promote student success in postsecondary 
education.''.

SEC. 223. AUTHORIZATION OF APPROPRIATIONS.

Section 206 of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3275) is amended to read as follows:

``SEC. 206. AUTHORIZATION OF APPROPRIATIONS.

``There are authorized to be appropriated to carry out this title 
$729,167,000 for each of the fiscal years 2027 through 2032.''.

SEC. 224. SPECIAL RULE.

Section 211 of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3291) is amended--
(1) in subsection (d)(3), by striking ``secondary'' and 
inserting ``regular high''; and
(2) in subsection (e)(3), by striking ``period described in 
section 3(45)'' and inserting ``period described in 
subparagraph (B) of the definition of `outlying area' in 
section 3''.

SEC. 225. PERFORMANCE ACCOUNTABILITY SYSTEM.

Section 212 of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3292) is amended to read as follows:

``SEC. 212. PERFORMANCE ACCOUNTABILITY SYSTEM.

``(a) In General.--Programs and activities authorized in this title 
are subject to the performance accountability provisions described in 
section 116, except that the indicator described in subsection 
(b)(2)(A)(i)(VI) of such section shall be applied as if it were the 
percentage of program participants who exited the program during the 
program year and completed an integrated education and training 
program.
``(b) Data Collection.--Notwithstanding section 134(a) of the 
Higher Education Act of 1965 (20 U.S.C. 1015c(a)), the Secretary is 
authorized to collect deidentified participant-level data for 
participants in programs and activities funded under this title on the 
information required for State performance reports as described in 
section 116(d) for the sole purpose of administering the performance 
accountability system under section 116.''.

SEC. 226. MATCHING REQUIREMENT.

Section 222(b) of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3302(b)) is amended by adding at the end the following:
``(3) Public availability of information on matching 
funds.--Each eligible agency shall maintain, on a publicly 
accessible website of such agency and in an easily accessible 
format, information documenting the non-Federal contributions 
made available to programs that offer adult education and 
literacy activities or family literacy activities pursuant to 
this subsection, including--
``(A) the sources of such contributions, except 
that in the case of private contributions, names of the 
individuals or entities providing such contributions 
may not be disclosed; and
``(B) in the case of funds made available by a 
State or outlying area, an explanation of how such 
funds are distributed to eligible providers.''.

SEC. 227. STATE LEADERSHIP ACTIVITIES.

Section 223(a) of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3303(a)) is amended--
(1) in paragraph (1)--
(A) in subparagraph (A), by striking 
``activities.'' and inserting ``activities and the 
identification of opportunities to coordinate with 
activities supported under the Carl D. Perkins Career 
and Technical Education Act of 2006 (20 U.S.C. 2301 et 
seq.) to expand integrated education and training 
programs.'';
(B) in subparagraph (C)--
(i) in clause (i), by striking ``based on 
the most rigorous or scientifically valid 
research available and appropriate, in reading, 
writing, speaking, mathematics,'' and inserting 
``based on evidence-based practices, in 
reading, writing, speaking, English 
comprehension, mathematics,'';
(ii) in clause (ii), by striking ``and'' at 
the end;
(iii) in clause (iii), by striking the 
period at the end and inserting ``; and''; and
(iv) by adding at the end the following:
``(iv) assistance in reporting participant 
outcomes for the performance accountability 
system described in section 212, including 
facilitating partnerships with the appropriate 
State entities to conduct matches with State 
administrative data (such as wage records) to 
determine program performance on the indicators 
of performance described in subclauses (I) 
through (III) of section 116(b)(2)(A)(i) and 
which may include assistance in integrating 
with statewide longitudinal data systems, and 
making data available in structured, open, 
linked, and interoperable formats, as 
appropriate.'';
(C) by redesignating subparagraph (D) as 
subparagraph (E); and
(D) by inserting after subparagraph (C) the 
following:
``(D) The development, identification, acquisition, 
and dissemination (which may be done in coordination 
with other States) of evidence-based instructional 
materials (to the extent available) that lead to 
literacy, English language acquisition, a recognized 
postsecondary credential, or any combination of such 
results; and--
``(i) are designed to meet the needs of 
adult learners, including English learners, and 
may be developed for integrated education and 
training in an in-demand industry sector or 
occupation within the State; and
``(ii) will improve the instruction 
provided pursuant to the local activities 
required under section 231(b).''; and
(2) in paragraph (2)--
(A) by redesignating subparagraphs (E), (F), (G), 
(H), (I), (J), (K), (L), and (M), as subparagraphs (F), 
(G), (H), (I), (J), (K), (L), (M), and (R), 
respectively;
(B) by inserting after subparagraph (D) the 
following:
``(E) Developing content and models for programs 
that support family literacy activities.'';
(C) in subparagraph (G) (as so redesignated), by 
inserting before the period the following: ``, 
including such institutions that offer an eligible 
program for purposes of the Workforce Pell Grant 
program under section 401(k) of the Higher Education 
Act of 1965 (20 U.S.C. 1070a(k)), as added by section 
83002(a) of Public Law 119-21'';
(D) in subparagraph (J)(i) (as so redesignated)--
(i) by striking ``mathematics, and 
English'' and inserting ``mathematics, 
English''; and
(ii) by striking ``acquisition;'' and 
inserting ``acquisition, and digital literacy 
skills;'';
(E) by striking subparagraph (K) (as so 
redesignated) and inserting the following:
``(K) Developing and piloting of strategies for 
improving adult educator recruitment, quality, and 
retention, such as--
``(i) the provision of professional 
development;
``(ii) the development and maintenance of 
policies for awarding recognized postsecondary 
credentials to adult educators who demonstrate 
effectiveness at improving the achievement of 
adult students; and
``(iii) the development and piloting of 
work-based learning programs (including 
apprenticeship programs) for adult 
educators.'';
(F) in subparagraph (L) (as so redesignated), by 
striking ``English language learners'' and inserting 
``English learners'';
(G) in subparagraph (M) (as so redesignated), by 
inserting ``, which may include through partnerships 
with local educational agencies or public agencies to 
recruit eligible individuals'' after ``employers''; and
(H) by inserting after subparagraph (M) (as so 
redesignated) the following:
``(N) Performance incentive payments to eligible 
providers, including incentive payments linked to 
increased use of integrated education and training or 
other forms of instruction linking adult education with 
the development of occupational skills for an in-demand 
industry sector or occupation in the State.
``(O) Strengthening the quality and effectiveness 
of adult education and programs that support family 
literacy activities in the State through support for 
program quality standards and accreditation 
requirements.
``(P) Raising public awareness (including through 
public service announcements, such as social media 
campaigns) about career and technical education 
programs and community-based organizations, and other 
endeavors focused on programs that prepare individuals 
for in-demand industry sectors or occupations.
``(Q) Postsecondary preparation activities.''.

SEC. 228. PROGRAMS FOR CORRECTIONS EDUCATION AND OTHER 
INSTITUTIONALIZED INDIVIDUALS.

Section 225 of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3305) is amended--
(1) in subsection (a)--
(A) by striking ``From funds'' and inserting the 
following:
``(1) In general.--From funds''; and
(B) by adding at the end the following:
``(2) Priority.--An eligible agency granting awards from 
funds authorized under paragraph (1) shall give priority to an 
eligible entity that proposes to operate an educational program 
in a correctional institution that is also served by a program 
authorized under section 172.'';
(2) in subsection (b)(3), by striking ``secondary school 
credit'' and inserting ``attainment of a regular high school 
diploma or its recognized equivalent'';
(3) by redesignating subsections (d) and (e) as subsections 
(e) and (f), respectively;
(4) by inserting after subsection (c) the following:
``(d) Coordination.--Each eligible agency that is using assistance 
provided under this section to carry out a program for criminal 
offenders within a correctional institution shall--
``(1) coordinate such educational programs with career and 
technical education activities provided to individuals in State 
institutions from funds reserved under section 112(a)(2)(A) of 
the Carl D. Perkins Career and Technical Education Act of 2006 
(20 U.S.C. 2322(a)(2)(A));
``(2) identify opportunities to develop integrated 
education and training opportunities for such individuals;
``(3) coordinate with institutions of higher education 
operating a prison education program in the State; and
``(4) if the correctional institution is also served by a 
program authorized under section 172, provide a description of 
how the award funds under this section will be used to carry 
out the activities described in section 172, in conjunction 
with the activities described in subsection (b).''; and
(5) in subsection (f) (as so redesignated), by adding at 
the end the following:
``(3) Prison education program.--The term `prison education 
program' has the meaning given the term in section 484 of the 
Higher Education Act of 1965 (20 U.S.C. 1091).''.

SEC. 229. GRANTS AND CONTRACTS FOR ELIGIBLE PROVIDERS.

Section 231 of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3321) is amended--
(1) in subsection (a)--
(A) by striking ``From grant funds'' and inserting 
the following:
``(1) In general.--From grant funds''; and
(B) by adding at the end the following:
``(2) Prompt availability of funds.--Each eligible agency 
shall ensure that funds are available for reimbursement to an 
eligible provider that is awarded a multiyear grant or contract 
under paragraph (1) not later than 45 days after the date on 
which the multiyear grant or contract is awarded.'';
(2) in subsection (d), by striking ``section 203(4)'' and 
inserting ``section 203(6)'';
(3) in subsection (e)--
(A) in paragraph (1)(B)(ii), by striking ``English 
language learners'' and inserting ``English learners'';
(B) in paragraph (5)--
(i) in subparagraph (A), by striking 
``and'' at the end;
(ii) in subparagraph (B), by adding ``and'' 
at the end; and
(iii) by adding at the end the following:
``(C) uses instructional materials that are 
designed to meet the needs of adult learners and 
English learners and are evidence-based (to the extent 
practicable), which may include, but shall not be 
required to include, the instructional materials 
disseminated by the State under section 
223(a)(1)(D);'';
(C) in paragraph (6), by striking ``speaking, 
mathematics, and English'' and inserting ``speaking and 
listening, mathematics, comprehension, and English''; 
and
(A) in paragraph (10), by inserting ``local 
educational agencies,'' after ``strong links with''; 
and
(4) by adding at the end the following:
``(f) Cost Analysis.--In determining the amount of funds to be 
awarded in grants or contracts under this section, the eligible agency 
may consider the costs of providing learning in context, including 
integrated education and training and workplace adult education and 
literacy activities, and the extent to which the eligible provider 
intends to serve individuals using such activities, in order to align 
the amount of funds awarded with such costs.''.

SEC. 230. LOCAL APPLICATION.

Section 232 of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3322) is amended--
(1) in paragraph (4), by inserting ``and coordinate with 
the appropriate State entity'' after ``data'';
(2) in paragraph (6), by striking ``; and'' and inserting 
``, such as how the eligible provider may provide adult 
education and literacy activities in a manner that is 
integrated with postsecondary preparation activities to enable 
students to prepare for opportunities to attain a recognized 
postsecondary credential, including opportunities to earn 
recognized postsecondary credentials that are stackable along a 
career pathway within an in-demand industry sector or 
occupation'';
(3) by redesignating paragraph (7) as paragraph (8); and
(4) by inserting after paragraph (6) the following:
``(7) a description of how the eligible provider will 
provide learning in context, including through partnerships 
with employers to offer workplace adult education and literacy 
activities and integrated education and training; and''.

SEC. 231. LOCAL ADMINISTRATIVE COST LIMITS.

Section 233(a) of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3323(a)) is amended--
(1) in paragraph (1), by striking ``95'' and inserting 
``85''; and
(2) by striking paragraph (2) and inserting the following:
``(2) the remaining amount--
``(A) not to exceed 10 percent, may be used for 
professional development for adult educators (which may 
include apprenticeship programs for adult educators); 
and
``(B) not to exceed 5 percent, shall be used for 
planning, administration (including carrying out the 
requirements of section 116), professional development 
of administrative staff, and the activities described 
in paragraphs (3) and (5) of section 232.''.

SEC. 232. NATIONAL LEADERSHIP ACTIVITIES.

Section 242 of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3332) is amended--
(1) in subsection (b)--
(A) in paragraph (1), by striking ``116;'' and 
inserting ``116, including the dissemination of 
effective practices used by States to use statewide 
longitudinal data systems or other sources of 
administrative data to determine program performance 
and reduce the data collection and reporting burden on 
eligible providers;''; and
(B) in paragraph (3), by striking ``, including the 
Institute of Education Sciences''; and
(2) in subsection (c)--
(A) in paragraph (1)--
(i) in subparagraph (B), by striking 
``English language learners'' and inserting 
``English learners''; and
(ii) in subparagraph (C), by inserting 
``skills'' after ``digital literacy''; and
(B) in paragraph (2)--
(i) in subparagraph (C)--
(I) in clause (i), by striking 
``rigorous research'' and inserting 
``evidence-based practices''; and
(II) in clause (vii)--
(aa) in subclause (I), by 
striking ``adults with'' and 
all that follows through the 
semicolon and inserting 
``adults with disabilities, 
including adults with learning 
disabilities, and with adults 
who are English learners;'';
(bb) in subclause (III), by 
striking ``and'' after the 
semicolon;
(cc) in subclause (IV), by 
inserting ``and'' after the 
semicolon; and
(dd) by adding at the end 
the following:
``(V) programs that offer family 
literacy activities;'';
(ii) in subparagraph (F), by striking 
``and'' after the semicolon;
(iii) by redesignating subparagraph (G) as 
subparagraph (J); and
(iv) by inserting after subparagraph (F) 
the following:
``(G) developing and rigorously evaluating programs 
for the preparation of effective adult educators and 
disseminating the results of such evaluations;
``(H) carrying out initiatives to support the 
effectiveness and impact of adult education, that 
States may adopt on a voluntary basis, through--
``(i) the development and dissemination of 
staffing models, which may include full-time 
staffing models, that prioritize demonstrated 
effectiveness and continuous improvement in 
supporting the learning of adult students; and
``(ii) the evaluation and improvement of 
program quality standards and accreditation 
requirements;
``(I) providing technical assistance to eligible 
agencies regarding effective professional development 
for programs that offer adult education and literacy 
activities or family literacy activities; and''.

SEC. 233. INTEGRATED ENGLISH LITERACY AND CIVICS EDUCATION.

(a) In General.--Section 243(a) of the Workforce Innovation and 
Opportunity Act (29 U.S.C. 3333(a)) is amended--
(1) by striking ``From funds'' and inserting the following:
``(1) Each fiscal year.--Subject to paragraph (2), from 
funds''; and
(2) by adding at the end the following:
``(2) Certain fiscal years.--With respect to fiscal year 
2027 or a succeeding fiscal year, if amounts made available 
under section 211(a)(2) for such a fiscal year exceed, by at 
least 1 percent, grant amounts awarded to States under this 
section for fiscal year 2026, the Secretary shall, from amounts 
made available under section 211(a)(2) for such fiscal year 
after fiscal year 2026--
``(A) reserve 1 percent of the amounts to award 
grants to outlying areas, in the manner determined 
appropriate by the Secretary of Labor for such outlying 
areas to carry out the activities described in 
paragraph (1); and
``(B) use the amounts remaining after such 
reservation to award grants to States under this 
section.''.
(b) Allotment.--Section 243(b)(1) of the Workforce Innovation and 
Opportunity Act (29 U.S.C. 3333(b)(1) is amended by amending the matter 
preceding subparagraph (A) as follows: ``Subject to paragraph (2), from 
amounts made available under section 211(a)(2) for a fiscal year, and 
after reserving amounts in accordance with subsection (a)(2), if 
appropriate for such fiscal year, the Secretary shall allocate--''
(c) English Learners.--Section 243(c)(1) of the Workforce 
Innovation and Opportunity Act (29 U.S.C. 3333(c)(1)) is amended by 
striking ``English language learners'' and inserting ``English 
learners''.

TITLE III--AMENDMENTS TO OTHER LAWS

SEC. 301. AMENDMENTS TO THE WAGNER-PEYSER ACT.

(a) Definitions.--Section 2(5) of the Wagner-Peyser Act (29 U.S.C. 
49a(5)) is amended by inserting ``the Commonwealth of the Northern 
Mariana Islands, American Samoa,'' after ``Guam,''.
(b) Unemployment Compensation Law Requirement.--Section 5(b)(1) of 
the Wagner-Peyser Act (29 U.S.C. 49d(b)(1)) is amended by inserting 
``the Commonwealth of the Northern Mariana Islands, or American 
Samoa,'' after ``Guam,''.
(c) Allotments.--Section 6 of the Wagner-Peyser Act (29 U.S.C. 49e) 
is amended--
(1) in subsection (a)--
(A) by striking ``except for Guam'' and inserting 
``except for Guam, the Commonwealth of the Northern 
Mariana Islands, and American Samoa'';
(B) by striking ``first allot to Guam and the 
Virgin Islands'' and inserting the following: ``first 
allot--
``(1) to Guam and the Virgin Islands'';
(C) by striking the period at the end and inserting 
``; and''; and
(D) by adding at the end the following:
``(2) beginning with the first fiscal year for which the 
total amount available for allotments under this section is 
greater than the total amount available for allotments under 
this section for fiscal year 2024, and for each succeeding 
fiscal year, to each of the Commonwealth of the Northern 
Mariana Islands and American Samoa, an amount which is equal to 
one-half of the amount allotted to Guam under paragraph (1) for 
the corresponding fiscal year.''; and
(2) in subsection (b)(1), in the matter following 
subparagraph (B), by inserting ``, the Commonwealth of the 
Northern Mariana Islands, American Samoa,'' after ``Guam''.
(d) Use of Funds.--Section 7 of the Wagner-Peyser Act (29 U.S.C. 
49f) is amended--
(1) in subsection (a)--
(A) in paragraph (1), by striking ``and referral to 
employers'' and inserting ``referral to employers, and 
the services described in section 134(c)(2)(A)(ii) of 
the Workforce Innovation and Opportunity Act (29 U.S.C. 
3174(c)(2)(A)(ii)) when provided by the employment 
service office colocated with the one-stop delivery 
system'';
(B) in paragraph (3)--
(i) in subparagraph (F), by striking the 
``and'' at the end;
(ii) by moving subparagraph (G) for ems to 
the right;
(iii) in subparagraph (G), by striking the 
period at the end and inserting ``; and''; and
(iv) by adding at the end the following:
``(H) establishing a talent marketplace (as defined 
in section 3 of the Workforce Innovation and 
Opportunity Act (29 U.S.C. 3102)).''; and
(2) in subsection (e), by inserting before the period at 
the end the following: ``and in accordance with the 
requirements of section 134(c)(2)(A)(i)(I) of the Workforce 
Innovation and Opportunity Act (29 U.S.C. 
3174(c)(2)(A)(i)(I))''.
(e) Workforce and Labor Market Information System.--Section 15 of 
the Wagner-Peyser Act (29 U.S.C. 49l-2) is amended--
(1) in subsection (a)(1)--
(A) in subparagraph (A)--
(i) in the matter preceding clause (i), by 
striking ``timely manner'' and inserting 
``manner that is as close to real-time as 
practicable'';
(ii) in clause (i), by striking ``part-
time, and seasonal workers'' and inserting 
``part-time, contingent, and seasonal workers, 
and workers engaged in alternative employment 
arrangements'';
(iii) by redesignating clauses (iii) and 
(iv) as clauses (iv) and (v), respectively; and
(iv) by inserting after clause (ii), the 
following:
``(iii) real-time trends in new and 
emerging occupational roles, and in new and 
emerging skills by occupation and industry, 
with particular attention paid to State and 
local conditions;'';
(B) in subparagraph (B)(i), by inserting 
``(including, to the extent practicable, real-time)'' 
after ``current''; and
(C) in subparagraph (G), by striking ``user-
friendly manner and'' and inserting ``manner that makes 
the data, information, and analysis available on-demand 
and is user-friendly,'';
(2) in subsection (b)(2)(F)--
(A) in clause (i), by striking ``; and'' and 
inserting ``(including, to the extent practicable, 
provided in real-time);'';
(B) by redesignating clause (ii) as clause (iii); 
and
(C) by inserting after clause (i), as so amended, 
the following:
``(ii) the capabilities of digital 
technology and modern data collection 
approaches are effectively utilized; and'';
(3) in subsection (e)(2)(H), by striking ``section 
116(i)(2) of the Workforce Innovation and Opportunity Act'' and 
inserting ``section 116(j)(2) of the Workforce Innovation and 
Opportunity Act''; and
(4) by amending subsection (g) to read as follows:
``(g) Authorization of Appropriations.--There is authorized to be 
appropriated to carry out this section $52,892,000 for each of the 
fiscal years 2027 through 2032.''.

SEC. 302. JOB TRAINING GRANTS.

Section 414(c) of the American Competitiveness and Workforce 
Improvement Act of 1998 (29 U.S.C. 3224a) is amended to read as 
follows:
``(c) Job Training Grants.--
``(1) Allotment.--
``(A) In general.--Of the funds available under 
section 286(s)(2) of the Immigration and Nationality 
Act (8 U.S.C. 1356(s)(2)), the Secretary of Labor 
shall, for each fiscal year--
``(i) return permanently 12 percent of such 
amounts in each fiscal year to the general fund 
of the Treasury;
``(ii) use $65,000,000 of such funds to 
carry out the program established under section 
173 of the Workforce Innovation and Opportunity 
Act; and
``(iii) using the funds remaining after 
carrying out clauses (i) and (ii), make 
allotments to each State that receives an 
allotment under section 132(b) of the Workforce 
Innovation and Opportunity Act (29 U.S.C. 
3172(b)) for the purpose of providing training 
services through individual training accounts 
for eligible dislocated workers as described in 
paragraph (2)(A).
``(B) Reservation; allotment among states.--
``(i) Reservation.--From the amount made 
available under subparagraph (A)(iii) for a 
fiscal year, the Secretary shall reserve not 
more than \1/4\ of 1 percent of such amount to 
provide assistance to the outlying areas for 
the purpose described in paragraph (2)(A).
``(ii) Allotment among states.--Subject to 
clause (iii) of this subparagraph, the 
Secretary shall use the remainder of the amount 
made available under subparagraph (A)(iii) (in 
this subparagraph referred to as the `remainder 
amount') for a fiscal year to make allotments 
to States described in subparagraph (A)(iii) on 
the following basis:
``(I) 33 and \1/3\ percent shall be 
allotted on the basis of the relative 
number of unemployed individuals in 
each such State, compared to the total 
number of unemployed individuals in all 
such States.
``(II) 33 and \1/3\ percent shall 
be allotted on the basis of the 
relative number of disadvantaged adults 
in each such State, compared to the 
total number of disadvantaged adults in 
all such States.
``(III) 33 and \1/3\ percent shall 
be allotted on the basis of the 
relative number of individuals in the 
civilian labor force in each such 
State, compared to the total number in 
the civilian labor force in all such 
States.
``(iii) Small state minimum.--The Secretary 
shall ensure that no State shall receive an 
allotment under this subparagraph for a fiscal 
year that is less than--
``(I) in the case of a fiscal year 
for which the remainder amount is not 
more than $180,000,000, \3/10\ of 1 
percent of such remainder amount; and
``(II) in the case of a fiscal year 
for which the remainder amount exceeds 
$180,000,000, the total of--
``(aa) \3/10\ of 1 percent 
of $180,000,000; and
``(bb) \2/5\ of 1 percent 
of such excess amount.
``(iv) Disadvantaged adult defined.--For 
purposes of this subparagraph and subparagraph 
(C), the term `disadvantaged adult' has the 
meaning given such term in section 
132(b)(1)(B)(v)(IV) of the Workforce Innovation 
and Opportunity Act (29 U.S.C. 
3172(b)(1)(B)(v)(IV)).
``(v) Reallotment.--
``(I) In general.--The Secretary of 
Labor shall, in accordance with this 
clause, reallot to eligible States 
amounts that are made available to 
States from allotments made under this 
subparagraph (referred to individually 
in this subsection as a `State 
allotment') and that are available for 
reallotment.
``(II) Amount.--The amount 
available for reallotment for a program 
year is equal to the amount by which 
the unobligated balance of the State 
allotment, at the end of the program 
year prior to the program year for 
which the determination under this 
subclause is made, exceeds 20 percent 
of such allotment for the prior program 
year.
``(III) Reallotment.--In making 
reallotments to eligible States of 
amounts available pursuant to subclause 
(II) for a program year, the Secretary 
shall allot to each eligible State an 
amount based on the relative amount of 
the State allotment for the program 
year for which the determination is 
made, as compared to the total amount 
of the State allotments for all 
eligible States for such program year.
``(IV) Eligibility.--For purposes 
of this subsection, an `eligible State' 
means a State that does not have an 
amount available for reallotment under 
subclause (II) for the program year for 
which the determination under subclause 
(II) is made.
``(C) Within state allocations.--
``(i) In general.--The Governor shall 
allocate the funds allotted to the State under 
subparagraph (B) for a fiscal year to the local 
areas in the State on the following basis:
``(I) 33 and \1/3\ percent of the 
funds on the basis described in 
subparagraph (B)(ii)(I).
``(II) 33 and \1/3\ percent of the 
funds on the basis described in 
subparagraph (B)(ii)(II).
``(III) 33 and \1/3\ percent of the 
funds on the basis described in 
subparagraph (B)(ii)(III).
``(ii) Application.--For purposes of 
carrying out clause (i)--
``(I) references in subparagraph 
(B)(ii) to a State shall be deemed to 
be references to a local area; and
``(II) references in subparagraph 
(B)(ii) to all States shall be deemed 
to be references to all local areas in 
the State involved.
``(iii) Reallocation among local areas.--
``(I) In general.--The Governor 
may, in accordance with this clause and 
after consultation with the State 
board, reallocate to eligible local 
areas within the State amounts that are 
made available to local areas from 
allocations made under this 
subparagraph (referred to individually 
in this subsection as a `local 
allocation') and that are available for 
reallocation.
``(II) Amount.--The amount 
available for reallocation for a 
program year is equal to the amount by 
which the unobligated balance of the 
local allocation, at the end of the 
program year prior to the program year 
for which the determination under this 
subclause is made, exceeds 20 percent 
of such allocation for the prior 
program year.
``(III) Reallocation.--In making 
reallocations to eligible local areas 
of amounts available pursuant to 
subclause (II) for a program year, the 
Governor shall allocate to each 
eligible local area within the State an 
amount based on the relative amount of 
the local allocation for the program 
year for which the determination is 
made, as compared to the total amount 
of the local allocations for all 
eligible local areas in the State for 
such program year.
``(IV) Eligibility.--For purposes 
of this subsection, an eligible local 
area means a local area that does not 
have an amount available for 
reallotment under subclause (II) for 
the program year for which the 
determination under subclause (II) is 
made.
``(2) Use of funds.--
``(A) In general.--Funds allocated pursuant to 
paragraph (1) to a local area shall be used to pay, 
through the use of an individual training account in 
accordance with section 134(c)(3)(F)(iii) of the 
Workforce Innovation and Opportunity Act (29 U.S.C. 
3174(c)(3)(F)(iii)), an eligible provider of training 
services from the list of eligible providers of 
training services described in section 122(d) of such 
Act (29 U.S.C. 3152(d)) for training services provided 
to eligible dislocated workers in the local area.
``(B) Requirements for local areas.--As a condition 
of receipt of funds under paragraph (1), a local area 
shall agree to each of the following:
``(i) Required notice to workers.--Prior to 
an eligible dislocated worker selecting a 
program of training services from the list of 
eligible providers of training services under 
section 122(d) of the Workforce Innovation and 
Opportunity Act (29 U.S.C. 3152(d)), the local 
area shall inform such dislocated worker of any 
opportunities the dislocated worker may have to 
participate in on-the-job training or employer-
directed skills development funded through such 
local area.
``(ii) Amounts available.--Except as 
provided in clause (iv)(II), a local area--
``(I) may not limit the maximum 
amount available for an individual 
training account for an eligible 
dislocated worker under subparagraph 
(A) to an amount that is less than 
$5,000; and
``(II) may not pay an amount, 
through the use of an individual 
training account under subparagraph 
(A), for training services provided to 
an eligible dislocated worker that 
exceeds the costs of such services.
``(iii) WIOA funds.--A local area may not 
use funds made available to the local area for 
a fiscal year pursuant to section 134(c)(1)(B) 
of the Workforce Innovation and Opportunity Act 
(29 U.S.C. 3174(c)(1)(B)) to make payments 
under subparagraph (A) until the funds 
allocated to the local area pursuant to 
paragraph (1) of this subsection for such 
fiscal year have been exhausted.
``(iv) Exhaustion of allocations.--Upon the 
exhaustion of the funds allocated to the local 
area pursuant to paragraph (1) of this 
subsection, for the purpose of paying, through 
the use of individual training accounts under 
subparagraph (A), the costs of training 
services for eligible dislocated workers in the 
local area seeking such services, the local 
area--
``(I) shall use any funds made 
available to the local area pursuant to 
section 134(c)(1)(B) of the Workforce 
Innovation and Opportunity Act (29 
U.S.C. 3174(c)(1)(B)) to pay for such 
costs under subparagraph (A) (other 
than any costs that exceed the limit 
set by the local area pursuant to 
clause (ii) or subclause (II)); and
``(II) for any eligible dislocated 
worker who is not a low-income 
individual, may limit the maximum 
amount available for the individual 
training account under subparagraph (A) 
for such worker to an amount that is 
less than $5,000.
``(3) Eligible dislocated worker.--A dislocated worker 
shall be an eligible dislocated worker for purposes of this 
subsection if the dislocated worker--
``(A) meets the requirements under section 
134(c)(3)(A)(i) of the Workforce Innovation and 
Opportunity Act (29 U.S.C. 3174(c)(3)(A)(i)) to be 
eligible for training services; and
``(B) has not received training services through an 
individual training account under this subsection or 
under section 134(c)(3)(F)(iii) of the Workforce 
Innovation and Opportunity Act (29 U.S.C. 
3174(c)(3)(F)(iii)) during the preceding 5-year period 
or, if such a worker has received such training 
services during such period, the worker has been 
granted an exception by the local area due to an 
exceptional circumstance, as determined by the local 
area.
``(4) Excess demand.--Upon the exhaustion of the funds 
allocated to a local area pursuant to paragraph (1) of this 
subsection and any funds that may be available to such local 
area pursuant to section 134(c)(1)(B) of the Workforce 
Innovation and Opportunity Act (29 U.S.C. 3174(c)(1)(B)) for 
the purpose described in paragraph (2)(A) of this subsection, 
the local area--
``(A) may request additional funds for such purpose 
from the Governor under section 134(a)(2)(A)(i)(III) of 
the Workforce Innovation and Opportunity Act (29 U.S.C. 
3174(a)(2)(A)(i)(III)); and
``(B) shall not be required to pay for training 
services or establish an individual training account 
for an eligible dislocated worker.
``(5) Definitions.--Except as otherwise specified, a term 
used in this subsection shall have the meaning given such term 
in section 3 of the Workforce Innovation and Opportunity Act 
(29 U.S.C. 3102).
``(6) Rule of construction.--Nothing in this subsection 
shall be construed to provide an individual with an entitlement 
to a service under this subsection or under title I of the 
Workforce Innovation and Opportunity Act (29 U.S.C. 3111 et 
seq.) or to mandate a State or local area to provide a service 
if Federal funds are not available for such service.''.

SEC. 303. ACCESS TO NATIONAL DIRECTORY OF NEW HIRES.

Section 453(j)(8) of the Social Security Act (42 U.S.C. 653(j)(8)) 
is amended--
(1) in subparagraph (A)--
(A) by inserting ``or conducting the reporting and 
evaluation activities required under section 116 of the 
Workforce Innovation and Opportunity Act (29 U.S.C. 
3141)'' after ``State law''; and
(B) by striking ``such program'' and inserting 
``such programs''; and
(2) in subparagraph (C)(i), by striking ``purposes of 
administering a program referred to'' and inserting ``the 
purposes specified''.

SEC. 304. REFERENCES TO OTHER LAWS.

(a) References to Provisions of the Workforce Innovation and 
Opportunity Act.--
(1) Section 8041(g)(2)(C) of the SUPPORT for Patients and 
Communities Act (29 U.S.C. 3225a(g)(2)(C)) is amended by 
striking ``section 172(f) of such Act (29 U.S.C. 3227(f))'' and 
inserting ``section 175(h) of such Act (29 U.S.C. 3227(h))''.
(2) Section 60302(23) of the Digital Equity Act of 2021 (47 
U.S.C. 1721(23)) is amended by striking ``section 3(66) of the 
Workforce Innovation and Opportunity Act (29 U.S.C. 3102(66))'' 
and inserting ``section 3 of the Workforce Innovation and 
Opportunity Act (29 U.S.C. 3102)''.
(b) Related Provisions.--
(1) Section 286(s)(2) of the Immigration and Nationality 
Act (8 U.S.C. 1356(s)(2)) is amended by striking 
``demonstration programs and projects'' and inserting ``the 
programs, activities, and uses''.
(2) Section 1154 of title 10, United States Code, is 
amended--
(A) in paragraphs (2)(C) and (3)(D) of subsection 
(a), by striking ``Job Corps center as defined'' and 
inserting ``Job Corps campus as described'';
(B) in subsection (d)(4)(A)(ii), by striking ``Job 
Corps centers'' and inserting ``Job Corps campuses''; 
and
(C) in subsection (e)(2)(E), by striking ``Job 
Corps center'' and inserting ``Job Corps campus''.

TITLE IV--DEPARTMENT OF LABOR TECHNICAL ASSISTANCE

SEC. 401. TECHNICAL ASSISTANCE FOR TRANSFORMING TO COMPETITIVE 
INTEGRATED EMPLOYMENT.

(a) In General.--From the amounts appropriated under subsection 
(c), the Secretary (acting through the Office of Disability Employment 
Policy in partnership with the Employment and Training Administration), 
in partnership with the Administration for Community Living of the 
Department of Health and Human Services and the Office of Special 
Education and Rehabilitative Services of the Department of Education, 
shall establish a Center for Technical Assistance for Transforming to 
Competitive Integrated Employment to--
(1) provide technical assistance to employers who are 
transitioning from employing individuals with disabilities 
using special certificates on such transition, which shall 
include technical assistance on providing services that result 
in competitive integrated employment;
(2) provide technical assistance to State agencies seeking 
to support such employers described in paragraph (1) on such 
transition described in paragraph (1) on coordination and 
alignment of services and funding in support of such 
transition, including technical assistance on how such services 
and funding can result in competitive integrated employment;
(3) in providing the technical assistance describing in 
paragraphs (1) and (2), coordinate such technical assistance 
with education materials and opportunities made available 
through existing technical assistance provided by--
(A) the Office of Disability Employment Policy;
(B) the Employment and Training Administration;
(C) the Administration for Community Living of the 
Department of Health and Human Services; and
(D) the Office of Special Education and 
Rehabilitative Services of the Department of Education; 
and
(4) in providing the technical assistance described in 
paragraphs (1) and (2), make use of technical assistance that 
is in existence on the date of enactment of this Act, including 
the CIE Transformation Hub, the Advancing State Policy 
Integration for Recovery and Employment Initiative, and the 
National Expansion of Employment Opportunities Network.
(b) Definitions.--In this section:
(1) Competitive integrated employment.--The term 
``competitive integrated employment'' has the meaning given the 
term in section 7(5) of the Rehabilitation Act of 1973 (29 
U.S.C. 705(5)).
(2) Disability.--The term ``disability'' includes any 
intellectual, developmental, mental health, or other 
disability.
(3) Individuals with disabilities.--The term ``individuals 
with disabilities'' means individuals described in section 
14(c)(1) of the Fair Labor Standards Act of 1938 (29 U.S.C. 
214(c)(1)).
(4) Secretary.--The term ``Secretary'' means the Secretary 
of Labor.
(5) Special certificate.--The term ``special certificate'' 
means a special certificate issued under section 14(c) of the 
Fair Labor Standards Act of 1938 (29 U.S.C. 214(c)).
(6) State.--The term ``State'' means each of the 50 States, 
the District of Columbia, the Commonwealth of Puerto Rico, and 
the territory of Guam.

TITLE V--GENERAL PROVISIONS

SEC. 501. REPORT ON DATA CAPABILITY AND INTEROPERABILITY OF FEDERAL AND 
STATE DATABASES AND DATA EXCHANGE AGREEMENTS.

The Workforce Innovation and Opportunity Act (29 U.S.C. 3101 et 
seq.) is amended by striking section 505 and inserting the following:

``SEC. 505. REPORT ON DATA CAPABILITY AND INTEROPERABILITY OF FEDERAL 
AND STATE DATABASES AND DATA EXCHANGE AGREEMENTS.

``(a) In General.--The Comptroller General of the United States 
shall prepare and submit an interim report and a final report to 
Congress regarding existing Federal and State databases and data 
exchange agreements, as of the date of the report, and the 
interoperability of data in such databases and agreements, that contain 
job training information relevant to the administration of programs 
authorized under this Act (as amended by the A Stronger Workforce for 
America Act of 2026) and the amendments made by this Act (as so 
amended).
``(b) Requirements.--The report required under subsection (a) 
shall--
``(1) list existing Federal and State databases and data 
exchange agreements described in subsection (a) and, for each, 
describe--
``(A) the purposes of the database or agreement;
``(B) the data elements, such as wage and 
employment outcomes, contained in the database or 
accessible under the agreement;
``(C) the data elements described in subparagraph 
(B) that are shared between States;
``(D) the Federal and State workforce training 
programs from which each Federal and State database 
derives the data elements described in subparagraph 
(B);
``(E) the number and type of common data elements 
across such databases and data exchange agreements;
``(F) the number and type of Federal and State 
agencies having access to such data;
``(G) the number and type of private research 
organizations having access to, through grants, 
contracts, or other agreements, such data;
``(H) whether the database or data exchange 
agreement provides for opt-out procedures for 
individuals whose data is shared through the database 
or data exchange agreement; and
``(I) the volume of data being shared and applied 
to improve performance accountability and effectiveness 
of programs under this Act;
``(2) study the effects that access by State workforce 
agencies and the Secretary of Labor to the databases and data 
exchange agreements described in subsection (a) would have on 
efforts to carry out this Act and the amendments made by this 
Act, and on individual privacy;
``(3) explore opportunities to enhance--
``(A) the quality, reliability, timeliness, and 
reporting frequency of the data included in such 
databases and data exchange agreements; and
``(B) the commonality and interoperability of data 
elements included in such databases and data exchange 
agreements;
``(4) describe, for each database or data exchange 
agreement considered by the study described in subsection (a), 
the number of individuals whose data is contained in each 
database or accessible through the data agreement, and the 
specific data elements contained in each that could be used to 
personally identify an individual;
``(5) include the number of data breaches having occurred 
since 2014 to data systems administered by Federal and State 
agencies;
``(6) include the number of data breaches regarding any 
type of personal data having occurred since 2014 to private 
research organizations with whom Federal and State agencies 
contract for studies;
``(7) include a survey of the security protocols used for 
protecting personal data, including best practices shared 
amongst States for access to, and administration of, data 
elements stored and recommendations for improving security 
protocols for the safe warehousing of data elements;
``(8) include an evaluation of the State wage interchange 
system developed by the Department of Labor and report on the 
effectiveness of the system in facilitating data exchange 
between State agencies for the purpose of assessing and 
reporting on State and local performance for the programs 
authorized under this Act;
``(9) include an assessment of the feasibility, costs, and 
potential impacts of establishing federally-designated, 
transparent, interoperable, and nonproprietary data exchange 
standards using human readable and machine actionable data 
formats for necessary categories of information that a State 
agency operating a program under this Act may receive through 
each database or data exchange agreement described in 
subsection (a);
``(10) include a survey of--
``(A) customer service and outcome management 
systems utilized by States for programs under each 
title of this Act;
``(B) the level of interoperability (if any) of 
such systems;
``(C) whether any State has successfully connected 
such a system serving a program under a title of this 
Act with such a system serving a program under another 
title of this Act; and
``(D) the benefits achieved through any such 
connection; and
``(11) describe the most significant developments and 
advancements pertaining to Federal and State databases and data 
exchange agreements described in subsection (a) since the final 
report was submitted by the Comptroller General to Congress 
under this section, as in effect on the day before the date of 
enactment of the A Stronger Workforce for America Act of 2026.
``(c) Timing of Reports.--
``(1) Interim report.--Not later than 18 months after the 
date of enactment of the A Stronger Workforce for America Act 
of 2026, the Comptroller General shall prepare and submit to 
Congress an interim report regarding the initial findings of 
the report required under this section.
``(2) Final report.--Not later than 2 years after the date 
of enactment of the A Stronger Workforce for America Act of 
2026, the Comptroller General shall prepare and submit to 
Congress the final report required under this section.''.

SEC. 502. EFFECTIVE DATES; TRANSITION AUTHORITY.

(a) Effective Dates.--
(1) In general.--This Act, and the amendments made by this 
Act, shall take effect on the first day of the first full 
program year after the date of enactment of this Act, except as 
otherwise provided in this Act.
(2) Performance accountability system.--The amendments made 
to section 116 of the Workforce Innovation and Opportunity Act 
(29 U.S.C. 3141) by this Act shall take effect on the first day 
of the second full program year after the date of enactment of 
this Act, except that--
(A) the amendments to clauses (iii) through (v) of 
subsection (b)(3)(A) of that section 116 shall take 
effect on January 1, 2027; and
(B) the amendment to paragraph (1) of subsection 
(d) of that section 116, the amendments to subsections 
(i) and (j) of that section 116 that are made by 
section 119(g) of this Act, and the amendment to 
subsection (k) of that section 116, shall take effect 
on the day that is 1 year after the date of enactment 
of this Act.
(3) One-stop delivery system.--The amendments made to 
section 121 of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3151) by this Act shall take effect on the first day of 
the second full program year after the date of enactment of 
this Act.
(4) Youth workforce investment activities.--The amendments 
made to section 129 of the Workforce Innovation and Opportunity 
Act (29 U.S.C. 3164) by this Act shall take effect on the first 
day of the second full program year after the date of enactment 
of this Act.
(5) Adult and dislocated worker activities.--The amendments 
made to section 134 of the Workforce Innovation and Opportunity 
Act (29 U.S.C. 3174) by this Act shall take effect on the first 
day of the second full program year after the date of enactment 
of this Act.
(6) Job corps management information requirements.--The 
amendments made to section 159 of the Workforce Innovation and 
Opportunity Act (29 U.S.C. 3209) by this Act shall take effect 
on the first day of the second full program year after the date 
of enactment of this Act.
(b) Transition Authority.--
(1) In general.--Pursuant to section 503(a) of the 
Workforce Innovation and Opportunity Act (29 U.S.C. 3343(a)), 
the Secretary of Labor shall, effective on the date of 
enactment of this Act, have the authority to take such steps as 
are necessary to provide for the orderly implementation of the 
amendments to the Workforce Innovation and Opportunity Act (29 
U.S.C. 3101 et seq.) by this Act, including addressing cross 
references to provisions specified in subparagraphs (A) and (B) 
of subsection (a)(2).
(2) Termination.--The authority described in paragraph (1) 
shall terminate on the first day of the second full program 
year after the date of enactment of this Act.
(c) Transition Period for Implementation.--
(1) Eligible providers of training services.--Each Governor 
and local board shall implement the requirements of section 122 
of the Workforce Innovation and Opportunity Act (29 U.S.C. 
3152), as amended by this Act, not later than the first day of 
the second full program year after the date of enactment of 
this Act. In order to facilitate early implementation of that 
section 122, the Governor may establish transition procedures 
under which eligible providers of training services under 
chapter 1 of subtitle B of title I of the Workforce Innovation 
and Opportunity Act (29 U.S.C. 3151 et seq.), as such chapter 
was in effect on the day before the date of enactment of this 
Act, may continue to be eligible to provide such services until 
December 31, 2027, or until such earlier date as the Governor 
determines to be appropriate.
(2) State plans and local plans.--
(A) Modification of plans.--Not later than the 
first day of the second full program year after the 
date of enactment of this Act--
(i) each Governor of a State shall submit 
to the Secretary of Labor any modifications to 
the State plan in effect for such State that 
are necessary for the State plan to comply with 
the amendments made by this Act to section 102 
of the Workforce Innovation and Opportunity Act 
(29 U.S.C. 3112); and
(ii) each local board shall submit to the 
Governor of a State any modifications to the 
local plan in effect for the local area served 
by the local board that are necessary for the 
local plan to comply with the amendments made 
by this Act to section 108 of the Workforce 
Innovation and Opportunity Act (29 U.S.C. 
3123).
(B) New plans.--Not later than the first day of the 
fourth full program year after the date of enactment of 
this Act--
(i) each Governor of a State shall submit 
to the Secretary of Labor a new State plan for 
such State that complies with the requirements 
of section 102 of the Workforce Innovation and 
Opportunity Act (29 U.S.C. 3112), as amended by 
this Act; and
(ii) each local board shall submit to the 
Governor of a State a new local plan for the 
local area served by the local board that 
complies with the requirements of section 108 
of the Workforce Innovation and Opportunity Act 
(29 U.S.C. 3123), as amended by this Act.
(3) Definitions.--In this subsection, the terms ``local 
board'', ``local plan'', ``State'', ``State plan'', and 
``training services'' have the meanings given the terms in 
section 3 of the Workforce Innovation and Opportunity Act (29 
U.S.C. 3102).
(d) Conforming Amendments.--
(1) Repeal.--Subsections (a) through (e) of section 503 of 
the Workforce Innovation and Opportunity Act (29 U.S.C. 3343) 
are repealed.
(2) Regulations.--Section 503 of such Act is amended--
(A) by redesignating subsections (f) and (g) as 
subsections (a) and (b), respectively;
(B) by amending subsection (a), as so redesignated, 
to read as follows:
``(a) Regulations.--
``(1) Proposed regulations.--Not later than 180 days after 
the date of enactment of the A Stronger Workforce for America 
Act of 2026, the Secretary shall develop and publish in the 
Federal Register proposed regulations relating to the 
transition to, and implementation of, the A Stronger Workforce 
for America Act of 2026, including the amendments to this Act 
made by the A Stronger Workforce for America Act of 2026.
``(2) Final regulations.--Not later than 12 months after 
the date of enactment of the A Stronger Workforce for America 
Act of 2026, the Secretary shall develop and publish in the 
Federal Register final regulations relating to the transition 
to, and implementation of, the A Stronger Workforce for America 
Act of 2026, including the amendments to this Act made by the A 
Stronger Workforce for America Act of 2026.''; and
(C) in subsection (b), as so redesignated, by 
striking ``subsection (f)'' and inserting ``subsection 
(a)''.
(3) Effective date.--The amendments made by this subsection 
shall take effect on the date of enactment of this Act.
<all>

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