PRIOR PRINTER'S NOS. 4176, 4516 PRINTER'S NO. 4568
No. 2778 Session of 2002
INTRODUCED BY TULLI, FLICK, PERZEL, MANN, BOYES, CAPPELLI,
BISHOP, L. I. COHEN, COSTA, J. EVANS, GEORGE, HENNESSEY,
LAUGHLIN, LEDERER, MELIO, PRESTON, RUBLEY, J. TAYLOR, TRELLO,
YOUNGBLOOD, E. Z. TAYLOR, HORSEY AND ALLEN, JUNE 28, 2002
AS AMENDED ON THIRD CONSIDERATION, HOUSE OF REPRESENTATIVES,
NOVEMBER 12, 2002
AN ACT
1 Amending the act of December 18, 2001 (P.L.949, No.114),
2 entitled "An act establishing a unified workforce investment
3 system; restructuring certain administrative functions,
4 procedures and entities; transferring workforce development
5 functions of Commonwealth agencies; establishing the
6 Pennsylvania Workforce Investment Board; providing for
7 critical job training grants; and authorizing local workforce
8 investment boards," further providing for definitions, for
9 staff and operations and for critical job training grants;
10 providing for TAP workforce development scholarship accounts;
11 and further providing for the expiration of the act.
12 The General Assembly of the Commonwealth of Pennsylvania
13 hereby enacts as follows:
14 Section 1. The title of the act of December 18, 2001
15 (P.L.949, No.114), known as the Workforce Development Act, is
16 amended to read:
17 AN ACT
18 Establishing a unified workforce investment system;
19 restructuring certain administrative functions, procedures
20 and entities; transferring workforce development functions of
21 Commonwealth agencies; establishing the Pennsylvania
1 Workforce Investment Board; providing for critical job
2 training grants, for guarantees for program quality and
3 performance for workforce development programs, for workforce
4 leadership grants and for TAP workforce development
5 scholarship accounts; and authorizing local workforce
6 investment boards.
7 Section 2. Section 102(4) of the act is amended to read:
8 Section 102. Declaration of policy.
9 The General Assembly finds and declares as follows:
10 * * *
11 (4) Achievement of a world-class workforce in this
12 Commonwealth is best accomplished through a unified system
13 which is dedicated to and operates in adherence with the
14 following basic philosophy and core values:
15 (i) Economic competitiveness based on improvements
16 in productivity, quality and service.
17 (ii) Excellence and informed choice in education,
18 training opportunities, workplace preparation and career
19 decision making for eligible youth and adults.
20 (iii) A strong work ethic, mutual respect, a
21 commitment to lifelong learning and the valuing of all
22 workers and their work.
23 (iv) Stewardship of public resources, emphasizing
24 private sector solutions to workforce investment goals
25 supplemented by public/private partnerships and limited
26 government involvement when necessary.
27 (v) The highest-quality delivery of market-driven
28 services which are readily identifiable and easily
29 accessible and which consider the abilities and work-
30 support needs of a diverse population.
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1 (vi) Continuous quality improvement through
2 cooperation and collaboration among all who participate
3 in the unified system in order for individuals to earn
4 family-sustaining wages for economic self-sufficiency.
5 (vii) Guaranteeing the quality and performance of
6 workforce development programs and the skill training
7 provided to employees, incumbent workers, job seekers and
8 students.
9 * * *
10 Section 3. The definitions of "certification" <--
11 "CERTIFICATION," "PARTICIPATING AGENCIES" and "workforce <--
12 development" in section 103 of the act are amended and the
13 section is amended by adding definitions to read:
14 Section 103. Definitions.
15 The following words and phrases when used in this act shall
16 have the meanings given to them in this section unless the
17 context clearly indicates otherwise:
18 * * *
19 "Certification." An approval issued by the Governor, upon
20 recommendation by the board, to a local workforce investment
21 board which satisfies the eligibility requirements established
22 by the Governor, upon recommendation by the board.
23 * * *
24 "COO." The chief operating officer as established in section
25 303.1.
26 * * *
27 "PARTICIPATING AGENCIES." ALL OF THE FOLLOWING: <--
28 (1) THE DEPARTMENT OF AGING.
29 (2) THE DEPARTMENT OF COMMUNITY AND ECONOMIC
30 DEVELOPMENT.
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1 (3) THE DEPARTMENT OF EDUCATION.
2 (4) THE DEPARTMENT OF HEALTH.
3 [(4)] (5) THE DEPARTMENT OF LABOR AND INDUSTRY.
4 [(5)] (6) THE DEPARTMENT OF PUBLIC WELFARE.
5 [(6)] (7) ANY AGENCY WHICH OVERSEES AND MONITORS FUNDS
6 APPROPRIATED BY THE FEDERAL GOVERNMENT AND DESIGNATED BY THE
7 GOVERNOR OR FUNDS SPECIFICALLY APPROPRIATED BY THE GENERAL
8 ASSEMBLY FOR WORKFORCE INVESTMENT WHICH FALLS UNDER THE
9 AUTHORITY OF THE BOARD.
10 * * *
11 " TAP workforce development scholarship accounts." Accounts
12 to be used for workforce development training established by one
13 or more local workforce investment boards under the act of April
14 3, 1992 (P.L.28, No.11), known as the Tuition Account Programs
15 and College Savings Bond Act, and the Department of Treasury's
16 operation of the tuition account program pursuant to that act.
17 * * *
18 "Workforce development." Information access and lifelong
19 learning activities. The term includes vocational education
20 programs; programs in community colleges, TECHNICAL COLLEGES and <--
21 postsecondary education institutions authorized to grant
22 diplomas and certificates, specialized associate, associate,
23 baccalaureate and advanced degrees; and transitional support and
24 work support services or activities which enable customers to
25 engage in or prepare for employment opportunities.
26 * * *
27 Section 4. Sections 301 and 302(a), (d) and (f), (F) AND (I) <--
28 of the act are amended to read:
29 Section 301. Establishment.
30 The Pennsylvania Workforce Investment Board is established to
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1 advise and assist the Governor and the General Assembly on the
2 implementation of a unified system to assure a well-educated,
3 highly skilled workforce. The board is responsible for unifying
4 the Commonwealth's existing Federal and State workforce
5 investment programs into an integrated system[.] and managing
6 such workforce development programming as directed by the
7 Governor or established by law. All recommendations and
8 decisions of the board shall be in compliance with the Workforce
9 Investment Act of 1998 (Public Law 105-220, 112 Stat. 936).
10 Section 302. Membership.
11 (a) General rule.--The board shall be established as
12 follows:
13 (1) The Governor or a designee.
14 (2) Four members of the General Assembly:
15 (i) Two senators, one appointed by the President pro
16 tempore of the Senate and one appointed by the Minority
17 Leader of the Senate.
18 (ii) Two representatives, one appointed by the
19 Speaker of the House of Representatives and one appointed
20 by the Minority Leader of the House of Representatives.
21 (3) [Representatives appointed by the Governor who are:]
22 THE GOVERNOR SHALL APPOINT TO SERVE AT THE PLEASURE OF THE <--
23 GOVERNOR THE FOLLOWING MEMBERS:
24 (i) Representatives of business, including private
25 sector employers, representatives from each of the
26 Commonwealth's marketing regions, owners of businesses,
27 chief executive officers, other business executives with
28 optimum policymaking or hiring authority, members of
29 local workforce investment boards and businesses that
30 reflect the employment opportunities in this
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1 Commonwealth, including large and small employers.
2 (ii) Chief elected officials[.], nominated by
3 Statewide organizations or associations representing
4 elected officials POLITICAL SUBDIVISIONS. <--
5 (iii) Representatives of labor organizations who
6 have been nominated by State labor federations.
7 (iv) Representatives of individuals and
8 organizations experienced with respect to youth
9 activities.
10 (v) Representatives of organizations which have
11 experience and expertise in the delivery of workforce
12 investment activities, including chief executive officers
13 of community colleges, TECHNICAL COLLEGES and community- <--
14 based organizations in this Commonwealth.
15 (vi) Lead Commonwealth agency officials, including:
16 (A) The Secretary of Aging.
17 (B) The Secretary of Community and Economic
18 Development.
19 (C) The Secretary of Education.
20 (D) THE SECRETARY OF HEALTH. <--
21 [(D)] (E) The Secretary of Labor and Industry. <--
22 [(E)] (F) The Secretary of Public Welfare. <--
23 [(F)] (G) The Director of the Governor's Policy <--
24 Office.
25 (vii) Any other representative or Commonwealth
26 agency official the Governor deems necessary.
27 (4) A majority of the board under this subsection must
28 be representatives [of business] AS DESCRIBED UNDER PARAGRAPH <--
29 (3)(I).
30 (5) The Governor shall solicit recommendations from
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1 State, regional and local business organizations in making
2 appointments to the board.
3 * * *
4 [(d) Staff.--The board may employ a limited staff to
5 implement the decisions of the board.]
6 * * *
7 (f) Executive committee.--An executive committee that
8 includes representation from the private sector may be
9 established and authorized under the board to [oversee and
10 monitor the unified system] fulfill the board's
11 responsibilities. The organization framework may utilize
12 existing staff structure or develop its own staffing
13 arrangement.
14 * * *
15 (I) PERSONNEL, EQUIPMENT, RESOURCES.--THE POLICY AND PROGRAM <--
16 OFFICES OF THE DEPARTMENT OF AGING, THE DEPARTMENT OF COMMUNITY
17 AND ECONOMIC DEVELOPMENT, THE DEPARTMENT OF EDUCATION, THE
18 DEPARTMENT OF HEALTH, THE DEPARTMENT OF LABOR AND INDUSTRY AND
19 THE DEPARTMENT OF PUBLIC WELFARE SHALL PROVIDE PERSONNEL,
20 EQUIPMENT AND RESOURCES AS REQUIRED FOR THE FUNCTIONING OF THE
21 BOARD.
22 Section 5. The act is amended by adding a section to read:
23 § 303.1. Role of chairperson, chief operating officer (COO) and
24 staff.
25 (a) Management.--The COO under the direction of the Governor
26 and in cooperation with the chairperson and members of the board <--
27 shall manage the operation and staffing of the board. The COO
28 shall work with the Governor, the chairperson and the members of
29 the board to establish an agenda, priorities and policies for
30 SHALL WORK WITH THE CHAIRPERSON AND MEMBERS OF THE BOARD, MANAGE <--
20020H2778B4568 - 7 -
1 THE OPERATION AND STAFFING OF THE BOARD AND ESTABLISH AN AGENDA,
2 PRIORITIES AND POLICIES FOR the board.
3 (b) Appointment.--The Governor shall appoint a COO for the
4 board. The COO shall report to the Governor and shall be the
5 chief workforce development advisor to the Governor. The
6 Governor may consult with the chairperson and the members of the
7 board in the selection of the COO.
8 (c) Responsibilities.--The COO shall have the following
9 responsibilities:
10 (1) The COO shall work with the chairperson and the
11 membership of the board:
12 (i) To implement the agenda, priorities and policies
13 of the Governor and the board.
14 (ii) To make recommendations to the Governor and the
15 participating agencies on the subjects provided in
16 paragraphs (2), (4) and (5).
17 (iii) In representing the board as provided in
18 paragraph (6).
19 (iv) In serving as the primary liaison with the
20 Federal Government as provided in paragraph (7).
21 (2) The COO shall have the responsibility to manage
22 programs as directed by the Governor and provided by law, and
23 to work with the participating agencies to coordinate
24 funding, programs and services within the unified system.
25 (3) The COO shall employ a limited staff to implement <--
26 the decisions of the Governor and the board and to carry out
27 the program responsibilities of the board. The operating
28 budget for the board shall be included in the appropriation
29 request of the Department of Labor and Industry, which shall
30 also provide legal services to the board.
20020H2778B4568 - 8 -
1 (4) The COO, in consultation with the board, shall make
2 recommendations to the Governor and the participating
3 agencies on the coordination and implementation of community
4 college, TECHNICAL COLLEGE and workforce development <--
5 services. He shall work with the community colleges, <--
6 TECHNICAL COLLEGES and other postsecondary institutions to
7 establish partnerships and to integrate their programming
8 with the workforce investment system.
9 (5) The COO, in consultation with the board, shall make
10 recommendations to the Governor and the participating
11 agencies for changes to Federal and State laws, regulations
12 and policies that will improve cooperation and collaboration
13 among the participating agencies in the delivery of workforce
14 development services and programs.
15 (6) The COO shall represent the board at such times and
16 places as determined by the board.
17 (7) The COO, as directed by the Governor, shall serve as
18 the primary liaison with the Federal Government on workforce
19 development issues.
20 Section 6. Section 304 of the act is amended to read:
21 Section 304. Plan, functions and responsibilities.
22 (a) General rule.--The board, in furtherance of section 102,
23 shall advise and assist the Governor on all of the following:
24 (1) Development and adoption of and adherence to,
25 throughout the unified system, standards, principles,
26 policies, goals, financial resource investment priorities and
27 strategies for workforce investment to maintain continuously
28 a competitive advantage for this Commonwealth.
29 (2) Monitoring and assuring collaboration of the
30 investment of all funds specifically appropriated by the
20020H2778B4568 - 9 -
1 Federal Government and designated by the Governor or funds
2 specifically appropriated by State government for workforce
3 investment under any Federal or State statute.
4 (3) Assuring that no funds designated for Statewide
5 youth activities are used to develop or implement education
6 curricula for school districts.
7 (4) Examination of Federal and State statutes and
8 regulations to assess whether they present barriers to
9 achieving the provisions of this act and to recommend to the
10 Federal Government, the Governor and the General Assembly
11 amendments to statutes and regulations and waivers of
12 regulations to eliminate barriers and to promote the
13 provisions of this act.
14 (5) Development and dissemination of appropriate and
15 necessary research and statistical information, to set the
16 requisite protocols and standards for common data reference,
17 to engage in or sponsor studies to identify unified system
18 needs and to gather and disseminate information.
19 (6) Establishment of and adherence to performance-based
20 quality assurance standards designed to optimize unified
21 system function, performance and effectiveness.
22 (7) Evaluation of the unified workforce investment plans
23 submitted by local workforce investment boards consistent
24 with local plan requirements developed by the board. The
25 objective of the plans is to develop local and regional
26 templates from which Federal and State funds can be aligned
27 and targeted toward common goals and objectives.
28 (8) [Implementation of mechanisms to secure] Securing
29 appropriate input from local workforce investment boards in
30 the development of policies, local performance measures or
20020H2778B4568 - 10 -
1 investment strategies.
2 (9) Establishment and maintenance of a universally
3 accessible information access system which enables the
4 unified system to function and serve its customers
5 effectively.
6 (10) Contracting or developing written agreements or
7 memoranda of understanding with participating agencies for
8 the administration and management of workforce investment
9 programs and activities under the responsibility of the
10 board.
11 (11) Providing technical assistance to local workforce
12 investment boards to assist them in maximizing the investment
13 of public money.
14 (12) Setting the criteria for unified system and service
15 provider participation and developing a systemwide marketing
16 program.
17 (13) Recommending certification or recertification of
18 local workforce investment boards by giving consideration to
19 all of the following:
20 (i) The proposed local workforce investment board's
21 leadership system and its capability to effectively
22 monitor and assure collaboration of workforce investment
23 programs.
24 (ii) The portion of the labor market or geographical
25 area to be served by the proposed local workforce
26 investment board.
27 (14) Recommending necessary action if a local workforce
28 investment board fails to act, acts improperly or fails to
29 meet the conditions of its unified local workforce investment
30 plan in which Federal or State funds have been invested.
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1 (15) Recognition of the potential of citizens, employers
2 and communities in this Commonwealth by affirming the
3 continued existence and independence of all current funding
4 streams and programs for persons with disabilities while
5 ensuring that employment-related programs for individuals
6 with disabilities operate efficiently.
7 (16) Assessment of the economic and workforce needs of
8 this Commonwealth and to develop the unified system to build
9 on available services and resources to effectively meet these
10 Statewide needs.
11 (17) Establishing cooperative and collaborative
12 relationships with other states' unified system governing
13 bodies.
14 (18) Assuring the implementation of Federal and State
15 statutory mandates which fall within the purview of the
16 unified system.
17 (19) Establishing standards for the use of Federal
18 funding for training services and policies for a local
19 workforce investment board to meet the standards.
20 (20) Managing such workforce development programming as
21 directed by the Governor or provided by law.
22 [(19)] (21) Compilation of an annual report which shall
23 be submitted to the General Assembly, the Secretary of the
24 Senate and the Chief Clerk of the House of Representatives by
25 March 1 and which shall include all of the following:
26 (i) A detailed explanation of the performance
27 measures used and how the performance measures were
28 developed.
29 (ii) An explanation of the process used to achieve
30 continuous improvement of workforce investment
20020H2778B4568 - 12 -
1 activities.
2 (iii) The anticipated course of actions to be taken
3 by the board to encourage continuous improvement in the
4 unified system.
5 (iv) A list of the membership of the board,
6 including name, affiliation, address, telephone number,
7 telefax number and electronic mail address.
8 (v) An explanation of the process used to negotiate
9 levels of local performance.
10 (vi) A list of all certified local workforce
11 investment boards in this Commonwealth, including each
12 local workforce board's negotiated level of local
13 performance, each local workforce board's level of
14 performance attained and the action taken with respect to
15 any local workforce investment board which failed to meet
16 its negotiated level of local performance.
17 (vii) A copy of the annual report submitted by each
18 local workforce investment board to the board.
19 (viii) An accounting of Federal and State funds
20 expended for workforce investment in the previous fiscal
21 year by line item and program.
22 (b) Assistance offered.--The recommendations and assistance
23 offered under subsection (a) may include the one-stop operating
24 system, designation of a lead agency for a particular workforce
25 program or programs and the consolidation of programs.
26 (c) Evaluation of plans.--In order to develop an effective
27 system to evaluate the unified workforce investment plans
28 submitted by local workforce investment boards, the board and
29 the COO shall:
30 (1) Seek the participation of the participating agencies
20020H2778B4568 - 13 -
1 to ensure that the plans integrate workforce programs.
2 (2) Seek the advice of local workforce investment boards
3 to identify areas where federally and State-funded workforce
4 resources can be maximized in a local region.
5 (3) Work with the participating agencies and local
6 workforce investment boards to fully implement local
7 workforce investment plans.
8 (4) Ensure that local workforce investment plans
9 incorporate sufficient levels of community engagement,
10 participation and input from workforce development
11 partnerships.
12 The review of the plans shall determine the extent to which
13 State workforce development funds have been integrated with the
14 approved plan.
15 Section 7. The act is amended by adding a section to read:
16 Section 304.1. Program operations.
17 (a) Directives.--The board shall manage and establish
18 requirements for such workforce development programming as
19 directed by the Governor or established by law.
20 (b) Grants and studies.--The board is authorized to conduct
21 studies, and to apply for and receive grants from the Federal
22 Government, or any agency thereof, charitable organizations or
23 other entities providing funding and technical assistance for
24 the improvement and operation of workforce development
25 programming.
26 Section 8. Section 305 of the act is repealed.
27 Section 9. The act is amended by adding sections to read:
28 Section 305.1. State performance management system.
29 (a) General rule.--The board and the COO shall establish a
30 system for the development, oversight, modification and
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1 continuous improvement of a comprehensive performance
2 accountability system that will provide effective measures of
3 the performance and impact of the workforce development system
4 at the State and local levels. The system will include input
5 from board members, local workforce investment boards, operators
6 of the one-stop delivery system, workforce development program
7 providers, business and industry and the participating agencies
8 AS WELL AS CUSTOMERS AND PARTICIPANTS FROM VARIOUS PROGRAMS <--
9 UNDER THIS ACT. The system will be designed to produce
10 recommendations to the board and the Governor and shall function
11 within time frames established by the board and the COO. The
12 system shall be comprehensive and provide a reporting system for
13 program funding as established by the board and the COO. The
14 system shall:
15 (1) Identify one or more State agencies responsible for
16 the coordination and management of data.
17 (2) Identify systems for tracking and reporting of
18 information and determining the role of the State and local
19 workforce investment boards.
20 (3) Enable the development and funding of a locally
21 based management information system that will provide local
22 workforce investment boards and the board with management
23 data.
24 (4) Enable revisions to the performance management
25 system. This may include recommendations to realign the
26 system and Federal and State funding for workforce
27 development programs.
28 (b) Required performance measures.--The State performance
29 management system shall include:
30 (1) Entry into unsubsidized employment.
20020H2778B4568 - 15 -
1 (2) Retention in unsubsidized employment six months
2 after entry into the employment.
3 (3) Earnings received in unsubsidized employment six
4 months after entry into the employment.
5 (4) Attainment of a recognized credential relating to
6 achievement of educational skills, including attainment of a
7 secondary school diploma or its recognized equivalent, or
8 occupational skills by participants who enter unsubsidized
9 employment or by participants who are eligible youths between
10 the ages of 19 and 21 and who enter postsecondary education,
11 advanced training or unsubsidized employment.
12 (5) The use of Federal funds for training services,
13 including activities authorized under Chapter 2 of Title II
14 of the Trade Act of 1974 (Public Law 93-618, 19 U.S.C. § 2101
15 et seq.).
16 (6) Guarantees for program quality and performance.
17 (7) Uniform program performance measures.
18 The required performance measures in paragraphs (1) through (5)
19 may be modified by the board to be aligned with common
20 performance measures adopted pursuant to revisions to the
21 Workforce Investment Act of 1998 (Public Law 105-220, 112 Stat.
22 936) or the adoption of common performance measures by the
23 Federal agencies covered by this act.
24 (c) Customer satisfaction.--As an indicator of performance,
25 customer satisfaction shall also be considered. The customer
26 satisfaction indicator of performance shall consist of customer
27 satisfaction of employers and participants with services
28 received from workforce investment activities. Customer
29 satisfaction may be measured through surveys conducted after the
30 conclusion of participation in the workforce investment
20020H2778B4568 - 16 -
1 activities. THESE SURVEYS SHALL INCLUDE QUESTIONS ABOUT WHETHER <--
2 EMPLOYERS, GRANT RECIPIENTS AND PARTICIPANTS ARE ABLE TO QUICKLY
3 RECEIVE FUNDING AND THE BOARD'S ABILITY TO ACCOMMODATE AND
4 RESPOND TO THE IMMEDIATE EMPLOYMENT NEEDS WITHIN THE REGIONAL
5 AND LOCAL COMMUNITIES AND JOB MARKETS.
6 (d) Guarantees for program quality and performance.--
7 Ensuring the quality of workforce development programs is an
8 essential function of the board. The board shall establish one
9 or more quality performance guarantees for workforce development
10 programs under this act. A guarantee may include:
11 (1) A guarantee or warranty for the training provided to
12 an incumbent worker, employee, job seeker or student.
13 (2) Successful completion of a certificate or short-term
14 training class or program established by a college or
15 university, a private licensed school established under the
16 act of December 15, 1986 (P.L.1585, No.174), known as the
17 Private Licensed Schools Act, or a local workforce investment
18 board.
19 (3) Passage of a nationally recognized or industry-
20 recognized certificate examination.
21 (4) A combination of paragraphs (1) through (3).
22 (5) Other requirements established by the board.
23 The program quality and performance guarantee shall provide for
24 additional education or training for persons who become employed
25 and are not able to perform their duties at a satisfactory
26 level, for employees receiving customized job training or other
27 training that is not satisfactory for the employer and for
28 students advancing to the next sequence of an integrated and
29 seamless secondary and postsecondary education program, as
30 established in section 902, who are not capable of performing at
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1 this academic level. The board shall consult with local
2 workforce investment boards and program providers prior to the
3 adoption of the guarantees for program quality and performance.
4 The guarantee provisions shall be adopted by the board by June
5 30, 2003.
6 Section 305.2. Training services.
7 (a) General rule.--The board shall recommend to the Governor
8 criteria for the use of Federal funds for training services. The
9 criteria established by the Governor shall recommend allocation
10 and expenditure levels for adult and dislocated worker funding
11 under WIA Title I (Public Law 105-220, Title I § 101 et seq.)
12 that should be included by a local workforce investment board in
13 its unified workforce investment plan under section 504. In
14 making its recommendations the board shall consider all of the
15 following issues:
16 (1) The flexibility needed by local workforce investment
17 boards to deliver core, intensive and training services in
18 ways that can best serve both State and local workforce
19 needs.
20 (2) One or more criteria for the allocation of adult and
21 dislocated worker funds for training services.
22 (3) Differing levels for the allocation and expenditure
23 of funds for training services. The levels may be based on:
24 the availability of other training funds, the availability of
25 certified training providers, the unemployment rate of the
26 county and region and other factors as determined by the
27 board for a local workforce investment area.
28 (4) Using the factors described in paragraphs (1), (2)
29 and (3) in the allocation and expenditure of adult and
30 dislocated worker funding when reviewing the unified
20020H2778B4568 - 18 -
1 workforce investment plan of the local workforce investment
2 board.
3 (5) The allocation and expenditure criteria from prior
4 years, to the extent they exist.
5 (6) Social, economic and demographic changes and changes
6 to the workforce in the local workforce investment area in
7 the last five to ten years.
8 (7) The priorities of local workforce investment boards
9 identified in the local workforce investment plans.
10 (b) Consultation.--The board shall discuss the criteria and
11 the allocation and expenditure levels of adult and dislocated
12 worker funds for training services with local workforce
13 investment boards prior to recommending the criteria and an
14 allocation of funds.
15 Section 308.1 One-stop delivery system and local workforce
16 investment boards.
17 (a) General rule.--The board shall make recommendations to
18 the Governor for base level infrastructure funding for the one-
19 stop delivery system and for operating expenses for local
20 workforce investment boards. The purpose of this funding will be
21 to cover the cost of operating and maintaining the one-stop
22 facilities, the infrastructure of the delivery system and the
23 operations of local workforce investment boards.
24 (b) Specific recommendations.--The board may make
25 recommendations in the following areas:
26 (1) The use of current Federal and State funds, to the
27 extent permissible by Federal and State laws and regulations,
28 to support the infrastructure requirements of the one-stop
29 delivery system and to support local workforce investment
30 boards.
20020H2778B4568 - 19 -
1 (2) The development of other funding sources for
2 infrastructure and operating support.
3 (3) Criteria for the use and allocation of funds
4 recommended in paragraphs (1) and (2).
5 Section 10. Sections 501, 502(a) and 504 of the act are
6 amended to read:
7 Section 501. Establishment.
8 (a) Areas and local workforce investment boards.--
9 (1) Local workforce investment areas shall be designated
10 by the Governor through consultation with the board and the
11 chief elected officials and after consideration of comments
12 received through the public comment process. In making the
13 designation of local workforce investment areas, the Governor
14 shall take into consideration the following:
15 (i) Geographic areas served by school entities.
16 (ii) Geographic areas served by postsecondary
17 educational institutions, including community colleges
18 AND TECHNICAL COLLEGES. <--
19 (iii) The extent to which such local workforce
20 investment areas are consistent with labor market areas.
21 (iv) The distance that individuals will need to
22 travel to receive services provided in such local
23 workforce investment areas.
24 (v) The resources of such local workforce investment
25 areas that are available to effectively administer the
26 activities carried out under Federal and State law.
27 (2) Local workforce investment boards shall be
28 established in each local workforce investment area of this
29 Commonwealth, recommended for certification by the board and
30 certified by the Governor, to set policy for the portion of
20020H2778B4568 - 20 -
1 the unified system within that local workforce investment
2 area. The local workforce investment boards shall work in
3 collaboration with the community colleges, TECHNICAL COLLEGES <--
4 and other postsecondary institutions in establishing
5 workforce development services.
6 (3) No local workforce investment board may conduct
7 business unless it is certified by the Governor.
8 (b) Purpose.--The purpose of each local workforce investment
9 board is to advise and assist the chief elected official in the
10 county or counties served by the local workforce investment
11 board by setting policy to promote effective workforce
12 investment programs in a designated geographic area.
13 (c) [Liability.--The] Administration and liability.--
14 (1) The chief elected official in a local workforce
15 investment area shall serve as the local grant recipient for
16 and shall be liable for any misuse of the grant funds
17 allocated to the local workforce investment area under
18 Federal law or this act.
19 (2) The chief elected official in a local workforce
20 investment area may designate an entity to serve as a local
21 grant subrecipient for such funds or as a local fiscal agent.
22 Such designation shall not relieve the chief elected official
23 of liability for any misuse of grant funds as described in
24 paragraph (1).
25 (3) The local grant recipient or an entity designated
26 under paragraph (2) shall disburse such funds for workforce
27 investment activities at the direction of the local board,
28 pursuant to the requirements of this act.
29 Section 502. Membership.
30 (a) Composition.--
20020H2778B4568 - 21 -
1 (1) A local workforce investment board appointed by the
2 chief elected official shall be as follows:
3 (i) A majority shall be representatives of business
4 in the local workforce investment area who:
5 (A) are owners of businesses, chief executives
6 or operating officers of businesses and other
7 business executives or employers with optimum
8 policymaking or hiring authority;
9 (B) represent businesses with employment
10 opportunities which reflect the employment
11 opportunities of the local workforce investment area;
12 and
13 (C) are appointed from among individuals
14 nominated by local business organizations and
15 business trade associations.
16 (ii) Representatives of local educational entities,
17 including representatives of local educational agencies,
18 local school boards, entities providing adult education
19 and literacy activities, postsecondary educational
20 institutions [and], community colleges AND TECHNICAL <--
21 COLLEGES, selected from among individuals nominated by
22 regional or local educational agencies, institutions or
23 organizations representing such local educational
24 entities.
25 (iii) In a local workforce investment area in which
26 employees are represented by labor organizations,
27 representatives nominated by local labor federations.
28 (iv) In a local workforce investment area in which
29 no employees are represented by labor organizations,
30 other representatives of employees.
20020H2778B4568 - 22 -
1 (v) Representatives of community-based
2 organizations, which may include organizations
3 representing minorities [and], individuals with
4 disabilities, older workers and veterans, from a local
5 workforce investment area in which such organizations are
6 present.
7 (vi) Representatives of economic development
8 entities.
9 (vii) Representatives of each of the one-stop
10 delivery system partners.
11 (viii) Other individuals or representatives of
12 entities as the chief elected official in the local
13 workforce investment area may determine to be
14 appropriate.
15 (2) Members of the local workforce investment board must
16 be individuals who have optimum policymaking authority within
17 the organizations, agencies or other entities which they
18 represent.
19 (3) The membership shall select a chairperson from the
20 private sector representatives.
21 (4) A local workforce investment board may hire limited
22 staff to implement the decisions of the local workforce
23 investment board.
24 * * *
25 Section 504. Plan, functions and responsibilities.
26 (a) Unified workforce investment plan.--A local workforce
27 investment board, in partnership with the chief elected official
28 of the county or counties served by the local workforce
29 investment board, shall submit to the Governor for approval a
30 unified workforce investment plan. The unified workforce
20020H2778B4568 - 23 -
1 investment plan shall be developed through a process which
2 includes the opportunity for participation by current and
3 potential customers and service providers and which shall
4 contain, at a minimum, the following:
5 (1) A description of the local workforce investment
6 area's strategic economic and workforce vision and of how the
7 vision will be attained.
8 (2) A description of how the plan supports the
9 Commonwealth's overall mission and goals.
10 (3) An analysis of the local workforce investment area
11 market, including projected growth industries and declining
12 industries.
13 (4) A description of the respective roles of the local
14 elected officials and the local workforce investment board.
15 (5) A description of programs for eligible youth.
16 (6) A description of the local workforce investment
17 area's one-stop delivery system.
18 (7) A description of the services to be provided to all
19 customers.
20 (8) A description of how coordination of workforce
21 development services and investment activities will occur[.],
22 particularly with community colleges, TECHNICAL COLLEGES and <--
23 other postsecondary institutions serving the local workforce
24 investment area.
25 (9) A description of the allocation and expenditure of
26 adult and dislocated worker funding for training services.
27 (10) A description of the coordination of transportation
28 services with local transit agencies in order to effectively
29 meet the workforce needs of customers and the region.
30 [(9)] (11) If appropriate, a description of a regional
20020H2778B4568 - 24 -
1 strategic component to the local plan.
2 [(10)] (12) If available, an analysis of regional market
3 trends.
4 (b) Functions and responsibilities.--A local workforce
5 investment board, in order to develop and implement a unified
6 workforce investment plan for the investment and utilization of
7 private and public resources to meet the current and future
8 workforce investment needs of its region in furtherance of
9 section 102, has the following functions and responsibilities:
10 (1) To organize and elect a chairperson.
11 (2) To assess the economic and workforce needs of the
12 local workforce investment area and to develop a unified plan
13 which builds on available services and resources to
14 effectively meet the workforce and economic needs of the
15 local workforce investment area.
16 (3) To implement mechanisms to secure appropriate input
17 in the development of policies, performance standards or
18 investment strategies.
19 (4) To assist in the development of and collaboration
20 within the one-stop delivery system.
21 (5) To develop, adopt and assure adherence to local
22 performance standards, quality assurance standards and
23 applied operating principles which are consistent with
24 criteria throughout the one-stop delivery system.
25 (6) To establish cooperative and collaborative
26 relationships with other local workforce investment boards
27 and, if appropriate, with the unified system governing bodies
28 of other states.
29 (7) To establish cooperative and collaborative
30 relationships with local transit agencies to provide
20020H2778B4568 - 25 -
1 transportation services that effectively meet the workforce
2 needs of customers and the region. If the local workforce
3 investment board is unable to secure the cooperation of the
4 local transit agency the chair of the local board shall
5 notify the Chief Operating Officer of the board. The Chief
6 Operating Officer shall contact the Secretary of
7 Transportation to obtain assistance in securing the
8 cooperation of the local transit agency.
9 [(7)] (8) To authorize use of local workforce investment
10 funds, including individual training accounts, where
11 applicable, for eligible customers, for any of the following
12 services:
13 (i) Core services shall be available to individuals
14 who are adults or dislocated workers through the one-stop
15 delivery system and shall, at a minimum, include all of
16 the following:
17 (A) Determinations of whether the individuals
18 are eligible to receive assistance.
19 (B) Outreach; intake, which may include worker
20 profiling; and orientation to the information and
21 other services available through the one-stop
22 delivery system.
23 (C) Initial assessment of skill levels,
24 aptitudes, abilities and supportive service needs.
25 (D) Job search and placement assistance and,
26 where appropriate, career counseling.
27 (E) Provision of employment statistics
28 information, including the provision of accurate
29 information relating to national, regional and local
30 labor market areas, such as:
20020H2778B4568 - 26 -
1 (I) job vacancy listings in such labor
2 market areas;
3 (II) information on job skills necessary to
4 obtain the jobs described in subclause (I); and
5 (III) information relating to local
6 occupations in demand and the earnings and skill
7 requirements for such occupations.
8 (F) Provision of performance information and
9 program cost information on eligible providers of
10 training services, provided by program, eligible
11 providers of youth activities, providers of adult
12 education, providers of postsecondary vocational
13 education activities and vocational education
14 activities available to school dropouts under the
15 Carl D. Perkins Vocational and Applied Technology
16 Education Act (Public Law 88-210, 20 U.S.C. § 2301 et
17 seq.) and providers of vocational rehabilitation
18 program activities described in the Rehabilitation
19 Act of 1973 (Public Law 93-112, 29 U.S.C. § 701 et
20 seq.).
21 (G) Provision of information regarding how the
22 local workforce investment area is performing on the
23 local performance measures and any additional
24 performance information with respect to the one-stop
25 delivery system in the local workforce investment
26 area.
27 (H) Provision of accurate information relating
28 to the availability of community college, TECHNICAL <--
29 COLLEGE and workforce development services, work
30 support services, including child care and
20020H2778B4568 - 27 -
1 transportation, available in the local workforce
2 investment area and referral to such services as
3 appropriate.
4 (I) Provision of transitional support, including
5 information regarding filing claims for unemployment
6 compensation.
7 (J) Assistance in establishing eligibility for
8 welfare-to-work activities under section 403(a)(5) of
9 the Social Security Act (49 Stat. 620, 42 U.S.C. §
10 603(a)(5)) available in the local workforce
11 investment area and programs of financial aid
12 assistance for training and education programs that
13 are not funded under this act and are available in
14 the local workforce investment area.
15 (K) Follow-up services, including counseling
16 regarding the workplace.
17 (ii) Intensive services:
18 (A) Intensive services shall be provided to
19 adults and dislocated workers who:
20 (I) are unemployed and are unable to obtain
21 employment through core services;
22 (II) have been determined by the one-stop
23 delivery system operator to be in need of more
24 intensive services in order to obtain employment;
25 or
26 (III) are employed but are determined by a
27 one-stop delivery system operator to be in need
28 of intensive services in order to obtain or
29 retain employment that allows for self-
30 sufficiency.
20020H2778B4568 - 28 -
1 (B) Intensive services shall be provided through
2 the one-stop delivery system directly through one-
3 stop delivery system operators or through contracts
4 with service providers, which may include contracts
5 with public, private for-profit and private nonprofit
6 service providers, approved by the local workforce
7 investment board.
8 (C) Intensive services may include the
9 following:
10 (I) Comprehensive and specialized
11 assessments of the skill levels and service needs
12 of adults and dislocated workers, which may
13 include diagnostic testing and use of other
14 assessment tools and in-depth interviewing and
15 evaluation to identify employment barriers and
16 appropriate employment goals.
17 (II) Development of an individual employment
18 plan to identify the employment goals,
19 appropriate achievement objectives and
20 appropriate combination of services for the
21 participant to achieve the employment goals.
22 (III) Group counseling.
23 (IV) Individual counseling and career
24 planning.
25 (V) Case management.
26 (VI) Short-term prevocational services,
27 including development of learning skills,
28 communication skills, interviewing skills,
29 punctuality, personal maintenance skills and
30 professional conduct to prepare individuals for
20020H2778B4568 - 29 -
1 employment or training.
2 (iii) Training services:
3 (A) Training services shall be provided to
4 adults and dislocated workers who:
5 (I) have met the eligibility requirements
6 for intensive services and who are unable to
7 obtain or retain employment through such
8 services;
9 (II) after an interview, evaluation or
10 assessment and case management, have been
11 determined by a one-stop delivery system operator
12 or one-stop delivery system partner to be in need
13 of training services and to have the skills and
14 qualifications to successfully participate in the
15 selected program of training services; and
16 (III) select programs of training services
17 which are directly linked to the employment
18 opportunities in the local workforce investment
19 area involved or in another area in which the
20 adults or dislocated workers receiving such
21 services are willing to relocate.
22 (B) Training services shall be limited to
23 individuals who are unable to obtain other grant
24 assistance for such services, including Federal Pell
25 Grants established under Title IV of the Higher
26 Education Act of 1965 (Public Law 89-329, 20 U.S.C. §
27 1070 et seq.), or require assistance beyond the
28 assistance made available under other grant
29 assistance programs, including Federal Pell Grants.
30 (C) Training services may include:
20020H2778B4568 - 30 -
1 (I) Occupational skills training, including
2 training for nontraditional employment.
3 (II) On-the-job training.
4 (III) Programs which combine workplace
5 training with related instruction, including
6 cooperative education programs.
7 (IV) Training programs operated by the
8 private sector.
9 (V) Skill upgrading and retraining.
10 (VI) Entrepreneurial training.
11 (VII) Job readiness training.
12 (VIII) Adult education and literacy
13 activities provided in combination with services
14 described in any of subclauses (I) through (VII).
15 (IX) Customized training conducted with a
16 commitment by an employer or group of employers
17 to employ an individual upon successful
18 completion of the training.
19 [(8)] (9) To compile an annual report to be submitted to
20 the board by a deadline to be determined by the board. This
21 report shall include, at a minimum:
22 (i) a list of the membership of the local workforce
23 investment board, including the name, affiliation,
24 address, telephone number, telefax number and electronic
25 mail address;
26 (ii) the negotiated local level of performance;
27 (iii) the level of performance achieved, including
28 an analysis of the strengths and weaknesses;
29 (iv) the programs participated in; and
30 (v) a list of the local eligible service providers.
20020H2778B4568 - 31 -
1 Section 11. Chapter 7 of the act is repealed.
2 Section 12. The act is amended by adding chapters to read:
3 CHAPTER 7-A
4 CRITICAL JOB TRAINING GRANTS
5 Section 701-A. Purpose.
6 The purpose of this chapter is to expand the coordination of
7 the resources within the unified system and to enhance the
8 leadership of the workforce investment system, particularly with
9 reference to the resources under the control and direction of
10 the participating agencies as defined in this act. This grant
11 program shall be agile, flexible and responsive to the immediate
12 and long-term training needs of job seekers, private businesses
13 and the workforce regions of the Commonwealth. The coordination
14 and leveraging of resources within the workforce investment
15 system is crucial to the effective delivery of services to the
16 employers and residents of this Commonwealth.
17 Section 702-A. Definitions.
18 The following words and phrases when used in this chapter
19 shall have the meanings given to them in this section unless the
20 context clearly indicates otherwise:
21 "Critical job training." Training for dislocated workers and
22 underemployed workers, for occupations with immediate skill
23 needs, for high-demand jobs or jobs with a shortage of skilled
24 workers, as identified by the Pennsylvania Workforce Investment
25 Board and the participating agencies.
26 "Dislocated worker." A person who meets any one of the
27 following conditions:
28 (1) Has been terminated or laid off, or who has received
29 notice of termination or layoff, and is eligible for or has
30 exhausted unemployment compensation benefits.
20020H2778B4568 - 32 -
1 (2) Is unlikely to return to the industry or occupation
2 in which the individual was employed.
3 (3) Has been terminated or received notice of
4 termination as a result of the permanent closure or
5 relocation of a plant, facility or plant operation in which
6 the individual was employed.
7 (4) Is chronically unemployed.
8 (5) Has limited opportunities of employment in the
9 geographic area in which the individual resides.
10 (6) Is an individual who may face substantial barriers
11 to employment because of age or disability.
12 "Eligible applicant." Providers of workforce services and
13 activities, including, but not limited to: public agencies,
14 nonprofit organizations and private providers; a local education
15 agency; an industrial resource center; an economic development
16 organization certified by the Department of Community and
17 Economic Development; a greenhouse; a private company; a labor
18 organization; a local workforce investment board.
19 "Greenhouse." A nonprofit organization recognized under
20 section 501 (c)(3) of the Internal Revenue Code of 1986 (Public
21 Law 99-514, 26 U.S.C. § 1 et seq.) that is formed for the
22 express purpose of creating university/business partnerships to
23 advance science and technology and to support economic and
24 workforce development.
25 "Industrial resource center." An industrial resource center
26 as defined by the act of June 22, 2001 (P.L.400, No.31), known
27 as the Industrial Resources Center Partnership Act.
28 "Local education agency." A Pennsylvania institution
29 certified by the Department of Education, which may include any
30 of the following:
20020H2778B4568 - 33 -
1 (1) Area vocational-technical schools.
2 (2) Community, TECHNICAL and junior colleges. <--
3 (3) Intermediate units.
4 (4) Licensed private/proprietary business and trade
5 schools.
6 (5) Public school districts.
7 (6) State or private colleges and universities.
8 "Private company." A business, professional service company
9 or other enterprise. The term may include a group of two or more
10 private companies operating as a consortium in order to take
11 advantage of a common training program.
12 "Underemployed worker." A person requiring skill training to
13 meet industry skill demands or to increase his employment
14 opportunities.
15 Section 703-A. Program operation.
16 The Chief Operating Officer of the board shall manage the
17 operation of this program, with appropriate agency staffing
18 support as determined by the participating agencies and the
19 Governor. The Chief Operating Officer shall work with the
20 participating agencies and local workforce investment boards to
21 identify sources of Federal and State funds to be used for these
22 grants. The Chief Operating Officer shall award grants to
23 eligible applicants for projects that are consistent with the
24 criteria set forth in section 704-A.
25 Section 704-A. Grants.
26 (a) Single application.--There shall be a single multiagency
27 application for the grants awarded under this chapter. An
28 application must demonstrate:
29 (1) The number of dislocated workers or others that will
30 receive training.
20020H2778B4568 - 34 -
1 (2) The existence of job opportunities directly related
2 to the training.
3 (3) How the training will support growth industries
4 within this Commonwealth which are identified in the
5 strategic plan of the local workforce investment board or by
6 industry clusters identified by the participating agencies
7 and the Pennsylvania Workforce Investment Board.
8 (4) Private sector participation in training design and
9 placement of training recipients.
10 (b) Applications and guidelines.--The Chief Operating
11 Officer, in consultation with the board and local workforce
12 investment boards, shall develop grant applications, establish
13 guidelines, develop forms and institute such procedures,
14 including the utilization of participating agency resources, as
15 may be necessary to implement the provisions of this chapter.
16 (c) Information.--The Chief Operating Officer shall require
17 such information and records from each applicant and its
18 authorized training providers as deemed necessary to carry out
19 its responsibilities under this chapter.
20 (d) Limitations.--A local workforce investment board, a
21 certified economic development organization and a greenhouse may
22 not serve as a training provider for these grants.
23 (e) Funding sources.--Beginning with the 2003-2004 fiscal
24 year, and each year thereafter, the Governor shall recommend the
25 sources and levels of funding for this program for all of the
26 participating agencies, as defined in this chapter, in the
27 budget submitted to the General Assembly for that fiscal year.
28 (f) Board recommendations.--For the 2003-2004 fiscal year,
29 and each year thereafter, the board may recommend to the
30 Governor the sources and levels of funding from the
20020H2778B4568 - 35 -
1 participating agencies, as defined in this chapter, for the
2 grants. The board may also recommend changes in the operation of
3 the program. The recommendations to the Governor shall be made
4 after the board consults with local workforce investment boards,
5 secondary schools and postsecondary institutions.
6 (G) FUNDING PRIORITIES.--PRIORITY FOR GRANTS FOR THE FISCAL <--
7 YEAR 2003-2004 SHALL BE GIVEN TO WORKFORCE RECRUITMENT,
8 RETENTION AND ADVANCED TRAINING WITHIN THE FIELDS OF HEALTH
9 CARE, LONG-TERM CARE AND HOME AND COMMUNITY-BASED SERVICES.
10 Section 705-A. Approval of applications and contracts.
11 The Chief Operating Officer, in consultation with a committee
12 composed of the participating agencies, may approve a grant
13 application and the appropriate Commonwealth agency or agencies
14 shall enter into a contract with an eligible applicant to
15 provide critical job training grants to the extent of funds
16 identified by participating agencies for this purpose.
17 Notwithstanding the act of December 20, 1985 (P.L.492, No.116),
18 known as the Customized Job Training Act, or its successor
19 provisions, the Department of Community and Economic Development
20 may use funds appropriated under the act to provide critical job
21 training grants to eligible applicants.
22 CHAPTER 9
23 WORKFORCE LEADERSHIP GRANTS
24 Section 901. Purpose.
25 The purpose of this chapter is to use funds appropriated for
26 these grants to establish innovative programs that address
27 short-term and long-term workforce development needs in industry
28 clusters critical to the development of the new economy in this
29 Commonwealth.
30 Section 902. Innovative programs.
20020H2778B4568 - 36 -
1 (a) Program content.--An innovative program shall address
2 one of the following:
3 (1) Integrated and seamless secondary and postsecondary
4 education and training with area vocational-technical schools
5 and career technology centers; secondary schools, including
6 charter schools at these grade levels; community colleges;
7 TECHNICAL COLLEGES; and institutions with baccalaureate and <--
8 graduate degree programs.
9 (2) Assistance to local workforce investment areas to
10 address the establishment of a community college OR TECHNICAL <--
11 COLLEGE and to expand community college OR TECHNICAL COLLEGE <--
12 services in the area.
13 (3) Agile, flexible and responsive training programming
14 for incumbent workers.
15 (b) Curriculum concentrations.--The curriculum and programs
16 under subsection (a)(1) shall be focused on three cluster areas:
17 Bio-Technology/Life Sciences; Information Technology/Opto-
18 Electronics and Advanced Manufacturing and Materials.
19 (c) Business interaction.--The programs under subsection
20 (a)(1) must be developed and continue to operate with direct
21 business interaction in the curriculum, the recruitment of
22 students, internships and the placement of graduates. The
23 application and use of nanotechnology shall be an integral part
24 of postsecondary instruction with exposure to this technology
25 for students at the secondary level.
26 (d) Award of grants.--Workforce leadership grants shall be
27 awarded for each of the three cluster areas in subsection (a)(1)
28 to applicants demonstrating substantial program integration
29 across educational levels and with a significant number of
30 participating institutions. Applicants able to leverage other
20020H2778B4568 - 37 -
1 funding and programming resources shall receive additional
2 consideration in the determination of awards.
3 Section 903. Program operation.
4 The Chief Operating Officer, in consultation with the
5 participating agencies and the board, shall manage the operation
6 of this program, establish guidelines and an application process
7 for the grants, develop such forms and institute procedures to
8 implement this program, determine the distribution of funds, and
9 determine the approved applications for innovative programs as
10 established in section 902. Appropriate agency staffing support
11 as determined by the participating agencies and the Governor
12 shall be provided for the operation of this program. The
13 appropriate participating agency or agencies shall enter into a
14 contract with an eligible applicant to provide workforce
15 leadership grants from funds appropriated for this purpose or
16 from funds identified by the participating agencies for this
17 purpose.
18 CHAPTER 11
19 TAP WORKFORCE DEVELOPMENT
20 SCHOLARSHIP ACCOUNTS
21 Section 1101. Establishment.
22 (a) Establishment.--Every local workforce investment board
23 that has become a not-for-profit corporation as defined by
24 subsection (c)(3) of section 501 of the Internal Revenue Code of
25 1986 (Public Law 99-514, 26 U.S.C § 501(c)(3)) may establish TAP
26 workforce development scholarship accounts.
27 (b) Operation.--Each local workforce investment board
28 establishing TAP workforce development scholarship accounts
29 shall establish and operate such accounts pursuant to the
30 Treasury Department's rules, regulations, and practices for such
20020H2778B4568 - 38 -
1 accounts.
2 (c) Type of investments.--Local workforce investment boards
3 may only establish TAP workforce development scholarship
4 accounts using the Treasury Department's Tuition Account
5 Investment Program.
6 Section 1102. Joint TAP workforce development scholarship
7 accounts.
8 Two or more local workforce investment boards may together
9 establish joint TAP workforce development scholarship accounts,
10 provided that the establishment of such joint accounts includes
11 rules that specify how the funds in such accounts shall be
12 divided between the local workforce investment boards to fund
13 workforce development training scholarships. Such rules may be
14 changed at any time subject to the agreement of all the involved
15 local workforce investment boards.
16 Section 1103. Funding of scholarship accounts.
17 TAP workforce development scholarship accounts may be funded
18 by private donations, the Federal Government, political
19 subdivisions of this Commonwealth, and any postsecondary
20 institution. Private donations made by a business firm for TAP
21 workforce development scholarship accounts shall not exceed
22 $300,000 annually per business. For the purposes of this
23 chapter, a business firm shall be defined as an entity
24 authorized to do business in this Commonwealth and subject to
25 taxes imposed under Article IV, VI, VII, VII-A, VIII, VIII-A, IX
26 or XV of the act of March 4, 1971 (P.L.6, No.2), known as the
27 Tax Reform Code of 1971.
28 Section 1104. Use of TAP workforce development scholarship
29 accounts.
30 (a) Utilization.--A local workforce investment board shall
20020H2778B4568 - 39 -
1 use the TAP workforce development scholarship accounts to
2 provide scholarships for workforce development training to
3 individuals residing in its local workforce investment area. A
4 local workforce investment board shall give priority to the
5 awarding of TAP workforce development scholarships to persons
6 seeking training in industry clusters or in skill training needs
7 identified in its local workforce investment plan provided under
8 section 504.
9 (b) Awards.--
10 (1) A local workforce investment board may award a
11 scholarship for training to be received outside of its local
12 workforce investment area.
13 (2) A local workforce investment board may award a
14 scholarship for training to be received outside of this
15 Commonwealth providing the recipient is employed within this
16 Commonwealth.
17 Section 1105. Consultations with Treasury Department.
18 Each local workforce investment board that has TAP workforce
19 development scholarship accounts shall annually discuss the
20 performance of the accounts with the Treasury Department.
21 Section 1106. Consultations with Treasury Department.
22 The COO of the Pennsylvania Workforce Investment Board shall
23 annually discuss the performance of the TAP workforce
24 development scholarship accounts with the Treasury Department.
25 CHAPTER 13
26 SELF-EMPLOYED ASSISTANCE
27 Section 1301. Definitions.
28 The following words and phrases when used in this chapter
29 shall have the meanings given to them in this section unless the
30 context clearly indicates otherwise:
20020H2778B4568 - 40 -
1 "Department." The Department of Labor and Industry of the
2 Commonwealth.
3 "Full-time basis." The devoting of the amount of time
4 prescribed by the Department of Labor and Industry to be
5 necessary for a program participant to establish a business and
6 become self-employed.
7 "Program." The self-employment assistance program
8 established in section 1302.
9 "Program participant." An individual:
10 (1) who, at the discretion of the Department of Labor
11 and Industry, is selected for participation in the program
12 from among individuals who are eligible for regular benefits
13 and are identified through a worker profiling system as
14 likely to exhaust regular benefits;
15 (2) who is eligible for funding for participation in the
16 program;
17 (3) for whom funding for participation in the program is
18 available; and
19 (4) who has not been terminated from or voluntarily left
20 the program.
21 "Regular benefits." Benefits payable to an individual under
22 the act of December 5, 1936 (2nd Sp.Sess., 1937 P.L.2897, No.1),
23 known as the Unemployment Compensation Law, or unemployment
24 compensation benefits payable to Federal civilian employees and
25 to ex-service members pursuant to Federal law, other than
26 additional and extended benefits.
27 "Self-employment assistance activities." Activities,
28 including entrepreneurial training, business counseling and
29 technical assistance, which are approved by the Department of
30 Labor and Industry for the program participant. These activities
20020H2778B4568 - 41 -
1 may be provided by either the Department of Labor and Industry
2 or its designated service provider.
3 "Self-employment assistance allowance." An allowance which
4 is in lieu of regular benefits and funded in the same manner as
5 regular benefits and which is payable to a program participant
6 who meets the requirements of this chapter.
7 "Unemployment Compensation Law." The act of December 5, 1936
8 (2nd Sp.Sess., 1937 P.L.2897, No.1), known as the Unemployment
9 Compensation Law.
10 Section 1302. Program.
11 The department shall establish a self-employment assistance
12 program subject to the availability of funds necessary for the
13 program. The department may implement the program on a pilot
14 basis. Information about the program shall be made available to
15 potential program participants.
16 Section 1303. Self-employment assistance allowance.
17 Subject to the provisions of section 1504, the weekly self-
18 employment assistance allowance payable under this chapter to a
19 program participant shall be equal to the weekly benefit amount
20 for regular benefits otherwise payable. The sum of the
21 allowances paid under this chapter and regular benefits paid
22 with respect to any benefit year shall not exceed the maximum
23 amount payable for the benefit year under section 404 of the
24 Unemployment Compensation Law.
25 Section 1304. Eligibility.
26 (a) General rule.--The self-employment assistance allowance
27 described in section 1503 shall be payable to a program
28 participant who participates in self-employment assistance
29 activities and who is actively engaged on a full-time basis in
30 efforts to establish a business and become self-employed. The
20020H2778B4568 - 42 -
1 self-employment assistance allowance shall be payable at the
2 same interval, on the same terms and subject to the same
3 conditions as regular benefits, except as follows:
4 (1) The requirements of sections 401(d)(1) and 402(a) of
5 the Unemployment Compensation Law are not applicable to the
6 program participant.
7 (2) The requirements of sections 402(h) and 404(d)(1) of
8 the Unemployment Compensation Law are not applicable to
9 income earned from self-employment by the program
10 participant.
11 (3) The program participant shall be considered to be
12 unemployed under sections 401 and 402 of the Unemployment
13 Compensation Law.
14 (b) Ineligibility.--A program participant who fails to
15 participate in self-employment assistance activities or who
16 fails to actively engage on a full-time basis in efforts to
17 establish a business and become self-employed shall be
18 ineligible for a self-employment assistance allowance for a week
19 in which such failure occurs.
20 Section 1305. Termination.
21 A program participant may be terminated from the program by
22 the department if the individual fails to participate in self-
23 employment assistance activities or fails to actively engage on
24 a full-time basis in efforts to establish a business and become
25 self-employed. Individuals who are terminated from or
26 voluntarily leave the program may receive, if otherwise
27 eligible, regular benefits with respect to the benefit year,
28 provided that the sum of regular benefits paid and self-
29 employment assistance allowances paid with respect to the
30 benefit year shall not exceed the maximum amount payable for the
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1 benefit year under section 404 of the Unemployment Compensation
2 Law.
3 Section 1306. Limitation.
4 For a specific time period, the number of program
5 participants receiving a self-employment assistance allowance
6 under this chapter shall not exceed 5% of the number of
7 individuals receiving regular benefits during that time period.
8 Section 1307. Costs.
9 Self-employment assistance allowances paid under this chapter
10 shall be charged to employers as regular benefits are charged
11 under the Unemployment Compensation Law.
12 Section 1308. Applicability of Unemployment Compensation Law.
13 (a) General.--Except where inconsistent with this chapter,
14 all terms and conditions of Federal law and the Unemployment
15 Compensation Law applicable to regular benefits shall be
16 applicable to self-employment assistance allowances under this
17 chapter.
18 (b) Specific.--Article V of the Unemployment Compensation
19 Law shall apply to determinations under this chapter.
20 Section 1309. Rules and regulations.
21 The department may promulgate regulations to carry out the
22 purposes of this chapter.
23 Section 1310. Report to General Assembly.
24 (a) General rule.--The department shall make a report of the
25 program to the Labor and Industry Committee of the Senate and
26 the Labor Relations Committee of the House of Representatives by
27 March 1 of each year.
28 (b) Content.--The report shall include annual data on the
29 number of program participants and the number of businesses
30 developed under the program, business survival data, the cost of
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1 operating the program, compliance with program requirements and
2 data related to business income, the number of employees and
3 wages paid in the new businesses and the incidence and duration
4 of unemployment after business start-up. The report may also
5 include any recommended changes in the program.
6 Section 1311. Notice.
7 If the Secretary of Labor and Industry determines that
8 Federal Law no longer authorizes the provisions of this chapter,
9 the secretary shall transmit notice of the determination to the
10 Legislative Reference Bureau for publication in the Pennsylvania
11 Bulletin. In the notice the secretary shall specify, as the
12 expiration date of this chapter, the date of the last day of the
13 week preceding the date on which Federal law no longer
14 authorizes the provisions of this chapter.
15 Section 1312. Expiration.
16 This chapter shall expire on the date specified in the notice
17 under section 1311.
18 CHAPTER 15
19 WORKFORCE DEVELOPMENT COURSES
20 Section 1501. Reimbursement for community colleges AND <--
21 TECHNICAL COLLEGES.
22 (a) Calculation.--Community colleges AND TECHNICAL COLLEGES <--
23 offering noncredit courses defined in this chapter as "workforce
24 development courses" shall be reimbursed by the Commonwealth
25 using 100% of the reimbursement factor utilized for credit
26 courses under section 1913-A of the act of March 10, 1949
27 (P.L.30, No.14), known as the Public School Code of 1949.
28 (b) Priorities.--The priorities of the Commonwealth and its
29 needs for education and training of workers and potential
30 workers shall be considered in changes and additions to the
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1 subject matter of workforce development courses.
2 (c) Course sites.--Noncredit workforce development courses
3 may be offered by a community college OR A TECHNICAL COLLEGE at <--
4 an off-campus site, at any of its facilities or through any form
5 of distance education.
6 Section 1502. Definition.
7 For the purposes of this chapter, the term "workforce
8 development courses" is defined as those noncredit courses
9 having the specific purpose of providing opportunities for
10 students and incumbent workers to develop and/or upgrade skills
11 necessary or useful in gainful employment, for promotion or
12 other similar opportunities in existing employment, or for
13 learning new job skills. The subject matter of noncredit
14 workforce development courses may encompass, but is not limited
15 to, instruction in any of the following general areas:
16 (1) Computers and information processing and technology,
17 including the study of both hardware and software
18 applications.
19 (2) Management, supervision and basic employability
20 skills, including, but not limited to, working in teams,
21 management and supervisory skills, effective interpersonal
22 relations, problem solving, self-management strategies,
23 project management and the application of Federal and State
24 laws to the workplace.
25 (3) Health professional and allied health job skills.
26 (4) Technical, manufacturing and service industries,
27 including, but not limited to, jobs in such fields as
28 powdered metals, machine tool and die-making, electronics,
29 safety, plastics technology, hydraulics, construction,
30 warehouse/materials management, automotive repair and
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1 management, heating, ventilation and air conditioning,
2 refrigeration and tourism.
3 (5) Adult literacy, including, but not limited to, adult
4 basic education, the general educational development (GED)
5 diploma and English as a second language.
6 (6) Continuing professional education courses.
7 Section 13. Section 4903 of the act is repealed.
8 Section 14. The following acts and parts of acts are
9 repealed to the extent specified:
10 Act of November 26, 1997 (P.L.504, No.54), known as the Self-
11 Employment Assistance Program Act, absolutely.
12 Section 1913-A of the act of March 10, 1949 (P.L.30, No.14),
13 known as the Public School Code of 1949, insofar as it is
14 inconsistent with this act.
15 Section 15. The addition of Chapter 13 of the act is a
16 continuation of the act of November 26, 1997 (P.L.504, No.54),
17 known as the Self-Employment Assistance Program Act. The
18 following apply:
19 (1) Except as set forth in paragraph (2), any difference
20 in language between the Self-Employment Assistance Program
21 Act and Chapter 13 of the act is intended only to conform to
22 the style of the act and is not intended to change or affect
23 the legislative intent, judicial construction or
24 administration and implementation of the Self-Employment
25 Assistance Program Act.
26 (2) Paragraph (1) does not apply to the following
27 provisions of Chapter 13 of the act:
28 (i) The definitions of "full-time basis" and "self-
29 employment assistance activities" in section 1301.
30 (ii) Section 1311.
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1 Section 16. The provisions of section 302(d) of the act
2 shall expire March 1, 2003.
3 Section 17. This act shall take effect as follows:
4 (1) Except for operations described in Chapters 7-A, 9
5 and 11 of the act, section 304 of the act shall take effect
6 March 1, 2003.
7 (2) The amendment or addition of section 306 and Chapter
8 15 of the act shall take effect July 1, 2003.
9 (3) The remainder of this act shall take effect
10 immediately.
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