Regular Session 2021-2022 House Bill 0723 P.N. 2193

SENATE AMENDED

PRIOR PRINTER'S NOS. 710, 1312

PRINTER'S NO. 2193

THE GENERAL ASSEMBLY OF PENNSYLVANIA

HOUSE BILL

No.

723

Session of

2021

INTRODUCED BY MIZGORSKI, SAYLOR, SCHLEGEL CULVER, MILLARD,

STAMBAUGH, HILL-EVANS AND KENYATTA, MARCH 2, 2021

SENATOR BARTOLOTTA, LABOR AND INDUSTRY, IN SENATE, AS AMENDED,

SEPTEMBER 28, 2021

AN ACT

Amending the act of December 18, 2001 (P.L.949, No.114),

entitled "An act establishing a unified workforce investment

system; restructuring certain administrative functions,

procedures and entities; transferring workforce development

functions of Commonwealth agencies; establishing the

Pennsylvania Workforce Investment Board; providing for

critical job training grants, for guarantees for program

quality and performance for workforce development programs,

for workforce leadership grants and for industry

partnerships; establishing the Keystone Works Program; and

authorizing local workforce investment boards," further

providing for title of act; in preliminary provisions,

further providing for declaration of policy, for definitions

and for lobbying; in board, further providing for

establishment, for membership, for conflicts of interest, for

plan, functions and responsibilities and for State

performance management system and providing for performance

accountability system; in local workforce investment areas

and boards, further providing for establishment, for

membership, for conflicts of interest, for plan, functions

and responsibilities and for local performance measures; in

critical job training grants, further providing for purpose,

for definitions, for program operation and for grants; in

workforce leadership grants, further providing for innovative

programs; in industry partnerships, further providing for

DEFINITIONS, FOR industry clusters, for grant program

operation and, for interdepartmental cooperation AND FOR

INDUSTRY AND LABOR MARKET RESEARCH AND PROVIDING FOR

DISSEMINATION OF INDUSTRY AND LABOR MARKET RESEARCH TO

EDUCATIONAL INSTITUTIONS; in miscellaneous provisions,

further providing for construction; and making editorial

changes.

<--

The General Assembly of the Commonwealth of Pennsylvania

hereby enacts as follows:

Section 1. The title and sections 102(4)(iv) and (5), 103,

104 and 301 of the act of December 18, 2001 (P.L.949, No.114),

known as the Workforce Development Act, are amended to read:

AN ACT

Establishing a unified workforce [investment] development

system; restructuring certain administrative functions,

procedures and entities; transferring workforce development

functions of Commonwealth agencies; establishing the

Pennsylvania Workforce [Investment] Development Board;

providing for critical job training grants, [for guarantees]

for program quality and performance for workforce development

programs, for workforce leadership grants and for industry

partnerships; [establishing the Keystone Works Program;] and

authorizing local workforce [investment] development boards.

Section 102. Declaration of policy.

The General Assembly finds and declares as follows:

* * *

(4) Achievement of a world-class workforce in this

Commonwealth is best accomplished through a unified system

which is dedicated to and operates in adherence with the

following basic philosophy and core values:

* * *

(iv) Stewardship of public resources, emphasizing

private sector solutions to workforce [investment]

development goals supplemented by public/private

partnerships and limited government involvement when

necessary.

* * *

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(5) This act enables the Commonwealth to participate in

the program under the [Workforce Investment Act of 1998

(Public Law 105-220, 112 Stat. 936)] Workforce Innovation and

Opportunity Act (Public Law 113-128, 128 Stat. 1425).

Section 103. Definitions.

The following words and phrases when used in this act shall

have the meanings given to them in this section unless the

context clearly indicates otherwise:

"Board." The Pennsylvania Workforce [Investment] Development

Board established in section 301.

"Certification." An approval issued by the Governor, upon

recommendation by the board, to a local workforce [investment]

development board which satisfies the eligibility requirements

established by the Governor, upon recommendation by the board.

"Chief elected official." [Any of the following:

(1) The mayor of a city of the first class.

(2) The mayor of a city of the second class.

(3) The chairperson of the board of commissioners of a

county or an individual acting in that capacity.

(4) The county executive in a home rule charter county

or optional plan county under 53 Pa.C.S. Pt. III Subpt. E

(relating to home rule and optional plan government).

(5) The county executive in a county of the second class

which has opted for home rule under Article XXXI-C of the act

of July 28, 1953 (P.L.723, No.230), known as the Second Class

County Code.]

(1) The chief elected executive officer of a political

subdivision designated as a local workforce development area.

(2) If a local workforce development area includes more

than one political subdivision, the chief elected officials

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in the local workforce development area may execute an

agreement that specifies the respective roles of each chief

elected official in the appointment of the members of a local

workforce development board and in carrying out

responsibilities assigned to the officials under this act or

the Workforce Innovation and Opportunity Act, including the

respective roles of each chief elected official in the

appointment of members of a local workforce development

board.

"Core program." Any of the following:

(1) The provisions of Title I, Subtitle B, Chapters 2

and 3 and Title II of the Workforce Innovation and

Opportunity Act.

(2) The provisions of sections 1 through 13 of the

Wagner-Peyser Act of 1933 (Public Law 73-30, 48 Stat. 113).

(3) The provisions of Title I of the Rehabilitation Act

of 1973 (Public Law 93-112, 29 U.S.C. § 720 et seq.), other

than section 112 or Part C (29 U.S.C. § 732, 741).

"Customer." Any employer, job seeker or incumbent worker who

wishes to engage in workforce [investment] development

activities which fall within the purview of this act or any

other individual not precluded under the Workforce Innovation

and Opportunity Act. The term does not include a service

provider.

"Customized training." Training which is designed to meet

the special requirements of an employer, including a group of

employers, and which is conducted with a commitment by the

employer to employ an individual on successful completion of the

training[.] for which the employer pays:

(1) A significant portion of the cost of training as

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determined by the local workforce development board involved,

taking into account the size of the employer and other

factors as the local workforce development board determines

to be appropriate, which may include the number of employees

participating in training, wage and benefit levels of those

employees, at present and anticipated upon completion of the

training, relation of the training to the competitiveness of

a participant and other employer-provided training and

advancement opportunities.

(2) In the case of an employer located in multiple areas

of this Commonwealth, a significant portion of the cost of

the training, as determined by the Governor, taking into

account the size of the employer and other factors as the

Governor determines to be appropriate.

"Eligible youth." An individual who:

(1) is not less than 14 years of age and not more than

[21] 24 years of age;

[(2) is a low-income individual; and

(3) is an individual who is:

(i) deficient in basic literacy skills;

(ii) a school dropout;

(iii) homeless;

(iv) a runaway or a foster child;

(v) pregnant or a parent;

(vi) an offender; or

(vii) in need of additional assistance to complete

an educational program or to secure and hold employment.]

and

(2) is one of the following:

(i) an "out-of-school youth" as defined in section

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129(a)(1)(B) of the Workforce Innovation and Opportunity

Act; or

(ii) an "in-school youth" as defined in section

129(a)(1)(C) of the Workforce Innovation and Opportunity

Act.

"Employment." Work that is employer based or

entrepreneurial.

"Information access." An information system which:

(1) makes use of a combination of technologies and means

of access;

(2) is readily identifiable and easily accessible; and

(3) enables the sharing of workforce investment

information across all parts of the unified system and is

available to all customers.

"Lifelong learning." Formal and informal learning and

training activities, as well as work experience, which develop

the knowledge and the learning skills of students and customers

to enhance learning, employability and the quality of life for

each individual in society.

"Local plan." A comprehensive four-year local plan as

specified in section 108 of the Workforce Innovation and

Opportunity Act.

"Local workforce [investment] development area." An area

designated [by the Governor, through consultation with the board

and the chief elected officials, to further the goals and

purpose of this act] under section 501.

"Local workforce [investment] development board." [An entity

recommended for certification by the board, certified by the

Governor and organized to further the goals and purpose of this

act.] A local workforce development board established under

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section 501.

"One-stop delivery system." A one-stop collaborative network

of service providers designed to deliver to customers high-

quality information access, lifelong learning, transitional or

work support services or activities and economic investment

services and activities at a county or multicounty level.

"Participating agencies." All of the following:

(1) The Department of Aging.

(2) The Department of Community and Economic

Development.

(3) The Department of Education.

(4) The Department of Labor and Industry.

(5) The Department of [Public Welfare] Human Services.

(6) Any agency which oversees and monitors funds

appropriated by the Federal Government and designated by the

Governor or funds specifically appropriated by the General

Assembly for workforce [investment] development which falls

under the authority of the board.

"Planning region." Regions as provided under section 106(a)

(2)(B) of the Workforce Innovation and Opportunity Act.

"Regional plan." A plan for a planning region as provided

under section 106(c)(2) of the Workforce Innovation and

Opportunity Act.

"School entity." A public school district, intermediate unit

or area vocational-technical school.

"Service provider." Any individual, partnership or

corporation, secondary or postsecondary educational institution

or intermediate unit or public agency that engages in the

business of providing workforce [investment] development

services and activities for monetary remuneration.

20210HB0723PN2193 - 7 -

"State plan." A unified state plan under section 102 of the

Workforce Innovation and Opportunity Act or a combined state

plan under section 103 of the Workforce Innovation and

Opportunity Act.

"Transitional support." Wage loss or subsistence programs,

such as public assistance, unemployment compensation and

workers' compensation, which are designed to provide temporary

income during a defined interim period to enable a customer to

pursue employment opportunities and to obtain and engage in

employment.

"Unified system." The system for the delivery of workforce

[investment] development programs to [assure] encourage a well-

educated, highly skilled workforce for this Commonwealth.

"Work support." Assistance which helps a customer secure and

maintain employment, such as assistance in securing child care,

transportation, vocational rehabilitation goods or services or

case management.

"Workforce development." Information access and lifelong

learning activities. The term includes vocational education

programs; programs in community colleges, technical colleges and

postsecondary education institutions authorized to grant

diplomas and certificates, specialized associate, associate,

baccalaureate and advanced degrees; and transitional support and

work support services or activities which enable customers to

engage in or prepare for employment opportunities.

"Workforce Innovation and Opportunity Act." The Workforce

Innovation and Opportunity Act of 2014 (Public Law 113-128, 128

Stat. 1425).

["Workforce investment." Workforce development.]

"Youth activity." An activity which is carried out for

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eligible youths.

Section 104. Lobbying.

An individual who is registered as a lobbyist under 65

Pa.C.S. Ch. 13 (relating to lobby regulation and disclosure) may

not serve as a member of the board or as a member of a local

workforce [investment] development board.

Section 301. Establishment.

The Pennsylvania Workforce [Investment] Development Board is

established to advise and assist the Governor and the General

Assembly on the implementation of a unified system to assure a

well-educated, highly skilled workforce. The board is

responsible for unifying the Commonwealth's existing Federal and

State workforce [investment] development programs into an

integrated system. All recommendations and decisions of the

board shall be in compliance with the [Workforce Investment Act

of 1998 (Public Law 105-220, 112 Stat. 936)] Workforce

Innovation and Opportunity Act.

Section 2. Section 302(a)(3)(i), (iii) and (vi) and (4),

(b), (f) and (i) of the act are amended and subsection (a) is

amended by adding a paragraph to read:

Section 302. Membership.

(a) General rule.--The board shall be established as

follows:

* * *

(3) Representatives appointed by the Governor [who are:]

as follows:

(i) [Representatives] A majority shall be

representatives of business[, including] who:

(A) Are private sector employers,

representatives from each of the Commonwealth's

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marketing regions, owners of businesses, chief

executive officers, other business executives with

optimum policymaking or hiring authority[, members of

local workforce investment boards] and businesses

that reflect the employment opportunities in this

Commonwealth, including large and small employers.

Members under this clause may be members of a local

workforce development board.

(B) Represent businesses, including small

businesses, or organizations representing businesses

described in clause (A), which provide employment

opportunities that, at a minimum, include high-

quality, work-relevant training and development in

in-demand industry sectors or occupations in this

Commonwealth.

State business organizations and trade associations.

* * *

(iii) [Representatives of labor organizations who

have been nominated by State labor federations.] At least

20% of representatives appointed under this paragraph

shall be representatives of the workforce within this

Commonwealth who:

(A) Shall include representatives of labor

organizations who have been nominated by Pennsylvania

labor federations.

(B) Shall include a representative who is a

member of a labor organization or a training director

from a joint labor-management apprenticeship program

or, if no joint labor-management apprenticeship

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program exists in this Commonwealth, a representative

of an apprenticeship program in this Commonwealth.

* * *

(vi) Lead Commonwealth agency officials, including:

(A) The Secretary of Aging.

(B) The Secretary of Community and Economic

Development.

(D) The Secretary of Labor and Industry.

(E) The Secretary of [Public Welfare] Human

Services.

(F) The Director of the Governor's Policy

Office.

* * *

[(4) A majority of the board under this subsection must

be representatives of business.]

(3.1) No individual shall serve as a member representing

more than one of the categories described under section

101(b)(1)(C) of the Workforce Innovation and Opportunity Act.

* * *

(b) Chairperson.--The Governor shall designate, to serve at

the Governor's pleasure, a [member from the private sector]

representative of business to serve as chairperson of the board

[and one government representative to serve as vice chairperson

of the board].

* * *

(f) Executive committee.--An executive committee that

includes representation from [the private sector] business may

be established and authorized under the board within the

provisions of the Workforce Innovation and Opportunity Act to

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fulfill the board's responsibilities. The organization framework

may utilize existing staff structure or develop its own staffing

arrangement.

* * *

(i) Personnel, equipment, resources.--The policy and program

offices of the Department of Aging, the Department of Community

and Economic Development, the Department of Education, the

Department of Labor and Industry and the Department of [Public

Welfare] Human Services shall provide personnel, equipment and

resources as required for the functioning of the board.

Section 3. Sections 303(2), 304(a)(1), (2), (7), (8), (10),

(11), (12), (13), (14), (18), (18.1) and (19) and (b) and 305.1

of the act are amended to read:

Section 303. Conflicts of interest.

A member of the board may not do any of the following:

* * *

(2) Engage in any other activity determined by the

Governor to constitute a conflict of interest as specified in

the State plan or unified system.

Section 304. Plan, functions and responsibilities.

(a) General rule.--The board, in furtherance of section 102,

shall advise and assist the Governor on all of the following:

(1) Development and adoption of and adherence to,

throughout the unified system, standards, principles,

policies, goals, financial resource investment priorities and

strategies for workforce [investment] development to maintain

continuously a competitive advantage for this Commonwealth.

(2) Monitoring and assuring collaboration of the

investment of all funds specifically appropriated by the

Federal Government and designated by the Governor or funds

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specifically appropriated by State government for workforce

[investment] development under any Federal or State statute.

* * *

(7) Evaluation of whether the [unified workforce

investment] local plans submitted by local workforce

[investment] development boards [consistent with local plan

requirements developed by the board. The objective of the

plans is to develop local and regional templates from which

Federal and State funds can be aligned and targeted toward

common goals and objectives.] support the strategies

described by the State plan and are consistent with the State

plan.

(8) Securing appropriate input from local workforce

[investment] development boards in the development of

policies, local performance measures or investment

strategies.

* * *

[(10) Contracting or developing written agreements or

memoranda of understanding with participating agencies for

the administration and management of workforce investment

programs and activities under the responsibility of the

board.]

(11) Providing technical assistance to local workforce

[investment] development boards to assist them in maximizing

the investment of public money.

(12) Setting the criteria, as permitted by the Workforce

Innovation and Opportunity Act, for unified system and

service provider participation and developing a systemwide

[marketing] outreach program.

(13) Recommending certification or recertification of

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local workforce [investment] development boards [by giving

consideration to all of the following:

(i) The proposed local workforce investment board's

leadership system and its capability to effectively

monitor and assure collaboration of workforce investment

programs.

(ii) The portion of the labor market or geographical

area to be served by the proposed local workforce

investment board.] under the authority provided to the

Governor by Federal law for certification or

recertification. In particular, when considering

recertification, the extent to which the local workforce

development board has ensured that workforce development

activities carried out in the local area have enabled the

local area to achieve sustained fiscal integrity, as

defined in section 106(b)(2) of the Workforce Innovation

and Opportunity Act, meet the corresponding performance

accountability measures and any other factors deemed

necessary by the Governor .

(14) Recommending necessary action, including

decertification, if a local workforce [investment]

development board fails to [act, acts improperly] carry out

its functions as specified by law, engages in fraud or abuse

or fails to meet [the conditions of its unified local

workforce investment plan in which Federal or State funds

have been invested.] established local performance

accountability measures for the local area for two

consecutive program years.

* * *

(18) [Assuring] Encouraging the implementation of

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Federal and State statutory mandates which fall within the

purview of the unified system.

(18.1) Recommendations regarding the operation of the

one-stop delivery system and local workforce [investment]

development boards.

(19) Compilation of an annual report which shall be

submitted to the General Assembly, the Secretary of the

Senate and the Chief Clerk of the House of Representatives by

March 1 and which shall include all of the following:

(i) A detailed explanation of the performance

measures used and how the performance measures were

developed.

(ii) An explanation of the process used to achieve

continuous improvement of workforce [investment]

development activities.

(iii) The anticipated course of actions to be taken

by the board to encourage continuous improvement in the

unified system.

(iv) A list of the membership of the board,

including name, affiliation, address, telephone number,

telefax number and electronic mail address.

(v) An explanation of the process used to negotiate

levels of local performance.

(vi) A list of all certified local workforce

[investment] development boards in this Commonwealth,

including each local workforce board's negotiated level

of local performance, each local workforce board's level

of performance attained and the action taken with respect

to any local workforce [investment] development board

which failed to meet its negotiated level of local

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performance.

(vii) A copy of the annual report submitted by each

local workforce [investment] development board to the

board.

(viii) An accounting of Federal and State funds

expended for workforce [investment] development in the

previous fiscal year by line item and program.

(b) Evaluation of plans.--In order to develop an effective

system to evaluate the [unified workforce investment] local

plans submitted by local workforce [investment] development

boards, the board shall:

(1) Seek the participation of the participating agencies

to ensure that the plans integrate workforce programs.

(2) Seek the advice of local workforce [investment]

development boards to identify areas where federally and

State-funded workforce resources can be maximized in a local

region.

(3) Work with the participating agencies and local

workforce [investment] development boards to fully implement

local [workforce investment] plans.

(4) Ensure that local [workforce investment] plans

incorporate sufficient levels of community engagement,

participation and input from workforce development

partnerships.

The review of the plans shall determine the extent to which

State workforce development funds have been integrated with the

approved plan.

Section 305.1. [State performance] Commonwealth fiscal

management accountability information system.

[(a) General rule.--The board shall establish a system for

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the development, oversight, modification and continuous

improvement of a comprehensive performance accountability system

that will provide effective measures of the performance and

impact of the workforce development system at the State and

local levels. The system will include input from board members,

local workforce investment boards, operators of the one-stop

delivery system, workforce development program providers,

business and industry and the participating agencies. The system

will be designed to produce recommendations to the board, the

Governor and the General Assembly and shall function within time

frames established by the board. The system shall be

comprehensive and provide a reporting system for program funding

as established by the board. The system shall:

(1) Identify one or more State agencies responsible for

the coordination and management of data.

(2) Identify systems for tracking and reporting of

information and determining the role of the State and local

workforce investment boards.

(3) Enable the development and funding of a locally

based management information system that will provide local

workforce investment boards and the board with management

data.

(4) Enable revisions to the performance management

system.

(b) Required performance measures.--The State performance

management system shall include:

(1) Entry into unsubsidized employment.

(2) Retention in unsubsidized employment six months

after entry into the employment.

(3) Earnings received in unsubsidized employment six

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months after entry into the employment.

(4) Attainment of a recognized credential relating to

achievement of educational skills, including attainment of a

secondary school diploma or its recognized equivalent, or

occupational skills by participants who enter unsubsidized

employment or by participants who are eligible youths between

the ages of 19 and 21 and who enter postsecondary education,

advanced training or unsubsidized employment.

(5) The use of Federal funds for training services,

including activities authorized under Chapter 2 of Title II

of the Trade Act of 1974 (Public Law 93-618, 19 U.S.C. § 2101

et seq.).

(6) Guarantees for program quality and performance.

(7) Uniform program performance measures.

The required performance measures in paragraphs (1) through (5)

may be modified by the board to be aligned with common

performance measures adopted pursuant to revisions to the

Workforce Investment Act of 1998 (Public Law 105-220, 112 Stat.

936) or the adoption of common performance measures by the

Federal agencies covered by this act.

customer satisfaction shall also be considered. The customer

satisfaction indicator of performance shall consist of customer

satisfaction of employers and participants with services

received from workforce investment activities. Customer

satisfaction may be measured through surveys conducted after the

conclusion of participation in the workforce investment

activities. These surveys shall include questions about whether

employers, grant recipients and participants are able to quickly

receive funding.

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(d) Guarantees for program quality and performance.--

Ensuring the quality of workforce development programs is an

essential function of the board. The board shall establish one

or more quality performance guarantees for workforce development

programs under this act. A guarantee may include:

(1) A guarantee or warranty for the training provided to

an incumbent worker, employee, job seeker or student.

(2) Successful completion of a certificate or short-term

training class or program established by a college or

university, a private licensed school established under the

act of December 15, 1986 (P.L.1585, No.174), known as the

Private Licensed Schools Act, or a local workforce investment

board.

(3) Passage of a nationally recognized or industry-

recognized certificate examination.

(4) A combination of paragraphs (1) through (3).

(5) Other requirements established by the board.

The program quality and performance guarantee shall provide for

additional education or training for persons who become employed

and are not able to perform their duties at a satisfactory

level, for employees receiving customized job training or other

training that is not satisfactory for the employer and for

students advancing to the next sequence of an integrated and

seamless secondary and postsecondary education program, as

established in section 902, who are not capable of performing at

this academic level. The board shall consult with local

workforce investment boards and program providers prior to the

adoption of the guarantees for program quality and performance.

The guarantee provisions shall be adopted by the board by June

30, 2003.] The Governor, in coordination with the board,

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Commonwealth agencies administering the core programs, local

workforce development boards and chief elected officials shall

establish and operate a fiscal management accountability

information system based on guidelines established by the United

States Secretary of Labor and the United States Secretary of

Education. Funds for the establishment and operation of the

fiscal management accountability information system shall be

money that is authorized under a core program and made available

to carry out Title I, Subtitle A, Chapter 4 of the Workforce

Innovation and Opportunity Act.

Section 4. The act is amended by adding a section to read:

Section 305.2. Performance accountability system.

(a) Required performance measures.--The board shall assist

the Governor in developing and updating comprehensive State

performance accountability measures to assess the effectiveness

of the core programs in this Commonwealth. The accountability

measures shall consist of the accountability measures specified

in section 116(b)(1) of the Workforce Innovation and Opportunity

Act, which are:

(1) The primary indicators of performance.

(2) Additional indicators of performance.

(3) A State-adjusted level of performance.

(b) Additional indicators of performance.--The Governor may

identify in the State plan the following performance

accountability indicators:

(1) The use of Federal funds for training services,

including activities authorized under Title II, Chapter 2 of

the Trade Act of 1974 (Public Law 93-618, 19 U.S.C. § 2101 et

seq.).

(2) The customer satisfaction indicator of performance,

20210HB0723PN2193 - 20 -

which shall consist of customer satisfaction of employers,

grant recipients and participants who have received services

from workforce investment activities. Customer satisfaction

may be measured through surveys conducted after the

conclusion of participation in workforce investment

activities. Surveys under this paragraph shall include

questions about whether employers, grant recipients and

participants are able to quickly receive funding.

(3) One or more quality performance provisions , which

the Governor shall establish and which may include:

(i) A warranty or similar assurance of quality for

the training provided to an incumbent worker, employee,

job seeker , student or other eligible participant .

(ii) Successful completion of a certificate or

short-term training class or program established by a

college or university, a private licensed school

established under the act of December 15, 1986 (P.L.1585,

No.174), known as the Private Licensed Schools Act.

(iii) Passage of a nationally recognized or

industry-recognized certificate examination.

(iv) A combination of subparagraphs (i), (ii) and

(iii).

(4) Other requirements established by the Governor.

performance provisions shall provide for additional education or

training for individuals who were employed and are not able to

perform their duties at a satisfactory level, for employees

receiving customized job training or other training that is not

satisfactory for the employer and for students advancing to the

next sequence of an integrated and seamless secondary and

20210HB0723PN2193 - 21 -

postsecondary education program, as established in section 902,

who are not capable of performing at a satisfactory academic

level. The Governor shall consult with local workforce

development boards and program providers prior to the adoption

of the provisions for program quality and performance.

Section 5. The heading of Chapter 5 and sections 501, 502,

503, 504, 505 and 701-A of the act are amended to read:

CHAPTER 5

LOCAL WORKFORCE [INVESTMENT] Development AREAS and Regions

AND Local Workforce Development BOARDS

Section 501. Establishment.

(a) Areas and [local workforce investment boards] regions.--

(1) Local workforce [investment areas shall be

designated by the Governor through consultation with the

board and the chief elected officials and after consideration

of comments received through the public comment process. In

making the designation of local workforce investment areas,

the Governor shall take into consideration the following:

(i) Geographic areas served by school entities.

(ii) Geographic areas served by postsecondary

educational institutions, including community colleges

and technical colleges and area vocational-technical

schools and career technology centers.

(iii) The extent to which such local workforce

investment areas are consistent with labor market areas.

(iv) The distance that individuals will need to

travel to receive services provided in such local

workforce investment areas.

(v) The resources of such local workforce investment

areas that are available to effectively administer the

20210HB0723PN2193 - 22 -

activities carried out under Federal and State law.]

development areas shall be designated by the Governor

through consultation with the board and after

consultation with chief elected officials and local

workforce development boards and consideration of

comments received through the public comment process. The

Governor shall base the designations on considerations

specified in section 106(b)(1) (B) of the Workforce

Innovation and Opportunity Act.

(1.1) The term "local workforce development area"

includes a planning region for purposes of implementation of

that provision by the corresponding local workforce

development areas in the region except if the board assists

the Governor in the development of discretionary allocation

formulas for the distribution of funds for employment and

training activities for adults and youth workforce

development activities to local workforce development areas

as permitted under section 128(b)(3) and section 133(b)(3) of

the Workforce Innovation and Opportunity Act.

(2) [Local workforce investment boards shall be

established in each local workforce investment area of this

Commonwealth, recommended for certification by the board and

certified by the Governor, to set policy for the portion of

the unified system within that local workforce investment

area. The local workforce investment boards shall work to

establish workforce development services in collaboration

with postsecondary institutions, area vocational-technical

schools and career technology centers; secondary schools,

including charter schools at these grade levels; community

colleges; and technical colleges.] Except as provided in

20210HB0723PN2193 - 23 -

paragraph (3), a local workforce development board shall be

established and certified by the Governor in each local

workforce development area to carry out the functions

described in section 504 and any functions specified for the

local workforce development board under the Workforce

Innovation and Opportunity Act or Federal provisions

establishing a core program for the local area.

(3) No local workforce [investment] development board

may conduct business unless it is certified by the Governor

under paragraph (2).

[(b) Purpose.--The purpose of each local workforce

investment board is to advise and assist the chief elected

official in the county or counties served by the local workforce

investment board by setting policy to promote effective

workforce investment programs in a designated geographic area.]

(1) The chief elected official in a local workforce

[investment] development area shall serve as the local grant

recipient for and shall be liable for any misuse of the grant

funds allocated to the local workforce [investment]

development area under Federal law or this act[.], unless the

chief elected official reaches an agreement with the Governor

for the Governor to act as the local grant recipient and the

Commonwealth assumes the liability.

(2) [The] In order to assist in administration of the

grant funds, the chief elected official [in] or the Governor,

if the Governor serves as the local grant recipient for a

local workforce [investment] development area may designate

an entity to serve as a local grant subrecipient for such

funds or as a local fiscal agent. Such designation shall not

20210HB0723PN2193 - 24 -

relieve the chief elected official or the Governor of

liability for any misuse of grant funds as described in

paragraph (1).

(3) The local grant recipient or an entity designated

under paragraph (2) shall disburse such funds for workforce

investment activities at the direction of the local board,

pursuant to the requirements of this act[.] and the Workforce

Innovation and Opportunity Act. The local grant recipient or

entity shall disburse the funds immediately on receiving the

direction from the local board.

Section 502. Membership.

(a) Composition.--The following apply:

(1) [A local workforce investment board appointed by the

chief elected official shall be as follows:] The Governor, in

partnership with the board, shall establish criteria for use

by chief elected officials in local workforce development

areas for appointment of members to local workforce

development boards. The following apply:

(i) A majority of the board's members shall be

representatives of business in the local workforce

[investment] development area who:

(A) are owners of businesses, chief executives

or operating officers of businesses and other

business executives or employers with optimum

policymaking or hiring authority;

(B) represent businesses [with], including small

businesses or organizations representing business

described in this subparagraph, that provide

employment opportunities [which reflect the

employment opportunities of] that, at a minimum,

20210HB0723PN2193 - 25 -

include high-quality, work-relevant training and

development in in-demand industry sectors or

occupations in the local workforce [investment]

development area; and

nominated by local business organizations and

business trade associations.

(ii) [Representatives of local educational entities,

including representatives of] Board membership shall

include individuals who represent entities administering

education and training activities in the local area. The

following apply:

(A) Members under this subparagraph shall

include a representative of eligible providers

administering adult education and literacy activities

under Title II of the Workforce Innovation and

Opportunity Act and a representative of institutions

of higher education providing workforce investment

activities, including community colleges.

(B) If there are multiple eligible providers

serving the local area or multiple institutions of

higher education serving the local workforce

development area under clause (A), each member of the

local workforce development board shall be appointed

from among individuals nominated by local providers

representing the providers or institutions,

respectively.

training activities may include representatives of

local educational agencies, local school boards,

20210HB0723PN2193 - 26 -

entities providing adult education and literacy

activities, postsecondary educational institutions,

community colleges and technical colleges[, selected

from among individuals nominated by regional].

Regional or local educational agencies, institutions

or organizations representing [such] local

educational entities may recommend representatives of

respective entities to serve as members of a local

workforce development board.

[(iii) In a local workforce investment area in which

employees are represented by labor organizations,

representatives nominated by local labor federations.

(iv) In a local workforce investment area in which

no employees are represented by labor organizations,

other representatives of employees.]

(iii) At least 20% of board members shall be

representatives of the workforce within the local area

and shall include:

(A) In a local workforce development area in

which employees are represented by labor

organizations, all of the following:

(I) Representatives of local labor

organizations who have been nominated by local

labor federations .

(II) A member of a labor organization or a

training director from a joint labor-management

apprenticeship program or, if a joint labor-

management apprenticeship program does not exist

in the local workforce development area, a

representative of an apprenticeship program in

20210HB0723PN2193 - 27 -

the local workforce development area, if an

apprenticeship program exists in the local

workforce development area.

(B) In a local workforce development area in

which no employees are represented by labor

organizations, other representatives of employees.

(iv) (Reserved).

(v) [Representatives of] Board membership may

include individuals who represent community-based

organizations, which may include organizations

representing minorities, individuals with disabilities,

older workers and veterans, from a local workforce

[investment] development area in which such organizations

are present. If an organization demonstrates experience

and expertise in addressing the employment needs of

individuals with barriers to employment, including

organizations that serve veterans or that provide support

or competitive integrated employment for individuals with

disabilities, the representative of the organization

shall be included within those members under subparagraph

(iii) for purposes of determining the percentage of

members that are representatives of the workforce within

the local area.

(v.1) Board membership may include individuals who

represent organizations that have experience and

expertise in addressing the employment, training or

education needs of eligible youth. If a representative of

an organization under this clause is appointed, the

representative shall be included under subparagraph (iii)

for purposes of determining the percentage of members

20210HB0723PN2193 - 28 -

that are representatives of the workforce within the

local area.

(vi) [Representatives of] Board membership shall

include individuals who represent governmental and

economic and community development entities[.] serving

the local workforce development area and shall include:

(A) A representative of economic and community

development entities.

(B) An appropriate representative from the State

employment service office under the Wagner-Peyser Act

of 1933 (Public Law 13-30, 48 Stat. 113) serving the

local area.

programs carried out under Title I of the

Rehabilitation Act of 1973 (Public Law 93-112, 29

U.S.C. 720 et seq.), other than section 112 or Part C

of that title (29 U.S.C. §§ 732, 741), serving the

local area.

(vii) [Representatives] Board membership may include

representatives of each of the one-stop delivery system

partners not otherwise specified under this subsection .

(viii) [Other] Board membership shall include

individuals or representatives of entities as the chief

elected official in the local workforce [investment]

development area may determine [to be] appropriate.

(2) Members of the local workforce [investment]

development board must be individuals who have optimum

policymaking authority within the organizations, agencies or

other entities which they represent.

(3) The membership shall select a chairperson from [the

20210HB0723PN2193 - 29 -

private sector] representatives appointed under paragraph (1)

(i).

(4) A local workforce [investment] development board may

hire limited staff to implement the decisions of the local

workforce [investment] development board.

(b) Manner of appointment.--In accordance with the criteria

established [by the board for the Governor] under subsection (a)

(1), a member of a local workforce [investment] development

board shall be appointed [by the chief elected official of the

city, county or counties that participate in the local workforce

investment board] as follows:

(1) If the local workforce development area consists of

only one [county participates on the local workforce

investment board] political subdivision, the chief elected

official shall appoint the members.

(2) If a local workforce [investment board represents]

development area consists of more than one [county or

represents both a county and a city that comprises a separate

workforce investment area] political subdivision, the chief

elected officials of each [county and any city that comprises

a separate workforce investment area also represented by the

local workforce investment board shall] political subdivision

may enter into a detailed written agreement describing the

understanding of the [counties] political subdivisions as to

appointments, governance and oversight activities of the

[local workforce investment board under this act] chief

elected officials. If after a reasonable effort the chief

elected officials are unable to reach agreement, the Governor

may appoint the members of the local workforce [investment]

development board from individuals [so] nominated or

20210HB0723PN2193 - 30 -

recommended.

Section 503. Conflicts of interest.

A member of the local workforce [investment] development

board may not do any of the following:

(1) Vote on a matter under consideration by the local

workforce [investment] development board:

(i) regarding the provision of services by the

member or by an entity that the member represents; or

(ii) which would provide direct financial benefit to

the member or the immediate family of the member.

(2) Engage in any other activity determined by the

Governor to constitute a conflict of interest as specified in

the [unified system] State plan.

Section 504. Plan, functions and responsibilities.

(a) [Unified workforce investment] Local plan.--A local

workforce [investment] development board, in partnership with

the chief elected official [of the county or counties served by

the local workforce investment board], shall submit to the

Governor for approval a [unified workforce investment] local

plan. The local plan shall support the strategy described in the

State plan in accordance with section 102(b)(1)(E) of the

Workforce Innovation and Opportunity Act, and otherwise be

consistent with the State plan. If the local area is part of a

planning region, the local workforce development board shall

comply with this section in the preparation and submission of a

regional plan. At the end of the first two-year period of the

four-year local plan, each local workforce development board

shall review the local plan and, in partnership with the chief

elected official, prepare and submit modifications to the local

plan to reflect changes in labor market and economic conditions

20210HB0723PN2193 - 31 -

or in other factors affecting the implementation of the local

plan. The following apply:

(1) The [unified workforce investment] local plan shall

be developed through a process which includes the opportunity

for participation by current and potential customers [and

service providers and which], program partners, service

providers and other local area stakeholders prior to the date

on which the board submits a local plan to the Governor for

approval, the local workforce development board shall:

(i) make available copies of a proposed local plan

to the public through electronic and other means, which

may include public hearings and local news media; and

(ii) allow members of the public, including

representatives of business, representatives of labor

organizations and representatives of education to submit

to the local workforce development board comments on the

proposed local plan, not later than the end of the 30-day

period beginning on the date on which the proposed local

plan is made available.

(1.1) The local workforce development board shall

include with the local plan submitted to the Governor any

comments received under paragraph (1)(ii) that represent

public disagreement with the plan.

(2) The local plan shall contain, at a minimum, the

following:

(i) Information required under section 108(b) of the

Workforce Innovation and Opportunity Act.

[(1)] (ii) A description of the local workforce

[investment] development area's strategic economic and

workforce vision and [of] how the vision will be

20210HB0723PN2193 - 32 -

attained.

[(2)] (iii) A description of how the local plan

supports the Commonwealth's overall mission and goals.

[(3) An analysis of the local workforce investment

area market, including projected growth industries and

declining industries.

(4)] (iv) A description of the respective roles of

the local elected officials. [and the local workforce

investment board.

(5) A description of programs for eligible youth.

(6) A description of the local workforce investment

area's one-stop delivery system.

(7) A description of the services to be provided to all

customers.

(8) A description of how, in serving the local workforce

investment area, coordination of workforce development

services and investment activities will occur with

postsecondary institutions; area vocational-technical schools

and career technology centers; secondary schools, including

charter schools at these grade levels; community colleges;

and technical colleges.

(9) If appropriate, a description of a regional

strategic component to the local plan.

(10) If available, an analysis of regional market

trends.]

(b) Functions and responsibilities.--A local workforce

[investment board, in order to develop and implement a unified

workforce investment plan for the investment and utilization of

private and public resources to meet the current and future

workforce investment needs of its region in furtherance of

20210HB0723PN2193 - 33 -

section 102,] development board has the following functions and

responsibilities:

[(1) To organize and elect a chairperson.

(2) To assess the economic and workforce needs of the

local workforce investment area and to develop a unified plan

which builds on available services and resources to

effectively meet the workforce and economic needs of the

local workforce investment area.]

(1) Functions required under section 107(d) of the

Workforce Innovation and Opportunity Act.

(2) In partnership with the chief elected official for

the local workforce development area, to develop and submit a

local plan to the Governor that meets the requirements in

this section.

(3) To implement mechanisms to secure appropriate input

in the development of policies, performance standards or

investment strategies.

(4) To [assist in the development of and collaboration

within the one-stop delivery system.

(5) To develop, adopt and assure adherence to local

performance standards, quality assurance standards and

applied operating principles which are consistent with

criteria throughout the one-stop delivery system.

(6)] coordinate with the Governor, the board,

Commonwealth agencies administering the core program and

chief elected officials in establishing and operating a

fiscal management accountability information system under

section 305.1.

(5) To establish cooperative and collaborative

relationships with other local workforce [investment]

20210HB0723PN2193 - 34 -

development boards and, if appropriate, with the [unified]

workforce development system governing bodies of other

states.

[(7) To authorize use of local workforce investment

funds, including individual training accounts, where

applicable, for eligible customers, for any of the following

services:

(i) Core services shall be available to individuals

who are adults or dislocated workers through the one-stop

delivery system and shall, at a minimum, include all of

the following:

(A) Determinations of whether the individuals

are eligible to receive assistance.

(B) Outreach; intake, which may include worker

profiling; and orientation to the information and

other services available through the one-stop

delivery system.

aptitudes, abilities and supportive service needs.

(D) Job search and placement assistance and,

where appropriate, career counseling.

(E) Provision of employment statistics

information, including the provision of accurate

information relating to national, regional and local

labor market areas, such as:

(I) job vacancy listings in such labor

market areas;

(II) information on job skills necessary to

obtain the jobs described in subclause (I); and

(III) information relating to local

20210HB0723PN2193 - 35 -

occupations in demand and the earnings and skill

requirements for such occupations.

(F) Provision of performance information and

program cost information on eligible providers of

training services, provided by program, eligible

providers of youth activities, providers of adult

education, providers of postsecondary vocational

education activities and vocational education

activities available to school dropouts under the

Carl D. Perkins Vocational and Applied Technology

Education Act (Public Law 88-210, 20 U.S.C. § 2301 et

seq.) and providers of vocational rehabilitation

program activities described in the Rehabilitation

Act of 1973 (Public Law 93-112, 29 U.S.C. § 701 et

seq.).

(G) Provision of information regarding how the

local workforce investment area is performing on the

local performance measures and any additional

performance information with respect to the one-stop

delivery system in the local workforce investment

area.

(H) Provision of accurate information relating

to the availability of services in community

colleges, area vocational-technical schools and

career technology centers and technical colleges,

workforce development services and the availability

of work support services, including child care and

transportation, in the local workforce investment

area and referral to such services as appropriate.

(I) Provision of transitional support, including

20210HB0723PN2193 - 36 -

information regarding filing claims for unemployment

compensation.

(J) Assistance in establishing eligibility for

welfare-to-work activities under section 403(a)(5) of

the Social Security Act (49 Stat. 620, 42 U.S.C. §

603(a)(5)) available in the local workforce

investment area and programs of financial aid

assistance for training and education programs that

are not funded under this act and are available in

the local workforce investment area.

(K) Follow-up services, including counseling

regarding the workplace.

(ii) Intensive services:

(A) Intensive services shall be provided to

adults and dislocated workers who:

(I) are unemployed and are unable to obtain

employment through core services;

(II) have been determined by the one-stop

delivery system operator to be in need of more

intensive services in order to obtain employment;

(III) are employed but are determined by a

one-stop delivery system operator to be in need

of intensive services in order to obtain or

retain employment that allows for self-

sufficiency.

(B) Intensive services shall be provided through

the one-stop delivery system directly through one-

stop delivery system operators or through contracts

with service providers, which may include contracts

20210HB0723PN2193 - 37 -

with public, private for-profit and private nonprofit

service providers, approved by the local workforce

investment board.

following:

(I) Comprehensive and specialized

assessments of the skill levels and service needs

of adults and dislocated workers, which may

include diagnostic testing and use of other

assessment tools and in-depth interviewing and

evaluation to identify employment barriers and

appropriate employment goals.

(II) Development of an individual employment

plan to identify the employment goals,

appropriate achievement objectives and

appropriate combination of services for the

participant to achieve the employment goals.

(III) Group counseling.

(IV) Individual counseling and career

planning.

(V) Case management.

(VI) Short-term prevocational services,

including development of learning skills,

communication skills, interviewing skills,

punctuality, personal maintenance skills and

professional conduct to prepare individuals for

employment or training.

(iii) Training services:

(A) Training services shall be provided to

adults and dislocated workers who:

20210HB0723PN2193 - 38 -

(I) have met the eligibility requirements

for intensive services and who are unable to

obtain or retain employment through such

services;

(II) after an interview, evaluation or

assessment and case management, have been

determined by a one-stop delivery system operator

or one-stop delivery system partner to be in need

of training services and to have the skills and

qualifications to successfully participate in the

selected program of training services; and

(III) select programs of training services

which are directly linked to the employment

opportunities in the local workforce investment

area involved or in another area in which the

adults or dislocated workers receiving such

services are willing to relocate.

(B) Training services shall be limited to

individuals who are unable to obtain other grant

assistance for such services, including Federal Pell

Grants established under Title IV of the Higher

Education Act of 1965 (Public Law 89-329, 20 U.S.C. §

1070 et seq.), or require assistance beyond the

assistance made available under other grant

assistance programs, including Federal Pell Grants.

(I) Occupational skills training, including

training for nontraditional employment.

(II) On-the-job training.

(III) Programs which combine workplace

20210HB0723PN2193 - 39 -

training with related instruction, including

cooperative education programs.

(IV) Training programs operated by the

private sector.

(V) Skill upgrading and retraining.

(VI) Entrepreneurial training.

(VII) Job readiness training.

(VIII) Adult education and literacy

activities provided in combination with services

described in any of subclauses (I) through (VII).

(IX) Customized training conducted with a

commitment by an employer or group of employers

to employ an individual upon successful

completion of the training.

(8)] (6) To compile an annual report [to be submitted]

and to submit the report to the [board] Governor by a

deadline [to be] determined by the [board] Governor. This

report shall include, at a minimum:

(i) a list of the membership of the local workforce

[investment] development board, including the name,

affiliation, address, telephone number, telefax number

and electronic mail address;

(ii) the negotiated local level of performance;

(iii) the level of performance achieved, including

an analysis of the strengths and weaknesses;

(iv) the programs local workforce development area

residents participated in; and

(v) a list of the local eligible service providers.

(1) The local workforce development boards and chief

20210HB0723PN2193 - 40 -

elected officials in each planning region as certified by the

Governor under section 501(a)(2) shall engage in regional

planning as specified in section 106(c)(1) of the Workforce

Innovation and Opportunity Act.

(2) The Governor, after consultation with local

workforce development boards and chief elected officials for

the planning regions, shall require local workforce

development boards and chief elected officials within a

planning region to prepare, submit and obtain approval of a

single regional plan as specified in section 106(c)(2) of the

Workforce Innovation and Opportunity Act.

(3) To the extent specified in section 106(c)(3)(B), the

term "local plan" includes a reference to the portion of the

Workforce Innovation and Opportunity Act of a regional plan

developed with respect to the corresponding local workforce

development area and any regionwide provision of that plan

that impacts or relates to the local area.

Section 505. Local performance measures.

(a) General rule.--The local [performance measures for each

local workforce investment area shall include, at a minimum, the

following:

(1) Entry into unsubsidized employment.

(2) Retention in unsubsidized employment six months

after entry into the employment.

(3) Earnings received in unsubsidized employment six

months after entry into the employment.

(4) Attainment of a recognized credential relating to

achievement of educational skills, including attainment of a

secondary school diploma or its recognized equivalent, or

occupational skills by participants who enter unsubsidized

20210HB0723PN2193 - 41 -

employment or by participants who are eligible youths between

the ages 19 and 21 and who enter postsecondary education,

advanced training or unsubsidized employment.

(b) Customer satisfaction.--As an indicator of performance,

customer satisfaction shall also be considered. The customer

satisfaction indicator of performance shall consist of customer

satisfaction of employers and participants in services received

from workforce investment activities. Customer satisfaction may

be measured through surveys conducted after the conclusion of

participation in the workforce investment activities.] workforce

development board, the chief elected officials and the Governor

shall negotiate and reach agreement on local levels of

performance based on the State-adjusted levels of performance

for primary indicators established under section 116(b)(3)(A) of

the Workforce Innovation and Opportunity Act.

available under the [Workforce Investment Act of 1998 (Public

Law 105-220, 112 Stat. 936)] Workforce Innovation and

Opportunity Act shall be used to develop or continue programs or

activities created under the School-to-Work Opportunities Act of

1994 (Public Law 103-239, 108 Stat. 568).

Section 701-A. Purpose.

The purpose of this chapter is to expand the coordination of

the resources within the unified system and to enhance the

leadership of the workforce development [investment] system,

particularly with reference to the resources under the control

and direction of the participating agencies. This grant program

shall be agile, flexible and responsive to the immediate and

long-term training needs of job seekers, private businesses and

the workforce regions of the Commonwealth. The coordination and

20210HB0723PN2193 - 42 -

leveraging of resources within the workforce [investment]

development system is crucial to the effective delivery of

services to the employers and residents of this Commonwealth.

Section 6. The definitions of "critical job training" and

"eligible applicant" in section 702-A of the act are amended to

read:

Section 702-A. Definitions.

The following words and phrases when used in this chapter

shall have the meanings given to them in this section unless the

context clearly indicates otherwise:

"Critical job training." Training for dislocated workers

[and], underemployed workers and other customers for occupations

with immediate skill needs or for high-demand jobs or jobs with

a shortage of skilled workers, as identified by the

[Pennsylvania Workforce Investment Board] board and the

participating agencies.

* * *

"Eligible applicant." Providers of workforce services and

activities, including, but not limited to, public agencies,

nonprofit organizations and private providers; a local education

agency; an industrial resource center; an economic development

organization certified by the Department of Community and

Economic Development; a greenhouse; a private company; a labor

organization[; a local workforce investment board].

* * *

Section 7. Sections 703-A, 704-A(a)(3), (b), (d) and (e),

AND 902(a)(2), 1302(a) introductory paragraph, 1304(1), 1307(c)

(5) introductory paragraph and 4901 of the act are amended to

read:

Section 703-A. Program operation.

20210HB0723PN2193 - 43 -

<--

The board shall oversee the operation of this program, with

appropriate agency staffing support as determined by the

participating agencies and the Governor. The board shall work

with the participating agencies and local workforce [investment]

development boards to identify sources of Federal and State