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108th CONGRESS
1st Session
S. 1346
To amend the Workforce Investment Act of 1998 to provide for strategic
sectoral skills gap assessments, strategic skills gap action plans, and
strategic training capacity enhancement seed grants, and for other
purposes.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
June 26, 2003
Ms. Cantwell (for herself and Ms. Collins) introduced the following
bill; which was read twice and referred to the Committee on
Health, Education, Labor, and PensionsYYYYYYYYYYYYYYYYYYYYYYYYY
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A BILL
To amend the Workforce Investment Act of 1998 to provide for strategic
sectoral skills gap assessments, strategic skills gap action plans, and
strategic training capacity enhancement seed grants, and for other
purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Sectoral Market Assessment for
Regional Training Enhancement and Revitalization Act''.
SEC. 2. FINDINGS.
Congress makes the following findings:
(1) More than \1/3\ of the Nation's current workforce lacks
the basic skills necessary to succeed in today's labor market.
(2) Globalization of the economy is leading to losses of
jobs in key domestic industries, as well as challenges to
competitiveness and productivity in other domestic industries.
(3) To remain economically vital and competitive, the
Nation must invest in generating jobs and train a workforce
skilled enough to contribute productively to the United States
economy.
(4) Strategic planning that links workforce development and
economic development, and the targeting of resources to
industries that can build strong regional economies and create
jobs with living wages for workers, need to be priorities for
the workforce investment system.
(5) States and local workforce investment boards can play
lead roles in guiding a more strategic process for achieving
economic growth through workforce development.
SEC. 3. SKILLS GAP CAPACITY ENHANCEMENT GRANTS.
Subtitle B of title I of the Workforce Investment Act of 1998 (29
U.S.C. 2811 et seq.) is amended--
(1) by redesignating section 137 as section 138; and
(2) by inserting after section 136 the following:
``SEC. 137. SKILLS GAP CAPACITY ENHANCEMENT GRANTS.
``(a) Purposes.--The purposes of this section are--
``(1) to assist States and local boards in better focusing
funds provided under this subtitle on activities and programs
that address labor shortages and meet the emerging demand for
skills in high-quality jobs in area industries;
``(2) to enhance the efficiency of the one-stop delivery
systems and providers of training services;
``(3) to establish and improve partnerships between local
boards, industry sectors, economic development agencies,
providers of training services (including secondary schools,
postsecondary educational institutions, community-based
organizations, business associations, and providers of joint
labor-management programs), providers of supportive services,
and other related public and private entities;
``(4) to strengthen integration of workforce development
strategies and economic development strategies in States, local
areas, and labor markets;
``(5) to retain vital industries in the local areas and
regions involved, avoid dislocation of workers, and strengthen
the competitiveness of key industries; and
``(6) to encourage the development of career ladders and
advancement efforts in local industries.
``(b) Definitions.--In this section:
``(1) Consortium.--The term `consortium' means a consortium
of local boards, established as described in subsection (d)(3).
``(2) Region.--The term `region' means 2 or more local
areas that comprise a common labor market for an industry
sector or group of related occupations.
``(3) Training services.--The term `training services'
means services described in section 134(d)(4).
``(c) Grants to States.--
``(1) In general.--The Secretary shall make grants to
States, to enable the States to assist local boards and
consortia in carrying out the activities described in
subsection (e).
``(2) Formula.--
``(A) In general.--The Secretary shall make the
grants in accordance with the formula used to make
grants to States under section 132(b)(1)(B) (other than
clause (iv)), subject to subparagraph (B).
``(B) Small state minimum allotment.--The Secretary
shall ensure that no State shall receive an allotment
under this paragraph for a fiscal year that is less
than \1/2\ of 1 percent of the funds made available to
carry out this section for that fiscal year.
``(d) Grants to Local Boards.--
``(1) In general.--A State that receives a grant under
subsection (c)--
``(A) shall use the funds made available through
the grant to make grants to local boards and consortia
to carry out the activities described in subsection
(e); and
``(B) may use not more than 15 percent of the funds
made available through the grant, at the election of
the State, to prepare strategic sectoral skills gap
assessments, as described in subsection (e)(2), in the
local areas or regions involved, or to provide
technical assistance to local boards, consortia, or
partnerships described in subsection (e)(3).
``(2) Consideration.--In making the grants, the State may
take into account the size of the workforce in each local area
or region.
``(3) Consortia.--States shall encourage local boards to
aggregate, to the maximum extent practicable, into consortia
representing regions, for purposes of carrying out activities
described in subsection (e). Nothing in this paragraph shall be
construed to require local boards to aggregate into such
consortia.
``(4) Applications.--To be eligible to receive a grant
under this section, a local board or consortium shall submit an
application to the State, at such time and in such manner as
the State may require, containing--
``(A) information identifying the members of the
partnership described in subsection (e)(3) that will
carry out the activities described in subsection (e);
and
``(B) an assurance that the board or consortium
will use, or ensure that the partnership uses, the
funds to carry out the activities described in
subsection (e).
``(e) Use of Funds.--
``(1) In general.--A local board or consortium that
receives a grant under this section--
``(A) shall ensure that the partnership described
in paragraph (3) uses the funds made available through
the grant to--
``(i) prepare a strategic sectoral skills
gap assessment, as described in paragraph (2),
unless the State elects to prepare the
assessment;
``(ii) develop a strategic skills gap
action plan, as described in paragraph (4); and
``(iii) provide strategic training capacity
enhancement seed grants to providers of
training services specified in subsection
(a)(3), one-stop operators, and other
appropriate intermediaries, as described in
paragraph (5); and
``(B) may use funds made available through the
grant to ensure that activities carried out under this
subtitle are carried out in accordance with the
strategic skills gap action plan.
``(2) Strategic sectoral skills gap assessment.--
``(A) In general.--Except as provided in
subparagraph (E), the local board or consortium (or, at
the election of the State, that State) shall prepare a
strategic sectoral skills gap assessment, which shall--
``(i) identify areas of current and
expected demand for labor and skills in a
specific industry sector or group of related
occupations that is--
``(I) producing high-quality jobs
in the local area or region involved;
``(II) developing emerging jobs in
that area or region; or
``(III) suffering chronic worker
shortages;
``(ii) identify the current and expected
supply of labor and skills in that sector or
group in the local area or region; and
``(iii) identify gaps between the current
and expected demand and supply of labor and
skills in that sector or group in the local
area or region.
``(B) Specific contents.--The assessment shall
contain data regarding--
``(i)(I) specific high-quality employment
opportunities offered by industries in the
local area or region; and
``(II) specific skills desired for such
opportunities;
``(ii)(I) occupations and positions in the
local area or region that are difficult to
fill; and
``(II) specific skills desired for such
occupations and positions;
``(iii)(I) areas of growth and decline
among industries and occupations in the local
area or region; and
``(II) specific skills desired for such
growth areas; and
``(iv) specific inventories of skills of
unemployed or underemployed individuals in the
local area or region.
``(C) Information.--The assessment shall contain
current (as of the date of preparation of the
assessment) information including specific information
from multiple employers in the sector or group
described in subparagraph (A)(i), labor organizations,
and others connected to the businesses and workers in
that sector or group, to illuminate local needs of both
employers and workers. To the maximum extent possible, the information
shall be regularly updated information.
``(D) Survey.--The assessment shall contain the
results of a survey or focus group interviews of
employers and labor organizations and other relevant
individuals and organizations in the local area or
region.
``(E) Exception.--
``(i) State.--A State shall not be required
to use the funds made available through a grant
received under this section, to prepare an
assessment described in this paragraph.
``(ii) Local board or consortium.--A local
board or consortium shall not be required to
use the funds made available through a grant
received under this section, to prepare an assessment described in this
paragraph, if the local board or consortium demonstrates that, within
the 2 years prior to receiving the grant, an assessment that meets the
requirements of this paragraph has been prepared for the local area or
region involved.
``(3) Skills partnership.--In carrying out this section,
local boards and consortia shall enter into partnerships that
include--
``(A) representatives of the local boards for the
local area or region involved;
``(B) representatives of multiple employers for a
specific industry sector or group of related
occupations, and related sectors or occupations,
identified through the assessment described in
paragraph (2) as having identified gaps between the
current and expected demand and supply of labor and
skills in the industry sector or group of related
occupations in the local area or region involved;
``(C) representatives of economic development
agencies for the local area or region;
``(D) representatives of providers of training
services described in subsection (a)(3) in the local
area or region;
``(E) representatives nominated by State labor
federations or local labor federations; and
``(F) other entities that can provide needed
supportive services tailored to the needs of workers in
the sector or group.
``(4) Strategic skills gap action plan.--The partnership
shall develop a strategic skills gap action plan, based on the
assessment, that--
``(A)(i) identifies specific barriers to adequate
supply of labor and skills in demand in a specific
industry sector or group of related occupations that is
producing high-quality jobs in the local area or region
involved; and
``(ii) identifies activities (which may include the
provision of needed supportive services) that will
remove or alleviate the barriers described in clause
(i) that could be undertaken by one-stop operators and
providers of training services described in subsection
(a)(3);
``(B) specifies how the local board (or consortium)
and economic development agencies in the partnership
will integrate the board's or consortium's workforce
development strategies with local or regional economic
development strategies in that sector or group; and
``(C) identifies resources and strategies that will
be used in the local area or region to address the
skill gaps for both unemployed and incumbent workers in
that sector or group.
``(5) Strategic training capacity enhancement seed
grants.--
``(A) In general.--The local board or consortium,
after consultation with the partnership, shall make
grants to providers of training services described in
subsection (a)(3), one-stop operators, and other
appropriate intermediaries to pay for the Federal share
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