[Congressional Bills 113th Congress]
[From the U.S. Government Publishing Office]
[H.R. 870 Introduced in House (IH)]
113th CONGRESS
1st Session
H. R. 870
To establish the National Full Employment Trust Fund to create
employment opportunities for the unemployed.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
February 27, 2013
Mr. Conyers (for himself, Ms. Chu, Mr. Clay, Mr. McDermott, Mr. Danny
K. Davis of Illinois, Mr. Ellison, Ms. Brown of Florida, Mr. Cummings,
Ms. Edwards, Ms. Eddie Bernice Johnson of Texas, Ms. Lee of California,
Mr. Grijalva, Mr. Hastings of Florida, Mr. Holt, Mr. Cohen, and Ms.
Fudge) introduced the following bill; which was referred to the
Committee on Education and the Workforce, and in addition to the
Committee on Ways and Means, for a period to be subsequently determined
by the Speaker, in each case for consideration of such provisions as
fall within the jurisdiction of the committee concerned
_______________________________________________________________________
A BILL
To establish the National Full Employment Trust Fund to create
employment opportunities for the unemployed.
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 shall be cited as the ``Humphrey-Hawkins 21st Century Full
Employment and Training Act of 2013''.
SEC. 2. DEFINITIONS.
In this Act the following definitions apply:
(1) Indian tribe.--The term ``Indian tribe'' has the
meaning given such term in section 102(17) of the Housing and
Community Development Act (42 U.S.C. 5302(17)).
(2) Secretary.--The term ``Secretary'' means the Secretary
of Labor.
(3) Small business.--The term ``small business'' has the
meaning given the term ``small business concern'' under section
3 of the Small Business Act (15 U.S.C. 632).
(4) State.--The term ``State'' has the meaning given such
term in section 102(2) of the Housing and Community Development
Act (42 U.S.C. 5302(2)).
(5) Trust fund.--The term ``Trust Fund'' refers to the Full
Employment Trust Fund established under section 3.
(6) Unit of general local government.--The term ``unit of
general local government'' has the meaning given such term in
section 102(1) of the Housing and Community Development Act (42
U.S.C. 5302(1)).
(7) Urban county.--The term ``urban county'' has the
meaning given such term in section 102(6) of the Housing and
Community Development Act (42 U.S.C. 5302(6)).
SEC. 3. ESTABLISHMENT OF FULL EMPLOYMENT NATIONAL TRUST FUND.
(a) In General.--The Secretary shall establish a Full Employment
National Trust Fund (in this Act referred to as the ``Trust Fund'') for
the purposes of--
(1) providing funding for the Employment Opportunity Grants
established in section 4; and
(2) issuing funds to the Secretary to fund the Workforce
Investment Act of 1998 (29 U.S.C. 2801 et seq.).
(b) Financing the Trust Fund.--Subject to the availability of
appropriations for this purpose, the Secretary of the Treasury shall
annually make available to the Secretary of Labor for deposit into the
Trust Fund an amount equal to the amount collected for that year
through the tax described in section 4475 of the Internal Revenue Code
of 1986, as added by section 7.
(c) Separate Trust Fund Accounts.--The Trust Fund shall consist of
2 separate accounts as follows:
(1) One account shall consist of 67 percent of the funds
made available for deposit under subsection (b) and shall be
for the Employment Opportunity Grants established in section 4.
(2) The other account shall consist of 33 percent of the
funds made available for deposit under subsection (b) and shall
be available to the Secretary to fund programs under the
Workforce Investment Act of 1998 (29 U.S.C. 2801 et seq.).
(d) Web Site.--The Secretary shall establish an Internet Web site
to serve as an information clearinghouse for job training and
employment opportunities funded by the Trust Fund.
(e) Training Stipend.--The Secretary shall promulgate regulations
to encourage entities that receive funds under programs under the
Workforce Investment Act of 1998 (20 U.S.C. 2801 et seq.) that are
funded by the account described in subsection (c)(2) to, whenever
possible, establish a training stipend for individuals who participate
in such programs.
SEC. 4. EMPLOYMENT OPPORTUNITY GRANTS TO STATES, LOCAL GOVERNMENT, AND
INDIAN TRIBES.
(a) Employment Grants Contingent on Level of Unemployment.--Subject
to the availability of funds in the Trust Fund for activities under
this section, if, at the beginning of a fiscal year, the economy is not
at a level of full employment, as determined by the Chairman of the
Federal Reserve Board, the Secretary shall make grants for such fiscal
year, in amounts totaling 90 percent of such funds available, to
States, units of general local government, and Indian tribes to carry
out activities in accordance with this section.
(b) Purpose.--Grants made under this section shall be for creating
employment opportunities for unemployed and underemployed residents of
distressed communities in activities designed to address community
needs and reduce disparities in health, housing, education, job
readiness, and public infrastructure that have impeded these
communities from realizing their full economic potential.
(c) Use of Funds.--A recipient of a grant under this section shall
use the grant for the following purposes:
(1) During the initial 9-month period in which grants are
made under this section, each grant shall be used only to fund
the following types of fast-track job placements:
(A) The painting and repair of schools, community
centers, and libraries.
(B) The restoration and revitalization of abandoned
and vacant properties to alleviate blight in distressed
and foreclosure-affected areas of a unit of general
local government.
(C) The expansion of emergency food programs to
reduce hunger and promote family stability.
(D) The augmentation of staffing in Head Start,
child care, and other early childhood education
programs to promote school readiness and early
literacy.
(E) The renovation and enhancement of maintenance
of parks, playgrounds, and other public spaces.
(2) Following the 9-month period described in paragraph
(1), a recipient of a grant may use the remaining amount of the
grant to assist public entities, nonprofit community-based
organizations, public-private partnerships, or small businesses
to create opportunities for employment in the following areas:
(A) Construction, re-construction, rehabilitation,
and site improvements of residences or public
facilities, including improvements in the energy
efficiency or environmental quality of such public
facilities or residences.
(B) Provision of human services, including child
care services, health care services, education, or
recreational programs.
(C) The remediation and demolition of vacant and
abandoned properties to eliminate blight.
(D) Programs that provide disadvantaged youth with
opportunities for employment, education, leadership
development, entrepreneurial skills development, and
training.
(3) Providing supplemental labor for existing federally or
State-funded infrastructure projects.
(4) Providing supplemental labor for existing federally or
State-funded projects aimed at expanding access to broadband or
wireless Internet service.
(d) Consultation Required.--Each grant recipient shall consult with
community leaders, including labor organizations, nonprofit community-
based organizations, local government officials, and local residents
to--
(1) assess the needs of the community served by the grant
recipient;
(2) determine sectors of the local economy that are in need
of employees;
(3) make recommendations for new employment opportunities
in the areas described in paragraph (3); and
(4) assess the effectiveness of job placements made under
paragraph (1).
(e) Conditions.--As a condition of receiving a grant under this
section, a grant recipient shall--
(1) agree to comply with the nondiscrimination policy set
forth under section 109 of the Housing and Community
Development Act of 1974 (42 U.S.C. 5309);
(2) allocate not less than 80 percent of the funding
allocated to each project funded under the grant to wages,
benefits, and support services, including child care services,
for individuals employed on such project;
(3) ensure that employment on any project funded under the
grant is carried out in accordance with subsection (c);
(4) institute an outreach program with community
organizations and service providers in low-income communities
to provide information about placements funded under the grant
to individuals suited to perform community infrastructure work;
and
(5) ensure that not less than 35 percent of individuals
employed under the grant are individuals described in paragraph
(4)(B) of subsection (f).
(f) Employment Described.--Employment funded under this section
shall meet the following specifications:
(1) Any employer that employs an individual whose
employment is funded under the grant shall--
(A) employ such individual for not less than 12
months;
(B) employ such individual for not less than 30
hours per week;
(C) comply with responsible contractor standards,
as determined by the relevant official in the unit of
local general government;
(D) provide compensation to such individual equal
to that which is paid to employees who have been
employed to perform similar work prior to the date such
individual was hired; and
(E) if such employment is in construction, provide
compensation to any laborer or mechanic employed under
the grant at rates not less than those prevailing on
similar construction in the locality as determined by
the Secretary of Labor in accordance with subchapter IV
of chapter 31 of title 40, United States Code.
(2) No individual whose employment is funded under the
grant may work for an employer at which a collective bargaining
agreement is in effect covering the same or similar work,
unless--
(A) the consent of the union at such employer is
obtained; and
(B) negotiations have taken place between such
union and the employer as to the terms and conditions
of such employment.
(3) An individual whose employment is funded under this Act
may not displace other employees whose employment is not funded
under this Act. A grant recipient under this Act may not hire
an employee or employees with funds under this Act for any
employment which the grant recipient would otherwise hire an
employee who has been furloughed.
(4) An individual whose employment is funded under this Act
shall be--
(A) unemployed for not less than 26 weeks prior to
the receipt of the grant, as verified by the State or
local department of labor, department of welfare, or
similar office charged with maintaining records of
unemployment; or
(B) unemployed for not less than 30 days prior to
the receipt of the grant and be a low-income individual
who is a member of a targeted group (as defined by
section 51(d) of the Internal Revenue Code of 1986) as
verified by the State or local department of labor,
department of welfare, or similar office charged with
maintaining records of unemployment.
For purposes of subparagraph (B), the hiring date (as defined
in section 51(d)(11) of such Code) shall be the hiring date by
an employer who receives a grant pursuant to this section.
(g) Award of Grants.--
(1) Selection criteria.--In selecting a project to receive
funding for employing the individuals described in subsection
(f)(4), a grant recipient shall consider--
(A) the input of all participants in a proposed
project, including labor organizations, community
organizations, and employers;
(B) the needs of the community intended to benefit
from such project;
(C) the long-term goals and short-term objectives
to address such needs; and
(D) any recommendations for programs and activities
developed to meet such needs.
(2) Priority given to certain projects.--A grant recipient
under this section shall give priority to projects that--
(A) serve areas with the greatest level of economic
need, determined for each such area by--
(i) the unemployment rate;
(ii) the rate of poverty;
(iii) the number of census tracts with
concentrated poverty;
(iv) the lowest median income;
(v) the percentage of vacant and abandoned
properties;
(vi) the percentage of home foreclosures;
and
(vii) the indicators of poor resident
health, including high rates of chronic
disease, infant mortality, and life expectancy;
(B) integrate education and job skills training,
including basic skills instruction and secondary
education services;
(C) coordinate to the maximum extent feasible with
pre-apprenticeship and apprenticeship programs; and
(D) provide jobs in sectors where job growth is
most likely, as determined by the Secretary, and in
which career advancement opportunities exist to
maximize long-term, sustainable employment for
individuals after employment funded under this Act
ends.
(h) Allocation of Grants.--
(1) Grants for indian tribes and deposits into
discretionary fund.--Not more than 5 percent of the funds
available in the Trust Fund for activities under this section
for any fiscal year shall be reserved for grants to Indian
tribes and for deposit into a discretionary fund established by
the Secretary for national demonstration projects and multi-
jurisdictional projects.
(2) Grants to states.--Not more than 30 percent of the
funds available in the Trust Fund for activities under this
section for any fiscal year shall be allocated to States to
distribute to units of general local government that do not
qualify for funds under paragraph (3).
(3) Grants to units of general local government.--Grant
funds that are not reserved under paragraphs (1) and (2) shall
be allocated to metropolitan cities and urban counties using
the formula under section 106(b) of the Housing and Community
Development Act of 1974 (42 U.S.C. 5306(b)).
(i) Reports.--
(1) Reports by grant recipients.--Not later than 90 days
after the last day of each fiscal year in which assistance
under this section is furnished, a recipient of a grant under
this section shall submit to the Secretary a report containing
the following:
(A) A description of the progress made in
accomplishing the objectives of this chapter.
(B) A summary of the use of the grant during the
preceding fiscal year.
(C) For units of general local government, a
listing of each entity receiving funds and the amount
of such grants, as well as a brief summary of the
projects funded for each such unit, the extent of
financial participation by other public or private
entities, and the impact on employment and economic
activity of such projects during the previous fiscal
year.
(D) For States, a listing of each unit of general
local government receiving funds and the amount of such
grants, as well as a brief summary of the projects
funded for each such unit, the extent of financial
participation by other public or private entities, and
the impact on employment and economic activity of such
projects during the previous fiscal year.
(E) The amount of money received and expended
during the fiscal year.
(F) The number of individuals assisted under the
grant whose household income is low-income, very low-
income, or extremely low-income (as such terms are used
for purposes of the Housing Act of 1937 and the
regulations thereunder (42 U.S.C. 1437 et seq.)).
(G) The amount expended on administrative costs
during the fiscal year.
(2) Report to congress.--At least once every 6 months, the
Secretary shall submit to Congress a report on the use of
grants awarded under this section and any progress in job
creation.
SEC. 5. NATIONAL EMPLOYMENT CONFERENCE.
(a) In General.--The Secretary shall convene a national employment
conference not later than 1 year after the date of enactment of this
Act, to bring together leaders of small, medium, and large businesses,
labor, government, and all other interested parties.
(b) Subject.--The subject of the conference shall be employment,
with particular attention to structural unemployment and the plight of
disadvantaged youth. The conference shall also focus on issues such as
adequate and effective incentives for employers to hire the long-term
unemployed.
SEC. 6. INCLUSION OF MINORITY-SERVING, COMMUNITY-BASED ORGANIZATIONS IN
WIA STATE AND LOCAL WORKFORCE INVESTMENT BOARDS.
(a) State Boards.--Section 111(b)(1)(C)(v) of the Workforce
Investment Act of 1998 (29 U.S.C. 2821(b)(1)(C)(v)) is amended by
inserting before the semicolon ``(including not less than 25 percent of
the chief executive officers of minority-serving, community-based
organizations)''.
(b) Local Boards.--Section 117(b)(2)(A)(iv) of such Act (29 U.S.C.
2832(b)(2)(A)(iv)) is amended by inserting ``, and not less than 25
percent of the chief executive officers of minority-serving, community-
based organizations'' after ``present''.
SEC. 7. TAX ON SECURITIES TRANSACTIONS.
(a) In General.--Chapter 36 of the Internal Revenue Code of 1986 is
amended by inserting after subchapter B the following new subchapter:
``Subchapter C--Tax on Securities Transactions
``Sec. 4475. Tax on securities transactions.
``SEC. 4475. TAX ON SECURITIES TRANSACTIONS.
``(a) Imposition of Tax.--There is hereby imposed a tax on each
covered securities transaction an amount equal to 0.25 percent of the
value of the security involved in such transaction.
``(b) By Whom Paid.--The tax imposed by this section shall be paid
by the trading facility on which the transaction occurs.
``(c) Covered Securities Transaction.--The term `covered securities
transaction' means--
``(1) any transaction to which subsection (b), (c), or (d)
of section 31 of the Securities Exchange Act of 1934 applies,
and
``(2) any transaction subject to the exclusive jurisdiction
of the Commodity Futures Trading Commission.
``(d) Administration.--The Secretary shall carry out this section
in consultation with the Securities and Exchange Commission and the
Commodity Futures Trading Commission.''.
(b) Clerical Amendment.--The table of subchapters for chapter 36 of
such Code is amended by inserting after the item relating to subchapter
B the following new item:
``subchapter c. tax on securities transactions.''.
(c) Effective Date.--The amendments made by this subsection shall
apply to sales occurring more than 30 days after the date of the
enactment of this Act.
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