SenateS. 5518119th Congress
Make AI Work for Americans Act
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[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 5518 Introduced in Senate (IS)]
<DOC>
119th CONGRESS
2d Session
S. 5518
To establish the Artificial Intelligence Horizon Fund, and for other
purposes.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
September 24, 2026
Mr. Kelly introduced the following bill; which was read twice and
referred to the Committee on Finance
_______________________________________________________________________
A BILL
To establish the Artificial Intelligence Horizon Fund, 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 ``Make AI Work for Americans Act''.
SEC. 2. TABLE OF CONTENTS.
Sec. 1. Short title.
Sec. 2. Table of contents.
Sec. 3. Definitions.
TITLE I--ARTIFICIAL INTELLIGENCE HORIZON FUND
Sec. 101. Artificial Intelligence Horizon Fund; Artificial Intelligence
Advisory Council.
TITLE II--ARTIFICIAL INTELLIGENCE INDUSTRY-GENERATED REVENUES
Sec. 201. Digital advertising tax.
Sec. 202. Artificial intelligence usage tax.
Sec. 203. Artificial intelligence excess profits tax.
TITLE III--NATIONAL SERVICE FOR AMERICA
Sec. 301. National Service for America's Future program.
TITLE IV--ENTREPRENEURSHIP FOR AMERICA
Sec. 401. Entrepreneurs of the Future Program.
Sec. 402. Small Business Futures Program.
Sec. 403. Other small business resources.
Sec. 404. Access to capital and technical assistance for emerging
entrepreneurs.
TITLE V--NEW ECONOMY UNEMPLOYMENT INSURANCE FOR AMERICA
Sec. 501. Floor on the number of weeks.
Sec. 502. Floor on the minimum replacement of wages.
Sec. 503. Floor on the maximum benefit.
Sec. 504. Base period.
Sec. 505. Modernization.
Sec. 506. Unemployment insurance compensation administration.
Sec. 507. Program expansion study and report.
Sec. 508. Wage insurance and short-time compensation grants.
TITLE VI--TRAINING WORKERS FOR AMERICA
Sec. 601. Unified State plan.
Sec. 602. Combined State plan.
Sec. 603. Functions of local board.
Sec. 604. Individual training accounts.
Sec. 605. Strengthening community colleges workforce development grants
program.
Sec. 606. Service of midcareer workers.
TITLE VII--BETTER ARTIFICIAL INTELLIGENCE FOR AMERICA
Sec. 701. Accessibility.
Sec. 702. National workforce competency initiative.
Sec. 703. National clearinghouse for artificial intelligence education.
Sec. 704. Artificial intelligence in the workplace.
SEC. 3. DEFINITIONS.
In this Act:
(1) Artificial intelligence.--The term ``artificial
intelligence'' has the meaning given the term in section 5002
of the National Artificial Intelligence Initiative Act of 2020
(15 U.S.C. 9401).
(2) Artificial intelligence horizon fund.--The term
``Artificial Intelligence Horizon Fund'' means the fund
established under section 101(b)(1).
(3) Artificial intelligence advisory council.--The term
``Artificial Intelligence Advisory Council'' means the council
established by section 101(c)(1).
TITLE I--ARTIFICIAL INTELLIGENCE HORIZON FUND
SEC. 101. ARTIFICIAL INTELLIGENCE HORIZON FUND; ARTIFICIAL INTELLIGENCE
ADVISORY COUNCIL.
(a) Definitions.--In this section:
(1) Council.--The term ``Council'' means the Artificial
Intelligence Advisory Council.
(2) Fund.--The term ``Fund'' means the Artificial
Intelligence Horizon Fund.
(b) Artificial Intelligence Horizon Fund.--
(1) Establishment.--There is established within the
Treasury of the United States a fund to be known as the
``Artificial Intelligence Horizon Fund'', which shall be
administered by the Secretary of Labor to carry out the
purposes described in paragraph (2).
(2) Purposes.--The Fund is established to receive and
maintain funds as may be deposited or appropriated to the Fund
to invest in programs, initiatives, projects, and other
endeavors to expand economic security, quality jobs, and
community benefits, while mitigating harms associated with
increased adoption of artificial intelligence, including to--
(A) train workers for jobs that provide family-
sustaining pay and benefits in high-demand careers that
are resilient to projected future economic disruptions
caused by technological change, including artificial
intelligence and automation;
(B) help workers transition into entrepreneurial
projects;
(C) promote wealth-building and business ownership
for working families;
(D) engage individuals in service and job-training
opportunities;
(E) ensure responsible development, deployment, and
use of artificial intelligence; and
(F) mitigate large-scale job loss from rapid
artificial intelligence adoption.
(3) Transfer authority.--To carry out the purposes of the
Fund under paragraph (2) and in accordance with the allocations
under paragraph (5), the Secretary of Labor may--
(A) transfer or merge amounts in the Fund with
accounts of the Department of Labor; and
(B) transfer amounts in the Fund to the accounts of
other agencies.
(4) Appropriations.--
(A) In general.--In addition to amounts otherwise
available to the Fund, there are appropriated, out of
amounts in the Treasury not otherwise appropriated, to
the Fund--
(i) for each fiscal year beginning after
the date of enactment of this Act, the amount
equivalent to the taxes received in the
Treasury under chapter 50B of subtitle D the
Internal Revenue Code of 1986, as added by
title II of this Act; and
(ii) $30,000,000,000, as a repayable
advance, to remain available until expended.
(B) Repayment of advance.--
(i) In general.--The Secretary shall
deposit in the general fund of the Treasury the
amount described in clause (ii) for each fiscal
year that begins after the date of enactment of
this Act until the aggregate amount deposited
under this subparagraph equals the amount that
was appropriated to the Fund under subparagraph
(A)(ii).
(ii) Repayment amount.--The amount
described in this clause for a fiscal year is
the lesser of--
(I) 10 percent of the amount
appropriated to the Fund under
subparagraph (A)(i) for the fiscal
year; or
(II) the difference between the
amount appropriated under subparagraph
(A)(ii) minus the cumulative amount of
all deposits to the general fund of the
Treasury under this subparagraph.
(iii) Repayment timing.--Each deposit under
this subparagraph shall be made before the
submission of the recommendations of the
Council under subsection (c)(4) for the fiscal
year.
(5) Allocation authority.--
(A) Submission of cost estimates.--The President
shall submit to Congress as part of the annual budget
submission of the President under section 1105(a) of
title 31, United States Code, detailed allocations, by
account, program, and project, of the full amount
available in the Fund as of the date of such submission
in accordance with the recommendations of the Council
under subsection (c)(4).
(B) Alternate allocation.--
(i) In general.--The Committee on
Appropriations of the Senate and the Committee
on Appropriations of the House of
Representatives may, in any Act making full-
year appropriations for the Departments of
Labor, Health and Human Services, and
Education, and related agencies, for a fiscal
year, provide for alternate allocations of
amounts available in the Fund, including by
account, program, and project, for that fiscal
year consistent with the purposes described in
paragraph (2) and the recommendations submitted
under subsection (c)(3)(A).
(ii) Allocation by president.--
(I) No alternate allocations.--If
Congress has not enacted legislation
establishing alternate allocations,
including by account, program, and
project, by the date on which the Act
making full-year appropriations for the
Departments of Labor, Health and Human
Services, Education, and Related
Agencies for the applicable fiscal year
is enacted into law, the President
shall allocate, by account, program,
and project, the full amount available
in the Fund as of the date of such
submission in accordance with detailed
allocations submitted to Congress under
subparagraph (A).
(II) Insufficient alternate
allocation.--If Congress enacts
legislation establishing alternate
allocations, including by account,
program, and project, for amounts
available in the Fund that are less
than the full amount available in the
Fund as of the enactment of such
legislation, the difference between the
amount appropriated and the alternate
allocation shall be allocated by the
President, consistent with the purposes
described in paragraph (2) and the
recommendations under subsection
(c)(4).
(6) Inspector general.--Out of the amounts available in the
Fund in any fiscal year, $7,500,000 for the fiscal year shall
be transferred to the Office of Inspector General of the
Department of Labor to oversee expenditures from the Fund.
(c) Artificial Intelligence Advisory Council.--
(1) Establishment.--There is established an Artificial
Intelligence Advisory Council.
(2) Mission.--The Council shall provide independent
oversight and guidance to the President and the Secretary of
Labor for purposes of ensuring amounts from the Fund are
allocated in accordance with paragraph (4)(B) and the purposes
described in subsection (b)(2).
(3) Determination of significant labor market disruption.--
(A) In general.--The Council shall--
(i) regularly consider economic conditions
and labor market indicators to determine if a
significant labor market disruption has
occurred or is likely to occur in a given
fiscal year; and
(ii) make a declaration if the Council
determines that such a disruption has occurred
or is likely to occur and publish such
declaration in the Federal Register.
(B) Conditions for consideration.--In order to make
a determination described in subparagraph (A), the
Council shall consider--
(i) changes, or projected changes, in the
unemployment rate and labor force participation
rate;
(ii) unemployment compensation claims and
exhaustion of such benefits;
(iii) notices filed under the Worker
Adjustment and Retraining Notification Act (29
U.S.C. 2101 et seq.);
(iv) job openings, hiring, separations,
involuntary part-time work, and other measures
of labor market turnover;
(v) changes in real wages;
(vi) sectors experiencing, or projected to
experience, accelerated contraction;
(vii) changes, or projected changes, in the
demand for labor, including changes related to
artificial intelligence, automation, or
technological change; and
(viii) other changes in economic or labor
market conditions that the Council determines
appropriate to consider.
(C) Sources for consideration.--The consideration
of the sources of information described in subparagraph
(B) shall include the use of timely--
(i) Federal data available, including data
available from the Department of Labor, the
Bureau of Economic Analysis, the Bureau of
Labor Statistics, the Census Bureau, and other
relevant Federal sources;
(ii) State data;
(iii) employer-provided data; and
(iv) information, data, and projections
provided by any source the Council determines
appropriate.
(4) Recommendations for allocation of artificial
intelligence horizon fund.--
(A) In general.--Not later than 60 days before the
date on which the President submits an annual budget
under section 1105(a) of title 31, United States Code,
the Council shall submit to the President a
recommendation of how the amounts in the Fund should be
allocated for the upcoming fiscal year.
(B) Requirements.--In making a recommendation under
subparagraph (A), the Council--
(i) shall, if a determination has been made
in accordance with paragraph (3)(A)--
(I) include in such recommendation
a copy of the declaration made under
clause (ii) of such paragraph; and
(II) provide in such recommendation
that, at a minimum, the recommended
allocation fully funds increased
payments to States under section 903(k)
of the Social Security Act, as added by
502(b) of this Act, and section 505 of
this Act before allocating any amounts
under clause (ii); and
(ii) may include in such recommendation
amounts (in addition to the amounts described
in clause (i) if the determination described in
such clause has been made) for--
(I) the workforce training programs
described in the Workforce Innovation
and Opportunity Act (29 U.S.C. 3101 et
seq.), as amended by titles IV and VI;
(II) transfers to the Corporation
for National and Community Service for
grants under the National Service for
America's Future program established
under section 199P of the National and
Community Service Act of 1990 (as added
by title III) and for awarding
completion awards in accordance with
section 199R(c)(1)(B)(i) of such Act;
(III) the entrepreneurship programs
under the amendments made by title IV;
(IV) the programs under title V
(other than the provisions of such
title included in the recommendation
under clause (i)(II));
(V) the initiatives under title
VII;
(VI) transfers to the National
Science Foundation for education and
research, including for research and
development or STEM education programs
related to artificial intelligence,
including the National Artificial
Intelligence Research Resource;
(VII) transfers to the National
Telecommunications and Information
Administration for broadband
deployment, and for programs to expand
access to internet service, devices,
and digital skills, in unserved and
underserved communities;
(VIII) transfers to the Creating
Helpful Incentives to Produce
Semiconductors (CHIPS) for America Fund
under section 102(a) of the CHIPS Act
of 2022 (Public Law 117-167) or the
Creating Helpful Incentives to Produce
Semiconductors (CHIPS) for America
Workforce and Education Fund under
section 102(d) of such Act;
(IX) transfers to the National
Institute of Standards and Technology
for work carried out by the Center for
AI Standards and Innovation to provide
for the safe, ethical, and responsible
development, deployment, and use of
artificial intelligence;
(X) transfers to the Department of
Education for grants related to career
and technical education, STEM
education, higher education programs,
educator preparation programs, digital
infrastructure, data interoperability,
foundational literacy as it relates to
artificial intelligence, and the
implementation of resources, best
practices, and guidance hosted by the
National Clearinghouse for Artificial
Intelligence Education described in
section 703;
(XI) transfers to the Department of
Energy for financing through programs
under title 17 of the Energy Policy Act
of 2005 (42 U.S.C. 16511 et seq.) or
programs under section 2602 of the
Energy Policy Act of 1992 (25 U.S.C.
3502);
(XII) transfers to the Department
of Energy for research, development,
education, or workforce training
programs related to artificial
intelligence;
(XIII) transfers to the National
Labor Relations Board or the National
Mediation Board;
(XIV) transfers, for the
collection, analysis, and publication
of data related to the impacts of
artificial intelligence on the labor
market, wages, business formation, or
economic output, to--
(aa) the Bureau of Labor
Statistics;
(bb) the Bureau of the
Census; and
(cc) the Bureau of Economic
Analysis;
(XV) transfers to the National
Institutes of Health for research and
development, clinical infrastructure,
and workforce training related to
health and artificial intelligence; and
(XVI) transfers to the National
Institute on Aging of the National
Institutes of Health for research on
the impact of artificial intelligence
on older adults; and
(iii) may not--
(I) permit more than 3 percent of
the Fund to be used for administrative
expenses;
(II) recommend funding activities
that supplant funds otherwise available
for such activities, or that displace
an existing employee or position;
(III) recommend an allocation with
respect to which a member of the
Council has a financial interest that
has not been disclosed and from which
the member has not recused;
(IV) recommend funding any
research, development, or deployment of
artificial intelligence technologies
that violate the privacy rights, civil
rights, or civil liberties of an
individual, or that discriminate
against an individual on the basis of a
protected characteristic;
(V) recommend funding for any
program or any activity that would
prevent compliance with, or result in
the violation of, any Federal, State,
or local labor, occupational safety and
health, employment, or disability law
or any other law;
(VI) recommend funding for any
program that uses artificial
intelligence systems, without the
involvement of a human, to make
determinations of benefits or
eligibility, or that prevents an
individual from exercising professional
judgment to override an automated
determination or subjects an individual
to retaliation for doing so;
(VII) recommend funding the
development or deployment of artificial
intelligence systems designed to
displace workers, rather than to
augment the capabilities of workers,
improve job quality, or improve
workplace health and safety; or
(VIII) recommend funding the
development or deployment of artificial
intelligence systems or data collection
activities used to surveil workers or
to interfere with the rights of
individuals, including the rights to
organize and collectively bargain or
discourage or prevent individuals from
exercising any right under the National
Labor Relations Act (29 U.S.C. 151 et
seq.).
(C) Considerations.--The Council shall consider any
findings by the Office of Inspector General of the
Department of Labor (acting using funding provided
under subsection (b)(6)) in making recommendations for
funding under subparagraph (B)(ii) for any fiscal year
after such findings are made.
(D) Review and modification by the president.--
(i) In general.--The President shall review
the recommended allocations from the Council
under subparagraph (A) and may modify the
recommendations of the Council if--
(I) the modification complies with
subparagraph (B);
(II) the modification is necessary
to meet the purposes of the Fund
described in subsection (b)(2); and
(III) the President provides the
Council with a written justification
explaining how the modification meets
such a purpose.
(ii) Modification.--Any modified
recommendations under clause (i) shall be
considered the recommendations of the Council
for purposes of this section.
(5) Role for the office of management and budget.--In
supporting the development of the Council's recommendations
under paragraph (4) and oversight of fund allocations under
subsection (b), the Director of the Office of Management and
Budget shall--
(A) provide the Council with quarterly reports on
the revenue projections of taxes received in the
Treasury under chapter 50B of subtitle D the Internal
Revenue Code of 1986 for purposes of determining the
amount appropriated to the Fund under subsection
(b)(4);
(B) provide the Council with quarterly reports
detailing expenditures from the Fund, as allocated in
prior fiscal years;
(C) assist the Council and the Secretary of Labor
in developing annual implementation and performance
plans to ensure consistent implementation of Fund
allocations across the agencies and programs which are
allocated funding; and
(D) provide the Council with any other
documentation, technical assistance, or requests for
information related to the Fund.
(6) Membership.--
(A) In general.--The Council shall consist of 15
individuals appointed in accordance with this
paragraph.
(B) Expertise.--Each member of the Council shall
have particular expertise, knowledge, and experience in
matters relating to the mission of the Council.
(C) Composition.--The Council shall be comprised of
the following individuals and representatives:
(i) The Secretary of Labor or a designee.
(ii) The Secretary of Education or a
designee.
(iii) The Administrator of the Small
Business Administration or a designee.
(iv) The Chief Executive Officer of
AmeriCorps.
(v) The Head of the Directorate for
Computer and Information Science and
Engineering of the National Science Foundation.
(vi) 10 members who are not officials of
the Federal Government, including--
(I) 2 individuals who represent
labor organizations, of whom--
(aa) 1 shall be appointed
by the Majority Leader of the
Senate; and
(bb) 1 shall be appointed
by the Speaker of the House of
Representatives; and
(II) 8 individuals--
(aa) who have advanced
qualifications and are widely
recognized as scholarly experts
on artificial intelligence, K-
12 education, higher education
(including as representatives
of a minority-serving
institution (as defined in
section 115(d)(2)(B) of the
Mutual Educational and Cultural
Exchange Act of 1961 (22 U.S.C.
2465(d)(2)(B)))), community
service, civil rights, digital
equity, or workforce
development (including with
respect to delivering workforce
development programs at scale
in areas related to or affected
by artificial intelligence);
and
(bb) of whom--
(AA) 2 shall be
appointed by the
Majority Leader of the
Senate;
(BB) 2 shall be
appointed by the
Minority Leader of the
Senate;
(CC) 2 shall be
appointed by the
Speaker of the House of
Representatives; and
(DD) 2 shall be
appointed by the
Minority Leader of the
House of
Representatives.
(7) Terms of non-federal officials.--
(A) In general.--The non-Federal officials
appointed under paragraph (6)(C)(vi) shall serve a term
of 2 years beginning on the date of the start of each
new Congress.
(B) Continuation of term.--Such a non-Federal
official shall continue to serve on the Council if a
new individual is not appointed to take their place on
the Council after the start of a new Congress until the
new individual is appointed.
(C) Removal.--A non-Federal official may not be
removed from the Council before the end of their term
unless \3/4\ of the Council votes to remove the
individual from the Council for cause.
(8) Chair; co-chair.--
(A) Chair.--The President shall designate a chair
of the Council, who shall--
(i) be an individual appointed under clause
(i), (ii), (iii), (iv), or (v) of paragraph
(6)(C); and
(ii) serve for a term of 2 years.
(B) Co-chair.--The non-Federal officials on the
Council shall select from amongst themselves an
individual to serve as co-chair for a term of 2 years.
(9) Regular meetings.--
(A) In general.--The Council shall hold regular
meetings to solicit input from the public and relevant
stakeholders to inform the Council's recommended
allocations under paragraph (4).
(B) Regional meetings.--The Council shall hold not
fewer than 4 meetings per year in geographically
diverse regions of the United States.
(C) Public participation.--The Council shall take
appropriate steps to allow members of the public to
participate and share concerns relating to the mission
of the Council.
(D) Quorum.--Each meeting of the Council shall be
attended by the chair or co-chair and not less than 1
out of every 3 members of the Council.
(E) Voting.--
(i) In general.--The Council shall vote on
the allocations recommended by the Council to
the President under paragraph (3).
(ii) Voting by proxy.--Members of the
Council may vote by proxy.
(10) Reports.--Not later than 180 days after the date of
enactment of this Act, and every 90 days thereafter, the
Council shall--
(A) publish all grants and disbursements using
amounts from the Fund on a Federal Government website
accessible to the general public;
(B) publish a report summarizing the feedback
provided to the Council at each regular meeting;
(C) submit a report on the accounting of all
assessments, collections, and disbursements from the
Fund for the reporting period to--
(i) the Committee on Health, Education,
Labor, and Pensions and the Committee on
Appropriations of the Senate; and
(ii) the Committee on Education and
Workforce and the Committee on Appropriations
of the House of Representatives;
(D) publish an annual performance report
identifying data and evidence as to whether and how the
expenditures made out of the Fund contributed to or
accomplished the purposes of the Fund under subsection
(b)(2); and
(E) submit the report required under subparagraph
(B) to the Comptroller General of the United States,
which report shall include accounting information as
the Comptroller General may request.
TITLE II--ARTIFICIAL INTELLIGENCE INDUSTRY-GENERATED REVENUES
SEC. 201. DIGITAL ADVERTISING TAX.
(a) In General.--Subtitle D of the Internal Revenue Code of 1986 is
amended by adding at the end the following new chapter:
``CHAPTER 50B--ARTIFICIAL INTELLIGENCE
``Sec. 5000E-1. Digital advertising revenue.
``SEC. 5000E-1. DIGITAL ADVERTISING REVENUE.
``(a) In General.--In addition to any other tax imposed under this
title, there is hereby imposed on any covered taxpayer a tax equal to 5
percent of the amount of any digital advertising revenue received by
such covered taxpayer during any taxable year which is derived from
digital advertisements displayed to United States users.
``(b) Covered Taxpayer.--
``(1) In general.--For purposes of this section, the term
`covered taxpayer' means, with respect to any taxable year, any
taxpayer for which--
``(A)(i) total revenue from sources within and
without the United States during such taxable year
exceeded $50,000,000,000, or
``(ii) total revenue from sources within the United
States during such taxable year exceeded
$1,000,000,000, and
``(B) digital advertising revenue during such
taxable year which is derived from digital
advertisements displayed to United States users
exceeded $50,000,000.
``(2) Aggregation rules.--
``(A) In general.--All persons treated as a single
employer under subsection (a) or (b) of section 52 or
subsection (m) or (o) of section 414, shall be treated
as 1 taxpayer for purposes of this subsection.
``(B) Inclusion of foreign corporations.--For
purposes of subparagraph (A), in applying subsections
(a) and (b) of section 52 to this paragraph, section
1563 shall be applied without regard to subsection
(b)(2)(C) thereof.
``(c) Other Definitions.--In this section--
``(1) Digital advertising revenue.--The term `digital
advertising revenue' means gross revenue derived from, or
directly related to, the sale of a digital advertising service.
``(2) Digital advertising service.--The term `digital
advertising service' means a service, provided for a fee, to
deliver an advertisement or promotional message to a user
through a digital interface, including services such as--
``(A) placing, displaying, transmitting, serving,
delivering, selecting, ranking, targeting, optimizing,
or otherwise distributing such advertisement or
promotional message,
``(B) selling, licensing, allocating, or auctioning
digital advertising inventory,
``(C) operating an advertising exchange, demand-
side platform, supply-side platform, advertising
network, retail-media network, or substantially similar
system to the extent consideration is attributable to
the placement, auction, delivery, or distribution of
such advertisement or promotional message, or
``(D) any other similar service for the placement
or delivery of such advertisement or promotional
message, as may be designated by the Secretary for
purposes of this section.
``(3) Digital interface.--The term `digital interface'
includes a website, mobile application, online application,
streaming service, and other electronically accessed interface
operating on the internet.
``(4) United states user.--The term `United States user'
means a user based in the United States, as determined based
on--
``(A) reliable device geolocation, as used in the
ordinary course of business, for determining the
location of a user,
``(B) operation of a user's device through an
Internet Protocol address based in the United States,
``(C) billing address,
``(D) business customer location,
``(E) location in which an digital advertising
service was used, or
``(F) such other methods as may be prescribed by
the Secretary.
``(d) Payment of Tax.--
``(1) In general.--The tax imposed by this section shall be
paid by the covered taxpayer that received the digital
advertising revenue.
``(2) Rule of construction with regard to certain
penalties.--The penalties imposed under section 6652 for
failure to make deposits of tax and under section 6662 for
underpayment of tax shall apply with respect to the tax imposed
under this section in the same manner as such sections are
applied to other excise taxes imposed under this title.
``(e) Privacy Rule.--No provision of this section shall be deemed
to require a person to collect precise geolocation, communications
content, or other sensitive personal information that such person does
not otherwise collect in the ordinary course of business.
``(f) Return Requirements.--
``(1) In general.--The Secretary shall require any
applicable entity to file a return (in such manner as the
Secretary may prescribe) with respect to each taxable year that
includes the following:
``(A) Total revenue.
``(B) Total digital advertising revenue that was
attributable to United States users.
``(C) Methods of determination for United States
users for purposes of subsection (c)(4).
``(D) Any entities included pursuant to subsection
(b)(2).
``(E) Any other information, as identified by the
Secretary pursuant to regulations issued pursuant to
subsection (g).
``(2) Applicable entity.--For purposes of this subsection,
the term `applicable entity' means an entity which satisfies
the requirements under subparagraphs (A) and (B) of subsection
(b)(1), except that subparagraph (B) of such subsection shall
be applied by substituting `$40,000,000' for `$50,000,000'.
``(g) Regulations.--Not later than 18 months after the date of
enactment of this section, the Secretary, in consultation with the
Secretary of Commerce, shall issue such regulations as may be necessary
or appropriate to carry out the purposes of this section.''.
(b) Clerical Amendment.--The table of chapters for subtitle D of
the Internal Revenue Code of 1986 is amended by inserting after the
item relating to chapter 50A the following new item:
``Chapter 50B--Artificial Intelligence''.
(c) Effective Date.--The amendments made by this section shall
apply with respect to any taxable year beginning after December 31,
2026.
SEC. 202. ARTIFICIAL INTELLIGENCE USAGE TAX.
(a) In General.--Chapter 50B of subtitle D of the Internal Revenue
Code of 1986, as added by this Act, is amended by adding at the end the
following new section:
``SEC. 5000E-2. ARTIFICIAL INTELLIGENCE SERVICES.
``(a) Imposition of Tax.--
``(1) In general.--There is hereby imposed a tax on any
covered artificial intelligence processing service which is
utilized by a covered user for the generation of content.
``(2) Rate of tax.--The rate of tax imposed by this
subsection with respect to any content generated by a covered
artificial intelligence processing service shall be $1.10 per
1,000,000 units of computational processing with respect to
such content.
``(3) Exemption.--With respect to each covered user, this
subsection shall not apply to the first 1,000,000 units of
computational processing for any content generated by a covered
artificial intelligence processing service which is utilized by
such covered user during a calendar year.
``(b) Liability and Collection.--
``(1) Liability.--Subject to paragraph (3), the tax imposed
by subsection (a) shall be paid by the covered user.
``(2) Collection.--The provider of the covered artificial
intelligence processing service for which a tax is imposed
under subsection (a) shall--
``(A) subject to paragraph (3), collect the amount
of the tax from the covered user, and
``(B) remit such tax quarterly to the Secretary at
such time and in such manner as provided by the
Secretary.
``(3) Election to pay tax on behalf of covered users.--At
the election of the provider (in such form and such manner as
the Secretary may provide), the tax imposed by subsection (a)
with respect to any content generated by a covered artificial
intelligence processing service shall be paid by such provider.
``(c) Credit Against Tax.--
``(1) In general.--In the case of a provider that makes an
election under subsection (b)(3) with respect to any content
generated by a covered artificial intelligence processing
service which is utilized by a qualified covered user for non-
commercial purposes, there shall be allowed as a credit against
any of the taxes imposed by this chapter an amount equal to the
tax paid by such provider pursuant to the election under such
subsection, with such credit to be allocated by the taxpayer
against such taxes--
``(A) in such respective amount as is determined
appropriate by the taxpayer, and
``(B) in compliance with paragraph (3).
``(2) Qualified covered user.--For purposes of this
subsection, the term `qualified covered user' means--
``(A) an institution of higher education (as
defined in section 101(a) of the Higher Education Act
of 1965 (20 U.S.C. 1001(a))), and
``(B) a research organization described in section
501(c)(3) and exempt from tax under section 501(a).
``(3) Limitation on credit.--
``(A) Taxes on digital advertising revenue and
excess profits from artificial intelligence
development.--With respect to the tax imposed under
section 5000E-1 or section 5000E-3, the amount of the
credit allowable to a taxpayer under paragraph (1)
against the tax imposed under either such section for
any taxable year shall not exceed an amount equal to 10
percent of the tax imposed under such section for such
taxable year.
``(B) Tax on artificial intelligence services.--
With respect to the tax imposed under subsection (a),
the amount of the credit allowable to a taxpayer under
paragraph (1) against such tax for any calendar year
shall not exceed 10 percent of the tax imposed under
such subsection during such calendar year.
``(d) Definitions.--In this section--
``(1) Covered artificial intelligence processing service.--
The term `covered artificial intelligence processing service'
means any service that--
``(A) utilizes a machine learning model capable of
generating, transforming, or analyzing content, and
``(B) processes user-provided inputs to produce an
output.
``(2) Covered user.--The term `covered user' means any
person who utilizes a covered artificial intelligence
processing service.
``(3) Provider.--The term `provider' means the person
providing access to covered users for utilization of the
covered artificial intelligence processing service.
``(4) Unit of computational processing.--The term `unit of
computational processing' means a unit of digital information
defined as 10 kilobytes of binary data.
``(e) Regulations and Guidance.--Not later than 12 months after the
date of enactment of this section, the Secretary shall issue such
regulations or other guidance as may be necessary or appropriate to
carry out the purposes of this section, including any regulations or
guidance as may be necessary to--
``(1) standardize measurement of computational processing
units across types of artificial intelligence models,
``(2) prevent avoidance through pricing structures or
technical definitions,
``(3) ensure administrability and compliance, and
``(4) define non-commercial purposes with respect to
subsection (c).''.
(b) Penalties.--Section 6672 of the Internal Revenue Code of 1986
is amended by adding at the end the following new subsection:
``(f) Special Rule for Failure To Collect and Pay Excise Tax on
Content Generated by Artificial Intelligence.--In the case of any
failure described in subsection (a) which relates to the tax imposed
under section 5000E-2(a), the penalty under subsection (a) shall be
increased by an amount equal to 200 percent of the amount of such
tax.''.
(c) Clerical Amendment.--The table of sections for chapter 50B of
subtitle D of the Internal Revenue Code of 1986 is amended by adding at
the end the following new item:
``Sec. 5000E-2. Content generated by artificial intelligence.''.
(d) Effective Date.--The amendments made by this section shall
apply to any covered artificial intelligence processing service (as
defined in section 5000E-2(d) of the Internal Revenue Code of 1986)
utilized after December 31, 2026.
SEC. 203. ARTIFICIAL INTELLIGENCE EXCESS PROFITS TAX.
(a) In General.--Chapter 50B of subtitle D of the Internal Revenue
Code of 1986, as added by this Act, is amended by adding at the end the
following new section:
``SEC. 5000E-3. EXCESS PROFITS FROM ARTIFICIAL INTELLIGENCE
DEVELOPMENT.
``(a) In General.--In addition to any other tax imposed under this
title, there is hereby imposed on any covered taxpayer a tax of 50
percent of the excess (if any) of--
``(1) the taxable income of such covered taxpayer for any
taxable year, over
``(2) an amount equal to 40 percent of the gross receipts
of such covered taxpayer for such taxable year.
``(b) Definitions.--For purposes of this section--
``(1) Covered taxpayer.--
``(A) In general.--The term `covered taxpayer'
means, with respect to any taxable year, any taxpayer--
``(i) for which total revenue during such
taxable year exceeded $100,000,000, and which--
``(I) was engaged in--
``(aa) developing and
training an artificial
intelligence model that is
machine learning, deep
learning, or generative
artificial intelligence, or
``(bb) developing
artificial intelligence
technology based on a trained
artificial intelligence model,
or
``(II) was a covered AI electricity
user for the taxable year preceding
such taxable year, or
``(ii) which, during such taxable year,
derived greater than $100,000,000 in revenue
from providing computing for--
``(I) the development and training
of an artificial intelligence model,
``(II) the development of
artificial intelligence technology
based on a trained artificial
intelligence model, or
``(III) the deployment or use of--
``(aa) an artificial
intelligence model, or
``(bb) technologies based
on an artificial intelligence
model, including autonomous
systems that can perceive,
understand, perform, or
orchestrate complex actions in
the physical world.
``(B) Aggregation rules.--
``(i) In general.--All persons treated as a
single employer under subsection (a) or (b) of
section 52 or subsection (m) or (o) of section
414, shall be treated as 1 person for purposes
of this paragraph.
``(ii) Inclusion of foreign corporations.--
For purposes of clause (i), in applying
subsections (a) and (b) of section 52 to this
paragraph, section 1563 shall be applied
without regard to subsection (b)(2)(C) thereof.
``(2) Covered ai electricity user.--
``(A) In general.--The term `covered AI electricity
user' means any person which, for any taxable year--
``(i) consumed electricity for any of the
activities described in subclause (I) or (II)
of subparagraph (A)(i), and
``(ii) with respect to such activities--
``(I) had an average electrical
load of greater than 50 megawatts
during any period of 30 consecutive
days during such taxable year, or
``(II) consumed greater than
400,000,000 kilowatt hours of
electricity.
``(B) Additional aggregation rules.--Pursuant to
such rules as are prescribed by the Secretary, any
electricity consumed for any of the activities
described in subclause (I) or (II) of subparagraph
(A)(i)--
``(i) by any entities under common control
(within the meaning of subsections (a) and (b)
of section 52), or
``(ii) through a data center, cloud
computing service, colocation agreement, or
other third-party computing arrangement,
shall be aggregated for purposes of subparagraph (A).
``(c) Regulations and Guidance.--The Secretary shall issue such
regulations or other guidance as may be necessary or appropriate to
carry out the purposes of this section, including any regulations or
guidance with respect to the filing of the return of tax imposed by
this section.''.
(b) Clerical Amendment.--The table of sections for chapter 50B of
subtitle D of the Internal Revenue Code of 1986 is amended by adding at
the end the following new item:
``Sec. 5000E-3. Excess profits from artificial intelligence
development.''.
(c) Effective Date.--The amendments made by this section shall
apply to taxable years beginning after December 31, 2026.
TITLE III--NATIONAL SERVICE FOR AMERICA
SEC. 301. NATIONAL SERVICE FOR AMERICA'S FUTURE PROGRAM.
(a) In General.--Title I of the National and Community Service Act
of 1990 (42 U.S.C. 12511 et seq.) is amended by adding at the end the
following:
``Subtitle K--National Service for America's Future Program
``SEC. 199O. PURPOSE; DEFINITIONS.
``(a) Purpose.--The purposes of the National Service for America's
Future program established under section 199P(a) are to--
``(1) create paid service-to-career pathways into jobs that
require human judgment, trust, physical presence,
communication, empathy, and relationship-based work; and
``(2) benefit participants, States, employers, and
communities by--
``(A) creating paid on-ramps into human-centered
jobs for early-career workers, displaced workers,
unemployed or underemployed workers, individuals
returning to the workforce, and mid-career workers
seeking to move into less artificial intelligence-
exposed fields;
``(B) integrating national service with the
Workforce Innovation and Opportunity Act (29 U.S.C.
3101 et seq.), so participants can be connected to a
one-stop center, screened for eligibility and co-
enrolled (as eligible) in programs under such Act, and
referred to eligible providers of training services
under section 122 of such Act (29 U.S.C. 3152),
apprenticeship programs, pre-apprenticeships, community
colleges, and employment pathways;
``(C) requiring a documented workforce outcome for
every funded position, such as placement in or credit
towards an apprenticeship program, pre-apprenticeship
completion, an industry-recognized credential,
certification, licensure support, clinical or
supervised practice hours, postsecondary credit, or
employment in an eligible service field; and
``(D) helping States address workforce shortages in
human-facing and community-serving fields while
allowing State Commissions and State boards to tailor
plans to State and regional labor-market needs.
``(b) Definitions.--For purposes of this subtitle:
``(1) Artificial intelligence; artificial intelligence
horizon fund; artificial intelligence advisory council.--The
terms `artificial intelligence', `Artificial Intelligence
Horizon Fund', and `Artificial Intelligence Advisory Council'
have the meanings given such terms in section 3 of the Make AI
Work for Americans Act.
``(2) Apprenticeship program.--The term `apprenticeship
program' means an apprenticeship registered under the Act of
August 16, 1937 (commonly known as the `National Apprenticeship
Act'; 50 Stat. 664, chapter 663; 29 U.S.C. 50 et seq.).
``(3) Eligible host site.--
``(A) In general.--Except as provided in
subparagraph (B), the term `eligible host site' means
any entity operating in an eligible service field that
is a nonprofit entity, public agency, institution of
higher education (as defined in section 101 of the
Higher Education Act of 1965 (20 U.S.C. 1001)), public
health entity, care provider, education provider, or
business organized for profit that is approved by a
State under section 199Q(e).
``(B) Exclusions.--The term `eligible host site'
does not include any entity that is--
``(i) a business organized for profit,
other than such a business that is approved by
a State under section 199Q(e);
``(ii) a partisan political organization;
``(iii) an organization engaged in
religious activities, unless the service of a
participant with such entity would not
involve--
``(I) giving religious instruction;
``(II) conducting worship services;
``(III) providing instruction as
part of a program that includes
mandatory religious education or
worship;
``(IV) constructing or operating
facilities devoted to religious
instruction or worship or maintaining
facilities primarily or inherently
devoted to religious instruction or
worship; or
``(V) engaging in any form of
proselytization;
``(iv) a nonprofit organization that fails
to comply with the restrictions contained in
section 501(c) of the Internal Revenue Code of
1986 (26 U.S.C. 501(c)), except that nothing in
this subparagraph shall be construed to prevent
participants with such entity from engaging in
advocacy activities undertaken at their own
initiative; or
``(v) an organization that has been found
by the National Labor Relations Board or
Federal Labor Relations Authority to have
violated the National Labor Relations Act or
title 5, United States Code, respectively,
within the preceding 5 years.
``(4) Eligible service field.--The term `eligible service
field' includes any human-facing and community-serving sector.
``(5) Local board.--The term `local board' has the meaning
given such term in section 3 of the Workforce Innovation and
Opportunity Act (29 U.S.C. 3102).
``(6) One-stop center.--The term `one-stop center' has the
meaning given such term in such section of such Act.
``(7) Secretary.--The term `Secretary' means the Secretary
of Labor.
``(8) Service-to-career pathway.--The term `service-to-
career pathway' means a paid service placement for a
participant in an activity funded under section 199Q, at an
eligible host site in an eligible service field, that provides
meaningful and occupation-relevant training, skill development,
or work-based learning and results in a documented workforce
outcome, including--
``(A) placement in a registered apprenticeship
program or completion, or credit toward completion, of
such a program;
``(B) completion of a high-quality pre-
apprenticeship program;
``(C) obtaining an industry-recognized credential;
``(D) obtaining a State or nationally recognized
certification;
``(E) obtaining licensure or licensing exam
preparation;
``(F) obtaining clinical, practicum, or supervised
practice hours;
``(G) obtaining credit from a public institution of
higher education (as defined in section 101(a) of the
Higher Education Act (20 U.S.C. 1001(a)));
``(H) obtaining employment; or
``(I) another recognized workforce outcome approved
by the Artificial Intelligence Advisory Council under
the national program framework.
``(9) State board.--The term `State board' has the meaning
given such term in such section of such Act.
``SEC. 199P. ESTABLISHMENT OF NATIONAL SERVICE FOR AMERICA'S FUTURE
PROGRAM.
``(a) In General.--There is established a National Service for
America's Future program as provided under this subtitle.
``(b) Program Framework.--The Artificial Intelligence Advisory
Council shall establish a national program framework for applications
by States under section 199Q that establishes minimum standards and
outcomes (while providing States flexibility to design pathways
appropriate to State and regional workforce needs, eligible service
fields, participant populations, and occupations), including--
``(1) national priorities for service-to-career pathways,
based on occupations and eligible service fields experiencing a
shortage of workers throughout the United States, which a State
may consider addressing in the National Service for America's
Future plan of the State;
``(2) expectations regarding the training or reskilling the
State shall provide participants as part of a service placement
regarding--
``(A) durable skills; and
``(B) as appropriate to the service-to-career
pathway, occupation, or eligible service field--
``(i) artificial intelligence literacy;
``(ii) artificial intelligence fluency; and
``(iii) other relevant digital or
technological skills;
``(3) requirements for coordination and integration, as
appropriate, of activities carried out by a State under the
grant program with programs under the Workforce Innovation and
Opportunity Act, while providing States flexibility in the
mechanisms used to achieve such integration based on
participant needs, pathway design, and existing State and local
workforce systems;
``(4) recognized workforce outcomes for service-to-career
pathways under section 199O(b)(8)(I);
``(5) national guardrails for such States for purposes of
establishing the amount that an eligible host site that
supports a paid service placement of a participant will be
required to provide as a cost-share amount for the participant
(which may include a process for the State to waive, reduce, or
increase such amount based on the capacity and resources for
the eligible host site, including for an eligible host site
that is small, in a rural area, associated with an Indian
tribe, a nonprofit, in a high-poverty area, or otherwise is
underresourced);
``(6) requirements and procedures relating to--
``(A) States that elect to coordinate with one or
more other States, including through joint
solicitations, shared review of applications for
subgrants, joint agreements with eligible host sites,
or coordinated support of a common host site, and the
manner in which each such State remains accountable for
the amounts provided to such State under section 199Q;
and
``(B) host sites or subgrantees that receives a
subgrant under section 199Q(d)(3) that seek to carry
out activities under this subtitle in more than one
State, including a common format for the
organizational, financial, and past performance
information required of such an entity, which a State
shall accept in lieu of any State-specific format for
such information, and a common format for reporting by
such an entity; and
``(7) requirements for State reporting metrics for purposes
of the report under section 199T(a).
``(c) Updates for National Priorities.--The Artificial Intelligence
Advisory Council shall review and annually update the priorities under
subsection (b)(1).
``(d) Rule of Construction.--Nothing in this subtitle shall be
construed to require a State to use a single service placement or
program model or to prohibit a State from supporting individual
placement, cohort-based, crew-based, intermediary, apprenticeship, or
pre-apprenticeship models or other service-to-career pathway models
under this subtitle that otherwise satisfy the requirements under this
section.
``SEC. 199Q. NATIONAL SERVICE FOR AMERICA'S FUTURE GRANTS.
``(a) In General.--Subject to the availability of funds allocated
from the Artificial Intelligence Horizon Fund for purposes of awarding
grants under this subtitle, the Corporation shall, in accordance with
the formula under subsection (c), award grants to States with an
approved application under subsection (b) to carry out the activities
described in subsection (d).
``(b) Application.--
``(1) In general.--For each State that submits an
application under this subsection for a grant under subsection
(a), the Corporation and the Secretary shall jointly--
``(A) approve such application if the application
satisfies the requirements of the national program
framework established under section 199P(b); or
``(B) if the Corporation and Secretary determines
the application is unsatisfactory, reject such
application, notify the State Commission of the State
of the reasons for the rejection, and provide such
State with reasonable opportunity to revise (with
technical assistance from the Corporation and
Secretary, if appropriate) and resubmit such
application.
``(2) Requirements.--A State seeking a grant under
subsection (a) shall, through the State Commission of the State
acting jointly with the State board and State workforce agency
of the State, submit an application to the Corporation and the
Secretary at such time, in such manner, and containing such
information as the Corporation may reasonably require,
including--
``(A) a National Service for America's Future plan
that--
``(i) describes how the State intends to
use the grant, in accordance with the national
program framework established under section
199P(b), to support paid service placements of
participants in the program in service-to-
career pathways;
``(ii) describes the criteria the State
will use to approve eligible host sites under
subsection (d)(2) and the terms the State will
require in an agreement with each such site,
including--
``(I) requirements relating to
supervision, training, workplace
safety, and nondiscrimination; and
``(II) the amount, in accordance
with the national guardrails
established in the national program
framework, that the site will be
required to provide as a cost-share
amount for the participant;
``(iii) identifies the eligible service
fields the State will support under the plan,
and describes how the State selected such
fields, including the State and regional labor
market data on which the State relied;
``(iv) describes the terms of service for
participants under the plan, including the
minimum and maximum number of service hours for
such terms;
``(v) describes how the State will recruit
and select participants, including how the
State will apply the priorities described in
section 199R(b); and
``(vi) describes how the State will provide
the training described in section 199P(b)(2),
including the entities that will provide such
training;
``(vii) describes how the State will verify
and document the workforce outcomes described
in section 199O(b)(8), including the
documentation the State will require;
``(viii) describes the entities to which
the State will provide subgrants under
subsection (d)(3), the purposes for which such
subgrants will be provided, and how funds will
flow to participants through such subgrants;
``(ix) describes the standards the State
will use to determine which participants
receive the benefits and supportive services
described in section 199R(c)(1)(B) and how the
State will apply such standards consistently;
``(x) describes the entities the State
consulted in developing the plan, including
employers, labor organizations, community
colleges, Indian tribes, and community-based
organizations; and
``(xi) specifies the period covered by the
plan and the process by which the State may
modify the plan; and
``(B) a certification or concurrence by the State
board that the National Service for America's Future
plan is aligned with the workforce needs of the State
and the programs of the State under the Workforce
Innovation and Opportunity Act, including a description
of how activities under the plan will--
``(i) connect such participants to local
boards and one-stop centers;
``(ii) screen such participants for
eligibility to participate in programs under
the Workforce Innovation and Opportunity Act
and, if eligible and appropriate to advance the
participant's service-to-career pathway,
facilitate co-enrollment in such programs;
``(iii) connect such participants with
eligible providers of training services under
section 122 of such Act (29 U.S.C. 3152),
apprenticeship programs, pre-apprenticeships,
community colleges, employers, labor
organizations, or public-sector hiring
pathways; and
``(iv) provide that participation count, as
applicable, as work-based learning, work
experience, on-the-job training, participation
in a career pathway, participation in a pre-
apprenticeship, or measurable skill gain.
``(3) Relationship to state national service plan.--
``(A) In general.--A State may submit the National
Service for America's Future plan described in
paragraph (2)(A) as part of, or as an addendum to, the
national service plan of the State prepared under
section 178(e)(1).
``(B) Rule of construction.--The Corporation or
Secretary may not require submission of the National
Service for America's Future plan as part of, or as an
addendum to, such national service plan as a condition
of approval of an application under paragraph (1).
``(c) Grant Formula.--
``(1) Approved state.--For purposes of this subsection, the
term `approved State' means a State with an application to
receive a grant under this section that has been approved under
subsection (b)(1)(A).
``(2) Reservation of funds.--Of the total amount received
from the Artificial Intelligence Horizon Fund and allocated for
use under this subtitle for a fiscal year, the Corporation--
``(A) shall reserve--
``(i) 1 percent of such amount for grants
under this section to approved States that are
the United States Virgin Islands, Guam,
American Samoa, or the Commonwealth of the
Northern Mariana Islands, of which such amount
shall be allotted for a grant to each such
approved State for a fiscal year in an amount
that bears the same ratio to 1 percent of such
amount for that fiscal year as the population
of the approved States bears to the total
population of the United States Virgin Islands,
Guam, American Samoa, and the Commonwealth of
the Northern Mariana Islands; and
``(ii) 5 percent of such amount for grants
under this section to Indian tribes; and
``(B) may reserve not more than 2 percent of the
amount that remains from total amount after the
reservations under subparagraph (A) for use by the
Corporation and the Secretary for the costs of
administering this subtitle, including technical
assistance, evaluation, and the reports required under
section 199T.
``(3) Allotment to approved states on formula basis.--The
Corporation shall allot the amount received from the Artificial
Intelligence Horizon Fund and allocated for use under this
subtitle for a fiscal year that is not reserved under paragraph
(2) (referred to in this subsection as the `unreserved funds'),
for grants under this section to approved States that are one
of the several States, the District of Columbia, or the
Commonwealth of Puerto Rico in an amount that (excepted as
provided in paragraph (4)) bears the same ratio of the
unreserved funds for the fiscal year as the population of the
State bears to the total population of the several States, the
District of Columbia, and the Commonwealth of Puerto Rico.
``(4) Minimum amount for formula.--
``(A) In general.--Notwithstanding paragraph (3),
the minimum grant made available to any approved State
described in such paragraph from the unreserved funds
under such paragraph for a fiscal year shall be the
greater of--
``(i) the amount published under
subparagraph (B) for purposes of the fiscal
year; or
``(ii) 0.5 percent of the total amount of
the unreserved funds for the fiscal year.
``(B) Minimum amount publication.--Not later than
90 days before the beginning of any fiscal year that
begins after the date of enactment of the Make AI Work
for Americans Act, the Artificial Intelligence Advisory
Council shall determine and publish the amount for
purposes of subparagraph (A)(i) for the fiscal year.
``(5) Effect of failure to apply.--If a State fails to
apply for, or fails to give notice to the Corporation of its
intent to apply for, a grant under this section, or if the
application of the State is rejected under subsection
(b)(1)(B), the Corporation may use the amount that would have
been allotted under paragraph (2) to the State to make
reallotments to approved States under this subsection or make
grants to other community-based entities that propose to carry
out National Service for America's Future programs in such
State or territory.
``(6) Population determination.--In determining populations
of a State for purposes of this subsection, the Corporation
shall use the most recently published data available from the
Bureau of the Census that the Corporation determines is
appropriate for such purposes.
``(7) Unawarded tribal funds.--Any amount reserved under
paragraph (2)(B) that is not awarded to an Indian tribe in a
fiscal year shall be available to the Corporation and the
Secretary to provide technical assistance and support to Indian
tribes to apply for and carry out grants under this section.
``(d) Activities.--A State that receives a grant under subsection
(a) shall, in accordance with the application of the State submitted to
the Corporation under subsection (b) and acting through the State
Commission as the lead entity in partnership with the State board and
State workforce agency of the State, carry out the National Service for
America's Future plan of such State, including by--
``(1) enrolling eligible individuals under section 199R for
participation in a program under that plan through a service-
to-career pathway;
``(2) approving eligible host sites for placement of such
individuals; and
``(3) providing subgrants in accordance with the plan.
``(e) Host Sites Organized for Profit.--In carrying out subsection
(d), a State may approve a business organized for profit as an eligible
host site if the State determines that placement at the business--
``(1) would be in an eligible service field and responds to
a demonstrated State, regional, or community workforce need;
``(2) provides meaningful training, work-based learning,
supervision, and a documented workforce outcome under section
199O(b)(8);
``(3) provides a public or community benefit in addition to
any incidental benefit received by the business;
``(4) does not displace an existing employee, supplant
hiring, or reduce the hours or wages of an existing employee;
and
``(5) meets such additional safeguards as the State
determines appropriate.
``(f) Administration.--
``(1) State.--Except as provided in paragraph (3), a State
that receives a grant under subsection (a) may use not more
than 10 percent of the amount provided to a State under this
section to pay for administrative costs incurred by the State
in carrying out the activities under this section, including
for data collection, performance measurement, technical
assistance, workforce-system coordination, participant support
infrastructure, and oversight.
``(2) Subgrantees.--Except as provided in paragraph (3), a
subgrantee that receives a subgrant under subsection (d)(3) may
use not more than 5 percent of the amount of such subgrant to
pay for administrative costs incurred by the entity in carrying
out the activities under this section.
``(3) Reduction after third year.--
``(A) In general.--With respect to any fiscal year
following the third fiscal year for which a State
receives a grant under subsection (a), the Corporation
may apply a percentage lower than the percentage
specified in paragraph (1), and a percentage lower than
the percentage specified in paragraph (2) with respect
to entities receiving subgrants from such State, except
that the Corporation may not apply a percentage lower
than 5 percent for purposes of paragraph (1) or 3
percent for purposes of paragraph (2).
``(B) Notice and uniform application.--The
Corporation shall publish any percentage applied under
subparagraph (A) not later than 90 days before the
beginning of the fiscal year to which it applies and
shall apply such percentage on the same terms to each
approved State that has received a grant under
subsection (a) for more than 3 fiscal years.
``(g) Grants to Indian Tribes.--
``(1) In general.--Subject to this subsection, the
Corporation may, using amounts reserved under subsection
(c)(2)(A)(ii), award grants to Indian tribes under subsection
(a) to carry out the activities described in subsection (d) as
if such an Indian tribe was a State receiving a grant under
subsection (a).
``(2) Application.--
``(A) In general.--Subject to subparagraph (B), an
Indian tribe may apply for a grant described in
paragraph (1) under subsection (b), and the Corporation
and Secretary shall approve or reject such application
under subsection, as if the Indian tribe was a State
seeking a grant under subsection (a).
``(B) Modification.--For purposes of an application
by an Indian tribe as described under this paragraph--
``(i) a reference in subsection (b) to the
State Commission, State board, or State
workforce agency of a State shall be deemed to
refer to the Indian tribe; and
``(ii) in the application of the Indian
tribe, in lieu of the certification or
concurrence required under subsection
(b)(2)(B), the Indian tribe shall include in
the application a description of how activities
of the Indian tribe will connect participants
to one-stop centers, screen participant for
eligibility for, and where appropriate to
advance the participant's service-to-career
pathway, co-enroll them in, programs under the
Workforce Innovation and Opportunity Act (29
U.S.C. 3101 et seq.), and connect them to
training providers, apprenticeship programs,
and community colleges, including through
coordination with any program the Indian tribe
operates under section 166 of such Act (29
U.S.C. 3221).
``(3) Requirements and conditions.--An Indian tribe that
receives a grant described in paragraph (1) shall use the grant
funds subject to the same conditions and requirements as grant
funds awarded to a State under subsection (a).
``(h) Rule of Construction.--This subtitle shall not be interpreted
to--
``(1) alter any responsibility of a State workforce agency
or any appropriate local workforce entity for determinations of
eligibility, enrollment, or administration of programs under
the Workforce Innovation and Opportunity Act; or
``(2) require a State Commission to perform functions
assigned under Federal or State law to a State workforce
agency, local board, or one-stop operator.
``SEC. 199R. PARTICIPANTS.
``(a) In General.--In accordance with subsection (b), a State that
receives a grant under section 199Q to carry out activities in
accordance with the National Service for America's Future plan of such
State may enroll any individual who is not less than 18 years of age as
a participant.
``(b) Priority.--In selecting individuals for enrollment under
subsection (a), a State may prioritize--
``(1) early-career workers;
``(2) dislocated workers (as defined in section 3 of the
Workforce Innovation and Opportunity Act (29 U.S.C. 3102));
``(3) unemployed or underemployed workers;
``(4) mid-career workers seeking to transition into a field
that is less exposed to artificial intelligence;
``(5) veterans;
``(6) caregivers returning to work; and
``(7) individuals from rural, Tribal, low-income, or
underserved communities.
``(c) Compensation and Benefits.--
``(1) In general.--A participant in activities in a program
under the National Service for America's Future plan of a State
shall--
``(A) from amounts provided to an eligible host
site by the State from grant funds under this section
and the cost-share amount of the eligible host site in
accordance with the plan, receive compensation from the
eligible host site supporting the participant for
service, training, professional development, coaching,
and other required program activities in such program
at a wage rate that is not less than--
``(i) $20 an hour; or
``(ii) beginning in the first fiscal year
beginning after the date of enactment of the
Make AI Work for Americans Act and for each
fiscal year thereafter, the amount in effect
under this subparagraph--
``(I) increased by the percentage
increase, if any, in the Consumer Price
Index for All Urban Consumers published
by the Bureau of Labor Statistics (or a
successor index); and
``(II) rounded to the nearest
multiple of $0.05, if the amount after
applying subclause (I) is not a
multiple of $0.05; and
``(B) be eligible, as provided in the plan, for--
``(i) a completion award;
``(ii) health care benefits or health
coverage assistance, as determined by the
Artificial Intelligence Advisory Council; and
``(iii) supportive services, including
transportation, child care, digital access,
credentialing costs, licensing fees, exam fees,
background checks, and required tools or
equipment, as determined by the Artificial
Intelligence Advisory Council.
``(2) Completion award.--A completion award to a
participant under paragraph (1)(B)(i) shall be--
``(A) in an amount determined by the Artificial
Intelligence Advisory Council that is equal to the
maximum amount of a Federal Pell Grant under section
401 of the Higher Education Act of 1965 (20 U.S.C.
1070a) that a student eligible for such Grant may
receive in the aggregate (without regard to whether the
funds are provided through discretionary or mandatory
appropriations) for the award year in which the
participation of the participant began;
``(B) pro-rated based on the service hours of the
participant in the program under the National Service
for America's Future plan of a State; and
``(C) paid by the Corporation from amounts
allocated from the Artificial Intelligence Horizon Fund
for purposes of awarding such awards, upon the
participant's completion of the term of service.
``(3) Cost sharing.--In carrying out activities for the
placement of a participant in accordance with the National
Service for America's Future plan of a State, an eligible host
site shall provide for the cost-share amount associated with
such participant as set for such eligible host site in such
plan.
``(d) Criminal History Checks.--
``(1) In general.--A State receiving a grant under this
subtitle, or an entity receiving a subgrant under section
199Q(d)(3), shall conduct a criminal history check for each
individual selected as a participant.
``(2) Regulations.--The Corporation shall issue regulations
governing checks under paragraph (1) that ensure such checks
are effective in protecting the individuals and communities
served under this subtitle while minimizing the administrative
burden on States, entities receiving subgrants under section
199Q(d)(3), and eligible host sites.
``(3) Inapplicability.--Any regulation issued under section
189D shall not apply to a participant.
``SEC. 199S. MATCHING AND COST SHARING.
``(a) Use of Funds Under This Subtitle as Matching Funds.--Amounts
received by a State under section 199Q, or by an entity receiving a
subgrant under section 199Q(d)(3), may be used to satisfy any matching,
cost sharing, or maintenance-of-effort requirement under this Act or
the Domestic Volunteer Service Act of 1973 (42 U.S.C. 4950 et seq.).
``(b) Limitation.--The same funds may not be counted to satisfy
more than one matching, cost sharing, or maintenance-of-effort
requirement as provided under subsection (a).
``SEC. 199T. REPORTS.
``(a) National Reporting.--The Corporation shall--
``(1) annually prepare a report regarding the National
Service for America's Future program established by subsection
(a) of section 199P that--
``(A) summarizes--
``(i) reports submitted by States under the
National Service for America's Future plan of
the State in accordance with the national
program framework established under subsection
(b) of such section; and
``(ii) outcomes of the program; and
``(B) includes--
``(i) information regarding State
participation;
``(ii) information on formula allotments
and expenditures;
``(iii) the number of participants and
member service years supported;
``(iv) data on participant demographics;
``(v) information on eligible service
fields and communities served;
``(vi) information on eligible service
fields and occupations supported;
``(vii) information on outcomes for
integration with programs under the Workforce
Innovation and Opportunity Act;
``(viii) information on credential and
workforce outcomes;
``(ix) information on employment,
education, apprenticeship program, and wage
outcomes, as available;
``(x) information on the use of supportive
services by participants in such program;
``(xi) information on technical assistance
needs; and
``(xii) recommendations for improving the
program; and
``(2) submit such report to the Committee on Health,
Education, Labor, and Pensions of the Senate and the Committee
on Education and Workforce of the House of Representatives.
``(b) AmeriCorps-Wide Participant Support and Modernization
Report.--The Artificial Intelligence Advisory Council, the Corporation,
and the Secretary shall jointly--
``(1) prepare a report that assess options, and identifies
any statutory or regulatory barrier that prevents the
Corporation or the Secretary from acting, to--
``(A) raise compensation for full-time service by a
participant in any program under this Act;
``(B) provide or expand health care coverage or
health coverage assistance for such participants;
``(C) improve recruitment and retention for such
participants who are facing financial barriers to
service;
``(D) integrate programs under this Act with
programs under the Workforce Innovation and Opportunity
Act (29 U.S.C. 3101 et seq.);
``(E) enable programs under this Act, and the
training and recognized postsecondary credentials
provided through such programs, to be included on a
State list of eligible providers of training services
under section 122 of the Workforce Innovation and
Opportunity Act (29 U.S.C. 3152);
``(F) strengthen the National Service Trust
established under section 145 as a pathway into a
career, including options to expand the uses for which
a national service educational award may be applied, to
align such awards with recognized postsecondary
credentials and registered apprenticeship programs and
to extend the period during which such an award may be
used;
``(G) increase the time a participant in a program
under this Act may spend in education, training, and
professional development related to the participant's
service;
``(H) permit programs under this Act to partner
with businesses organized for profit for internships,
training placements, and work-based learning that
support participant professional development or provide
a public benefit; and
``(I) establish a voluntary credential recognizing
durable skills developed through service that is
portable to employers; and
``(2) submit such report to the Committee on Health,
Education, Labor, and Pensions of the Senate and the Committee
on Education and Workforce of the House of Representatives not
later than 360 days after the date of enactment of the Make AI
Work for Americans Act.
``(c) Use of Existing Systems and Measures.--In carrying out
subsection (a), and in establishing requirements for State reporting
metrics under section 199P(b)(6), the Corporation shall--
``(1) use the data collection, grant management, and
performance reporting systems used by the Corporation for other
programs under the national service laws rather than
establishing a separate system for the program under this
subtitle;
``(2) to the maximum extent practicable, use definitions,
data elements, and performance measures that are consistent
with those used for such other programs and, as appropriate,
with the primary indicators of performance described in section
116(b)(2)(A) of the Workforce Innovation and Opportunity Act
(29 U.S.C. 3141(b)(2)(A)); and
``(3) minimize duplicative reporting by States, entities
receiving subgrants, and eligible host sites, including by
accepting data already reported to the Corporation under other
programs under the national service laws.''.
(b) Table of Contents Amendment.--The table of contents in section
1(b) of the National and Community Service Act of 1990 (42 U.S.C. 12501
note) is amended by inserting after the item relating to section 199N
the following:
Subtitle K--National Service for America's Future Program
Sec. 199O. Purpose; definitions.
Sec. 199P. Establishment of National Service for America's Future
program.
Sec. 199Q. National Service for America's Future grants.
Sec. 199R. Participants.
Sec. 199S. Matching and cost sharing.
Sec. 199T. Reports.
(c) Exclusion From Gross Income.--Section 74 of the Internal
Revenue Code of 1986 is amended by adding at the end the following new
subsection:
``(e) Exception for National Service for America's Future
Completion Awards.--Gross income shall not include the amount of any
completion award paid to an individual in accordance with section
199R(c)(1)(B)(i) of the National and Community Service Act of 1990.''.
TITLE IV--ENTREPRENEURSHIP FOR AMERICA
SEC. 401. ENTREPRENEURS OF THE FUTURE PROGRAM.
(a) Program Improvements.--
(1) Renaming program.--
(A) In general.--Section 3306(t) of the Internal
Revenue Code of 1986 is amended--
(i) in the heading, by striking ``Self-
employment Assistance'' and inserting
``Entrepreneurs of the Future''; and
(ii) in the matter preceding paragraph (1),
by striking ``self-employment assistance'' and
inserting ``Entrepreneurs of the Future''.
(B) Conforming amendments.--
(i) Section 3304(a)(4)(F) of such Code is
amended by striking ``self-employment
assistance'' and inserting ``Entrepreneurs of
the Future''.
(ii) Section 3306(f)(6) of such Code is
amended by striking ``self-employment
assistance'' and inserting ``Entrepreneurs of
the Future''.
(iii) Section 303(a)(5) of the Social
Security Act (42 U.S.C. 503(a)(5)) is amended,
in the last proviso, by striking ``self-
employment assistance'' and inserting
``Entrepreneurs of the Future''.
(2) Adjustment of limitation on number of individuals
participating.--Section 3306(t)(4) of such Code is amended--
(A) by striking ``5 percent of''; and
(B) by inserting ``and'' after the semicolon at the
end.
(3) Elimination of requirement that participants are likely
to exhaust regular unemployment compensation.--Section
3306(t)(3) of the Internal Revenue Code of 1986 is amended by
striking subparagraph (B) and by redesignating subparagraphs
(C) and (D) as subparagraphs (B) and (C), respectively.
(4) Modification of requirement to participate in self-
employment assistance activities.--Section 3306(t)(3)(B) of the
Internal Revenue Code of 1986, as redesignated by paragraph
(3), is amended to read as follows:
``(B) are participating in proven entrepreneurship,
self-employment, or small business ownership activities
which are approved by the State agency and either--
``(i) include entrepreneurial training,
business counseling, and technical assistance;
or
``(ii) are performed pursuant to a business
plan submitted by the individual and approved
by the State or an agency or entity designated
by the State; and''.
(5) Elimination of budget neutrality requirement.--Section
3306(t) of the Internal Revenue Code of 1986 is amended by
striking paragraph (5) and redesignating paragraph (6) as
paragraph (5).
(6) Notification of eligibility.--Section 3306(t)(1) of the
Internal Revenue Code of 1986 is amended by inserting ``, and
the State notifies such individuals of their eligibility to
receive such allowance'' after ``self-employed''.
(b) Requirement for States To Establish an Entrepreneurs of the
Future Program.--
(1) In general.--Section 3304(a) of the Internal Revenue
Code of 1986 is amended--
(A) in paragraph (4)(F), by inserting ``, as
required under paragraph (19)'' after ``3306(t)'';
(B) in paragraph (18), by striking ``and'' at the
end;
(C) by redesignating paragraph (19) as paragraph
(20); and
(D) by inserting after paragraph (18) the following
new paragraph:
``(19) payment of allowances are made under Entrepreneurs
of the Future programs (as defined in section 3306(t)) under
the State law; and''.
(2) Conforming amendment.--Section 303(a)(5) of the Social
Security Act (42 U.S.C. 503(a)(5)), is amended, in the last
proviso, by inserting ``, as required under section 3304(a)(19)
of such Code'' after ``1986)''.
(c) Regulations and Guidance.--
(1) Issuance of regulations.--The Secretary of Labor shall,
after public notice and comment and subject to approval by the
Office of Management and Budget, adopt regulations to
administer this section.
(2) Issuance of guidance.--The Secretary of Labor, in
consultation with the Administrator of the Small Business
Administration, shall provide guidance to State workforce
agencies that includes--
(A) with respect to States that have established a
program under section 3306(t) of the Internal Revenue
Code of 1986 as of the date of enactment of this
section, best practices for implementing the
requirements of this section to such program;
(B) with respect to States that have not
established a program under section 3306(t) of the
Internal Revenue Code of 1986 as of the date of
enactment of this section, best practices for
establishing such a program in compliance with the
requirements of this section;
(C) a model list of entrepreneurship, self-
employment, and small business ownership activities
that fulfill requirements of the program under section
3306(t) of the Internal Revenue Code of 1986, including
the option of engaging with Small Business Development
Centers and nonprofit organizations specializing in
small business technical assistance; and
(D) best practices for verification of completion
of the activities described in subparagraph (C).
(d) Payments to States for Operating an Entrepreneurs of the Future
Program.--Section 903 of the Social Security Act (42 U.S.C. 1103) is
amended by adding at the end the following new subsection:
``(j) Payments to States for Operating an Entrepreneurs of the
Future Program.--(1)(A) Subject to paragraph (4), there shall be paid
to each State an amount equal to 100 percent of--
``(i) the total amount of allowances paid to individuals by
the State under the State's Entrepreneurs of the Future program
(as defined in section 3306(t) of the Internal Revenue Code of
1986); and
``(ii) any additional administrative expenses incurred by
the State by reason of making such payments (as determined by
the Secretary of Labor).
``(B) Sums payable to any State under this subsection shall be
payable, either in advance or by way of reimbursement (as determined by
the Secretary of Labor), in such amounts as the Secretary of Labor
estimates the State will be entitled to receive under this subsection
for each calendar month, reduced or increased, as the case may be, by
any amount by which the Secretary of Labor finds that the Secretary's
estimates for any prior calendar month were greater or less than the
amounts that should have been paid to the State. Such estimates may be
made on the basis of such statistical, sampling, or other method as may
be agreed upon by the Secretary of Labor and the State agency of the
State involved.
``(2) The Secretary of Labor shall from time to time certify to the
Secretary of the Treasury for payment to each State the sums payable to
such State under this subsection.
``(3) Sums payable to any State under this subsection shall be--
``(A) made by way of transfer from the Artificial
Intelligence Horizon Fund (as defined in section 3 of the Make
AI Work for Americans Act); and
``(B) deposited in the account of such States in the
Unemployment Trust Fund.
``(4) Payments to States under this subsection shall be subject to
the availability of funds in the Artificial Intelligence Horizon Fund
(as defined in section 3 of the Make AI Work for Americans Act).''.
(e) Effective Date.--The amendments made this section shall apply
to weeks of unemployment beginning on or after the earlier of--
(1) the date the State changes its statutes, regulations,
or policies in order to comply with such amendments; or
(2) January 1, 2028.
SEC. 402. SMALL BUSINESS FUTURES PROGRAM.
Subtitle D of title I of the Workforce Innovation and Opportunity
Act (29 U.S.C. 3221 et seq.) is amended--
(1) by redesignating section 172 as section 174; and
(2) by inserting after section 171 the following:
``SEC. 172. SMALL BUSINESS FUTURES PROGRAM.
``(a) Grants.--Using the sum received from the Artificial
Intelligence Horizon Fund and allocated by the Artificial Intelligence
Advisory Council for use under this section, the Secretary shall make
grants to States, through the State workforce agencies that carry out
subtitle B, to assist the States in carrying out the provisions of the
State plan approved under section 102 or 103 that relate to
entrepreneurship, self-employment, and small business ownership.
``(b) Application.--To be eligible to receive a grant under this
section, a State shall submit an application to the Secretary at such
time, in such manner, and containing such information as the Secretary
may require, including an assurance that the agency will coordinate the
activities carried out under the grant with the activities of a lead
small business development center in the State.
``(c) Use of Funds.--A State that receives a grant under this
section shall use the grant funds to build its capacity to provide
services relating to entrepreneurship, self-employment, and small
business ownership, under subtitle B, which may include establishing a
small business liaison office within the State workforce agency to
develop resources and connect job seekers to--
``(1) counseling at a small business development center,
other Small Business Administration resources, private sector
training programs, community development financial institutions
(as defined in section 103 of the Riegle Community Development
and Regulatory Improvement Act of 1994 (12 U.S.C. 4702)),
nonprofit organizations providing entrepreneurial training,
counseling, or technical assistance, and other entities that
provide entrepreneurial training, counseling, or technical
assistance; and
``(2) assistance in adopting digital tools and artificial
intelligence to improve business operations, competitiveness,
and efficiency.
``(d) Definitions.--For purposes of this section, the terms
`Artificial Intelligence Horizon Fund', and `Artificial Intelligence
Advisory Council' have the meanings given such terms in section 3 of
the Make AI Work for Americans Act.''.
SEC. 403. OTHER SMALL BUSINESS RESOURCES.
(a) Definitions.--Section 3 of the Workforce Innovation and
Opportunity Act (29 U.S.C. 3102) is amended--
(1) in paragraph (51)--
(A) in subparagraph (D), by striking ``and'' at the
end;
(B) in subparagraph (E), by striking the period and
inserting ``; and''; and
(C) by adding at the end the following:
``(F) the provision of entrepreneurial training and
self-employment transition support.''; and
(2) by adding at the end the following:
``(72) MBDA business center.--The term `MBDA Business
Center' means an MBDA Business Center operating under the MBDA
Business Center Program established under section 100113 of the
Minority Business Development Act of 2021 (15 U.S.C. 9523).
``(73) Small business.--The term `small business' has the
meaning given the term `small-business concern' in section 3 of
the Small Business Act (15 U.S.C. 632).
``(74) Small business development center.--The term `small
business development center' means a center described in
section 21 of the Small Business Act (15 U.S.C. 648).''.
(b) Workforce Development Boards.--
(1) State workforce development boards.--Section
101(b)(1)(C)(iii)(II) of the Workforce Innovation and
Opportunity Act (29 U.S.C. 3111(b)(1)(C)(iii)(II)) is amended--
(A) in item (cc), by striking ``and'' at the end;
(B) in item (dd), by striking the period at the end
and inserting ``; and''; and
(C) by adding at the end the following:
``(ee) a representative of
the network of small business
development centers in the
State.''.
(2) Local workforce development boards.--Section
107(b)(2)(D) of the Workforce Innovation and Opportunity Act
(29 U.S.C. 3122(b)(2)(D)) is amended--
(A) in clause (iv), by striking ``and'' at the end;
and
(B) by adding on the end the following:
``(vi) may include a representative of the
network of small business development centers
serving the local area; and''.
(c) Unified State Plan.--Section 102(b)(2)(B)(v) of the Workforce
Innovation and Opportunity Act (29 U.S.C. 3112(b)(2)(B)(v)) is amended
by inserting ``, and how the activities will incorporate career
pathways for entrepreneurship, self-employment, and small business
ownership and will be coordinated with the activities of the Small
Business Administration, small business development centers, the
Minority Business Development Agency and any MBDA Business Center
serving the State, and State- and locally-focused small business and
economic development nonprofit organizations'' before the semicolon.
(d) Individualized Career Services.--Section 134(c)(2)(A)(xii) of
the Workforce Innovation and Opportunity Act (29 U.S.C.
3174(c)(2)(A)(xii)) is amended--
(1) in subclause (X), by striking ``or'' at the end;
(2) in subclause (XI), by striking ``; and'' and inserting
``; or''; and
(3) by adding at the end the following:
``(XII) provision of information
about entrepreneurship as a career
pathway, and referrals to the small
business liaison office (if established
under section 172), small business
development centers, women's business
centers operating pursuant to section
29 of the Small Business Act (15 U.S.C.
656), veteran business outreach
centers, MBDA Business Centers, and
nonprofit organizations specializing in
small business technical assistance;
and''.
(e) Training Services.--Section 134(c)(3)(D) of the Workforce
Innovation and Opportunity Act (29 U.S.C. 3174(c)(3)(D)) is amended--
(1) in clause (x), by striking ``and'' at the end;
(2) in clause (xi), by striking the period at the end and
inserting ``; and''; and
(3) by adding at the end the following:
``(xii) business plan development, business
incubation services, and business coaching,
including the provision of training and
technical assistance for small businesses in
the adoption and use of digital tools and
artificial intelligence.''.
SEC. 404. ACCESS TO CAPITAL AND TECHNICAL ASSISTANCE FOR EMERGING
ENTREPRENEURS.
(a) Small Business Administration.--In addition to other uses of
amounts in the Artificial Intelligence Horizon Fund authorized under
this Act, and the amendments made by this Act, the Secretary of Labor
may transfer such sums as the Artificial Intelligence Advisory Council
determines appropriate to allocate from the Artificial Intelligence
Horizon Fund to the Administrator of the Small Business Administration
to carry out--
(1) the Small Business Development Center Program under
section 21 of the Small Business Act (15 U.S.C. 648);
(2) the Microloan Program under section 7(m) of the Small
Business Act (15 U.S.C. 636(m));
(3) the Growth Accelerator Fund Competition of the Small
Business Administration;
(4) the loan program under section 7(a) of the Small
Business Act (15 U.S.C. 636(a)); or
(5) the small business investment company program under
title III of the Small Business Investment Act of 1958 (15
U.S.C. 681 et seq.).
(b) Department of Commerce.--In addition to other uses of amounts
in the Artificial Intelligence Horizon Fund authorized under this Act,
and the amendments made by this Act, the Secretary of Labor may
transfer such sums as the Artificial Intelligence Advisory Council
determines appropriate to allocate from the Artificial Intelligence
Horizon Fund to the Secretary of Commerce to carry out--
(1) the MBDA Business Center Program established under
section 100113 of the Minority Business Development Act of 2021
(15 U.S.C. 9523); or
(2) revolving loan funds capitalized with grants awarded
under section 209 of the Public Works and Economic Development
Act of 1965 (42 U.S.C. 3149).
(c) Department of the Treasury.--In addition to other uses of
amounts in the Artificial Intelligence Horizon Fund authorized under
this Act, and the amendments made by this Act, the Secretary of Labor
may transfer such sums as the Artificial Intelligence Advisory Council
determines appropriate to allocate from the Artificial Intelligence
Horizon Fund to the Secretary of the Treasury to provide assistance
under section 108 of the Riegle Community Development and Regulatory
Improvement Act of 1994 (12 U.S.C. 4707).
(d) Reducing Barriers to Capital for Covered Entrepreneurs.--
(1) In general.--Amounts transferred under subsection
(a)(4) may be used to improve the terms on which a covered
entrepreneur obtains a loan under section 7(a) of the Small
Business Act (15 U.S.C. 636(a)), including by--
(A) reducing or waiving a fee otherwise payable by
the borrower or the lender;
(B) increasing the percentage of the loan that is
guaranteed;
(C) reducing the interest rate payable on the loan;
or
(D) offsetting the cost to a lender of making a
smaller-dollar loan.
(2) Covered entrepreneur defined.--In this subsection, the
term ``covered entrepreneur'' means an individual--
(A) who owns or controls a small business concern
(as defined under section 3 of the Small Business Act
(15 U.S.C. 632)); and
(B) who--
(i) is participating in, or has completed,
an Entrepreneurs of the Future Program (as
defined in section 3306(t) of the Internal
Revenue Code of 1986), as amended by section
401 of this Act; or
(ii) demonstrates, in such form and manner
as the Administrator of the Small Business
Administration may require, that the individual
has received entrepreneurial training,
counseling, or technical assistance relating to
starting, acquiring, or operating a small
business concern from a provider of such
assistance, including a small business
development center, an MBDA Business Center, a
community development financial institution, a
nonprofit organization, an institution of
higher education, or a private entity.
TITLE V--NEW ECONOMY UNEMPLOYMENT INSURANCE FOR AMERICA
SEC. 501. FLOOR ON THE NUMBER OF WEEKS.
(a) In General.--Section 3304(a) of the Internal Revenue Code of
1986 is amended--
(1) in paragraph (18), by striking ``and'' at the end;
(2) by redesignating paragraph (19) as paragraph (20); and
(3) by inserting after paragraph (18) the following new
paragraph:
``(19) the minimum duration of benefits is at least 26
weeks, and no variable duration formula that provides for
maximum weeks of benefits of fewer than 26 weeks is used, or,
in the case of a State that uses a maximum benefit entitlement,
an individual's maximum benefit entitlement may not be less
than 26 times the individual's weekly benefit amount; and''.
(b) Effective Date.--The amendments made by subsection (a) shall
apply to weeks of unemployment beginning on or after the earlier of--
(1) the date the State changes its statutes, regulations,
or policies in order to comply with such amendments; or
(2) the date that is 6 months after the date of a
submission of recommendations by the Council under section
101(c)(4)(A) that includes a declaration that a significant
labor market disruption has occurred or is likely to occur in a
given fiscal year.
SEC. 502. FLOOR ON THE MINIMUM REPLACEMENT OF WAGES.
(a) Floor.--
(1) In general.--Section 3304(a) of the Internal Revenue
Code of 1986, as amended by section 501, is amended--
(A) in paragraph (19), by striking ``and'' at the
end;
(B) by redesignating paragraph (20) as paragraph
(21); and
(C) by inserting after paragraph (19) the following
new paragraph:
``(20) an individual's weekly benefit amount is equal to
the lesser of--
``(A) the maximum weekly benefit amount under the
State law; or
``(B) an amount equal to the quotient of--
``(i) an amount equal to at least 75
percent of the total earnings in the quarter of
the individual's base period with the highest
earnings; divided by
``(ii) 13; and''.
(2) Effective date.--The amendments made by paragraph (1)
shall apply to weeks of unemployment beginning on or after the
earlier of--
(A) the date the State changes its statutes,
regulations, or policies in order to comply with such
amendments; or
(B) the date that is 6 months after the date of a
submission of recommendations by the Council under
section 101(c)(4)(A) that includes a declaration that a
significant labor market disruption has occurred or is
likely to occur in a given fiscal year.
(b) Payments to States for the Increased Floor on the Minimum
Replacement of Wages.--Section 903 of the Social Security Act (42
U.S.C. 1103), as amended by section 401(d), is further amended by
adding at the end the following new subsection:
``(k) Reimbursement of State Unemployment Funds for Increased Floor
on the Minimum Replacement of Wages.--(1) Subject to paragraph (6), in
addition to any other amounts, for weeks of unemployment beginning on
or after the date that is 6 months after the date of a submission of
recommendations by the Artificial Intelligence Advisory Council under
section 101(c)(4)(A) of the Make AI Work for Americans Act that
includes a declaration that a significant labor market disruption has
occurred or is likely to occur in a given fiscal year, there shall be
paid to each State an amount equal to, with respect to any individual
for a week, the excess (if any) of--
``(A) an amount equal to the lesser of--
``(i) the minimum amount under section
3304(a)(20)(B) for such individual for such week; or
``(ii) the maximum weekly benefit amount under the
State law for such week; over
``(B) an amount equal to the quotient of--
``(i) an amount equal to 40 percent of the total
earnings in the quarter of such individual's base
period with the highest earnings; divided by
``(ii) 13.
``(2) Sums payable to any State under this subsection shall be
payable, either in advance or by way of reimbursement (as determined by
the Secretary of Labor), in such amounts as the Secretary of Labor
estimates the State will be entitled to receive under this subsection
for each calendar month, reduced or increased, as the case may be, by
any amount by which the Secretary of Labor finds that the Secretary's
estimates for any prior calendar month were greater or less than the
amounts that should have been paid to the State. Such estimates may be
made on the basis of such statistical, sampling, or other method as may
be agreed upon by the Secretary of Labor and the State agency of the
State involved.
``(3) The Secretary of Labor shall from time to time certify to the
Secretary of the Treasury for payment to each State the sums payable to
such State under this subsection.
``(4) Sums payable to any State under this subsection shall be--
``(A) made by way of transfer of amounts allocated for such
purpose from the Artificial Intelligence Horizon Fund under
section 101(b) of the Make AI Work for Americans Act); and
``(B) deposited in the account of such States in the
Unemployment Trust Fund.
``(5) Any amount transferred to the account of a State in the
Unemployment Trust Fund under this subsection may be used by such State
only in the payment of cash benefits to individuals with respect to
their unemployment, exclusive of expenses of administration.
``(6) A State shall not be eligible to receive a payment under this
subsection if such State decreases the maximum weekly benefit amount
under the State law, as described in section 3304(a)(20)(A), in effect
as of the date of enactment of this subsection.''.
SEC. 503. FLOOR ON THE MAXIMUM BENEFIT.
(a) In General.--Section 3304(a) of the Internal Revenue Code of
1986, as amended by sections 501 and 502(a), is amended--
(1) in paragraph (20), by striking ``and'' at the end;
(2) by redesignating paragraph (21) as paragraph (22); and
(3) by inserting after paragraph (20) the following new
paragraph:
``(21) the maximum weekly benefit amount may not be less
than \2/3\ of the State's average weekly wage (as determined by
the Secretary of Labor) as of October 1 of each calendar year
and applied for claims effective on or after January 1 of the
subsequent calendar year; and''.
(b) Effective Date.--The amendments made by subsection (a) shall
apply to weeks of unemployment beginning on or after the earlier of--
(1) the date the State changes its statutes, regulations,
or policies in order to comply with such amendments; or
(2) the date that is 6 months after the date of a
submission of recommendations by the Council under section
101(c)(4)(A) that includes a declaration that a significant
labor market disruption has occurred or is likely to occur in a
given fiscal year.
SEC. 504. BASE PERIOD.
(a) In General.--Section 3304(a) of the Internal Revenue Code of
1986, as amended by sections 501, 502(a), and 503, is amended--
(1) in paragraph (21), by striking ``and'' at the end;
(2) by redesignating paragraph (22) as paragraph (23); and
(3) by inserting after paragraph (21) the following new
paragraph:
``(22) the State law--
``(A) uses a base period that consists of 4
completed calendar quarters preceding the effective
date of the claim and includes the most recently
completed calendar quarter before the start of the
benefit year for purposes of determining eligibility
for unemployment compensation; or
``(B) provides that, in the case of an individual
who would not otherwise be eligible for unemployment
compensation under the State law because of the use of
a base period that does not meet the requirements
described in subparagraph (A), eligibility is
determined using a base period that consists of 4
completed calendar quarters preceding the effective
date of the claim and includes the most recently
completed calendar quarter before the start of the
benefit year; and''.
(b) Effective Date.--The amendments made by subsection (a) shall
apply to claims with an effective date beginning on or after the
earlier of--
(1) the date the State changes its statutes, regulations,
or policies in order to comply with such amendments; or
(2) the date that is 6 months after the date of a
submission of recommendations by the Council under section
101(c)(4)(A) that includes a declaration that a significant
labor market disruption has occurred or is likely to occur in a
given fiscal year.
SEC. 505. MODERNIZATION.
(a) In General.--Beginning with fiscal year 2027 and annually
thereafter, not less than $225,000,000 of amounts available in the
Artificial Intelligence Horizon Fund under section 101(b) shall be
transferred from such Fund to the Unemployment Trust Fund, for
activities related to the detection and prevention of fraud, the
promotion of equitable access to unemployment compensation benefits,
and ensuring the timely payment of benefits with respect to
unemployment compensation programs, including for--
(1) Federal administrative costs related to implementation
of the amendments made by sections 501 through section 504;
(2) systemwide infrastructure investment and development
related to implementation of such amendments; and
(3) awarding grants to States to assist such States in
complying with such amendments, including through the
establishment of procedures or the building of infrastructure
to--
(A) verify or validate the identity of claimants;
(B) calculate unemployment compensation amounts;
(C) implement Federal guidance regarding fraud
detection and prevention;
(D) accelerate the processing of unemployment
compensation claims or any backlog of such claims; and
(E) issue subgrants to entities--
(i) which may include labor organizations,
community-based nonprofit groups, and other
entities that are capable of carrying out the
duties described in clause (iii);
(ii) who shall demonstrate existing
relationships, or the ability to readily
establish relationships, with employers and
employees, consumers, and other individuals;
and
(iii) to assist individuals in navigating
enrollment in unemployment compensation
programs, health insurance enrollment, and
workforce training opportunities.
(b) Restrictions on Grants to States.--As a condition of receiving
a grant under subsection (a)(3), the Secretary of Labor may require
that a State receiving such a grant shall--
(1) use such program integrity tools as the Secretary may
specify; and
(2) as directed by the Secretary, conduct user
accessibility testing on any new infrastructure developed by
the Secretary pursuant to subsection (a)(2).
(c) Allocation of Grant Funds.--
(1) In general.--Funding for grants under subsection (a)(3)
shall be allocated according to a formula established by the
Secretary of Labor.
(2) Requirements.--In establishing the formula under
paragraph (1), the Secretary of Labor shall ensure that--
(A) each small State receives 48 percent of the
amount allocated to each large State;
(B) each medium State receives 65 percent of the
amount allocated to each large State;
(C) each large State receives the base allocation
determined by the Secretary of Labor; and
(D) each extra large State receives an amount equal
to 133 percent of the amount allocated to each large
State.
(3) Definitions.--In this subsection:
(A) Covered employment.--The term ``covered
employment'' means employment subject to contributions
under State unemployment compensation law.
(B) Extra large state.--The term ``extra large
State'' means a State with an average covered
employment of at least 7,000,000 employees.
(C) Large state.--The term ``large State'' means a
State with an average covered employment of at least
2,000,000 but less than 7,000,000 employees.
(D) Medium state.--The term ``medium State'' means
a State with an average covered employment of at least
1,000,000 but less than 2,000,000 employees.
(E) Small state.--The term ``small State'' means a
State with an average covered employment of less than
1,000,000 employees.
(F) State.--The term ``State'' means the 50 States,
the District of Columbia, the Commonwealth of Puerto
Rico, and the United States Virgin Islands.
SEC. 506. UNEMPLOYMENT INSURANCE COMPENSATION ADMINISTRATION.
Using amounts available in the Artificial Intelligence Horizon Fund
under section 101(b), the Secretary of Labor shall provide States and
territories with--
(1) guidance on best practices for administration of
unemployment insurance compensation benefits, including
identity verification, detecting and preventing fraud, the use
of artificial intelligence, data collection, and staff
training;
(2) common definitions of terms related to administration
of unemployment compensation benefits; and
(3) greater access to technical assistance, operational
support, and implementation guidance as it relates to
administration of unemployment compensation programs.
SEC. 507. PROGRAM EXPANSION STUDY AND REPORT.
(a) Study.--
(1) In general.--The Secretary of Labor shall conduct a
study on the feasibility and possible methods of providing
unemployment compensation benefits to covered workers. Such
study shall include an analysis of--
(A) the data necessary to calculate unemployment
compensation benefit amounts for covered workers;
(B) the technology necessary to calculate and
administer unemployment compensation benefits for
covered workers;
(C) the measures needed to prevent waste, fraud,
and abuse of unemployment compensation benefits for
covered workers;
(D) the administrative feasibility of allowing
covered workers to become eligible for unemployment
compensation benefits;
(E) the financing options for unemployment
compensation benefits for covered workers;
(F) the statutory changes necessary to reasonably
and effectively administer unemployment compensation
benefits to covered workers, including statutory
definitions; and
(G) other items determined appropriate by the
Secretary.
(2) Covered worker defined.--In this section, the term
``covered worker'' means an individual who is not eligible for
regular compensation under State or Federal law because the
individual--
(A) is self-employed;
(B) does not have a sufficient work history; or
(C) works as an independent contractor.
(b) Report.--Not later than 180 days after the date of enactment of
this section, the Secretary of Labor shall submit to the Committee on
Finance of the Senate and the Committee on Ways and Means of the House
of Representatives a report on the study conducted under subsection
(a).
SEC. 508. WAGE INSURANCE AND SHORT-TIME COMPENSATION GRANTS.
(a) Grants Authorized.--Subject to the availability of funds for
this purpose from the AI Horizon Fund established in section 101(b),
the Secretary of Labor may award grants to States on a competitive
basis to--
(1) establish or operate pilot programs to provide wage
insurance to eligible individuals; or
(2) establish, expand, or enhance a short-time compensation
program.
(b) Wage Insurance.--A State seeking a grant for a wage insurance
pilot program under subsection (a)(1) may submit an application to the
Secretary at such time, in such a manner, and containing such
information as the Secretary may require, including a description of--
(1) individuals eligible for wage insurance payments under
such a program, consideration of which may be based on
individual earnings loss in occupations, industries, regions,
or employer groups determined to be impacted by artificial
intelligence or related technological change;
(2) the program's design, including the duration of wage
insurance payments (which shall not be longer than 2 years),
amount of wage insurance payments, employer reporting
requirements, how the State will partner with private
employers, and other design features as the Secretary may
require; and
(3) how a State will evaluate such program, including its
impact on--
(A) reemployment and duration of reemployment;
(B) wages upon reemployment, including cumulative
earnings over time; and
(C) unemployment and duration of unemployment.
(c) Short-Time Compensation Program.--
(1) Application and use of funds.--A State seeking a grant
for a short-time compensation program under subsection (a)(2)
may submit an application to the Secretary at such time, in
such a manner, and containing such information as the Secretary
may require, including a description of--
(A) how funds will be used, which may include--
(i) implementing or improving the
administration of a short-time compensation
program;
(ii) increasing participation, including
through promotion to, and enrollment of,
employers and workers and the creation or
support of rapid response teams to advise
employers about alternatives to layoffs;
(iii) providing technical assistance to
employers seeking to participate in a short-
time compensation program, including assessing
feasibility of participating in such a program;
(iv) the development or enhancement of
systems to automate--
(I) the submission and approval of
plans and the filing and approval of
new claims; and
(II) ongoing short-time
compensation claims; and
(v) coordination of benefits with an
existing unemployment compensation program; and
(B) how the program will be evaluated for
effectiveness in preventing layoffs.
(2) Testing.--A State seeking a grant for a short-time
compensation program under subsection (a)(2) may test
approaches to increasing the use and effectiveness of short-
time compensation, including approaches designed to prevent
layoffs resulting from artificial intelligence or technological
change.
(d) Evaluation and Report.--
(1) Ongoing evaluation.--The Secretary shall conduct an
ongoing evaluation of the grants made under this section.
(2) Report.--Not more than 5 years after the date on which
the Secretary begins to make grants under this section, and
annually thereafter, the Secretary shall submit to the
Committee on Health, Education, Labor, and Pensions and the
Committee on Finance of the Senate and the Committee on Ways
and Means of the House of Representatives a report on the
evaluation conducted under paragraph (1), together with
recommendations for such legislation and administrative action
as the Secretary determines appropriate.
(e) Recoupment.--The Secretary shall establish a process under
which the Secretary shall recoup the amount of any grant awarded to a
State under the authorization in subsection (a) if the Secretary
determines that, during the 2-year period beginning on the first date
that any such grant is awarded to the State, the State--
(1) in the case of--
(A) a grant under subsection (a)(1), terminated the
State's wage insurance program; or
(B) a grant under subsection (a)(2), terminated the
State's short-time compensation program; or
(2) failed to meet appropriate requirements with respect to
the applicable program (as established by the Secretary).
(f) Administration.--The Secretary is authorized to use 0.25
percent of the funds available under this section to provide for
outreach and to share best practices with respect to this section.
(g) Definitions.--In this section:
(1) Secretary.--The term ``Secretary'' means the Secretary
of Labor.
(2) Short-time compensation program.--The term ``short-time
compensation program'' has the meaning given such term in
section 3306(v) of the Internal Revenue Code of 1986.
(3) State.--The term ``State'' means the 50 States, the
District of Columbia, the Commonwealth of Puerto Rico, and the
United States Virgin Islands.
(4) Wage insurance.--The term ``wage insurance'' means
payments to an eligible individual who obtains reemployment at
wages lower than the wages received by the individual at the
time of separation from prior employment, in an amount equal to
a specified percentage of the difference between--
(A) the wages received by the individual at the
time of separation; and
(B) the wages received by the individual from
reemployment.
TITLE VI--TRAINING WORKERS FOR AMERICA
SEC. 601. UNIFIED STATE PLAN.
Section 102 of the Workforce Innovation and Opportunity Act (29
U.S.C. 3112) is amended--
(1) in subsection (a), by inserting ``and receive funding
allocated from the Artificial Intelligence Horizon Fund'' after
``core programs''; and
(2) in subsection (b)--
(A) in paragraph (1)--
(i) in subparagraph (A)--
(I) in clause (i), by striking
``and'' at the end;
(II) in clause (ii), by adding
``and'' at the end; and
(III) by adding at the end the
following:
``(iii) the impact of artificial
intelligence on existing and projected
employment within the State, including
information identifying industry sectors and
occupations at higher risk of task or job
displacement due to artificial intelligence
adoption;'';
(ii) in subparagraph (D)--
(I) by striking ``educated and
skilled'' and inserting ``educated,
skilled, and artificial intelligence-
literate''; and
(II) by inserting ``a description
of how such preparation will address
labor market impacts of artificial
intelligence and'' before ``goals'';
(iii) in subparagraph (E), by inserting ``,
with a description of how the State has
considered artificial intelligence literacy in
developing such strategy,'' after ``a
strategy''; and
(B) in paragraph (2)--
(i) in subparagraph (B)--
(I) in clause (v), by striking
``and'' at the end;
(II) in clause (vi), by striking
the period at the end and inserting a
semicolon; and
(III) by adding at the end the
following:
``(vii) how the State's strategy will
ensure participating individuals receive
artificial intelligence-related education,
training, and skill development through the
activities described in clause (i);
``(viii) how the State's strategy will
engage and provide services to midcareer
professionals; and
``(ix) how the State will coordinate
activities with the State Commission on
National and Community Service for the State,
including with respect to the National Service
for America's Future program under subtitle K
of title I of the National and Community
Service Act of 1990, as added by title III of
the Make AI Work for Americans Act.''.
SEC. 602. COMBINED STATE PLAN.
(a) Requirements.--Section 103(b) of the Workforce Innovation and
Opportunity Act (29 U.S.C. 3113(b)) is amended by adding at the end the
following:
``(4) Consideration of artificial intelligence.--Such plan
shall include, in each portion described in paragraph (1), a
description of how artificial intelligence and its impact on
the programs or activities covered in that portion were
considered in the development of the plan.''.
(b) Planning Grants.--Section 103 of the Workforce Innovation and
Opportunity Act (29 U.S.C. 3113) is amended--
(1) by redesignating subsection (d) as subsection (e).
(2) by inserting after subsection (c) the following:
``(d) Planning Grants.--
``(1) Grants authorized.--Using the sum received from the
Artificial Intelligence Horizon Fund and allocated under
section 101 of the Make AI Work for Americans Act for use under
this subsection, the Secretary of Labor may award grants to
States to improve State capacity to develop and submit a
combined State plan as described in this section.
``(2) Application.--A State desiring a grant under this
section shall submit an application to the Secretary of Labor
at such time, in such manner, and containing such information
as the Secretary may require.
``(3) Use of funds.--A State that receives a grant under
this section may use the grant funds to--
``(A) facilitate coordination and collaboration
among employers, labor organizations, education and
training providers, and State agencies to develop the
combined State plan;
``(B) develop strategies for effectively
integrating planning for programs described in
subsection (a)(2) into a combined State plan;
``(C) align education and training programs, career
pathways, credentials, and definitions across programs
included in the combined State plan; and
``(D) support staff capacity, and support
activities, necessary to develop the combined State
plan.''.
(3) Conforming amendment.--Section 103(c)(1) of the
Workforce Innovation and Opportunity Act (29 U.S.C. 3113(c)(1))
is amended by striking ``subsection (d)'' and inserting
``subsection (e)''.
SEC. 603. FUNCTIONS OF LOCAL BOARD.
Section 107(d)(4)(B) of the Workforce Innovation and Opportunity
Act (29 U.S.C. 3122(d)(4)(B)) is amended by inserting ``and industry
and sector partnerships'' after ``intermediaries''.
SEC. 604. INDIVIDUAL TRAINING ACCOUNTS.
(a) Youth.--Section 129(c) of the Workforce Innovation and
Opportunity Act (29 U.S.C. 3164(c)) is amended by adding at the end the
following:
``(9) Individual training accounts.--
``(A) In general.--Subject to subparagraph (B),
funds allocated as described in paragraph (1) to a
local area, and the sum received from the Artificial
Intelligence Horizon Fund and allocated under section
101 of the Make AI Work for Americans Act for use under
this paragraph, may be used to pay, through an
individual training account, an eligible provider of
training services described in section 122(d) for
training services described in section 134(c)(3)
provided to eligible youth. The payment shall be made
in the same manner that an individual training account
described in subparagraph (F)(iii) of section 134(c)(3)
is used to pay an eligible provider of training
services for training services provided to an adult or
dislocated worker, including as provided in
subparagraphs (F) and (G) of such section.
``(B) Special rule for in-school youth younger than
age 18.--To use an individual training account to pay
for a program of training services that will take place
during regular school hours for an in-school youth who
is younger than the age 18, the local area shall
receive written approval from the secondary school at
which the in-school youth is enrolled prior to the
start of the program of training services.
``(C) Funding from artificial intelligence horizon
fund.--
``(i) Grants to local areas.--
``(I) Grants.--In addition to any
amount allocated as described in
paragraph (1), the Secretary shall make
grants to local areas, from allocations
made under subclause (II), for the
provision of training services (which
may consist of postsecondary education)
through individual training accounts,
as described in subparagraph (A), to
eligible youth.
``(II) Allocation of funds.--Using
the sum received from the Artificial
Intelligence Horizon Fund and allocated
under section 101 of the Make AI Work
for Americans Act for use under this
paragraph for a fiscal year, the
Secretary shall allocate to each local
area for that fiscal year an amount
that bears the same relationship to
that sum as the amount the local area
receives under section 128(b) for that
fiscal year bears to the total amount
that all local areas so receive.
``(ii) Local areas.--As a condition of
receipt of funds under clause (i), a local area
shall agree that the local area will not--
``(I) limit the maximum amount
available for an individual training
account for an eligible youth under
this subparagraph to an amount that is
less than $7,000; or
``(II) pay an amount, through the
use of an individual training account
under this subparagraph, for training
services provided to an eligible youth
that exceeds the costs of such
services.
``(iii) Local area coordination.--Each
local area may, through one-stop centers,
coordinate funding for individual training
accounts described in subparagraph (A) with
funding from other Federal, State, local, or
private job training programs or sources,
including the Artificial Intelligence Horizon
Fund, to assist eligible youth in obtaining
training services.
``(iv) Providers.--The local area shall
enter into agreements with providers on the
list of eligible providers of training services
under section 122(d) to provide training
services under this subparagraph, with funding
provided through direct payments made through
individual training accounts, as described in
section 134(c)(3)(F)(iii).
``(v) Eligible youth.--To be considered an
eligible youth under this paragraph, a youth
shall be an in-school youth who is not younger
than age 16 and not older than age 21 or an
out-of-school youth.''.
(b) Dislocated Workers and Adults.--Section 134(c)(3) of the
Workforce Innovation and Opportunity Act (29 U.S.C. 3174(c)(3)) is
amended--
(1) by redesignating subparagraph (H) as subparagraph (I);
and
(2) by inserting after subparagraph (G) the following:
``(H) Funding from artificial intelligence horizon
fund.--
``(i) In general.--Funds allocated as
described in subparagraph (A) to a local area,
and the sum received from the Artificial
Intelligence Horizon Fund and allocated under
section 101 of the Make AI Work for Americans
Act for use under this subparagraph, may be
used to pay, through an individual training
account under subparagraph (F)(iii), an
eligible provider of training services
described in section 122(d) for training
services described in this paragraph.
``(ii) Grants to local areas.--
``(I) Grants.--In addition to any
amount allocated as described in
subparagraph (A), the Secretary shall
make grants to local areas, from
allocations made under subclause (II),
for the provision of training services
(which may consist of postsecondary
education) through individual training
accounts, as described in clause (i),
to eligible adults and dislocated
workers.
``(II) Allocation of funds.--Using
the sum received from the Artificial
Intelligence Horizon Fund and allocated
under section 101 of the Make AI Work
for Americans Act for use under this
subparagraph for a fiscal year, the
Secretary shall allocate to each local
area for that fiscal year an amount
that bears the same relationship to
that sum as the amount the local area
receives under section 133(b) for that
fiscal year bears to the total amount
that all local areas so receive.
``(iii) Local areas.--As a condition of
receipt of funds under clause (ii), a local
area shall agree to each of the following:
``(I) Required notice to adults and
dislocated workers.--Prior to an
eligible adult or dislocated worker
selecting a program of training
services from the list of eligible
providers of training services under
section 122(d), the local area shall
inform such adult or dislocated worker
of any opportunities the adult or
dislocated may have to participate in
on-the-job training or employer-
directed skills development funded
through such local area.
``(II) Amounts available.--A local
area--
``(aa) may not limit the
maximum amount available for an
individual training account for
an eligible adult or dislocated
worker under this subparagraph
to an amount that is less than
$7,000; and
``(bb) may not pay an
amount, through the use of an
individual training account
under this subparagraph, for
training services provided to
an eligible adult or dislocated
worker that exceeds the costs
of such services.
``(iv) Local area coordination.--Each local
area may, through one-stop centers, coordinate
funding for individual training accounts
described in clause (i) with funding from other
Federal, State, local, or private job training
programs or sources, including the Artificial
Intelligence Horizon Fund, to assist eligible
adults or dislocated workers in obtaining
training services.
``(v) Providers.--The local area shall
enter into agreements with eligible providers
described in clause (iii)(I) to provide
training services under this subparagraph, with
funding provided through direct payments made
through individual training accounts, as
described in section 134(c)(3)(F)(iii).
``(vi) Eligible adult.--To be considered an
eligible adult or dislocated worker under this
subparagraph, an adult or dislocated worker
shall have not received training services
through an individual training account under
section 129(c) during the preceding 5-year
period or, if such adult or dislocated worker
has received such training services during such
period, have been granted an exception by the
local area due to an exceptional circumstance,
as determined by the local area.''.
(c) Conforming Amendment.--Section 3(44)(B) of the Workforce
Innovation and Opportunity Act (29 U.S.C. 3102(44)(B)) is amended by
striking ``section 134(c)(3)(H)'' and inserting ``section
134(c)(3)(I)''.
SEC. 605. STRENGTHENING COMMUNITY COLLEGES WORKFORCE DEVELOPMENT GRANTS
PROGRAM.
(a) Program.--Subtitle D of title I of the Workforce Innovation and
Opportunity Act (29 U.S.C. 3221 et seq.), as amended by section 402, is
further amended by inserting after section 172, as inserted by section
402, the following:
``SEC. 173. STRENGTHENING COMMUNITY COLLEGES WORKFORCE DEVELOPMENT
GRANTS PROGRAM.
``(a) Purposes.--The purposes of this section are--
``(1) to establish, improve, or expand high-quality
workforce development programs at community colleges; and
``(2) to expand opportunities for individuals to obtain
recognized postsecondary credentials that are nationally or
regionally portable and stackable for high-skill, high-wage, or
in-demand industry sectors or occupations.
``(b) Strengthening Community Colleges Workforce Development Grants
Program.--
``(1) In general.--From the amounts appropriated to carry
out this section under section 173(e) and not reserved under
paragraph (2), the Secretary shall, on a competitive basis,
make grants to eligible institutions to carry out the
activities described in subsection (e).
``(2) Reservation.--Of the amounts appropriated to carry
out this section under section 173(e), the Secretary may
reserve not more than 2 percent for the administration of
grants awarded under this section, including--
``(A) providing technical assistance and targeted
outreach to support eligible institutions serving a
high number or high percentage of low-income
individuals or individuals with barriers to employment,
and rural-serving eligible institutions, to provide
guidance and assistance in the process of applying for
grants under this section; and
``(B) evaluating and reporting on the performance
and impact of programs funded under this section in
accordance with subsections (f) through (h).
``(c) Award Period.--
``(1) Initial grant period.--Each grant under this section
shall be awarded for an initial period of not more than 4
years.
``(2) Subsequent grants.--An eligible institution that
receives an initial grant under this section may receive one or
more additional grants under this section for additional
periods of not more than 4 years each if the eligible
institution demonstrates that, during the most recently
completed grant period for a grant received under this section,
such eligible institution achieved the levels of performance
agreed to by the eligible institution with respect to the
performance indicators specified in subsection (f).
``(d) Application.--
``(1) In general.--To be eligible to receive a grant under
this section, an eligible institution shall submit an
application to the Secretary at such time and in such manner as
the Secretary may require.
``(2) Contents.--An application submitted by an eligible
institution under paragraph (1) shall include a description of
each the following:
``(A) The extent to which the eligible institution
has demonstrated success building partnerships with
employers in in-demand industry sectors or occupations
to provide students with the skills needed for
occupations in such industries and an explanation of
the results of any such partnerships.
``(B) The methods and strategies the eligible
institution will use to engage with employers in in-
demand industry sectors or occupations, including any
arrangements to place individuals who complete the
workforce development programs supported by the grant
into employment with such employers.
``(C) The proposed eligible institution and
industry partnership that the eligible institution will
establish or maintain to comply with subsection (e)(1),
including--
``(i) the roles and responsibilities of
each employer, organization, agency, or
institution of higher education that the
eligible institution will partner with to carry
out the activities under this section; and
``(ii) the needs that will be addressed by
such eligible institution and industry
partnership.
``(D) One or more industries that such partnership
will target and real-time labor market data
demonstrating that those industries are aligned with
employer demand in the geographic area to be served by
the eligible institution.
``(E) The extent to which the eligible institution
can--
``(i) leverage additional resources to
support the programs to be funded with the
grant, which shall include written commitments
of any leveraged or matching funds for the
proposed programs; and
``(ii) demonstrate the future
sustainability of each such program.
``(F) The steps the institution will take to ensure
the high quality of each program to be funded with the
grant, including the career pathways within such
programs.
``(G) The population and geographic area to be
served by the eligible institution, including the
number of individuals the eligible institution intends
to serve during the grant period.
``(H) The workforce development programs to be
supported by the grant.
``(I) The recognized postsecondary credentials that
are expected to be earned by participants in such
workforce development programs and the related high-
wage, high skill, or in-demand industry sectors or
occupations for which such programs will prepare
participants.
``(J) The evidence upon which the education and
skills development strategies to be used in such
workforce development programs are based and an
explanation of how such evidence influenced the design
of the programs to improve education and employment
outcomes.
``(K) How activities of the eligible institution
are expected to align with the workforce strategies
identified in--
``(i) any State plan or local plan
submitted under this Act by the State, outlying
area, or locality in which the eligible
institution is expected to operate;
``(ii) any State plan submitted under
section 122 of the Carl D. Perkins Career and
Technical Education Act of 2006 (20 U.S.C.
2342) by such State or outlying area; and
``(iii) any economic development plan of
the chief executive of such State or outlying
area.
``(L) The goals of the eligible institution with
respect to--
``(i) capacity building (as described in
subsection (f)(1)(B)); and
``(ii) the expected performance of
individuals participating in the programs to be
offered by the eligible institution, including
with respect to performance indicators
applicable under section 116 or subsection (f)
of this section.
``(M) Any coordination the eligible institution
plans to undertake with the State Commission on
National and Community Service for the State in which
the eligible institution is expected to operate,
including with respect to the co-enrollment, in the
workforce development programs to be supported by the
grant, of participants in the National Service for
America's Future program under subtitle K of title I of
the National and Community Service Act of 1990, as
added by title III of the Make AI Work for Americans
Act, or of other participants in national service
programs.
``(3) Consideration of previous experience.--The Secretary
may not disqualify an eligible institution from receiving a
grant under this section solely because such institution lacks
previous experience in building partnerships, as described in
paragraph (2)(A).
``(4) Priority.--In awarding grants under this section, the
Secretary shall give priority to eligible institutions that--
``(A) will use the grant to serve--
``(i) individuals with barriers to
employment; or
``(ii) incumbent workers who need to gain
or improve foundational skills, including
skills related to technology and artificial
intelligence, to enhance their employability;
``(B) use competency-based assessments to award
academic credit for prior learning for programs
supported by the grant; or
``(C) have, or will seek to have, the career
education programs supported by the grant included on
the list of eligible providers of training services
under section 122 for the State in which the eligible
institution is located.
``(e) Uses of Funds.--
``(1) Eligible institution and industry partnership.--For
the purpose of carrying out the activities specified in
paragraphs (2) and (3), an eligible institution that receives a
grant under this section shall establish a partnership (or
maintain an existing partnership) with one or more employers in
an in-demand industry sector or occupation (in this section
referred to as an `eligible institution and industry
partnership') and shall maintain such partnership for the
duration of the grant period. The eligible institution shall
ensure that the partnership--
``(A) targets one or more specific high-skill,
high-wage, or in-demand industries;
``(B) includes collaboration with the workforce
development system;
``(C) serves adult and dislocated workers,
incumbent workers, and new entrants to the workforce;
``(D) uses an evidence-based program design that is
appropriate for the activities carried out by the
partnership;
``(E) incorporates opportunities for work-based
learning, as defined in section 3 of the Carl D.
Perkins Career and Technical Education Act of 2006 (20
U.S.C. 2302); and
``(F) incorporates, to the extent appropriate,
virtual service delivery to facilitate technology-
enabled learning.
``(2) Required activities.--An eligible institution that
receives a grant under this section shall, in consultation with
the employers in the eligible institution and industry
partnership described in paragraph (1)--
``(A) establish, improve, or expand high quality,
evidence-based workforce development programs, career
pathway programs, or work-based learning programs
(including apprenticeship programs or
preapprenticeships);
``(B) provide career services to individuals
participating in the programs funded with the grant to
facilitate retention and program completion, which may
include--
``(i) career navigation, coaching,
mentorship, and case management services,
including providing information and outreach to
individuals with barriers to employment to
encourage such individuals to participate in
programs funded with the grant; and
``(ii) providing access to course
materials, technological devices, required
equipment, and other supports necessary for
participation in and successful completion of
such programs; and
``(C) make available, in a format that is open,
searchable, and easily comparable, information on--
``(i) curricula and recognized
postsecondary credentials offered through
programs funded with the grant, including any
curricula or credentials created or further
developed using such grant, which for each
recognized postsecondary credential, shall
include--
``(I) the issuing entity of such
credential;
``(II) any third-party endorsements
of such credential;
``(III) the occupations for which
the credential prepares individuals;
``(IV) the skills and competencies
necessary to achieve to earn such
credential;
``(V) the level of mastery of such
skills and competencies (including how
mastery is assessed); and
``(VI) any transfer value or
stackability of the credential;
``(ii) any skills or competencies developed
by individuals who participate in such programs
beyond the skills and competencies identified
as part of the recognized postsecondary
credential awarded; and
``(iii) related employment and earnings
outcomes on the primary indicators of
performance described in subclauses (I) through
(III) of section 116(b)(2)(A)(i).
``(3) Additional activities.--In addition to the activities
required under paragraph (2), an eligible institution that
receives a grant under this section shall, in consultation with
the employers in the eligible institution and industry
partnership described in paragraph (1), carry out one or more
of the following activities:
``(A) Establish, improve, or expand--
``(i) articulation agreements (as defined
in section 486A(a) of the Higher Education Act
of 1965 (20 U.S.C. 1093a(a)));
``(ii) credit transfer agreements;
``(iii) corequisite remediation programs
that enable a student to receive remedial
education services while enrolled in a
postsecondary course rather than requiring the
student to receive remedial education before
enrolling in such a course;
``(iv) dual or concurrent enrollment
programs;
``(v) competency-based education and
assessment; or
``(vi) policies and processes to award
academic credit for prior learning or for the
programs described in paragraph (2)(A).
``(B) Establish or implement plans for providers of
the programs described in paragraph (2)(A) to meet the
criteria and carry out the procedures necessary to be
included on the list of eligible providers of training
services described in section 122(d).
``(C) Purchase, lease, or refurbish specialized
equipment as necessary to carry out such programs,
provided that not more than 15 percent of the funds
awarded to the eligible institution under this section
may be used for activities described in this
subparagraph.
``(D) Reduce or eliminate unmet financial need
relating to the cost of attendance (as defined under
section 472 of the Higher Education Act of 1965 (20
U.S.C. 1087ll)) of participants in such programs.
``(4) Administrative cost limit.--An eligible institution
may use not more than 7 percent of the funds awarded under this
section for administrative costs, including costs related to
collecting information, analysis, and coordination for purposes
of subsection (f).
``(f) Levels of Performance and Performance Reviews.--
``(1) In general.--The Secretary shall develop and
implement guidance that establishes the levels of performance
that are expected to be achieved by each eligible institution
receiving a grant under this section. Such levels of
performance shall be established on the following indicators:
``(A) Each of the primary indicators of performance
for adults described in section 116(b), which shall be
applied for all individuals who participated in a
program that received funding from a grant under this
section.
``(B) The extent to which the eligible institution
built capacity by--
``(i) increasing the breadth and depth of
employer engagement and investment in workforce
development programs in the in-demand industry
sectors and occupations targeted by the
eligible institution and industry partnership
established or maintained by the eligible
institution under subsection (e)(1);
``(ii) designing or implementing new and
accelerated instructional techniques or
technologies, including the use of advanced
online and technology-enabled learning (such as
immersive technology); and
``(iii) increasing program and policy
alignment across systems and decreasing
duplicative services or service gaps.
``(C) With respect to individuals who participated
in a workforce development program funded with the
grant--
``(i) the percentage of participants who
successfully completed the program; and
``(ii) of the participants who were
incumbent workers at the time of enrollment in
the program, the percentage who advanced into
higher level positions during or after
completing the program.
``(2) Consultation and determination of levels of
performance.--
``(A) Consideration.--In developing levels of
performance in accordance with paragraph (1), the
Secretary shall take into consideration the goals of
the eligible institution pursuant to subsection
(d)(2)(L).
``(B) Determination.--After completing the
consideration required under subparagraph (A), the
Secretary shall separately determine the levels of
performance that will apply to each eligible
institution, taking into account--
``(i) the expected levels of performance of
each eligible institution with respect to the
goals described by the eligible institution
pursuant to subsection (d)(2)(L); and
``(ii) local economic conditions in the
geographic area to be served by the eligible
institution, including differences in
unemployment rates and job losses or gains in
particular industries.
``(C) Notice and acknowledgment.--
``(i) Notice.--The Secretary shall provide
each eligible institution with a written
notification that sets forth the levels of
performance that will apply to the eligible
institution, as determined under subparagraph
(B).
``(ii) Acknowledgment.--After receiving the
notification described in clause (i), each
eligible institution shall submit to the
Secretary written confirmation that the
eligible institution--
``(I) received the notification;
and
``(II) agrees to be evaluated in
accordance with the levels of
performance determined by the
Secretary.
``(3) Performance reviews.--On an annual basis during each
year of the grant period, the Secretary shall evaluate the
performance during such year of each eligible institution
receiving a grant under this section in a manner consistent
with the levels of performance determined for such institution
pursuant to paragraph (2).
``(4) Failure to meet levels of performance.--After
conducting an evaluation under paragraph (3), if the Secretary
determines that an eligible institution did not achieve the
levels of performance applicable to the eligible institution
under paragraph (2), the Secretary shall--
``(A) provide technical assistance to the eligible
institution; and
``(B) develop a performance improvement plan for
the eligible institution.
``(g) Evaluations and Reports.--
``(1) In general.--Not later than 4 years after the date on
which the first grant is made under this section, the Secretary
shall design and conduct an evaluation to determine the overall
effectiveness of the eligible institutions receiving a grant
under this section.
``(2) Elements.--The evaluation of the effectiveness of
eligible institutions conducted under paragraph (1) shall
include an assessment of the general effectiveness of programs
and activities supported by the grants awarded to such eligible
institutions under this section, including the extent to which
the programs and activities--
``(A) developed new, or expanded existing,
successful industry sector strategies, including the
extent to which such eligible institutions deepened
employer engagement and developed workforce development
programs that met industry skill needs;
``(B) created, expanded, or enhanced career
pathways, including the extent to which the eligible
institutions developed or improved competency-based
education and assessment, credit for prior learning,
modularized and self-paced curricula, integrated
education and workforce development, dual enrollment in
secondary and postsecondary career pathways, stacked
and latticed credentials, and online and distance
learning;
``(C) created alignment between eligible
institutions and the workforce development system;
``(D) assisted individuals with finding, retaining,
or advancing in employment;
``(E) assisted individuals with earning recognized
postsecondary credentials; and
``(F) provided equal access to various demographic
groups, including people of different geographic
locations, ages, races, national origins, and sexes.
``(3) Design requirements.--The evaluation under this
subsection shall--
``(A) be designed by the Secretary (acting through
the Chief Evaluation Officer) in conjunction with the
eligible institutions being evaluated;
``(B) include analysis of program participant
feedback and outcome and process measures; and
``(C) use designs that employ the most rigorous
analytical and statistical methods that are reasonably
feasible, such as the use of control groups.
``(4) Data accessibility.--The Secretary shall make
available on a publicly accessible website of the Department of
Labor any data collected as part of the evaluation under this
subsection. Such data shall be made available in an aggregated
format that does not reveal personally identifiable information
and that ensures compliance with relevant Federal laws,
including section 444 of the General Education Provisions Act
(commonly known as the `Family Educational Rights and Privacy
Act of 1974') (20 U.S.C. 1232g).
``(5) Publication and reporting of evaluation findings.--
The Secretary (acting through the Chief Evaluation Officer)
shall--
``(A) in accordance with the timeline determined to
be appropriate by the Chief Evaluation Officer, publish
an interim report on the preliminary results of the
evaluation conducted under this subsection;
``(B) not later than 60 days after the date on
which the evaluation is completed under this
subsection, submit to the Committee on Health,
Education, Labor, and Pensions of the Senate and the
Committee on Education and Workforce of the House of
Representatives a report on such evaluation; and
``(C) not later than 90 days after such completion
date, publish and make the results of such evaluation
available on a publicly accessible website of the
Department of Labor.
``(h) Annual Reports.--The Secretary shall make available on a
publicly accessible website of the Department of Labor, in transparent,
linked, open, and interoperable data formats, the following
information:
``(1) The performance of eligible institutions on the
capacity-building performance indicator set forth under
subsection (f)(1)(B).
``(2) The performance of eligible institutions on the
workforce development participant outcome performance
indicators set forth under subsection (f)(1)(C).
``(3) The number of individuals enrolled in workforce
development programs funded with a grant under this section.
``(i) Definitions.--In this section:
``(1) Community college.--The term `community college'
means--
``(A) a public institution of higher education (as
defined in section 101(a) of the Higher Education Act
(20 U.S.C. 1001(a))), at which--
``(i) the highest degree awarded is an
associate degree; or
``(ii) an associate degree is the most
frequently awarded degree;
``(B) a branch campus of a 4-year public
institution of higher education (as defined in section
101 of the Higher Education Act of 1965 (20 U.S.C.
1001)), if, at such branch campus--
``(i) the highest degree awarded is an
associate degree; or
``(ii) an associate degree is the most
frequently awarded degree;
``(C) a 2-year Tribal College or University (as
defined in section 316(b)(3) of the Higher Education
Act of 1965 (20 U.S.C. 1059c(b)(3))); or
``(D) a degree-granting Tribal College or
University (as defined in section 316(b)(3) of the
Higher Education Act of 1965 (20 U.S.C. 1059c(b)(3)))
at which--
``(i) the highest degree awarded is an
associate degree; or
``(ii) an associate degree is the most
frequently awarded degree.
``(2) Eligible institution.--The term `eligible
institution' means--
``(A) a community college;
``(B) a postsecondary vocational institution (as
defined in section 102(c) of the Higher Education Act
of 1965 (20 U.S.C. 1002(c))); or
``(C) a consortium of such colleges or
institutions.
``(j) Supplement Not Supplant.--Funds made available under this
section shall be used to supplement, and not supplant, other Federal,
State, and local public funds made available for carrying out the
activities described in this section.''.
(b) Authorization of Appropriations.--Section 174 of the Workforce
Innovation and Opportunity Act, as redesignated in section 332, is
amended--
(1) by redesignating subsections (e) and (f) as subsections
(f) and (g), respectively; and
(2) by inserting after subsection (d) the following:
``(e) Strengthening Community Colleges Program.--There are
authorized to be appropriated to carry out section 173 such sums as may
be necessary.''.
(c) Table of Contents.--The table of contents in section 1(b) of
the Workforce Innovation and Opportunity Act is amended by striking the
item relating to section 172 and inserting the following:
``Sec. 172. Small business futures program.
``Sec. 173. Strengthening community colleges workforce development
grants program.
``Sec. 174. Authorization of appropriations.''.
SEC. 606. SERVICE OF MIDCAREER WORKERS.
Section 3 of the Wagner-Peyser Act (29 U.S.C. 49b) is amended--
(1) by striking ``State agencies'' and inserting ``State
workforce agencies''; and
(2) by adding at the end the following:
``(f)(1) The activities to enhance the professional development and
career advancement opportunities of staff under subsection (c)(4) shall
include training, strategies, and practices--
``(A) specific to serving midcareer workers; and
``(B) as necessary, designed to appropriately and
effectively serve individuals displaced, or at risk of
displacement, by technological change, automation, artificial
intelligence, trade, or business restructuring.
``(2) Any activities described in this subsection that involve
individuals covered by a collective bargaining agreement shall be
conducted in accordance with the terms of such agreement.''.
TITLE VII--BETTER ARTIFICIAL INTELLIGENCE FOR AMERICA
SEC. 701. ACCESSIBILITY.
Any products or materials made available under this title shall be
made accessible for individuals with disabilities and individuals with
limited English proficiency.
SEC. 702. NATIONAL WORKFORCE COMPETENCY INITIATIVE.
(a) Establishment.--Using amounts available for such purpose from
the Artificial Intelligence Horizon Fund, the Secretary of Labor shall
establish a national workforce competency initiative to facilitate the
development, dissemination, and adoption of voluntary, nationally
recognized competency frameworks, model curricula, assessment tools,
and industry-recognized credentials for high-demand occupations within
job sectors impacted by technological change.
(b) Convening.--In carrying out the initiative established under
subsection (a), the Secretary shall convene sector-relevant
representatives of--
(1) labor organizations;
(2) sponsors of an apprenticeship registered under the Act
of August 16, 1937 (commonly known as the ``National
Apprenticeship Act''; 50 Stat. 664, chapter 663; 29 U.S.C. 50
et seq.).;
(3) institutions of higher education, including community
colleges;
(4) State workforce agencies;
(5) local boards, as defined in section 3 of the Workforce
Innovation and Opportunity Act (29 U.S.C. 3102);
(6) State Commissions on National and Community Service;
(7) industry associations;
(8) credentialing organizations;
(9) workforce training providers; and
(10) such other stakeholders as the Secretary determines
appropriate.
(c) Duties.--In carrying out the initiative established under
subsection (a), the Secretary, in consultation with the sector
stakeholders described in subsection (b), shall, relevant to such
sector--
(1) develop voluntary national competency frameworks for
high-demand occupations;
(2) develop or support common assessment tools;
(3) facilitate development and recognition of industry-
recognized credentials;
(4) maintain a publicly accessible national repository of
competency frameworks, curricula, assessments, credentials, and
related workforce training resources;
(5) promote interstate recognition and portability of
industry-recognized credentials;
(6) coordinate with Federal agencies, States, institutions
of higher education, employers, labor organizations, and
workforce development entities to promote adoption of
competency frameworks and credentials;
(7) periodically review and update competency frameworks to
reflect technological change, including advances in artificial
intelligence and other emerging technologies; and
(8) disseminate best practices and technical assistance to
employers, educational institutions, workforce development
boards, sponsors of an apprenticeship described in subsection
(b)(3), and State workforce agencies.
(d) Occupational Licensing.--Nothing in this section shall be
construed to authorize the superseding, altering, or modification of an
occupational or professional license issued or recognized by a State or
the Federal Government.
SEC. 703. NATIONAL CLEARINGHOUSE FOR ARTIFICIAL INTELLIGENCE EDUCATION.
(a) Establishment.--Using amounts allocated for such purpose from
the Artificial Intelligence Horizon Fund, the Secretary of Education
shall establish and maintain a national clearinghouse for artificial
intelligence education, which shall serve as a repository and
collaboration platform for information, instructional resources, best
and promising practices, and model educational materials related to the
integration of artificial intelligence in education and educational
instruction.
(b) Duties.--The clearinghouse established under subsection (a)
shall--
(1) collect, curate, evaluate, and disseminate evidence-
based instructional resources related to artificial
intelligence education for elementary, secondary, and
postsecondary education;
(2) identify and disseminate best and promising practices
for instruction of responsible use of artificial intelligence;
(3) disseminate voluntary model curricula for age-
appropriate artificial intelligence literacy across grades;
(4) identify and disseminate model guidance regarding--
(A) classroom use of artificial intelligence;
(B) academic integrity;
(C) responsible artificial intelligence use;
(D) student privacy;
(E) cybersecurity; and
(F) bias, transparency, hallucinations,
misinformation, and disinformation; and
(5) maintain a publicly accessible online repository of
lesson plans, instructional materials, assessment tools,
professional development resources, research findings
(including research on the impact of artificial intelligence on
students and learning), competency frameworks, and model
policies.
(c) Leveraging Existing Repositories.--In carrying out subsection
(b), the Secretary shall utilize existing hubs and repositories that
may provide such content and allow the clearinghouse to serve as an
entry point to such platforms.
(d) Updating Clearinghouse Content.--The Secretary of Education
shall regularly review and update the contents of the clearinghouse to
maintain up-to-date content.
(e) Conflicts of Interest.--The Secretary of Education shall ensure
appropriate disclosures to maintain research quality and independent
review of materials hosted by the clearinghouse.
SEC. 704. ARTIFICIAL INTELLIGENCE IN THE WORKPLACE.
(a) Establishment.--Using amounts available for such purpose from
the Artificial Intelligence Horizon Fund, the Secretary of Labor, in
consultation with the Equal Employment Opportunity Commission, shall
establish an initiative to develop, disseminate, and periodically
update best practices and guidance for the safe, responsible, and
effective integration of artificial intelligence technologies in the
workplace.
(b) Convening.--In carrying out the initiative established under
subsection (a), the Secretary shall convene representatives of--
(1) employers;
(2) human resource professionals and organizations
representing human resource professionals;
(3) labor organizations;
(4) civil rights organizations;
(5) institutions of higher education;
(6) cybersecurity professions;
(7) legal professionals responsible for advising employers
on workforce and employment matters; and
(8) such other public and private stakeholders as the
Secretary determines appropriate.
(c) Duties.--In carrying out the initiative established under
subsection (a), the Secretary, in consultation with the stakeholders
described in subsection (b), shall--
(1) develop voluntary guidelines for employers regarding
the responsible adoption and use of artificial intelligence
technologies in the workplace;
(2) develop model policies and implementation resources for
employers;
(3) identify practices to mitigate risks relating to worker
privacy, bias, discrimination, transparency, and accountability
in workplace uses of artificial intelligence, including
practices related to--
(A) worker and labor organization participation in
the design, procurement, testing, and evaluation of
artificial intelligence;
(B) advance notice to, and consultation with,
workers and labor organizations before the adoption of
artificial intelligence technologies that materially
affect working conditions;
(C) algorithmic management;
(D) workplace surveillance, including limits on the
collection and use of worker data;
(E) automated employment decision tools;
(F) disclosure to workers related to the use of
artificial intelligence;
(G) human review of consequential employment
decisions, including decisions relating to hiring,
scheduling, discipline, compensation, and termination;
(H) the ability of a worker to exercise
professional judgment to override an automated
determination, and protection from retaliation for
doing so;
(I) the ability of a worker to meaningfully
challenge or appeal employer decisions made using
artificial intelligence, including the provision to the
worker of an understandable explanation of the basis
for an adverse decision and a process to request human
reconsideration;
(J) protection from retaliation for a worker who
reports a harm or misuse relating to workplace
artificial intelligence;
(K) the identification and reporting by employers
of workforce reductions substantially related to the
adoption of artificial intelligence;
(L) independent testing for bias and discriminatory
outcomes of artificial intelligence systems, before and
during deployment; and
(M) the use of artificial intelligence to augment
the capabilities of workers and improve job quality and
workplace health and safety;
(4) periodically review and update the guidelines to
reflect technological advances and emerging best practices;
(5) make all guidance, model policies, and related
resources publicly available; and
(6) not later than 2 years after the date of enactment of
this Act, and periodically thereafter, submit to the Committee
on Health, Education, Labor, and Pensions of the Senate and the
Committee on Education and Workforce of the House of
Representatives a report identifying which of the practices
described in paragraph (3) should be established as
requirements, including any recommendation for legislation and
an assessment of the extent to which voluntary adoption of such
practices has occurred.
(d) Federal Agencies.--In carrying out the initiative established
under subsection (a), the Secretary shall develop guidance under this
section that is suitable for use by Federal agencies in adopting
artificial intelligence technologies affecting the work of their
employees or the delivery of public services.
(e) Rule of Construction.--Nothing in this section shall be
construed to alter any right or obligation under Federal labor or
employment law or to affect the terms of a collective bargaining
agreement.
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