,,ii  #aahth ,,congress  #b;d ,session  
,s4 #chbe  ,,in ,,the ,,senate ,,of     
,,the ,,united ,,states  ,february #bh1 
#bjbd,mr4 ,romney introduced the        
following bill2 which was read twice and
 referred to the ,committee on ,health1 
,education1 ,labor1 and ,pensions  ,a   
,,bill  ,to amend the ,workforce        
,innovation and ,opportunity ,act to    
establish a ,state innovation           
demonstration authority4  #a4 ,short    
title ,this ,act may be cited as the    
,one ,door to ,work ,act4  #b4 ,state   
innovation demonstration authority      
,section #aij of the ,workforce         
,innovation and ,opportunity ,act 7#bi  
,u4,s4,c4 #cbej7 is amended to read as  
follows3  #aij4 ,state innovation       
demonstration authority  7a7 ,purpose   
,the purpose of this section is to      
authorize any ,state to apply under this
 section on behalf of the entire ,state1
 or a local area or a consortium of     
local areas in the ,state1 to receive   
the allotments or allocations of the    

,state or the local areas1 respectively1
 for youth workforce investment         
activities and adult and dislocated     
worker employment and training          
activities under this ,act1 and for     
activities under the ,wagner-,peyser    
,act1 as a consolidated grant for #e    
years for the purpose of carrying out a 
demonstration project to pursue         
innovative reforms to achieve better    
outcomes for jobseekers1 employers1 and 
taxpayers4  7b7 ,general authority  7#a7
 ,waivers and demonstration grant       
amounts ,notwithstanding any other      
provision of law1 during the            
demonstration period applicable to a    
demonstration project approved for a    
,state pursuant to subsection 7d77#c71  
the ,secretary shall comply with each of
 the following3 7,a7 ,waivers ,subject  
to paragraph 7#b71 waive for the ,state 
as a whole1 or for the local area or the
 consortium of local areas in such      
,state selected by the ,state to carry  
out such demonstration project-- 7i7 all

 the statutory and regulatory           
requirements of subtitle ,a1 subtitle   
,b1 and this subtitle2 and  7ii7 all the
 statutory or regulatory requirements of
 the ,wagner-,peyser ,act 7#bi ,u4,s4,c4
 #di;g et seq474  7,b7 ,demonstration   
grant amounts ,for each fiscal year     
applicable to such demonstration period3
 7i7 ,state as a whole ,in a case of a  
,state approved to carry out a          
demonstration project under this section
 on behalf of the ,state as a whole1    
distribute as a consolidated sum to the 
,state1 for purposes of carrying out the
 project1 the ,state's total allotment  
for such fiscal year under-- 7,i7       
subsections 7b77#a77;,c7 and 7c7 of     
section #abg2  7,,ii7 paragraphs        
7#a77;,b7 and 7#b77;,b7 of section      
#acb7;b71 and section #acb7;c72 and     
7,,iii7 section #f of the               
,wagner-,peyser ,act 7#bi ,u4,s4,c4     
#di;e74  7ii7 ,local area ,in a case of 
a local area selected by a ,state to    
carry out a demonstration project under 

this section1 require the ,state to--   
7,i7 distribute as a consolidated sum to
 the local board for such local area1   
for purposes of carrying out the        
project-- 7aa7 the local area's         
allocation for such fiscal year under-- 
7,,aa7 subsections 7b7 and 7c7 of       
section #abh2 and 7,,bb7 subsections 7b7
 and 7c7 of section #acc2 and  7bb7 any 
funds under section #f of the           
,wagner-,peyser ,act 7#bi ,u4,s4,c4     
#di;e7 that the ,state would otherwise  
allocate for such fiscal year to the    
one-stop delivery system in the local   
area2 or  7,,ii7 if the local board of  
the local area enters into a written    
agreement with the ,state for the ,state
 to serve as the fiscal agent for the   
local board during the demonstration    
project1 use the funds described in     
items 7aa7 and 7bb7 of subclause 7,i7   
for purposes of carrying out the project
 on behalf of the local board4  7iii7   
,consortium of local areas ,in a case of
 a consortium of local areas selected by

 a ,state to carry out a demonstration  
project under this section1 require the 
,state to-- 7,i7 distribute as a        
consolidated sum to the consortium1 for 
purposes of carrying out the project--  
7aa7 the total amount of the allocations
 for the local areas in such consortium 
for such fiscal year under-- 7,,aa7     
subsections 7b7 and 7c7 of section #abh2
 and 7,,bb7 subsections 7b7 and 7c7 of  
section #acc2 and  7bb7 any funds under 
section #f of the ,wagner-,peyser ,act  
7#bi ,u4,s4,c4 #di;e7 that the ,state   
would otherwise allocate for such fiscal
 year to the one-stop delivery systems  
in the local areas in such consortium2  
or  7,,ii7 if the consortium enters into
 a written agreement with the ,state for
 the ,state to serve as the fiscal agent
 for the local boards represented in the
 consortium during the demonstration    
project1 use the funds described in     
items 7aa7 and 7bb7 of subclause 7,i7   
for purposes of carrying out the project
 on behalf of such consortium4  7#b7    

,exceptions ,a ,state1 local area1 or   
consortium of local areas carrying out a
 demonstration project under this       
section-- 7,a7 shall comply with        
statutory or regulatory requirements    
of-- 7i7 this ,act relating to-- 7,i7   
wage and labor standards2  7,,ii7       
nondisplacement protections2  7,,iii7   
participation and protection of workers 
and participants2  7,,iv7               
nondiscrimination2  7,v7 grievance      
procedures and judicial review2 and     
7,,vi7 performance accountability and   
reporting1 except as otherwise provided 
in this section2 and  7ii7 the          
,wagner-,peyser ,act relating to        
provision of services to unemployed     
insurance claimants and veterans1 and   
relating to universal access to basic   
labor exchange services without cost to 
jobseekers2 and  7,b7 may choose to     
comply with any other statutory or      
regulatory requirement of this ,act or  
the ,wagner-,peyser ,act4  7c7          
,demonstration period2 ,limitations     

7#a7 ,in general ,a demonstration       
project approved under this section for 
a ,state1 local area1 or consortium--   
7,a7 shall be carried out for a #e-year 
demonstration period2 and  7,b7 may be  
renewed for additional #e-year          
demonstration periods1 if the ,state1   
local area1 or consortium meets its     
expected levels of performance          
established under subsection 7f77#a7 for
 each of the final #c years of the      
preceding #e-year period4  7#b7         
,limitations  7,a7 ,demonstration period
 limitations ,for each #e-year          
demonstration period 7including renewals
 of such period7-- 7i7 not more than #h 
,states may carry out demonstration     
projects approved for a ,state as a     
whole under this section2 and  7ii7 not 
more than #h local areas 7or consortia  
of local areas7 may carry out           
demonstration projects approved for a   
local area 7or a consortium7 under this 
section4  7,b7 ,state limitations ,not  
more than #a demonstration project may  

be approved under this section per      
,state4 ,for purposes of this paragraph1
 a demonstration project approved for a 
local area or a consortium of local     
areas in a ,state shall be considered a 
demonstration project approved under    
this section for the ,state4  7d7       
,application  7#a7 ,in general ,to be   
eligible to carry out a demonstration   
project under this section1 a ,state    
shall submit to the ,secretary an       
application at such time1 and in such   
manner1 as the ,secretary may reasonably
 require1 and containing the information
 described in paragraph 7#b74  7#b7     
,content ,each application submitted by 
a ,state under this subsection shall    
include the following3 7,a7 ,a          
description of the demonstration project
 to be carried out under this section1  
including-- 7i7 whether the project will
 be carried out-- 7,i7 by the ,state as 
a whole2  7,,ii7 by a local area1 and if
 so-- 7aa7 an identification of-- 7,,aa7
 such local area2 and 7,,bb7 whether the

 local board for such local area is the 
fiscal agent for the project1 or whether
 the local board has entered into a     
written agreement with the ,state for   
the ,state to serve as the fiscal agent 
during the project2 and  7bb7 written   
verification from the local board for   
such local area that such local board   
agrees-- 7,,aa7 to carry out such       
project2 and 7,,bb7 to the fiscal agent 
identified in item 7aa77,,bb72 and      
7,,iii7 by a consortium of local areas  
in the ,state1 and if so-- 7aa7 an      
identification of-- 7,,aa7 each local   
area that comprises the consortium2 and 
7,,bb7 the local area that will serve as
 the fiscal agent for the consortium    
during the project1 or whether the      
consortium has entered into a written   
agreement with the ,state for the ,state
 to serve as the fiscal agent2 and  7bb7
 written verification from each local   
board of each local area identified in  
item 7aa77,,aa7 that such local board   
agrees-- 7,,aa7 to carry out such       

project as a consortium2 and 7,,bb7 to  
the fiscal agent for the consortium     
identified in item 7aa77,,bb72  7ii7 a  
description of the activities to be     
carried out under the project2 and      
7iii7 the goals the ,state1 local area1 
or consortium intends to achieve through
 such activities1 which shall be aligned
 with purpose described in subsection   
7a74  7,b7 ,a description of the        
performance outcomes the ,state1 the    
local area1 or consortium expects to    
achieve for such activities for each    
year of the demonstration period as     
described in subsection 7f77#a74  7,c7  
,a description of how the ,state1 local 
area1 or consortium consulted with      
employers1 the ,state board1 and the    
local boards in the ,state in           
determining the activities to carry out 
under the demonstration project4  7,d7  
,a description of how the ,state will   
make such activities available to       
jobseekers and employers in each of the 
local areas in the ,state or1 in a case 

of a project that will be carried out by
 a local area or a consortium1 a        
description of how such services will be
 made available to jobseekers and       
employers in such local area or each of 
the local areas in the consortium4  7,e7
 ,a description1 if appropriate1 of how 
the ,state1 local area1 or consortium   
will integrate the funds received1 and  
the activities carried out1 under the   
demonstration project under this section
 with ,state workforce development      
programs and other ,federal or ,state   
workforce1 education1 or social service 
programs 7including the programs and    
activities listed in section            
#ajc7;a77#b71 the program of adult      
education and literacy activities       
authorized under title ,,ii1 and the    
program authorized under title ,i of the
 ,rehabilitation ,act of #aigc 7#bi     
,u4,s4,c4 #gbj et seq4774  7,f7 ,an     
assurance that the ,state1 local area1  
or consortium will meet the requirements
 of this section4  7#c7 ,secretarial    

approval  7,a7 ,in general ,not later   
than #fj days after the date on which a 
,state submits an application under this
 subsection1 the ,secretary shall-- 7i7 
in a case in which the application meets
 the requirements of this section and is
 not subject to the limitations         
described in subsection 7c77#b71 approve
 such application and the demonstration 
project described in such application2  
or  7ii7 provide to the ,state a written
 explanation of initial disapproval that
 meets the requirements of subparagraph 
7,c74  7,b7 ,default approval ,with     
respect to an application submitted by a
 ,state under this subsection that is   
not subject to the limitations described
 in subsection 7c77#b71 if the          
,secretary fails to approve such        
application or provide an explanation of
 initial disapproval for such           
application as required under           
subparagraph 7,a71 the application and  
the demonstration project described in  
such application shall be deemed        

approved by the ,secretary4  7,c7       
,initial disapproval ,an explanation of 
initial disapproval provided by the     
,secretary to a ,state under            
subparagraph 7,a77ii7 shall provide the 
,state-- 7i7 detailed reasons for why   
the application does not meet the       
requirements of this section2 and  7ii7 
if the ,state is not subject to the     
limitations described in subsection     
7c77#b71 an opportunity to revise and   
resubmit the ,state's application under 
this section4  7e7 ,state demonstration 
project requirements ,a ,state1 local   
area1 or consortium that has been       
approved to carry out a demonstration   
project under this section shall meet   
each of the following requirements3 7#a7
 ,use of funds ,use the funds received  
pursuant to subsection 7b77#a77;,b7     
solely to carry out the activities of   
the demonstration project to achieve the
 goals described in subsection          
7d77#b77;,a77iii74  7#b7 ,administrative
 costs limitation ,use not more than #aj

 percent of the funds received pursuant 
to subsection 7b77#a77;,b7 for a fiscal 
year for the administrative costs of    
carrying out the demonstration project4 
7#c7 ,priority for services ,give       
priority for services under the project 
to veterans and their eligible spouses  
in accordance with the requirements of  
section #dbae of title #ch1 ,united     
,states ,code1 recipients of public     
assistance1 low-income individuals1 and 
individuals who are basic skills        
deficient4  7#d7 ,number of participants
 ,serve a number of participants under  
the activities of the demonstration     
project for each year of the            
demonstration period that-- 7,a7 is     
greater than the number of participants 
served by such ,state1 local area1 or   
consortium under the programs described 
in subparagraphs 7,a7 and 7,c7 of       
section #c7ac7 for the most recent      
program year that ended prior to the    
beginning of the first year of the      
demonstration period2 or  7,b7 is not   

less than the number of participants to 
be served under the activities of the   
demonstration project that is agreed    
upon between the ,state1 local area1 or 
consortium1 and the ,secretary-- 7i7    
prior to the ,secretary's approval of   
the application submitted under         
subsection 7d72  7ii7 after the         
,secretary takes into account-- 7,i7 the
 goals the ,state1 local area1 or       
consortium intends to achieve through   
the demonstration project2 and  7,,ii7  
the participants the ,state1 local area1
 or consortium intends to serve under   
such project2 and  7iii7 prior to       
approval of the application submitted   
under subsection 7d74  7#e7 ,reporting  
outcomes ,submit1 on an annual basis1 to
 the ,secretary a report1 with respect  
to such ,state1 local area1 or          
consortium1 on-- 7,a7 participant       
outcomes for each indicator of          
performance described in subsection     
7f77#a77;,a7 for the activities carried 
out under the project2 and  7,b7 the    

applicable requirements of section      
#aaf7;d77#b71 including subparagraphs   
7,b7 through 7,g7 and subparagraph 7,j71
 as such subparagraphs are applicable to
 activities under the demonstration     
project4  7#f7 ,compliance with certain 
existing requirements ,comply with the  
statutory or regulatory requirements    
listed in subsection 7b77#b77;,a74  7#g7
 ,evaluation ,prior to the end of the   
demonstration period-- 7,a7 conduct a   
rigorous evaluation of the employment   
and earnings outcomes of participants in
 activities carried out under the       
demonstration project1 compared to the  
outcomes of similarly situated          
individuals in such ,state1 local area1 
or a local area in the consortium that  
do not participate in such activities2  
and  7,b7 submit to ,congress and the   
,secretary the results of such          
evaluation4  7f7 ,performance           
accountability  7#a7 ,establishment of  
expected performance indicators  7,a7   
,in general ,each ,state1 local area1 or

 consortium shall establish in the      
application submitted under subsection  
7d71 for each year of the demonstration 
period-- 7i7 with respect to            
participants who are at least #be years 
old1 the expected levels of performance 
for each of the indicators of           
performance under section               
#aaf7;b77#b77;,a77i7 for the activities 
carried out under the project under this
 section1 which shall meet the          
requirements of subparagraph 7,b72 and  
7ii7 with respect to participants who   
are at least #af years old and no older 
than #bd years old1 the expected levels 
of performance for each of the          
indicators of performance under section 
#aaf7;b77#b77;,a77ii7 for the activities
 carried out under the project under    
this section1 which shall meet the      
requirements of subparagraph 7,b74  7,b7
 #eth year ,each of the expected levels 
of performance established for each of  
the indicators of performance under     
clauses 7i7 and 7ii7 of section         

#aaf7;b77#b77;,a7 pursuant to           
subparagraph 7,a7 for the #eth year of  
the demonstration period shall be higher
 than-- 7i7 the highest level of        
performance for the corresponding       
indicator of performance for the        
programs described in subparagraphs 7,a7
 and 7,c7 of section #c7ac7 for the most
 recent program year that ended prior to
 the beginning of the first year of the 
demonstration period2 or  7ii7 an       
alternate baseline level of performance 
that is agreed upon between the ,state1 
local area1 or consortium1 and the      
,secretary-- 7,i7 prior to the          
,secretary's approval of the application
 submitted under subsection 7d72 and    
7,,ii7 after the ,secretary takes into  
account-- 7aa7 the goals the ,state1    
local area1 or consortium intends to    
achieve through the demonstration       
project2 and  7bb7 the participants the 
,state1 local area1 or consortium       
intends to serve under such project4    
7#b7 ,sanctions  7,a7 ,in general ,the  

sanctions described in section          
#aaf7;f77#a77;,b7 shall apply to a      
,state1 local area1 or consortium       
beginning on the #crd year of the       
demonstration period for such ,state1   
local area1 or consortium1 except that  
the levels of performance established   
under paragraph 7#a7 shall be-- 7i7     
deemed to be the ,state negotiated      
levels of performance for purposes of   
this paragraph2 and  7ii7 adjusted at   
the end of each program year to reflect 
the actual characteristics of           
participants served and the actual      
economic conditions experienced using a 
statistical adjustment model similar to 
the model described in section          
#aaf7;b77#c77;,a77viii74  7,b7          
,ineligibility for renewal ,a ,state1   
local area1 or consortium that is       
subject to sanctions under this         
paragraph shall be ineligible to renew  
its demonstration period under          
subsection 7c74  7#c7 ,impact of ,local 
or ,consortium ,demonstrations on       

,statewide ,accountability ,with respect
 to a ,state with an approved           
demonstration project for a local area  
or consortium of local areas in the     
,state-- 7,a7 the performance of such   
local area or consortium for the        
programs described in subparagraphs 7,a7
 and 7,c7 of section #c7ac7 shall not be
 included in the levels of performance  
for such ,state for any of such programs
 for purposes of section #aaf for any   
program year that is applicable to any  
year of the demonstration period2 and   
7,b7 with respect to any local areas of 
the ,state that are not part of the     
demonstration project1 the ,state shall 
reach a new agreement with the          
,secretary1 for purposes of section     
#aaf7;b77#c77;,a71 on levels of         
performance for such programs for such  
program years4  4