Strategic Transitional Employment Program Act

TABLE OF CONTENTS:

Title I: Grants to States for Development of Employment

Programs

Title II: Grants to States for Implementation of Employment

Programs

Subtitle A: State Activities

Subtitle B: Local Activities

Subtitle C: Activities in Outlying Areas

Subtitle D: General Provisions

Title III: Federal Grants to Local Areas for Implementation

of Employment Programs

Title IV: Grants to Indian Tribes and Native Hawaiian

Organizations for Employment Programs

Title V: Community Development Venture Capital

Title VI: Revenue Provisions

Strategic Transitional Employment Program Act - Title I: Grants to States for Development of Employment Programs - Directs the Secretary of Labor to make grants to assist eligible States and outlying areas in developing strategic transitional employment programs that provide community employment, in local areas with identified communities.

(Sec. 101) Defines outlying areas as the U.S. Virgin Islands, Guam, American Samoa, the Commonwealth of the Northern Mariana Islands, the Republic of the Marshall Islands, the Federated States of Micronesia, and the Republic of Palau.

Sets the Federal share at two-thirds of such program development costs.

(Sec. 104) Authorizes appropriations.

Title II: Grants to States for Implementation of Employment Programs - Subtitle A: State Activities - Directs the Secretary to make allotments to assist eligible States in making grants to local areas, in order to implement employment programs in the States.

(Sec. 201) Bases such State allotments on numbers of unemployed individuals and individuals in poverty. Sets the Federal share at two-thirds of such program implementation costs.

(Sec. 202) Sets forth requirements for: (1) State plans, including priorities for selection of local areas with identifiable communities; and (2) State administration and reports.

Subtitle B: Local Activities - Requires States receiving such allotments to use them to make grants to local areas.

(Sec. 212) Sets forth requirements for local plans.

(Sec. 213) Requires local areas to use such grant funds to implement employment programs that provide community employment with eligible employers to eligible individuals.

Requires such community employment to be entry-level employment that the local chief elected official, after consultation with local organizations' representatives, determines to meet: (1) the skills and needs of eligible individuals in the identified communities in the local area; and (2) the needs of the local area for affordable housing, human services, infrastructure, environmental conservation or restoration, and small business development. Allows such community employment to include employment related to directory assistance services, recreational equipment design and construction, removal of lead paint or asbestos, renovation of schools and community centers, after-school and summer recreational programs, child care and home health care services, elder care, teacher aide services, construction and renovation of affordable housing, and community crime prevention.

Authorizes the chief local official to elect to include in such community employment paid participation in training and education programs for up to ten hours per week per participant.

Requires paid participation in structured job search activity, as part of such community employment, in accordance with standards specified by the chief elected official.

Limits to 12 months the period of a participant's employment under the program. Authorizes the Secretary, upon request and justification by the chief local elected official, to waive such limit and allow participant employment for up to 12 additional months, for not more than 20 percent of program participants.

Sets forth individual eligibility requirements.

(Sec. 214) Sets forth program requirements with respect to: (1) employee wages and other benefits; (2) labor standards; (3) grievance procedures; and (4) information on worker rights.

Prohibits use of program funds for business relocation and related activities, and for other specified activities.

Prohibits requiring any individual to participate in an employment program under this title as a condition of receiving any benefit under any Federal or State law.

(Sec. 215) Sets forth requirements for nondiscrimination, local administration, and local reports.

Subtitle C: Activities in Outlying Areas - Directs the Secretary to reserve up to one-quarter of one percent of appropriations under this title to make grants to eligible outlying areas to implement employment programs.

Subtitle D: General Provisions - Sets forth requirements for Federal monitoring, reports, and administration.

(Sec. 234) Authorizes appropriations.

Title III: Federal Grants to Local Areas for Implementation of Employment Programs - Directs the Secretary, if the funds allotted to a State under title II for a fiscal year are not distributed to the State for such fiscal year, to: (1) first use the funds for competitive, direct grants to local areas in the State for implementation of employment programs; and (2) reallot any remaining funds to remaining eligible States. Sets the Federal share at two-thirds of such program implementation costs.

Title IV: Grants to Indian Tribes and Native Hawaiian Organizations for Employment Programs - Directs the Secretary to reserve up to three percent of appropriations, under certain provisions of titles I and II, to make grants to Indian tribes and Native Hawaiian organizations to develop and implement employment programs.

Title V: Community Development Venture Capital - Authorizes the Administrator of the Small Business Administration to make grants to one or more intermediary organizations to develop the capacity of community development venture capital organizations. Sets forth requirements for use and allocation of such assistance, and for matching funds.

(Sec. 501) Authorizes appropriations.

Title VI: Revenue Provisions - Amends the Internal Revenue Code to declare that no trade or business expense deduction shall be allowed for excessive compensation to a full-time employee.

(Sec. 602) Revises the definition of part F income (earnings and profits of a controlled foreign corporation) to eliminate foreign base company income (including certain export trade corporation income) and the deferral of any income to another taxable year.