Member PortalSenate Releases WIOA Reauthorization Discussion Draft
The Senate has released a discussion draft of a bill to reauthorize the Workforce Innovation and Opportunity Act (WIOA). This draft is intended to gather feedback before finalizing the bill, and NAWB plans to actively engage in the process.
NAWB participated in a Senate committee staff briefing and conducted an initial review of the legislative text. Below are key takeaways:
Topline Takeaways from the Discussion Draft
- No Training Mandate
- The draft does not include a mandatory training expenditure, a significant improvement over the House-passed proposal, which mandated 50% of Title I Adult and Dislocated Worker funds to be allocated for training. NAWB is highly supportive of this approach.
- Re-designation of Local Workforce Development Areas (LWDAs)
- The proposal increases flexibility for state governors to consolidate or restructure LWDAs, going further than the House version in enabling these changes. NAWB is increasingly concerned about the potential implications of this provision.
- Statewide Funding Reservations
- Similar to the House proposal, the Senate draft allows states to reserve an additional 10% of WIOA Title I funding for statewide initiatives. However, it is more prescriptive, requiring these funds to support Industry/Sector Partnership efforts or employer-based training. NAWB remains apprehensive, as this reduces funding available for local communities to address their priorities.
- Funding Levels
- The draft does not specify authorized funding levels, instead using broad “such sums as may be necessary” language. This grants appropriations leaders greater discretion in determining WIOA funding. Additionally, the draft introduces a new funding stream using H-1B visa fees to support Individual Training Accounts. NAWB continues to emphasize the need for robust funding to ensure the public workforce system can meet current and emerging needs.
