Trade and Globalization Assistance Act of 2007

        [Congressional Bills 110th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3920 Referred in Senate (RFS)]

1st Session
H. R. 3920

_______________________________________________________________________

IN THE SENATE OF THE UNITED STATES

November 5, 2007

Received; read twice and referred to the Committee on Finance

_______________________________________________________________________

AN ACT

To amend the Trade Act of 1974 to reauthorize trade adjustment
assistance, to extend trade adjustment assistance to service workers
and firms, 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; TABLE OF CONTENTS.

(a) Short Title.--This Act may be cited as the ``Trade and
Globalization Assistance Act of 2007''.
(b) Table of Contents.--The table of contents for this Act is as
follows:

Sec. 1. Short title; table of contents.
Sec. 2. Findings.
TITLE I--TRADE ADJUSTMENT ASSISTANCE FOR WORKERS

Subtitle A--Trade Adjustment Assistance for Service Sector Workers;
Expansion of Covered Shifts in Production; Expansion of Downstream
Secondary Worker Eligibility

Sec. 101. Extension of trade adjustment assistance to services sector;
shifts in production.
Sec. 102. Determinations by Secretary of Labor.
Sec. 103. Monitoring and reporting relating to service sector.
Subtitle B--Industry-Wide Trade Adjustment Assistance

Sec. 111. Industry-wide determinations.
Sec. 112. Notifications regarding affirmative determinations and
safeguards.
Sec. 113. Notification to Secretary of Commerce.
Subtitle C--Program Benefits

Sec. 121. Qualifying requirements for workers.
Sec. 122. Weekly amounts.
Sec. 123. Limitations on trade readjustment allowances; allowances for
extended training and breaks in training.
Sec. 124. Special rules for calculation of eligibility period.
Sec. 125. Application of State laws and regulations on good cause for
waiver of time limits or late filing of
claims.
Sec. 126. Employment and case management services.
Sec. 127. Training.
Sec. 128. Prerequisite education; approved training programs.
Sec. 129. Eligibility for unemployment insurance and program benefits
while in training.
Sec. 130. Administrative expenses and employment and case management
services.
Sec. 131. Job search and relocation allowances.
Subtitle D--Health Care Provisions

Sec. 141. Modifications relating health insurance assistance for
certain TAA and PBGC pension recipients.
Sec. 142. Extension of COBRA benefits for certain TAA-eligible
individuals and PBGC recipients.
Subtitle E--Wage Insurance

Sec. 151. Reemployment trade adjustment assistance program for older
workers.
Subtitle F--Other Matters

Sec. 161. Restriction on eligibility for program benefits.
Sec. 162. Agreements with States.
Sec. 163. Fraud and recovery of overpayments.
Sec. 164. Technical amendments.
Sec. 165. Office of Trade Adjustment Assistance; Deputy Assistant
Secretary for Trade Adjustment Assistance.
Sec. 166. Collection of data and reports; information to workers.
Sec. 167. Extension of TAA program.
Sec. 168. Judicial review.
Sec. 169. Liberal construction of certification of workers and firms.
TITLE II--TRADE ADJUSTMENT ASSISTANCE FOR FIRMS

Sec. 201. Trade adjustment assistance for firms.
Sec. 202. Extension of authorization of trade adjustment assistance for
firms.
Sec. 203. Industry-wide programs for the development of new services.
Sec. 204. Demonstration project on strategic trade transformation
assistance.
TITLE III--TRADE ADJUSTMENT ASSISTANCE FOR FARMERS

Sec. 301. Eligibility of certain other producers.
TITLE IV--UNEMPLOYMENT INSURANCE

Sec. 401. Short title.
Sec. 402. Special transfers to State accounts in the Unemployment Trust
Fund.
Sec. 403. Extension of FUTA tax.
Sec. 404. Safety Net Review Commission.
TITLE V--MANUFACTURING REDEVELOPMENT ZONES

Sec. 501. Manufacturing redevelopment zones.
Sec. 502. Delay in application of worldwide interest allocation.
TITLE VI--WORKER ADJUSTMENT AND RETRAINING NOTIFICATION

Sec. 601. Short title.
Sec. 602. Amendments to the WARN Act.
Sec. 603. Effective date.

SEC. 2. FINDINGS.

Congress makes the following findings:
(1) Since January 2001, the United States economy has lost
nearly 3 million jobs in the manufacturing sector alone.
(2) Today, over 7.1 million people in the United States are
unemployed, and nearly 1.2 million of those individuals have
been unemployed for 6 months or longer.
(3) While the United States manufacturing sector has been
the hardest hit by increased unemployment, the United States
service sector has also seen declines as jobs have moved to
low-cost labor markets, such as China, India, and the
Philippines.
(4) Promoting the economic growth and competitiveness of
the United States requires--
(A) opening substantial new markets for United
States goods, services, and farm products;
(B) building a strong framework of rules for
international trade to level the playing field for
United States workers and businesses in all sectors of
the economy; and
(C) helping those affected by globalization
overcome its challenges and succeed.
(5) Congress created the trade adjustment assistance
program in 1962 to provide United States workers who lose their
jobs because of foreign competition with government-funded
training and associated income support to enable such workers
to transition to new, good-paying jobs.
(6) Unfortunately, the trade adjustment assistance program
has not kept pace with globalization and it is failing to
ensure that all workers adversely affected by trade receive the
assistance they need and deserve.
(7) Workers in the service sector, who make up
approximately 80 percent of the United States workforce, are
ineligible for trade adjustment assistance.
(8) Inadequate funding for training leaves many dislocated
workers without access to the retraining they need to find
good-paying jobs.
(9) Unnecessary, unduly burdensome, and confusing program
eligibility rules prevent workers from gaining access to
benefits for which they are eligible.
(10) The health coverage tax credit suffers from
fundamental flaws and, as a result, the credit is not being
used by the vast majority of people who are eligible for it,
despite a clear need for access to affordable health care.
(11) To meet the challenges posed by globalization and to
preserve the critical role that United States workers play in
promoting the strength and prosperity of the United States, the
trade adjustment assistance program must be reformed.

TITLE I--TRADE ADJUSTMENT ASSISTANCE FOR WORKERS

Subtitle A--Trade Adjustment Assistance for Service Sector Workers;
Expansion of Covered Shifts in Production; Expansion of Downstream
Secondary Worker Eligibility

SEC. 101. EXTENSION OF TRADE ADJUSTMENT ASSISTANCE TO SERVICES SECTOR;
SHIFTS IN PRODUCTION.

(a) Petitions.--Section 221(a) of the Trade Act of 1974 (19 U.S.C.
2271(a)(1)) is amended--
(1) in paragraph (1)--
(A) in the matter preceding subparagraph (A)--
(i) by striking ``Secretary'' and inserting
``Secretary of Labor''; and
(ii) by striking ``or subdivision'' and
inserting ``or public agency, or subdivision of
a firm or public agency,''; and
(B) in subparagraph (A), by striking ``firm)'' and
inserting ``firm, and workers in a service sector firm
or subdivision of a service sector firm, or of a public
agency or subdivision thereof)''; and
(2) in paragraph (3), by inserting ``and on the Website of
the Department of Labor'' after ``Federal Register''.
(b) Group Eligibility Requirements.--
(1) In general.--Subsection (a) of section 222 of the Trade
Act of 1974 (19 U.S.C. 2272) is amended--
(A) in the matter preceding paragraph (1), by
striking ``(including workers in any agricultural firm
or subdivision of an agricultural firm)'' and inserting
``(other than workers in a public agency)'';
(B) in paragraph (2)--
(i) in subparagraph (A)(ii), by striking
``like or directly competitive with articles
produced'' and inserting ``or services like or
directly competitive with articles produced or
services provided''; and
(ii) by striking subparagraph (B) and
inserting the following:
``(B)(i) there has been a shift, by such workers'
firm or subdivision to a foreign country, of production
of articles, or in provision of services, like or
directly competitive with articles produced, or
services provided, by such firm or subdivision; or
``(ii) such workers' firm or subdivision has
obtained or is likely to obtain articles or services
described in clause (i) from a foreign country.''.
(2) Workers in public agencies.--Such section is further
amended--
(A) by redesignating subsections (b) and (c) as
subsections (c) and (d), respectively; and
(B) by inserting after subsection (a) the
following:
``(b) Adversely Affected Workers in Public Agencies.--A group of
workers in a public agency shall be certified by the Secretary as
eligible to apply for adjustment assistance under this chapter pursuant
to a petition filed under section 221 if the Secretary determines
that--
``(1) a significant number or proportion of the workers in
the public agency, or an appropriate subdivision of the public
agency, have become totally or partially separated, or are
threatened to become totally or partially separated; and
``(2) the public agency or subdivision has obtained or is
likely to obtain from a foreign country services that would
otherwise be provided by such agency or subdivision.''.
(3) Adversely affected secondary workers.--Subsection (c)
of such section (as redesignated by paragraph (2)(A) of this
subsection) is amended--
(A) in the matter preceding paragraph (1), by
striking ``agricultural firm)'' and inserting
``agricultural firm, and workers in a service sector
firm or subdivision of a service sector firm)'';
(B) in paragraph (2)--
(i) by inserting ``or service'' after
``related to the article''; and
(ii) by striking ``(c)(3)'' and inserting
``(d)(3)''; and
(C) in paragraph (3)(A), by striking ``it supplied
to the firm (or subdivision)'' and inserting ``or
services it supplied to the firm (or subdivision)''.
(4) Definitions and eligibility.--Subsection (d) of such
section (as redesignated by paragraph (2)(A) of this
subsection) is amended--
(A) by striking ``(d) For purposes of this
section--'' and inserting ``(d) Definitions and
Eligibility.--For purposes of this section:''
(B) in paragraph (3), to read as follows:
``(3) Downstream producer.--The term `downstream producer'
means a firm that performs additional, value-added production
processes or services for a firm or subdivision, including a
firm that performs final assembly, finishing, testing,
packaging, or maintenance or transportation services directly
for another firm (or subdivision), for articles or services
that were the basis for a certification of eligibility under
subsection (a) of a group of workers employed by such other
firm (or subdivision).'';
(C) in paragraph (4)--
(i) by striking ``for articles'' and
inserting ``, or services, used in the
production of articles or in the provision of
services, as the case may be,''; and
(ii) by inserting ``(or subdivision)''
after ``such other firm''; and
(D) by adding at the end the following:
``(5) Firms identified by itc.--A petition filed under
section 221 covering a group of workers from a firm or
appropriate subdivision of a firm meets the requirements of
subsection (a) if the firm is identified by the International
Trade Commission under subsection (c), (d), or (e) of section
224.''.
(5) Basis for secretary's determinations.--Such section is
further amended by adding at the end the following:
``(e) Basis for Secretary's Determinations.--
``(1) Increased imports of services.--For purposes of
subsection (a)(2)(A)(ii), the Secretary may determine that
increased imports of like or directly competitive services
exist if the customers of the workers' firm or subdivision
accounting for not less than 20 percent of the sales of the
workers' firm or subdivision (as the case may be) certify to
the Secretary that such customers are obtaining such services
from a foreign country.
``(2) Shift in production; obtaining articles or services
abroad.--For purposes of subsections (a)(2)(B) and (b)(2), the
Secretary may determine that there has been a shift in
production of articles or provision of services, or that a
workers' firm or public agency, or subdivision thereof, has
obtained or is likely to obtain like or directly competitive
articles or services from a foreign country, based on a
certification thereof from the workers' firm, public agency, or
subdivision (as the case may be).
``(3) Process and methods for obtaining certifications.--
``(A) Request by petitioner.--If requested by the
petitioner, the Secretary shall obtain the
certifications under paragraphs (1) and (2) in such
manner as the Secretary determines is appropriate,
including by issuing subpoenas under section 249 when
necessary.
``(B) Protection of confidential information.--The
Secretary may not release information obtained under
subparagraph (A) that the Secretary considers to be
confidential business information unless the party
submitting the confidential business information had
notice, at the time of submission, that such
information would be released by the Secretary, or such
party subsequently consents to the release of the
information. Nothing in this subparagraph shall be
construed to prohibit a court from requiring the
submission of such confidential business information to
the court in camera.''.
(c) Definitions.--Section 247 of the Trade Act of 1974 (19 U.S.C.
2319) is amended--
(1) in the matter preceding paragraph (1), by striking
``chapter--'' and inserting ``chapter:'';
(2) in paragraph (1)--
(A) by inserting ``, or employment in a public
agency or appropriate subdivision of a public agency,''
after ``of a firm''; and
(B) by striking ``such firm or subdivision''
inserting ``such firm (or subdivision) or public agency
(or subdivision)'';
(3) in paragraph (2), by striking ``employment--'' and all
that follows and inserting ``employment, has been totally or
partially separated from such employment.'';
(4) by redesignating paragraphs (8) through (17) as
paragraphs (10) through (19), respectively; and
(5) by inserting after paragraph (6) the following:
``(7) The term `public agency' means a department or agency
of a State or local government or of the Federal Government.
``(8) The term `service sector firm' means an entity
engaged in the business of providing services.
``(9) Except as otherwise provided, the term `Secretary'
means the Secretary of Labor.''.

SEC. 102. DETERMINATIONS BY SECRETARY OF LABOR.

Section 223 of the Trade Act of 1974 (19 U.S.C. 2273) is amended--
(1) in subsection (b), by striking ``before his
application'' and all that follows and inserting ``before the
worker's application under section 231 occurred more than one
year before the date of the petition on which such
certification was granted.'';
(2) in subsection (c), by striking ``together with his
reasons'' and inserting ``and on the Website of the Department
of Labor, together with the Secretary's reasons''; and
(3) in subsection (d)--
(A) by striking ``subdivision of the firm'' and all
that follows through ``he shall'' and inserting
``subdivision of the firm, or of a public agency or
subdivision of a public agency, that total or partial
separations from such firm (or subdivision) or public
agency (or subdivision) are no longer attributable to
the conditions specified in section 222, the Secretary
shall''; and
(B) by striking ``together with his reasons'' and
inserting ``and on the Website of the Department of
Labor, together with the Secretary's reasons''.

SEC. 103. MONITORING AND REPORTING RELATING TO SERVICE SECTOR.

(a) In General.--Section 282 of the Trade Act of 1974 (19 U.S.C.
2393) is amended--
(1) in the heading, by striking ``system'' and inserting
``and data collection'';
(2) in the first sentence--
(A) by striking ``The Secretary'' and inserting
``(a) Monitoring Programs.--The Secretary'';
(B) by inserting ``and services'' after ``imports
of articles'';
(C) by inserting ``and domestic provision of
services'' after ``domestic production'';
(D) by inserting ``or providing services'' after
``producing articles''; and
(E) by inserting ``, or provision of services,''
after ``changes in production''; and
(3) by adding at the end the following:
``(b) Collection of Data and Reports on Service Sector.--
``(1) Secretary of labor.--Not later than 90 days after the
date of the enactment of the Trade and Globalization Assistance
Act of 2007, the Secretary of Labor shall implement a system to
collect data on adversely affected workers employed in the
service sector that includes the number of workers by State,
industry, and cause of dislocation of each worker.
``(2) Secretary of commerce.--Not later than 1 year after
such date of enactment, the Secretary of Commerce shall, in
consultation with the Secretary of Labor, conduct a study and
report to Congress on ways to improve the timeliness and
coverage of data on trade in services, including methods to
identify increased imports due to the relocation of United
States firms to foreign countries, and increased imports due to
United States firms obtaining services from firms in foreign
countries.''.
(b) Clerical Amendment.--The table of contents for title II of the
Trade Act of 1974 is amended by striking the item relating to section
282 and inserting the following:

``Sec. 282. Trade monitoring and data collection.''.

Subtitle B--Industry-Wide Trade Adjustment Assistance

SEC. 111. INDUSTRY-WIDE DETERMINATIONS.

(a) In General.--Subchapter A of chapter 2 of title II of the Trade
Act of 1974 (19 U.S.C. 2271 et seq.) is amended by adding after section
223 the following:

``SEC. 223A. INDUSTRY-WIDE DETERMINATIONS.

``(a) Investigation.--Upon the request of the President or the
United States Trade Representative, or the resolution of either the
Committee on Finance of the Senate or the Committee on Ways and Means
of the House of Representatives, with respect to a domestic industry,
or if the Secretary certifies groups of workers in a domestic industry
under section 223(a) pursuant to 3 petitions within a 180-day period,
the Secretary shall promptly initiate an investigation under this
chapter to determine the eligibility for adjustment assistance of--
``(1) all workers in that domestic industry; or
``(2) all workers in that domestic industry in a specific
geographic region.
``(b) Determination Regarding Industry-Wide Certification.--The
Secretary shall, not later than 60 days after receiving a request or
resolution described in subsection (a) with respect to a domestic
industry, or making the third certification of workers in a domestic
industry described in subsection (a), as the case may be--
``(1) determine whether all adversely affected workers in
that domestic industry are eligible to apply for assistance
under this subchapter, in accordance with the criteria
established under subsection (e); or
``(2) determine whether all adversely affected workers in
that domestic industry in a specific geographic region are
eligible to apply for assistance under this subchapter, in
accordance with the criteria established under subsection (e).
``(c) Identification and Certification.--
``(1) Affirmative determination.--
``(A) In general.--Upon making an affirmative
determination under subsection (b), the Secretary
shall--
``(i) identify all firms operating within
the domestic industry described in paragraph
(1) or (2) of subsection (b) that are covered
by the determination; and
``(ii) certify all workers of such firms as
a group of workers eligible to apply for
assistance under this subchapter, without any
other determination of whether such group meets
the requirements of section 222.
``(B) Other requirements.--
``(i) In general.--Each certification under
subparagraph (A)(ii) shall specify the date on
which the total or partial separation began or
threatened to begin, except that--
``(I) with respect to a request or
a resolution under subsection (a), such
date may not be a date that precedes
one year before the date on which the
Secretary receives the request or
resolution, as the case may be; and
``(II) with respect to the third
certification of workers in a domestic
industry described in subsection (a),
such date may not be a date that
precedes one year before the date on
which the Secretary certifies the 3d
such petition.
``(ii) Inapplicability.--A certification
under subparagraph (A)(ii) shall not apply to
any worker whose last total or partial
separation from the firm occurred before the
applicable date specified in clause (i).
``(iii) Training before separation.--Any
worker covered by a certification under
subparagraph (A)(ii) shall be deemed to be an
adversely affected worker for purposes of
receiving services under section 235 and
training under section 236, without regard to
whether the worker has been totally or
partially separated from employment. In the
case of a worker not totally or partially
separated from employment, the reference in
section 236(a)(1)(A) to `suitable employment'
shall be deemed not to refer to such
employment.
``(2) Negative determination.--If the Secretary makes a
negative determination under subsection (b), the Secretary
shall notify the Committee on Ways and Means of the House of
Representatives and the Committee on Finance of the Senate of
the reasons for the Secretary's determination.
``(3) Publication.--Upon making a determination under
subsection (b), the Secretary shall promptly publish a summary
of the determination in the Federal Register and on the Website
of the Department of Labor, together with the reasons for
making such determination.
``(4) Termination.--Whenever the Secretary determines that
a certification under paragraph (1) is no longer warranted, the
Secretary shall terminate the certification and promptly have
notice of the termination published in the Federal Register and
on the Website of the Department of Labor, together with the
reasons for making such determination under this paragraph.
Such termination shall apply only with respect to total or
partial separations occurring after the termination date
specified by the Secretary. In the case of a worker described
in paragraph (1)(B)(iii), no services described in section 235
or training described in section 236 may be initiated after
such termination date.
``(d) Outreach.--Upon making a certification under subsection
(c)(1) of eligibility for adjustment assistance under this chapter of a
group of workers or all workers in a domestic industry, the Secretary
shall notify each Governor of a State in which the workers are located
of the certification.
``(e) Regulations.--The Secretary shall, not later than 1 year
after the date of the enactment of the Trade and Globalization
Assistance Act of 2007, issue regulations for making determinations
under this section, including criteria for making such determinations.
The Secretary shall develop such regulations in consultation with the
Committee on Ways and Means of the House of Representatives and the
Committee on Finance of the Senate, and the Secretary shall submit such
regulations to each such committee at least 60 days before the
regulations go into effect.
``(f) Domestic Industry Defined.--In this section, the term
`domestic industry' means an industry in the United States, as that
industry is defined by the North American Industry Classification
System.''.
(b) Clerical Amendment.--The table of contents for title II of the
Trade Act of 1974 is amended by inserting after the item relating to
section 223 the following:

``Sec. 223A. Industry-wide determinations.''.
(c) Conforming Amendments.--Chapter 2 of title II of the Trade Act
of 1974 (19 U.S.C. 2271 et seq.) is amended--
(1) in section 225--
(A) in subsection (a), in the last sentence by
inserting ``or 223A'' after ``223''; and
(B) in subsection (b)--
(i) in paragraph (1), by striking
``subchapter A of this chapter'' and inserting
``this subchapter''; and
(ii) in paragraph (2), by striking
``subchapter A'' and inserting ``this
subchapter''; and
(2) in section 231--
(A) in subsection (a)--
(i) in the matter preceding paragraph (1),
by striking ``more than 60 days'' and all that
follows through ``section 221'' and inserting
``on or after the date of such certification'';
and
(ii) in paragraph (1)--
(I) in subparagraph (B), by
inserting ``or 223A (as the case may
be)'' after ``223''; and
(II) in subparagraph (C), by
inserting ``or 223A(c)(4), as the case
may be'' after ``223(d)''; and
(B) in subsection (b)--
(i) by striking paragraph (2); and
(ii) in paragraph (1)--
(I) by striking ``(1)'';
(II) by redesignating subparagraphs
(A) and (B) as paragraph (1) and (2),
respectively;
(III) by redesignating clauses (i)
and (ii) as subparagraphs (A) and (B),
respectively; and
(IV) by redesignating subclauses
(I) and (II) as clauses (i) and (ii),
respectively.

SEC. 112. NOTIFICATIONS REGARDING AFFIRMATIVE DETERMINATIONS AND
SAFEGUARDS.

(a) In General.--Section 224 of the Trade Act of 1974 (19 U.S.C.
2274) is amended--
(1) in the heading, by striking ``study by secretary of
labor when international trade commission begins
investigation'' and inserting ``study and notifications
regarding trade remedy determinations'';
(2) in subsection (a), by striking ``Whenever'' and
inserting ``Study of Domestic Industry.--Whenever'';
(3) in subsection (b)--
(A) by striking ``The report'' and inserting
``Report by the Secretary.--The report'';
(B) by striking ``his report'' and inserting ``the
Secretary's report''; and
(C) by inserting ``and on the Website of the
Department of Labor'' after ``Federal Register''; and
(4) by adding at the end the following:
``(c) Notifications Regarding Affirmative Safeguard Determinations
Under Section 202.--Upon issuing an affirmative finding regarding
serious injury, or the threat thereof, to a domestic industry, under
section 202, the Commission shall notify the Secretary and the
Secretary of Commerce of that finding and the identity of the firms
which comprise the domestic industry.
``(d) Notifications Regarding Affirmative Determinations Under
Section 421.--Upon issuing an affirmative determination of market
disruption, or the threat thereof, under section 421, the Commission
shall notify the Secretary and the Secretary of Commerce of that
determination and the identity of the firms which comprise the affected
domestic industry.
``(e) Notifications Regarding Affirmative Determinations Under
Tariff Act of 1930.--Upon issuing a final affirmative determination of
injury, or the threat thereof, under section 705 or section 735 of the
Tariff Act of 1930 (19 U.S.C. 1671d and 1673d), the Commission shall
notify the Secretary and the Secretary of Commerce of that
determination and the identity of the firms which comprise the affected
domestic industry.
``(f) Notification of Industry and Worker Representatives.--
Whenever the Commission makes a notification under subsection (c), (d),
or (e)--
``(1) the Secretary shall--
``(A) notify the firms identified by the Commission
as comprising the domestic industry affected, and any
certified or recognized union or other duly authorized
representatives of the workers in such industry, of the
allowances, training, employment services, and other
benefits available under this chapter, and the
procedures under this chapter for filing petitions and
applying for benefits;
``(B) notify the Governor of each State in which
one or more firms described in subparagraph (A) are
located of the Commission's determination and the
identity of the firms; and
``(C) provide the necessary assistance to
employers, groups of workers, and any certified or
recognized union or other duly authorized
representatives of such workers to file petitions under
section 221; and
``(2) the Secretary of Commerce shall--
``(A) notify the firms identified by the Commission
as comprising the domestic industry affected of the
benefits under chapter 3 and the procedures under such
chapter for filing petitions and applying for benefits;
and
``(B) provide the necessary assistance to firms to
file petitions under section 251.''.
(b) Clerical Amendment.--The table of contents for title II of the
Trade Act of 1974 is amended by striking the item relating to section
224 and inserting the following:

``Sec. 224. Study and notifications regarding trade remedy
determinations.''.

SEC. 113. NOTIFICATION TO SECRETARY OF COMMERCE.

Section 225 of the Trade Act of 1974 (19 U.S.C. 2275) is amended by
adding at the end the following:
``(c) Upon issuing a certification under section 223 or 223A, the
Secretary shall notify the Secretary of Commerce of the identify of the
firm or firms that are covered by the certification.''.

Subtitle C--Program Benefits

SEC. 121. QUALIFYING REQUIREMENTS FOR WORKERS.

(a) In General.--Subsection (a)(5)(A)(ii) of section 231 of the
Trade Act of 1974 (19 U.S.C. 2291) is amended--
(1) by striking subclauses (I) and (II) and inserting the
following:
``(I) in the case of a worker whose most
recent total separation from adversely affected
employment that meets the requirements of
paragraphs (1) and (2) occurs after the date on
which the Secretary issues a certification
covering the worker, the last day of the 26th
week after such total separation,
``(II) in the case of a worker whose most
recent total separation from adversely affected
employment that meets the requirements of
paragraphs (1) and (2) occurs before the date
on which the Secretary issues a certification
covering the worker, the last day of the 26th
week after the date of such certification,'';
and
(2) in subclause (III)--
(A) by striking ``later of the dates specified in
subclause (I) or (II)'' and inserting ``date specified
in subclause (I) or (II), as the case may be''; and
(B) by striking ``or'' at the end;
(3) by redesignating subclause (IV) as subclause (V); and
(4) by inserting after subclause (III) the following:
``(IV) the last day of such period that the
Secretary determines appropriate, if the
failure to enroll is due to the failure to
provide the worker with timely information
regarding the date specified in subclause (I)
or (II), as the case may be, or''.
(b) Waivers of Training Requirements.--Subsection (c) of such
section 231 is amended--
(1) in paragraph (1)(B)--
(A) by striking ``The worker possesses'' and
inserting
``(i) In general.--The worker possesses'';
(B) by moving the remaining text 2 ems to the
right; and
(C) by adding at the end the following:
``(ii) Marketable skills defined.--For
purposes of clause (i), the term `marketable
skills' may include the possession of a
postgraduate degree from an institution of
higher education (as defined in section 101(a)
of the Higher Education Act of 1965) or
equivalent institution, or the possession of an
equivalent postgraduate certification in a
specialized field.''; and
(2) in paragraph (3)--
(A) in subparagraph (A), by striking ``may
authorize'' and inserting ``shall authorize'';
(B) by redesignating subparagraph (B) as
subparagraph (C); and
(C) by inserting after subparagraph (A) the
following:
``(B) Duration of waivers.--A waiver issued under
paragraph (1) by a cooperating State shall be effective
for not more than 3 months after the date on which the
waiver is issued, except that the State, upon reviewing
the waiver, may extend the waiver for an additional
period of not more than 3 months if the State
determines that the waiver should be maintained.''.
(c) Determinations of Eligibility by State Employees Appointed on
Merit Basis.--Such section 231 is further amended by adding at the end
the following:
``(d) Determinations of Eligibility by State Employees Appointed on
Merit Basis.--All determinations of eligibility for trade readjustment
allowances under this part shall be made by employees of the State who
are appointed on a merit basis.''.
(d) Conforming Amendment.--Section 233 of the Trade Act of 1974 (19
U.S.C. 2293) is amended by striking subsection (b) and redesignating
subsections (c) through (g) as subsections (b) through (f),
respectively.

SEC. 122. WEEKLY AMOUNTS.

(a) In General.--Section 232 of the Trade Act of 1974 (19 U.S.C.
2292) is amended--
(1) in subsection (a)--
(A) by striking ``subsections (b) and (c)'' and
inserting ``subsections (b), (c), and (d)'';
(B) by striking ``total unemployment'' the first
place it appears and inserting ``unemployment''; and
(C) in paragraph (2), by adding at the end before
the period the following: ``, except that in the case
of an adversely affected worker who is participating in
full-time training under this chapter, such income
shall not include earnings from work for such week that
are equal to or less than the most recent weekly
benefit amount of the unemployment insurance payable to
the worker for a week of total unemployment preceding
the worker's first exhaustion of unemployment insurance
(as determined for purposes of section 231(a)(3)(B))'';
(2) by redesignating subsections (b) and (c) as subsections
(c) and (d), respectively; and
(3) by inserting after subsection (a) the following:
``(b)(1) Notwithstanding section 231(a)(3)(B), if an adversely
affected worker who is participating in training qualifies for
unemployment insurance under State law, based in whole or in part upon
part-time or short-term employment following approval of the worker's
initial trade readjustment allowance application under section 231(a),
then for any week for which unemployment insurance is payable and for
which the worker would otherwise be entitled to a trade readjustment
allowance based upon the certification under section 223, the worker
shall, in addition to any such unemployment insurance, be paid a trade
readjustment allowance in the amount described in paragraph (2).
``(2) The trade readjustment allowance payable under paragraph (1)
shall be equal to the weekly benefit amount of the unemployment
insurance upon which the worker's trade readjustment allowance was
initially determined under subsection (a), reduced by--
``(A) the amount of the unemployment insurance benefit
payable to such worker for that week of unemployment for which
a trade readjustment allowance is payable under paragraph (1);
and
``(B) the amounts described in paragraphs (1) and (2) of
subsection (a).''.
(b) Conforming Amendments.--Section 233 of the Trade Act of 1974
(19 U.S.C. 2293) is amended--
(1) in subsection (a)(1), by striking ``section 232(a)''
and inserting ``subsections (a) and (b) of section 232''; and
(2) in subsection (c), by striking ``section 232(b)'' and
inserting ``section 232(c)''.

SEC. 123. LIMITATIONS ON TRADE READJUSTMENT ALLOWANCES; ALLOWANCES FOR
EXTENDED TRAINING AND BREAKS IN TRAINING.

Section 233(a) of the Trade Act of 1974 (19 U.S.C. 2293(a)) is
amended--
(1) in paragraph (2), by inserting ``under paragraph (1)''
after ``trade readjustment allowance'';
(2) in paragraph (3)--
(A) in the matter preceding subparagraph (A)--
(i) by striking ``52 additional weeks'' and
inserting ``78 additional weeks''; and
(ii) by striking ``52-week'' and inserting
``91-week''; and
(B) in the matter following subparagraph (B), by
striking ``52-week'' and inserting ``91-week''.

SEC. 124. SPECIAL RULES FOR CALCULATION OF ELIGIBILITY PERIOD.

Section 233 of the Trade Act of 1974 (19 U.S.C. 2293) is amended by
adding at the end the following:
``(g) Special Rule for Calculating Separation.--Notwithstanding any
other provision of this chapter, any period during which a judicial or
administrative appeal is pending with respect to the denial by the
Secretary of a petition under section 223 shall not be counted for
purposes of calculating the period of separation under subsection
(a)(2) or for purposes of calculating time periods specified in section
231(a)(5)(A).
``(h) Special Rule for Justifiable Cause.--The Secretary may extend
the periods during which trade readjustment allowances are payable to
an adversely affected worker under paragraphs (2) and (3) of subsection
(a) and under subsection (f) (but not the maximum amounts of such
allowances that are payable under this section), and the periods
specified in section 231(a)(5)(A), if the Secretary determines that
there is justifiable cause for such an extension, such as the failure
to provide the worker with timely information, or justifiable breaks in
training that exceed the period allowable under subsection (e).''.

SEC. 125. APPLICATION OF STATE LAWS AND REGULATIONS ON GOOD CAUSE FOR
WAIVER OF TIME LIMITS OR LATE FILING OF CLAIMS.

Section 234 of the Trade Act of 1974 (19 U.S.C. 2294) is amended--
(1) by striking ``Except where inconsistent'' and inserting
``(a) In General.--Except where inconsistent''; and
(2) by adding at the end the following:
``(b) State Laws and Regulations on Good Cause for Waiver of Time
Limits or Late Filing of Claims.--Any law or regulation of a
cooperating State under section 239 that allows for a waiver for good
cause of any time limit, including a waiver for good cause to allow the
late filing of any claim, for trade readjustment allowances or other
adjustment assistance under this chapter shall, in the administration
of the program by the State under this chapter, apply to the applicable
time limitation referred to or specified in this chapter or any
regulation prescribed to carry out this chapter.''.

SEC. 126. EMPLOYMENT AND CASE MANAGEMENT SERVICES.

(a) In General.--Section 235 of the Trade Act of 1974 (19 U.S.C.
2295) is amended to read as follows:

``SEC. 235. EMPLOYMENT AND CASE MANAGEMENT SERVICES.

``The Secretary shall provide, directly or through agreements with
States under section 239, to adversely affected workers covered by a
certification under subchapter A of this chapter the following
employment and case management services:
``(1) Comprehensive and specialized assessment of skill
levels and service needs, including through--
``(A) diagnostic testing and use of other
assessment tools; and
``(B) in-depth interviewing and evaluation to
identify employment barriers and appropriate employment
goals.
``(2) Development of an individual employment plan to
identify employment goals and objectives, and appropriate
training to achieve those goals and objectives.
``(3) Information on training available in local and
regional areas, information on individual counseling to
determine which training is suitable training, and information
on how to apply for such training.
``(4) Information on how to apply for financial aid,
including referring workers to educational opportunity centers
under section 402F of the Higher Education Act of 1965, where
applicable, and notifying workers that the workers may ask
financial aid administrators at institutions of higher
education to allow use of their current year income in the
financial aid process.
``(5) Short-term prevocational services, including
development of learning skills, communications skills,
interviewing skills, punctuality, personal maintenance skills,
and professional conduct to prepare individuals for employment
or training.
``(6) Individual career counseling, including job search
and placement counseling, during the period in which the
individual is receiving a trade adjustment allowance or
training under this chapter, and for purposes of job placement
after receiving such training.
``(7) Provision of employment statistics information,
including the provision of accurate information relating to
local, regional, and national labor market areas, including--
``(A) job vacancy listings in such labor market
areas;
``(B) information on jobs skills necessary to
obtain jobs identified in job vacancy listings
described in subparagraph (A);
``(C) information relating to local occupations
that are in demand and earnings potential of such
occupations; and
``(D) skills requirements for local occupations
described in subparagraph (C).
``(8) Supportive services, including services relating to
child care, transportation, dependent care, housing assistance,
and need-related payments that are necessary to enable an
individual to participate in training.''.
(b) Clerical Amendment.--The item relating to section 235 in the
table of contents for title II of the Trade Act of 1974 is amended to
read as follows:

``235. Employment and case management services.''.

SEC. 127. TRAINING.

(a) In General.--Subsection (a)(1) of section 236 of the Trade Act
of 1974 (19 U.S.C. 2296) is amended by striking the last sentence.
(b) Funding.--Subsection (a)(2) of such section is amended--
(1) in subparagraph (A), to read as follows:
``(A) The total amount of payments that may be made under paragraph
(1) for each of the fiscal years 2008 and 2009 shall not exceed
$440,000,000. The total amount of payments that may be made under
paragraph (1) for fiscal year 2010 and each subsequent fiscal year
shall not exceed $660,000,000.''; and
(2) by striking subparagraph (B) and inserting the
following:
``(B) Not later than 120 days after the date of the enactment of
the Trade and Globalization Assistance Act of 2007, the Secretary shall
establish and implement procedures for the allocation among the States
in each fiscal year of funds available to pay the costs of training for
workers under this section. The Secretary shall, at least 60 days
before the date on which the procedures described in this subparagraph
are first implemented, consult with the Committee on Ways and Means of
the House of Representatives and the Committee on Finance of the Senate
with respect to such procedures.
``(C) In establishing and implementing the procedures under
subparagraph (B), the Secretary shall--
``(i) provide for at least 3 distributions of funds
available for training in the fiscal year, and, in the first
such distribution, disburse not more than 50 percent of the
total amount of funds available for training in that fiscal
year;
``(ii) consider using a broad range of factors for the
allocation of training funds distributed to States for each
fiscal year, including factors such as--
``(I) the number of workers certified under
sections 223 and 223A in the preceding fiscal year;
``(II) the total number of workers certified under
sections 223 and 223A that are enrolled in training
approved under this section;
``(III) the minimum level of funding necessary to
provide training approved under this section; and
``(IV) notifications under the Worker Adjustment
and Retraining Notification Act or other layoff
notifications;
``(iii) after the initial distribution of training funds to
States at the beginning of each fiscal year, provide for
subsequent distributions of training funds remaining, based on
the factors described in clause (ii) (but, in the case of the
factor described in subclause (I) of clause (ii), based on data
from the preceding 2 fiscal quarters) if a State requests the
distribution of the remaining funds;
``(iv) ensure that any final distribution of funds during a
fiscal year is made not later than July 1 of that fiscal year;
and
``(v) develop an explicit policy for re-capture and
redistribution of training funds, to the extent such re-capture
and redistribution of training funds is necessary.''.
(c) Determinations Regarding Training.--Subsection (a)(9) of such
section is amended--
(1) by striking ``The Secretary'' and inserting ``(A)
Subject to subparagraph (B), the Secretary''; and
(2) by adding at the end the following:
``(B)(i) In determining under paragraph (1)(E) whether a worker is
qualified to undertake and complete training, the Secretary may not
disallow training for a period longer than the worker's period of
eligibility for trade readjustment allowances under part I if the
worker demonstrates that the worker has sufficient financial resources
to complete the training after the expiration of the worker's period of
eligibility for such trade readjustment allowances.
``(ii) In determining the reasonable cost of training under
paragraph (1)(F) with respect to a worker, the Secretary may consider
whether other public or private funds are reasonably available to the
worker, except that the Secretary may not require a worker to obtain
such funds as a condition of approval of training under paragraph
(1).''.
(d) Determinations of Eligibility by State Employees Appointed on
Merit Basis.--Such section is further amended--
(1) by redesignating subsections (e) and (f) as subsections
(f) and (g), respectively; and
(2) by inserting after subsection (d) the following:
``(e) Determinations of Eligibility by State Employees Appointed on
Merit Basis.--All determinations of eligibility for training under this
section shall be made by employees of the State who are appointed on a
merit basis.''.
(e) GAO Study and Report.--
(1) Study.--The Comptroller General of the United States
shall conduct a study of the procedures for the allocation of
training funds for workers under subparagraphs (B) and (C) of
section 236(a)(2) of the Trade Act of 1974 (19 U.S.C. 2296), as
added by subsection (a) of this section, that are established
and implemented by the Secretary of Labor pursuant to such
section. In carrying out the study, the Comptroller General
shall examine the overall adequacy of funding for training for
workers by State and the effectiveness of the procedures for
allocating training funds between States and among workers.
(2) Reports.--
(A) Interim report.--The Comptroller General of the
United States shall submit to the Committee on Ways and
Means of the House of Representatives and the Committee
on Finance of the Senate an interim report that
contains the results of the study conducted under
paragraph (1) for the first fiscal year with respect to
which the procedures described in paragraph (1) are
implemented.
(B) Final report.--The Comptroller General of the
United States shall submit to the Committee on Ways and
Means of the House of Representatives and the Committee
on Finance of the Senate a final report that contains
the results of the study conducted under paragraph (1)
for the first three fiscal years with respect to which
the procedures described in paragraph (1) are
implemented.

SEC. 128. PREREQUISITE EDUCATION; APPROVED TRAINING PROGRAMS.

(a) In General.--Section 236(a)(5) of the Trade Act of 1974 (19
U.S.C. 2296(a)(5)) is amended--
(1) in subparagraph (A)--
(A) by striking ``and'' at the end of clause (i);
(B) by adding ``and'' at the end of clause (ii);
and
(C) by inserting after clause (ii) the following:
``(iii) apprenticeship programs registered under
the National Apprenticeship Act (29 U.S.C. 50 et
seq.),'';
(2) by redesignating subparagraphs (E) and (F) as
subparagraphs (F) and (G), respectively;
(3) by inserting after subparagraph (D) the following:
``(E) any program of prerequisite education or coursework
required to enroll in training that may be approved under this
section,'';
(4) in subparagraph (F)(ii), as redesignated by paragraph
(1), by striking ``and'' at the end;
(5) in subparagraph (G), as redesignated by paragraph (1),
by striking the period at the end and inserting ``, and''; and
(6) by adding at the end the following:
``(H) any training program or coursework at an accredited
institution of higher education (as defined in section 102 of
the Higher Education Act of 1965), including a training program
or coursework for the purpose of--
``(i) obtaining a degree or certification; or
``(ii) completing a degree or certification that
the worker had previously begun at an accredited
institution of higher education.
The Secretary may not limit approval of a training program under
paragraph (1) to a program provided pursuant to title I of the
Workforce Investment Act of 1998.''.
(b) Conforming Amendments.--Section 233 of the Trade Act of 1974
(19 U.S.C. 2293) is amended--
(1) in subsection (a)(2), by inserting ``prerequisite
education or'' after ``requires a program of''; and
(2) in subsection (f) (as redesignated by section 121(d) of
this Act), by inserting ``prerequisite education or'' after
``includes a program of''.

SEC. 129. ELIGIBILITY FOR UNEMPLOYMENT INSURANCE AND PROGRAM BENEFITS
WHILE IN TRAINING.

(a) In General.--Section 236(d) of the Trade Act of 1974 (19 U.S.C.
2296(d)) is amended to read as follows:
``(d) Eligibility.--A worker may not be determined to be ineligible
or disqualified for unemployment insurance or program benefits under
this subchapter--
``(1) because the worker--
``(A) is enrolled in training approved under
subsection (a); or
``(B) left work--
``(i) that was not suitable employment in
order to receive such training; or
``(ii) that the worker engaged in on a
temporary basis during a break in such training
or a delay in the commencement of such
training; or
``(2) because of the application to any such week in
training of the provisions of State law or Federal unemployment
insurance law relating to availability for work, active search
for work, or refusal to accept work.''.
(b) Definition.--Subchapter B of chapter 2 of title II of the Trade
Act of 1974 (19 U.S.C. 2291 et seq.) is amended--
(1) in section 233(d) (as redesignated by section 121(d) of
this Act), by inserting ``suitable'' before ``on-the-job
training''; and
(2) in section 236--
(A) by inserting ``suitable'' before ``on-the-job
training'' each place it appears; and
(B) by adding at the end the following:
``(h) Suitable On-the-Job Training.--For purposes of this section,
the term `suitable on-the-job training' means on-the-job training--
``(1) that can reasonably be expected to lead to suitable
employment;
``(2) that is compatible with the skills of the worker;
``(3) that--
``(A) involves a curriculum through which the
worker learns the skills necessary for the job for
which the worker is being trained; and
``(B) can be measured by benchmarks that indicate
that the worker is learning such skills; and
``(4) that is certified by the State as an on-the-job
training program that meets the requirements of paragraph
(3).''.

SEC. 130. ADMINISTRATIVE EXPENSES AND EMPLOYMENT AND CASE MANAGEMENT
SERVICES.

(a) In General.--Part II of subchapter B of chapter 2 of title II
of the Trade Act of 1974 (19 U.S.C. 2295 et seq.) is amended by
inserting after section 236 the following:

``SEC. 236A. ADDITIONAL PAYMENTS FOR ADMINISTRATIVE EXPENSES AND
EMPLOYMENT AND CASE MANAGEMENT SERVICES.

``(a) Administrative Expenses.--
``(1) In general.--The Secretary shall provide to each
State that receives a payment under section 236 for a fiscal
year an additional payment for such fiscal year in an amount
that is not less than 15 percent of the amount of the payment
under section 236.
``(2) Use of funds.--A State that receives an additional
payment under paragraph (1) shall use the payment for
administration of the trade adjustment assistance for workers
program under this chapter, including for--
``(A) processing of waivers of training
requirements under section 231;
``(B) collecting of data required under this
chapter; and
``(C) providing services under section 235.
``(3) Administration requirement.--Funds provided to a
State under this subsection for a fiscal year that are in
excess of the amount of funds provided to the State for
administration of the trade adjustment assistance for workers
program under this chapter for fiscal year 2007 may only be
administered by employees of the State who are appointed on a
merit basis.
``(b) Additional Funding for Employment and Case Management
Services.--
``(1) In general.--The Secretary shall provide to each
State that receives a payment under section 236 for a fiscal
year an additional payment for such fiscal year in an amount
that is not less than .06 percent of the total amount of
payments that may be made in that fiscal year as described in
section 236(a)(2).
``(2) Use of funds.--A State that receives an additional
payment under paragraph (1) shall use the payment for providing
services under section 235.
``(3) Administration requirement.--Funds provided to a
State under this subsection may only be administered by
employees of the State who are appointed on a merit basis.
``(c) Funding.--Funds provided to the States under this section
shall not be counted toward the limitation contained in section
236(a)(2)(A).''.
(b) Clerical Amendment.--The table of contents for title II of the
Trade Act of 1974 is amended by inserting after the item relating to
section 236 the following:

``Sec. 236A. Additional payments for administrative expenses and
employment and case management services.''.

SEC. 131. JOB SEARCH AND RELOCATION ALLOWANCES.

(a) Job Search Allowances.--Section 237 of the Trade Act of 1974
(19 U.S.C. 2297) is amended--
(1) in subsection (a)(2)(C)(ii), by striking ``, unless the
worker received a waiver under section 231(c)''; and
(2) in subsection (b)--
(A) in paragraph (1), by striking ``90 percent of
the cost of'' and inserting ``all''; and
(B) in paragraph (2), by striking ``$1,250'' and
inserting ``$1,500''.
(b) Relocation Allowances.--Section 238 of the Trade Act of 1974
(19 U.S.C. 2298) is amended--
(1) in subsection (a)(2)(E)(ii), by striking ``, unless the
worker received a waiver under section 231(c)''; and
(2) in subsection (b)--
(A) in paragraph (1), by striking ``90 percent of
the'' and inserting ``all''; and
(B) in paragraph (2), by striking ``$1,250'' and
inserting ``$1,500''.

Subtitle D--Health Care Provisions

SEC. 141. MODIFICATIONS RELATING HEALTH INSURANCE ASSISTANCE FOR
CERTAIN TAA AND PBGC PENSION RECIPIENTS.

(a) Increase in Credit Percentage Amount.--
(1) In general.--Subsection (a) of section 35 of the
Internal Revenue Code of 1986 is amended by striking ``65
percent'' and inserting ``85 percent''.
(2) Conforming amendment.--Subsection (b) of section 7527
of such Code is amended by striking ``65 percent'' and
inserting ``85 percent''.
(b) TAA Recipients Receiving Unemployment Compensation and Not
Enrolled in Training Program Eligible for Credit.--Paragraph (2) of
section 35(c) of such Code is amended to read as follows:
``(2) Eligible taa recipient.--The term `eligible TAA
recipient' means, with respect to any month, any individual
who--
``(A) is receiving for any day of such month a
trade readjustment allowance under chapter 2 of title
II of the Trade Act of 1974, or
``(B) who is receiving unemployment compensation
(as defined in section 85) for such month and who would
be eligible to receive such allowance for such month if
section 231 of such Act were applied without regard to
subsections (a)(3)(B) and (a)(5) thereof.
An individual shall continue to be treated as an eligible TAA
recipient during the first month that such individual would
otherwise cease to be an eligible TAA recipient by reason of
the preceding sentence.''.
(c) Eligibility for Eligible Individuals Made Retroactive to TAA-
Related Loss of Employment.--Subsection (c) of section 35 of such Code
is amended by adding at the end the following new paragraph:
``(5) Retroactive eligibility for taa recipients.--In the
case of any individual who is an eligible TAA recipient or
eligible alternative TAA recipient for any month, such
individual shall be treated as an eligible individual for any
month which precedes such month and which begins after the
later of--
``(A) the date of the separation from employment
which gives rise to such individual being an eligible
TAA recipient or eligible alternative TAA recipient, or
``(B) December 31, 2007.''.
(d) Continued Qualification of Family Members After Certain
Events.--
(1) In general.--Subsection (g) of section 35 of such Code
is amended by redesignating paragraph (9) as paragraph (10) and
inserting after paragraph (8) the following new paragraph:
``(9) Continued qualification of family members after
certain events.--
``(A) Medicare eligibility.--In the case of any
month which would be an eligible coverage month with
respect to an eligible individual but for subsection
(f)(2)(A), such month shall be treated as an eligible
coverage month with respect to such eligible individual
solely for purposes of determining the amount of the
credit under this section with respect to any
qualifying family members of such individual (and any
advance payment of such credit under section 7527).
This subparagraph shall only apply with respect to the
first 36 months after such eligible individual is first
entitled to the benefits described in subsection
(f)(2)(A).
``(B) Divorce.--In the case of the finalization of
a divorce between an eligible individual and such
individual's spouse, such spouse shall be treated as an
eligible individual for purposes of this section and
section 7527 for a period of 36 months beginning with
the date of such finalization, except that the only
qualifying family members who may be taken into account
with respect to such spouse are those individuals who
were qualifying family members immediately before such
finalization.
``(C) Death.--In the case of the death of an
eligible individual--
``(i) any spouse of such individual
(determined at the time of such death) shall be
treated as an eligible individual for purposes
of this section and section 7527 for a period
of 36 months beginning with the date of such
death, except that the only qualifying family
members who may be taken into account with
respect to such spouse are those individuals
who were qualifying family members immediately
before such death, and
``(ii) any individual who was a qualifying
family member of the decedent immediately
before such death (or, in the case of an
individual to whom paragraph (4) applies, the
taxpayer to whom the deduction under section
151 is allowable) shall be treated as an
eligible individual for purposes of this
section and section 7527 for a period of 36
months beginning with the date of such death,
except that in determining the amount of such
credit only such qualifying family member may
be taken into account.''.
(2) Conforming amendment.--Section 173(f) of the Workforce
Investment Act of 1998 (29 U.S.C. 2918(f)) is amended by adding
at the end the following:
``(8) Continued qualification of family members after
certain events.--
``(A) Medicare eligibility.--In the case of any
month which would be an eligible coverage month with
respect to an eligible individual but for paragraph
(7)(B)(i), such month shall be treated as an eligible
coverage month with respect to such eligible individual
solely for purposes of determining the eligibility of
qualifying family members of such individual under this
subsection. This subparagraph shall only apply with
respect to the first 36 months after such eligible
individual is first entitled to the benefits described
in paragraph (7)(B)(i).
``(B) Divorce.--In the case of the finalization of
a divorce between an eligible individual and such
individual's spouse, such spouse shall be treated as an
eligible individual for purposes of this subsection for
a period of 36 months beginning with the date of such
finalization, except that the only qualifying family
members who may be taken into account with respect to
such spouse are those individuals who were qualifying
family members immediately before such finalization.
``(C) Death.--In the case of the death of an
eligible individual--
``(i) any spouse of such individual
(determined at the time of such death) shall be
treated as an eligible individual for purposes
of this subsection for a period of 36 months
beginning with the date of such death, except
that the only qualifying family members who may
be taken into account with respect to such
spouse are those individuals who were
qualifying family members immediately before
such death, and
``(ii) any individual who was a qualifying
family member of the decedent immediately
before such death shall be treated as an
eligible individual for purposes this
subsection for a period of 36 months beginning
with the date of such death, except that no
qualifying family members may be taken into
account with respect to such individual.''.
(e) Modification of Creditable Coverage Requirement.--
(1) In general.--Subparagraph (B) of section 35(e)(2) of
such Code is amended to read as follows:
``(B) Qualifying individual.--For purposes of this
paragraph, the term `qualifying individual' means an
eligible individual and the qualifying family members
of such individual if such individual meets the
requirements of clauses (iii) and (iv) of subsection
(b)(1)(A) and--
``(i) in the case of an eligible TAA
recipient or an eligible alternative TAA
recipient, has (as of the date on which the
individual seeks to enroll in the coverage
described in subparagraphs (B) through (H) of
paragraph (1)) a period of creditable coverage
(as defined in section 9801(c)), or
``(ii) in the case of an eligible PBGC
pension recipient, enrolls in such coverage
during the 90-day period beginning on the later
of--
``(I) the last day of the first
month with respect to which such
recipient becomes an eligible PBGC
pension recipient, or
``(II) the date of the enactment of
this subparagraph.''.
(2) Conforming amendment.--Clause (ii) of section
172(f)(2)(B) of the Workforce Investment Act of 1998 (29 U.S.C.
2918(f)(2)(B)) is amended to read as follows:
``(ii) Qualifying individual.--For purposes
of this subparagraph, the term `qualifying
individual' means an eligible individual and
the qualifying family members of such
individual if such individual meets the
requirements of clauses (iii) and (iv) of
section 35(b)(1)(A) of the Internal Revenue
Code of 1986 and--
``(I) in the case of an eligible
TAA recipient or an eligible
alternative TAA recipient, has (as of
the date on which the individual seeks
to enroll in the coverage described in
clauses (ii) through (viii) of
subparagraph (A)) a period of
creditable coverage (as defined in
section 9801(c) of such Code), or
``(II) in the case of an eligible
PBGC pension recipient, enrolls in such
coverage during the 90-day period
beginning on the later of--
``(aa) the last day of the
first month with respect to
which such recipient becomes an
eligible PBGC pension
recipient, or
``(bb) the date of the
enactment of this clause.''.
(3) Outreach.--The Secretary of the Treasury shall carry
out a program to notify individuals prior to their becoming
eligible PBGC pension recipients (as defined in section 35 of
the Internal Revenue Code of 1986) of the requirement of
subsection (e)(2)(B)(ii) of such section, as added by this
subsection.
(f) TAA Pre-Certification Period Rule for Purposes of Determining
Whether There Is a 63-Day Lapse in Creditable Coverage.--
(1) IRC amendment.--Section 9801(c)(2) of the Internal
Revenue Code of 1986 (relating to not counting periods before
significant breaks in creditable coverage) is amended by adding
at the end the following new subparagraph:
``(D) TAA-eligible individuals.--
``(i) TAA pre-certification period rule.--
In the case of a TAA-eligible individual, the
period beginning on the date the individual has
a TAA-related loss of coverage and ending on
the date which is 5 days after the postmark
date of the notice by the Secretary (or by any
person or entity designated by the Secretary)
that the individual is eligible for a qualified
health insurance costs credit eligibility
certificate for purposes of section 7527 shall
not be taken into account in determining the
continuous period under subparagraph (A).
``(ii) Definitions.--The terms `TAA-
eligible individual', and `TAA-related loss of
coverage' have the meanings given such terms in
section 4980B(f)(5)(C)(iv).''.
(2) ERISA amendment.--Section 701(c)(2) of the Employee
Retirement Income Security Act of 1974 (29 U.S.C. 1181(c)(2))
is amended by adding at the end the following new subparagraph:
``(C) TAA-eligible individuals.--
``(i) TAA pre-certification period rule.--
In the case of a TAA-eligible individual, the
period beginning on the date the individual has
a TAA-related loss of coverage and ending on
the date that is 5 days after the postmark date
of the notice by the Secretary (or by any
person or entity designated by the Secretary)
that the individual is eligible for a qualified
health insurance costs credit eligibility
certificate for purposes of section 7527 of the
Internal Revenue Code of 1986 shall not be
taken into account in determining the
continuous period under subparagraph (A).
``(ii) Definitions.--The terms `TAA-
eligible individual', and `TAA-related loss of
coverage' have the meanings given such terms in
section 605(b)(4)(c).''.
(3) PHSA amendment.--Section 2701(c)(2) of the Public
Health Service Act (42 U.S.C. 300gg(c)(2)) is amended by adding
at the end the following new subparagraph:
``(C) TAA-eligible individuals.--
``(i) TAA pre-certification period rule.--
In the case of a TAA-eligible individual, the
period beginning on the date the individual has
a TAA-related loss of coverage and ending on
the date that is 5 days after the postmark date
of the notice by the Secretary (or by any
person or entity designated by the Secretary)
that the individual is eligible for a qualified
health insurance costs credit eligibility
certificate for purposes of section 7527 of the
Internal Revenue Code of 1986 shall not be
taken into account in determining the
continuous period under subparagraph (A).
``(ii) Definitions.--The terms `TAA-
eligible individual', and `TAA-related loss of
coverage' have the meanings given such terms in
section 2205(b)(4)(c).''.
(g) Rating System Requirement for Certain State-Based Coverage.--
(1) In general.--Subparagraph (A) of section 35(e)(2) of
such Code is amended by adding at the end the following new
clause:
``(v) Rating system requirement.--In the
case of coverage described in paragraph
(1)(F)(ii), the premiums for such coverage are
restricted, based on a community rating system
with respect to eligible individuals and their
qualifying family members, or based on a rate-
band system under which the maximum rate which
may be charged does not exceed 150 percent of
the standard rate with respect to eligible
individuals and their qualifying family
members.''.
(2) Conforming amendment.--Clause (i) of section
173(f)(2)(B) of the Workforce Investment Act of 1998 (29 U.S.C.
2918(f)(2)(B)) is amended by adding at the end the following
new subclause:
``(V) Rating system requirement.--
In the case of coverage described in
subparagraph (A)(vi)(II), the premiums
for such coverage are restricted, based
on a community rating system with
respect to eligible individuals and
their qualifying family members, or
based on a rate-band system under which
the maximum rate which may be charged
does not exceed 150 percent of the
standard rate with respect to eligible
individuals and their qualifying family
members.''.
(h) Termination of Program.--
(1) In general.--Section 35 of such Code is amended by
adding at the end the following new subsection:
``(h) Termination.--An individual shall not be treated as an
eligible individual for purposes of this section or section 7527 for
any month beginning after December 31, 2009, unless such individual was
an eligible individual for a continuous period of months ending with
such month and beginning before such date.''.
(2) Conforming amendment.--Subsection (f) of section 173 of
the Workforce Investment Act of 1998 (29 U.S.C. 2918) is
amended by adding at the end the following new paragraph:
``(8) Termination.--An individual shall not be treated as
an eligible individual for purposes of this subsection for any
month beginning after December 31, 2009, unless such individual
was an eligible individual for a continuous period of months
ending with such month and beginning before such date.''.
(i) Effective Date.--
(1) In general.--Except as otherwise provided in this
subsection, the amendments made by this section shall apply to
months beginning after December 31, 2007, in taxable years
ending after such date.
(2) Rating system requirement.--The amendments made by
subsection (g) shall apply to months beginning after March 31,
2008, in taxable years ending after such date.
(3) Discretion to delay effective date for purposes of
advance payment program.--Solely for purposes of carrying out
the advance payment program under section 7527, the Secretary
may provide that one or more amendments made by subsections
(b), (c), and (d) shall not apply to one or more months
beginning before March 31, 2008, to the extent that the
Secretary determines that such delay is necessary to properly
implement any such amendment as part of such program.
(j) GAO Study and Report.--
(1) Study.--The Comptroller General of the United States
shall conduct a study regarding the health insurance tax credit
allowed under section 35 of the Internal Revenue Code of 1986.
(2) Report.--Not later than March 1, 2009, the Comptroller
General shall submit a report to Congress regarding the results
of the study conducted under paragraph (1). Such report shall
include an analysis of--
(A) the administrative costs--
(i) of the Federal Government with respect
to such credit and the advance payment of such
credit under section 7527 of such Code, and
(ii) of providers of qualified health
insurance with respect to providing such
insurance to eligible individuals and their
qualifying family members,
(B) the health status and relative risk status of
eligible individuals and qualifying family members
covered under such insurance,
(C) participation in such credit and the advance
payment of such credit by eligible individuals and
their qualifying family members, including the reasons
why such individuals did or did not participate and the
effect of the amendments made by this section on such
participation, and
(D) the extent to which eligible individuals and
their qualifying family members--
(i) obtained health insurance other than
qualifying health insurance, or
(ii) went without health insurance
coverage.
(3) Access to records.--For purposes of conducting the
study required under this subsection, the Comptroller General
and any of his duly authorized representatives shall have
access to, and the right to examine and copy, all documents,
records, and other recorded information--
(A) within the possession or control of providers
of qualified health insurance, and
(B) determined by the Comptroller General (or any
such representative) to be relevant to the study.
The Comptroller General shall not disclose the identity of any
provider of qualified health insurance or any eligible
individual in making any information obtained under this
section available to the public.
(4) Definitions.--Any term which is defined in section 35
of the Internal Revenue Code of 1986 shall have the same
meaning when used in this subsection.

SEC. 142. EXTENSION OF COBRA BENEFITS FOR CERTAIN TAA-ELIGIBLE
INDIVIDUALS AND PBGC RECIPIENTS.

(a) ERISA Amendments.--Section 602(2)(A) of the Employee Retirement
Income Security Act of 1974 (29 U.S.C. 1162(2)(A)) is amended--
(1) by moving clause (v) to after clause (iv) and before
the flush left sentence beginning with ``In the case of a
qualified beneficiary'';
(2) by striking ``In the case of a qualified beneficiary''
and inserting the following:
``(vi) Special rule for disability.--In the
case of a qualified beneficiary''; and
(3) by redesignating clauses (v) and (vi), as amended by
paragraphs (1) and (2), as clauses (viii) and (ix) and by
inserting after clause (iv) the following new clauses:
``(v) Special rule for pbgc recipients.--In
the case of a qualifying event described in
section 603(2) with respect to a covered
employee who (as of such qualifying event) has
a nonforeitable right to a benefit any portion
of which is to be paid by the Pension Benefit
Guaranty Corporation under title IV,
notwithstanding clause (i) or (ii), the date of
the death of the covered employee, or in the
case of the surviving spouse or dependent
children of the covered employee, 36 months
after the date of the death of the covered
employee.
``(vi) Special rule for taa-eligible
individuals.--In the case of a qualifying event
described in section 603(2) with respect to a
covered employee who is (as of the date that
the period of coverage would, but for this
clause or clause (vii), otherwise terminate
under clause (i) or (ii)) a TAA-eligible
individual (as defined in section
605(b)(4)(B)), the period of coverage shall not
terminate by reason of clause (i) or (ii), as
the case may be, before the later of the date
specified in such clause or the date on which
such individual ceases to be such a TAA-
eligible individual.
``(vii) Special rule for certain taa-
eligible individuals.--In the case of a
qualifying event described in section 603(2)
with respect to a covered employee who is (as
of the date that the period of coverage would,
but for this clause or clause (vi), otherwise
terminate under clause (i) or (ii)) a TAA-
eligible individual (as defined in section
605(b)(4)(B)) and who (as of such qualifying
event) has attainted age 55 or has completed 10
or more years of service with the employer,
clauses (i) and (ii) shall not apply.''.
(b) IRC Amendments.--Clause (i) of section 4980B(f)(2)(B) of the
Internal Revenue Code of 1986 is amended--
(1) by striking ``In the case of a qualified beneficiary''
and inserting the following:
``(VI) Special rule for
disability.--In the case of a qualified
beneficiary'', and
(2) by redesignating subclauses (V) and (VI), as amended by
paragraph (1), as subclauses (VIII) and (IX) and by inserting
after clause (IV) the following new subclauses:
``(V) Special rule for pbgc
recipients.--In the case of a
qualifying event described in paragraph
(3)(B) with respect to a covered
employee who (as of such qualifying
event) has a nonforeitable right to a
benefit any portion of which is to be
paid by the Pension Benefit Guaranty
Corporation under title IV of the
Employee Retirement Income Security Act
of 1974, notwithstanding subclause (I)
or (II), the date of the death of the
covered employee, or in the case of the
surviving spouse or dependent children
of the covered employee, 36 months
after the date of the death of the
covered employee.
``(VI) Special rule for taa-
eligible individuals.--In the case of a
qualifying event described in paragraph
(3)(B) with respect to a covered
employee who is (as of the date that
the period of coverage would, but for
this subclause or subclause (VII),
otherwise terminate under subclause (I)
or (II)) a TAA-eligible individual (as
defined in paragraph (5)(C)(iv)(II)),
the period of coverage shall not
terminate by reason of subclause (I) or
(II), as the case may be, before the
later of the date specified in such
subclause or the date on which such
individual ceases to be such a TAA-
eligible individual.
``(VII) Special rule for certain
taa-eligible individuals.--In the case
of a qualifying event described in
paragraph (3)(B) with respect to a
covered employee who is (as of the date
that the period of coverage would, but
for this subclause or subclause (VI),
otherwise terminate under subclause (I)
or (II)) a TAA-eligible individual (as
defined in paragraph (5)(C)(iv)(II))
and who (as of such qualifying event)
has attainted age 55 or has completed
10 or more years of service with the
employer, subclauses (I) and (II) shall
not apply.''.
(c) PHSA Amendments.--Section 2202(2)(A) of the Public Health
Service Act (42 U.S.C. 300bb-2(2)(A)) is amended--
(1) by striking ``In the case of a qualified beneficiary''
and inserting the following:
``(v) Special rule for disability.--In the
case of a qualified beneficiary''; and
(2) by redesignating clauses (iv) and (v), as amended by
paragraph (1), as clauses (vi) and (vii) and by inserting after
clause (iii) the following new clauses:
``(iv) Special rule for taa-eligible
individuals.--In the case of a qualifying event
described in section 2203(2) with respect to a
covered employee who is (as of the date that
the period of coverage would, but for this
clause or clause (v), otherwise terminate under
clause (i) or (ii)) a TAA-eligible individual
(as defined in section 2205(b)(4)(B)), the
period of coverage shall not terminate by
reason of clause (i) or (ii), as the case may
be, before the later of the date specified in
such clause or the date on which such
individual ceases to be such a TAA-eligible
individual.
``(v) Special rule for certain taa-eligible
individuals.--In the case of a qualifying event
described in section 2203(2) with respect to a
covered employee who is (as of the date that
the period of coverage would, but for this
clause or clause (iv), otherwise terminate
under clause (i) or (ii)) a TAA-eligible
individual (as defined in section
2205(b)(4)(B)) and who (as of such qualifying
event) has attainted age 55 or has completed 10
or more years of service with the employer,
clauses (i) and (ii) shall not apply.''.
(d) Effective Date.--The amendments made by this section shall
apply to periods of coverage which would (without regard to the
amendments made by this section) end on or after January 1, 2008.

Subtitle E--Wage Insurance

SEC. 151. REEMPLOYMENT TRADE ADJUSTMENT ASSISTANCE PROGRAM FOR OLDER
WORKERS.

(a) In General.--Section 246 of the Trade Act of 1974 (19 U.S.C.
2318) is amended--
(1) by amending the heading to read as follows:
``reemployment trade adjustment assistance'';
(2) in subsection (a)--
(A) in paragraph (1), by striking ``alternative''
and inserting ``reemployment'';
(B) in paragraph (2)(A), by striking ``for a period
not to exceed 2 years'' and inserting ``for the
eligibility period under paragraph (3)(C)''; and
(C) by striking paragraphs (3) through (5) and
inserting the following:
``(3) Eligibility.--
``(A) In general.--A group of workers certified
under subchapter A as eligible for adjustment
assistance under subchapter A is eligible for benefits
described in paragraph (2) under the program
established under paragraph (1).
``(B) Individual eligibility.--A worker in a group
of workers described in subparagraph (A) may elect to
receive benefits described in paragraph (2) under the
program established under paragraph (1) if the worker--
``(i) is at least 50 years of age;
``(ii) earns not more than $60,000 each
year in wages from reemployment;
``(iii)(I) is employed on a full-time basis
as defined by State law in the State in which
the worker is employed; or
``(II) is employed at least 20 hours per
week and is enrolled in training approved under
section 236; and
``(iv) is not employed at the firm from
which the worker was separated.
In the case of a worker described in clause (iii)(II),
the percentage referred to in paragraph (2)(A) shall be
deemed to be a percentage equal to \1/2\ of the ratio
of weekly hours of employment referred to in clause
(iii)(II) to weekly hours of employment of that worker
at the time of separation (but not more than 50
percent).
``(C) Eligibility period for payments.--A worker in
a group of workers described in subparagraph (A) may
receive payments described in paragraph (2)(A) under
the program established under paragraph (1) for a
period not to exceed 2 years from the date on which the
worker exhausts all rights to unemployment insurance
based on the separation of the worker from adversely
affected employment or the date on which the worker
obtains reemployment, whichever is earlier.
``(D) Training and other services.--A worker
described in subparagraph (B) shall be eligible to
receive training approved under section 236 and
services under section 235.
``(4) Total amount of payments.--The payments described in
paragraph (2)(A) made to a worker may not exceed $12,000 per
worker during the eligibility period under paragraph (3)(C).
``(5) Limitation on other benefits.--A worker described in
paragraph (3) may not receive a trade readjustment allowance
under part I of subchapter B during any week for which the
worker receives a payment described in paragraph (2)(A).''; and
(3) in subsection (b)(2), by striking ``subsection
(a)(3)(B)'' and inserting ``subsection (a)(3)''.
(b) Extension of Program.--Subsection (b)(1) of such section is
amended by striking ``5'' and inserting ``10''.
(c) Clerical Amendment.--The table of contents for title II of the
Trade Act of 1974 is amended by striking the item relating to section
246 and inserting the following:

``Sec. 246. Reemployment trade adjustment assistance program.''.

Subtitle F--Other Matters

SEC. 161. RESTRICTION ON ELIGIBILITY FOR PROGRAM BENEFITS.

(a) In General.--Subchapter A of chapter 2 of title II of the Trade
Act of 1974 (19 U.S.C. 2271 et seq.) is amended by adding at the end
the following new section:

``SEC. 226. RESTRICTION ON ELIGIBILITY FOR PROGRAM BENEFITS.

``No benefit allowances, training, or other employment services may
be provided under this chapter to a worker who is an alien unless the
alien is an individual lawfully admitted for permanent residence to the
United States, is lawfully present in the United States, or is
permanently residing in the United States under color of law.''.
(b) Conforming Amendment.--The table of contents of the Trade Act
of 1974 is amended by adding after the item relating to section 225 the
following:

``226. Restriction on eligibility for program benefits.''.

SEC. 162. AGREEMENTS WITH STATES.

(a) In General.--Subsection (a) of section 239 of the Trade Act of
1974 (19 U.S.C. 2311) is amended--
(1) by striking ``will'' each place it appears and
inserting ``shall''; and
(2) in clause (2), to read as follows: ``(2) in accordance
with subsection (f), shall provide adversely affected workers
covered by a certification under subchapter A the employment
and case management services described in section 235''.
(b) Outreach.--Subsection (f) of such section is amended--
(1) in paragraph (3), by striking ``and'' at the end;
(2) by striking paragraph (4) and inserting the following:
``(4) perform outreach, intake (which may include worker
profiling) and orientation for assistance and benefits
available under this chapter for adversely affected workers
covered by a certification under subchapter A of this chapter,
and''; and
(3) by adding at the end the following:
``(5) provide adversely affected workers covered by a
certification under subchapter A of this chapter with
employment and case management services described in section
235.''.

SEC. 163. FRAUD AND RECOVERY OF OVERPAYMENTS.

Section 243(a)(1) of the Trade Act of 1974 (19 U.S.C. 2315(a)(1))
is amended--
(1) in the matter preceding subparagraph (A)--
(A) by striking ``may waive'' and inserting ``shall
waive''; and
(B) by striking ``, in accordance with guidelines
prescribed by the Secretary,''; and
(2) in subparagraph (B), by striking ``would be contrary to
equity and good conscience'' and inserting ``would cause a
financial hardship for the individual (or the individual's
household, if applicable) when taking into consideration the
income and resources reasonably available to the individual (or
household) and other ordinary living expenses of the individual
(or household)''.

SEC. 164. TECHNICAL AMENDMENTS.

(a) In General.--Section 249 of the Trade Act of 1974 (19 U.S.C.
2321) is amended--
(1) in the heading, by striking ``subpena'' and inserting
``subpoena''; and
(2) in the text, by striking ``subpena'' and inserting
``subpoena'' each place it appears.
(b) Clerical Amendment.--The item relating to section 249 in the
table of contents for title II of the Trade Act of 1974 is amended to
read as follows:

``249. Subpoena power.''.

SEC. 165. OFFICE OF TRADE ADJUSTMENT ASSISTANCE; DEPUTY ASSISTANT
SECRETARY FOR TRADE ADJUSTMENT ASSISTANCE.

(a) In General.--Subchapter C of chapter 2 of title II of the Trade
Act of 1974 (19 U.S.C. 2311 et seq.) is amended by adding at the end
the following:

``SEC. 250. OFFICE OF TRADE ADJUSTMENT ASSISTANCE; DEPUTY ASSISTANT
SECRETARY FOR TRADE ADJUSTMENT ASSISTANCE.

``(a) Establishment.--There is established in the Department of
Labor an office to be known as the Office of Trade Adjustment
Assistance (hereinafter in this section referred to as the `Office').
``(b) Head of Office.--The head of the Office shall be the Deputy
Assistant Secretary for Trade Adjustment Assistance (hereinafter in
this section referred to as the `Deputy Assistant Secretary'), who
shall be appointed by the President, by and with the advice and consent
of the Senate.
``(c) Principle Functions.--The principle functions of the Deputy
Assistant Secretary shall be--
``(1) to oversee and implement the administration of trade
adjustment assistance for workers under this chapter; and
``(2) to carry out functions delegated to the Secretary of
Labor under this chapter, including--
``(A) making determinations under section 223 or
223A;
``(B) providing information about the program and
assisting groups of workers and other parties to
prepare petitions or applications for program benefits
under section 225;
``(C) ensuring workers covered by a certification
receive the employment services described in section
235;
``(D) ensuring States fully comply with agreements
under section 239;
``(E) acting as a vigorous advocate for workers
applying for assistance under this chapter;
``(F) receiving complaints, grievances, and
requests for assistance from workers under this
chapter;
``(G) establishing and overseeing a hotline that
workers, employers, and other entities may call to
obtain information regarding eligibility criteria,
procedural requirements, and benefits available under
this chapter; and
``(H) carrying out such other duties with respect
to this chapter as the President may specify for
purposes of this section.''.
(b) Clerical Amendment.--The table of contents for title II of the
Trade Act of 1974 is amended by inserting after the item relating to
section 249 the following:

``Sec. 250. Office of Trade Adjustment Assistance; Deputy Assistant
Secretary for Trade Adjustment
Assistance.''.

SEC. 166. COLLECTION OF DATA AND REPORTS; INFORMATION TO WORKERS.

(a) In General.--Subchapter C of chapter 2 of title II of the Trade
Act of 1974 (19 U.S.C. 2311 et seq.) is amended by adding at the end
the following:

``SEC. 250A. COLLECTION OF DATA AND REPORTS; INFORMATION TO WORKERS.

``(a) In General.--Not later than 90 days after the date of the
enactment of the Trade and Globalization Assistance Act of 2007, the
Secretary shall implement a system to collect and publicly disseminate
data on all adversely affected workers who apply for or receive
adjustment assistance under this chapter.
``(b) Data To Be Included.--The system required under subsection
(a) shall include collection of the following data classified by State,
industry, and nationwide totals:
``(1) The number of petitions and number of workers covered
by petitions filed, certified and denied.
``(2) The date of filing of each petition and the date of
the determination, and the average processing time, by year, on
petitions.
``(3) A breakdown, by the claimed cause of dislocation, of
petitions denied, such as increased imports, shift in
production, and other bases for eligibility.
``(4) A breakdown of the number of certified petitions by
the cause of dislocation, such as increase in imports, shift in
production, and other causes of eligibility for adjustment
assistance.
``(5) The number of workers participating in any aspect of
the adjustment assistance program under this chapter.
``(6) Reemployment rates and sectors in which dislocated
workers have been employed after receiving adjustment
assistance under this chapter.
``(7) The type of adjustment assistance received under this
chapter, such as training or education assistance, reemployment
adjustment assistance, cash benefits, health coverage, and
relocation allowances, the number of workers receiving each
type of assistance, and the average duration of time workers
receive each type of assistance.
``(8) The fields of training or education in which workers
receiving training or education benefits under this chapter are
enrolled, the number of workers participating in each field,
classified by major types of training or education.
``(9) The number of workers leaving training before
completing a course of training or education, classified by the
cause for early termination.
``(10) The number of training waivers granted, classified
by type of waiver.
``(11) The wages of workers before separation and any job
obtained after receiving benefits under the trade adjustment
assistance program under this chapter.
``(12) The average duration of training that was completed.
``(c) Collection of Data From States.--The Secretary is authorized
to collect such data from the States as is necessary to carry out this
section.
``(d) Report.--Not later than 16 months after the date of the
enactment of the Trade and Globalization Assistance Act of 2007, and
annually thereafter, the Secretary shall submit to the Committee on
Ways and Means of the House of Representatives, the Committee on
Finance of the Senate, and any other congressional committee of
appropriate jurisdiction, a report on whether changes to eligibility
requirements, benefits, or training funding under the trade adjustment
assistance program under this chapter should be made based on the data
collected under subsection (b).
``(e) Availability on Website of the Department of Labor.--The
Secretary shall make the data collected under subsection (b) publicly
available on the website of the Department of Labor, in a searchable
format, and shall update the data quarterly.''.
(b) Clerical Amendment.--The table of contents for title II of the
Trade Act of 1974 is amended by inserting after the item relating to
section 250 (as added by section 163(b) of this Act) the following:

``Sec. 250A. Collection of data and reports; information to workers.''.

SEC. 167. EXTENSION OF TAA PROGRAM.

(a) For Workers.--Section 245(a) of the Trade Act of 1974 (19
U.S.C. 2317(a)) is amended by striking ``December 31, 2007'' and
inserting ``September 30, 2012''.
(b) Termination.--Section 285 of the Trade Act of 1974 (19 U.S.C.
2271 note) is amended by striking ``December 31, 2007'' each place it
appears and inserting ``September 30, 2012''.
(c) For Farmers.--Section 298(a) of the Trade Act of 1974 (19
U.S.C. 2401g(a)) is amended by adding at the end the following: ``There
are authorized to be appropriated to the Department of Agriculture not
to exceed $81,000,000 for the 9-month period beginning on January 1,
2008, and $90,000,000 for each of the fiscal years 2009 through 2012 to
carry out the purposes of this chapter.''.

SEC. 168. JUDICIAL REVIEW.

Section 284 of the Trade Act of 1974 (19 U.S.C. 2395) is amended--
(1) in subsection (a)--
(A) by inserting ``or 223A'' after ``223''; and
(B) by striking ``271'' and inserting ``273'';
(2) by amending subsection (b) to read as follows:
``(b) Standard of Review.--The Court of International Trade shall
have jurisdiction to review the case as provided in section 706 of
title 5, Untied States Code. The findings of fact by the Secretary of
Labor, the Secretary of Commerce, or the Secretary of Agriculture, as
the case may be, must be supported by substantial evidence and must be
based on a reasonable investigation. The Court of International Trade
may--
``(1) remand the case to such Secretary to take further
evidence; or
``(2) reverse the action of such Secretary.
If the case is remanded under paragraph (1), the Secretary concerned
may make new or modified findings of fact and may modify the
Secretary's previous action, and shall certify to the court the record
of the further proceedings. The new or modified findings of fact must
be supported by substantial evidence and must be based on a reasonable
investigation.''; and
(3) in subsection (c), by striking the first sentence.

SEC. 169. LIBERAL CONSTRUCTION OF CERTIFICATION OF WORKERS AND FIRMS.

(a) In General.--Chapter 5 of title II of the Trade Act of 1974 (19
U.S.C. 2391 et seq.) is amended by adding at the end the following:

``SEC. 288. LIBERAL CONSTRUCTION OF CERTIFICATION OF WORKERS AND FIRMS.

``The provisions of chapter 2 (relating to adjustment assistance
for workers) and the provisions of chapter 3 (relating to adjustment
assistance for firms) shall be liberally construed in favor of
certifying workers for assistance under such chapter 2 and certifying
firms for assistance under such chapter 3.''.
(b) Clerical Amendment.--The table of contents for title II of the
Trade Act of 1974 is amended by inserting after the item relating to
section 287 the following:

``Sec. 288. Liberal construction of certification of workers and
firms.''.

TITLE II--TRADE ADJUSTMENT ASSISTANCE FOR FIRMS

SEC. 201. TRADE ADJUSTMENT ASSISTANCE FOR FIRMS.

(a) In General.--Section 251 of the Trade Act of 1974 (19 U.S.C.
2341) is amended--
(1) in subsection (a), by inserting ``or service sector
firm'' after ``(including any agricultural firm'';
(2) in subsection (c)--
(A) in paragraph (1)--
(i) in the matter preceding subparagraph
(A), by inserting ``or service sector firm''
after ``any agricultural firm''; and
(ii) in subparagraph (B)--
(I) in clause (i), by striking ``,
or'' and inserting a comma;
(II) in clause (ii)--
(aa) by inserting ``or
service'' after ``of an
article''; and
(bb) by striking ``, and''
and inserting a comma; and
(III) by adding at the end the
following:
``(iii) sales or production, or both, of
the firm, during the period consisting of not
more than 36 months preceding the most recent
12-month period for which data are available,
have decreased absolutely, or
``(iv) sales or production, or both, of an
article or service that accounted for not less
than 25 percent of the total production or
sales of the firm during the 36-month period
preceding the most recent 12-month period for
which data are available have decreased
absolutely, and''; and
(B) in the matter preceding subparagraph (A) of
paragraph (2), by striking ``paragraph (1)(C)--'' and
inserting ``paragraph (1)(C):''; and
(3) by adding at the end the following:
``(e) Basis for the Determination of the Secretary.--
``(1) Increased imports.--For purposes of subsection
(c)(1)(C), the Secretary--
``(A) may use data from any of the preceding three
calendar years to determine if the requirements of such
subsection have been met;
``(B) may determine that increases of imports of
like or directly competitive articles or services exist
if customers accounting for a significant percentage of
the decrease in the sales of the firm certify to the
Secretary that such customers are obtaining such
articles or services from a foreign country; and
``(C) may, in determining whether increased imports
of like or directly competitive articles or services
exist, give special consideration to whether it is
difficult to demonstrate an increase of such imports if
the share of such imports relative to production or
consumption in the United States of the article
produced or service provided by the firm concerned is
already significant.
``(2) Process and methods for obtaining certifications.--
``(A) Request by petitioner.--If requested by a
firm, the Secretary shall obtain the certifications
under paragraph (1)(B) in such manner as the Secretary
determines is appropriate.
``(B) Protection of confidential information.--The
Secretary may not release information obtained under
subparagraph (A) that the Secretary considers to be
confidential business information unless the party
submitting the confidential business information had
notice, at the time of submission, that such
information would be released by the Secretary, or such
party subsequently consents to the release of the
information. Nothing in this subparagraph shall be
construed to prohibit a court from requiring the
submission of such confidential business information to
the court in camera.
``(f) Notification to Firms of Availability of Benefits.--Upon
receiving notice from the Secretary of Labor under section 225(c) of
the identity of a firm or firms that are covered by a certification
issued under section 223 or 223A, the Secretary of Commerce shall
notify such firm or firms of the availability of adjustment assistance
under this chapter.''.
(b) Definition.--Section 261 of the Trade Act of 1974 (19 U.S.C.
2351) is amended--
(1) by striking ``For purposes of'' and inserting ``(a)
Firm.--For purposes of''; and
(2) by adding at the end the following:
``(b) Service Sector Firm.--For purposes of this chapter, the term
`service sector firm' means a firm engaged in the business of providing
services.''.

SEC. 202. EXTENSION OF AUTHORIZATION OF TRADE ADJUSTMENT ASSISTANCE FOR
FIRMS.

Section 256(b) of the Trade Act of 1974 (19 U.S.C. 2346(b)) is
amended--
(1) by striking ``and $4,000,000 for the 3-month period
beginning on October 1, 2007,'' inserting ``and $50,000,000 for
each of fiscal years 2008 through 2012,'' after ``fiscal years
2003 through 2007,''; and
(2) by inserting after the first sentence the following:
``Of the amounts appropriated pursuant to this subsection for
each fiscal year, $350,000 shall be available for full-time
positions in the Department of Commerce to administer the
program under this chapter.''.

SEC. 203. INDUSTRY-WIDE PROGRAMS FOR THE DEVELOPMENT OF NEW SERVICES.

Section 265(a) of the Trade Act of 1974 (19 U.S.C. 2355(a)) is
amended--
(1) in the first sentence, by striking ``new product
development'' and inserting ``the development of new products
and services''; and
(2) in the second sentence, by inserting ``, 223A,'' after
``223''.

SEC. 204. DEMONSTRATION PROJECT ON STRATEGIC TRADE TRANSFORMATION
ASSISTANCE.

(a) In General.--Chapter 3 of title II of the Trade Act of 1974 (19
U.S.C. 2341 et seq.) is amended by adding at the end the following:

``SEC. 266. DEMONSTRATION PROJECT ON STRATEGIC TRADE TRANSFORMATION
ASSISTANCE.

``(a) In General.--The Secretary shall conduct a demonstration
project (in this section referred to as the `project') to demonstrate a
programmatic framework that will allow small- and medium-sized
manufacturers in the United States to gain access to resources that
will help them better compete domestically and globally. The project
should include among its primary goals the following:
``(1) Expanding the number of firms capable of taking
advantage of a trade remedy program without drastically
increasing the cost of the remedy to the taxpayer.
``(2) Certifying and providing assistance to approximately
700 firms.
``(3) Integrating the benefits of other applicable
government programs into the project, and making benefits from
the project subject to that integration.
``(4) Increasing the number of small- and medium-sized
firms that export and increasing the value of exports from
these firms.
``(5) Increasing revenues that small- and medium-sized
firms derive from sales to the Federal Government and State and
local governments.
``(6) Expanding technology availability to the small- and
medium-sized firm segment by increasing access to, and adoption
of, the latest technologies being developed at Federal
laboratories and at universities.
``(7) Improving the business and manufacturing practices of
small- and medium-sized firms to enable them to become
competitive in a global marketplace.
``(b) Advisory Board.--
``(1) In general.--In carrying out the project, the
Secretary shall establish an advisory board comprised of
representatives described in paragraph (2) to provide advice
and recommendations with respect to the establishment and
operation of the project.
``(2) Representatives.--Representatives referred to in
paragraph (1) shall consist of the respective executive
directors of each Trade Adjustment Assistance Center affiliated
with the trade adjustment assistance for firms program under
this chapter.
``(c) Duration.--The Secretary shall conduct the project for the 3-
year period beginning on the date that is 180 days after the date of
the enactment of this Act.
``(d) Administration of Project.--In implementing the project, the
Secretary shall give preference, in entering into contracts for the
operation and administration of the project, to Trade Adjustment
Assistance Centers affiliated with the trade adjustment assistance for
firms program under this chapter.
``(e) Report.--The Secretary shall submit to the Congress a report
on the project under this section not later than 6 months after the
date of the completion of the project. Such report shall include--
``(1) information on the impact of the project on
mitigating the impact of imports in terms of competitiveness;
and
``(2) recommendations on the cost-effectiveness of
extending or expanding the project.
``(f) Funding.--Of the amounts made available to carry out this
chapter for fiscal years 2008 through 2012, not more than $1,000,000
for each such fiscal year is authorized to be made available to carry
out this section.''.
(b) Clerical Amendment.--The table of contents for title II of the
Trade Act of 1974 is amended by inserting after the item relating to
section 265 the following:

``Sec. 266. Demonstration project on strategic trade transformation
assistance.''.

TITLE III--TRADE ADJUSTMENT ASSISTANCE FOR FARMERS

SEC. 301. ELIGIBILITY OF CERTAIN OTHER PRODUCERS.

Section 292 of the Trade Act of 1974 (19 U.S.C. 2401a) is amended--
(1) in subsection (a), by inserting ``and on the Website of
the Department of Agriculture'' after ``Federal Register''; and
(2) by adding at the end the following:
``(f) Eligibility of Certain Other Producers.--An agricultural
commodity producer or group of producers that resides outside of the
State or region identified in a petition filed under subsection (a) may
file a request to become a party to that petition not later than 30
days after the date notice is published in the Federal Register and on
the Website of the Department of Agriculture with respect to that
petition.''.

TITLE IV--UNEMPLOYMENT INSURANCE

SEC. 401. SHORT TITLE.

This title may be cited as the ``Unemployment Insurance
Modernization Act''.

SEC. 402. SPECIAL TRANSFERS TO STATE ACCOUNTS IN THE UNEMPLOYMENT TRUST
FUND.

(a) In General.--Section 903 of the Social Security Act (42 U.S.C.
1103) is amended by adding at the end the following:

``Special Transfers in Fiscal Years 2008 Through 2012 for Modernization

``(f)(1)(A) In addition to any other amounts, the Secretary of
Labor shall provide for the making of unemployment compensation
modernization incentive payments (hereinafter `incentive payments') to
the accounts of the States in the Unemployment Trust Fund, by transfer
from amounts reserved for that purpose in the Federal unemployment
account, in accordance with succeeding provisions of this subsection.
``(B) The maximum incentive payment allowable under this subsection
with respect to any State shall, as determined by the Secretary of
Labor, be equal to the amount obtained by multiplying $7,000,000,000
times the same ratio as is applicable under subsection (a)(2)(B) for
purposes of determining such State's share of any funds to be
transferred under subsection (a) as of October 1, 2007.
``(C) Of the maximum incentive payment determined under
subparagraph (B) with respect to a State--
``(i) one-third shall be transferred to the account of such
State upon a certification under paragraph (4)(B) that the
State law of such State meets the requirements of paragraph
(2); and
``(ii) the remainder shall be transferred to the account of
such State upon a certification under paragraph (4)(B) that the
State law of such State meets the requirements of paragraph
(3).
``(2) The State law of a State meets the requirements of this
paragraph if such State law--
``(A) uses a base period that 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
include the most recently completed calendar quarter before the
start of the benefit year, eligibility shall be determined
using a base period that includes such calendar quarter.
``(3) The State law of a State meets the requirements of this
paragraph if such State law includes provisions to carry out at least 2
of the following subparagraphs:
``(A) An individual shall not be denied regular
unemployment compensation under any State law provisions
relating to availability for work, active search for work, or
refusal to accept work, solely because such individual is
seeking only part-time (and not full-time) work, except that
the State law provisions carrying out this subparagraph may
exclude an individual if a majority of the weeks of work in
such individual's base period do not include part-time work.
``(B) An individual shall not be disqualified from regular
unemployment compensation for separating from employment if
that separation is for compelling family reasons. For purposes
of this subparagraph, the term `compelling family reasons'
includes at least the following:
``(i) Domestic violence (verified by such
reasonable and confidential documentation as the State
law may require) which causes the individual reasonably
to believe that such individual's continued employment
would jeopardize the safety of the individual or of any
member of the individual's immediate family.
``(ii) The illness or disability of a member of the
individual's immediate family.
``(iii) The need for the individual to accompany
such individual's spouse--
``(I) to a place from which it is
impractical for such individual to commute; and
``(II) due to a change in location of the
spouse's employment.
``(C) Weekly unemployment compensation is payable under
this subparagraph to any individual who is unemployed (as
determined under the State unemployment compensation law), has
exhausted all rights to regular and (if applicable) extended
unemployment compensation under the State law, and is enrolled
and making satisfactory progress in a State-approved training
program or in a job training program authorized under the
Workforce Investment Act of 1998. Such program shall prepare
individuals who have been separated from a declining
occupation, or who have been involuntarily and indefinitely
separated from employment as a result of a permanent reduction
of operations at the individual's place of employment, for
entry into a high-demand occupation. The amount of unemployment
compensation payable under this subparagraph to an individual
for a week of unemployment shall be equal to the individual's
average weekly benefit amount (including dependents'
allowances) for the most recent benefit year, and the total
amount of unemployment compensation payable under this
subparagraph to any individual shall be equal to at least 26
times the individual's average weekly benefit amount (including
dependents' allowances) for the most recent benefit year.
``(4)(A) Any State seeking an incentive payment under this
subsection shall submit an application therefor at such time, in such
manner, and complete with such information as the Secretary of Labor
may by regulation prescribe, including information relating to
compliance with the requirements of paragraph (2) or (3), as well as
how the State intends to use the incentive payment to improve or
strengthen the State's unemployment compensation program. The Secretary
of Labor shall, within 90 days after receiving a complete application,
notify the State agency of the State of the Secretary's findings with
respect to the requirements of paragraph (2) or (3) (or both).
``(B) If the Secretary of Labor finds that the State law provisions
(disregarding any State law provisions which are not then currently in
effect as permanent law or which are subject to discontinuation under
certain conditions) meet the requirements of paragraph (2) or (3), as
the case may be, the Secretary of Labor shall thereupon make a
certification to that effect to the Secretary of the Treasury, together
with a certification as to the amount of the incentive payment to be
transferred to the State account pursuant to that finding. The
Secretary of the Treasury shall make the appropriate transfer within 30
days after receiving such certification.
``(C)(i) No certification of compliance with the requirements of
paragraph (2) or (3) may be made with respect to any State whose State
law is not otherwise eligible for certification under section 303 or
approvable under section 3304 of the Federal Unemployment Tax Act.
``(ii) No certification of compliance with the requirements of
paragraph (3) may be made with respect to any State whose State law is
not in compliance with the requirements of paragraph (2).
``(iii) No application under subparagraph (A) may be considered if
submitted before October 1, 2007, or after the latest date necessary
(as specified by the Secretary of Labor in regulations) to ensure that
all incentive payments under this subsection are made before October 1,
2012.
``(5)(A) Except as provided in subparagraph (B), any amount
transferred to the account of a State under this subsection may be used
by such State only in the payment of cash benefits to individuals with
respect to their unemployment (including for dependents' allowances and
for unemployment compensation under paragraph (3)(C)), exclusive of
expenses of administration.
``(B) A State may, subject to the same conditions as set forth in
subsection (c)(2) (excluding subparagraph (B) thereof, and deeming the
reference to `subsections (a) and (b)' in subparagraph (D) thereof to
include this subsection), use any amount transferred to the account of
such State under this subsection for the administration of its
unemployment compensation law and public employment offices.
``(6) Out of any money in the Federal unemployment account not
otherwise appropriated, the Secretary of the Treasury shall reserve
$7,000,000,000 for incentive payments under this subsection. Any amount
so reserved shall not be taken into account for purposes of any
determination under section 902, 910, or 1203 of the amount in the
Federal unemployment account as of any given time. Any amount so
reserved for which the Secretary of the Treasury has not received a
certification under paragraph (4)(B) by the deadline described in
paragraph (4)(C)(iii) shall, upon the close of fiscal year 2012, become
unrestricted as to use as part of the Federal unemployment account.
``(7) For purposes of this subsection, the terms `benefit year',
`base period', and `week' have the respective meanings given such terms
under section 205 of the Federal-State Extended Unemployment
Compensation Act of 1970 (26 U.S.C. 3304 note).

``Special Transfers in Fiscal Years 2008 Through 2012 for
Administration

``(g)(1) Notwithstanding any other provision of this section, the
total amount available for transfer to the accounts of the States
pursuant to subsection (a) as of the beginning of each of fiscal years
2008, 2009, 2010, 2011, and 2012 shall be equal to the total amount
which (disregarding this subsection) would otherwise be so available,
increased by $100,000,000.
``(2) Each State's share of any additional amount made available by
this subsection shall be determined, certified, and computed in the
same manner as described in subsection (a)(2) and shall be subject to
the same limitations on transfers as described in subsection (b). For
purposes of applying subsection (b)(2), the balance of any advances
made to a State under section 1201 shall be credited against, and
operate to reduce (but not below zero)--
``(A) first, any additional amount which, as a result of
the enactment of this subsection, is to be transferred to the
account of such State in a fiscal year; and
``(B) second, any amount which (disregarding this
subsection) is otherwise to be transferred to the account of
such State pursuant to subsections (a) and (b) in such fiscal
year.
``(3) Any additional amount transferred to the account of a State
as a result of the enactment of this subsection--
``(A) may be used by the State agency of such State only in
the payment of expenses incurred by it for--
``(i) the administration of the provisions of its
State law carrying out the purposes of subsection
(f)(2) or any subparagraph of subsection (f)(3);
``(ii) improved outreach to individuals who might
be eligible for regular unemployment compensation by
virtue of any provisions of the State law which are
described in clause (i);
``(iii) the improvement of unemployment benefit and
unemployment tax operations; and
``(iv) staff-assisted reemployment services for
unemployment compensation claimants; and
``(B) shall be excluded from the application of subsection
(c).
``(4) The total additional amount made available by this subsection
in a fiscal year shall be taken out of the amounts remaining in the
employment security administration account after subtracting the total
amount which (disregarding this subsection) is otherwise required to be
transferred from such account in such fiscal year pursuant to
subsections (a) and (b).''.
(b) Regulations.--The Secretary of Labor may prescribe any
regulations necessary to carry out the amendment made by subsection
(a).

SEC. 403. EXTENSION OF FUTA TAX.

Section 3301 of the Internal Revenue Code of 1986 (relating to rate
of tax) is amended--
(1) by striking ``2007'' in paragraph (1) and inserting
``2010'', and
(2) by striking ``2008'' in paragraph (2) and inserting
``2011''.

SEC. 404. SAFETY NET REVIEW COMMISSION.

(a) Establishment.--The Secretary of Labor shall establish an
advisory commission to be known as the ``Safety Net Review Commission''
(hereinafter in this section referred to as the ``Commission'').
(b) Function.--It shall be the function of the Commission to
evaluate the unemployment compensation program, the Trade Adjustment
Assistance program, the Job Corps program, a program under the
Workforce Investment Act, and other employment assistance programs,
including the purpose, goals, countercyclical effectiveness, coverage,
benefit adequacy, trust fund solvency, funding of State administrative
costs, administrative efficiency, and any other aspects of each such
program, as well as any related provisions of the Internal Revenue Code
of 1986, and to make recommendations for their improvement.
(c) Members.--
(1) In general.--The Commission shall consist of 11 members
as follows:
(A) Five members appointed by the President, to
include representatives of business, labor, State
government, and the public.
(B) Three members appointed by the President pro
tempore of the Senate, in consultation with the
Chairman and ranking member of the Committee on Finance
of the Senate.
(C) Three members appointed by the Speaker of the
House of Representatives, in consultation with the
Chairman and ranking member of the Committee on Ways
and Means of the House of Representatives.
(2) Qualifications.--In appointing members under
subparagraphs (B) and (C) of paragraph (1), the President pro
tempore of the Senate and the Speaker of the House of
Representatives shall each appoint--
(A) one representative of the interests of
business,
(B) one representative of the interests of labor,
and
(C) one representative of the interests of State
governments.
(3) Vacancies.--A vacancy in the Commission shall be filled
in the manner in which the original appointment was made.
(4) Chairman.--The President shall appoint the Chairman of
the Commission from among its members.
(d) Staff and Other Assistance.--
(1) In general.--The Commission may engage any technical
assistance (including actuarial services) required by the
Commission to carry out its functions under this section.
(2) Assistance from secretary of labor.--The Secretary of
Labor shall provide the Commission with any staff, office
facilities, and other assistance, and any data prepared by the
Department of Labor, required by the Commission to carry out
its functions under this section.
(e) Compensation.--Each member of the Commission--
(1) shall be entitled to receive compensation at the rate
of pay for level V of the Executive Schedule under section 5316
of title 5, United States Code, for each day (including travel
time) during which such member is engaged in the actual
performance of duties vested in the Commission; and
(2) while engaged in the performance of such duties away
from such member's home or regular place of business, shall be
allowed travel expenses (including per diem in lieu of
subsistence) as authorized by section 5703 of such title 5 for
persons in the Government employed intermittently.
(f) Report.--Not later than 6 months after the date of the
enactment of this Act, the Commission shall submit to the President and
the Congress a report setting forth the findings and recommendations of
the Commission as a result of its evaluation under this section.
(g) Termination.--The Commission shall terminate 2 months after
submitting its report pursuant to subsection (f).

TITLE V--MANUFACTURING REDEVELOPMENT ZONES

SEC. 501. MANUFACTURING REDEVELOPMENT ZONES.

(a) In General.--Subchapter Y of chapter 1 of the Internal Revenue
Code of 1986 is amended by adding at the end the following new part:

``PART III--MANUFACTURING REDEVELOPMENT ZONES

``Sec. 1400U-1. Designation of manufacturing redevelopment zones.
``Sec. 1400U-2. Eligibility criteria.
``Sec. 1400U-3. Manufacturing redevelopment tax credit bonds.
``Sec. 1400U-4. Tax-exempt manufacturing zone facility bonds.
``Sec. 1400U-5. Additional low-income housing credits.

``SEC. 1400U-1. DESIGNATION OF MANUFACTURING REDEVELOPMENT ZONES.

``(a) In General.--From among the areas nominated for designation
under this section, the Secretary may designate manufacturing
redevelopment zones.
``(b) Limitations on Designations.--The Secretary may designate in
the aggregate 24 nominated areas as manufacturing redevelopment zones,
subject to the availability of eligible nominated areas. The Secretary
shall designate manufacturing redevelopment zones in such manner that
the aggregate population of all such zones does not exceed 2,000,000.
``(c) Period Designation May Be Made.--A designation may be made
under subsection (a) only during the 2-year period beginning on the
date of the enactment of this section.
``(d) Period for Which Designation Is in Effect.--
``(1) In general.--Any designation under this section shall
remain in effect during the period beginning on the date of the
designation and ending on the earliest of--
``(A) the close of the 10th calendar year beginning
on or after the date of the designation,
``(B) the termination date designated by the State
and local governments as provided for in their
nomination, or
``(C) the date the Secretary revokes the
designation.
``(2) Revocation of designation.--The Secretary may revoke
the designation under this section of an area if such Secretary
determines that the local government or the State in which it
is located--
``(A) has modified the boundaries of the area, or
``(B) is not complying substantially with, or fails
to make progress in achieving the benchmarks set forth
in, the strategic plan included with the application.
``(e) Limitations on Designations; Application.--Rules similar to
the rules of subsections (e) and (f) of section 1391 shall apply for
purposes of this section except that the rules of such subsection (f)
shall be applied with respect to the eligibility criteria specified in
section 1400U-2.
``(f) Determinations of Population.--Any determination of
population under this part shall be made on the basis of the most
recent decennial census for which data are available.

``SEC. 1400U-2. ELIGIBILITY CRITERIA.

``(a) In General.--A nominated area shall be eligible for
designation under section 1400U-1 only if--
``(1) it meets each of the criteria specified in section
1392(a),
``(2) the nominated area has experienced a significant
decline in the number of individuals employed in manufacturing
or has a high concentration of abandoned or underutilized
manufacturing facilities, and
``(3) no portion of the nominated area is located in an
empowerment zone or renewal community, unless the local
government which nominated the area elects to terminate such
designation as an empowerment zone or renewal community.
``(b) Application of Certain Rules; Definitions.--For purposes of
this subchapter--
``(1) rules similar to the rules of subsections (b), (c),
and (d) of section 1392 and paragraphs (4), (7), (8), and (9)
of section 1393(a) shall apply, and
``(2) any term defined in section 1393 shall have the same
meaning when used in this subchapter.
``(c) Discretion to Adjust Requirements.--In determining whether a
nominated area is eligible for designation as a manufacturing
redevelopment zone, the Secretary may, where necessary to carry out the
purposes of this part, waive the requirement of section 1392(a)(4) if
it is shown that the nominated area has experienced a loss of
manufacturing jobs during the previous 20 years which is in excess of
25 percent.

``SEC. 1400U-3. MANUFACTURING REDEVELOPMENT TAX CREDIT BONDS.

``(a) In General.--For purposes of subpart I of part IV of
subchapter A (relating to qualified tax credit bonds), the term
`manufacturing redevelopment bond' means any bond issued as part of an
issue if--
``(1) 100 percent of the available project proceeds of such
issue are to be used for one or more qualified manufacturing
redevelopment purposes,
``(2) the bond is not a private activity bond, and
``(3) the local government which nominated the area to
which such bond relates designates such bond for purposes of
this section.
``(b) Limitation on Amount of Bonds Designated.--The maximum
aggregate face amount of bonds which may be designated under subsection
(a) with respect to any manufacturing redevelopment zone shall not
exceed $150,000,000.
``(c) Qualified Manufacturing Redevelopment Purpose.--For purposes
of this section, the term `qualified manufacturing redevelopment
purposes' means capital expenditures paid or incurred with respect to
property located in a manufacturing redevelopment zone for purposes of
promoting development or other economic activity in such zone,
including expenditures for environmental remediation, improvements to
public infrastructure, and construction of public facilities.
``(d) Definitions.--For purposes of this section, any term used in
this section which is also used in section 54A shall have the same
meaning given such term by section 54A.

``SEC. 1400U-4. TAX-EXEMPT MANUFACTURING ZONE FACILITY BONDS.

``(a) In General.--For purposes of part IV of subchapter B
(relating to tax exemption requirements for State and local bonds), the
term `exempt facility bond' includes any bond issued as part of an
issue if--
``(1) 95 percent or more of the net proceeds (as defined in
section 150(a)(3)) of such issue are to be used for
manufacturing zone property, and
``(2) the local government which nominated the area to
which such bond relates designates such bond for purposes of
this section.
``(b) Limitation on Amount of Bonds Designated.--
``(1) In general.--The aggregate face amount of bonds which
may be designated under subsection (a)(2) with respect to any
manufacturing redevelopment zone shall not exceed $230,000,000.
``(2) Current refunding not taken into account.--In the
case of a refunding (or series of refundings) of a bond
designated under this section, the refunding obligation shall
be treated as designated under subsection (a)(2) (and shall not
be taken into account in applying paragraph (1)) if--
``(A) the amount of the refunding bond does not
exceed the outstanding amount of the refunded bond, and
``(B) the refunded bond is redeemed not later than
90 days after the date of issuance of the refunding
bond.
``(c) Limitation on Amount of Bonds Allocable to Any Person.--
``(1) In general.--Subsection (a) shall not apply to any
issue if the aggregate amount of outstanding manufacturing zone
facility bonds allocable to any person (taking into account
such issue) exceeds--
``(A) $15,000,000 with respect to any 1
manufacturing redevelopment zone, or
``(B) $20,000,000 with respect to all manufacturing
redevelopment zones.
``(2) Aggregate enterprise zone facility bond benefit.--For
purposes of paragraph (1), the aggregate amount of outstanding
manufacturing zone facility bonds allocable to any person shall
be determined under rules similar to the rules of section
144(a)(10), taking into account only bonds to which subsection
(a) applies.
``(d) Manufacturing Zone Property.--For purposes of this section--
``(1) In general.--The term `manufacturing zone property'
means any property to which section 168 applies (or would apply
but for section 179) if--
``(A) such property was acquired by the taxpayer by
purchase (as defined in section 179(d)(2)) after the
date on which the designation of the manufacturing
redevelopment zone took effect,
``(B) the original use of which in the
manufacturing redevelopment zone commences with the
taxpayer, and
``(C) substantially all of the use of which is in
the manufacturing redevelopment zone and is in the
active conduct of a qualified business by the taxpayer
in such zone.
``(2) Qualified business.--The term `qualified business'
means any trade or business except that--
``(A) the rental to others of real property located
in a manufacturing redevelopment zone shall be treated
as a qualified business only if the property is not
residential rental property (as defined in section
168(e)(2)), and
``(B) such term shall not include any trade or
business consisting of the operation of any facility
described in section 144(c)(6)(B).
``(3) Special rules for substantial renovations and sale-
leaseback.--Rules similar to the rules of subsections (a)(2)
and (b) of section 1397D shall apply for purposes of this
subsection.
``(e) Nonapplication of Certain Rules.--Sections 57(a)(5) (relating
to tax-exempt interest), 146 (relating to volume cap), and 147(d)
(relating to acquisition of existing property not permitted) shall not
apply to any manufacturing zone facility bond.

``SEC. 1400U-5. ADDITIONAL LOW-INCOME HOUSING CREDITS.

``(a) In General.--For purposes of section 42, in the case of each
calendar year during which the designation of a manufacturing
redevelopment zone is in effect, the State housing credit ceiling of
the State which includes such manufacturing redevelopment zone shall be
increased by the lesser of--
``(1) the aggregate housing credit dollar amount allocated
by the State housing credit agency of such State to buildings
located in such manufacturing redevelopment zone for such
calendar year, or
``(2) the excess of--
``(A) the manufacturing zone housing amount with
respect to such manufacturing redevelopment zone, over
``(B) the aggregate increases under this subsection
with respect to such zone for all preceding calendar
years.
``(b) Manufacturing Zone Housing Amount.--For purposes of
subsection (a), the term `manufacturing zone housing amount' means,
with respect to any manufacturing redevelopment zone, the product of
$20 multiplied by the population of such zone.
``(c) Other Rules.--
``(1) Carryovers.--Rules similar to the rules of section
1400N(c)(1)(C) shall apply for purposes of this section.
``(2) Returned amounts.--If any amount of State housing
credit ceiling which was taken into account under subsection
(a)(1) is returned within the meaning of section
42(h)(3)(C)(iii)--
``(A) such amount shall not be taken into account
under such section, and
``(B) such allocation shall cease to be treated as
an increase under this subsection for purposes of
subsection (a)(2)(B) until reallocated.''.
(b) Application of Work Opportunity Tax Credit to Manufacturing
Redevelopment Zones.--Subparagraphs (A) and (B) of section 51(d)(5) of
such Code are each amended by inserting ``manufacturing redevelopment
zone,'' after ``renewal community,''.
(c) Conforming Amendments Related to Manufacturing Redevelopment
Tax Credit Bonds.--
(1) General rules.--Part IV of subchapter A of chapter 1 of
such Code (relating to credits against tax) is amended by
adding at the end the following new subpart:

``Subpart I--Qualified Tax Credit Bonds

``Sec. 54A. Credit to holders of qualified tax credit bonds.

``SEC. 54A. CREDIT TO HOLDERS OF QUALIFIED TAX CREDIT BONDS.

``(a) Allowance of Credit.--If a taxpayer holds a qualified tax
credit bond on one or more credit allowance dates of the bond during
any taxable year, there shall be allowed as a credit against the tax
imposed by this chapter for the taxable year an amount equal to the sum
of the credits determined under subsection (b) with respect to such
dates.
``(b) Amount of Credit.--
``(1) In general.--The amount of the credit determined
under this subsection with respect to any credit allowance date
for a qualified tax credit bond is 25 percent of the annual
credit determined with respect to such bond.
``(2) Annual credit.--The annual credit determined with
respect to any qualified tax credit bond is the product of--
``(A) the applicable credit rate, multiplied by
``(B) the outstanding face amount of the bond.
``(3) Applicable credit rate.--For purposes of paragraph
(2), the applicable credit rate is the rate which the Secretary
estimates will permit the issuance of qualified tax credit
bonds with a specified maturity or redemption date without
discount and without interest cost to the qualified issuer. The
applicable credit rate with respect to any qualified tax credit
bond shall be determined as of the first day on which there is
a binding, written contract for the sale or exchange of the
bond.
``(4) Special rule for issuance and redemption.--In the
case of a bond which is issued during the 3-month period ending
on a credit allowance date, the amount of the credit determined
under this subsection with respect to such credit allowance
date shall be a ratable portion of the credit otherwise
determined based on the portion of the 3-month period during
which the bond is outstanding. A similar rule shall apply when
the bond is redeemed or matures.
``(c) Limitation Based on Amount of Tax.--
``(1) In general.--The credit allowed under subsection (a)
for any taxable year shall not exceed the excess of--
``(A) the sum of the regular tax liability (as
defined in section 26(b)) plus the tax imposed by
section 55, over
``(B) the sum of the credits allowable under this
part (other than subpart C and this subpart).
``(2) Carryover of unused credit.--If the credit allowable
under subsection (a) exceeds the limitation imposed by
paragraph (1) for such taxable year, such excess shall be
carried to the succeeding taxable year and added to the credit
allowable under subsection (a) for such taxable year
(determined before the application of paragraph (1) for such
succeeding taxable year).
``(d) Qualified Tax Credit Bond.--For purposes of this section--
``(1) Qualified tax credit bond.--The term `qualified tax
credit bond' means a manufacturing redevelopment bond (as
defined in section 1400U-3) which is part of an issue that
meets the requirements of paragraphs (2), (3), (4), (5), and
(6).
``(2) Special rules relating to expenditures.--
``(A) In general.--An issue shall be treated as
meeting the requirements of this paragraph if, as of
the date of issuance, the issuer reasonably expects--
``(i) 100 percent or more of the available
project proceeds to be spent for 1 or more
qualified purposes within the 3-year period
beginning on such date of issuance, and
``(ii) a binding commitment with a third
party to spend at least 10 percent of such
available project proceeds will be incurred
within the 6-month period beginning on such
date of issuance.
``(B) Failure to spend required amount of bond
proceeds within 3 years.--
``(i) In general.--To the extent that less
than 100 percent of the available project
proceeds of the issue are expended by the close
of the expenditure period for 1 or more
qualified purposes, the issuer shall redeem all
of the nonqualified bonds within 90 days after
the end of such period. For purposes of this
paragraph, the amount of the nonqualified bonds
required to be redeemed shall be determined in
the same manner as under section 142.
``(ii) Expenditure period.--For purposes of
this subpart, the term `expenditure period'
means, with respect to any issue, the 3-year
period beginning on the date of issuance. Such
term shall include any extension of such period
under clause (iii).
``(iii) Extension of period.--Upon
submission of a request prior to the expiration
of the expenditure period (determined without
regard to any extension under this clause), the
Secretary may extend such period if the issuer
establishes that the failure to expend the
proceeds within the original expenditure period
is due to reasonable cause and the expenditures
for qualified purposes will continue to proceed
with due diligence.
``(C) Qualified purpose.--For purposes of this
paragraph, the term `qualified purpose' means a purpose
specified in section 1400U-3(a)(1).
``(D) Reimbursement.--For purposes of this
subtitle, available project proceeds of an issue shall
be treated as spent for a qualified purpose if such
proceeds are used to reimburse the issuer for amounts
paid for a qualified purpose after the date that the
Secretary makes an allocation of bond limitation with
respect to such issue, but only if--
``(i) prior to the payment of the original
expenditure, the issuer declared its intent to
reimburse such expenditure with the proceeds of
a qualified tax credit bond,
``(ii) not later than 60 days after payment
of the original expenditure, the issuer adopts
an official intent to reimburse the original
expenditure with such proceeds, and
``(iii) the reimbursement is made not later
than 18 months after the date the original
expenditure is paid.
``(3) Reporting.--An issue shall be treated as meeting the
requirements of this paragraph if the issuer of qualified tax
credit bonds submits reports similar to the reports required
under section 149(e).
``(4) Special rules relating to arbitrage.--
``(A) In general.--An issue shall be treated as
meeting the requirements of this paragraph if the
issuer satisfies the requirements of section 148 with
respect to the proceeds of the issue.
``(B) Special rule for investments during
expenditure period.--An issue shall not be treated as
failing to meet the requirements of subparagraph (A) by
reason of any investment of available project proceeds
during the expenditure period.
``(C) Special rule for reserve funds.--An issue
shall not be treated as failing to meet the
requirements of subparagraph (A) by reason of any fund
which is expected to be used to repay such issue if--
``(i) such fund is funded at a rate not
more rapid than equal annual installments,
``(ii) such fund is funded in a manner that
such fund will not exceed the amount necessary
to repay the issue if invested at the maximum
rate permitted under clause (iii), and
``(iii) the yield on such fund is not
greater than the discount rate determined under
paragraph (5)(B) with respect to the issue.
``(5) Maturity limitation.--
``(A) In general.--An issue shall not be treated as
meeting the requirements of this paragraph if the
maturity of any bond which is part of such issue
exceeds the maximum term determined by the Secretary
under subparagraph (B).
``(B) Maximum term.--During each calendar month,
the Secretary shall determine the maximum term
permitted under this paragraph for bonds issued during
the following calendar month. Such maximum term shall
be the term which the Secretary estimates will result
in the present value of the obligation to repay the
principal on the bond being equal to 50 percent of the
face amount of such bond. Such present value shall be
determined using as a discount rate the average annual
interest rate of tax-exempt obligations having a term
of 10 years or more which are issued during the month.
If the term as so determined is not a multiple of a
whole year, such term shall be rounded to the next
highest whole year.
``(e) Other Definitions.--For purposes of this subchapter--
``(1) Credit allowance date.--The term `credit allowance
date' means--
``(A) March 15,
``(B) June 15,
``(C) September 15, and
``(D) December 15.
Such term includes the last day on which the bond is
outstanding.
``(2) Bond.--The term `bond' includes any obligation.
``(3) State.--The term `State' includes the District of
Columbia and any possession of the United States.
``(4) Available project proceeds.--The term `available
project proceeds' means--
``(A) the excess of--
``(i) the proceeds from the sale of an
issue, over
``(ii) the issuance costs financed by the
issue (to the extent that such costs do not
exceed 2 percent of such proceeds), and
``(B) the proceeds from any investment of the
excess described in subparagraph (A).
``(f) Credit Treated as Interest.--For purposes of this subtitle,
the credit determined under subsection (a) shall be treated as interest
which is includible in gross income.
``(g) S Corporations and Partnerships.--In the case of a tax credit
bond held by an S corporation or partnership, the allocation of the
credit allowed by this section to the shareholders of such corporation
or partners of such partnership shall be treated as a distribution.
``(h) Bonds Held by Regulated Investment Companies and Real Estate
Investment Trusts.--If any qualified tax credit bond is held by a
regulated investment company or a real estate investment trust, the
credit determined under subsection (a) shall be allowed to shareholders
of such company or beneficiaries of such trust (and any gross income
included under subsection (f) with respect to such credit shall be
treated as distributed to such shareholders or beneficiaries) under
procedures prescribed by the Secretary.''.
(2) Reporting.--Subsection (d) of section 6049 of such Code
(relating to returns regarding payments of interest) is amended
by adding at the end the following new paragraph:
``(9) Reporting of credit on qualified tax credit bonds.--
``(A) In general.--For purposes of subsection (a),
the term `interest' includes amounts includible in
gross income under section 54A and such amounts shall
be treated as paid on the credit allowance date (as
defined in section 54A(e)(1)).
``(B) Reporting to corporations, etc.--Except as
otherwise provided in regulations, in the case of any
interest described in subparagraph (A) of this
paragraph, subsection (b)(4) of this section shall be
applied without regard to subparagraphs (A), (H), (I),
(J), (K), and (L)(i).
``(C) Regulatory authority.--The Secretary may
prescribe such regulations as are necessary or
appropriate to carry out the purposes of this
paragraph, including regulations which require more
frequent or more detailed reporting.''.
(3) Other conforming amendments related to tax credit
bonds.--
(A) Sections 54(c)(2) and 1400N(l)(3)(B) of such
Code are each amended by striking ``subpart C'' and
inserting ``subparts C and I''.
(B) Section 1397E(c)(2) of such Code is amended by
striking ``subpart H'' and inserting ``subparts H and
I''.
(C) Section 6401(b)(1) of such Code is amended by
striking ``and H'' and inserting ``H, and I''.
(D) The heading of subpart H of part IV of
subchapter A of chapter 1 of such Code is amended by
striking ``Certain Bonds'' and inserting ``Clean
Renewable Energy Bonds''.
(E) The table of subparts for part IV of subchapter
A of chapter 1 of such Code is amended by striking the
item relating to subpart H and inserting the following
new items:

``subpart h--nonrefundable credit to holders of clean renewable energy
bonds

``subpart i--qualified tax credit bonds''.

(d) Clerical Amendment.--The table of parts for subchapter Y of
chapter 1 of such Code is amended by adding at the end the following
new item:

``Part III--Manufacturing Redevelopment Bonds''.

(e) Effective Date.--
(1) In general.--Except as otherwise provided in this
subsection, the amendments made by this section shall apply to
taxable years ending after the date of the enactment of this
Act.
(2) Bond provisions.--Sections 1400U-3 and 1400U-4 of the
Internal Revenue Code of 1986 (as added by subsection (a)), and
the amendments made by subsection (c), shall apply to
obligations issued after the date of the enactment of this Act.
(3) Work opportunity tax credit.--The amendments made by
subsection (b) shall apply to individuals who begin work for
the employer after the date of the enactment of this Act.

SEC. 502. DELAY IN APPLICATION OF WORLDWIDE INTEREST ALLOCATION.

(a) In General.--Paragraphs (5)(D) and (6) of section 864(f) of the
Internal Revenue Code of 1986 are each amended by striking ``December
31, 2008'' and inserting ``December 31, 2011''.
(b) Effective Date.--The amendments made by this section shall
apply to taxable years beginning after December 31, 2008.

TITLE VI--WORKER ADJUSTMENT AND RETRAINING NOTIFICATION

SEC. 601. SHORT TITLE.

This title may be cited as the ``Early Warning and Health Care for
Workers Affected by Globalization Act''.

SEC. 602. AMENDMENTS TO THE WARN ACT.

(a) Definitions.--
(1) Employer, plant closing, and mass layoff.--Paragraphs
(1) through (3) of section 2(a) of the Worker Adjustment and
Retraining Notification Act (29 U.S.C. 2101(a)(1)-(3)) are
amended to read as follows:
``(1) the term `employer' means any business enterprise
that employs 100 or more employees;
``(2) the term `plant closing' means the permanent or
temporary shutdown of a single site of employment, or of one or
more facilities or operating units within a single site of
employment, which results in an employment loss at such site,
during any 30-day period, for 50 or more employees;
``(3) the term `mass layoff' means a reduction in force at
a single site of employment which results in an employment loss
at such site, during any 30-day period, for 50 or more
employees.''.
(2) Secretary of labor.--
(A) Definition.--Paragraph (8) of such section is
amended to read as follows:
``(8) the term `Secretary' means the Secretary of Labor or
a representative of the Secretary of Labor.''.
(B) Regulations.--Section 8(a) of such Act (29
U.S.C. 2107(a)) is amended by striking ``of Labor''.
(3) Conforming amendments.--
(A) Notice.--Section 3(d) of such Act (29 U.S.C.
2102(d)) is amended by striking out ``, each of which
is less than the minimum number of employees specified
in section 2(a)(2) or (3) but which in the aggregate
exceed that minimum number,'' and inserting ``which in
the aggregate exceed the minimum number of employees
specified in section 2(a)(2) or (3)''.
(B) Definitions.--Section 2(b)(1) of such Act (29
U.S.C. 2101(b)(1)) is amended by striking ``(other than
a part-time employee)''.
(b) Notice.--
(1) Notice period.--
(A) In general.--Section 3 of the Worker Adjustment
and Retraining Notification Act (29 U.S.C. 2102) is
amended by striking ``60-day period'' and inserting
``90-day period'' each place it appears.
(B) Conforming amendment.--Section 5(a)(1) of such
Act (29 U.S.C. 2104(a)(1)) is amended in the matter
following subparagraph (B), by striking ``60 days'' and
inserting ``90 days''.
(2) Recipients.--Section 3(a) of such Act (29 U.S.C.
2102(a)) is amended--
(A) in paragraph (1), by striking ``or, if there is
no such representative at that time, to each affected
employee; and'' and inserting ``and to each affected
employee;''; and
(B) by redesignating paragraph (2) as paragraph (3)
and inserting after paragraph (1) the following:
``(2) to the Secretary; and''.
(3) Information regarding benefits and services available
to workers and dol notice to congress.--Section 3 of such Act
(29 U.S.C. 2102) is further amended by adding at the end the
following:
``(e) Information Regarding Benefits and Services Available to
Employees.--Concurrent with or immediately after providing the notice
required under subsection (a)(1), an employer shall provide affected
employees with information regarding the benefits and services
available to such employees, as described in the guide compiled by the
Secretary under section 12.
``(f) DOL Notice to Congress.--As soon as practicable and not later
than 15 days after receiving notification under subsection (a)(2), the
Secretary of Labor shall notify the appropriate Senators and Members of
the House of Representatives who represent the area or areas where the
plant closing or mass layoff is to occur.''.
(c) Enforcement.--
(1) Amount.--Section 5(a)(1) of the Worker Adjustment and
Retraining Notification Act (29 U.S.C. 2104(a)(1)) is amended--
(A) in subparagraph (A)--
(i) by striking ``back pay for each day of
violation'' and inserting ``two days' pay
multiplied by the number of calendar days short
of 90 that the employer provided notice before
such closing or layoff''
(ii) in clause (ii), by striking ``and'' at
the end thereof;
(B) by redesignating subparagraph (B) as
subparagraph (C);
(C) by inserting after subparagraph (A) the
following:
``(B) interest on the amount described in subparagraph (A)
calculated at the prevailing rate; and''; and
(D) by striking the matter following subparagraph
(C) (as so redesignated).
(2) Exemption.--Section 5(a)(4) of such Act (29 U.S.C.
2104(a)(4)) is amended by striking ``reduce the amount of the
liability or penalty provided for in this section'' and
inserting ``reduce the amount of the liability under
subparagraph (C) of paragraph (1) and reduce the amount of the
penalty provided for in paragraph (3)''.
(3) Administrative complaint.--Section 5(a)(5) of such Act
(29 U.S.C. 2104(a)(5)) is amended--
(A) by striking ``may sue'' and inserting ``may,'';
(B) by inserting after ``both,'' the following:
``(A) file a complaint with the Secretary alleging a
violation of section 3, or (B) bring suit''; and
(C) by adding at the end thereof the following new
sentence: ``A person seeking to enforce such liability
may use one or both of the enforcement mechanisms
described in subparagraphs (A) and (B).''.
(4) Action by the secretary.--Section 5 of such Act (29
U.S.C. 2104) is amended--
(A) by redesignating subsection (b) as subsection
(d); and
(B) by inserting after subsection (a) the following
new subsections:
``(b) Action by the Secretary.--
``(1) Administrative action.--The Secretary shall receive,
investigate, and attempt to resolve complaints of violations of
section 3 by an employer in the same manner that the Secretary
receives, investigates, and attempts to resolve complaints of
violations of sections 6 and 7 of the Fair Labor Standards Act
of 1938 (29 U.S.C. 206 and 207).
``(2) Subpoena powers.--For the purposes of any
investigation provided for in this section, the Secretary shall
have the subpoena authority provided for under section 9 of the
Fair Labor Standards Act of 1938 (29 U.S.C. 209).
``(3) Sums recovered.--Any sums recovered by the Secretary
on behalf of an employee under subparagraphs (A), (B), and (D)
of section 5(a)(1) shall be held in a special deposit account
and shall be paid, on order of the Secretary, directly to each
employee affected. Any such sums not paid to an employee
because of inability to do so within a period of 3 years, and
any sums recovered by the Secretary under subparagraph (C) of
section 5(a)(1), shall be credited as an offsetting collection
to the appropriations account of the Secretary of Labor for
expenses for the administration of this Act and shall remain
available to the Secretary until expended.
``(c) Limitations.--
``(1) Limitations period.--An action may be brought under
this section not later than 2 years after the date of the last
event constituting the alleged violation for which the action
is brought.
``(2) Commencement.--In determining when an action is
commenced under this section for the purposes of paragraph (1),
it shall be considered to be commenced on the date on which the
complaint is filed.''.
(d) Posting of Notices; Penalties.--Section 11 of the Worker
Adjustment and Retraining Notification Act (29 U.S.C. 2101 note) is
amended to read as follows:

``SEC. 11. POSTING OF NOTICES; PENALTIES.

``(a) Posting of Notices.--Each employer shall post and keep posted
in conspicuous places upon its premises where notices to employees are
customarily posted a notice to be prepared or approved by the Secretary
setting forth excerpts from, or summaries of, the pertinent provisions
of this chapter and information pertinent to the filing of a complaint.
``(b) Penalties.--A willful violation of this section shall be
punishable by a fine of not more than $500 for each separate
offense.''.
(e) Non-Waiver of Rights and Remedies; Information Regarding
Benefits and Services Available to Employees.--Such Act is further
amended by adding at the end the following:

``SEC. 12. RIGHTS AND REMEDIES NOT SUBJECT TO WAIVER.

``(a) In General.--The rights and remedies provided under this Act
(including the right to maintain a civil action) may not be waived,
deferred, or lost pursuant to any agreement or settlement other than an
agreement or settlement described in subsection (b).
``(b) Agreement or Settlement.--An agreement or settlement referred
to in subsection (a) is an agreement or settlement negotiated by the
Secretary, an attorney general of any State, or a private attorney on
behalf of affected employees.

``SEC. 13. INFORMATION REGARDING BENEFITS AND SERVICES AVAILABLE TO
WORKERS.

``The Secretary of Labor shall maintain a guide of benefits and
services which may be available to affected employees, including
unemployment compensation, trade adjustment assistance, COBRA benefits,
and early access to training and other services, including counseling
services, available under the Workforce Investment Act of 1998. Such
guide shall be available on the Internet website of the Department of
Labor and shall include a description of the benefits and services, the
eligibility requirements, and the means of obtaining such benefits and
services. Upon receiving notice from an employer under section 3(a)(2),
the Secretary shall immediately transmit such guide to such
employer.''.
(f) Notice Excused Where Caused by Terrorist Attack.--Section
3(b)(2) of the Worker Adjustment and Retraining Notification Act (29
U.S.C. 2102(b)(2)) is amended by adding at the end the following new
subparagraph:
``(C) No notice under this Act shall be required if the plant
closing or mass layoff is due directly or indirectly to a terrorist
attack on the United States.''.

SEC. 603. EFFECTIVE DATE.

Except as otherwise provided in this Act, the provisions of this
Act, and the amendments made by this Act, shall take effect on the date
of the enactment of this Act.

Passed the House of Representatives October 31, 2007.

Attest:

LORRAINE C. MILLER,

Clerk.