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[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 3401 Introduced in Senate (IS)]
<DOC>
119th CONGRESS
1st Session
S. 3401
To establish, improve, or expand high-quality workforce development
programs at community colleges, and for other purposes.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
December 9, 2025
Mr. Marshall (for himself and Mr. Warnock) introduced the following
bill; which was read twice and referred to the Committee on Health,
Education, Labor, and Pensions
_______________________________________________________________________
A BILL
To establish, improve, or expand high-quality workforce development
programs at community colleges, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Pathways to Prosperity Act''.
SEC. 2. STRENGTHENING COMMUNITY COLLEGES WORKFORCE DEVELOPMENT GRANTS
PROGRAM.
Subtitle D of title I of the Workforce Innovation and Opportunity
Act (29 U.S.C. 3221 et seq.) is amended--
(1) by redesignating section 172 as section 173; and
(2) by inserting after section 171 the following:
``SEC. 172. STRENGTHENING COMMUNITY COLLEGES WORKFORCE DEVELOPMENT
GRANTS PROGRAM.
``(a) Purposes.--The purposes of this section are--
``(1) to establish, improve, or expand high-quality
workforce development programs at community colleges; and
``(2) to expand opportunities for individuals to obtain
recognized postsecondary credentials that are nationally or
regionally portable and stackable for high-skill, high-wage, or
in-demand industry sectors or occupations.
``(b) Strengthening Community Colleges Workforce Development Grants
Program.--
``(1) In general.--From the amounts appropriated to carry
out this section and not reserved under paragraph (2), the
Secretary shall, on a competitive basis, make grants to
eligible institutions to carry out the activities described in
subsection (e).
``(2) Reservation.--Of the amounts appropriated to carry
out this section, the Secretary may reserve not more than 2
percent for the administration of grants awarded under this
section, including--
``(A) providing technical assistance and targeted
outreach to support eligible institutions serving a
high number or high percentage of low-income
individuals or individuals with barriers to employment,
and rural-serving eligible institutions, to provide
guidance and assistance in the process of applying for
grants under this section; and
``(B) evaluating and reporting on the performance
and impact of programs funded under this section in
accordance with subsections (f) through (h).
``(c) Award Period.--
``(1) Definitions.--In this subsection:
``(A) Covered grant.--The term `covered grant'
means--
``(i) if the grant recipient received a
first grant under this section for a period of
more than 1 year, that first grant; and
``(ii) if the grant recipient received
first and second grants described in paragraph
(2)(B), that second grant.
``(2) Periods for first and second grants.--For grants
awarded under this section--
``(A) each first grant under this section shall be
awarded for a period of not more than 2 years; and
``(B) a recipient that receives a first grant for a
period of not more than 1 year, may receive a
consecutive second grant for a period of not more than
1 year.
``(3) Subsequent grants.--An eligible institution that
receives a covered grant under this section may receive one or
more subsequent grants under this section, but only as
described in this paragraph. The institution may not receive a
subsequent grant until the day that is 2 years after the period
of the covered grant. The institution may receive a subsequent
grant for a period of not more than 2 years, if the eligible
institution demonstrates that, during the most recently
completed grant period for a grant received under this section,
such eligible institution achieved the levels of performance
agreed to by the eligible institution with respect to the
performance indicators specified in subsection (f).
``(d) Application.--
``(1) In general.--To be eligible to receive a grant under
this section, an eligible institution shall submit an
application to the Secretary at such time and in such manner as
the Secretary may require.
``(2) Contents.--An application submitted by an eligible
institution under paragraph (1) shall include a description of
each the following:
``(A) The extent to which the eligible institution
has demonstrated success building partnerships with
employers in high-skill, high-wage, or in-demand
industry sectors or occupations to provide students
with the skills needed for occupations in such
industries and an explanation of the results of any
such partnerships.
``(B) The methods and strategies the eligible
institution will use to engage with employers in high-
skill, high-wage, or in-demand industry sectors or
occupations, including any arrangements to place
individuals who complete the workforce development
programs supported by the grant into employment with
such employers.
``(C) The proposed eligible institution and
industry partnership that the eligible institution will
establish or maintain to comply with subsection (e)(1),
including--
``(i) the roles and responsibilities of
each employer, organization, agency, or
institution of higher education that the
eligible institution will partner with to carry
out the activities under this section; and
``(ii) the needs that will be addressed by
such eligible institution and industry
partnership.
``(D) One or more high-skill, high-wage, or in-
demand industry sectors or occupations that such
eligible institution and industry partnership will
target and real-time labor market data demonstrating
that those industry sectors or occupations are aligned
with employer demand in the geographic area to be
served by the eligible institution.
``(E) The extent to which the eligible institution
can--
``(i) leverage additional resources to
support the programs to be funded with the
grant, which shall include written commitments
of any leveraged or matching funds for the
proposed programs; and
``(ii) demonstrate the future
sustainability of each such program.
``(F) The steps the institution will take to ensure
the high quality of each program to be funded with the
grant, including the career pathways within such
programs.
``(G) The population and geographic area to be
served by the eligible institution, including the
number of individuals the eligible institution intends
to serve during the grant period.
``(H) The workforce development programs to be
supported by the grant.
``(I) The recognized postsecondary credentials that
are expected to be earned by participants in such
workforce development programs and the related high-
skill, high-wage, or in-demand industry sectors or
occupations for which such programs will prepare
participants.
``(J) The evidence upon which the education and
skills development strategies to be used in such
workforce development programs are based and an
explanation of how such evidence influenced the design
of the programs to improve education and employment
outcomes.
``(K) How activities of the eligible institution
are expected to align with the workforce strategies
identified in--
``(i) any State plan or local plan
submitted under this Act by the State, outlying
area, or locality in which the eligible
institution is expected to operate;
``(ii) any State plan submitted under
section 122 of the Carl D. Perkins Career and
Technical Education Act of 2006 (20 U.S.C.
2342) by such State or outlying area; and
``(iii) any economic development plan of
the chief executive of such State or outlying
area.
``(L) The goals of the eligible institution with
respect to--
``(i) capacity building (as described in
subsection (f)(1)(B)); and
``(ii) the expected performance of
individuals participating in the programs to be
offered by the eligible institution, including
with respect to any performance indicators
applicable under section 116 or subsection (f)
of this section.
``(3) Consideration of previous experience.--The Secretary
may not disqualify an eligible institution from receiving a
grant under this section solely because such institution lacks
previous experience in building partnerships, as described in
paragraph (2)(A).
``(4) Priority.--In awarding grants under this section, the
Secretary shall give priority to eligible institutions that--
``(A) will use the grant to serve--
``(i) individuals with barriers to
employment; or
``(ii) incumbent workers who need to gain
or improve foundational skills to enhance their
employability;
``(B) use competency-based assessments to award
academic credit for prior learning for programs
supported by the grant; or
``(C) have, or will seek to have, the career
education programs supported by the grant included on
the list of eligible providers of training services
under section 122(d) for the State in which the
eligible institution is located.
``(e) Uses of Funds.--
``(1) Eligible institution and industry partnership.--For
the purpose of carrying out the activities specified in
paragraphs (2) and (3), an eligible institution that receives a
grant under this section shall establish a partnership (or
continue an existing partnership) with one or more employers in
a high-skill, high-wage, or in-demand industry sector or
occupation (in this section referred to as an `eligible
institution and industry partnership') and shall maintain such
partnership for the duration of the grant period. The eligible
institution shall ensure that the partnership--
``(A) targets one or more specific high-skill,
high-wage, or in-demand industries;
``(B) includes collaboration with the workforce
development system;
``(C) serves dislocated workers, incumbent workers,
and new entrants to the workforce;
``(D) uses an evidence-based program design that is
appropriate for the activities carried out by the
partnership;
``(E) incorporates work-based learning
opportunities; and
``(F) incorporates, to the extent appropriate,
virtual service delivery to facilitate technology-
enabled learning.
``(2) Required activities.--An eligible institution that
receives a grant under this section shall, in consultation with
the employers in the eligible institution and industry
partnership described in paragraph (1)--
``(A) establish, improve, or expand high-quality,
evidence-based workforce development programs, which
may be career pathway programs or work-based learning
programs (including apprenticeship programs or
preapprenticeships);
``(B) provide career services to individuals
participating in the programs funded with the grant to
facilitate retention and program completion, which may
include--
``(i) career navigation, coaching,
mentorship, and case management services,
including providing information and outreach to
individuals with barriers to employment to
encourage such individuals to participate in
programs funded with the grant; and
``(ii) providing access to course
materials, technological devices, required
equipment, and other supports necessary for
participation in and successful completion of
such programs; and
``(C) make available, in a format that is open,
searchable, and easily comparable, information on--
``(i) curricula and recognized
postsecondary credentials offered through
programs funded with the grant, including any
curricula or credentials created or further
developed using such grant, which for each
recognized postsecondary credential, shall
include--
``(I) the issuing entity of such
credential;
``(II) any third-party endorsements
of such credential;
``(III) the occupations for which
the credential prepares individuals;
``(IV) the skills and competencies
necessary to achieve to earn such
credential;
``(V) the level of mastery of such
skills and competencies (including how
mastery is assessed); and
``(VI) any transfer value or
stackability of the credential;
``(ii) any skills or competencies developed
by individuals who participate in such programs
beyond the skills and competencies identified
in clause (i)(IV); and
``(iii) related employment and earnings
outcomes on the primary indicators of
performance described in subclauses (I) through
(III) of section 116(b)(2)(A)(i).
``(3) Additional activities.--In addition to the activities
required under paragraph (2), an eligible institution that
receives a grant under this section shall, in consultation with
the employers in the eligible institution and industry
partnership described in paragraph (1), carry out one or more
of the following activities:
``(A) Establish, improve, or expand--
``(i) articulation agreements (as defined
in section 486A(a) of the Higher Education Act
of 1965 (20 U.S.C. 1093a(a)));
``(ii) credit transfer agreements;
``(iii) corequisite remediation programs
that enable a student to receive remedial
education services while enrolled in a
postsecondary course rather than requiring the
student to receive remedial education before
enrolling in such a course;
``(iv) dual or concurrent enrollment
programs;
``(v) competency-based education and
assessment; or
``(vi) policies and processes to award
academic credit for prior learning or for the
programs described in paragraph (2)(A).
``(B) Establish or implement plans for providers of
the programs described in paragraph (2)(A) to meet the
criteria and carry out the procedures necessary to be
included on the list of eligible providers of training
services described in section 122(d).
``(C) Purchase, lease, or refurbish specialized
equipment as necessary to carry out such programs,
provided that not more than 15 percent of the funds
awarded to the eligible institution under this section
may be used for activities described in this
subparagraph.
``(D) Reduce or eliminate unmet financial need
relating to the cost of attendance (as defined under
section 472 of the Higher Education Act of 1965 (20
U.S.C. 1087ll)) of participants in such programs.
``(4) Administrative cost limit.--An eligible institution
may use not more than 7 percent of the funds awarded under this
section for administrative costs, including costs related to
collecting information, analysis, and coordination for purposes
of subsection (f).
``(f) Levels of Performance and Performance Reviews.--
``(1) In general.--The Secretary shall develop and
implement guidance that establishes the levels of performance
that are expected to be achieved by each eligible institution
receiving a grant under this section. Such levels of
performance shall be established on the following indicators:
``(A) Each of the primary indicators of performance
for adults described in section 116(b)(2)(A)(i), which
shall be applied for all individuals who participated
in a program that received funding from a grant under
this section.
``(B) The extent to which the eligible institution
built capacity by--
``(i) increasing the breadth and depth of
employer engagement and investment in workforce
development programs in the high-skill, high-
wage, or in-demand industry sectors or
occupations targeted by the eligible
institution and industry partnership
established or maintained by the eligible
institution under subsection (e)(1);
``(ii) designing or implementing new and
accelerated instructional techniques or
technologies, including the use of advanced
online and technology-enabled learning (such as
immersive technology); and
``(iii) increasing program and policy
alignment across systems and decreasing
duplicative services or service gaps.
``(C) With respect to individuals who participated
in a workforce development program funded with the
grant--
``(i) the percentage of participants who
successfully completed the program; and
``(ii) of the participants who were
incumbent workers at the time of enrollment in
the program, the percentage who advanced into
higher-level positions during or after
completing the program.
``(2) Consultation and determination of levels of
performance.--
``(A) Consideration.--In developing levels of
performance in accordance with paragraph (1), the
Secretary shall take into consideration the goals of
the eligible institution pursuant to subsection
(d)(2)(L).
``(B) Determination.--After completing the
consideration required under subparagraph (A), the
Secretary shall separately determine the levels of
performance that will apply to each eligible
institution, taking into account--
``(i) the expected levels of performance of
each eligible institution with respect to the
goals described by the eligible institution
pursuant to subsection (d)(2)(L); and
``(ii) local economic conditions in the
geographic area to be served by the eligible
institution, including differences in
unemployment rates and job losses or gains in
the industry sectors or occupations identified
in subsection (d)(2)(D).
``(C) Notice and acknowledgment.--
``(i) Notice.--The Secretary shall provide
each eligible institution with a written
notification that sets forth the levels of
performance that will apply to the eligible
institution, as determined under subparagraph
(B).
``(ii) Acknowledgment.--After receiving the
notification described in clause (i), each
eligible institution shall submit to the
Secretary written confirmation that the
eligible institution--
``(I) received the notification;
and
``(II) agrees to be evaluated in
accordance with the levels of
performance determined by the
Secretary.
``(3) Performance reviews.--On an annual basis during each
year of the grant period, the Secretary shall evaluate the
performance during such year of each eligible institution
receiving a grant under this section in a manner consistent
with the levels of performance determined for such institution
pursuant to paragraph (2).
``(4) Failure to meet levels of performance.--After
conducting an evaluation under paragraph (3), if the Secretary
determines that an eligible institution did not achieve the
levels of performance applicable to the eligible institution
under paragraph (2), the Secretary shall--
``(A) provide technical assistance to the eligible
institution; and
``(B) develop a performance improvement plan for
the eligible institution.
``(g) Evaluations and Reports.--
``(1) In general.--Not later than 4 years after the date on
which the first grant is made under this section, the Secretary
shall design and conduct an evaluation to determine the overall
effectiveness of the eligible institutions receiving a grant
under this section.
``(2) Elements.--The evaluation of the effectiveness of
eligible institutions conducted under paragraph (1) shall
include an assessment of the general effectiveness of programs
and activities supported by the grants awarded to such eligible
institutions under this section, including the extent to which
the programs and activities--
``(A) developed new, or expanded existing,
successful industry sector strategies, including the
extent to which such eligible institutions deepened
employer engagement and developed workforce development
programs that met industry skill needs;
``(B) created, expanded, or enhanced career
pathways, including the extent to which the eligible
institutions developed or improved competency-based
education and assessment, credit for prior learning,
modularized and self-paced curricula, integrated
education and workforce development, dual enrollment in
secondary and postsecondary career pathways, stacked
and latticed credentials, and online and distance
learning;
``(C) created alignment between eligible
institutions and the workforce development system;
``(D) assisted individuals with finding, retaining,
or advancing in employment;
``(E) assisted individuals with earning recognized
postsecondary credentials; and
``(F) provided equal access to various demographic
groups, including people of different geographic
locations, ages, races, national origins, and sexes.
``(3) Design requirements.--The evaluation under this
subsection shall--
``(A) be designed by the Secretary (acting through
the Chief Evaluation Officer) in conjunction with the
eligible institutions being evaluated;
``(B) include analysis of program participant
feedback and outcome and process measures; and
``(C) use designs that employ the most rigorous
analytical and statistical methods that are reasonably
feasible, such as the use of control groups.
``(4) Data accessibility.--The Secretary shall make
available on a publicly accessible website of the Department of
Labor any data collected as part of the evaluation under this
subsection. Such data shall be made available in an aggregated
format that does not reveal personally identifiable information
and that ensures compliance with relevant Federal laws,
including section 444 of the General Education Provisions Act
(commonly known as the `Family Educational Rights and Privacy
Act of 1974') (20 U.S.C. 1232g).
``(5) Publication and reporting of evaluation findings.--
The Secretary (acting through the Chief Evaluation Officer)
shall--
``(A) in accordance with the timeline determined to
be appropriate by the Chief Evaluation Officer, publish
an interim report on the preliminary results of the
evaluation conducted under this subsection;
``(B) not later than 60 days after the date on
which the evaluation is completed under this
subsection, submit to the Committee on Health,
Education, Labor, and Pensions of the Senate and the
Committee on Education and Workforce of the House of
Representatives a report on such evaluation; and
``(C) not later than 90 days after such completion
date, publish and make the results of such evaluation
available on a publicly accessible website of the
Department of Labor.
``(h) Annual Reports.--The Secretary shall make available on a
publicly accessible website of the Department of Labor, in transparent,
linked, open, and interoperable data formats, the following
information:
``(1) The performance of each eligible institution
receiving a grant under this section on the capacity-building
performance indicator set forth under subsection (f)(1)(B).
``(2) The performance of each eligible institution
receiving a grant under this section on the workforce
development participant outcome performance indicators set
forth under subsection (f)(1)(C).
``(3) The number of individuals enrolled in workforce
development programs funded with a grant under this section.
``(i) Definitions.--In this section:
``(1) Chief evaluation officer.--The term `Chief Evaluation
Officer' means the head of the independent evaluation office
located in the Office of the Assistant Secretary for Policy of
the Department of Labor.
``(2) Community college.--The term `community college'
means--
``(A) a public institution of higher education (as
defined in section 101(a) of the Higher Education Act
of 1965 (20 U.S.C. 1001(a))), at which--
``(i) the highest degree awarded is an
associate degree; or
``(ii) an associate degree is the most
frequently awarded degree;
``(B) a branch campus of a 4-year public
institution of higher education (as defined in section
101 of the Higher Education Act of 1965 (20 U.S.C.
1001)), if, at such branch campus--
``(i) the highest degree awarded is an
associate degree; or
``(ii) an associate degree is the most
frequently awarded degree;
``(C) a 2-year Tribal College or University (as
defined in section 316(b)(3) of the Higher Education
Act of 1965 (20 U.S.C. 1059c(b)(3))); or
``(D) a degree-granting Tribal College or
University (as defined in section 316(b)(3) of the
Higher Education Act of 1965 (20 U.S.C. 1059c(b)(3)))
at which--
``(i) the highest degree awarded is an
associate degree; or
``(ii) an associate degree is the most
frequently awarded degree.
``(3) Eligible institution.--The term `eligible
institution' means--
``(A) a community college;
``(B) a postsecondary vocational institution (as
defined in section 102(c) of the Higher Education Act
of 1965 (20 U.S.C. 1002(c))); or
``(C) a consortium of such colleges or
institutions.
``(j) Supplement Not Supplant.--Funds made available under this
section shall be used to supplement, and not supplant, other Federal,
State, and local public funds made available for carrying out the
activities described in this section.''.
SEC. 3. TABLE OF CONTENTS.
The table of contents in section 1(b) of the Workforce Innovation
and Opportunity Act is amended by striking the item relating to section
172 and inserting the following:
``Sec. 172. Strengthening community colleges workforce development
grants program.
``Sec. 173. Authorization of appropriations.''.
<all>
Introduced in Senate
Read twice and referred to the Committee on Health, Education, Labor, and Pensions.
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