(a) Short title
This Act may be cited as the Trade Adjustment Assistance Modernization Act.
(b) Table of contents
The table of contents for this Act is as follows:
(a) Effective date; applicability
Except as otherwise provided in this Act, the provisions of chapters 2 through 6 of title II of the Trade Act of 1974, as in effect on June 30, 2021, and as amended by this Act, shall—
(1) take effect on the date of the enactment of this Act; and
(2) apply with respect to petitions for certification filed under chapter 2, 3, 4, or 6 of title II of the Trade Act of 1974 on or after such date of enactment.
(b) Reference
Except as otherwise provided in this Act, whenever in this Act an amendment or repeal is expressed in terms of an amendment to, or repeal of, a provision of chapters 2 through 6 of title II of the Trade Act of 1974, the reference shall be considered to be made to a provision of any such chapter, as in effect on June 30, 2021.
(c) Repeal of snapback
Section 406 of the Trade Adjustment Assistance Reauthorization Act of 2015 (Public Law 114–27) is repealed.
Section 101. Filing petitions
Section 221(a)(1) of the Trade Act of 1974 (19 U.S.C. 2271(a)(1)) is amended—
(1) by amending subparagraph (A) to read as follows:
(A) One or more workers in the group of workers.
(1) ; and
(2) in subparagraph (C), by striking or a State dislocated worker unit and inserting a State dislocated worker unit, or workforce intermediaries, including labor-management organizations that carry out re-employment and training services.
(a) In general
Section 222(a)(2) of the Trade Act of 1974 (19 U.S.C. 2272(a)(2)) is amended—
(1) in subparagraph (A)—
(A) in clause (i), by inserting, failed to increase, or will decrease absolutely due to a scheduled or imminently anticipated long-term decrease in or reallocation of the production capacity of the firm after absolutely; and
(B) in clause (iii)—
(i) by striking to the decline and inserting to any decline or absence of increase; and
(ii) by striking or at the end;
(2) in subparagraph (B)(ii), by striking the period at the end and inserting; or; and
(3) by adding at the end the following:
(i) the sales or production, or both, of such firm have decreased;
(I) exports of articles produced or services supplied by such workers’ firm have decreased; or
(II) imports of articles or services necessary for the production of articles or services supplied by such firm have decreased; and
(iii) the decrease in exports or imports described in clause (ii) contributed to such workers’ separation or threat of separation and to the decline in the sales or production of such firm.
(b) Repeal
Section 222 of the Trade Act of 1974 (19 U.S.C. 2272) is amended—
(1) in subsections (a) and (b), by striking importantly each place it appears; and
(2) in subsection (c)—
(A) by striking paragraph (1); and
(B) by redesignating paragraphs (2) through (4) as paragraphs (1) through (3), respectively.
(c) Eligibility of staffed workers and teleworkers
Section 222 of the Trade Act of 1974 (19 U.S.C. 2272), as amended by subsection (b), is further amended by adding at the end the following:
(1) In general
For purposes of subsection (a), workers in a firm include staffed workers and teleworkers.
(2) Definitions
In this subsection:
(A) Staffed worker
The term staffed worker means a worker who performs work under the operational control of a firm that is the subject of a petition filed under section 221, even if the worker is directly employed by another firm.
(B) Teleworker
The term teleworker means a worker who works remotely but who reports to the location listed for a firm in a petition filed under section 221.
Section 103. Application of determinations of eligibility to workers employed by successors-in-interest
Section 223 of the Trade Act of 1974 (19 U.S.C. 2273) is amended by adding at the end the following:
(f) Treatment of workers of successors-in-Interest
If the Secretary certifies a group of workers of a firm as eligible to apply for adjustment assistance under this chapter, a worker of a successor-in-interest to that firm shall be covered by the certification to the same extent as a worker of that firm.
Section 104. Provision of benefit information to workers
Section 225 of the Trade Act of 1974 (19 U.S.C. 2275) is amended—
(1) in subsection (a), by inserting after the second sentence the following new sentence: The Secretary shall make every effort to provide such information and assistance to workers in their native language.; and
(2) in subsection (b)—
(A) by redesignating paragraph (2) as paragraph (3);
(B) by inserting after paragraph (1) the following:
(2) The Secretary shall provide a second notice to a worker described in paragraph (1) before the worker has exhausted all rights to any unemployment insurance to which the worker is entitled (other than additional compensation described in section 231(a)(3)(B) funded by a State and not reimbursed from Federal funds).
(C) in paragraph (3), as redesignated by paragraph (2), by striking newspapers of general circulation and inserting appropriate print or digital outlets; and
(D) by adding at the end the following:
(4) For purposes of providing sustained outreach regarding the benefits available under this chapter to workers covered by a certification made under this subchapter, the Secretary may take any necessary actions, including the following:
(A) Collecting the email addresses and telephone numbers of such workers from the employers of such workers to provide sustained outreach to such workers.
(B) Partnering with the certified or recognized union, a community-based worker organization, or other duly authorized representatives of such workers.
(C) Hiring peer support workers to perform sustained outreach to other workers covered by that certification.
(D) Using advertising methods and public information campaigns, including social media, in addition to notice published in print or digital outlets under paragraph (3).
(1) In general
Section 231(a) of the Trade Act of 1974 (19 U.S.C. 2291(a)) is amended—
(A) by striking paragraph (2);
(B) by redesignating paragraphs (3), (4), and (5) as paragraphs (2), (3), and (4), respectively; and
(C) in paragraph (4) (as redesignated), by striking paragraphs (1) and (2) each place it appears and inserting paragraph (1).
(A) Section 232 of the Trade Act of 1974 (19 U.S.C. 2292) is amended by striking section 231(a)(3)(B) each place it appears and inserting section 231(a)(2)(B).
(B) Section 233(a) of the Trade Act of 1974 (19 U.S.C. 2293(a)) is amended—
(i) in paragraph (1), by striking section 231(a)(3)(A) and inserting section 231(a)(2)(A); and
(ii) in paragraph (2)—
(I) by striking adversely affected employment and all that follows through (A) within and inserting adversely affected employment within;
(II) by striking, and and inserting a period; and
(III) by striking subparagraph (B).
(b) Waivers of training requirements
Section 231(c)(1) of the Trade Act of 1974 (19 U.S.C. 2291(c)(1)) is amended—
(1) by redesignating subparagraphs (A), (B), and (C) as subparagraphs (C), (D), and (E), respectively; and
(2) by inserting before subparagraph (C) (as redesignated) the following:
(A) Recall
The worker has been notified that the worker will be recalled by the firm from which the separation occurred.
(B) Retirement
The worker is within 2 years of meeting all requirements for entitlement to either—
(i) old-age insurance benefits under title II of the Social Security Act (42 U.S.C. 401 et seq.) (except for application therefor); or
(ii) a private pension sponsored by an employer or labor organization.
Section 106. Modification to trade readjustment allowances
Section 233 of the Trade Act of 1974 (19 U.S.C. 2293) is amended—
(1) in subsection (a)—
(A) in paragraph (2), by inserting after 104-week period the following: (or, in the case of an adversely affected worker who requires a program of prerequisite education or remedial education (as described in section 236(a)(5)(D)) in order to complete training approved for the worker under section 236, the 130-week period);
(B) in paragraph (3), by striking 65 additional weeks in the 78-week period and inserting 78 additional weeks in the 91-week period; and
(C) in the flush text, by striking 78-week period and inserting 91-week period;
(2) by striking subsection (d); and
(3) by amending subsection (f) to read as follows:
(f) Payment of trade readjustment allowances To complete training
Notwithstanding any other provision of this section, in order to assist an adversely affected worker to complete training approved for the worker under section 236 that includes a program of prerequisite education or remedial education (as described in section 236(a)(5)(D)), and in accordance with regulations prescribed by the Secretary, payments may be made as trade readjustment allowances for up to 26 additional weeks in the 26-week period that follows the last week of entitlement to trade readjustment allowances otherwise payable under this chapter.
(a) In general
Part I of subchapter B of chapter 2 of title II of the Trade Act of 1974 (19 U.S.C. 2291 et seq.) is amended by inserting after section 233 the following new section:
(a) In general
Notwithstanding the limitations under section 233(a), the Secretary shall extend the period during which trade readjustment allowances are payable to an adversely affected worker who completes training approved under section 236 by the Secretary during a period of heightened unemployment with respect to the State in which such worker seeks benefits, for the shorter of—
(1) the 26-week period beginning on the date of completion of such training; or
(2) the period ending on the date on which the adversely affected worker secures employment.
(b) Job search required
A worker shall only be eligible for an extension under subsection (a) if the worker is complying with the job search requirements associated with unemployment insurance in the applicable State.
(c) Period of heightened unemployment defined
In this section, the term period of heightened unemployment with respect to a State means a 90-day period during which, in the determination of the Secretary, either of the following average rates equals or exceeds 5.5 percent:
(1) The average rate of total unemployment in such State (seasonally adjusted) for the period consisting of the most recent 3-month period for which data for all States are published before the close of such period.
(2) The average rate of total unemployment in all States (seasonally adjusted) for the period consisting of the most recent 3-month period for which data for all States are published before the close of such period.
(b) Clerical amendment
The table of contents for the Trade Act of 1974 is amended by inserting after the item relating to section 233 the following:
Section 108. Employment and case management services
Section 235 of the Trade Act of 1974 (19 U.S.C. 2295) is amended—
(1) in paragraph (3)—
(A) by inserting after regional areas the following: (including information about registered apprenticeship programs, on-the-job training opportunities, and other work-based learning opportunities); and
(B) by inserting after suitable training the following:, information regarding the track record of a training provider’s ability to successfully place participants into suitable employment;
(2) by redesignating paragraph (8) as paragraph (10); and
(3) by inserting after paragraph (7) the following:
(8) Information related to direct job placement, including facilitating the extent to which employers within the community commit to employing workers who would benefit from the employment and case management services under this section.
(9) Sustained outreach to groups of workers likely to be certified as eligible for adjustment assistance under this chapter and members of certified worker groups who have not yet applied for or been enrolled in benefits or services under this chapter, especially such groups and members from underserved communities.
Section 109. Training
Section 236 of the Trade Act of 1974 (19 U.S.C. 2296) is amended—
(1) in subsection (a)—
(A) in paragraph (1)(D), by inserting, with a demonstrated ability to place participants into employment before the comma at the end;
(B) in paragraph (3), by adding at the end before the period the following:, except that every effort shall be made to ensure that employment opportunities are available upon the completion of training; and
(C) in paragraph (5)—
(i) in subparagraph (G), by striking, and and inserting a comma;
(ii) in subparagraph (H)(ii), by striking the period at the end and inserting, and; and
(iii) by adding at the end before the flush text the following:
(iii) pre-apprenticeship training.
(iii) ; and
(2) by adding at the end the following:
(h) Reimbursement for out-of-Pocket training expenses
If the Secretary approves training for a worker under paragraph (1) of subsection (a), the Secretary may reimburse the worker for out-of-pocket expenses relating to the training program described in paragraph (5) of that subsection that were incurred by the worker on and after the date of the worker’s total or partial separation and before the date on which the certification of eligibility under section 222 that covers the worker is issued.
(a) Job search allowances
Section 237 of the Trade Act of 1974 (19 U.S.C. 2297) is amended—
(1) in subsection (a)(1), by striking may use funds made available to the State to carry out sections 235 through 238 and inserting shall use, from funds made available to the State to carry out sections 235 through 238A, such amounts as may be necessary;
(2) in subsection (a)(2), in the matter preceding subparagraph (A), by striking may grant and inserting shall grant; and
(3) in subsection (b)—
(A) in paragraph (1), by striking not more than 90 percent and inserting 100 percent;
(B) in paragraph (2), by striking $1,250 and inserting $2,000 (subject to adjustment under paragraph (4)); and
(C) by adding at the end the following;
(A) In general
The Secretary of Labor shall adjust the maximum allowance limitation under paragraph (2) on the date that is 30 days after the date of the enactment of this paragraph, and at the beginning of each fiscal year thereafter, to reflect the percentage (if any) of the increase in the average of the Consumer Price Index for the preceding 12-month period compared to the Consumer Price Index for fiscal year 2025.
(B) Special rules for calculation of adjustment
In making an adjustment under subparagraph (A), the Secretary—
(i) shall round the amount of any increase in the Consumer Price Index to the nearest dollar; and
(ii) may ignore any such increase of less than 1 percent.
(C) Consumer Price Index defined
For purposes of this paragraph, the term Consumer Price Index means the Consumer Price Index for All Urban Consumers published by the Bureau of Labor Statistics of the Department of Labor.
(b) Relocation allowances
Section 238 of the Trade Act of 1974 (19 U.S.C. 2298) is amended—
(1) in subsection (a)(1), by striking may use funds made available to the State to carry out sections 235 through 238 and inserting shall use, from funds made available to the State to carry out sections 235 through 238A, such amounts as may be necessary;
(2) in subsection (a)(2), in the matter preceding subparagraph (A), by striking may be granted and inserting shall be granted;
(3) in subsection (b)—
(A) in paragraph (1), by striking not more than 90 percent and inserting 100 percent; and
(B) in paragraph (2), by striking $1,250 and inserting $2,000 (subject to adjustment under subsection (d)); and
(4) by adding at the end the following:
(1) In general
The Secretary of Labor shall adjust the maximum payment limitation under subsection (b)(2) on the date that is 30 days after the date of the enactment of this subsection, and at the beginning of each fiscal year thereafter, to reflect the percentage (if any) of the increase in the average of the Consumer Price Index for the preceding 12-month period compared to the Consumer Price Index for fiscal year 2025.
(2) Special rules for calculation of adjustment
In making an adjustment under paragraph (1), the Secretary—
(A) shall round the amount of any increase in the Consumer Price Index to the nearest dollar; and
(B) may ignore any such increase of less than 1 percent.
(3) Consumer Price Index defined
For purposes of this subsection, the term Consumer Price Index means the Consumer Price Index for All Urban Consumers published by the Bureau of Labor Statistics of the Department of Labor.
(1) 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 adding at the end the following:
(1) In general
Each State shall use, from funds made available to the State to carry out sections 235 through 238A, such amounts as may be necessary to allow an adversely affected worker covered by a certification issued under subchapter A of this chapter to file an application for a child and other dependent care allowance with the Secretary, and the Secretary may grant the child care allowance, subject to the terms and conditions of this section.
(2) Conditions for granting allowance
A child and other dependent care allowance shall be granted if the allowance will assist an adversely affected worker to attend training or seek suitable employment, by providing for the care of one or more of the minor dependents of the worker.
(b) Amount of allowance
Any child and other dependent care allowance granted to a worker under subsection (a) shall not exceed $2,000 per minor dependent per year.
(1) In general
The Secretary of Labor shall adjust the maximum allowance limitation under subsection (b) on the date that is 30 days after the date of the enactment of this subsection, and at the beginning of each fiscal year thereafter, to reflect the percentage (if any) of the increase in the average of the Consumer Price Index for the preceding 12-month period compared to the Consumer Price Index for fiscal year 2025.
(2) Special rules for calculation of adjustment
In making an adjustment under paragraph (1), the Secretary—
(A) shall round the amount of any increase in the Consumer Price Index to the nearest dollar; and
(B) may ignore any such increase of less than 1 percent.
(3) Consumer Price Index defined
For purposes of this subsection, the term Consumer Price Index means the Consumer Price Index for All Urban Consumers published by the Bureau of Labor Statistics of the Department of Labor.
(A) Limitations on administrative expenses and employment and case management services
Section 235A of the Trade Act of 1974 (19 U.S.C. 2295a) is amended in the matter preceding paragraph (1) by striking through 238 and inserting through 238A.
(B) Training
Section 236(a)(2) of the Trade Act of 1974 (19 U.S.C. 2296(a)(2)) is amended—
(i) in subparagraph (A), by striking and 238 and inserting 238, and 238A;
(ii) in subparagraph (B), by striking and 238 each place it appears and inserting 238, and 238A;
(iii) in subparagraph (C)(i), by striking and 238 and inserting 238, and 238A;
(iv) in subparagraph (C)(v), by striking and 238 and inserting 238, and 238A; and
(v) in subparagraph (E), by striking and 238 each place it appears and inserting 238, and 238A.
(3) Clerical amendment
The table of contents for the Trade Act of 1974 is amended by adding after the item relating to section 238 the following new item:
(a) Coordination
Section 239(f) of the Trade Act of 1974 (19 U.S.C. 2311(f)) is amended—
(1) by striking (f) Any agreement and inserting the following:
(1) Any agreement
(1) ; and
(2) by adding at the end the following:
(2) In arranging for training programs to be carried out under this chapter, each cooperating State agency shall, among other factors, take into account and measure the progress of the extent to which such programs—
(A) achieve a satisfactory rate of completion and placement in jobs that provide a living wage and that increase economic security;
(B) assist workers in developing the skills, networks, and experiences necessary to advance along a career path;
(C) assist workers from underserved communities to establish a work history, demonstrate success in the workplace, and develop the skills that lead to entry into and retention in unsubsidized employment; and
(D) adequately serve individuals who face the greatest barriers to employment, including people with low incomes, people of color, immigrants, persons with disabilities, and formerly incarcerated individuals.
(3) Each cooperating State agency shall facilitate joint cooperation between training programs, representatives of workers, employers, and communities, especially in underserved rural and urban regions, to ensure a fair and engaging workplace that balances the priorities and well-being of workers with the needs of businesses.
(4) Each cooperating State agency shall seek, including through agreements and training programs described in this subsection, to ensure the reemployment of adversely affected workers upon completion of training as described in section 236.
(b) Administration
Section 239(g) of the Trade Act of 1974 (19 U.S.C. 2311(g)) is amended—
(1) by redesignating—
(A) paragraphs (1) through (4) as paragraphs (3) through (6), respectively; and
(B) paragraph (5) as paragraph (8);
(2) by inserting before paragraph (3) (as redesignated) the following:
(1) review each layoff of more than 5 workers in a firm to determine whether trade played a role in the layoff and whether workers in such firm are potentially eligible to receive benefits under this chapter;
(2) perform sustained outreach to firms to facilitate and assist with filing petitions under section 221 and collecting necessary supporting information,
(3) in paragraph (3) (as redesignated), by striking who applies for unemployment insurance of and inserting identified under paragraph (1) of unemployment insurance benefits and;
(4) in paragraph (4) (as redesignated), by inserting and assist with after facilitate;
(5) in paragraph (6) (as redesignated), by striking and at the end;
(6) by inserting after paragraph (6) (as redesignated) the following:
(7) perform sustained outreach to workers from underserved communities and to firms that employ a majority or a substantial percentage of workers from underserved communities and develop a plan, in consultation with the Secretary, for addressing common barriers to receiving services that such workers have faced,
(7) in paragraph (8) (as redesignated), by striking funds provided to carry out this chapter are insufficient to make such services available, make arrangements to make such services available through other Federal programs and inserting support services are needed beyond what this chapter can provide, make arrangements to coordinate such services available through other Federal programs; and
(8) by adding at the end the following:
(9) develop a strategy to engage with local workforce development institutions, including local community colleges and other educational institutions; and
(10) develop a comprehensive strategy to provide agency staffing to support the requirements of paragraphs (1) through (9).
(c) Staffing
Section 239 of the Trade Act of 1974 (19 U.S.C. 2311) is amended by striking subsection (k) and inserting the following:
(k) Staffing
An agreement entered into under this section shall provide that the cooperating State or cooperating State agency shall require that any individual engaged in functions (other than functions that are not inherently governmental) to carry out the trade adjustment assistance program under this chapter shall be a State employee covered by a merit system of personnel administration.
Section 112. Reemployment trade adjustment assistance program
Section 246(a) of the Trade Act of 1974 (19 U.S.C. 2318(a)) is amended—
(1) in paragraph (3)(B)(ii), by striking $50,000 and inserting $70,000 (subject to adjustment under paragraph (8));
(2) in paragraph (5)(B)(i), by striking $10,000 and inserting $20,000 (subject to adjustment under paragraph (8)); and
(3) by adding at the end the following:
(A) In general
The Secretary of Labor shall adjust the salary limitation under paragraph (3)(B)(ii) and the amount under paragraph (5)(B)(i) on the date that is 30 days after the date of the enactment of this paragraph, and at the beginning of each fiscal year thereafter, to reflect the percentage (if any) of the increase in the average of the Consumer Price Index for the preceding 12-month period compared to the Consumer Price Index for fiscal year 2025.
(B) Special rules for calculation of adjustment
In making an adjustment under subparagraph (A), the Secretary—
(i) shall round the amount of any increase in the Consumer Price Index to the nearest dollar; and
(ii) may ignore any such increase of less than 1 percent.
(C) Consumer price index defined
For purposes of this paragraph, the term Consumer Price Index means the Consumer Price Index for All Urban Consumers published by the Bureau of Labor Statistics of the Department of Labor.
(a) Definitions
Section 247 of the Trade Act of 1974 (19 U.S.C. 2319) is amended—
(1) in paragraph (3)—
(A) in the matter preceding subparagraph (A), by striking The and inserting Subject to section 222(d)(5), the; and
(B) in subparagraph (A), by striking or service sector firm and inserting, service sector firm, or public agency; and
(2) by adding at the end the following:
(20) The term public agency means a department or agency of a State or local government or of the Federal Government.
(b) Group eligibility requirements
Section 222 of the Trade Act of 1974 (19 U.S.C. 2272), as amended by subsections (b) and (c) of section 102, is further amended—
(1) by redesignating subsections (c), (d), (e), and (f) as subsections (d), (e), (f), and (g), respectively;
(2) by inserting after subsection (b) the following:
(c) 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 have become totally or partially separated, or are threatened to become totally or partially separated;
(2) the public agency has acquired from a foreign country services like or directly competitive with services which are supplied by such agency; and
(3) the acquisition of services described in paragraph (2) contributed to such workers’ separation or threat of separation.
(3) in subsection (d) (as redesignated), by adding at the end the following:
(4) Reference to firm
For purposes of subsections (a) and (b), the term firm does not include a public agency.
(3) ; and
(4) in paragraph (2) of subsection (e) (as redesignated), by striking subsection (a) or (b) and inserting subsection (a), (b), or (c).
(a) Extension of adjustment assistance for workers to territories
Section 247(7) of the Trade Act of 1974 (19 U.S.C. 2319(7)) is amended—
(1) by inserting, Guam, the Virgin Islands of the United States, American Samoa, the Commonwealth of the Northern Mariana Islands, after District of Columbia; and
(2) by striking such Commonwealth. and inserting such territories..
(b) Underserved community
Section 247 of the Trade Act of 1974 (19 U.S.C. 2319), as amended by section 113(a), is further amended by adding at the end the following:
(21) The term underserved community means a community with populations sharing a particular characteristic that have been systematically denied a full opportunity to participate in aspects of economic, social, or civic life, such as Black, Latino, and Indigenous and Native American persons, Asian Americans and Pacific Islanders, other persons of color, members of other minority communities, persons with disabilities, persons who live in rural areas, and other populations otherwise adversely affected by persistent poverty or inequality.
Section 115. Requirements for certain territories
Section 248 of the Trade Act of 1974 (19 U.S.C. 2320) is amended by adding at the end the following:
(c) Requirements for certain territories
The Secretary shall establish such requirements as may be necessary and appropriate to modify the requirements of this chapter, including requirements relating to eligibility for trade readjustment allowances and limitations on administrative expenditures, to address the particular circumstances of Guam, the Virgin Islands of the United States, American Samoa, and the Commonwealth of the Northern Mariana Islands in implementing and carrying out this chapter.
Section 116. Subpoena power
Section 249 of the Trade Act of 1974 (19 U.S.C. 2321) is amended—
(1) in subsection (a), by adding at the end the following: The authority under the preceding sentence includes the authority of States to require, by subpoena, a firm to provide information on workers employed by, or totally or partially separated from, the firm that is necessary to make a determination under this chapter or to provide outreach to workers, including the names and address of workers.; and
(2) by adding at the end the following:
(c) Enforcement of subpoenas by states
A State may enforce compliance with a subpoena issued under subsection (a)—
(1) as provided for under State law; and
(2) by petitioning an appropriate United States district court for an order requiring compliance with the subpoena.
Section 201. Petitions and determinations
Section 251 of the Trade Act of 1974 (19 U.S.C. 2341) is amended—
(1) in the second sentence of subsection (a), by striking Upon and inserting Not later than 15 days after;
(2) by amending subsection (c) to read as follows:
(1) The Secretary shall certify a firm (including any agricultural firm or service sector firm) as eligible to apply for adjustment assistance under this chapter if the Secretary determines—
(i) that a significant number or proportion of the workers in such firm have become totally or partially separated, or are threatened to become totally or partially separated, or
(ii) that—
(I) sales or production, or both, of the firm have decreased absolutely or failed to increase,
(II) sales or production, or both, of an article or service that accounted for not less than 25 percent of the total sales or production of the firm during the 12-month period preceding the most recent 12-month period for which data are available have decreased absolutely or failed to increase,
(III) sales or production, or both, of the firm during the most recent 12-month period for which data are available have decreased or failed to increase compared to—
(aa) the average annual sales or production for the firm during the 24-month period preceding that 12-month period, or
(bb) the average annual sales or production for the firm during the 36-month period preceding that 12-month period, and
(IV) sales or production, or both, of an article or service that accounted for not less than 25 percent of the total sales or production of the firm during the most recent 12-month period for which data are available have decreased or failed to increase compared to—
(aa) the average annual sales or production for the article or service during the 24-month period preceding that 12-month period, or
(bb) the average annual sales or production for the article or service during the 36-month period preceding that 12-month period, and
(i) increases of imports of articles or services like or directly competitive with articles which are produced or services which are supplied by such firm contributed to such total or partial separation, or threat thereof, or to such decline or failure to increase in sales or production, or
(ii) decreases in exports of articles produced or services supplied by such firm, or imports of articles or services necessary for the production of articles or services supplied by such firm, contributed to such total or partial separation, or threat thereof, or to such decline in sales or production.
(2) For purposes of paragraph (1)(B):
(A) Any firm which engages in exploration or drilling for oil or natural gas shall be considered to be a firm producing oil or natural gas.
(B) Any firm that engages in exploration or drilling for oil or natural gas, or otherwise produces oil or natural gas, shall be considered to be producing articles directly competitive with imports of oil and with imports of natural gas.
(2) ; and
(3) in subsection (d)—
(A) by striking this section, and inserting this section.; and
(B) by striking but in any event and all that follows and inserting the following: If the Secretary does not make a determination with respect to a petition within 55 days after the date on which an investigation is initiated under subsection (a) with respect to the petition, the Secretary shall be deemed to have certified the firm as eligible to apply for adjustment assistance under this chapter..
Section 202. Approval of adjustment proposals
Section 252 of the Trade Act of 1974 (19 U.S.C. 2342) is amended—
(1) in the second sentence of subsection (a), by adding at the end before the period the following: and an assessment of the potential employment outcomes of such proposal;
(2) in subsection (b)(1)(B), by striking gives adequate consideration to and inserting is in;
(3) by redesignating subsection (c) as subsection (d); and
(4) by inserting after subsection (b) the following:
(1) In general
A firm may receive adjustment assistance under this chapter with respect to the firm’s economic adjustment proposal in an amount not to exceed $300,000, subject to adjustment under paragraph (2) and the matching requirement under paragraph (3).
(A) In general
The Secretary of Commerce shall adjust the technical assistance limitation under paragraph (1) on the date that is 30 days after the date of the enactment of this paragraph, and at the beginning of each fiscal year thereafter, to reflect the percentage (if any) of the increase in the average of the Consumer Price Index for the preceding 12-month period compared to the Consumer Price Index for fiscal year 2025.
(B) Special rules for calculation of adjustment
In making an adjustment under subparagraph (A), the Secretary—
(i) shall round the amount of any increase in the Consumer Price Index to the nearest dollar; and
(ii) may ignore any such increase of less than 1 percent.
(C) Consumer Price Index defined
For purposes of this paragraph, the term Consumer Price Index means the Consumer Price Index for All Urban Consumers published by the Bureau of Labor Statistics of the Department of Labor.
(3) Matching requirement
A firm may receive adjustment assistance under this chapter only if the firm provides matching funds in an amount equal to the amount of adjustment assistance received under paragraph (1).
Section 203. Technical assistance
Section 253(a)(3) of the Trade Act of 1974 (19 U.S.C. 2343(a)(3)) is amended by adding at the end before the period the following:, including assistance to provide skills training programs to employees of the firm.
Section 204. Definitions
Section 259 of the Trade Act of 1974 (19 U.S.C. 2351) is amended by adding at the end the following:
(3) Underserved community
The term underserved community has the meaning given that term in section 247.
(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:
(a) In general
The Secretary shall develop a plan to provide sustained outreach to firms that may be eligible for adjustment assistance under this chapter.
(b) Matters To be included
The plan required by paragraph (1) shall include the following:
(1) Outreach to the United States International Trade Commission and to such firms in industries with increased imports identified in the Commission’s annual report regarding the operation of the trade agreements program under section 163(c).
(2) Outreach to such firms in the service sector.
(3) Outreach to such firms that are small businesses.
(4) Outreach to such firms that are minority-or women-owned firms.
(5) Outreach to such firms that employ a majority or a substantial percentage of workers from underserved communities.
(c) Updates
The Secretary shall update the plan required under this section on an annual basis.
(d) Submission to Congress
The Secretary shall submit the plan and each update to the plan required under this section to Congress.
(b) Clerical amendment
The table of contents for the Trade Act of 1974 is amended by inserting after the item relating to section 262 the following new item:
(a) In general
Chapter 4 of title II of the Trade Act of 1974 (19 U.S.C. 2371 et seq.) is amended—
(1) by inserting after the chapter heading the following: subchapter B—Trade Adjustment Assistance for Community Colleges and Career Training;
(2) by redesignating sections 271 and 272 as sections 279 and 279A, respectively; and
(3) by inserting before subchapter B (as designated by paragraph (1)) the following:
(3) subchapter A—Trade Adjustment Assistance for Communities
Section 271. Definitions
In this subchapter:
(1) Agricultural commodity producer
The term agricultural commodity producer has the meaning given that term in section 291.
(2) Community
The term community means—
(A) a city or other political subdivision of a State, including a special purpose unit of a State or local government engaged in economic or infrastructure development activities, or a consortium of political subdivisions;
(B) an Economic Development District designated by the Economic Development Administration of the Department of Commerce; or
(C) an Indian Tribe.
(3) Eligible community
The term eligible community means a community that is impacted by trade under section 273(a)(2) and is determined to be eligible for assistance under this subchapter.
(4) Eligible entity
The term eligible entity means—
(A) an eligible community;
(B) an institution of higher education or a consortium of institutions of higher education; or
(C) a public or private nonprofit organization or association acting in cooperation with officials of a political subdivision of a State.
(4) Secretary
The term Secretary means the Secretary of Commerce.
(5) Underserved community
The term underserved community has the meaning given that term in section 247.
Section 272. Establishment of trade adjustment assistance for communities program
The Secretary, acting through the Assistant Secretary for Economic Development, shall, not later than 180 days after the date of enactment of this subchapter, establish a program to provide communities impacted by trade with assistance in accordance with the requirements of this subchapter.
(1) In general
A community shall be eligible for assistance under this subchapter if the community is a community impacted by trade under paragraph (2).
(2) Community impacted by trade
A community is impacted by trade if it meets each of the following requirements:
(A) One or more of the following certifications are made with respect to the community:
(i) By the Secretary of Labor, that a group of workers located in the community is eligible to apply for assistance under section 223.
(ii) By the Secretary of Commerce, that a firm located in the community is eligible to apply for adjustment assistance under section 251.
(iii) By the Secretary of Agriculture, that a group of agricultural commodity producers located in the community is eligible to apply for adjustment assistance under section 293.
(B) The community—
(i) applies for assistance not later than 180 days after the date on which the most recent certification described in subparagraph (A) is made; or
(ii) in the case of a community with respect to which one or more such certifications were made on or after January 1, 1994, and before the date of the enactment of this subchapter, applies for assistance not later than September 30, 2029.
(C) The community—
(i) has a per capita income of 80 percent or less of the national average;
(ii) has an unemployment rate that is, for the most recent 24-month period for which data are available, at least 1 percent greater than the national average unemployment rate; or
(iii) is significantly affected by a loss of, or threat to, the jobs associated with any certification described in subparagraph (A), or the community is undergoing transition of its economic base as a result of changing trade patterns, as determined by the Secretary.
(b) Notification of eligibility
If one or more certifications described in subsection (a)(2)(A) are made with respect to a community, the applicable Secretary with respect to such certification shall concurrently notify the Governor of the State in which the community is located of the ability of the community to apply for assistance under this section.
(a) In general
The Secretary may—
(1) upon the application of an eligible community, award a grant under this section to the community to assist in developing or updating a strategic plan that meets the requirements of section 275; or
(2) upon the application of an eligible entity, award an implementation grant under this section to the entity to assist in implementing projects included in a strategic plan that meets the requirements of section 275.
(A) In general
The Secretary shall maintain the proper operation and financial integrity of revolving loan funds established by eligible entities with assistance under this section.
(B) Efficient administration
The Secretary may—
(i) at the request of an eligible entity, amend and consolidate grant agreements governing revolving loan funds to provide flexibility with respect to lending areas and borrower criteria; and
(ii) assign or transfer assets of a revolving loan fund to a third party for the purpose of liquidation, and the third party may retain assets of the fund to defray costs related to liquidation.
(C) Treatment of actions
An action taken by the Secretary under this subsection with respect to a revolving loan fund shall not constitute a new obligation if all grant funds associated with the original grant award have been disbursed to the recipient.
(A) In general
In the case of a grant for a construction project under this section, if the Secretary determines, before closeout of the project, that the cost of the project, based on the designs and specifications that were the basis of the grant, has decreased because of decreases in costs, the Secretary may approve the use of the excess funds (or a portion of the excess funds) to improve the project.
(B) Other uses of excess funds
Any amount of excess funds remaining after application of subparagraph (A) may be used by the Secretary for providing assistance under this section.
(c) Coordination
If an eligible institution (as such term is defined in section 279) located in an eligible community is seeking a grant under section 279 at the same time the community is seeking an implementation grant under subsection (a)—
(1) the Secretary, upon receipt of such information from the Secretary of Labor as required under section 279(e), shall notify the community that the institution is seeking a grant under section 279; and
(2) the community shall provide to the Secretary, in coordination with the institution, a description of how the community will integrate projects included in the strategic plan with the specific project for which the institution submits the grant proposal under section 279.
(d) Limitation
The total amount of grants awarded with respect to an eligible community under this section for fiscal years 2027 through 2031 may not exceed $25,000,000.
(e) Priority
The Secretary shall, in awarding grants under this section, provide higher levels of funding with respect to eligible communities that have a history of economic distress and long-term unemployment, as determined by the Secretary.
(1) In general
The Secretary shall, in awarding grants under this section, ensure that grants are awarded with respect to eligible communities from geographically diverse areas.
(2) Geographic region requirement
The Secretary shall, in meeting the requirement under paragraph (1), award a grant under this section for each of the fiscal years 2027 through 2031 to at least one eligible community located in each geographic region for which regional offices of the Economic Development Administration of the Department of Commerce are responsible, to the extent that the Secretary receives an application from at least one eligible community in each such geographic region.
(a) In general
A strategic plan meets the requirements of this section if—
(1) the consultation requirements of subsection (b) are met with respect to the development of the plan;
(2) the plan meets the requirements of subsection (c); and
(3) the plan is approved in accordance with the requirements of subsection (d).
(1) In general
To the extent practicable, an eligible community shall consult with the entities described in paragraph (2) in developing the strategic plan.
(2) Entities described
The entities described in this paragraph are public and private entities located in or serving the eligible community, including—
(A) local, county, or State government agencies;
(B) firms, including small- and medium-sized firms;
(C) local workforce investment boards;
(D) labor organizations, including State labor federations and labor-management initiatives, representing workers in the community;
(E) educational institutions, local educational agencies, and other training providers; and
(F) local civil rights organizations and community-based organizations, including organizations representing underserved communities.
(c) Contents
The strategic plan may contain, as applicable to the community, the following:
(1) A description and analysis of the capacity of the eligible community to achieve economic adjustment to the impact of trade.
(2) An analysis of the economic development challenges and opportunities facing the community, including the strengths and weaknesses of the economy of the community.
(3) An assessment of—
(A) the commitment of the community to carry out the strategic plan on a long-term basis;
(B) the participation and input of members of the community who are dislocated from employment due to the impact of trade; and
(C) the extent to which underserved communities have been impacted by trade.
(4) A description of how underserved communities will benefit from the strategic plan.
(5) A description of the role of the entities described in subsection (b)(2) in developing the strategic plan.
(6) A description of projects under the strategic plan to facilitate the community’s economic adjustment to the impact of trade, including projects to—
(A) develop public facilities, public services, jobs, and businesses (including establishing a revolving loan fund);
(B) provide for planning and technical assistance;
(C) provide for training;
(D) provide for the demolition of vacant or abandoned commercial, industrial, or residential property;
(E) redevelop brownfields;
(F) establish or support land banks;
(G) support energy conservation; and
(H) support historic preservation.
(7) A strategy for continuing the community’s economic adjustment to the impact of trade after the completion of such projects.
(8) A description of the educational and training programs and the potential employment opportunities available to workers in the community, including for workers under the age of 25, and the future employment needs of the community.
(9) An assessment of—
(A) the cost of implementing the strategic plan; and
(B) the timing of funding required by the community to implement the strategic plan.
(10) A description of the methods of financing to be used to implement the strategic plan, including—
(A) an implementation grant received under section 274 or under other authorities;
(B) a loan, including the establishment of a revolving loan fund; or
(C) other types of financing.
(11) An assessment of how the community will address unemployment among agricultural commodity producers, if applicable.
(1) Approval
The Secretary shall approve the strategic plan developed by an eligible community under this section if the Secretary determines that the strategic plan meets the requirements of this section.
(2) CEDS or equivalent
The Secretary may deem an eligible community’s Comprehensive Economic Development Strategy that substantially meets the requirements of this section to be an approved strategic plan for purposes of this subchapter.
(e) Allocation
Of the funds appropriated to carry out this chapter for each of the fiscal years 2027 through 2031, the Secretary may make available not more than $50,000,000 to award grants under section 274(a)(1).
(a) In general
The Secretary shall coordinate the Federal response with respect to an eligible community that is awarded an implementation grant under section 274(a)(2) to implement the community’s strategic plan that meets the requirements of section 275 by—
(1) identifying and consulting, as appropriate, with any other Federal, State, regional, or local government agency;
(2) assisting the community to access assistance from other available Federal sources as necessary to fulfill the community’s strategic plan developed under section 275; and
(3) ensuring that such assistance is provided in a targeted, integrated manner.
(1) Transfer of funds to other Federal agencies
Subject to paragraph (3), funds appropriated to carry out this chapter may be transferred between Federal agencies, if the funds are used for the purposes for which the funds are specifically appropriated.
(A) In general
Subject to paragraph (3) and subparagraph (B), for the purposes of this chapter, the Secretary may accept transfers of funds from other Federal agencies if the funds are used for the purposes for which (and in accordance with the terms under which) the funds are specifically appropriated.
(B) Use of funds
The transferred funds—
(i) shall remain available until expended; and
(ii) may, to the extent necessary to carry out this chapter, be transferred to and merged by the Secretary with the appropriations for salaries and expenses.
(3) Availability
The transfer authorities provided by this subsection shall not apply with respect to amounts made available by an appropriations Act.
(c) Additional technical assistance
In addition to the coordination and assistance described in subsection (a), the Secretary shall provide technical assistance for communities—
(1) to identify significant impediments to economic development that result from the impact of trade on the community, including in the course of developing a strategic plan under section 275; and
(2) to access assistance under other available sources, including State, local, territorial, or private sources, to implement projects that diversify and strengthen the economy in the community.
(1) In general
The Secretary shall, subject to paragraph (3), promulgate such regulations as may be necessary to carry out this subchapter, including with respect to—
(A) administering the awarding of grants under section 274, including establishing guidelines for the submission and evaluation of grant applications under such section; and
(B) establishing guidelines for the evaluation of strategic plans developed to meet the requirements of section 275.
(2) Consultations
The Secretary shall consult with the Committee on Ways and Means of the House of Representatives and the Committee on Finance of the Senate not later than 90 days prior to promulgating any final rule or regulation under this subsection.
(3) Relationship to existing regulations
The Secretary, to the maximum extent practicable, shall—
(A) rely on and apply regulations promulgated to carry out other economic development programs of the Department of Commerce in carrying out this subchapter; and
(B) provide guidance regarding the manner and extent to which such other economic development programs relate to this subchapter.
(b) Resources
The Secretary shall allocate such resources as may be necessary to provide sufficiently individualized assistance to each eligible community that receives a grant under section 274(a) or seeks technical assistance under section 276(c) to develop and implement a strategic plan that meets the requirements of section 275.
(b) Clerical amendment
The table of contents for the Trade Act of 1974 is amended by striking the items relating to chapter 4 of title II and inserting the following:
Section 302. Trade adjustment assistance for community colleges and career training
Section 279 of the Trade Act of 1974, as redesignated by section 301(a)(2), is amended as follows:
(1) In subsection (a)—
(A) in paragraph (1), by striking eligible institutions and inserting eligible entities; and
(B) in paragraph (2)—
(i) in the matter preceding subparagraph (A), by striking eligible institution and inserting eligible entity; and
(ii) in subparagraph (B)—
(I) by striking $1,000,000 and inserting $2,500,000;
(II) by striking (B) and inserting (B)(i) in the case of an eligible institution,;
(III) by striking the period at the end and inserting; or; and
(IV) by adding at the end the following:
(ii) in the case of a consortium of eligible institutions, a grant under this section in excess of $15,000,000.
(2) In subsection (b), by adding at the end the following:
(3) Eligible entity
The term eligible entity means an eligible institution or a consortium of eligible institutions.
(4) Underserved community
The term underserved community has the meaning given that term in section 247.
(3) In subsection (c)—
(A) by striking eligible institution each place it appears and inserting eligible entity; and
(B) in paragraph (5)(A)(i)—
(i) in subclause (I), by striking and at the end; and
(ii) by adding at the end the following:
(III) any opportunities to support industry or sector partnerships to develop or expand quality academic programs and curricula; and
(4) In subsection (d), by striking eligible institution each place it appears and inserting eligible entity.
(5) By redesignating subsection (e) as subsection (h) and inserting after subsection (d) the following:
(1) In general
An eligible entity shall use a grant awarded under this section to establish and scale career training programs, including career and technical education programs, and career pathways and supports for students participating in such programs.
(2) Student support and emergency services
Not less than 15 percent of the amount of a grant awarded to an eligible entity under this section shall be used to carry out student support services, which may include the following:
(A) Supportive services, including childcare, transportation, mental health services, or substance use disorder prevention and treatment, assistance in obtaining health insurance coverage, housing, and other benefits, as appropriate.
(B) Connecting students to State or Federal means-tested benefits programs.
(C) The provision of direct financial assistance to help students facing financial hardships that may impact enrollment in or completion of a program supported by such funds.
(D) Navigation, coaching, mentorship, and case management services, including providing information and outreach to the population described in subparagraph (C) to take part in such a program.
(E) Providing access to necessary supplies, materials, technological devices, or required equipment, and other supports necessary to participate in such a program.
(1) In general
In awarding grants under this section, the Secretary shall—
(A) ensure that eligible institutions effectively serve individuals from underserved communities; and
(B) develop a plan to ensure that grants provided under this subchapter effectively serve individuals from underserved communities.
(2) Updates
The Secretary shall update the plan required by paragraph (1)(B) on an annual basis.
(3) Submission to Congress
The Secretary shall submit the plan required by paragraph (1)(B) and each update to the plan required by paragraph (2) to Congress.
(g) Geographic diversity
The Secretary shall, in awarding grants under this section, ensure that grants are awarded with respect to eligible entities from geographically diverse areas.
Section 401. Definitions
Section 291 of the Trade Act of 1974 (19 U.S.C. 2401) is amended—
(1) by striking paragraph (3);
(2) by redesignating paragraphs (4) through (7) as paragraphs (3) through (6), respectively; and
(3) by adding at the end the following:
(7) Underserved community
The term underserved community has the meaning given that term in section 247.
Section 402. Group eligibility requirements
Section 292 of the Trade Act of 1974 (19 U.S.C. 2401a) is amended—
(1) in subsection (c)—
(A) in paragraph (1)—
(i) by striking 85 percent of each place it appears; and
(ii) in subparagraph (D), by adding and at the end;
(B) in paragraph (2), by striking (2) and inserting (2)(A)(i);
(C) by redesignating paragraph (3) as clause (ii) of paragraph (2)(A) (as designated by subparagraph (B));
(D) in clause (ii) of paragraph (2)(A) (as redesignated by subparagraph (C))—
(i) by striking importantly; and
(ii) by striking the period at the end and inserting; or; and
(E) in paragraph (2), by adding at the end the following:
(i) the volume of exports of the agricultural commodity produced by the group in the marketing year with respect to which the group files the petition decreased compared to the average volume of such exports during the 3 marketing years preceding such marketing year; and
(ii) the decrease in such exports contributed to the decrease in the national average price, quantity of production, or value of production of, or cash receipts for, the agricultural commodity, as described in paragraph (1).
(E) ; and
(2) in subsection (e)(3), by adding at the end before the period the following: or exports.
Section 403. Benefit information to agricultural commodity producers
Section 295(a) of the Trade Act of 1974 (19 U.S.C. 2401d(a)) is amended by adding at the end the following: The Secretary shall develop a plan to conduct targeted sustained outreach and offer assistance to agricultural commodity producers from underserved communities.
Section 404. Qualifying requirements and benefits for agricultural commodity producers
Section 296 of the Trade Act of 1974 (19 U.S.C. 2401e) is amended—
(1) in subsection (a)(1)(A), by striking 90 days and inserting 120 days;
(2) in subsection (b)—
(A) in paragraph (3)(B), by striking $4,000 and inserting $12,000; and
(B) in paragraph (4)(C), by striking $8,000 and inserting $24,000;
(3) in subsection (c), by striking $12,000 and inserting $36,000; and
(4) by adding at the end the following new subsection:
(1) In general
The Secretary of Agriculture shall adjust each dollar amount limitation described in this section on the date that is 30 days after the date of the enactment of this subsection, and at the beginning of each fiscal year thereafter, to reflect the percentage (if any) of the increase in the average of the Consumer Price Index for the preceding 12-month period compared to the Consumer Price Index for fiscal year 2025.
(2) Special rules for calculation of adjustment
In making an adjustment under paragraph (1), the Secretary—
(A) shall round the amount of any increase in the Consumer Price Index to the nearest dollar; and
(B) may ignore any such increase of less than 1 percent.
(3) Consumer Price Index defined
For purposes of this subsection, the term Consumer Price Index means the Consumer Price Index for All Urban Consumers published by the Bureau of Labor Statistics of the Department of Labor.
(a) In general
Section 35(b)(1)(B) of the Internal Revenue Code of 1986 is amended by striking, and before January 1, 2022.
(b) Increase in credit percentage
Section 35(a) of such Code is amended by striking 72.5 percent and inserting 80 percent.
(1) In general
Section 7527(a) of such Code is amended by striking Not later than the date that is 1 year after the date of the enactment of the Trade Adjustment Assistance Reauthorization Act of 2015 and inserting As soon as practicable and not later than 90 days after the date of the enactment of the Trade Adjustment Assistance Modernization Act.
(2) Increase in credit percentage
Subsections (b) and (e)(1) of section 7527 of such Code are each amended by striking 72.5 percent and inserting 80 percent.
(3) Retroactive payments
Section 7527(e)(1)(A) of such Code is amended by striking the date that is 1 year after the date of the enactment of the Trade Adjustment Assistance Reauthorization Act of 2015 and inserting the date of the enactment of the Trade Adjustment Assistance Modernization Act.
(1) In general
Except as otherwise provided in this subsection, the amendments made by this section shall apply to coverage months beginning after December 31, 2021.
(2) Application of advance payment
The amendments made by subsection (c) shall apply to coverage months beginning after the date of the enactment of this Act.
(e) Transition rule
Notwithstanding section 35(g)(11)(B)(i) of the Internal Revenue Code of 1986, an election to apply section 35 of such Code to an eligible coverage month (as defined in section 35(b) of such Code) beginning after December 31, 2021, and before the close of the taxable year which includes the date of the enactment of this Act—
(1) may be made at any time on or after such date of enactment and before the later of—
(A) the expiration of the 3-year period of limitation prescribed in section 6511(a) with respect to the taxable year which includes such coverage month, or
(B) such date as the Secretary may provide, and
(2) may be made on an amended return.