H.R. 5296 — BUILDS Act

This section states the purpose of the Act to promote industry or sector partnerships that engage in collaborative planning, resource alignment, and training efforts across multiple businesses for workers employed or potentially employed in targeted infrastructure industries—including energy, construction, information technology, utilities, and transportation—in order to encourage industry growth and competitiveness and improve worker training, retention, and advancement.

This section establishes definitions for terms used in the Act, incorporating the meanings of "career and technical education" and "career guidance and academic counseling" from the Carl D. Perkins Career and Technical Education Act of 2006 (20 U.S.C. 2302) and of "career pathway," "individual with a barrier to employment," "industry or sector partnership," "local board," "recognized postsecondary credential," "State," and "State board" from the Workforce Innovation and Opportunity Act (29 U.S.C. 3102). It further defines "eligible partnership" as an industry or sector partnership (or, for implementation grants, one in the process of becoming such); "Secretary" as the Secretary of Labor; "targeted infrastructure industry" as an industry—such as transportation (including surface, transit, aviation, or railway), construction, energy (including renewable and clean energy, energy efficiency, transmission, and battery storage), information technology, or utilities—identified by the eligible partnership under section 5(c); "work-based learning program" as a program (which may be a registered apprenticeship) providing paid work experience and classroom instruction intended to lead to continuing employment; and "registered apprenticeship" as an apprenticeship under the National Apprenticeship Act (29 U.S.C. 50 et seq.).

This section authorizes the Secretary, in consultation with the Secretaries of Transportation, Energy, Commerce, and Education and the Chief of Engineers of the Army Corps of Engineers, to award competitive grants to eligible entities to plan and implement activities achieving the strategic objectives described in section 5(d) for a targeted infrastructure industry. Grants may be implementation grants (initial awards, up to $2.5 million) or renewal grants (up to $1.5 million), each for up to three years. Awards must ensure geographic diversity and prioritize renewal grants to entities demonstrating long-term sustainability of an industry or sector partnership and providing a non-Federal cost share.

This section establishes the grant application process under the Act, requiring eligible partnerships to submit applications to the Secretary containing, at a minimum, (1) descriptions of the partnership and its capacity, targeted infrastructure industry, targeted workers (including labor market analysis, barriers, and strategies), anticipated infrastructure projects, strategic objectives, credentials (nationally portable, industry-related, and potentially registered apprenticeships), sustainability plans, performance measures, leveraged resources, and timeline; and (2) identification of the targeted industry through consultation with businesses, labor organizations, and other stakeholders. Grant activities must achieve specified strategic objectives, including (1) convening stakeholders for collaboration; (2) identifying business training needs (e.g., skills for competitiveness, apprenticeships, career pathways); (3) aggregating training needs for economies of scale; (4) aligning education and training programs to industry needs and credentials; (5) informing Wagner-Peyser Act agencies of opportunities for unemployment compensation recipients; and (6) helping businesses recruit diverse workers, including those with barriers to employment.

This section requires eligible partnerships receiving grants under this Act to designate a fiscal agent and carry out integrated planning, business engagement, and support service activities to achieve application objectives, while submitting annual evaluation reports to the Secretary and state governor. Specifically, it directs partnerships with implementation grants to use up to $250,000 in the first grant year for planning activities (e.g., establishing the partnership, convening stakeholders, workforce needs evaluation); to engage businesses through services such as apprenticeship registration assistance, curriculum development, transitional employment at not less than 30 hours per week, manager training, career awareness, and recruitment of individuals with barriers to employment (e.g., WIOA participants, SNAP or TANF recipients); and to provide support services for at least 12 months to such individuals, including pre-employment services (e.g., skills training, work attire, child care), early employment services during the first 6 months (e.g., case management, wages with the partnership as employer of record), and ongoing services to ensure program completion. It further requires annual reports, beginning one year after grant receipt, describing funded activities, progress toward strategic objectives, and performance on WIOA indicators (29 U.S.C. 3141(b)(2)(A)), disaggregated by population.

This section authorizes the Secretary to use up to 10% of amounts appropriated under section 8 for each fiscal year for administrative expenses to carry out the Act, including technical assistance and oversight. The section requires the Secretary to provide such technical assistance and oversight to eligible entities applying for and administering grants under the Act.