State of Illinois
92nd General Assembly

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 1        AN ACT concerning training grants.

 2        Be  it  enacted  by  the People of the State of Illinois,
 3    represented in the General Assembly:

 4        Section 5.  The  Department  of  Commerce  and  Community
 5    Affairs  Law  of the Civil Administrative Code of Illinois is
 6    amended by changing Sections  605-800,  and  605-810  and  by
 7    adding Section 605-802 as follows:

 8        (20 ILCS 605/605-800) (was 20 ILCS 605/46.19a in part)
 9        Sec.  605-800.  Training  grants  for  skills in critical
10    demand.
11        (a)  Grants to provide training  in  fields  affected  by
12    critical  demands  for certain skills may be made as provided
13    in this Section.
14        (b)  The Director may make grants to  eligible  employers
15    or  to  other  eligible  entities  on  behalf of employers as
16    authorized  in  subsection  (c)  to  provide   training   for
17    employees  in fields for which there are critical demands for
18    certain skills.
19        (c)  The Director may accept  applications  for  training
20    grant funds and grant requests from:  (i) entities sponsoring
21    multi-company  eligible employee training projects as defined
22    in subsection (d), including business associations, strategic
23    business partnerships, institutions of  secondary  or  higher
24    education,   large   manufacturers   for   supplier   network
25    companies,    federal    Job    Training    Partnership   Act
26    administrative  entities  or  grant  recipients,  and   labor
27    organizations   when   those  projects  will  address  common
28    training needs identified  by  participating  companies;  and
29    (ii)  individual  employers  that  are  undertaking  eligible
30    employee  training  projects  as  defined  in subsection (d),
31    including intermediaries and training agents.
                            -2-               LRB9210790BDdvA
 1        (d)  The Director may make grants to eligible  applicants
 2    as  defined  in subsection (c) for employee training projects
 3    that include, but need not be limited to, one or more of  the
 4    following:
 5             (1)  Training   programs   in  response  to  new  or
 6        changing technology being introduced in the workplace.
 7             (2)  Job-linked training that offers special  skills
 8        for  career  advancement  or that is preparatory for, and
 9        leads directly to, jobs with  definite  career  potential
10        and long-term job security.
11             (3)  Training  necessary  to implement total quality
12        management  or  improvement  or   both   management   and
13        improvement systems within the workplace.
14             (4)  Training  related to new machinery or equipment
15        being installed in the workplace.
16             (5)  Training of employees  of  companies  that  are
17        expanding  into  new  markets  or  expanding exports from
18        Illinois.
19             (6)  Basic, remedial, or  both  basic  and  remedial
20        training   of  employees  as  a  prerequisite  for  other
21        vocational or technical skills training or as a condition
22        for sustained employment.
23             (7)  Self-employment training of the unemployed  and
24        underemployed    with   comprehensive,   competency-based
25        instructional  programs  and  services,   entrepreneurial
26        education  and  training  initiatives for youth and adult
27        learners in cooperation with the Illinois  Institute  for
28        Entrepreneurial   Education,   training   and  education,
29        conferences, workshops, and best practice information for
30        local program operators of entrepreneurial education  and
31        self-employment training programs.
32             (8)  Other  training activities or projects, or both
33        training activities and projects, related to the support,
34        development, or  evaluation  of  job  training  programs,
                            -3-               LRB9210790BDdvA
 1        activities,  and  delivery  systems,  including  training
 2        needs assessment and design.
 3        (e)  Grants  shall  be  made  on the terms and conditions
 4    that the Department shall  determine.  No  grant  made  under
 5    subsection (d), however, shall exceed 50% of the direct costs
 6    of all approved training programs provided by the employer or
 7    the  employer's  training agent or other entity as defined in
 8    subsection (c).  Under this Section, allowable costs include,
 9    but are not limited to:
10             (1)  Administrative costs of tracking,  documenting,
11        reporting,  and  processing  training  funds  or  project
12        costs.
13             (2)  Curriculum development.
14             (3)  Wages and fringe benefits of employees.
15             (4)  Training  materials,  including  scrap  product
16        costs.
17             (5)  Trainee travel expenses.
18             (6)  Instructor   costs,   including  wages,  fringe
19        benefits, tuition, and travel expenses.
20             (7)  Rent, purchase, or lease of training equipment.
21             (8)  Other usual and customary training costs.
22        (f)  The Director will  ensure  that  a  minimum  of  one
23    on-site grant monitoring visit is conducted by the Department
24    either  during  the  course  of  the grant period or within 6
25    months following the end of the grant period. The  Department
26    shall  verify  that the grantee's financial management system
27    is structured to provide for accurate, current, and  complete
28    disclosure  of  the financial results of the grant program in
29    accordance  with  all  provisions,  terms,   and   conditions
30    contained in the grant contract.
31        (g)  (Blank)  The  Director  may  establish and collect a
32    schedule of charges from subgrantee entities and other system
33    users under federal job-training programs  for  participating
34    in  and  utilizing  the  Department's  automated job-training
                            -4-               LRB9210790BDdvA
 1    program information systems if the systems and the  necessary
 2    participation and utilization are requirements of the federal
 3    job-training programs.  All monies collected pursuant to this
 4    subsection  shall  be  deposited  into  the  Title III Social
 5    Security and Employment Fund, except that any moneys that may
 6    be necessary to pay liabilities outstanding as  of  June  30,
 7    2000   shall  be  deposited  into  the  Federal  Job-Training
 8    Information Systems Revolving Fund.
 9    (Source: P.A. 90-454,  eff.  8-16-97;  91-239,  eff.  1-1-00;
10    91-476, eff. 8-11-99; 91-704, eff. 7-1-00.)

11        (20 ILCS 605/605-802 new))
12        Sec.     605-802.  Small    business    technology    and
13    manufacturing training.
14        (a) The Director may establish, operate, and  maintain  a
15    program  to  assist  small  businesses in Illinois, including
16    businesses located in rural areas of the  State,  to  upgrade
17    the  basic  and technical skills of their employees by making
18    grants to representing entities.  The  representing  entities
19    shall assist small businesses to determine training needs and
20    to  identify  qualified training providers, and may reimburse
21    such businesses for the eligible costs of  training  received
22    from  qualified  training  providers.   Reimbursement  grants
23    shall  be  subject to the approval of the representing entity
24    and  the  availability  of  grant  funds.   All   grants   to
25    representing  entities  made  under  this  Section  shall  be
26    awarded through a competitive application process.
27        (b)  Representing  entities who are eligible to apply for
28    grants under this Section include: small business development
29    centers,  manufacturing   extension   programs,   procurement
30    technical  assistance centers, Illinois technology enterprise
31    development centers, and  small  business  organizations  and
32    associations  created  to  assist  small businesses to remain
33    competitive.
                            -5-               LRB9210790BDdvA
 1        (c)  For purposes of this Section, "small business" means
 2    a technology-related or  manufacturing-related  company  with
 3    less than 100 full-time employees.
 4        (d)  Qualified  training  providers  include  public  and
 5    private   institutions   of   secondary   and  post-secondary
 6    education, private sector  training  vendors,  and  qualified
 7    employees   of  either  a  small  business  or  an  affiliate
 8    organization participating in the training.
 9        (e)  Eligible costs for reimbursement under this  Section
10    include:  (i)  tuition;  (ii) fees; (iii) internal instructor
11    costs, including wages and fringe benefits; (iv)  contractual
12    costs  for  vendor  supplied training; and (v) administrative
13    expenses.
14        (f)  Allowable    administrative    expenses    of    the
15    representing entity shall be limited to no more than  15%  of
16    total grant expenditures.
17        (g)  A  grantee  of  the  Department,  functioning  as  a
18    representing  entity,  may  provide  reimbursement to a small
19    business for eligible costs if:
20             (1)  the training is for an  authorized  purpose  as
21        defined in subsection (d) of Section 605-800 of this Act;
22             (2)  the employer provides documentation of the cost
23        of the training;
24             (3)  the  employer provides evidence of satisfactory
25        completion of the training by the employee;
26             (4)  the  employer  certifies  that   the   employee
27        training  was  recommended  by  the small business and is
28        job-related; and
29             (5)  reimbursement does not exceed 50% of the  total
30        eligible costs.
31        (h)  Reimbursement  for  training of any individual shall
32    not exceed $3,000 within any 24-month  period.  Reimbursement
33    for any single small business shall not exceed $30,000 within
34    any 24-month period.
                            -6-               LRB9210790BDdvA
 1        (i)  A  grantee  under  this  Section  shall periodically
 2    submit reports, as prescribed by the Department, showing  the
 3    number  of  workers participating in the program, courses and
 4    programs successfully completed,  and  the  small  businesses
 5    benefiting  from the program. The grantees shall also provide
 6    the Department with an estimate of the amount of grant  funds
 7    that  will  be  used  by  the  end  of  the fiscal year. Upon
 8    examination of the reports, the  Department  may  modify  the
 9    grant  awards to ensure efficient use of available funds. The
10    Department must notify the grantee  of  any  modification  of
11    grant awards.

12        (20 ILCS 605/605-810) (was 20 ILCS 605/46.19a in part)
13        Sec.  605-810.   Reemployment of former employees.   When
14    the Department is involved in developing a federal  or  State
15    funded  training  or retraining program for any employer, the
16    Department will assist and encourage that employer in  making
17    every  effort  to reemploy individuals previously employed at
18    the facility.  Further, the Department will provide a list of
19    those  employees  to  the  employer  for  consideration   for
20    reemployment  and  will  report the results of this effort to
21    the  Illinois  Job  Training  Coordinating   Council.    This
22    requirement  shall  be  in  effect  when all of the following
23    conditions are met:
24             (1)  The employer is reopening, or is  proposing  to
25        reopen,  a  facility  that  was  last  closed  during the
26        preceding 2 years.
27             (2)  A substantial number of the  persons  who  were
28        employed  at  the facility before its most recent closure
29        remain unemployed.
30             (3)  The product or service produced by, or proposed
31        to be produced  by,  the  employer  at  the  facility  is
32        substantially  similar to the product or service produced
33        at the facility before its most recent closure.
                            -7-               LRB9210790BDdvA
 1    (Source: P.A. 90-454, eff. 8-16-97; 91-239, eff. 1-1-00.)

 2        Section 99.  Effective date.  This Act takes effect  upon
 3    becoming law.

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