H.R. 5372: Demonstrating that Empowerment Makes Opportunities Act

This legislation, known as the Demonstrating that Empowerment Makes Opportunities Act (DEMO Act), aims to help individuals with arrest or conviction records find career opportunities in the health professions. Here’s a breakdown of what the bill proposes:

Grants for Education and Training

The bill would authorize the Secretary of the Department of Health and Human Services, in coordination with the Secretaries of Labor and Education, to provide grants to eligible entities. These entities will conduct demonstration projects that focus on offering education and training specifically for people with arrest or conviction records.

These projects are intended to prepare participants for careers in health occupations that are expected to face labor shortages or high demand.

Key Features of the Demonstration Projects

• Project Duration: Each grant-funded project would run for a minimum of three years.
• Application Requirements: Entities applying for a grant must include evidence that state laws support the awarding of health care credentials to individuals with certain arrest or conviction records and outline their plans to assist these individuals in obtaining jobs in health professions.
• Support Services: Projects can include access to legal assistance for participants dealing with employment barriers related to their records, and support for emergencies that may impede the participants’ ability to maintain employment.

Eligibility Criteria

Eligible entities that can apply for these grants include:

• Local workforce development boards
• State and local governments
• Tribal organizations or colleges
• Higher education institutions
• Hospitals and health centers
• Nonprofit organizations with experience in health profession training

Participant Eligibility

To qualify for participation in these projects, individuals must have an income not exceeding 138% of the Federal poverty level and must have an arrest or conviction record.

Funding and Financial Aspects

The legislation includes an appropriation of $10 million for the fiscal year 2026 to support these initiatives.

Evaluation and Improvement

The Secretary is tasked with overseeing evaluations of these demonstration projects to assess their effectiveness in creating accessible career pathways in the health professions for individuals with challenging backgrounds. The evaluations will identify successful strategies and offer insights into improving workforce development for low-income individuals.

Effective Date

The provisions of this bill are set to take effect on October 1, 2025.

Relevant Companies

• HCA Healthcare (HCA): This company could see an impact due to potential increased staffing from trained individuals entering the healthcare workforce.
• UnitedHealth Group (UNH): As a major health insurer, changes in workforce availability could affect their operational capabilities and service delivery.
• McKesson Corporation (MCK): This healthcare logistics and distribution company may be influenced by improvements in workforce competency in health professions.