H.R. 6861: Consolidating Veteran Employment Services for Improved Performance Act

This bill, titled the Consolidating Veteran Employment Services for Improved Performance Act, aims to reorganize and improve the employment services available to veterans by transferring programs from the Department of Labor to the Department of Veterans Affairs (VA). Here’s a summary of its key provisions:

Transfer of Functions

Starting on October 1, 2027, the following functions from the Department of Labor will move to the VA:

• Job counseling, training, and placement services for veterans.
• Federal employment services for veterans.
• Administration of employment rights for members of the uniformed services.
• Programs to reintegrate homeless veterans into the workforce.

The bill stipulates that the Secretary of Veterans Affairs (VA) is responsible for this transition and is required to create agreements with the Secretary of Labor and with state authorities to facilitate the transfer.

Budget Consultations

The President of the United States must include funding requests for the transferred functions in the VA’s budget for fiscal year 2028 and for subsequent years, ensuring continued support for these services.

Amendments to Federal Law

The bill includes provisions to clarify references in federal law regarding the departments involved. It specifies that any references to functions carried out by the Department of Labor will now be considered as functions carried out by the VA. Additionally, it ensures the continuity of existing legal documents and actions under these services, meaning legal proceedings, contracts, and agreements will remain valid even after the transfer occurs.

Leadership and Oversight

A new position, the Deputy Under Secretary for Veterans Economic Opportunity and Transition, will be established within the VA. This position will oversee the implementation of policies related to the employment and transition of veterans. The legislation stipulates that this role will ensure comprehensive oversight of all programs being transferred.

Consolidation of Employment Programs

The bill aims to consolidate various employment programs into a more streamlined system. This will include combining the responsibilities of disabled veterans outreach specialists and local veterans' employment representatives into a cohesive service under the new veteran employment specialists. States will be tasked with employing veterans for these roles, with a preference for qualified veterans and, importantly, those who are disabled.

Reporting and Accountability

States that employ veteran employment specialists are required to submit annual reports detailing the qualifications of these specialists and their salary structures. The Secretary of Veterans Affairs will use these reports to assess the program's effectiveness and may evaluate potential standardization of pay.

Study and Report Requirements

The bill mandates a collaborative study by the Secretaries of Veterans Affairs and Labor to evaluate the transfer processes and the potential impacts of the changes. This includes analyzing improvements in service delivery for veterans post-transfer and estimating the costs associated with the implementation. They need to report their findings and implementation plans within one year after the bill's enactment.

Technical Amendments

There will also be various technical amendments throughout the U.S. Code to reflect the changes made by this legislation. This includes changing references from the Department of Labor to the Department of Veterans Affairs where applicable and adjusting relevant sections to ensure clarity in the roles and responsibilities of VA officials.

Effective Date of Amendments

Most of the amendments and organizational changes outlined in the bill are set to take effect on October 1, 2027, providing time for preparation and transition for both departments involved.

Relevant Companies

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