To provide assistance to employees who suffer loss of employment in the airline industry as a result of the terrorist attacks of September 11, 2001.

September 24, 2001

Mr. HASTINGS of Florida (for himself, Ms. HART, Mrs. CHRISTENSEN, Mr. JACKSON of Illinois, Mr. MORAN of Virginia, Mrs. MINK of Hawaii, Ms. KILPATRICK, Mr. PASCRELL, Mr. LANTOS, Mr. MENENDEZ, Mr. HINCHEY, Mr. RUSH, Mr. ABERCROMBIE, Mr. LANGEVIN, Mr. INSLEE, Mr. LARSEN of Washington, and Ms. JACKSON-LEE of Texas) introduced the following bill; which was referred to the Committee on Education and the Workforce, and in addition to the Committees on Energy and Commerce, and Ways and Means, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned

To provide assistance to employees who suffer loss of employment in the airline industry as a result of the terrorist attacks of September 11, 2001.

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

This Act may be cited as the `Displaced Workers Relief Act of 2001'.

SEC. 2. DEFINITIONS.

In this Act:

(1) AFFECTED AREA- The term `affected area' means an area that the Secretary determines has a substantial number of eligible employees.

(2) AIR CARRIER- The term `air carrier' means an air carrier that holds a certificate issued under chapter 411 of title 49, United States Code.

(3) COBRA CONTINUATION COVERAGE- The term `COBRA continuation coverage' means coverage under a group health plan provided by an employer pursuant to title XXII of the Public Health Service Act, section 4980B of the Internal Revenue Code of 1986, part 6 of subtitle B of title I of the Employee Retirement Income Security Act of 1974, or section 8905a of title 5, United States Code.

(4) ELIGIBLE EMPLOYEE- The term `eligible employee' means an individual who has become totally or partially separated, or is threatened to become totally or partially separated, from employment with an air carrier, employment to or from a facility at an airport, employment that involves the provision of transportation to or from an airport, or employment with an upstream producer or supplier for an air carrier, as a consequence of--

(A) reductions in service by an air carrier as a result of a terrorist action or security measure, as determined by the Secretary; or

(B) a closure of an airport in the United States as a result of a terrorist action or security measure, as determined by the Secretary.

(5) SECRETARY- The term `Secretary' means the Secretary of Labor.

(6) SUPPLIER- The term `supplier' means a firm that produces component parts for, or articles and contract services considered to be a part of the production process or services for, another firm.

(7) TERRORIST ACTION OR SECURITY MEASURE- The term `terrorist action or security measure' means a terrorist attack on the United States on September 11, 2001, or a security measure taken in response to the attack.

(8) UPSTREAM PRODUCER- The term `upstream producer' means a firm that performs additional, value-added, production processes, including firms that perform final assembly, finishing, or packaging of articles, for another firm.

(9) OTHER TERMS- The terms defined in section 247 of the Trade Act of 1974 shall apply in this Act.

SEC. 3. PETITIONS AND DETERMINATIONS.

(a) PETITIONS- A petition for a certification of eligibility to apply for adjustment assistance under this Act may be filed with the Secretary by a group of workers or by their certified or recognized union or other duly authorized representative. The Secretary shall comply with the notice and hearing requirements of section 221 of the Trade Act of 1974 with respect to the petition.

(b) CERTIFICATION- The Secretary shall certify a group of workers as eligible to apply for adjustment assistance under this Act if the Secretary determines that a significant number or proportion of the workers in such workers' firm or an appropriate subdivision of the firm are eligible employees.

(c) DETERMINATIONS- As soon as possible after the date on which a petition is filed under subsection (a), but in any event not later than 60 days after that date, the Secretary shall determine whether the petitioning group meets the requirements of subsection (b) and shall issue a certification of eligibility to apply for adjustment assistance under this Act covering workers in any group that meets such requirements. The Secretary shall issue and terminate such certifications in accordance with section 223 of the Trade Act of 1974.

(d) INFORMATION- The Secretary shall provide the information, assistance, and notice described in section

225 of the Trade Act of 1974 with respect to certifications made under subsection (b), and agreements entered into and benefits available under this Act.

SEC. 4. PROGRAM BENEFITS.

(a) DETERMINATIONS- The Secretary shall determine, with respect to an eligible employee covered by a certification issued by the Secretary under section 3, whether--

(1) the employee is unlikely to return to the industry involved;

(2) the employee is likely to return to that industry, but unlikely to return to the employee's previous occupation in the industry; or

(3) the employee is likely to return to that occupation.

(b) DIFFERENT INDUSTRY OR OCCUPATION- If the Secretary determines that an eligible employee described in subsection (a) meets the requirements of paragraph (1) or (2) of subsection (a) and engages in appropriate job search activities, and that the employee and any training approved by the Secretary for the employee meet the requirements of paragraphs (1) and (3) of section 236(a) of the Trade Act of 1974, the employee shall be provided, in the same manner and to the same extent as an employee covered under a certification under subchapter A of chapter 2 of title II of the Trade Act of 1974, 1 or more of the following:

(1) Employment services described in section 235 of the Trade Act of 1974 (including, in the case of an eligible employee in an affected area, employment services provided through programs developed and conducted through partnerships between public agencies, employers, and labor organizations).

(2) Training that consists of--

(A) training (including supplemental assistance) described in section 236 of the Trade Act of 1974, notwithstanding the provisions of section 236(a)(2) of such Act;

(B) training for a position requiring different technical skill than the original position; or

(C) in the case of an eligible employee in an affected area, training provided through programs developed and conducted through partnerships between public agencies, employers, and labor organizations.

(3) Readjustment allowances described in sections 231 through 234 of the Trade Act of 1974, except that--

(A) an eligible employee is not required to enroll in training to receive such an allowance;

(B) the reference in section 233(a)(1) of the Trade Act of 1974 to `52' shall be considered to be a reference to `78'; and

(C) no employee shall receive additional weeks of assistance under section 233(a)(3) of such Act.

(4) Job search allowances described in section 237 of the Trade Act of 1974.

(c) SAME INDUSTRY AND OCCUPATION- If the Secretary determines that an eligible employee described in subsection (a) meets the requirements of subsection (a)(3), the employee shall be provided, in the same manner and to the same extent as an employee covered under a certification under subchapter A of chapter 2 of title II of the Trade Act of 1974, 1 or more of the following:

(1) Employment services described in section 235 of the Trade Act of 1974 (including, in the case of an eligible employee in an affected area, employment services provided through programs developed and conducted through partnerships between public agencies, employers, and labor organizations).

(2) Readjustment allowances described in sections 231 through 234 of the Trade Act of 1974, except that--

(A) an eligible employee is not required to enroll in training to receive such an allowance;

(B) the reference in section 233(a)(1) of the Trade Act of 1974 to `52' shall be considered to be a reference to `78'; and

(C) no employee shall receive additional weeks of assistance under section 233(a)(3) of such Act.

(d) EMPLOYEES NOT ELIGIBLE FOR UNEMPLOYMENT INSURANCE- An eligible employee who is totally separated from employment in a State who does not meet the requirements of paragraphs (2) through (4) of section 231(a) of the Trade Act of 1974 shall be provided only an allowance, for a period of 26 weeks, in the amount of the average weekly benefit received by an individual in the State under the State unemployment insurance program during the most recent 52-week period for which data are available.

(e) COBRA CONTINUATION COVERAGE- In the case of an individual who is eligible for benefits under subsection (b) or (c), the Secretary shall provide for payment of premiums for COBRA continuation coverage with respect to such individual. Such payment may be made through appropriate direct payment arrangements with the group health plan or health insurance issuer involved. The Secretary may require documentation of election of benefits or proof of premium payment.

(f) OPTIONAL TEMPORARY MEDICAID COVERAGE FOR UNINSURED ELIGIBLE EMPLOYEES-

(1) IN GENERAL- Notwithstanding any other provision of law, a State may elect to provide, under its medicaid program under title XIX of the Social Security Act, medical assistance in the case of an individual who is eligible for benefits under subsection (b) or (c), who is not eligible for COBRA continuation coverage, and who is uninsured. For purposes of this subsection, an individual is considered to be uninsured if the individual is not covered under a group health plan, health insurance coverage, or under such program or a program under title XVIII or XXI of such Act.

(2) LIMITATION TO 18 MONTHS OF COVERAGE- Assistance under this subsection shall end with respect to an individual on the earlier of--

(A) the date the individual is no longer uninsured; or

(B) 18 months after the date the individual is first determined to be eligible for medical assistance under this subsection.

(3) SPECIAL RULES- In the case of medical assistance provided under this subsection--

(A) the Federal medical assistance percentage under section 1905(b) of the Social Security Act shall be 100 percent;

(B) a State may elect to disregard any income, asset, or resource limitation imposed under the State medicaid plan or under title XIX of such Act;

(C) such medical assistance shall not be provided for periods before the date the individual is determined eligible for such assistance;

(D) a State may elect to make eligible for such assistance a dependent spouse or children of an individual eligible for medical assistance under paragraph (1), if such spouse or children are uninsured; and

(E) individuals eligible for medical assistance under this subsection shall be deemed to be described in the list of individuals described in the matter preceding paragraph (1) of section 1905(a) of such Act.

SEC. 5. ADMINISTRATION.

The provisions of subchapter C of chapter 2 of title II of the Trade Act of 1974 shall apply to the administration of the program under this Act in the same manner and to the same extent as such provisions apply to the administration of the program under subchapters A and B of chapter 2 of title II of the Trade Act of 1974, except that--

(1) the agreement between the Secretary and the States described in section 239 of the Trade Act of 1974 shall specify the procedures that will be used to carry out the certification process under section 3, the procedures for providing relevant data by the Secretary to assist the States in making preliminary findings under section 3, and the adjustment assistance described in section 4;

(2) the provisions of such subchapter C relating to training shall not be applicable under this Act; and

(3) the provisions of such subchapter shall apply to COBRA continuation coverage under section 4(e) to the extent specified by the Secretary.

SEC. 6. REGULATIONS.

The Secretary--

(1) may issue interim regulations to carry out this Act, notwithstanding chapters 5 and 7 of title 5, United States Code; and

(2) shall issue final regulations to carry out this Act in accordance with such chapters.

SEC. 7. APPLICATION AND CONSTRUCTION.

(a) APPLICATION- For purposes of applying provisions of chapter 2 of title II of the Trade Act of 1974 under this Act, references in such chapter--

(1) to a worker shall be considered to be references to an eligible employee;

(2) to a benefit shall be considered to be references to the corresponding benefit provided under this subsection to an eligible employee; and

(3) to a provision of chapter 2 of title II of the Trade Act of 1974 shall be considered to be references to the corresponding provision of this Act.

(b) CONSTRUCTION-

(1) NO IMPACT ON TRADE ADJUSTMENT ASSISTANCE- Nothing in this Act shall be construed to modify or affect title II of the Trade Act of 1974.

(2) NO IMPACT ON EXISTING AGREEMENTS AND BENEFITS- Nothing in this Act shall be construed to diminish the obligation of an employer to comply with any collective bargaining agreement or any employment benefit program or plan.

SEC. 8. AUTHORIZATION OF APPROPRIATIONS.

(a) IN GENERAL- There is authorized to be appropriated and there is appropriated to carry out this Act a total of $3,750,000,000 for fiscal years 2002 and 2003.

(b) ADMINISTRATION- There are authorized to be appropriated and there are appropriated such sums as may be necessary for the administration of this Act for fiscal years 2002 and 2003.

(c) DESIGNATION- Congress designates the entire amounts described in subsections (a) and (b) as emergency requirements pursuant to section 252(e) of the Balanced Budget and Emergency Deficit Control Act of 1985.

END