In general.—

(A) Amounts .— To carry out employment and training programs, the Secretary shall reserve for allocation to State agencies, to remain available for 24 months, from funds made available for each fiscal year under section 2027(a)(1) of this title , $103,900,000 for each fiscal year.

(B) Allocation .— Funds made available under subparagraph (A) shall be made available to and reallocated among State agencies under a reasonable formula that— (i) is determined and adjusted by the Secretary; and (ii) takes into account the number of individuals who are not exempt from the work requirement under section 2015( o ) of this title.

(C) Reallocation .— (i) In general .— If a State agency will not expend all of the funds allocated to the State agency for a fiscal year under subparagraph (B), the Secretary, subject to clauses (ii) through (v), shall reallocate the unexpended funds to other States (during the fiscal year or the subsequent fiscal year) as the Secretary considers appropriate and equitable. (ii) Timing .— The Secretary shall collect such information as the Secretary determines to be necessary about the expenditures and anticipated expenditures by the State agencies of the funds initially allocated to the State agencies under subparagraph (A) to make reallocations of unexpended funds under clause (i) within a timeframe that allows each State agency to which funds are reallocated at least 270 days to expend the reallocated funds. (iii) Opportunity .— The Secretary shall ensure that all State agencies have an opportunity to obtain reallocated funds. (iv) Priority .— The Secretary shall reallocate funds under this subparagraph as follows: (I) (aa) Subject to items (bb) and (cc), not less than 50 percent shall be reallocated to State agencies requesting such funds to conduct employment and training programs and activities for which such State agencies had previously received funding under subparagraph (F)(viii) that the Secretary determines have the most demonstrable impact on the ability of participants to find and retain employment that leads to increased household income and reduced reliance on public assistance. (bb) The Secretary shall base the determination under item (aa) on— (AA) project results from the independent evaluations conducted under subparagraph (F)(vii)(I); or (BB) if the project results from the independent evaluations conducted under subparagraph (F)(vii)(I) are not yet available, the reports under subparagraph (F)(vii)(II) or other information relating to performance of the programs and activities funded under subparagraph (F)(viii). (cc) Employment and training activities funded under this subclause are not subject to subparagraph (F)(vii), but are subject to monitoring under paragraph (h)(5). (II) Not less than 30 percent shall be reallocated to State agencies requesting such funds to implement or continue employment and training programs and activities under section 2015(d)(4)(B)(i) of this title that the Secretary determines have the most demonstrable impact on the ability of participants to find and retain employment that leads to increased household income and reduced reliance on public assistance, including programs and activities that are targeted to— (aa) individuals 50 years of age or older; (bb) formerly incarcerated individuals; (cc) individuals participating in a substance abuse treatment program; (dd) homeless individuals; (ee) people with disabilities seeking to enter the workforce; (ff) other individuals with substantial barriers to employment; or (gg) households facing multi-generational poverty, to support employment and workforce participation through an integrated and family-focused approach in providing supportive services. (III) The Secretary shall reallocate any remaining funds available under this subparagraph, to State agencies requesting such funds to use for employment and training programs and activities that the Secretary determines have the most demonstrable impact on the ability of participants to find and retain employment that leads to increased household income and reduced reliance on public assistance under section 2015(d)(4)(B)(i) of this title . (v) Consideration .— In reallocating funds under this subparagraph, a State agency that receives reallocated funds under clause (iv)(I) may also be considered for reallocated funding under clause (iv)(II).

(D) Minimum allocation .— Notwithstanding subparagraph (B), the Secretary shall ensure that each State agency operating an employment and training program shall receive not less than $100,000 for each fiscal year.

(E) Additional allocations for states that ensure availability of work opportunities.— (i) In general .— In addition to the allocations under subparagraph (A), from funds made available under section 2027(a)(1) of this title , the Secretary shall allocate not more than $20,000,000 for each fiscal year to reimburse a State agency that is eligible under clause (ii) for the costs incurred in serving members of households receiving supplemental nutrition assistance program benefits who— (I) are not eligible for an exception under section 2015( o )(3) of this title; and (II) are placed in and comply with a program described in subparagraph (B) or (C) of section 2015( o )(2) of this title. (ii) Eligibility .— To be eligible for an additional allocation under clause (i), a State agency shall make and comply with a commitment to offer a position in a program described in subparagraph (B) or (C) of section 2015( o )(2) of this title to each applicant or recipient who— (I) is in the last month of the 3-month period described in section 2015( o )(2) of this title; (II) is not eligible for an exception under section 2015( o )(3) of this title; (III) is not eligible for a waiver under section 2015( o )(4) of this title; and (IV) is not exempt under section 2015( o )(6) of this title.

(F) Pilot projects to reduce dependency and increase work requirements and work effort under supplemental nutrition assistance program.— (i) Pilot projects required.— (I) In general .— The Secretary shall carry out pilot projects under which State agencies shall enter into cooperative agreements with the Secretary to develop and test methods, including operating work programs with certain features comparable to the program of block grants to States for temporary assistance for needy families established under part A of title IV of the Social Security Act ( 42 U.S.C. 601 et seq.), for employment and training programs and services to raise the number of work registrants under section 2015(d) of this title who obtain unsubsidized employment, increase the earned income of the registrants, and reduce the reliance of the registrants on public assistance, so as to reduce the need for supplemental nutrition assistance benefits. (II) Requirements .— Pilot projects shall— (aa) meet such terms and conditions as the Secretary considers to be appropriate; and (bb) except as otherwise provided in this subparagraph, be in accordance with the requirements of sections 2015(d) and 2029 of this title. (ii) Selection criteria.— (I) In general .— The Secretary shall select pilot projects under this subparagraph in accordance with the criteria established under this clause and additional criteria established by the Secretary. (II) Qualifying criteria .— To be eligible to participate in a pilot project, a State agency shall— (aa) agree to participate in the evaluation described in clause (vii), including providing evidence that the State has a robust data collection system for program administration and cooperating to make available State data on the employment activities and post-participation employment, earnings, and public benefit receipt of participants to ensure proper and timely evaluation; (bb) commit to collaborate with the State workforce board and other job training programs in the State and local area; and (cc) commit to maintain at least the amount of State funding for employment and training programs and services under paragraphs (2) and (3) and under section 2029 of this title as the State expended for fiscal year 2013. (III) Selection criteria .— In selecting pilot projects, the Secretary shall— (aa) consider the degree to which the pilot project would enhance existing employment and training programs in the State; (bb) consider the degree to which the pilot project would enhance the employment and earnings of program participants; (cc) consider whether there is evidence that the pilot project could be replicated easily by other States or political subdivisions; (dd) consider whether the State agency has a demonstrated capacity to operate high quality employment and training programs; and (ee) ensure the pilot projects, when considered as a group, test a range of strategies, including strategies that— (AA) target individuals with low skills or limited work experience, individuals subject to the requirements under section 2015( o ) of this title, and individuals who are working; (BB) are located in a range of geographic areas and States, including rural and urban areas; (CC) emphasize education and training, rehabilitative services for individuals with barriers to employment, rapid attachment to employment, and mixed strategies; and (DD) test programs that assign work registrants to mandatory and voluntary participation in employment and training activities. (iii) Accountability.— (I) In general .— The Secretary shall establish and implement a process to terminate a pilot project for which the State has failed to meet the criteria described in clause (ii) or other criteria established by the Secretary. (II) Timing .— The process shall include a reasonable time period, not to exceed 180 days, for State agencies found noncompliant to correct the noncompliance. (iv) Employment and training activities .— Allowable programs and services carried out under this subparagraph shall include those programs and services authorized under this chapter and employment and training activities authorized under the program of block grants to States for temporary assistance for needy families established under part A of title IV of the Social Security Act ( 42 U.S.C. 601 et seq.), including: (I) Employment in the public or private sector that is not subsidized by any public program. (II) Employment in the private sector for which the employer receives a subsidy from public funds to offset all or a part of the wages and costs of employing an adult. (III) Employment in the public sector for which the employer receives a subsidy from public funds to offset all or a part of the wages and costs of employing an adult. (IV) A work activity that— (aa) is performed in return for public benefits; (bb) provides an adult with an opportunity to acquire the general skills, knowledge, and work habits necessary to obtain employment; (cc) is designed to improve the employability of those who cannot find unsubsidized employment; and (dd) is supervised by an employer, work site sponsor, or other responsible party on an ongoing basis. (V) Training in the public or private sector that— (aa) is given to a paid employee while the employee is engaged in productive work; and (bb) provides knowledge and skills essential to the full and adequate performance of the job. (VI) Job search, obtaining employment, or preparation to seek or obtain employment, including— (aa) life skills training; (bb) substance abuse treatment or mental health treatment, determined to be necessary and documented by a qualified medical, substance abuse, or mental health professional; and (cc) rehabilitation activities, supervised by a public agency or other responsible party on an ongoing basis. (VII) Structured programs and embedded activities— (aa) in which adults perform work for the direct benefit of the community under the auspices of public or nonprofit organizations; (bb) that are limited to projects that serve useful community purposes in fields such as health, social service, environmental protection, education, urban and rural redevelopment, welfare, recreation, public facilities, public safety, and child care; (cc) that are designed to improve the employability of adults not otherwise able to obtain unsubsidized employment; (dd) that are supervised on an ongoing basis; and (ee) with respect to which a State agency takes into account, to the maximum extent practicable, the prior training, experience, and skills of a recipient in making appropriate community service assignments. (VIII) Career and technical training programs that are— (aa) directly related to the preparation of adults for employment in current or emerging occupations; and (bb) supervised on an ongoing basis. (IX) Training or education for job skills that are— (aa) required by an employer to provide an adult with the ability to obtain employment or to advance or adapt to the changing demands of the workplace; and (bb) supervised on an ongoing basis. (X) Education that is— (aa) related to a specific occupation, job, or job offer; and (bb) supervised on an ongoing basis. (XI) In the case of an adult who has not completed secondary school or received a certificate of general equivalence, regular attendance that is— (aa) in accordance with the requirements of the secondary school or course of study, at a secondary school or in a course of study leading to a certificate of general equivalence; and (bb) supervised on an ongoing basis. (XII) Providing child care to enable another recipient of public benefits to participate in a community service program that— (aa) does not provide compensation for the community service; (bb) is a structured program designed to improve the employability of adults who participate in the program; and (cc) is supervised on an ongoing basis. (v) Sanctions .— Subject to clause (vi), no work registrant shall be eligible to participate in the supplemental nutrition assistance program if the individual refuses without good cause to participate in an employment and training program under this subparagraph, to the extent required by the State agency. (vi) Standards.— (I) In general .— Employment and training activities under this subparagraph shall be considered to be carried out under section 2015(d) of this title , including for the purpose of satisfying any conditions of participation and duration of ineligibility. (II) Standards for certain employment activities .— The Secretary shall establish standards for employment activities described in subclauses (I), (II), and (III) of clause (iv) that ensure that failure to work for reasons beyond the control of an individual, such as involuntary reduction in hours of employment, shall not result in ineligibility. (III) Participation in other programs .— Before assigning a work registrant to mandatory employment and training activities, a State agency shall— (aa) assess whether the work registrant is participating in substantial employment and training activities outside of the pilot project that are expected to result in the work registrant gaining increased skills, training, work, or experience consistent with the objectives of the pilot project; and (bb) if determined to be acceptable, count hours engaged in the activities toward any minimum participation requirement. (vii) Evaluation and reporting.— (I) Independent evaluation.— (aa) In general .— The Secretary shall, under such terms and conditions as the Secretary determines to be appropriate, conduct for each State agency that enters into a cooperative agreement under clause (i) an independent longitudinal evaluation of each pilot project of the State agency under this subparagraph, with results reported not less frequently than in consecutive 12-month increments. (bb) Purpose .— The purpose of the independent evaluation shall be to measure the impact of employment and training programs and services provided by each State agency under the pilot projects on the ability of adults in each pilot project target population to find and retain employment that leads to increased household income and reduced reliance on public assistance, as well as other measures of household well-being, compared to what would have occurred in the absence of the pilot project. (cc) Methodology .— The independent evaluation shall use valid statistical methods that can determine, for each pilot project, the difference, if any, between supplemental nutrition assistance and other public benefit receipt expenditures, employment, earnings and other impacts as determined by the Secretary— (AA) as a result of the employment and training programs and services provided by the State agency under the pilot project; as compared to (BB) a control group that is not subject to the employment and training programs and services provided by the State agency under the pilot project. (II) Reporting .— Not later than December 31, 2015 , and each December 31 thereafter until the completion of the last evaluation under subclause (I), the Secretary shall submit to the Committee on Agriculture of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate and share broadly, including by posting on the Internet website of the Department of Agriculture, a report that includes a description of— (aa) the status of each pilot project carried out under this subparagraph; (bb) the results of the evaluation completed during the previous fiscal year; (cc) to the maximum extent practicable, baseline information relevant to the stated goals and desired outcomes of the pilot project; (dd) the employment and training programs and services each State tested under the pilot, including— (AA) the system of the State for assessing the ability of work registrants to participate in and meet the requirements of employment and training activities and assigning work registrants to appropriate activities; and (BB) the employment and training activities and services provided under the pilot; (ee) the impact of the employment and training programs and services on appropriate employment, income, and public benefit receipt as well as other outcomes among households participating in the pilot project, relative to households not participating; and (ff) the steps and funding necessary to incorporate into State employment and training programs and services the components of the pilot projects that demonstrate increased employment and earnings. (viii) Funding.— (I) In general .— Subject to subclause (II), from amounts made available under section 2027(a)(1) of this title , the Secretary shall use to carry out this subparagraph— (aa) for fiscal year 2014, $10,000,000; and (bb) for fiscal year 2015, $190,000,000. (II) Limitations.— (aa) In general .— The Secretary shall not fund more than 10 pilot projects under this subparagraph. (bb) Duration .— Each pilot project shall be in effect for not more than 3 years. (III) Availability of funds .— Funds made available under subclause (I) shall remain available through September 30, 2018 . (ix) Use of funds.— (I) In general .— Funds made available under this subparagraph for pilot projects shall be used only for— (aa) pilot projects that comply with this chapter; (bb) the program and administrative costs of carrying out the pilot projects; (cc) the costs incurred in developing systems and providing information and data for the independent evaluations under clause (vii); and (dd) the costs of the evaluations under clause (vii). (II) Maintenance of effort .— Funds made available under this subparagraph shall be used only to supplement, not to supplant, non-Federal funds used for existing employment and training activities or services. (III) Other funds .— In carrying out pilot projects, States may contribute additional funds obtained from other sources, including Federal, State, or private funds, on the condition that the use of the contributions is permissible under Federal law.