[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 6861 Introduced in House (IH)]
<DOC>
119th CONGRESS
1st Session
H. R. 6861
To amend title 38, United States Code, to transfer certain functions of
the Department of Labor to the Department of Veterans Affairs, and for
other purposes.
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IN THE HOUSE OF REPRESENTATIVES
December 18, 2025
Mr. Hamadeh of Arizona introduced the following bill; which was
referred to the Committee on Veterans' Affairs, and in addition to the
Committee on the Budget, 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
_______________________________________________________________________
A BILL
To amend title 38, United States Code, to transfer certain functions of
the Department of Labor to the Department of Veterans Affairs, and for
other purposes.
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 ``Consolidating Veteran Employment
Services for Improved Performance Act''.
SEC. 2. TRANSFER OF DEPARTMENT OF LABOR VETERANS PROGRAMS TO DEPARTMENT
OF VETERANS AFFAIRS.
(a) Transfer of Functions.--
(1) In general.--Effective October 1, 2027, there shall be
transferred to the Secretary of Veterans Affairs all functions
performed under the following programs of the Department of
Labor, and all personnel, assets, and liabilities pertaining to
such programs, immediately before such transfer occurs:
(A) Job counseling, training, and placement
services for veterans under chapter 41 of title 38,
United States Code.
(B) Federal Government employment services by the
Secretary of Labor under section 4214 of such title.
(C) Administration of employment and reemployment
rights of members of the uniformed services under
chapter 43 of such title.
(D) Homeless veterans reintegration programs under
chapter 20 of such title.
(2) Memorandums of agreement.--The Secretary of Veterans
Affairs shall enter into memorandums of agreement with the
Secretary of Labor and with States (as defined in section
4101(6) of title 38, United States Code), as the Secretary of
Veterans Affairs determines necessary, to implement the
transition of the programs specified under paragraph (1).
(3) Rule of construction.--Nothing in this Act may be
construed to affect the role and responsibility of the
Secretary of Labor with respect to programs not administered by
the Assistant Secretary of Labor for Veterans' Employment and
Training Service as of the day before the date of the enactment
of this Act that are specified under paragraph (1).
(b) Budget Request.--Under section 1105 of title 31, United States
Code, the President shall include in the President's budget request for
the Department of Veterans Affairs for fiscal year 2028, and for each
subsequent fiscal year, funding requested for the functions referred to
in subsection (a)(1).
(c) References.--Any reference in any other Federal law, Executive
order, rule, regulation, or delegation of authority, or any document of
or pertaining to a department or office from which a function is
transferred by this Act--
(1) to the head of such department or office is deemed to
refer to the head of the department or office to which such
function is transferred; or
(2) to such department or office is deemed to refer to the
department or office to which such function is transferred.
(d) Exercise of Authorities.--Except as otherwise provided by law,
a Federal official to whom a function is transferred by this Act may,
for purposes of performing the function, exercise all authorities under
any other provision of law that were available with respect to the
performance of that function to the official responsible for the
performance of the function immediately before the effective date of
the transfer of the function under this Act.
(e) Savings Provisions.--
(1) Legal documents.--All orders, determinations, rules,
regulations, permits, grants, loans, contracts, agreements,
certificates, licenses, and privileges--
(A) that have been issued, made, granted, or
allowed to become effective by the President, the
Secretary of Labor, the Secretary of Veterans Affairs,
any officer or employee of any office transferred by
this Act, or any other Government official, or by a
court of competent jurisdiction, in the performance of
any function that is transferred by this Act, and
(B) that are in effect on the effective date of
such transfer (or become effective after such date
pursuant to their terms as in effect on such effective
date),
shall continue in effect according to their terms until
modified, terminated, superseded, set aside, or revoked in
accordance with law by the President, any other authorized
official, a court of competent jurisdiction, or operation of
law.
(2) Proceedings.--This Act shall not affect any proceedings
or any application for any benefits, service, license, permit,
certificate, or financial assistance pending on the date of the
enactment of this Act before an office transferred by this Act,
but such proceedings and applications shall be continued.
Orders shall be issued in such proceedings, appeals shall be
taken therefrom, and payments shall be made pursuant to such
orders, as if this Act had not been enacted, and orders issued
in any such proceeding shall continue in effect until modified,
terminated, superseded, or revoked by a duly authorized
official, by a court of competent jurisdiction, or by operation
of law. Nothing in this subsection shall be considered to
prohibit the discontinuance or modification of any such
proceeding under the same terms and conditions and to the same
extent that such proceeding could have been discontinued or
modified if this Act had not been enacted.
(3) Suits.--This Act shall not affect suits commenced
before the date of the enactment of this Act, and in all such
suits, proceeding shall be had, appeals taken, and judgments
rendered in the same manner and with the same effect as if this
Act had not been enacted.
(4) Nonabatement of actions.--No suit, action, or other
proceeding commenced by or against the Department of Labor or
the Secretary of Labor, or by or against any individual in the
official capacity of such individual as an officer or employee
of an office transferred by this Act, shall abate by reason of
the enactment of this Act.
(5) Continuance of suits.--If any Government officer in the
official capacity of such officer is party to a suit with
respect to a function of the officer, and under this Act such
function is transferred to any other officer or office, then
such suit shall be continued with the other officer or the head
of such other office, as applicable, substituted or added as a
party.
(6) Administrative procedure and judicial review.--Except
as otherwise provided by this Act, any statutory requirements
relating to notice, hearings, action upon the record, or
administrative or judicial review that apply to any function
transferred by this Act shall apply to the exercise of such
function by the head of the Federal agency, and other officers
of the agency, to which such function is transferred by this
Act.
(f) Transfer of Assets.--Except as otherwise provided in this Act,
so much of the personnel, property, records, and unexpended balances of
appropriations, allocations, and other funds employed, used, held,
available, or to be made available in connection with a function
transferred to an official or agency by this Act shall be available to
the official or the head of that agency, respectively, at such time or
times as the Director of the Office of Management and Budget directs
for use in connection with the functions transferred.
(g) Delegation and Assignment.--Except as otherwise expressly
prohibited by law or otherwise provided in this Act, an official to
whom functions are transferred under this Act (including the head of
any office to which functions are transferred under this Act) may
delegate any of the functions so transferred to such officers and
employees of the office of the official as the official may designate,
and may authorize successive redelegations of such functions as may be
necessary or appropriate. No delegation of functions under this section
or under any other provision of this Act shall relieve the official to
whom a function is transferred under this Act of responsibility for the
administration of the function.
(h) Authority of Director of the Office of Management and Budget
With Respect to Functions Transferred.--
(1) Determinations.--If necessary, the Director of
Management and Budget shall make any determination of the
functions that are transferred under this Act.
(2) Incidental transfers.--The Director, at such time or
times as the Director shall provide, may make such
determinations as may be necessary with regard to the functions
transferred by this Act, and to make such additional incidental
dispositions of personnel, assets, liabilities, grants,
contracts, property, records, and unexpended balances of
appropriations, authorizations, allocations, and other funds
held, used, arising from, available to, or to be made available
in connection with such functions, as may be necessary to carry
out the provisions of this Act. The Director shall provide for
the termination of the affairs of all entities terminated by
this Act and for such further measures and dispositions as may
be necessary to effectuate the purposes of this Act.
(i) Certain Vesting of Functions Considered Transfers.--For
purposes of this Act, the vesting of a function in a department or
office pursuant to reestablishment of an office shall be considered to
be the transfer of the function.
(j) Availability of Existing Funds.--Existing appropriations and
funds available for the performance of functions, programs, and
activities terminated pursuant to this Act shall remain available, for
the duration of their period of availability, for necessary expenses in
connection with the termination and resolution of such functions,
programs, and activities.
(k) Definitions.--For purposes of this Act--
(1) the term ``function'' includes any duty, obligation,
power, authority, responsibility, right, privilege, activity,
or program; and
(2) the term ``office'' includes any office,
administration, agency, bureau, institute, council, unit,
organizational entity, or component thereof.
SEC. 3. DEPUTY UNDER SECRETARY OF VETERANS AFFAIRS FOR VETERANS
ECONOMIC OPPORTUNITY AND TRANSITION.
(a) In General.--Subsection (a) of section 4102A of title 38,
United States Code, is amended to read as follows:
``(a) Deputy Under Secretary for Veterans Economic Opportunity and
Transition.--There is established within the Department a Deputy Under
Secretary for Veterans Economic Opportunity and Transition, who shall
formulate and implement all departmental policies and procedures to
carry out the purposes of this chapter, chapter 20, and chapter 43 of
this title.''.
(b) Clerical Amendments.--Chapter 41 of title 38, United States
Code, is amended as follows:
(1) The section heading of section 4102A of such title is
amended to read as follows:
``Sec. 4102A. Deputy Under Secretary for Veterans Economic Opportunity
and Transition; program functions; Regional
Administrators''.
(2) The item relating to such section in the table of
sections at the beginning of such chapter is amended to read as
follows:
``4102A. Deputy Under Secretary for Veterans Economic Opportunity and
Transition; program functions; Regional
Administrators.''.
(c) Effective Date.--The amendments made by this section shall take
effect on October 1, 2027.
SEC. 4. CONSOLIDATION OF DISABLED VETERANS OUTREACH PROGRAM AND LOCAL
VETERANS' EMPLOYMENT REPRESENTATIVES.
(a) Consolidation.--
(1) In general.--Section 4104 of title 38, United States
Code, is amended to read as follows:
``Sec. 4104. Veteran employment specialists
``(a) Requirement for Employment by States.--(1) Subject to
approval by the Secretary, a State shall employ and assign such full-
or part-time veteran employment specialists in an agency of the State
as the State determines appropriate and efficient to carry out the
following:
``(A) Employment, training, and placement services under
this chapter.
``(B) Intensive services under this chapter to meet the
employment needs of eligible veterans with the following
priority in the provision of services:
``(i) Special disabled veterans.
``(ii) Other disabled veterans.
``(iii) Other eligible veterans in accordance with
priorities determined by the Secretary taking into
account applicable rates of unemployment and the
employment emphases set forth in chapter 42 of this
title.
``(2) In the provision of services in accordance with this
subsection, maximum emphasis in meeting the employment and training
needs of veterans shall be placed on assisting economically or
educationally disadvantaged veterans.
``(b) Principal Duties.--As principal duties, veteran employment
specialists shall--
``(1) conduct outreach to employers in the area to assist
veterans and disabled veterans in gaining employment, including
conducting seminars for employers and, in conjunction with
employers, conducting job search workshops and establishing job
search groups; and
``(2) facilitate employment, training, and placement
services furnished to veterans and disabled veterans in a State
under the applicable State employment service delivery systems.
``(c) Requirement for Qualified Veterans.--(1) Except as provided
by paragraph (2), a State shall, to the maximum extent practicable,
employ qualified veterans to carry out the services referred to in
subsection (a). Preference shall be given in the appointment of such
specialists to qualified disabled veterans. Preference shall be
accorded in the following order:
``(A) To qualified service-connected disabled veterans.
``(B) If no veteran described in subparagraph (A) is
available, to qualified eligible veterans.
``(C) If no veteran described in subparagraph (A) or (B) is
available, then to qualified eligible persons.
``(2) During any period in which more than 10 percent of the
individuals employed to carry out the services referred to in
subsection (a) are non-veterans, the preference accorded under
paragraph (1) shall be as follows:
``(A) To qualified service-connected disabled veterans.
``(B) If no veteran described in subparagraph (A) is
available, to qualified eligible veterans.
``(3)(A) Each State that employs a veteran employment specialist
under this section shall submit to the Secretary an annual report on
the qualifications used by the State in making hiring determinations
for such specialists and the salary structure under which such
specialists are compensated.
``(B) The Secretary shall submit to the Committees on Veterans'
Affairs of the Senate and House of Representatives an annual report
summarizing the reports submitted under subparagraph (A).
``(C) The first report submitted by the Secretary under
subparagraph (B) shall include an evaluation of whether the pay for
veteran employment specialists should be scheduled on a standard basis
for each State and include locality pay.
``(d) Part-time Employees.--A part-time veteran employment
specialist shall perform the functions of a veteran employment
specialist under this section on a halftime basis.
``(e) Reporting.--Each veteran employment specialist shall be
administratively responsible to the manager of the employment service
delivery system and shall provide reports, not less frequently than
quarterly, to the manager of such office and to the Director for
Veterans' Employment and Training for the State regarding compliance
with Federal law and regulations with respect to special services and
priorities for eligible veterans and eligible persons.''.
(2) Clerical amendment.--The table of sections at the
beginning of such chapter is amended by striking the item
relating to section 4104 and inserting the following new item:
``4104. Veteran employment specialists.''.
(3) Training.--The Secretary of Veterans Affairs shall
ensure that an individual who is a veteran employment
specialist under section 4104 of title 38, United States Code,
as amended by paragraph (1), is properly trained to carry out
the duties of such position.
(b) Conforming Amendments.--Such title is further amended--
(1) by striking section 4103A and by striking the item
relating to such section in the table of sections at the
beginning of chapter 41 of such title;
(2) in section 4102A--
(A) in subsection (b)--
(i) in paragraph (5)--
(I) by striking subparagraph (B)
and redesignating subparagraph (C) as
subparagraph (B);
(II) by amending subparagraph (A)
to read as follows:
``(A) veteran employment specialists appointed
under section 4104(a) of this title; and''; and
(III) in subparagraph (B), as so
redesignated, by striking ``such
specialists and representatives
described in subparagraphs (A) and
(B)'' and inserting ``such
representatives described in