From: Kelly Pierce 
Subject: ticket to work proposal introduced
          participate in the Program--
 
                  "(i) the employment services, vocational rehabilitation
              services, and other support services which, upon assignment of
              tickets to work and self-sufficiency, are provided to disabled
              beneficiaries by the State agency acting as an employment 
network
              shall be governed by plans for vocational rehabilitation 
services
              approved under title I of the Rehabilitation Act of 1973, and
 
                  "(ii) the provisions of section 222(d) and the provisions 
f
              section 1615 shall not apply with respect to such State.
 
              "(B) State agencies administering maternal and child health
          services programs.--Subparagraph (A) shall not apply with respect 
o
          any State agency administering a program under title V of this Act.
 
      "(d) Responsibilities of the Commissioner of Social Security.--
 
          "(1) Selection and qualifications of program managers.--The
      Commissioner of Social Security shall enter into agreements with one or
      more organizations in the private or public sector for service as a
      program manager to assist the Commissioner in administering the 
rogram.
      Any such program manager shall be selected by means of a competitive
      bidding process, from among organizations in the private or public 
sector
      with available expertise and experience in the field of vocational
      rehabilitation or employment services.
 
          "(2) Tenure, renewal, and early termination.--Each agreement 
ntered
      into under paragraph (1) shall provide for early termination upon 
failure
      to meet performance standards which shall be specified in the agreement
      and which shall be weighted to take into account any performance in 
prior
      terms. Such performance standards shall include (but are not limited
      to)--
 
              "(A) measures for ease of access by beneficiaries to services,
          and
 
              "(B) measures for determining the extent to which failures in
          obtaining services for beneficiaries fall within acceptable
          parameters, as determined by the Commissioner.
 
          "(3) Preclusion from direct participation in delivery of services 
n
      own service area.--Agreements under paragraph (1) shall preclude--
 
              "(A) direct participation by a program manager in the delivery 
of
          employment services, vocational rehabilitation services, or other
          support services to beneficiaries in the service area covered by 
he
          program manager's agreement, and
 
              "(B) the holding by a program manager of a financial interest 
n
          an employment network or service provider which provides services 
n
          a geographic area covered under the program manager's agreement.
 
          "(4) Selection of employment networks.--The Commissioner shall 
select
      and enter into agreements with employment networks for service under 
he
      Program. Such employment networks shall be in addition to State 
gencies
      serving as employment networks pursuant to elections under subsection
      (c).
 
          "(5) Termination of agreements with employment networks..--The
      Commissioner shall terminate agreements with employment networks for
      inadequate performance, as determined by the Commissioner.
 
          "(6) Quality assurance.--The Commissioner shall provide for such
      periodic reviews as are necessary to provide for effective quality
      assurance in the provision of services by employment networks. The
      Commissioner shall take into account the views of consumers and the
      program manager under which the employment networks serve and shall
      consult with providers of services to develop performance measurements.
      The Commissioner shall ensure that the results of the periodic reviews
      are made available to beneficiaries who are prospective service
      recipients as they select employment networks. The Commissioner shall
      ensure the performance of periodic surveys of beneficiaries receiving
      services under the Program designed to measure customer service
      satisfaction.
 
          "(7) Dispute resolution.--The Commissioner shall provide for a
      mechanism for resolving disputes between beneficiaries and employment
      networks and between program managers and employment networks. The
      Commissioner shall afford a party to such a dispute a reasonable
      opportunity for a full and fair review of the matter in dispute.
 
      "(e) Program Managers.--
 
          "(1) In general.--A program manager shall conduct tasks appropriate
      to assist the Commissioner in carrying out the Commissioner's duties in
      administering the Program.
 
          "(2) Recruitment of employment networks.--A program manager shall
      recruit, and recommend for selection by the Commissioner, employment
      networks for service under the Program. The program manager shall carry
      out such recruitment and provide such recommendations, and shall 
onitor
      all employment networks serving in the Program in the geographic area
      covered under the program manager's agreement, to the extent necessary
      and appropriate to ensure that adequate choices of services are made
      available to beneficiaries. Employment networks may serve under the
      Program only pursuant to an agreement entered into with the 
ommissioner
      under the Program incorporating the applicable provisions of this 
section
      and regulations thereunder, and the program manager shall provide and
      maintain assurances to the Commissioner that payment by the 
ommissioner
      to employment networks pursuant to this section is warranted based on
      compliance by such employment networks with the terms of such agreement
      and this section. The program manager shall not impose numerical limits
      on the number of employment networks to be recommended pursuant to this
      paragraph.
 
          "(3) Facilitation of access by beneficiaries to employment
      networks.--A program manager shall facilitate access by beneficiaries 
o
      employment networks. The program manager shall ensure that each
      beneficiary is allowed changes in employment networks for good cause, 
s
      determined by the Commissioner, without being deemed to have rejected
      services under the Program. The program manager shall establish and
      maintain lists of employment networks available to beneficiaries and
      shall make such lists generally available to the public.
 
          "(4) Ensuring availability of adequate services.--The program 
manager
      shall ensure that employment networks provide employment services,
      vocational rehabilitation services, or other support services to
      beneficiaries throughout specified service areas, including rural 
reas.
 
          "(5) Reasonable access to services.--The program manager shall take
      such measures as are necessary to ensure that sufficient employment
      networks are available and that each beneficiary receiving their 
services
      under the Program has reasonable access to employment services,
      vocational rehabilitation services, or other support services. Such
      services may include case management, career planning, career plan
      development, vocational assessment, job training, placement, follow-up
      services, and such other services as may be specified by the 
Commissioner
      under the Program.
 
      "(f) Employment Networks.--
 
          "(1) Qualifications for employment networks.--Each employment 
network
      serving under the Program shall consist of an agency or instrumentality
      of a State (or a political subdivision thereof) or a private entity,
      which assumes responsibility for the coordination and delivery of
      services under the Program to individuals assigning to the employment
      network tickets to work and self-sufficiency issued under subsection 
(b).
      No employment network may serve under the Program unless it 
emonstrates
      to the Commissioner substantial expertise and experience in the field 
f
      employment services, vocational rehabilitation services, or other 
support
      services for individuals with disabilities and provides an array of 
uch
      services. An employment network shall consist of either a single 
provider
      of such services or of an association of such providers organized so as
      to combine their resources into a single entity. An employment network
      may meet the requirements of subsection (e)(4) by providing services
      directly, or by entering into agreements with other individuals or
      entities providing appropriate employment services, vocational
      rehabilitation services, or other support services.
 
          "(2) Requirements relating to provision of services.--Each 
employment
      network serving under the Program shall be required under the terms of
      its agreement with the Commissioner to--
 
              "(A) serve prescribed service areas,
 
              "(B) meet, and maintain compliance with, both general selection
          criteria (such as professional and governmental certification and
          educational credentials) and specific selection criteria (such as 
the
          extent of work experience by the provider with specific 
populations),
          and
 
              "(C) take such measures as are necessary to ensure that
          employment services, vocational rehabilitation services, and other
          support services provided under the Program by, or under agreements
          entered into with, the employment network are provided under
          appropriate individual employment plans meeting the requirements of
          subsection (g).
 
          "(3) Annual financial reporting.--Each employment network shall 
eet
      financial reporting requirements as prescribed by the Commissioner.
 
          "(4) Periodic outcomes reporting.--Each employment network shall
      prepare periodic reports, on at least an annual basis, itemizing for 
he
      covered period specific outcomes achieved with respect to specific
      services provided by the employment network. Such reports shall conform
      to a national model prescribed under this section. Each employment
      network shall provide a copy of the latest report issued by the
      employment network pursuant to this paragraph to each beneficiary upon
      enrollment under the Program for services to be received through such
      employment network. Upon issuance of each report to each beneficiary, a
      copy of the report shall be maintained in the files of the employment
      network pertaining to the beneficiary. The program manager shall ensure
      that copies of all such reports issued under this paragraph are made
      available to the public under reasonable terms.
 
      "(g) Individual Employment Plans.--
 
          "(1) In general.--Each employment network shall--
 
              "(A) take such measures as are necessary to ensure that
          employment services, vocational rehabilitation services, and other
          support services provided under the Program by, or under agreements
          entered into with, the employment network are provided under
          appropriate individual employment plans as defined by the
          Commissioner, and
 
              "(B) develop and implement each such individual employment 
lan,
          in the case of each beneficiary receiving such services, in a 
anner
          that affords such beneficiary the opportunity to exercise informed
          choice in selecting an employment goal and specific services needed
          to achieve that employment goal.
 
      A beneficiary's individual employment plan shall take effect upon
      approval by the beneficiary.
 
          "(2) Employment evaluation.--In devising the employment plan, the
      employment network shall undertake an employment evaluation with 
espect
      to the beneficiary. Each employment evaluation shall set forth in 
writing
      such elements and shall be in such format as the Commissioner shall
      prescribe.
 
      "(h) Employment Network Payment Systems.--
 
          "(1) Election of payment system by employment networks.--
 
              "(A) In general.--The Program shall provide for payment
          authorized by the Commissioner to employment networks under either 
an
          outcome payment system or an outcome-milestone payment system. Each
          employment network shall elect which payment system will be 
tilized
          by the employment network, and, for such period of time as such
          election remains in effect, the payment system so elected shall be
          utilized exclusively in connection with such employment network
          (except as provided in subparagraph (B)).
 
              "(B) Method of payment to employment networks.--Any such 
election
          by an employment network taking effect during any period for which 

          disabled beneficiary is receiving services from such employment
          network shall not be effective with respect to such beneficiary to
          the extent that such election would result in any change in the
          method of payment to the employment network with respect to 
ervices
          provided to such beneficiary from the method of payment to the
          employment network with respect to services provided to such
          beneficiary as of immediately before such election.
 
          "(2) Outcome payment system.--
 
              "(A) In general.--The outcome payment system shall consist of a
          payment structure governing employment networks electing such 
ystem
          under paragraph (1)(A) which meets the requirements of this
          paragraph.
 
              "(B) Payments made during outcome payment period.--The outcome
          payment system shall provide for a schedule of payments to an
          employment network, in connection with each individual who is a
          beneficiary, for each month described in paragraph (4)(B) in
          connection with such individual which occurs during the 
ndividual's
          outcome payment period.
 
              "(C) Computation of payments to employment network.--The 
ayment
          schedule of the outcome payment system shall be designed so that--
 
                  "(i) the payment for each of the 60 months during the 
outcome
              payment period which are described in paragraph (4)(B) is equal
              to a fixed percentage of the payment calculation base for the
              calendar year in which such month occurs, and
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