Trade Adjustment Assistance Modernization

Summary#

This bill, the Trade Adjustment Assistance Modernization Act, updates and extends the Trade Adjustment Assistance (TAA) programs. It reauthorizes TAA through 2033 and changes rules for workers, firms, communities, community colleges, and agricultural commodity producers affected by trade. Key changes in the bill include expanded eligibility (including teleworkers, staffed workers, and certain public agency workers), new and higher maximum allowances for job search and relocation, a new child and other dependent care allowance, longer or automatic extensions of trade readjustment allowances in some cases, reimbursement for some training expenses, stronger outreach to underserved communities, and new grant programs for communities and community colleges. The bill also makes the Health Coverage Tax Credit permanent and raises the credit rate from 72.5% to 80%.

What it means for you#

• Workers: More workers may qualify for TAA (including some remote and contracted workers). The bill requires outreach in workers' native languages, allows sustained outreach, and adds or increases benefits such as higher job-search and relocation payments, a child/dependent care allowance, longer training-related allowances, and reimbursement for certain out-of-pocket training costs.
• Employers and firms: Firms may apply for adjustment assistance and technical help. The bill tightens timelines for determinations and sets a maximum technical-assistance grant amount with a required firm match.
• Communities and colleges: A new program will provide grants and technical help to communities affected by trade and increase grant sizes and program rules for community colleges and career training programs to support career pathways and student supports.
• Agricultural commodity producers: The bill revises eligibility rules for farm groups, increases certain payment caps, and requires outreach to underserved agricultural producers.
• Health coverage: The Health Coverage Tax Credit is made permanent for eligible months beginning after 2021 and the credit percentage is increased to 80%.

Expenses#

The bill specifies or changes several funding authorizations and payment limits (as written in the bill text):

• Training funds: retains $450,000,000 and adds $1,000,000,000 for each of fiscal years 2027 through 2031.
• Trade adjustment assistance for communities: authorization of $1,000,000,000 for each of fiscal years 2027 through 2031; up to $40,000,000 per year for salaries and expenses administering that subchapter.
• Trade adjustment assistance for community colleges and career training: authorization of $1,300,000,000 for each of fiscal years 2027 through 2033; up to 5% may be reserved for administration and technical assistance.
• Trade adjustment assistance for firms: $50,000,000 authorized for each fiscal year 2027 through 2033.
• Trade adjustment assistance for farmers: amendments change a previously listed $90,000,000 figure to $50,000,000 and extend program years through 2033; specific per-producer payment caps are increased in the text (examples below).
• Specific benefit and payment limits changed in the bill text include: job-search and relocation maximums increased to $2,000 (with inflation adjustments authorized); new child and other dependent care allowance up to $2,000 per minor dependent per year (with inflation adjustments authorized); reemployment program salary limit increased from $50,000 to $70,000 (with inflation adjustments authorized); some agricultural payment caps increased (e.g., $4,000 to $12,000; $8,000 to $24,000; $12,000 to $36,000 in the sections amended).
• Many caps and dollar limits in the bill include annual inflation adjustment rules tied to the Consumer Price Index.

Proponents' View#

No publicly available information in the bill text or metadata presents direct statements of proponents' arguments or external endorsements.

Opponents' View#

No publicly available information in the bill text or metadata presents direct statements of opponents' arguments or opposition positions.