HR4105-119

What This Bill Does

The VET Act replaces existing transition-assistance sections with a new title 10 section 1152 grant program run by the Secretary of Labor in consultation with the Transition Executive Committee. Grants reimburse eligible energy employers that hire covered individuals: service members eligible for preseparation counseling, veterans, and spouses of those members or veterans. Preference goes to covered individuals who were involuntarily separated, used certain separation authorities, have military experience in energy production, construction, or manufacturing, live in qualified opportunity zones, have service-connected disabilities, are homeless veterans, or face other employment barriers. Eligible employers must primarily work in energy generation, transmission, storage, distribution, or manufacture or distribution of critical energy equipment and components. Grants may reimburse licensure, certification, training, education, recruitment, orientation, administrative, and relocation costs, capped at $10,000 per covered hire and $500,000 per grantee per fiscal year. The bill authorizes $60 million annually for FY2026-FY2031 and caps Labor administrative spending at 15 percent.

Who Benefits and How

Separating service members benefit because energy employers receive reimbursement for hiring and training them. Veterans with service-connected disabilities or homelessness barriers benefit from preference in selection for grant-supported jobs. Military spouses benefit because they are covered individuals eligible for grant-supported energy employment. Small energy businesses in qualified opportunity zones benefit from preference when seeking employer grants.

Who Bears the Burden and How

The Department of Labor must administer grants, coordinate with Defense and VA transition programs, audit grantees, and report to Congress. Energy employers receiving grants must report fund use, retention, satisfaction, salaries, benefits, and repay misused funds. Federal taxpayers bear the $60 million annual authorization for fiscal years 2026 through 2031. The Secretaries of Defense and Veterans Affairs must coordinate to avoid duplicating TAP, SkillBridge, Solid Start, and similar transition services.

Key Provisions

• Creates a Labor grant program for energy employers hiring service members, veterans, and spouses.
• Provides hiring preferences tied to separation status, energy-related military skills, opportunity zones, disability, homelessness, and barriers to employment.
• Limits reimbursements to $10,000 per covered individual and $500,000 per grantee per fiscal year.
• Authorizes $60 million annually for fiscal years 2026 through 2031 and limits administrative costs to 15 percent.