H.R. 4771 (119th)Bill Overview

Transformation to Competitive Integrated Employment Act

Labor and Employment|Labor and Employment
Cosponsors
Support
Bipartisan
Introduced
Jul 25, 2025
Discussions
Bill Text
Current stageCommittee

Referred to the House Committee on Education and Workforce.

Introduced
Committee
Floor
President
Law
Congressional Activities
01 · The brief
Plain-English summaryWhat this bill actually does

The bill (Transformation to Competitive Integrated Employment Act) creates federally funded grant programs, technical assistance, reporting, and an evaluation to help employers who currently pay wages under section 14(c) of the Fair Labor Standards Act transition to competitive integrated employment models and integrated community services for people with disabilities. It phases in higher wage floors for employees paid under 14(c) over a 4-year period (60% of the FLSA minimum after 3 months, rising to 100% after 4 years), prohibits issuance of new 14(c) certificates, and sunsets the legal effect of existing 14(c) certificates after that period.

Why people may split

Whether federal mandates and a 4-year sunset on 14(c) are appropriate vs. whether more state flexibility or incentives are needed (progressive/centrist support, conservatives oppose).

Watch point

Relative to its intended legislative type, this bill is a clearly articulated substantive policy change that includes detailed statutory amendments, program authorizations, timelines, funding authorizations, and robust reporting/evaluation requirements.

The bill (Transformation to Competitive Integrated Employment Act) creates federally funded grant programs, technical assistance, reporting, and an evaluation to help employers who currently pay wages under section 14(c) of the Fair Labor Standards Act transition to competitive integrated employment models and integrated community services for people with disabilities.

It phases in higher wage floors for employees paid under 14(c) over a 4-year period (60% of the FLSA minimum after 3 months, rising to 100% after 4 years), prohibits issuance of new 14(c) certificates, and sunsets the legal effect of existing 14(c) certificates after that period.

The Act authorizes state-level competitive grants ($2M–$10M per state for 5 years), smaller grants to eligible certificate-holding entities ($100k–$500k for 3 years) where a state does not receive a grant, a national technical assistance grant to a nonprofit, and annual reporting and an independent evaluation.

Passage35/100

Content‑wise this is a focused but consequential reform that combines financial supports, technical assistance, and a firm deadline to end a controversial federal practice. Those design elements increase practical achievability compared with an immediate ban without supports. Yet it still imposes disruptive regulatory change on a network of employers and service providers, touches emotionally resonant civil‑rights and labor issues, and requires sustained appropriations and likely bipartisan coalition building to clear the Senate and secure funds. On content alone, the bill is plausible but faces substantial political and procedural headwinds.

CredibilityPartially aligned

Relative to its intended legislative type, this bill is a clearly articulated substantive policy change that includes detailed statutory amendments, program authorizations, timelines, funding authorizations, and robust reporting/evaluation requirements. It integrates closely with existing statutes and creates concrete grant and technical assistance mechanisms.

Contention70/100

Whether federal mandates and a 4-year sunset on 14(c) are appropriate vs. whether more state flexibility or incentives are needed (progressive/centrist support, conservatives oppose).

02 · What it does

Who stands to gain, and who may push back.

Likely benefits vs burdens50% / 50%
Federal agenciesWorkers · Employers

These are examples from the analysis, not a ranked list of the most-affected groups.

Likely helped
  • Federal agenciesRaises wages for workers currently paid under 14(c) by phasing wages up to the federal minimum over 4 years, increasing…
  • Federal agenciesProvides federal grant funding and technical assistance to help employers and States redesign business models, hire and…
  • Potential benefitImproves data collection and oversight through annual Wage and Hour reports and an independent multi-year evaluation, w…
Likely burdened
  • WorkersHigher labor costs for employers that relied on 14(c) could force some to reduce staff, cut hours, close sheltered or c…
  • EmployersAdministrative and compliance burdens on employers and State agencies (applications, data collection, advisory councils…
  • WorkersThe amount of authorized funding ($50M/year FY2026–2031) and the grant caps may be insufficient relative to the nationw…
03 · Why people split

Why the argument around this bill splits.

Whether federal mandates and a 4-year sunset on 14(c) are appropriate vs. whether more state flexibility or incentives are needed (progressive/centrist support, conservatives oppose).
Progressive95%

A mainstream liberal would likely view the bill favorably as a rights- and equity-focused effort to eliminate subminimum wages for people with disabilities and to expand integrated employment and community supports.

They would welcome the phased wage increases, the prohibition on new special certificates, the priority for people with the most significant disabilities, and the emphasis on HCBS, Olmstead, and ADA compliance.

They would see the grants, technical assistance, and evaluation as useful tools to manage transition and to generate best practices.

Leans supportive
Centrist65%

A pragmatic centrist would generally support the bill's goal of moving toward competitive integrated employment while emphasizing sufficient funding, measured implementation, and strong evaluation to avoid unintended harm.

They would appreciate the graded wage increases, the grant structure for states and certificate-holders, and the required evaluation and reporting.

At the same time they would be cautious about the administrative burden on states and employers, the adequacy of authorized funds, and potential short-term job disruptions if supports and market opportunities are lacking.

Split reaction
Conservative20%

A mainstream conservative would likely view the bill skeptically as a federal mandate that restricts employer flexibility, imposes new wage mandates, and expands federal involvement in state service delivery.

They would be concerned that the phased wage increases and the sunset of 14(c) could make some currently viable providers and contracts financially unsustainable, possibly reducing employment opportunities for some people with disabilities.

They might acknowledge the intent to increase integration and dignity for workers, but worry that the bill underestimates costs and negative effects on small employers, nonprofit providers, and localized arrangements.

Likely resistant
04 · Can it pass?

The path through Congress.

Introduced

Reached or meaningfully advanced

Committee

Reached or meaningfully advanced

Floor

Still ahead

President

Still ahead

Law

Still ahead

Passage likelihood35/100

Content‑wise this is a focused but consequential reform that combines financial supports, technical assistance, and a firm deadline to end a controversial federal practice. Those design elements increase practical achievability compared with an immediate ban without supports. Yet it still imposes disruptive regulatory change on a network of employers and service providers, touches emotionally resonant civil‑rights and labor issues, and requires sustained appropriations and likely bipartisan coalition building to clear the Senate and secure funds. On content alone, the bill is plausible but faces substantial political and procedural headwinds.

Scope and complexity
86%
Scopesweeping
86%
Complexityhigh
Why this could stall
  • Whether appropriation levels authorized will be enacted at the levels requested (authorization does not guarantee appropriations).
  • The size and organization of advocacy and provider constituencies for and against the phase‑out (state‑by‑state variations could affect legislative support).
05 · Recent votes

Recent votes on the bill.

No vote history yet

The bill has not accumulated any surfaced votes yet.

06 · Go deeper

Go deeper than the headline read.

Included on this page

Whether federal mandates and a 4-year sunset on 14(c) are appropriate vs. whether more state flexibility or incentives are needed (progress…

Content‑wise this is a focused but consequential reform that combines financial supports, technical assistance, and a firm deadline to end…

Unlocked analysis

Relative to its intended legislative type, this bill is a clearly articulated substantive policy change that includes detailed statutory amendments, program authorizations, timelines, funding authorizations, and robust…

Go beyond the headline summary with full stakeholder mapping, legislative design analysis, passage barriers, and lens-by-lens tradeoff breakdowns.

Perspective breakdownsPassage barriersLegislative design reviewStakeholder impact map
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