# 119-s-2438: Transformation to Competitive Integrated Employment Act

119-s-2438, Transformation to Competitive Integrated Employment Act, is a 119th Congress bill sponsored by Sen. Van Hollen, Chris [D-MD] (D-MD); status introduced; PRIA reads it as touching household money (as of 2026-04-21).

- Canonical: https://policyrisk.com/legislation/119-s-2438
- As of: 2026-04-21
- Plain-text twin of the page above; the HTML and this file carry the same facts.

## Facts
- Bill: 119-s-2438
- Congress: 119
- Title: Transformation to Competitive Integrated Employment Act
- Status: introduced
- Introduced: 2025-07-24
- Sponsor: Sen. Van Hollen, Chris [D-MD] (D-MD)
- Cosponsors: 7
- Policy area: Labor and Employment
- Touches household money: yes
- Last recorded action: 2026-04-21

## Summary

**Phase out 14(c) special certificates and shift employers toward competitive integrated employment.** This bill would fund State and employer grants, set a staged wage progression, and build reporting and evaluation systems to help people with disabilities move into community jobs and integrated services. - People with disabilities and families: Creates transformation grants and integrated community participation supports to help workers find and keep competitive integrated employment or receive home and community services. Grants must prioritize people with the most significant disabilities and align non-employment services with Medicaid Home and Community-Based Services rules. - Employers and current 14(c) certificate holders: Establishes a Certificate Holder Grant Program with grants capped at $750,000 and minimum awards of $200,000 for 3 years to fund operational shifts. Title II requires a five-year staged wage progression and stops issuance of new special certificates after five years. - States and workforce systems: Creates a State Grant Program with awards of $3 million to $15 million per State over 5 years, advisory councils with at least 25% representation by people with disabilities, and a Treasury-held Competitive Integrated Employment Fund. *Would authorize $200 million per year for fiscal 2026–2030, increasing federal spending and creating a Treasury-held fund for grants.*

## Cosponsors (7)

- Sen. Daines, Steve [R-MT] (R-MT), 2025-07-24T00:00:00.000Z
- Sen. Gillibrand, Kirsten E. [D-NY] (D-NY), 2025-07-24T00:00:00.000Z
- Sen. Blackburn, Marsha [R-TN] (R-TN), 2025-07-24T00:00:00.000Z
- Sen. Murkowski, Lisa [R-AK] (R-AK), 2025-09-16T00:00:00.000Z
- Sen. Wyden, Ron [D-OR] (D-OR), 2025-09-16T00:00:00.000Z
- Sen. Warren, Elizabeth [D-MA] (D-MA), 2026-03-05T00:00:00.000Z
- Sen. Tillis, Thomas [R-NC] (R-NC), 2026-03-05T00:00:00.000Z

## Provisions PRIA read

- Phased pay increases and phaseout: benefit, high. If enacted, workers paid under special 14(c) certificates would get at least the higher of two amounts. One is their pre-enactment hourly wage. The other is a phased share of the federal minimum wage: 60% after 90 days, 70% at 2 years, 80% at 3 years, 90% at 4 years, and 100% at 5 years. The Secret…
- Competitive grants to transform employers: benefit, medium. If enacted, the Secretary of Labor could award competitive Title I grants to States and eligible entities. Grants would help employers with special certificates shift to competitive integrated employment. Funded activities must ensure required wages, help workers find and keep integrated jobs, and…
- Small employer transformation grants: benefit, medium. If enacted, eligible employers in States that did not receive a State Grant could get one 3-year grant. Grants would be between $200,000 and $750,000 for the 3-year period and may not be renewed. Applicants must partner with at least two experienced organizations and include business, accounting, a…
- Wage reporting and employer audits: benefit, medium. If enacted, the Wage and Hour Division must publish yearly reports during the 5-year wage schedule. Reports must show counts of employees paid below comparators, wages and hours by employer and State, and transitions to integrated jobs. The Department must audit at least 10% of employers using spec…
- Federal funding and national technical help: benefit, medium. If enacted, Congress would be authorized to appropriate $200 million each year for fiscal years 2026–2030 to run the Act. Each year, 1% of those amounts would be set aside for Title III technical assistance. The Secretary could use Title III money to award one nonrenewable 6-year national technical…
- State transformation grants and fund: benefit, medium. If enacted, each State could apply for one 5-year transformation grant between $3 million and $15 million. Grants must include an advisory council with at least 25% people with disabilities and a phase-out timeline that ends by the certificates' legal end date. States that complete a section 102 gr…
- Independent evaluation of the Act: benefit, low. If enacted, the Secretary must contract within 180 days with a nonprofit evaluator to study the Act's effects. The contractor must give an interim report within three years and a final report 18 months after special certificates lose legal effect. The study must track wages, employment, and actions…

## Related bills

- 119-sres-913: A resolution relating to the death of the Honorable Nancy Kassebaum, former United States Senator for the State of Kansas.
- 119-sres-897: A resolution honoring the life, service, and legacy of the Honorable Jon Llewellyn Kyl, former Senator for the State of Arizona.
- 119-sres-801: A resolution honoring the life and legacy of the Honorable Lindsey Olin Graham, a Senator from the State of South Carolina.
- 119-sres-755: A resolution honoring the life of the Honorable Donald W. Riegle, Jr., former Senator for the State of Michigan.
- 119-sres-739: A resolution honoring the life and legacy of John Seymour, the late Senator for the State of California.
- 119-sres-723: A resolution honoring the life of Dirk Arthur Kempthorne, former United States Senator for the State of Idaho.

## Sources
- [119-s-2438 on Congress.gov](https://www.congress.gov/bill/119th-congress/senate-bill/2438)

## Related
- [119-sres-913: A resolution relating to the death of the Honorable Nancy Kassebaum, former Uni…](https://policyrisk.com/legislation/119-sres-913)
- [119-sres-897: A resolution honoring the life, service, and legacy of the Honorable Jon Llewel…](https://policyrisk.com/legislation/119-sres-897)
- [119-sres-801: A resolution honoring the life and legacy of the Honorable Lindsey Olin Graham,…](https://policyrisk.com/legislation/119-sres-801)
- [119-sres-755: A resolution honoring the life of the Honorable Donald W. Riegle, Jr., former S…](https://policyrisk.com/legislation/119-sres-755)
- [119-sres-739: A resolution honoring the life and legacy of John Seymour, the late Senator for…](https://policyrisk.com/legislation/119-sres-739)
- [119-sres-723: A resolution honoring the life of Dirk Arthur Kempthorne, former United States…](https://policyrisk.com/legislation/119-sres-723)
- [All bills in Congress](https://policyrisk.com/legislation)

Source: PRIA, https://policyrisk.com/legislation/119-s-2438 (as of 2026-04-21).
