; and (ii) in clause (ii)— (I) by striking the comma at the end and inserting or to establish and administer a critical industry skills fund under paragraph (4); and ; and (C) by inserting before the flush left text at the end the following: (C) as described in section 128(a)(3), shall be used to establish and administer a critical industry skills fund described in paragraph (4). . (2) Required statewide employment and training activities (A) Statewide rapid response activities Section 134(a)(2)(A) of the Workforce Innovation and Opportunity Act ( 29 U.S.C. 3174(a)(2)(A) ) is amended— (i) in clause (i)— (I) in subclause (I)— (aa) by striking working and inserting as a rapid response unit working ; and (bb) by striking and at the end; (II) in subclause (II), by striking the period at the end and inserting ; and ; and (III) by adding at the end the following: (III) provision of additional assistance to a local area that has excess demand for individual training accounts for dislocated workers in such local area and requests such assistance under paragraph (5) of section 414(c) of the American Competitiveness and Workforce Improvement Act of 1998 ( 29 U.S.C. 3224a(5) ), upon a determination by the State that, in using funds allocated to such local area pursuant to paragraph (1) of such section 414(c) and subsection (c)(1)(B) of this section for the purpose described in paragraph (2)(A) of such section 414(c), the local area was in compliance with the requirements of such section 414(c). ; and (ii) by adding at the end the following: (iii) Insufficient funds to meet excess demand If a State determines that a local area with excess demand as described in clause (i)(III) met the compliance requirements described in such clause, but the State does not have sufficient funds reserved under section 133(a)(2) to meet such excess demand, the State— (I) shall notify the Secretary of such excess demand