To amend the Community Services Block Grant Act to provide for quality improvements.

Summary: Improving the Community Services Block Grant Act of 2005 - Amends the Community Services Block Grant Act (CSBGA) to reauthorize appropriations and to revise the program.

Requires eligible entities to develop and meet locally determined goals as well as State goals, standards, and performance requirements.

Includes initiatives to improve economic conditions and mobilize new resources in rural areas to eliminate obstacles to the self-sufficiency of families and individuals in rural communities among the activities for which State plans must assure use of CSBGA grant funds.

Requires State plans to include assurances that the State will: (1) take swift action to improve performance, or when appropriate, terminate the funding of low-performing eligible entities that do not meet locally determined goals or State goals, standards and performance requirements; and (2) provide a justification to the Secretary if they continue to fund persistently low-performing eligible entities.

Requires States to: (1) measure performance of local entities with regard to locally determined goals; and (2) provide information on the timeliness of the distribution of block grant funds to eligible entities, and on their availability as timely advance payments for activities approved in local plans.

Requires eligible entities to: (1) develop locally determined goals; and (2) demonstrate to the State that they have met such local goals to continue their eligibility for funding.

Sets forth local grantee accountability and reporting requirements.

Includes water and wastewater facility needs among those to be addressed by rural community development assistance.

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Improving the Community Services 
Block Grant Act of 2005''.

SEC. 2. COMMUNITY SERVICES BLOCK GRANT ACT AMENDMENTS.

    (a) Purposes and Goals.--Section 672 of the Community Services 
Block Grant Act (42 U.S.C. 9901 note) is amended to read as follows:

``SEC. 672. PURPOSES AND GOALS.

    ``The purpose of this subtitle is to reduce poverty--
            ``(1) by strengthening and coordinating local efforts to 
        expand opportunities for individuals and families to become 
        economically self-sufficient and to improve and revitalize low-
        income communities in urban and rural areas, by providing 
        resources to States for support of local eligible entities, 
        including community action agencies and other community-based 
        organizations--
                    ``(A) to plan, coordinate, and mobilize a broad 
                range of Federal, State, local, and private assistance 
                or investment in such a manner as to use these 
                resources effectively to reduce poverty and in 
                initiatives that are responsive to specific local needs 
                and conditions;
                    ``(B) to coordinate a range of services that meet 
                the needs of low-income families and individuals, that 
                support strong and healthy families, and that assist 
                them in developing the skills needed to become self 
                sustaining while ensuring that these services are 
                provided effectively and efficiently; and
                    ``(C) to design and implement comprehensive 
                approaches to assist eligible individuals in gaining 
                employment and achieving economic self-sufficiency;
            ``(2) by improving and revitalizing the low-income 
        communities in urban and rural areas by providing resources to 
        States for support of local eligible entities and their 
        partners--
                    ``(A) to broaden the resource base of initiatives 
                and projects directed to the elimination of poverty and 
                the redevelopment of the low-income community, 
                including partnerships with nongovernmental and 
                governmental institutions to develop the community 
                assets and services that reduce poverty, such as--
                            ``(i) other private, religious, charitable, 
                        and community-based organizations;
                            ``(ii) individual citizens, and business, 
                        labor, and professional groups, that are able 
                        to influence the quantity and quality of 
                        opportunities and services for the poor; and
                            ``(iii) local government leadership; and
                    ``(B) to coordinate community-wide resources and 
                services that will have a significant, measurable 
                impact on the causes of poverty in the community and 
                that will help families and individuals to achieve 
                economic self-sufficiency and to test innovative, 
                community-based approaches to attacking the causes and 
                effects of poverty and of community breakdown, 
                including--
                            ``(i) innovative initiatives to prevent and 
                        reverse loss of investment, jobs, public 
                        services, and infrastructure in low- and 
                        moderate-income communities; and
                            ``(ii) innovative partnerships to leverage 
                        the assets and services that reduce poverty, as 
                        provided in subparagraph (A); and
            ``(3) by ensuring maximum participation of residents of 
        low-income communities and of members of the groups served by 
        grants made under this subtitle in guiding the eligible 
        entities and in their programs funded under this subtitle, to 
        ameliorate the particular problems and needs of low-income 
        residents and to develop the permanent social and economic 
assets of the low-income community in order to reduce the incidence of 
poverty.''.
    (b) Definitions.--Section 673(1)(A) of the Community Services Block 
Grant Act (42 U.S.C. 9902(1)(A)) is amended--
            (1) in clause (i) by striking ``and'' at the end;
            (2) in clause (ii) by striking the period at the end and 
        inserting ``; and''; and
            (3) by adding at the end the following:
                            ``(iii) that successfully develops and 
                        meets the locally determined goals described in 
                        section 678E(b)(1), as determined by the State, 
                        and meets State goals, standards, and 
                        performance requirements as provided for in 
                        section 678B(a).''.
    (c) Authorization of Appropriations.--Section 674 of the Community 
Services Block Grant Act (42 U.S.C. 9903) is amended--
            (1) in subsection (a)--
                    (A) by striking ``1999 through 2003'' and inserting 
                ``2006 through 2012''; and
                    (B) by striking ``681'' and inserting ``675C(b)(3), 
                681,'';
            (2) in subsection (b)(2)--
                    (A) by striking ``678F'' and inserting ``678E to 
                assist States, eligible entities, and their partners in 
                projects supported by this subtitle''; and
                    (B) in subparagraph (B) by striking ``monitoring 
                (to correct programmatic deficiencies of eligible 
                entities)'' and inserting ``monitoring (including 
                technical assistance and training to correct 
                programmatic deficiencies of eligible entities)''.
    (d) Uses of Funds.--Section 675C of the Community Services Block 
Grant Act (42 U.S.C. 9907) is amended--
            (1) in subsection (a)(3)(A) by striking ``Beginning on 
        October 1, 2000, a'' and inserting ``A''; and
            (2) in subsection (b)(1)(F) by striking ``neighborhood-
        based'' and inserting ``community-based''.
    (e) Application and Plan.--Section 676 of the Community Services 
Block Grant Act (42 U.S.C. 9908) is amended--
            (1) in subsection (b)--
                    (A) by striking ``Beginning with fiscal year 2000, 
                to'' and inserting ``To'';
                    (B) in paragraph (1)--
                            (i) in subparagraph (B)--
                                    (I) by striking ``youth development 
                                programs that support'' and inserting 
                                ``youth development programs, which may 
                                include mentoring programs, that 
                                support''; and
                                    (II) by striking ``and'' at the 
                                end;
                            (ii) in subparagraph (C) by adding ``and'' 
                        at the end; and
                            (iii) by adding at the end the following:
                    ``(D) initiatives to improve economic conditions 
                and mobilize new resources in rural areas to eliminate 
                obstacles to the self-sufficiency of families and 
                individuals in rural communities;'';
                    (C) in paragraph (2) by striking ``community and 
                neighborhood-based'' and inserting ``community-based'';
                    (D) in paragraph (3)--
                            (i) in the matter preceding subparagraph 
                        (A) by striking ``information provided by 
                        eligible entities in the State, containing'' 
                        and inserting ``an assurance that the State 
                        will provide information, including''; and
                            (ii) in subparagraph (D) by striking 
                        ``community and neighborhood-based'' and 
                        inserting ``community-based'';
                    (E) in paragraph (9) by striking ``and community 
                organizations'' and inserting ``and community-based 
                organizations'';
                    (F) in paragraph (10) by striking ``community 
                organization'' and inserting ``community-based 
                organization'';
                    (G) in paragraph (12) by striking ``and'' at the 
                end;
                    (H) by redesignating paragraph (13) as paragraph 
                (15); and
                    (I) by inserting after paragraph (12) the 
                following:
            ``(13) an assurance that the State will take swift action 
        to improve performance or, when appropriate, to terminate the 
        funding under this subtitle of low-performing eligible entities 
        that do not meet the applicable locally determined goals 
        described in section 678E(b)(1) or do not meet the State goals, 
        standards, and requirements as provided for in section 678B(a);
            ``(14) an assurance that the State will provide a 
        justification to the Secretary if it continues to fund 
persistently low-performing eligible entities; and'';
            (2) in subsection (c)(2) by striking ``plan, or'' and all 
        that follows through the period at the end, and inserting 
        ``plan, to meet a State requirement, as described in section 
        678C(a), or to meet the locally determined goals as described 
        in section 678E(b)(1).''; and
            (3) by striking subsection (f).
    (f) Training, Technical Assistance, and Other Activities.--Section 
678A(a)(1)(A) of the Community Services Block Grant Act (42 U.S.C. 
9913(a)(1)(A)) is amended--
            (1) by inserting ``dissemination regarding best 
        practices,'' after ``technical assistance,''; and
            (2) by inserting ``(including to assist in the development 
        of reporting systems and electronic data systems)'' after 
        ``collection activities''.
    (g) Monitoring of Eligible Entities.--Section 678B of the Community 
Services Block Grant Act (42 U.S.C. 9914) is amended--
            (1) in subsection (a)--
                    (A) in the matter preceding paragraph (1) by 
                inserting ``and the locally determined performance 
                goals described in section 678E(b)(1)'' after ``a 
                State''; and
                    (B) in paragraph (3)--
                            (i) by inserting ``appropriate'' before 
                        ``goals''; and
                            (ii) by striking ``established by the 
                        State''; and
            (2) in the last sentence of subsection (c) by striking 
        ``Chairperson of the Committee on Education'' and all that 
        follows through ``Human Resources of the Senate'' and inserting 
        ``appropriate congressional committees''.
    (h) Corrective Action; Termination and Reduction of Funding.--
Section 678C(a) of the Community Services Block Grant Act (42 U.S.C. 
9915(a)) is amended in the matter preceding paragraph (1) by striking 
``established by the State''.
    (i) Accountability and Reporting Requirements.--Section 678E of the 
Community Services Block Grant Act (42 U.S.C. 9917) is amended--
            (1) in subsection (a)--
                    (A) in paragraph (1)(A) by striking ``By October 1, 
                2001, each'' and inserting ``Each''; and
                    (B) in paragraph (2)--
                            (i) in the 1st sentence by inserting 
                        ``including any activities under section 678C'' 
                        before the period at the end;
                            (ii) by striking the 2d sentence;
                            (iii) in the 3d sentence by striking 
                        ``also''; and
                            (iv) in the 3d sentence by inserting 
                        ``information on the timeliness of the 
                        distribution of block grant funds to eligible 
                        entities as provided in section 675C(a),'' 
                        after ``including'';
            (2) in subsection (b)--
                    (A) in paragraph (2) in the matter preceding 
                subparagraph (A) by striking ``beginning after 
                September 30, 1999'';
                    (B) in paragraph (3) by striking ``Committee on 
                Education'' and all that follows through ``Human 
                Resources of the Senate'' and inserting ``appropriate 
                congressional committees'';
                    (C) by adding at the end the following:
            ``(5) Coordination of reporting requirements.--To the 
        maximum extent possible, the Secretary shall coordinate 
        reporting requirements for all programs of the Department of 
        Health and Human Services managed by eligible entities so as to 
        consolidate and reduce the number of reports required about 
        individuals, families, and uses of grant funds.''; and
                    (D) by redesignating such subsection as subsection 
                (c); and
            (3) by inserting after subsection (a) the following:
    ``(b) Local Accountability and Reporting Requirements.--
            ``(1) Locally determined goals.--In order to be designated 
        as an eligible entity and to receive a grant under this 
        subtitle, an eligible entity shall establish locally determined 
        goals for reducing poverty in the community, including goals 
        for--
                    ``(A) leveraging and mobilizing community 
                resources;
                    ``(B) fostering coordination of Federal, State, 
                local, private, and other assistance; and
                    ``(C) promoting community involvement.
            ``(2) Demonstration that goals were met.--In order for an 
        eligible entity to receive a second or subsequent grant made 
        under this subtitle after the effective date of this paragraph, 
        such entity shall demonstrate to the State that it has met the 
goals described in paragraph (1).''.
    (j) Treatment of Beneficiaries.--Section 679 of the Community 
Services Block Grant Act (42 U.S.C. 9920) is amended by adding at the 
end the following:
    ``(f) Treatment of Beneficiaries.--In providing assistance under a 
program described in subsection (a), a religious organization shall not 
discriminate against a beneficiary, or a potential beneficiary, of such 
assistance on the basis of religion or of a religious belief.''.
    (k) Discretionary Authority of Secretary.--Section 680 of the 
Community Services Block Grant Act (42 U.S.C. 9921) is amended--
            (1) in subsection (a)--
                    (A) in paragraph (2)--
                            (i) in subparagraph (A) by inserting 
                        ``(including financial assistance for 
                        construction or substantial rehabilitation of 
                        buildings and facilities, and for loans or 
                        investments in private business enterprises 
                        owned by community development corporations)'' 
                        after ``assistance'';
                            (ii) by redesignating subparagraphs (B), 
                        (C), (D), and (E) as subparagraphs (D), (E), 
                        (F), and (G), respectively; and
                            (iii) by inserting after subparagraph (A) 
                        the following:
                    ``(B) Federal interest.--The Secretary shall 
                establish procedures that permit funds provided under a 
                grant made under this paragraph, or intangible assets 
                acquired with such funds, to become the sole property 
                of the grantee before the expiration of the 12-year 
                period beginning after the fiscal year for which such 
                grant is made if such grantee agrees to use such funds 
                or such property for purposes and uses consistent with 
                the purposes and uses for which such grant is made.
                    ``(C) Replacement activities.--The Secretary shall 
                establish procedures to allow a grant made under this 
                paragraph to be used by a grantee to carry out 
                activities substantially similar to the activities for 
                which such grant is made if, due to no fault of such 
                grantee, such grantee cannot carry out the activities 
                for which such grant is made. Such procedures shall 
                require that the substantially similar activities serve 
                the same impact area and have the same goals, 
                objectives, and outcomes as the activities for which 
                such grant is made.'';
                    (B) in paragraph (3)(B) by inserting ``water and 
                wastewater'' after ``community''; and
                    (C) in paragraph (4) by striking ``neighborhood-
                based'' and inserting ``community-based''; and
            (2) in subsection (c) by striking ``Chairperson of the 
        Committee on Education'' and all that follows through ``Human 
        Resources of the Senate'' and inserting ``appropriate 
        congressional committees''.
    (l) Community Food and Nutrition Programs.--Section 681 of the 
Community Services Block Grant Act (42 U.S.C. 9922) is amended--
            (1) in subsection (c) in the matter preceding paragraph (1) 
        by striking ``Committee on Education'' and all that follows 
        through ``Human Resources of the Senate'' and inserting 
        ``appropriate congressional committees''; and
            (2) in subsection (d) by striking ``1999 through 2003'' and 
        inserting ``2006 through 2012''.
    (m) National or Regional Programs Designed to Provide Instructional 
Activities for Low-Income Youth.--Section 682 of the Community Services 
Block Grant Act (42 U.S.C. 9923) is amended--
            (1) in subsection (b)(5)--
                    (A) by inserting ``(which may be accomplished 
                through mentoring)'' after ``youth''; and
                    (B) by inserting ``to improve academic 
                achievement'' after ``study practices''; and
            (2) in subsection (g) by striking ``1999 through 2003'' and 
        inserting ``2006 through 2012''.

SEC. 3. EFFECTIVE DATE.

    This Act and the amendments made by this Act shall take effect on 
the 1st day of the 1st fiscal year beginning after the date of the 
enactment of this Act.