SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Grandparent and Family Caregiver 
Support Act of 1997''.

SEC. 2. WORK REQUIREMENTS NOT TO APPLY TO FAMILIES HEADED BY AN ADULT 
              NONPARENTAL RELATIVE CAREGIVER.

    (a) Work Participation Rates To Be Determined Without Regard to 
Families Headed by an Adult Nonparental Relative Caregiver.--Section 
407(b) of the Social Security Act (42 U.S.C. 607(b)), as added by 
section 103(a) of the Personal Responsibility and Work Opportunity 
Reconciliation Act of 1996, is amended by adding at the end the 
following:
            ``(6) Disregard of families headed by an adult nonparental 
        relative caregiver.--In determining the participation rates 
        under this subsection, a State shall disregard any exempt 
        family.''.
    (b) Adult Nonparental Relative Caregiver Head of Family Exempted 
From Penalties for Refusal To Work.--Section 407(e) of the Social 
Security Act (42 U.S.C. 607(e)), as added by section 103(a) of the 
Personal Responsibility and Work Opportunity Reconciliation Act of 
1996, is amended by adding at the end the following:
            ``(3) Exception for adult nonparental relative caregiver 
        head of family.--Paragraph (1) shall not apply to any exempt 
        adult.''.
    (c) Prohibition Against Imposition of Work Requirements.--Section 
408(a) of the Social Security Act (42 U.S.C. 608(a)), as added by 
section 103(a) of the Personal Responsibility and Work Opportunity 
Reconciliation Act of 1996, is amended by adding at the end the 
following:
            ``(12) Prohibition against imposition of work requirements 
        on families headed by an adult nonparental relative 
        caregiver.--A State to which a grant is made under this part 
        shall not use any part of the grant to require an exempt adult 
        to work, or to otherwise penalize an exempt adult or an exempt 
        family for the refusal of an exempt adult to work.
    (d) Penalty for Imposition of Work Requirements.--Section 409(a) of 
the Social Security Act (42 U.S.C. 609(a)), as added by section 103(a) 
of the Personal Responsibility and Work Opportunity Reconciliation Act 
of 1996, is amended by redesignating paragraph (12) as paragraph (13) 
and inserting after paragraph (11) the following:
            ``(12) Penalty for imposition of work requirements on 
        families headed by an adult nonparental relative caregiver.--If 
        the Secretary determines that a State to which a grant is made 
        under section 403 for a fiscal year has violated section 
        408(a)(12) during the fiscal year, the Secretary shall reduce 
        the grant payable to the State under section 403(a)(1) for the 
        immediately succeeding fiscal year by 5 percent.''.

SEC. 3. TIME LIMITS NOT TO APPLY TO ADULT NONPARENTAL RELATIVE 
              CAREGIVER HEADS OF FAMILIES.

    (a) Inapplicability of Time Limit Provisions.--
            (1) 2-year work provision.--Section 402(a)(1)(A)(ii) of the 
        Social Security Act (42 U.S.C. 602(a)(1)(A)(ii)), as added by 
        section 103(a) of the Personal Responsibility and Work 
        Opportunity Reconciliation Act of 1996, is amended by inserting 
        ``, except as provided in section 407(e)(3)'' before the 
        period.
            (2) 5-year limit.--
                    (A) In general.--Section 408(a)(7) of the Social 
                Security Act (42 U.S.C. 608(a)(7)), as added by section 
                103(a) of the Personal Responsibility and Work 
                Opportunity Reconciliation Act of 1996, is amended by 
                redesignating subparagraphs (E) and (F) as 
                subparagraphs (F) and (G), respectively, and by 
                inserting after subparagraph (D) the following:
                    ``(E) Disregard of months of assistance received by 
                family head who is an adult nonparental relative 
                caregiver.--In determining the number of months for 
                which an adult has received assistance under the State 
                program funded under this part, the State shall 
                disregard any month during which the adult is an exempt 
                adult.''.
                    (B) Conforming amendment.--Section 408(a)(1)(B) of 
                the Social Security Act (42 U.S.C. 608(a)(1)(B)), as 
                added by section 103(a) of the Personal Responsibility 
                and Work Opportunity Reconciliation Act of 1996, is 
                amended by striking ``or (D)'' and inserting ``, (D), 
                or (E)''.
    (b) Prohibition Against Imposition of Time Limits.--Section 408(a) 
of the Social Security Act (42 U.S.C. 608(a)), as added by section 
103(a) of the Personal Responsibility and Work Opportunity 
Reconciliation Act of 1996 and as amended by section 2(c) of this Act, 
is amended by adding at the end the following:
            ``(13) Prohibition against imposition of time limits on 
        families headed by an adult nonparental relative caregiver.--A 
        State to which a grant is made under this part shall not use 
        any part of the grant to impose a limit on the duration of 
        assistance to an exempt adult or an exempt family under any 
        Federal, State, or local program, or to otherwise penalize an 
        exempt adult or an exempt family by reason of such status.
    (d) Penalty for Imposition of Time Limits.--Section 409(a) of the 
Social Security Act (42 U.S.C. 609(a)), as added by section 103(a) of 
the Personal Responsibility and Work Opportunity Reconciliation Act of 
1996 and as amended by section 2(d) of this Act, is amended by 
redesignating paragraph (13) as paragraph (14) and inserting after 
paragraph (12) the following:
            ``(13) Penalty for imposition of time limits on families 
        headed by an adult nonparental relative caregiver.--If the 
        Secretary determines that a State to which a grant is made 
        under section 403 for a fiscal year has violated section 
        408(a)(13) during the fiscal year, the Secretary shall reduce 
        the grant payable to the State under section 403(a)(1) for the 
        immediately succeeding fiscal year by 5 percent.''.

SEC. 4. GRANTS TO STATES FOR ASSISTANCE PROVIDED FOR ADULT NONPARENTAL 
              RELATIVE CAREGIVERS.

    Section 403(a) of the Social Security Act (42 U.S.C. 607(b)), as 
added by section 103(a) of the Personal Responsibility and Work 
Opportunity Reconciliation Act of 1996, is amended by adding at the end 
the following:
            ``(5) Grants for support provided for adult nonparental 
        relative caregivers.--
                    ``(A) In general.--Each eligible State shall be 
                entitled to receive from the Secretary a grant for each 
                fiscal year in an amount equal to the total amount 
                expended by the State during the immediately preceding 
                fiscal year under the State program funded under this 
                part for assistance to any exempt family or exempt 
                adult for any month for which the family or the adult, 
                in the absence of section 408(a)(7)(E), would not be 
                eligible for such assistance.
                    ``(B) Appropriation.--Out of any money in the 
                Treasury of the United States not otherwise 
                appropriated, there are appropriated for grants under 
                this paragraph such sums as may be necessary for each 
                fiscal year.''.

SEC. 5. DEFINITIONS.

    Section 419 of the Social Security Act (42 U.S.C. 607(b)), as added 
by section 103(a) of the Personal Responsibility and Work Opportunity 
Reconciliation Act of 1996, is amended by redesignating paragraphs (2) 
through (5) as paragraphs (4) through (7), respectively, and by 
inserting after paragraph (1) the following:
            ``(2) Exempt adult.--The term `exempt adult' means an adult 
        who is--
                    ``(A) living with and caring for a minor child who 
                is related to (but not a biological child of) the 
                adult; and
                    ``(B) the head of a family that--
                            ``(i) does not include a parent of any such 
                        minor child; and
                            ``(ii) does not include a biological child 
                        of the adult.
            ``(3) Exempt family.--The term `exempt family' means a 
        family which--
                    ``(A) is headed by an adult who is living with and 
                caring for a minor child who is related to (but not a 
                biological child of) the adult;
                    ``(B) does not include a parent of any such minor 
                child; and
                    ``(C) does not include a biological child of the 
                adult.''.

SEC. 6. EFFECTIVE DATE.

    The amendments made by this Act shall take effect as if included in 
the enactment of the Personal Responsibility and Work Opportunity 
Reconciliation Act of 1996.
Grandparent and Family Caregiver Support Act of 1997 - Amends part A (Temporary Assistance for Needy Families) (TANF) of title IV of the Social Security Act to generally exempt adult nonparental relative caregiver heads of families on TANF assistance from various specified (welfare reform) provisions added by the Personal Responsibility and Work Opportunity Reconciliation Act of 1996 that involve work and various time limits, including the five-year limit on TANF assistance. 
Sanctions States that ignore such exemption in imposing work requirements and time limits on such adults with reduced State TANF grants. 
Provides for grants to States for assistance provided for adult nonparental relative caregivers.
Grandparent and Family Caregiver Support Act of 1997