SECTION 1. FLEXIBILITY IN ELIGIBILITY FOR PARTICIPATION IN WELFARE-TO-
              WORK PROGRAM.

    (a) Hard-To-Employ Long-Term Recipients.--Section 403(a)(5)(C)(ii) 
of the Social Security Act (42 U.S.C. 603(a)(5)(C)(ii)) is amended--
            (1) by striking ``Required beneficiaries.--'' and inserting 
        ``Hard-to-employ recipients.--'';
            (2) in the matter preceding subclause (I)--
                    (A) by striking ``shall expend at least 70 percent 
                of all'' and inserting ``may expend''; and
                    (B) by striking ``, or for the benefit of 
                noncustodial parents,'';
            (3) in the matter preceding item (aa) of subclause (I)--
                    (A) by striking ``At least 2'' and inserting 
                ``Any'';
                    (B) by striking ``apply'' and inserting 
                ``applies''; and
                    (C) by striking ``or the noncustodial parent'';
            (4) in item (aa) of subclause (I), by striking ``, and has 
        low skills in reading or mathematics'';
            (5) by adding at the end of subclause (I) the following:
                                            ``(dd) The individual has 
                                        English reading, writing, or 
                                        computing skills at or below 
                                        the 8th grade level.
                                            ``(ee) The individual is 
                                        homeless.
                                            ``(ff) The individual has a 
                                        disability.
                                            ``(gg) The individual has 
                                        been a victim of domestic 
                                        violence.''; and
            (6) in the matter preceding item (aa) of subclause (II), by 
        striking ``or the minor children of the non-custodial parent''.
    (b) Noncustodial Parents.--
            (1) In general.--Section 403(a)(5)(C) of such Act (42 
        U.S.C. 603(a)(5)(C)) is amended--
                    (A) by redesignating clauses (iii) through (viii) 
                as clauses (iv) through (ix), respectively; and
                    (B) by inserting after clause (ii) the following:
                            ``(iii) Noncustodial parents.--An entity 
                        that operates a project with funds provided 
                        under this paragraph may use the funds to 
                        provide services in a form described in clause 
                        (i) to noncustodial parents with respect to 
                        whom the requirements of the following 
                        subclauses are met:
                                    ``(I) The noncustodial parent is 
                                unemployed, underemployed, or having 
                                difficulty in paying child support 
                                obligations.
                                    ``(II) At least 1 of the following 
                                applies to a minor child of the 
                                noncustodial parent (with preference in 
                                the determination of the noncustodial 
                                parents to be provided services under 
                                this paragraph to be provided by the 
                                entity to those noncustodial parents 
                                with minor children who meet, or who 
                                have custodial parents who meet, the 
                                requirements of item (aa)):
                                            ``(aa) The minor child or 
                                        the custodial parent of the 
                                        minor child meets the 
                                        requirements of clause 
                                        (ii)(II).
                                            ``(bb) The minor child is 
                                        eligible for, or is receiving, 
                                        benefits under the program 
                                        funded under this part.
                                            ``(cc) The minor child 
                                        received benefits under the 
                                        program funded under this part 
                                        in the 12-month period 
preceding the date of the determination but no longer receives such 
benefits.
                                            ``(dd) The minor child is 
                                        eligible for, or is receiving, 
                                        assistance under the Food Stamp 
                                        Act of 1977, benefits under the 
                                        supplemental security income 
                                        program under title XVI of this 
                                        Act, medical assistance under 
                                        title XIX of this Act, or child 
                                        health assistance under title 
                                        XXI of this Act.
                                    ``(III) In the case of a 
                                noncustodial parent who becomes 
                                enrolled in the project on or after the 
                                date of the enactment of this clause, 
                                the noncustodial parent is in 
                                compliance with the terms of an oral or 
                                written personal responsibility 
                                contract entered into among the 
                                noncustodial parent, the entity, and 
                                (unless the entity demonstrates to the 
                                Secretary that the entity is not 
                                capable of coordinating with such 
                                agency) the agency responsible for 
                                administering the State plan under part 
                                D, which was developed taking into 
                                account the employment and child 
                                support status of the noncustodial 
                                parent, which was entered into not 
                                later than 30 (or, at the option of the 
                                entity, not later than 90) days after 
                                the noncustodial parent was enrolled in 
                                the project, and which, at a minimum, 
                                includes the following:
                                            ``(aa) A commitment by the 
                                        noncustodial parent to 
                                        cooperate, at the earliest 
                                        opportunity, in the 
                                        establishment of the paternity 
                                        of the minor child, through 
                                        voluntary acknowledgement or 
                                        other procedures, and in the 
                                        establishment of a child 
                                        support order.
                                            ``(bb) A commitment by the 
                                        noncustodial parent to 
                                        cooperate in the payment of 
                                        child support for the minor 
                                        child, which may include a 
                                        modification of an existing 
                                        support order to take into 
                                        account the ability of the 
                                        noncustodial parent to pay such 
                                        support and the participation 
                                        of such parent in the project.
                                            ``(cc) A commitment by the 
                                        noncustodial parent to 
                                        participate in employment or 
                                        related activities that will 
                                        enable the noncustodial parent 
                                        to make regular child support 
                                        payments, and if the 
                                        noncustodial parent has not 
                                        attained 20 years of age, such 
                                        related activities may include 
                                        completion of high school, a 
                                        general equivalency degree, or 
                                        other education directly 
                                        related to employment.
                                            ``(dd) A description of the 
                                        services to be provided under 
                                        this paragraph, and a 
                                        commitment by the noncustodial 
                                        parent to participate in such 
                                        services, that are designed to 
                                        assist the noncustodial parent 
                                        obtain and retain employment, 
                                        increase earnings, and enhance 
                                        the financial and emotional 
                                        contributions to the well-being 
                                        of the minor child.
                                In order to protect custodial parents 
                                and children who may be at risk of 
                                domestic violence, the preceding 
                                provisions of this subclause shall not 
                                be construed to affect any other 
                                provision of law requiring a custodial 
                                parent to cooperate in establishing the 
                                paternity of a child or establishing or 
                                enforcing a support order with respect 
                                to a child, or entitling a custodial 
                                parent to refuse, for good cause, to 
                                provide such cooperation as a condition 
                                of assistance or benefit under any 
                                program, shall not be construed to 
                                require such cooperation by the 
                                custodial parent as a condition of 
                                participation of either parent in the 
                                program authorized under this 
                                paragraph, and shall not be construed 
                                to require a custodial parent to 
                                cooperate with or participate in any 
                                activity under this clause. The entity 
                                operating a project under this clause 
                                with funds provided under this 
paragraph shall consult with domestic violence prevention and 
intervention organizations in the development of the project.''.
            (2) Conforming amendment.--Section 412(a)(3)(C)(ii) of such 
        Act (42 U.S.C. 612(a)(3)(C)(ii)) is amended by striking 
        ``(vii)'' and inserting ``(viii)''.
    (c) Recipients With Characteristics of Long-Term Dependency; 
Children Aging Out of Foster Care.--
            (1) In general.--Subclause (II) of section 403(a)(5)(C)(iv) 
        of such Act (42 U.S.C. 603(a)(5)(C)(iv)(II)), as so 
        redesignated by subsection (b)(1)(A) of this section, is 
        amended to read as follows:
                                    ``(II) to children--
                                            ``(aa) who have attained 18 
                                        years of age but not 25 years 
                                        of age; and
                                            ``(bb) who, before 
                                        attaining 18 years of age, were 
                                        recipients of foster care 
                                        maintenance payments (as 
                                        defined in section 475(4)) 
                                        under part E or were in foster 
                                        care under the responsibility 
                                        of a State.''.
            (2) Conforming amendments.--Section 403(a)(5)(C)(iv) of 
        such Act (42 U.S.C. 603(a)(5)(C)(iv)), as so redesignated by 
        subsection (b)(1)(A) of this section, is amended--
                    (A) in the heading by inserting ``hard to employ'' 
                before ``individuals''; and
                    (B) in the last sentence by striking ``clause 
                (ii)'' and inserting ``clauses (ii) and (iii) and, as 
                appropriate, clause (v)''.

SEC. 2. LIMITED VOCATIONAL EDUCATIONAL AND JOB TRAINING INCLUDED AS 
              ALLOWABLE ACTIVITIES.

    Section 403(a)(5)(C)(i) of the Social Security Act (42 U.S.C. 
603(a)(5)(C)(i)) is amended by inserting after subclause (VI) the 
following:
                                    ``(VII) Not more than 6 months of 
                                vocational educational or job 
                                training.''.

SEC. 3. CERTAIN GRANTEES AUTHORIZED TO PROVIDE EMPLOYMENT SERVICES 
              DIRECTLY.

    Section 403(a)(5)(C)(i)(IV) of the Social Security Act (42 U.S.C. 
603(a)(5)(C)(i)(IV)) is amended by inserting ``, or if the entity is 
not a private industry council or workforce investment board, the 
direct provision of such services'' before the period.

SEC. 4. SIMPLIFICATION AND COORDINATION OF REPORTING REQUIREMENTS.

    (a) Elimination of Current Requirements.--Section 411(a)(1)(A) of 
the Social Security Act (42 U.S.C. 611(a)(1)(A)) is amended--
            (1) in the matter preceding clause (i), by inserting 
        ``(except for information relating to activities carried out 
        under section 403(a)(5))'' after ``part''; and
            (2) by striking clause (xviii).
    (b) Establishment of Reporting Requirement.--Section 403(a)(5)(C) 
of the Social Security Act (42 U.S.C. 603(a)(5)(C)), as amended by 
subsections (b)(1) and (d)(1) of section 301 of this Act, is amended by 
adding at the end the following:
                            ``(xi) Reporting requirements.--The 
                        Secretary of Labor, in consultation with the 
                        Secretary of Health and Human Services, shall 
                        establish requirements for the collection and 
                        maintenance of financial and participant 
                        information and the reporting of such 
                        information by entities carrying out activities 
                        under this paragraph.''.

SEC. 5. MODIFICATION OF SET-ASIDE OF PORTION OF WELFARE-TO-WORK FUNDS 
              FOR SUCCESSFUL PERFORMANCE BONUS.

    Section 403(a)(5)(E)(vi) of the Social Security Act (42 U.S.C. 
603(a)(5)(E)(vi)) is amended by striking ``$100,000,000'' and inserting 
``$35,000,000''.
Prescribes criteria for the provision of project funds to assist certain noncustodial parents to participate in employment or related activities that will enable them to make regular child support payments. Prescribes requirements for such recipients, including an oral or written personal responsibility contract containing certain conditions.
Authorizes Welfare-to-Work projects to assist: (1) children between ages 18 and 25 who have received foster care maintenance payments; (2) State TANF recipients with significant barriers to self-sufficiency (as determined according to criteria of the local private industry council); and (3) custodial parents with incomes below 100 percent of the poverty line.
Makes vocational educational or job training for up to six months an allowable activity.
Permits certain grantees which are not private industry councils or workforce investment boards to provide Welfare-to-Work employment services directly.
Repeals the requirement for quarterly State data reports on the Welfare-to-Work program.
Reduces the set-aside under provisions for grants for successful performance bonuses.
Reduces appropriations for FY 1999.
Welfare-to-Work Amendments of 1999