I

104TH CONGRESS

1ST SESSION H. R. 1157

To restore families, promote work, protect endangered children, increase personal responsibility, attack welfare dependency, reduce welfare fraud,

and improve child support collections.

IN THE HOUSE OF REPRESENTATIVES

MARCH 8, 1995

Mr. ARCHER introduced the following bill; which was referred to the Committee on Ways and Means, and in addition to the Committees on Economic

and Educational Opportunities, Commerce, the Judiciary, National Security, and Government Reform and Oversight, for a period to be subsequently determined by the Speaker, in each case for consideration of such

provisions as fall within the jurisdiction of the committee concerned

A BILL

To restore families, promote work, protect endangered children, increase personal responsibility, attack welfare dependency, reduce welfare fraud, and improve child support collections.

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled,

3 SECTION 1. SHORT TITLE.

4 This Act may be cited as the ‘‘Welfare Trans5 formation Act of 1995’’.
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1 SEC. 2. TABLE OF CONTENTS.

2 The table of contents of this Act is as follows:

Sec. 1. Short title.

Sec. 2. Table of contents.

TITLE I—BLOCK GRANTS FOR TEMPORARY ASSISTANCE FOR

NEEDY FAMILIES

Sec. 101. Block grants to States.

Sec. 102. Report on data processing.

Sec. 103. Transfers.

Sec. 104. Conforming amendments to the Social Security Act.

Sec. 105. Conforming amendments to other laws.

Sec. 106. Continued application of current standards under medicaid program.

Sec. 107. Effective date.

TITLE II—CHILD PROTECTION BLOCK GRANT PROGRAM

Sec. 201. Establishment of program.

Sec. 202. Conforming amendments.

Sec. 203. Continued application of current standards under medicaid program.

Sec. 204. Effective date.

TITLE III—RESTRICTING WELFARE FOR ALIENS

Sec. 301. Statements of national policy concerning welfare and immigration.

Sec. 302. Ineligibility of aliens for Federal public welfare assistance.

Sec. 303. Ineligibility of illegal aliens for State and local public welfare assistance.

Sec. 304. State authority to limit eligibility of other aliens for State and local

public welfare assistance.

Sec. 305. Attribution of sponsor’s income and resources to family-sponsored immigrants.

Sec. 306. Requirements for sponsor’s affidavit of support.

Sec. 307. Definitions.

Sec. 308. State agencies required to provide information on illegal aliens to the

Immigration and Naturalization Service.

TITLE IV—SUPPLEMENTAL SECURITY INCOME

Sec. 401. Denial of supplemental security income benefits by reason of disability to drug addicts and alcoholics.

Sec. 402. Supplemental security income benefits for disabled children.

Sec. 403. Examination of mental listings used to determine eligibility of children for SSI benefits by reason of disability.

Sec. 404. Limitation on payments to Puerto Rico, the Virgin Islands, and

Guam under programs of aid to the aged, blind, or disabled.

Sec. 405. Repeal of maintenance of effort requirements applicable to optional

State programs for supplementation of SSI benefits.

TITLE V—CHILD SUPPORT

Sec. 500. References.

Subtitle A—Case Registries, Eligibility for Services, and Distribution of

Payments
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Sec. 501. Case registries; State obligation to provide child support enforcement

services.

Sec. 502. Distribution of child support collections.

Sec. 503. Privacy safeguards.

Subtitle B—Locate and Case Tracking

Sec. 511. State case registry.

Sec. 512. Collection and disbursement of support payments.

Sec. 513. State Directory of New Hires.

Sec. 514. Amendments concerning income withholding.

Sec. 515. Locator information from interstate networks.

Sec. 516. Expanded Federal Parent Locator Service.

Sec. 517. Collection and use of social security numbers for use in child support

enforcement.

Subtitle C—Streamlining and Uniformity of Procedures

Sec. 521. Adoption of uniform State laws.

Sec. 522. Improvements to full faith and credit for child support orders.

Sec. 523. Administrative enforcement in interstate cases.

Sec. 524. Use of forms in interstate enforcement.

Sec. 525. State laws providing expedited procedures.

Subtitle D—Paternity Establishment

Sec. 531. State laws concerning paternity establishment.

Sec. 532. Outreach for voluntary paternity establishment.

Sec. 533. Cooperation by applicants for and recipients of temporary family assistance.

Subtitle E—Program Administration and Funding

Sec. 541. Federal matching payments.

Sec. 542. Performance-based incentives and penalties.

Sec. 543. Federal and State reviews and audits.

Sec. 544. Required reporting procedures.

Sec. 545. Automated data processing requirements.

Sec. 546. Technical assistance.

Sec. 547. Reports and data collection by the Secretary.

Subtitle F—Establishment and Modification of Support Orders

Sec. 551. Simplified process for review and adjustment of child support orders.

Subtitle G—Enforcement of Support Orders

Sec. 561. Federal income tax refund offset.

Sec. 562. Authority to collect support from Federal employees.

Sec. 563. Enforcement of child support obligations of members of the Armed

Forces.

Sec. 564. Voiding of fraudulent transfers.

Sec. 565. Sense of the Congress that States should suspend drivers’, business,

and occupational licenses of persons owing past-due child support.

Sec. 566. Work requirement for persons owing past-due child support.

Sec. 567. Definition of support order.
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Subtitle H—Medical Support

Sec. 571. Technical correction to ERISA definition of medical child support

order.

Subtitle I—Enhancing Responsibility and Opportunity for Nonresidential

Parents

Sec. 581. Grants to States for access and visitation programs.

Subtitle J—Effect of Enactment

Sec. 591. Effective dates.

1 TITLE I—BLOCK GRANTS FOR

2 TEMPORARY ASSISTANCE

3 FOR NEEDY FAMILIES

4 SEC. 101. BLOCK GRANTS TO STATES.

5 Title IV of the Social Security Act (42 U.S.C. 601

6 et seq.) is amended by striking part A, except sections

7 403(h) and 417, and inserting the following:

8 ‘‘PART A—BLOCK GRANTS TO STATES FOR

9 TEMPORARY ASSISTANCE FOR NEEDY FAMILIES

10 ‘‘SEC. 401. PURPOSE.

11 ‘‘The purpose of this part is to increase the flexibility

12 of States in operating a program designed to—

13 ‘‘(1) provide assistance to needy families so that

14 the children in such families may be cared for in

15 their homes or in the homes of relatives;

16 ‘‘(2) end the dependence of needy parents on

17 government benefits by promoting work and mar18 riage; and

19 ‘‘(3) discourage out-of-wedlock births.
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1 ‘‘SEC. 402. ELIGIBLE STATES; STATE PLAN.

2 ‘‘(a) IN GENERAL.—As used in this part, the term

3 ‘eligible State’ means, with respect to a fiscal year, a State

4 that, during the 3-year period immediately preceding the

5 fiscal year, has submitted to the Secretary a plan that in6 cludes the following:

7 ‘‘(1) OUTLINE OF FAMILY ASSISTANCE PRO8 GRAM.—A written document that outlines how the

9 State intends to do the following:

10 ‘‘(A) Conduct a program designed to—

11 ‘‘(i) provide cash benefits to needy

12 families with children; and

13 ‘‘(ii) provide parents of children in

14 such families with work experience, assist15 ance in finding employment, and other

16 work preparation activities and support

17 services that the State considers appro18 priate to enable such families to leave the

19 program and become self-sufficient.

20 ‘‘(B) Require at least 1 parent of a child

21 in any family which has received benefits for

22 more than 24 months (whether or not consecu23 tive) under the program to engage in work ac24 tivities (as defined by the State).
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1 ‘‘(C) Ensure that parents receiving assist2 ance under the program engage in work activi3 ties in accordance with section 404.

4 ‘‘(D) Treat interstate immigrants, if fami5 lies including such immigrants are to be treated

6 differently than other families.

7 ‘‘(E) Take such reasonable steps as the

8 State deems necessary to restrict the use and

9 disclosure of information about individuals and

10 families receiving benefits under the program.

11 ‘‘(F) Take actions to reduce the incidence

12 of out-of-wedlock births, which may include pro13 viding unmarried mothers and unmarried fa14 thers with services which will help them—

15 ‘‘(i) avoid subsequent pregnancies;

16 and

17 ‘‘(ii) provide adequate care to their

18 children.

19 ‘‘(G) Reduce teenage pregnancy, including

20 (at the option of the State) through the provi21 sion of education, counseling, and health serv22 ices to male and female teenagers.

23 ‘‘(2) CERTIFICATION THAT THE STATE WILL

24 OPERATE A CHILD SUPPORT ENFORCEMENT PRO25 GRAM.—A certification by the Governor of the State
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1 that, during the fiscal year, the State will operate a

2 child support enforcement program under the State

3 plan approved under part D, in a manner that com4 plies with the requirements of such part.

5 ‘‘(3) CERTIFICATION THAT THE STATE WILL

6 OPERATE A CHILD PROTECTION PROGRAM.—A cer7 tification by the Governor of the State that, during

8 the fiscal year, the State will operate a child protec9 tion program in accordance with part B, which in10 cludes a foster care program and an adoption assist11 ance program.

12 ‘‘(b) DETERMINATIONS.—The Secretary shall deter13 mine whether a plan submitted pursuant to subsection (a)

14 contains the material required by subsection (a).

15 ‘‘SEC. 403. PAYMENTS TO STATES.

16 ‘‘(a) ENTITLEMENTS.—

17 ‘‘(1) GRANTS FOR FAMILY ASSISTANCE.—

18 ‘‘(A) IN GENERAL.—Each eligible State

19 shall be entitled to receive from the Secretary

20 for each fiscal year specified in subsection

21 (b)(1) a grant in an amount equal to the State

22 share of the family assistance amount for the

23 fiscal year.

24 ‘‘(B) GRANT INCREASED TO REWARD

25 STATES THAT REDUCE OUT-OF-WEDLOCK
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1 BIRTHS.—The amount of the grant payable to

2 a State under subparagraph (A) for fiscal year

3 1998 or any succeeding fiscal year shall be in4 creased by—

5 ‘‘(i) 5 percent if the illegitimacy ratio

6 of the State for the fiscal year is at least

7 1 percentage point lower than the illegit8 imacy ratio of the State for fiscal year

9 1995; or

10 ‘‘(ii) 10 percent if the illegitimacy

11 ratio of the State for the fiscal year is at

12 least 2 percentage points lower than the il13 legitimacy ratio of the State for fiscal year

14 1995.

15 ‘‘(2) SUPPLEMENTAL GRANTS TO ADJUST FOR

16 POPULATION INCREASES.—In addition to any grant

17 under paragraph (1), each eligible State shall be en18 titled to receive from the Secretary for each of fiscal

19 years 1997, 1998, 1999, and 2000, a grant in an

20 amount equal to the State proportion of

21 $100,000,000.

22 ‘‘(b) DEFINITIONS.—As used in this section:

23 ‘‘(1) FAMILY ASSISTANCE AMOUNT.—The term

24 ‘family assistance amount’ means $15,355,000,000
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1 for each of fiscal years 1996, 1997, 1998, 1999, and

2 2000.

3 ‘‘(2) STATE SHARE.—The term ‘State share’

4 means—

5 ‘‘(A) the amount paid to the State under

6 section 403 of this title (as in effect before Oc7 tober 1, 1995) for fiscal year 1994 (other than

8 with respect to amounts expended for child care

9 under subsection (g) or (i) of such section); di10 vided by

11 ‘‘(B) the total amount paid to all of the

12 States under such section for fiscal year 1994

13 (other than with respect to amounts expended

14 for such child care).

15 ‘‘(3) ILLEGITIMACY RATIO.—The term ‘illegit16 imacy ratio’ means, with respect to a State and a

17 fiscal year—

18 ‘‘(A) the sum of—

19 ‘‘(i) the number of out-of-wedlock

20 births that occurred in the State during

21 the most recent fiscal year for which such

22 information is available; and

23 ‘‘(ii) the amount (if any) by which the

24 number of abortions performed in the

25 State during the most recent fiscal year for
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1 which such information is available exceeds

2 the number of abortions performed in the

3 State during the fiscal year that imme4 diately precedes such most recent fiscal

5 year; divided by

6 ‘‘(B) the number of births that occurred in

7 the State during the most recent fiscal year for

8 which such information is available.

9 ‘‘(4) STATE PROPORTION.—The term ‘State

10 proportion’ means, with respect to a fiscal year, the

11 amount that bears the same ratio to the amount

12 specified in subsection (a)(2) as the increase (if any)

13 in the population of the State for the most recent

14 fiscal year for which such information is available

15 over the population of the State for the fiscal year

16 that immediately precedes such most recent fiscal

17 year bears to the total increase in the population of

18 all States which have such an increase in population,

19 as determined by the Secretary using data from the

20 Bureau of the Census.

21 ‘‘(5) FISCAL YEAR.—The term ‘fiscal year’

22 means any 12-month period ending on September 30

23 of a calendar year.

24 ‘‘(6) STATE.—The term ‘State’ includes the

25 several States, the District of Columbia, the Com-
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1 monwealth of Puerto Rico, the United States Virgin

2 Islands, Guam, and American Samoa.

3 ‘‘(c) USE OF GRANT.—

4 ‘‘(1) IN GENERAL.—A State to which a grant

5 is made under this section may use the grant in any

6 manner that is reasonably calculated to accomplish

7 the purpose of this part, subject to this part, includ8 ing to provide noncash assistance to mothers who

9 have not attained 18 years of age and their children

10 and to provide low income households with assist11 ance in meeting home heating and cooling costs.

12 ‘‘(2) AUTHORITY TO TREAT INTERSTATE IMMI13 GRANTS UNDER RULES OF FORMER STATE.—A State

14 to which a grant is made under this section may

15 apply to a family the rules of the program operated

16 under this part of another State if the family has

17 moved to the State from the other State and has re18 sided in the State for less than 12 months.

19 ‘‘(3) AUTHORITY TO USE PORTION OF GRANT

20 FOR OTHER PURPOSES.—

21 ‘‘(A) IN GENERAL.—A State may use not

22 more than 30 percent of the amount of the

23 grant made to the State under this section for

24 a fiscal year to carry out a State program pur-
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1 suant to any or all of the following provisions

2 of law:

3 ‘‘(i) Part B of this title.

4 ‘‘(ii) Title XX of this Act.

5 ‘‘(iv) Any provision of law, enacted

6 into law during the 104th Congress, under

7 which grants are made to States for food

8 and nutrition.

9 ‘‘(iv) The Child Care and Develop10 ment Block Grant Act of 1990.

11 ‘‘(B) APPLICABLE RULES.—Any amount

12 paid to the State under this part that is used

13 to carry out a State program pursuant to a pro14 vision of law specified in subparagraph (A)

15 shall not be subject to the requirements of this

16 part, but shall be subject to the requirements

17 that apply to Federal funds provided directly

18 under the provision of law to carry out the pro19 gram.

20 ‘‘(4) AUTHORITY TO RESERVE CERTAIN

21 AMOUNTS FOR EMERGENCY BENEFITS.—

22 ‘‘(A) IN GENERAL.—A State may reserve

23 amounts paid to the State under this section

24 for any fiscal year for the purpose of providing
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1 emergency assistance under the State program

2 operated under this part.

3 ‘‘(B) AUTHORITY TO USE EXCESS RE4 SERVES FOR ANY PURPOSE.—During a fiscal

5 year, a State may use for any purpose deemed

6 appropriate by the State amounts held in re7 serve under subparagraph (A) to the extent ex8 ceeding 120 percent of the amount of the grant

9 payable to the State under this section for the

10 fiscal year.

11 ‘‘(5) IMPLEMENTATION OF ELECTRONIC BENE12 FIT TRANSFER SYSTEM.—A State to which a grant

13 is made under this section is encouraged to imple14 ment an electronic benefit transfer system for pro15 viding assistance under the State program funded

16 under this part, and may use the grant for such pur17 pose.

18 ‘‘(d) TIMING OF PAYMENTS.—The Secretary shall

19 pay each grant payable to a State under this section in

20 quarterly installments.

21 ‘‘(e) PENALTIES.—

22 ‘‘(1) FOR USE OF GRANT IN VIOLATION OF

23 THIS PART.—

24 ‘‘(A) IN GENERAL.—If an audit conducted

25 pursuant to chapter 75 of title 31, United
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1 States Code, finds that an amount paid to a

2 State under this section for a fiscal year has

3 been used in violation of this part, then the

4 Secretary shall reduce the amount of the grant

5 otherwise payable to the State under this sec6 tion for the immediately succeeding fiscal year

7 by the amount so used.

8 ‘‘(B) LIMITATION ON AMOUNT OF PEN9 ALTY.—In carrying out subparagraph (A), the

10 Secretary shall not reduce any quarterly pay11 ment by more than 25 percent.

12 ‘‘(C) CARRYFORWARD OF UNRECOVERED

13 PENALTIES.—To the extent that subparagraph

14 (B) prevents the Secretary from recovering dur15 ing a fiscal year the full amount of a penalty

16 imposed on a State under subparagraph (A) for

17 a prior fiscal year, the Secretary shall apply

18 subparagraph (A) to the grant otherwise pay19 able to the State under this section for the im20 mediately succeeding fiscal year.

21 ‘‘(2) FOR FAILURE TO SUBMIT REQUIRED RE22 PORT.—

23 ‘‘(A) IN GENERAL.—If the Secretary deter24 mines that a State has not, within 6 months

25 after the end of a fiscal year, submitted the re-
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1 port required by section 406 for the fiscal year,

2 the Secretary shall reduce by 3 percent the

3 amount of the grant that would (in the absence

4 of this subsection, subsection (a)(1)(B) of this

5 section, and section 404(c)(2)) be payable to

6 the State under subsection (a)(1)(A) for the im7 mediately succeeding fiscal year.

8 ‘‘(B) RESCISSION OF PENALTY.—The Sec9 retary shall rescind a penalty imposed on a

10 State under subparagraph (A) with respect to a

11 report for a fiscal year if the State submits the

12 report before the end of the immediately suc13 ceeding fiscal year.

14 ‘‘(C) FOR FAILURE TO PARTICIPATE IN

15 THE INCOME AND ELIGIBILITY VERIFICATION

16 SYSTEM.—If the Secretary determines that a

17 State program funded under this part is not

18 participating during a fiscal year in the income

19 and eligibility verification system required by

20 section 1137, the Secretary shall reduce by 1

21 percent the amount of the grant that would (in

22 the absence of this subsection, subsection

23 (a)(1)(B) of this section, and section 404(c)(2))

24 be payable to the State under subsection

25 (a)(1)(A) for the fiscal year.
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1 ‘‘(f) LIMITATION ON FEDERAL AUTHORITY.—The

2 Secretary may not regulate the conduct of States under

3 this part or enforce any provision of this part, except to

4 the extent expressly provided in this part.

5 ‘‘(g) FEDERAL RAINY DAY FUND.—

6 ‘‘(1) ESTABLISHMENT.—There is hereby estab7 lished in the Treasury of the United States a revolv8 ing loan fund which shall be known as the ‘Federal

9 Rainy Day Fund’.

10 ‘‘(2) DEPOSITS INTO FUND.—

11 ‘‘(A) APPROPRIATION.—Out of any money

12 in the Treasury of the United States not other13 wise appropriated, $1,000,000,000 are hereby

14 appropriated for fiscal year 1996 for payment

15 to the Federal Rainy Day Fund.

16 ‘‘(B) LOAN REPAYMENTS.—The Secretary

17 shall deposit into the fund any principal or in18 terest payment received with respect to a loan

19 made under this subsection.

20 ‘‘(3) AVAILABILITY.—Amounts in the fund are

21 authorized to remain available without fiscal year

22 limitation for the purpose of making loans and re23 ceiving payments of principal and interest on such

24 loans, in accordance with this subsection.

25 ‘‘(4) USE OF FUND.—
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1 ‘‘(A) LOANS TO QUALIFIED STATES.—

2 ‘‘(i) IN GENERAL.—The Secretary

3 shall make loans from the fund to any

4 qualified State for a period to maturity of

5 not more than 3 years.

6 ‘‘(ii) RATE OF INTEREST.—The Sec7 retary shall charge and collect interest on

8 any loan made under clause (i) at a rate

9 equal to the current average market yield

10 on outstanding marketable obligations of

11 the United States with remaining periods

12 to maturity comparable to the period to

13 maturity of the loan.

14 ‘‘(iii) MAXIMUM LOAN.—The amount

15 of any loan made to a State under clause

16 (i) during a fiscal year shall not exceed the

17 lesser of—

18 ‘‘(I) 50 percent of the amount of

19 the grant payable to the State under

20 this section for the fiscal year; or

21 ‘‘(II) $100,000,000.

22 ‘‘(B) QUALIFIED STATE DEFINED.—A

23 State is a qualified State for purposes of sub24 paragraph (A) if the unemployment rate of the

25 State (as determined by the Bureau of Labor
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1 Statistics) for the most recent 3-month period

2 for which such information is available is—

3 ‘‘(i) more than 6.5 percent; and

4 ‘‘(ii) at least 110 percent of such rate

5 for the corresponding 3-month period in ei6 ther of the 2 immediately preceding cal7 endar years.

8 ‘‘SEC. 404. MANDATORY WORK REQUIREMENTS.

9 ‘‘(a) PARTICIPATION RATE REQUIREMENTS.—

10 ‘‘(1) REQUIREMENT APPLICABLE TO 1-PARENT

11 FAMILIES RECEIVING ASSISTANCE.—

12 ‘‘(A) IN GENERAL.—A State to which a

13 grant is made under section 403 for a fiscal

14 year shall achieve the minimum participation

15 rate specified in the following table for the fis16 cal year with respect to 1-parent families receiv17 ing assistance under the State program funded

18 under this part:

The minimum

‘‘If the fiscal year is: participation rate is:

1996 .................................................................................... 4

1997 .................................................................................... 4

1998 .................................................................................... 8

1999 .................................................................................... 12

2000 .................................................................................... 17

2001 .................................................................................... 29

2002 .................................................................................... 40

2003 or thereafter .............................................................. 50.

19 ‘‘(B) PRO RATA REDUCTION OF PARTICIPA20 TION RATE FOR CASELOAD REDUCTIONS.—The
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1 minimum participation rate otherwise required

2 by subparagraph (A) for a fiscal year shall be

3 reduced by a percentage equal to the percentage

4 (if any) by which the number of families receiv5 ing assistance during the fiscal year under the

6 State program funded under this part is less

7 than the number of families that received aid

8 under the State plan approved under part A of

9 this title (as in effect before the effective date

10 of this part) during the fiscal year immediately

11 preceding such effective date.

12 ‘‘(C) PARTICIPATION RATE.—For purposes

13 of this paragraph:

14 ‘‘(i) AVERAGE MONTHLY RATE.—The

15 participation rate of a State for a fiscal

16 year is the average of the participation

17 rates of the State for each month in the

18 fiscal year.

19 ‘‘(ii) MONTHLY PARTICIPATION

20 RATES.—The participation rate of a State

21 for a month is—

22 ‘‘(I) the number of 1-parent fam23 ilies which receive cash assistance

24 under the State program funded

25 under this part and in which the par-
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1 ent is engaged in work activities for

2 the month; divided by

3 ‘‘(II) the total number of 1-par4 ent families which receive cash assist5 ance under the State program funded

6 under this part during the month and

7 in which the parent has attained 18

8 years of age.

9 ‘‘(2) REQUIREMENT APPLICABLE TO 2-PARENT

10 FAMILIES.—

11 ‘‘(A) IN GENERAL.—A State to which a

12 grant is made under section 403 for a fiscal

13 year shall achieve the minimum participation

14 rate specified in the following table for the fis15 cal year with respect to 2-parent families receiv16 ing assistance under the State program funded

17 under this part:

The minimum

‘‘If the fiscal year is: participation rate is:

1996 .................................................................................... 50

1997 .................................................................................... 50

1998 or thereafter .............................................................. 90.

18 ‘‘(B) PARTICIPATION RATE.—For purposes

19 of this paragraph:

20 ‘‘(i) AVERAGE MONTHLY RATE.—The

21 participation rate of a State for a fiscal

22 year is the average of the participation
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1 rates of the State for each month in the

2 fiscal year.

3 ‘‘(ii) MONTHLY PARTICIPATION

4 RATES.—The participation rate of a State

5 for a month is—

6 ‘‘(I) the number of 2-parent fam7 ilies which receive cash assistance

8 under the State program funded

9 under this part and in which at least

10 1 parent is engaged in work activities

11 for the month; divided by

12 ‘‘(II) the total number of 2-par13 ent families receiving cash assistance

14 under the State program funded

15 under this part during the month.

16 ‘‘(b) DEFINITIONS.—As used in this section:

17 ‘‘(1) ENGAGE IN WORK ACTIVITIES.—The term

18 ‘engage in work activities’ means, with respect to

19 parent and a month, to make progress in work ac20 tivities for at least the minimum average number of

21 hours per week specified in the following table dur22 ing the month, not fewer than 20 hours per week of

23 which are attributable to an activity described in

24 subparagraph (A), (B), (C), or (D) of paragraph

25 (2):
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‘‘If the month is in fiscal year: The minimum average

number of hours per week

is:

1996 ................................................................................................... 20

1997 ................................................................................................... 20

1998 ................................................................................................... 20

1999 ................................................................................................... 25

2000 ................................................................................................... 30

2001 ................................................................................................... 30

2002 ................................................................................................... 35

2003 or thereafter .............................................................................. 35.

1 ‘‘(2) WORK ACTIVITIES.—The term ‘work ac2 tivities’ means—

3 ‘‘(A) unsubsidized employment;

4 ‘‘(B) subsidized employment;

5 ‘‘(C) subsidized public sector employment

6 or work experience;

7 ‘‘(D) on-the-job training;

8 ‘‘(E) job search;

9 ‘‘(F) education and training directly relat10 ed to employment;

11 ‘‘(G) job skills training directly related to

12 employment; or

13 ‘‘(H) at the option of the State, satisfac14 tory attendance at secondary school, in the case

15 of a parent who has not completed secondary

16 school and who has not attained 20 years of

17 age.

18 ‘‘(3) FISCAL YEAR.—The term ‘fiscal year’

19 means any 12-month period ending on September 30

20 of a calendar year.
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1 ‘‘(c) PENALTIES.—

2 ‘‘(1) AGAINST INDIVIDUALS.—

3 ‘‘(A) APPLICABLE TO 1-PARENT FAMI4 LIES.—A State to which a grant is made under

5 section 403 for a fiscal year shall ensure that

6 the amount of cash assistance paid under the

7 State program funded under this part to a re8 cipient of assistance under the program who is

9 the parent in a 1-parent family and who refuses

10 to engage in work activities required under this

11 section shall be less than the amount of cash

12 assistance that would otherwise be paid to the

13 recipient under the program, subject to such

14 good cause and other exceptions as the State

15 may establish.

16 ‘‘(B) APPLICABLE TO 2-PARENT FAMI17 LIES.—A State to which a grant is made under

18 section 403 for a fiscal year shall reduce the

19 amount of cash assistance otherwise payable to

20 a 2-parent family for a month under the State

21 program funded under this part with respect to

22 a parent in the family who is not engaged in

23 work activities required under this section, pro

24 rata (or more, at the option of the State) with
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1 respect to any period during the month for

2 which the parent is not so engaged.

3 ‘‘(2) AGAINST STATES.—If the Secretary deter4 mines that a State to which a grant is made under

5 section 403 for a fiscal year has failed to comply

6 with subsection (a) of this section for the fiscal year,

7 the Secretary shall reduce by not more than 5 per8 cent the amount of the grant that would (in the ab9 sence of this paragraph and subsections (a)(1)(B)

10 and (e) of section 403) be payable to the State

11 under section 403(a)(1)(A) for the immediately suc12 ceeding fiscal year.

13 ‘‘(d) RULE OF INTERPRETATION.—This section shall

14 not be construed to prohibit a State from offering recipi15 ents of assistance under the State program funded under

16 this part an opportunity to participate in an education or

17 training program before requiring the recipients to work

18 or engage in a work program.

19 ‘‘(e) SENSE OF THE CONGRESS THAT STATES

20 SHOULD IMPOSE CERTAIN REQUIREMENTS ON

21 NONCUSTODIAL, NONSUPPORTING MINOR PARENTS.—It

22 is the sense of the Congress that the States should require

23 noncustodial, nonsupporting parents who have not at24 tained 18 years of age to fulfill community work obliga-
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1 tions and attend appropriate parenting or money manage2 ment classes after school.

3 ‘‘(f) RESEARCH.—The Secretary shall conduct re4 search on the costs and benefits of State activities under

5 this section.

6 ‘‘(g) EVALUATION OF INNOVATIVE APPROACHES TO

7 EMPLOYING RECIPIENTS OF ASSISTANCE.—The Sec8 retary shall evaluate innovative approaches to employing

9 recipients of assistance under State programs funded

10 under this part.

11 ‘‘(h) ANNUAL RANKING OF STATES AND REVIEW OF

12 MOST AND LEAST SUCCESSFUL WORK PROGRAMS.—

13 ‘‘(1) ANNUAL RANKING OF STATES.—The Sec14 retary shall rank the States to which grants are paid

15 under section 403 in the order of their success in

16 moving recipients of assistance under the State pro17 gram funded under this part into long-term private

18 sector jobs.

19 ‘‘(2) ANNUAL REVIEW OF MOST AND LEAST

20 SUCCESSFUL WORK PROGRAMS.—The Secretary shall

21 review the programs of the 3 States most recently

22 ranked highest under paragraph (1) and the 3

23 States most recently ranked lowest under paragraph

24 (1) that provide parents with work experience, as25 sistance in finding employment, and other work
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1 preparation activities and support services to enable

2 the families of such parents to leave the program

3 and become self-sufficient.

4 ‘‘SEC. 405. PROHIBITIONS.

5 ‘‘(a) IN GENERAL.—

6 ‘‘(1) NO ASSISTANCE FOR FAMILIES WITHOUT A

7 MINOR CHILD.—A State to which a grant is made

8 under section 403 may not use any part of the grant

9 to provide assistance to a family, unless the family

10 includes a minor child.

11 ‘‘(2) CERTAIN PAYMENTS NOT TO BE DIS12 REGARDED IN DETERMINING THE AMOUNT OF AS13 SISTANCE TO BE PROVIDED TO A FAMILY.—

14 ‘‘(A) INCOME SECURITY PAYMENTS.—If a

15 State to which a grant is made under section

16 403 uses any part of the grant to provide as17 sistance for any individual who is receiving a

18 payment under a State plan for old-age assist19 ance approved under section 2, a State program

20 funded under part B that provides cash pay21 ments for foster care, or the supplemental secu22 rity income program under title XVI (other

23 than service benefits provided through the use

24 of a grant made under part C of such title),

25 then the State may not disregard the payment
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1 in determining the amount of assistance to be

2 provided to the family of which the individual is

3 a member under the State program funded

4 under this part.

5 ‘‘(B) CERTAIN SUPPORT PAYMENTS.—A

6 State to which a grant is made under section

7 403 may not disregard an amount distributed

8 to a family under section 457(a)(1)(A) in deter9 mining the income of the family for purposes of

10 eligibility for assistance under the State pro11 gram funded under this part.

12 ‘‘(3) NO ASSISTANCE FOR CERTAIN ALIENS.—

13 Notwithstanding subsection (c)(1), a State to which

14 a grant is made under section 403 may not use any

15 part of the grant to provide assistance for an indi16 vidual who is not a citizen or national of the United

17 States, unless—

18 ‘‘(A)(i) the individual is admitted to the

19 United States as a refugee under section 207 of

20 the Immigration and Nationality Act; and

21 ‘‘(ii) 5 years has elapsed since the date the

22 individual arrived in the United States;

23 ‘‘(B) the individual—

24 ‘‘(i) is lawfully admitted to the United

25 States for permanent residence;
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1 ‘‘(ii) has attained 75 years of age; and

2 ‘‘(iii) has resided in the United States

3 for at least 5 years; or

4 ‘‘(C) the individual is honorably discharged

5 from the Armed Forces of the United States.

6 ‘‘(4) NO ASSISTANCE FOR OUT-OF-WEDLOCK

7 BIRTHS TO MINORS.—

8 ‘‘(A) GENERAL RULE.—a State to which a

9 grant is made under section 403 may not use

10 any part of the grant to provide cash benefits

11 for a child born out-of-wedlock to an individual

12 who has not attained 18 years of age, or for the

13 individual, until the individual attains such age.

14 ‘‘(B) EXCEPTION FOR RAPE OR INCEST.—

15 Subparagraph (A) shall not apply with respect

16 to a child who is born as a result of rape or in17 cest.

18 ‘‘(5) NO ADDITIONAL ASSISTANCE FOR CHIL19 DREN BORN TO FAMILIES RECEIVING ASSISTANCE.—

20 ‘‘(A) GENERAL RULE.—A State to which a

21 grant is made under section 403 may not use

22 any part of the grant to provide cash benefits

23 for a minor child who is born to—

24 ‘‘(i) a recipient of benefits under the

25 program operated under this part; or
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1 ‘‘(ii) a person who received such bene2 fits at any time during the 10-month pe3 riod ending with the birth of the child.

4 ‘‘(B) EXCEPTION FOR RAPE OR INCEST.—

5 Subparagraph (A) shall not apply with respect

6 to a child who is born as a result of rape or

7 incest.

8 ‘‘(6) NO ASSISTANCE FOR MORE THAN 5

9 YEARS.—

10 ‘‘(A) IN GENERAL.—A State to which a

11 grant is made under section 403 may not use

12 any part of the grant to provide cash benefits

13 for the family of an individual who, after at14 taining 18 years of age, has received benefits

15 under the program operated under this part for

16 60 months (whether or not consecutive) after

17 the effective date of this part, except as pro18 vided under subparagraph (B).

19 ‘‘(B) HARDSHIP EXCEPTION.—

20 ‘‘(i) IN GENERAL.—The State may ex21 empt a family from the application of sub22 paragraph (A) by reason of hardship.

23 ‘‘(ii) LIMITATION.—The number of

24 families with respect to which an exemp25 tion made by a State under clause (i) is in
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1 effect shall not exceed 10 percent of the

2 number of families to which the State is

3 providing assistance under the program op4 erated under this part.

5 ‘‘(7) NO ASSISTANCE FOR FAMILIES NOT CO6 OPERATING IN PATERNITY ESTABLISHMENT.—Not7 withstanding subsection (c)(1), a State to which a

8 grant is made under section 403 may not use any

9 part of the grant to provide assistance to a family

10 that includes an individual whom the agency respon11 sible for administering the State plan approved

12 under part D determines is not cooperating with the

13 State in establishing the paternity of any child of

14 the individual.

15 ‘‘(8) NO ASSISTANCE FOR FAMILIES NOT AS16 SIGNING SUPPORT RIGHTS TO THE STATE.—Not17 withstanding subsection (c)(1), a State to which a

18 grant is made under section 403 may not use any

19 part of the grant to provide assistance to a family

20 that includes an individual who has not assigned to

21 the State any rights the individual may have (on be22 half of the individual or of any other person for

23 whom the individual has applied for or is receiving

24 such assistance) to support from any other person
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1 for any period for which the individual receives such

2 assistance.

3 ‘‘(9) WITHHOLDING OF PORTION OF ASSIST4 ANCE FOR FAMILIES WHICH INCLUDE A CHILD

5 WHOSE PATERNITY IS NOT ESTABLISHED.—

6 ‘‘(A) IN GENERAL.—A State to which a

7 grant is made under section 403 may not fail

8 to—

9 ‘‘(i) withhold assistance under the

10 State program funded under this part from

11 a family which includes a child whose pa12 ternity is not established, in an amount

13 equal to $50 or 15 percent of the amount

14 of the assistance that would (in the ab15 sence of this paragraph) be provided to the

16 family with respect to the child, whichever

17 the State elects; or

18 ‘‘(ii) provide to the family the total

19 amount of assistance so withheld once the

20 paternity of the child is established, if the

21 family is then eligible for such assistance.

22 ‘‘(B) EXCEPTION FOR RAPE OR INCEST.—Sub23 paragraph (A) shall not apply with respect to a child

24 who is born as a result of rape or incest.
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1 ‘‘(10) DENIAL OF ASSISTANCE FOR 10 YEARS

2 TO A PERSON CONVICTED OF FRAUDULENTLY MIS3 REPRESENTING RESIDENCE TO A WELFARE PRO4 GRAM.—A State to which a grant is made under sec5 tion 403 may not use any part of the grant to pro6 vide assistance to an individual during the 10-year

7 period that begins with the date the individual is

8 convicted in Federal or State court of making a

9 fraudulent statement or representation with respect

10 to the place of residence of the person in order to

11 receive benefits or services under 2 or more pro12 grams that are funded under this part.

13 ‘‘(b) MINOR CHILD DEFINED.—As used in sub14 section (a), the term ‘minor child’ means an individual—

15 ‘‘(1) who has not attained 18 years of age; or

16 ‘‘(2) who—

17 ‘‘(A) has not attained 19 years of age; and

18 ‘‘(B) is a full-time student in a secondary

19 school (or in the equivalent level of vocational

20 or technical training).

21 ‘‘SEC. 406. DATA COLLECTION AND REPORTING.

22 ‘‘(a) IN GENERAL.—Each State to which a grant is

23 made under section 403 for a fiscal year shall, not later

24 than 6 months after the end of the fiscal year, transmit

25 to the Secretary the following aggregate information on
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1 families to which assistance was provided during the fiscal

2 year under the State program operated under this part:

3 ‘‘(1) The number of adults in the families.

4 ‘‘(2) The number of children in the families and

5 the average age of the children.

6 ‘‘(3) The basis of the eligibility of the families

7 for such assistance.

8 ‘‘(4) In the case of 2-parent families, the num9 ber with unemployed parents.

10 ‘‘(5) The number of 1-parent families in which

11 the parent is a widow or widower, is divorced, is sep12 arated, or has never married.

13 ‘‘(6) The age, race, educational attainment, and

14 employment status of the parents in the families.

15 ‘‘(7) The number of the families with earned in16 come, and the average monthly earnings of the fami17 lies.

18 ‘‘(8) The income of the families from the pro19 gram.

20 ‘‘(9) Whether, at the time of application for as21 sistance under the program, the families or any

22 member of the families receives benefits under any

23 of the following:

24 ‘‘(A) Any housing program.
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1 ‘‘(B) The food stamp program under the

2 Food Stamp Act of 1977.

3 ‘‘(C) The Head Start programs carried out

4 under the Head Start Act.

5 ‘‘(D) Any job training program.

6 ‘‘(10) The number of months, since the most

7 recent application for assistance under the program,

8 for which such assistance has been provided to the

9 families.

10 ‘‘(11) The total number of months for which

11 assistance has been provided to the families under

12 the program.

13 ‘‘(12) Any other data necessary to indicate

14 whether the State is in compliance with the plan

15 most recently submitted by the State pursuant to

16 section 402.

17 ‘‘(b) AUTHORITY OF STATES TO USE ESTIMATES.—

18 A State may comply with the requirement to provide pre19 cise numerical information described in subsection (a) by

20 submitting an estimate which is obtained through the use

21 of scientifically acceptable sampling methods.

22 ‘‘(c) REPORT ON USE OF FEDERAL FUNDS TO

23 COVER ADMINISTRATIVE COSTS AND OVERHEAD.—The

24 report required by subsection (a) for a fiscal year shall

25 include a statement of the percentage of the funds paid
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1 to the State under this part for the fiscal year that are

2 used to cover administrative costs or overhead.

3 ‘‘(d) REPORT ON STATE EXPENDITURES ON PRO4 GRAMS FOR NEEDY FAMILIES.—The report required by

5 subsection (a) for a fiscal year shall include a statement

6 of the total amount expended by the State during the fis7 cal year on programs for needy families.

8 ‘‘(e) REPORT ON NONCUSTODIAL PARENTS PARTICI9 PATING IN WORK ACTIVITIES.—The report required by

10 subsection (a) for a fiscal year shall include the number

11 of noncustodial parents in the State who participated in

12 work activities (as defined in section 404(b)(1)) during the

13 fiscal year.

14 ‘‘SEC. 407. STUDY BY THE CENSUS BUREAU.

15 ‘‘(a) IN GENERAL.—The Bureau of the Census shall

16 expand the Survey of Income and Program Participation

17 as necessary to obtain such information as will enable in18 terested persons to evaluate the impact of the amendments

19 made by title I of the Welfare Transformation Act of 1995

20 on a random national sample of recipients of assistance

21 under State programs funded under this part and (as ap22 propriate) other low income families, and in doing so, shall

23 pay particular attention to the issues of out-of-wedlock

24 birth, welfare dependency, the beginning and end of wel25 fare spells, and the causes of repeat welfare spells.
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1 ‘‘(b) APPROPRIATION.—Out of any money in the

2 Treasury of the United States not otherwise appropriated,

3 the Secretary of the Treasury shall pay to the Bureau of

4 the Census $10,000,000 for each of fiscal years 1996,

5 1997, 1998, 1999, and 2000 to carry out subsection (a).’’.

6 SEC. 102. REPORT ON DATA PROCESSING.

7 (a) IN GENERAL.—Within 6 months after the date

8 of the enactment of this Act, the Secretary of Health and

9 Human Services shall prepare and submit to the Congress

10 a report on—

11 (1) the status of the automated data processing

12 systems operated by the States to assist manage13 ment in the administration of State programs under

14 part A of title IV of the Social Security Act (wheth15 er in effect before or after October 1, 1995); and

16 (2) what would be required to establish a sys17 tem capable of—

18 (A) tracking participants in public pro19 grams over time; and

20 (B) checking case records of the States to

21 determine whether individuals are participating

22 in public programs of 2 or more States.

23 (b) PREFERRED CONTENTS.—The report required by

24 subsection (a) should include—
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1 (1) a plan for building on the automated data

2 processing systems of the States to establish a sys3 tem with the capabilities described in subsection

4 (a)(2); and

5 (2) an estimate of the amount of time required

6 to establish such a system and of the cost of estab7 lishing such a system.

8 SEC. 103. TRANSFERS.

9 (a) CHILD SUPPORT REVIEW PENALTIES.—

10 (1) TRANSFER OF PROVISION.—Section 403 of

11 the Social Security Act, as added by the amendment

12 made by section 101 of this Act, is amended by add13 ing at the end subsection (h) of section 403, as in

14 effect immediately before the effective date of this

15 title.

16 (2) CONFORMING AMENDMENT.—Section

17 403(h)(3) of such Act, as in effect pursuant to para18 graph (1) of this subsection, is amended by striking

19 ‘‘, section 402(a)(27),’’.

20 (b) ASSISTANT SECRETARY FOR FAMILY SUPPORT.—

21 (1) REDESIGNATION OF PROVISION.—Section

22 417 of such Act (42 U.S.C. 617), as in effect imme23 diately before the effective date of this title, is

24 amended by striking the following:

25 ‘‘ASSISTANT SECRETARY FOR FAMILY SUPPORT’’

26 ‘‘SEC. 417.’’
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1 and inserting the following:

2 ‘‘SEC. 408. ASSISTANT SECRETARY FOR FAMILY SUPPORT.’’.

3 (2) TRANSFER OF PROVISION.—Part A of title

4 IV of such Act, as added by the amendment made

5 by section 101 of this Act, is amended by adding at

6 the end the section amended by paragraph (1) of

7 this subsection.

8 (3) CONFORMING AMENDMENT.—Section 408

9 of such Act, as added by paragraph (2) of this sub10 section is amended by striking ‘‘, part D, and part

11 F’’ and inserting ‘‘and part D’’.

12 SEC. 104. CONFORMING AMENDMENTS TO THE SOCIAL

13 SECURITY ACT.

14 (a) AMENDMENTS TO TITLE II.—

15 (1) Section 205(c)(2)(C)(vi) of the Social Secu16 rity Act (42 U.S.C. 405(c)(2)(C)(vi)), as so redesig17 nated by section 321(a)(9)(B) of the Social Security

18 Independence and Program Improvements Act of

19 1994, is amended—

20 (A) by inserting ‘‘an agency administering

21 a program funded under part A of title IV or’’

22 before ‘‘an agency operating’’; and

23 (B) by striking ‘‘A or D of title IV of this

24 Act’’ and inserting ‘‘D of such title’’.
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1 (2) Section 228(d)(1) of such Act (42 U.S.C.

2 428(d)(1)) is amended by inserting ‘‘under a State

3 program funded under’’ before ‘‘part A of title IV’’.

4 (b) AMENDMENTS TO PART D OF TITLE IV.—

5 (1) Section 451 of such Act (42 U.S.C. 651) is

6 amended by striking ‘‘aid’’ and inserting ‘‘assistance

7 under a State program funded’’.

8 (2) Section 452(a)(10)(C) of such Act (42

9 U.S.C. 652(a)(10)(C)) is amended—

10 (A) by striking ‘‘aid to families with de11 pendent children’’ and inserting ‘‘assistance

12 under a State program funded under part A’’;

13 (B) by striking ‘‘such aid’’ and inserting

14 ‘‘such assistance’’; and

15 (C) by striking ‘‘under section 402(a)(26)’’

16 and inserting ‘‘pursuant to section 405(a)(8)’’.

17 (3) Section 452(a)(10)(F) of such Act (42

18 U.S.C. 652(a)(10)(F)) is amended—

19 (A) by striking ‘‘aid under a State plan ap20 proved’’ and inserting ‘‘assistance under a State

21 program funded’’; and

22 (B) by striking ‘‘in accordance with the

23 standards referred to in section

24 402(a)(26)(B)(ii)’’ and inserting ‘‘by the

25 State’’.
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1 (4) Section 452(a) of such Act (42 U.S.C.

2 652(a)) is amended in the last sentence by striking

3 ‘‘plan approved’’ and inserting ‘‘program funded’’.

4 (5) Section 452(b) of such Act (42 U.S.C.

5 652(b)) is amended in the last sentence by striking

6 ‘‘plan approved under part A’’ and inserting ‘‘pro7 gram funded under part A’’.

8 (6) Section 452(d)(3)(B)(i) of such Act (42

9 U.S.C. 652(d)(3)(B)(i)) is amended by striking

10 ‘‘1115(c)’’ and inserting ‘‘1115(b)’’.

11 (7) Section 452(g)(2)(A)(ii)(I) of such Act (42

12 U.S.C. 652(g)(2)(A)(ii)(I)) is amended—

13 (A) by inserting ‘‘assistance is being pro14 vided under the State program funded under

15 part A or’’ before ‘‘aid’’; and

16 (B) by striking ‘‘A or’’.

17 (8) Section 452(g)(2)(A) of such Act (42

18 U.S.C. 652(g)(2)(A)) is amended in the matter fol19 lowing clause (iii) by striking ‘‘aid is being provided

20 under the State’s plan approved’’ and inserting ‘‘as21 sistance is being provided under the State program

22 funded’’.

23 (9) Section 452(g)(2) of such Act (42 U.S.C.

24 652(g)(2)) is amended—
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1 (A) by striking ‘‘who is a dependent child

2 by reason of the death of a parent’’ and insert3 ing ‘‘with respect to whom assistance is being

4 provided under the State program funded under

5 part A’’;

6 (B) by inserting ‘‘by the State agency ad7 ministering the State plan approved under this

8 part’’ after ‘‘found’’; and

9 (C) by striking ‘‘under section 402(a)(26)’’

10 and inserting ‘‘pursuant to section 405(a)(8)’’.

11 (10) Section 452(h) of such Act (42 U.S.C.

12 652(h)) is amended by striking ‘‘under section

13 402(a)(26)’’ and inserting ‘‘pursuant to section

14 405(a)(8)’’.

15 (11) Section 454(5) of such Act (42 U.S.C.

16 654(5)) is amended—

17 (A) by striking ‘‘under section 402(a)(26)’’

18 and inserting ‘‘pursuant to section 405(a)(8)’’;

19 and

20 (B) by striking ‘‘except that this para21 graph shall not apply to such payments for any

22 month following the first month in which the

23 amount collected is sufficient to make such

24 family ineligible for assistance under the State

25 plan approved under part A;’’.
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1 (12) Section 454(6)(D) of such Act (42 U.S.C.

2 654(6)(D)) is amended by striking ‘‘aid under a

3 State plan approved’’ and inserting ‘‘assistance

4 under a State program funded’’.

5 (13) Section 456 of such Act (42 U.S.C. 656)

6 is amended by striking ‘‘under section 402(a)(26)’’

7 each place such term appears and inserting ‘‘pursu8 ant to section 405(a)(8)’’.

9 (14) Section 464(a)(1) of such Act (42 U.S.C.

10 664(a)(1)) is amended by striking ‘‘402(a)(26)’’ and

11 inserting ‘‘405(a)(8)’’.

12 (15) Section 466(a)(3)(B) of such Act (42

13 U.S.C. 666(a)(3)(B)) is amended by striking

14 ‘‘402(a)(26)’’ and inserting ‘‘405(a)(8)’’.

15 (16) Section 466(a)(10)(B)(i) of such Act (42

16 U.S.C. 666(a)(10)(B)(i)) is amended by striking

17 ‘‘under section 402(a)(26)’’ and inserting ‘‘pursuant

18 to section 405(a)(8)’’.

19 (17) Section 466(b)(2) of such Act (42 U.S.C.

20 666(b)(2)) is amended by striking ‘‘aid’’ and insert21 ing ‘‘assistance under a State program funded’’.

22 (c) REPEAL OF PART F OF TITLE IV.—Part F of

23 title IV of such Act (42 U.S.C. 681–687) is hereby re24 pealed.
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1 (d) AMENDMENT TO TITLE X.—Section 1002(a)(7)

2 of such Act (42 U.S.C. 1202(a)(7)) is amended by striking

3 ‘‘aid to families with dependent children under the State

4 plan approved under section 402 of this Act’’ and insert5 ing ‘‘assistance under a State program funded under part

6 A of title IV’’.

7 (e) AMENDMENTS TO TITLE XI.—

8 (1) Section 1108 of such Act (42 U.S.C. 1308)

9 is amended—

10 (A) by striking subsections (a), (b), (d),

11 and (e); and

12 (B) by striking ‘‘(c)’’.

13 (2) Section 1109 of such Act (42 U.S.C. 1309)

14 is amended by striking ‘‘or part A of title IV,’’.

15 (3) Section 1115(a) of such Act (42 U.S.C.

16 1315(a)) is amended—

17 (A) in the matter preceding paragraph (1),

18 by striking ‘‘A or’’;

19 (B) in paragraph (1), by striking ‘‘402,’’;

20 and

21 (C) in paragraph (2), by striking ‘‘403,’’.

22 (4) Section 1116 of such Act (42 U.S.C. 1316)

23 is amended—

24 (A) in each of subsections (a)(1), (d), and

25 (d), by striking ‘‘or part A of title IV,’’; and
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1 (B) in subsection (a)(3), by striking

2 ‘‘404,’’;

3 (5) Section 1118 of such Act (42 U.S.C. 1318)

4 is amended—

5 (A) by striking ‘‘403(a),’’;

6 (B) by striking ‘‘and part A of title IV,’’;

7 and

8 (C) by striking ‘‘and shall, in the case of

9 American Samoa, mean 75 per centum with re10 spect to part A of title IV’’.

11 (6) Section 1119 of such Act (42 U.S.C. 1319)

12 is amended—

13 (A) by striking ‘‘or part A of title IV’’; and

14 (B) by striking ‘‘403(a)’’.

15 (7) Section 1133(a) of such Act (42 U.S.C.

16 1320b–3(a)) is amended by striking ‘‘or part A of

17 title IV,’’.

18 (8) Section 1136 of such Act (42 U.S.C.

19 1320b–6) is hereby repealed.

20 (9) Section 1137 of such Act (42 U.S.C.

21 1320b–7) is amended—

22 (A) in subsection (b), by striking para23 graph (1) and inserting the following:

24 ‘‘(1) any State program funded under part A of

25 title IV of this Act;’’; and
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1 (B) in subsection (d)(2)—

2 (i) by striking ‘‘In this subsection—’’

3 and all that follows through ‘‘(ii) in’’ and

4 inserting ‘‘In this subsection, in’’;

5 (ii) by redesignating subclauses (I),

6 (II), and (III) as clauses (i), (ii), and (iii);

7 and

8 (iii) by moving such redesignated ma9 terial 2 ems to the left.

10 (g) AMENDMENT TO TITLE XIV.—Section

11 1402(a)(7) of such Act (42 U.S.C. 1352(a)(7)) is amend12 ed by striking ‘‘aid to families with dependent children

13 under the State plan approved under section 402 of this

14 Act’’ and inserting ‘‘assistance under a State program

15 funded under part A of title IV’’.

16 (h) AMENDMENT TO TITLE XVI AS IN EFFECT WITH

17 RESPECT TO THE TERRITORIES.—Section 1602(a)(11) of

18 such Act, as in effect without regard to the amendment

19 made by section 301 of the Social Security Amendments

20 of 1972, (42 U.S.C. 1382 note) is amended by striking

21 ‘‘aid under the State plan approved’’ and inserting ‘‘assist22 ance under a State program funded’’.

23 (i) AMENDMENT TO TITLE XVI AS IN EFFECT WITH

24 RESPECT TO THE STATES.—Section 1611(c)(5)(A) of

25 such Act (42 U.S.C. 1382(c)(5)(A)) is amended to read
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1 as follows: ‘‘(A) a State program funded under part A of

2 title IV,’’.

3 SEC. 105. CONFORMING AMENDMENTS TO OTHER LAWS.

4 (a) Subsection (b) of section 508 of the Unemploy5 ment Compensation Amendments of 1976 (42 U.S.C.

6 603a) is amended to read as follows:

7 ‘‘(b) PROVISION FOR REIMBURSEMENT OF EX8 PENSES.—For purposes of section 455 of the Social Secu9 rity Act, expenses incurred to reimburse State employment

10 offices for furnishing information requested of such of11 fices—

12 ‘‘(1) pursuant to the third sentence of section

13 3(a) of the Act entitled ‘An Act to provide for the

14 establishment of a national employment system and

15 for cooperation with the States in the promotion of

16 such system, and for other purposes’, approved

17 June 6, 1933 (29 U.S.C. 49b(a)),

18 ‘‘(2) by a State or local agency charged with

19 the duty of carrying a State plan for child support

20 approved under part D of title IV of the Social Se21 curity Act,

22 shall be considered to constitute expenses incurred in the

23 administration of such State plan.’’.

24 (b) Paragraph (9) of section 51(d) of the Internal

25 Revenue Code of 1986 is amended by striking all that fol-
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1 lows ‘‘agency as’’ and inserting ‘‘being eligible for financial

2 assistance under part A of title IV of the Social Security

3 Act and as having continually received such financial as4 sistance during the 90-day period which immediately pre5 cedes the date on which such individual is hired by the

6 employer.’’

7 (c) Section 9121 of the Omnibus Budget Reconcili8 ation Act of 1987 (42 U.S.C. 602 note) is hereby repealed.

9 (d) Section 9122 of the Omnibus Budget Reconcili10 ation Act of 1987 (42 U.S.C. 602 note) is hereby repealed.

11 (e) Section 221 of the Housing and Urban-Rural Re12 covery Act of 1983 (42 U.S.C. 602 note), relating to treat13 ment under AFDC of certain rental payments for federally

14 assisted housing, is hereby repealed.

15 (f) Section 159 of the Tax Equity and Fiscal Respon16 sibility Act of 1982 (42 U.S.C. 602 note) is hereby re17 pealed.

18 (g) Section 202(d) of the Social Security Amend19 ments of 1967 (81 Stat. 882; 42 U.S.C. 602 note) is here20 by repealed.

21 (h) Section 233 of the Social Security Act Amend22 ments of 1994 (42 U.S.C. 602 note) is hereby repealed.

23 (i) Section 903 of the Stewart B. McKinney Home24 less Assistance Amendments Act of 1988 (42 U.S.C.
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•HR 1157 IH

1 11381 note), relating to demonstration projects to reduce

2 number of AFDC families in welfare hotels, is amended—

3 (1) in subsection (a), by striking ‘‘aid to fami4 lies with dependent children under a State plan ap5 proved’’ and inserting ‘‘assistance under a State pro6 gram funded’’; and

7 (2) in subsection (c), by striking ‘‘aid to fami8 lies with dependent children in the State under a

9 State plan approved’’ and inserting ‘‘assistance in

10 the State under a State program funded’’.

11 SEC. 106. CONTINUED APPLICATION OF CURRENT STAND12 ARDS UNDER MEDICAID PROGRAM.

13 (a) IN GENERAL.—Title XIX of the Social Security

14 Act is amended—

15 (1) in section 1931, by inserting ‘‘subject to

16 section 1931(a),’’ after ‘‘under this title,’’ and by re17 designating such section as section 1932; and

18 (2) by inserting after section 1930 the following

19 new section:

20 ‘‘CONTINUED APPLICATION OF AFDC STANDARDS

21 ‘‘SEC. 1931. (a) For purposes of applying this title

22 on and after October 1, 1995, with respect to a State—

23 ‘‘(1) except as provided in paragraph (2), any

24 reference in this title (or other provision of law in

25 relation to the operation of this title) to a provision

26 of part A of title IV of this Act, or a State plan
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1 under such part, shall be considered a reference to

2 such provision or plan as in effect as of March 7,

3 1995, with respect to the State and eligibility for

4 medical assistance under this title shall be deter5 mined as if such provision or plan (as in effect as

6 of such date) had remained in effect on and after

7 October 1, 1995; and

8 ‘‘(2) any reference in section 1902(a)(5) or

9 1902(a)(55) to a State plan approved under part A

10 of title IV shall be deemed a reference to a State

11 program funded under such part (as in effect on and

12 after October 1, 1995).

13 ‘‘(b) In the case of a waiver of a provision of part

14 A of title IV in effect with respect to a State as of March

15 7, 1995, if the waiver affects eligibility of individuals for

16 medical assistance under this title, such waiver may con17 tinue to be applied, at the option of the State, in relation

18 to this title after the date the waiver would otherwise ex19 pire.’’

20 (b) PLAN AMENDMENT.—Section 1902(a) of such

21 Act (42 U.S.C. 1396a(a)) is amended—

22 (1) by striking ‘‘and’’ at the end of paragraph

23 (61),

24 (2) by striking the period at the end of para25 graph (62) and inserting ‘‘; and’’, and
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•HR 1157 IH

1 (3) by inserting after paragraph (62) the fol2 lowing new paragraph:

3 ‘‘(63) provide for continuing to administer eligi4 bility standards with respect to individuals who are

5 (or seek to be) eligible for medical assistance based

6 on the application of section 1931.’’.

7 (c) CONFORMING AMENDMENTS.—(1) Section

8 1902(c) of such Act (42 U.S.C. 1396a(c)) is amended by

9 striking ‘‘if—’’ and all that follows and inserting the fol10 lowing: ‘‘if the State requires individuals described in sub11 section (l)(1) to apply for assistance under the State pro12 gram funded under part A of title IV as a condition of

13 applying for or receiving medical assistance under this

14 title.’’.

15 (2) Section 1903(i) of such Act (42 U.S.C. 1396b(i))

16 is amended by striking paragraph (9).

17 (d) EFFECTIVE DATE.—The amendments made by

18 this section shall apply to medical assistance furnished for

19 calendar quarters beginning on or after October 1, 1995.

20 SEC. 107. EFFECTIVE DATE.

21 (a) IN GENERAL.—Except as otherwise provided in

22 this title, this title and the amendments made by this title

23 shall take effect on October 1, 1995.

24 (b) DELAYED APPLICABILITY OF AUTHORITY TO

25 TEMPORARILY REDUCE ASSISTANCE FOR CERTAIN FAMI-
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1 LIES WHICH INCLUDE A CHILD WHOSE PATERNITY IS

2 NOT ESTABLISHED.—Section 405(a)(9) of the Social Se3 curity Act, as added by the amendment made by section

4 101 of this Act, shall not apply to individuals who, imme5 diately before the effective date of this title, are recipients

6 of aid under a State plan approved under part A of title

7 IV of the Social Security Act, until the end of the 1-year

8 (or, at the option of the State, 2-year) period that begins

9 with such effective date.

10 (c) TRANSITION RULE.—The amendments made by

11 this title shall not apply with respect to—

12 (1) powers, duties, functions, rights, claims,

13 penalties, or obligations applicable to aid or services

14 provided before the effective date of this title under

15 the provisions amended; and

16 (2) administrative actions and proceedings com17 menced before such date, or authorized before such

18 date to be commenced, under such provisions.

19 TITLE II—CHILD PROTECTION

20 BLOCK GRANT PROGRAM

21 SEC. 201. ESTABLISHMENT OF PROGRAM.

22 Part B of title IV of the Social Security Act (42

23 U.S.C. 620–635) is amended to read as follows:
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1 ‘‘PART B—BLOCK GRANTS TO STATES FOR THE

2 PROTECTION OF CHILDREN

3 ‘‘SEC. 421. PURPOSE.

4 ‘‘The purpose of this part is to enable eligible States

5 to carry out a child protection program to—

6 ‘‘(1) identify and assist families at risk of abus7 ing or neglecting their children;

8 ‘‘(2) operate a system for receiving reports of

9 abuse or neglect of children;

10 ‘‘(3) investigate families reported to abuse or

11 neglect their children;

12 ‘‘(4) provide support, treatment, and family

13 preservation services to families which are, or are at

14 risk of, abusing or neglecting their children;

15 ‘‘(5) support children who must be removed

16 from or who cannot live with their families;

17 ‘‘(6) make timely decisions about permanent liv18 ing arrangements for children who must be removed

19 from or who cannot live with their families; and

20 ‘‘(7) provide for continuing evaluation and im21 provement of child protection laws, regulations, and

22 services.

23 ‘‘SEC. 422. ELIGIBLE STATES.

24 ‘‘(a) IN GENERAL.—As used in this part, the term

25 ‘eligible State’ means, with respect to a fiscal year, a State

26 that, during the 3-year period immediately preceding the
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•HR 1157 IH

1 fiscal year, has submitted to the Secretary a plan that in2 cludes the following:

3 ‘‘(1) OUTLINE OF CHILD PROTECTION PRO4 GRAM.—A written document that outlines the activi5 ties the State intends to conduct to achieve the pur6 pose of this part, including the procedures to be

7 used for—

8 ‘‘(A) receiving reports of child abuse or ne9 glect;

10 ‘‘(B) investigating such reports;

11 ‘‘(C) protecting children in families in

12 which child abuse or neglect is found to have

13 occurred;

14 ‘‘(D) removing children from dangerous

15 settings;

16 ‘‘(E) protecting children in foster care;

17 ‘‘(F) promoting timely adoptions;

18 ‘‘(G) protecting the rights of families;

19 ‘‘(H) preventing child abuse and neglect;

20 and

21 ‘‘(I) establishing and responding to citizen

22 review panels under section 425.

23 ‘‘(2) CERTIFICATION OF STATE LAW REQUIRING

24 THE REPORTING OF CHILD ABUSE AND NEGLECT.—

25 A certification that the State has in effect laws that
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•HR 1157 IH

1 require public officials and other professionals to re2 port actual or suspected instances of child abuse or

3 neglect.

4 ‘‘(3) CERTIFICATION OF STATE PROGRAM TO

5 INVESTIGATE CHILD ABUSE AND NEGLECT CASES.—

6 A certification that the State has in effect a pro7 gram to investigate child abuse and neglect cases.

8 ‘‘(4) CERTIFICATION OF STATE PROCEDURES

9 FOR REMOVAL AND PLACEMENT OF ABUSED OR NE10 GLECTED CHILDREN.—A certification that the State

11 has in effect procedures for removal from families

12 and placement of abused or neglected children.

13 ‘‘(5) CERTIFICATION OF STATE PROCEDURES

14 FOR DEVELOPING AND REVIEWING WRITTEN PLANS

15 FOR PERMANENT PLACEMENT OF REMOVED CHIL16 DREN.—A certification that the State has in effect

17 procedures for ensuring that a written plan is pre18 pared for children who have been removed from their

19 families, which specifies the goal for achieving a per20 manent placement for the child in a timely fashion,

21 for ensuring that the written plan is reviewed every

22 6 months, and for ensuring that information about

23 such children is collected regularly and recorded in

24 case records, and a description of such procedures.
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1 ‘‘(6) CERTIFICATION THAT THE STATE WILL

2 CONTINUE TO HONOR ADOPTION ASSISTANCE

3 AGREEMENTS.—A certification that the State will

4 honor any adoption assistance agreement (as defined

5 in section 475(3), as in effect immediately before the

6 effective date of this part) entered into by an agency

7 of the State, that is in effect as of such effective

8 date.

9 ‘‘(7) CERTIFICATION OF STATE PROGRAM TO

10 PROVIDE INDEPENDENT LIVING SERVICES.—A cer11 tification that the State has in effect a program to

12 provide independent living services to individuals in

13 the child protection program of the State who have

14 attained 16 years of age but have not attained 20

15 (or, at the option of the State, 22) years of age, and

16 who do not have a family to which to be returned

17 for assistance in making the transition to self-suffi18 cient adulthood.

19 ‘‘(8) IDENTIFICATION OF CHILD PROTECTION

20 GOALS.—The quantitative goals of the State child

21 protection program.

22 ‘‘(b) DETERMINATIONS.—The Secretary shall deter23 mine whether a plan submitted pursuant to subsection (a)

24 contains the material required by subsection (a). The Sec25 retary may not require a State to include in such a plan
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1 any material not described in subsection (a), and may not

2 review the adequacy of State procedures.

3 ‘‘SEC. 423. GRANTS TO STATES FOR CHILD PROTECTION.

4 ‘‘(a) ENTITLEMENT.—

5 ‘‘(1) IN GENERAL.—Each eligible State shall be

6 entitled to receive from the Secretary for each fiscal

7 year specified in subsection (b)(1) a grant in an

8 amount equal to the State share of the child protec9 tion amount for the fiscal year.

10 ‘‘(2) ADDITIONAL GRANT.—

11 ‘‘(A) IN GENERAL.—In addition to a grant

12 under paragraph (1) of this subsection, the Sec13 retary shall pay to each eligible State for each

14 fiscal year specified in subsection (b)(1) an

15 amount equal to the State share of the amount

16 (if any) appropriated pursuant to subparagraph

17 (B) of this paragraph for the fiscal year.

18 ‘‘(B) LIMITATION ON AUTHORIZATION OF

19 APPROPRIATIONS.—For grants under subpara20 graph (A), there are authorized to be appro21 priated to the Secretary an amount not to ex22 ceed $514,000,000 for each fiscal year specified

23 in subsection (b)(1).

24 ‘‘(b) DEFINITIONS.—As used in this section:
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1 ‘‘(1) CHILD PROTECTION AMOUNT.—The term

2 ‘child protection grant amount’ means—

3 ‘‘(A) $3,930,000,000 for fiscal year 1996;

4 ‘‘(B) $4,195,000,000 for fiscal year 1997;

5 ‘‘(C) $4,507,000,000 for fiscal year 1998;

6 ‘‘(D) $4,767,000,000 for fiscal year 1999;

7 and

8 ‘‘(E) $5,071,000,000 for fiscal year 2000.

9 ‘‘(2) STATE SHARE.—

10 ‘‘(A) IN GENERAL.—The term ‘State

11 share’ means the greater of—

12 ‘‘(i)(I) the total amount paid to the State

13 under the provisions of law specified in sub14 paragraph (B) for fiscal years 1991, 1992,

15 1993, and 1994; divided by

16 ‘‘(II) the total amount paid to all of the

17 States under such provisions of law for such fis18 cal years; or

19 ‘‘(ii)(I) the amount paid to the State under

20 the provisions of law specified in subparagraph

21 (B) for fiscal year 1994; divided by

22 ‘‘(II) the total amount paid to all of the

23 States under such provisions of law for fiscal

24 year 1994.
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1 ‘‘(B) PROVISIONS OF LAW.—The provi2 sions of law specified in this subparagraph are

3 the following (as in effect immediately before

4 the effective date of this part):

5 ‘‘(i) Section 474(a) (other than sub6 paragraphs (C) and (D) of paragraph (3))

7 of this Act.

8 ‘‘(ii) Section 304 of the Family Vio9 lence Prevention and Services Act.

10 ‘‘(iii) Section 107(a) of the Child

11 Abuse Prevention and Treatment Act.

12 ‘‘(iv) Section 201(d) of the Child

13 Abuse Prevention and Treatment Act.

14 ‘‘(v) Section 423 of this Act.

15 ‘‘(3) STATE.—The term ‘State’ includes the

16 several States, the District of Columbia, the Com17 monwealth of Puerto Rico, the United States Virgin

18 Islands, Guam, and American Samoa.

19 ‘‘(c) USE OF GRANT.—

20 ‘‘(1) IN GENERAL.—A State to which a grant

21 is made under this section may use the grant in any

22 manner that the State deems appropriate to accom23 plish the purpose of this part, including setting up

24 abuse and neglect reporting systems, abuse and ne-
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•HR 1157 IH

1 glect prevention, family preservation, foster care,

2 adoption, program administration, and training.

3 ‘‘(2) TIMING OF EXPENDITURES.—A State to

4 which a grant is made under this section for a fiscal

5 year shall expend the total amount of the grant not

6 later than the end of the immediately succeeding fis7 cal year.

8 ‘‘(3) RULE OF INTERPRETATION.—This part

9 shall not be interpreted to prohibit short- and long10 term foster care facilities operated for profit from

11 receiving funds provided under this part.

12 ‘‘(d) TIMING OF PAYMENTS.—The Secretary shall

13 pay each eligible State the amount of the grant payable

14 to the State under this section in quarterly installments.

15 ‘‘(e) PENALTIES.—

16 ‘‘(1) FOR USE OF GRANT IN VIOLATION OF

17 THIS PART.—

18 ‘‘(A) IN GENERAL.—If an audit conducted

19 pursuant to chapter 75 of title 31, United

20 States Code, finds that an amount paid to a

21 State under this section for a fiscal year has

22 been used in violation of this part, then the

23 Secretary shall reduce the amount of the grant

24 that would (in the absence of this subsection)

25 be payable to the State under this section for
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1 the immediately succeeding fiscal year by the

2 amount so used.

3 ‘‘(B) LIMITATION.—In carrying out sub4 paragraph (A), the Secretary shall not reduce

5 any quarterly payment by more than 25 per6 cent.

7 ‘‘(C) CARRYFORWARD OF UNRECOVERED

8 PENALTY.—To the extent that subparagraph

9 (B) prevents the Secretary from recovering dur10 ing a fiscal year the full amount of a penalty

11 imposed on a State under subparagraph (A) for

12 a prior fiscal year, the Secretary shall apply

13 subparagraph (A) to the grant otherwise pay14 able to the State under this section for the im15 mediately succeeding fiscal year.

16 ‘‘(2) FOR FAILURE TO MAINTAIN EFFORT.—If

17 an audit conducted pursuant to chapter 75 of title

18 31, United States Code, finds that the amount ex19 pended by a State (other than from amounts pro20 vided by the Federal Government) during fiscal year

21 1996 or 1997 to carry out the State program funded

22 under this part is less than the total amount ex23 pended by the State (other than from amounts pro24 vided by the Federal Government) during fiscal year

25 1995 under parts B and E of this title, then the
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1 Secretary shall reduce the amount of the grant that

2 would (in the absence of this subsection) be payable

3 to the State under this section for the immediately

4 succeeding fiscal year by the amount of the dif5 ference.

6 ‘‘(3) FOR FAILURE TO SUBMIT REQUIRED RE7 PORT.—

8 ‘‘(A) IN GENERAL.—The Secretary shall

9 reduce by 3 percent the amount of the grant

10 that would (in the absence of this subsection)

11 be payable to a State under this section for a

12 fiscal year if the Secretary determines that the

13 State has not submitted the report required by

14 section 427(b) for the immediately preceding

15 fiscal year, within 6 months after the end of the

16 immediately preceding fiscal year.

17 ‘‘(B) RESCISSION OF PENALTY.—The Sec18 retary shall rescind a penalty imposed on a

19 State under subparagraph (A) with respect to a

20 report for a fiscal year if the State submits the

21 report before the end of the immediately suc22 ceeding fiscal year.

23 ‘‘(f) LIMITATION ON FEDERAL AUTHORITY.—Except

24 as expressly provided in this part, the Secretary may not
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1 regulate the conduct of States under this part or enforce

2 any provision of this part.

3 ‘‘SEC. 424. CHILD PROTECTION STANDARDS.

4 ‘‘Each State to which a grant is made under section

5 423 shall operate a child protection program in accordance

6 with the following standards in order to assure the protec7 tion of children:

8 ‘‘(1) The primary standard by which a State

9 child welfare system shall be judged is the protection

10 of children.

11 ‘‘(2) Each State shall investigate reports of

12 abuse and neglect promptly.

13 ‘‘(3) Children removed from their homes shall

14 have a permanency plan and a dispositional hearing

15 by a court or a court-appointed body within 3

16 months after a fact-finding hearing.

17 ‘‘(4) All child protection cases in which the

18 child is placed outside the home shall be reviewed

19 every 6 months unless the child is in a long-term

20 placement.

21 ‘‘SEC. 425. CITIZEN REVIEW PANELS.

22 ‘‘(a) ESTABLISHMENT.—Each State to which a grant

23 is made under section 423 shall establish at least 3 citizen

24 review panels.
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1 ‘‘(b) COMPOSITION.—Each panel established under

2 subsection (a) shall be broadly representative of the com3 munity from which drawn.

4 ‘‘(c) FREQUENCY OF MEETINGS.—Each panel estab5 lished under subsection (a) shall meet not less frequently

6 than quarterly.

7 ‘‘(d) DUTIES.—

8 ‘‘(1) IN GENERAL.—Each panel established

9 under subsection (a) shall, by examining specific

10 cases, determine the extent to which the State and

11 local agencies responsible for carrying out activities

12 under this part are doing so in accordance with the

13 State plan, with the child protection standards set

14 forth in section 424, and with any other criteria that

15 the panel considers important to ensure the protec16 tion of children.

17 ‘‘(2) CONFIDENTIALITY.—The members and

18 staff of any panel established under subsection (a)

19 shall not disclose to any person or government any

20 information about any specific child protection case

21 with respect to which the panel is provided informa22 tion.

23 ‘‘(e) STATE ASSISTANCE.—Each State that estab24 lishes a panel under subsection (a) shall afford the panel

25 access to any information on any case that the panel de-
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1 sires to review, and shall provide the panel with staff as2 sistance in performing its duties.

3 ‘‘(f) REPORTS.—Each panel established under sub4 section (a) shall make a public report of its activities after

5 each meeting.

6 ‘‘SEC. 426. CLEARINGHOUSE AND HOTLINE ON MISSING

7 AND RUNAWAY CHILDREN.

8 ‘‘(a) IN GENERAL.—The Secretary shall establish

9 and operate a clearinghouse of information on children

10 who are missing or have run away from home, including

11 a 24-hour toll-free telephone hotline which may be con12 tacted for information on such children.

13 ‘‘(b) LIMITATION ON AUTHORIZATION OF APPRO14 PRIATIONS.—To carry out subsection (a), there are au15 thorized to be appropriated to the Secretary not to exceed

16 $3,000,000 for each fiscal year.

17 ‘‘SEC. 427. DATA COLLECTION AND REPORTING.

18 ‘‘(a) ANNUAL REPORTS ON STATE CHILD WELFARE

19 GOALS.—On the date that is 3 years after the effective

20 date of this part and annually thereafter, each State to

21 which a grant is made under section 423 shall submit to

22 the Secretary a report that contains quantitative informa23 tion on the extent to which the State is making progress

24 toward achieving the goals of the State child protection

25 program.
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1 ‘‘(b) ANNUAL STATE DATA REPORTS.—Each State

2 to which a grant is made under section 423 shall annually

3 submit to the Secretary of Health and Human Services

4 a report that includes the following:

5 ‘‘(1) The number of children who were reported

6 to the State during the year as abused or neglected.

7 ‘‘(2) Of the number of children described in

8 paragraph (1), the number with respect to whom

9 such reports were substantiated.

10 ‘‘(3) Of the number of children described in

11 paragraph (2)—

12 ‘‘(A) the number that did not receive serv13 ices during the year under the State program

14 funded under this part;

15 ‘‘(B) the number that received services

16 during the year under the State program fund17 ed under this part; and

18 ‘‘(C) the number that were removed from

19 their families during the year.

20 ‘‘(4) The number of families that received pre21 ventive services from the State during the year.

22 ‘‘(5) Of the number of families described in

23 paragraph (4), the number with respect to whom

24 there is a confirmed report of abuse or neglect of a

25 child.
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1 ‘‘(6) The number of children who entered foster

2 care under the responsibility of the State during the

3 year.

4 ‘‘(7) The number of children in foster care

5 under the responsibility of the State who exited from

6 foster care during the year.

7 ‘‘(8) The types of foster care placements made

8 by the State during the year, and the number of

9 children in each type of placement.

10 ‘‘(9) The average length of the foster care

11 placements made by the State during the year.

12 ‘‘(10) The age, ethnicity, gender, and family in13 come of the children placed in foster care under the

14 responsibility of the State during the year.

15 ‘‘(11) The reasons for making foster care place16 ments during the year.

17 ‘‘(12) The number of children in foster care

18 under the responsibility of the State with respect to

19 whom the State has the goal of adoption.

20 ‘‘(13) The number of children in foster care

21 under the responsibility of the State who were freed

22 for adoption during the year.

23 ‘‘(14) The number of children in foster care

24 under the responsibility of the State whose adoptions

25 were finalized during the year.
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1 ‘‘(15) The number of disrupted adoptions in the

2 State during the year.

3 ‘‘(16) The number of children who re-entered

4 foster care under the responsibility of the State dur5 ing the year.

6 ‘‘(17) The number of children in foster care

7 under the responsibility of the State for whom there

8 is a permanency plan.

9 ‘‘(18) Quantitative measurements showing

10 whether the State is making progress toward the

11 child protection goals identified by the State under

12 section 422(a)(8).

13 ‘‘(19) The number of infants abandoned in the

14 State during the year, and the number of such in15 fants who were legally adopted during the year and

16 the length of time between the discovery of the aban17 donment and such adoption.

18 ‘‘(20) The number of children who died during

19 the year while in foster care under the responsibility

20 of the State.

21 ‘‘(21) The number of deaths in the State dur22 ing the year resulting from child abuse or neglect.

23 ‘‘(22) The number of children served by the

24 independent living program of the State.
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1 ‘‘(23) Any other information which the Sec2 retary and a majority of the States agree is appro3 priate to collect for purposes of this part.

4 ‘‘(24) The response of the State to the findings

5 and recommendations of the citizen review panels es6 tablished by the State pursuant to section 425.

7 ‘‘(c) AUTHORITY OF STATES TO USE ESTIMATES.—

8 A State may comply with a requirement to provide precise

9 numerical information described in subsection (b) by sub10 mitting an estimate which is obtained through the use of

11 scientifically acceptable sampling methods.

12 ‘‘(d) ANNUAL REPORT BY THE SECRETARY.—Within

13 6 months after the end of each fiscal year, the Secretary

14 shall prepare a report based on information provided by

15 the States for the fiscal year pursuant to subsection (b),

16 and shall make the report and such information available

17 to the Congress and the public.

18 ‘‘SEC. 428. RESEARCH AND TRAINING.

19 ‘‘(a) IN GENERAL.—The Secretary shall conduct re20 search and training in child welfare.

21 ‘‘(b) LIMITATION ON AUTHORIZATION OF APPRO22 PRIATIONS.—To carry out subsection (a), there are au23 thorized to be appropriated to the Secretary not to exceed

24 $10,000,000 for each fiscal year.
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1 ‘‘SEC. 429. NATIONAL RANDOM SAMPLE STUDY OF CHILD

2 WELFARE.

3 ‘‘(a) IN GENERAL.—The Secretary shall conduct a

4 national study based on random samples of children who

5 are at risk of child abuse or neglect, or are determined

6 by States to have been abused or neglected.

7 ‘‘(b) REQUIREMENTS.—The study required by sub8 section (a) shall—

9 ‘‘(1) have a longitudinal component; and

10 ‘‘(2) yield data reliable at the State level for as

11 many States as the Secretary determines is feasible.

12 ‘‘(c) PREFERRED CONTENTS.—In conducting the

13 study required by subsection (a), the Secretary should—

14 ‘‘(1) collect data on the child protection pro15 grams of different small States or (different groups

16 of such States) in different years to yield an occa17 sional picture of the child protection programs of

18 such States;

19 ‘‘(2) carefully consider selecting the sample

20 from cases of confirmed abuse or neglect; and

21 ‘‘(3) follow each case for several years while ob22 taining information on, among other things—

23 ‘‘(A) the type of abuse or neglect involved;

24 ‘‘(B) the frequency of contact with State

25 or local agencies;
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1 ‘‘(C) whether the child involved has been

2 separated from the family, and, if so, under

3 what circumstances;

4 ‘‘(D) the number, type, and characteristics

5 of out-of-home placements of the child; and

6 ‘‘(E) the average duration of each place7 ment.

8 ‘‘(d) REPORTS.—

9 ‘‘(1) IN GENERAL.—From time to time, the

10 Secretary shall prepare reports summarizing the re11 sults of the study required by subsection (a), and

12 should include in such reports a comparison of the

13 results of the study with the information reported by

14 States under section 427.

15 ‘‘(2) AVAILABILITY.—The Secretary shall make

16 available to the public any report prepared under

17 paragraph (1), in writing or in the form of an elec18 tronic data tape.

19 ‘‘(3) AUTHORITY TO CHARGE FEE.—The Sec20 retary may charge and collect a fee for the furnish21 ing of reports under paragraph (2).

22 ‘‘(e) FUNDING.—Out of any money in the Treasury

23 of the United States not otherwise appropriated, the Sec24 retary of the Treasury shall pay to the Secretary of Health
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1 and Human Services $6,000,000 for each of fiscal years

2 1996 through 2000 to carry out this section.

3 ‘‘SEC. 430. REMOVAL OF BARRIERS TO INTERETHNIC ADOP4 TION.

5 ‘‘(a) PURPOSE.—The purpose of this section is to de6 crease the length of time that children wait to be adopted

7 and to prevent discrimination in the placement of children

8 on the basis of race, color, or national origin.

9 ‘‘(b) MULTIETHNIC PLACEMENTS.—

10 ‘‘(1) PROHIBITION.—A State or other entity

11 that receives funds from the Federal Government

12 and is involved in adoption or foster care placements

13 may not—

14 ‘‘(A) deny to any person the opportunity to

15 become an adoptive or a foster parent, on the

16 basis of the race, color, or national origin of the

17 person, or of the child, involved; or

18 ‘‘(B) delay or deny the placement of a

19 child for adoption or into foster care, or other20 wise discriminate in making a placement deci21 sion, on the basis of the race, color, or national

22 origin of the adoptive or foster parent, or the

23 child, involved.

24 ‘‘(2) PENALTIES.—
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1 ‘‘(A) STATE VIOLATORS.—A State that

2 violates paragraph (1) during a period shall

3 remit to the Secretary all funds that were paid

4 to the State under this part during the period.

5 ‘‘(B) PRIVATE VIOLATORS.—Any other en6 tity that violates paragraph (1) during a period

7 shall remit to the Secretary all funds that were

8 paid to the entity during the period by a State

9 from funds provided under this part.

10 ‘‘(3) PRIVATE CAUSE OF ACTION.—

11 ‘‘(A) IN GENERAL.—Any individual who is

12 aggrieved by a violation of paragraph (1) by a

13 State or other entity may bring an action seek14 ing relief in any United States district court.

15 ‘‘(B) STATUTE OF LIMITATIONS.—An ac16 tion under this paragraph may not be brought

17 more than 2 years after the date the alleged

18 violation occurred.’’.

19 SEC. 202. CONFORMING AMENDMENTS.

20 (a) AMENDMENTS TO PART D OF TITLE IV OF THE

21 SOCIAL SECURITY ACT.—

22 (1) Section 452(a)(10)(C) of the Social Security

23 Act (42 U.S.C. 652(a)(10)(C)), as amended by sec24 tion 104(b)(2)(C) of this Act, is amended—
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1 (A) by striking ‘‘(or foster care mainte2 nance payments under part E)’’ and inserting

3 ‘‘or cash payments under a State program

4 funded under part B’’; and

5 (B) by striking ‘‘or 471(a)(17)’’.

6 (2) Section 452(g)(2)(A) of such Act (42

7 U.S.C. 652(g)(2)(A)) is amended—

8 (A) by striking ‘‘E’’ each place such term

9 appears and inserting ‘‘B’’; and

10 (B) by striking ‘‘plan under part E’’ and

11 inserting ‘‘State program funded under part

12 B’’.

13 (3) Section 456(a)(1) of such Act (42 U.S.C.

14 656(a)(1)) is amended by striking ‘‘foster care main15 tenance payments’’ and inserting ‘‘benefits or serv16 ices under a State program funded under part B’’.

17 (4) Section 464(a)(1) of such Act (42 U.S.C.

18 664(a)(1)), as amended by section 104(b)(14) of

19 this Act, is amended by striking ‘‘or section

20 471(a)(17)’’.

21 (5) Section 466(a)(3)(B) of such Act (42

22 U.S.C. 666(a)(3)(B)), as amended by section

23 104(b)(15) of this Act, is amended by striking ‘‘or

24 471(a)(17)’’.
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1 (b) REPEAL OF PART E OF TITLE IV OF THE SOCIAL

2 SECURITY ACT.—Part E of title IV of such Act (42

3 U.S.C. 671–679) is hereby repealed.

4 (c) AMENDMENT TO TITLE XVI OF THE SOCIAL SE5 CURITY ACT AS IN EFFECT WITH RESPECT TO THE

6 STATES.—Section 1611(c)(5)(B) of such Act (42 U.S.C.

7 1382(c)(5)(B)) is amended to read as follows: ‘‘(B) the

8 State program funded under part B of title IV,’’.

9 (d) REPEAL OF SECTION 13712 OF THE OMNIBUS

10 BUDGET RECONCILIATION ACT OF 1993.—Section 13712

11 of the Omnibus Budget Reconciliation Act of 1993 (42

12 U.S.C. 670 note) is hereby repealed.

13 (e) AMENDMENT TO SECTION 9442 OF THE OMNIBUS

14 BUDGET RECONCILIATION ACT OF 1986.—Section

15 9442(4) of the Omnibus Budget Reconciliation Act of

16 1986 (42 U.S.C. 679a(4)) is amended by inserting ‘‘(as

17 in effect before October 1, 1995)’’ after ‘‘Act’’.

18 (f) REPEAL OF SECTION 553 OF THE HOWARD M.

19 METZENBAUM MULTIETHNIC PLACEMENT ACT OF

20 1994.—Section 553 of the Howard M. Metzenbaum

21 Multiethnic Placement Act of 1994 (42 U.S.C. 5115a; 108

22 Stat. 4056) is hereby repealed.
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1 SEC. 203. CONTINUED APPLICATION OF CURRENT STAND2 ARDS UNDER MEDICAID PROGRAM.

3 Section 1931 of the Social Security Act, as inserted

4 by section 106(a)(2) of this Act, is amended—

5 (1) in subsection (a)(1)—

6 (A) by striking ‘‘part A of’’, and

7 (B) by striking ‘‘under such part’’ and in8 serting ‘‘under a part of such title’’; and

9 (2) in subsection (b), by striking ‘‘part A of’’.

10 SEC. 204. EFFECTIVE DATE.

11 (a) IN GENERAL.—This title and the amendments

12 made by this title shall take effect on October 1, 1995.

13 (b) TRANSITION RULE.—The amendments made by

14 this title shall not apply with respect to—

15 (1) powers, duties, functions, rights, claims,

16 penalties, or obligations applicable to aid or services

17 provided before the effective date of this title under

18 the provisions amended; and

19 (2) administrative actions and proceedings com20 menced before such date, or authorized before such

21 date to be commenced, under such provisions.
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1 TITLE III—RESTRICTING

2 WELFARE FOR ALIENS

3 SEC. 301. STATEMENTS OF NATIONAL POLICY CONCERNING

4 WELFARE AND IMMIGRATION.

5 The Congress makes the following statements con6 cerning national policy with respect to welfare and immi7 gration:

8 (1) Self-sufficiency has been a basic principle of

9 United States immigration law since this country’s

10 earliest immigration statutes.

11 (2) It continues to be the immigration policy of

12 the United States that aliens within the nation’s

13 borders not depend on public resources to meet their

14 needs, but rather rely on their own capabilities and

15 the resources of their families, their sponsors, and

16 private organizations.

17 (3) Despite the principle of self-sufficiency,

18 aliens have been applying for and receiving public

19 benefits from Federal, State, and local governments

20 at increasing rates.

21 (4) Current eligibility rules for public assistance

22 and unenforceable support agreements have proved

23 wholly incapable of assuring that individual aliens

24 not burden the public benefits system.
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1 (5) It is a compelling government interest to

2 enact new eligibility rules and sponsorship agree3 ments in order to assure that aliens be self-reliant

4 in accordance with national immigration policy.

5 SEC. 302. INELIGIBILITY OF ALIENS FOR FEDERAL PUBLIC

6 WELFARE ASSISTANCE.

7 (a) IN GENERAL.—Notwithstanding any other provi8 sion of law and except as provided in subsection (b), no

9 alien shall be eligible for any program referred to in sub10 section (c).

11 (b) EXCEPTIONS.—

12 (1) REFUGEE EXCEPTION.—Subsection (a)

13 shall not apply to an alien admitted to the United

14 States as a refugee under section 207 of the Immi15 gration and Nationality Act until 5 years after the

16 date of such alien’s arrival into the United States.

17 (2) AGED EXCEPTION.—Subsection (a) shall

18 not apply to an alien who—

19 (A) has been lawfully admitted to the

20 United States for permanent residence;

21 (B) is over 75 years of age; and

22 (C) has resided in the United States for at

23 least 5 years.

24 (3) VETERAN EXCEPTION.—Subsection (a) shall

25 not apply to an alien who is a veteran (as defined
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1 in section 101 of title 38, United States Code) with

2 a discharge characterized as an honorable discharge

3 and who is lawfully residing in any State or any ter4 ritory or possession of the United States.

5 (4) CURRENT LEGAL RESIDENT EXCEPTION.—

6 Subsection (a) shall not apply to the eligibility of an

7 alien for a program referred to in subsection (c)

8 until 1 year after the date of the enactment of this

9 Act if, on such date of enactment, the alien is law10 fully residing in any State or any territory or posses11 sion of the United States and is eligible for the pro12 gram.

13 (c) PROGRAMS FOR WHICH ALIENS ARE INELI14 GIBLE.—The programs referred to in this subsection are

15 the following:

16 (1) SSI.—The supplemental security income

17 program under title XVI of the Social Security Act.

18 (2) TEMPORARY ASSISTANCE FOR NEEDY FAMI19 LIES.—The program of block grants to States for

20 temporary assistance for needy families under part

21 A of title IV of the Social Security Act.

22 (3) SOCIAL SERVICES BLOCK GRANT.—The pro23 gram of block grants to States for social services

24 under title XX of the Social Security Act.
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1 (d) NOTIFICATION.—Each Federal agency that ad2 ministers a program referred to in subsection (c) shall,

3 directly or through the States, post information and pro4 vide general notification to the public and program recipi5 ents of the changes regarding eligibility for any such pro6 gram pursuant to this section.

7 SEC. 303. INELIGIBILITY OF ILLEGAL ALIENS FOR STATE

8 AND LOCAL PUBLIC WELFARE ASSISTANCE.

9 (a) IN GENERAL.—Notwithstanding any other provi10 sion of law and except as otherwise provided in this sec11 tion, no alien who is not lawfully present in the United

12 States (as determined in accordance with regulations of

13 the Attorney General) shall be eligible for any State

14 means-tested public assistance program (as defined in sec15 tion 307(c)). An individual shall not be considered to be

16 lawfully present in the United States for purposes of this

17 title merely because the alien may be considered to be per18 manently residing in the United States under color of law.

19 (b) GENERAL EXCEPTION FOR CERTAIN EMERGENCY

20 AND PUBLIC HEALTH PROGRAMS.—The limitations under

21 subsection (a) shall not apply to—

22 (1) the provision of emergency medical services,

23 or
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1 (2) public health assistance for immunizations

2 with respect to immunizable diseases and for testing

3 and treatment for communicable diseases.

4 (c) CONSTRUCTION.—Nothing in this section shall be

5 construed as addressing alien eligibility for State and local

6 governmental programs that are not State means-tested

7 public assistance programs.

8 SEC. 304. STATE AUTHORITY TO LIMIT ELIGIBILITY OF

9 OTHER ALIENS FOR STATE AND LOCAL PUB10 LIC WELFARE ASSISTANCE.

11 (a) IN GENERAL.—Notwithstanding any other provi12 sion of law and except as otherwise provided in this sec13 tion, a State is authorized to determine eligibility require14 ments for aliens who are lawfully present in the United

15 States and who are not described in paragraph (1), (2),

16 or (3) of section 302(b) for any State means-tested public

17 assistance program.

18 (b) GENERAL EXCEPTION FOR CERTAIN EMERGENCY

19 AND PUBLIC HEALTH PROGRAMS.—The limitations under

20 subsection (a) shall not apply to—

21 (1) the provision of emergency medical services,

22 or

23 (2) public health assistance for immunizations

24 with respect to immunizable diseases and for testing

25 and treatment for communicable diseases.
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1 (c) TRANSITION.—The limitations of subsection (a)

2 shall not apply to eligibility of an alien for a State means3 tested public assistance program until 1 year after the

4 date of the enactment of this Act if, on such date of enact5 ment, the alien is residing in the United States and is

6 eligible for benefits under the program. Nothing in the

7 previous sentence is intended to address alien eligibility

8 for such a program before the date of the enactment of

9 this Act.

10 (d) CONSTRUCTION.—Nothing in this section shall be

11 construed as addressing alien eligibility for State and local

12 governmental programs that are not State means-tested

13 public assistance programs.

14 SEC. 305. ATTRIBUTION OF SPONSOR’S INCOME AND RE15 SOURCES TO FAMILY-SPONSORED IMMI16 GRANTS.

17 (a) IN GENERAL.—Notwithstanding any other provi18 sion of law, in determining the eligibility and the amount

19 of benefits of an alien for any means-tested public assist20 ance program (as defined in section 307(c)), the income

21 and resources of the alien shall be deemed to include—

22 (1) the income and resources of any person who

23 executed an affidavit of support pursuant to section

24 306 in behalf of such alien, and
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1 (2) the income and resources of the spouse (if

2 any) of the person.

3 (b) APPLICATION.—Subsection (a) shall apply with

4 respect to an alien until such time as the alien achieves

5 United States citizenship through naturalization pursuant

6 to chapter 2 of title III of the Immigration and National7 ity Act.

8 SEC. 306. REQUIREMENTS FOR SPONSOR’S AFFIDAVIT OF

9 SUPPORT.

10 (a) ENFORCEABILITY.—No affidavit of support may

11 be accepted by the Attorney General or by any consular

12 officer to establish that an alien is not excludable as a

13 public charge under section 212(a)(4) of the Immigration

14 and Nationality Act unless such affidavit is executed as

15 a contract—

16 (1) which is legally enforceable against the

17 sponsor by the Federal Government and by any

18 State (or any political subdivision of such State)

19 which provides any means-tested public assistance

20 program, but not later than 10 years after the alien

21 last receives any such benefit; and

22 (2) in which the sponsor agrees to submit to

23 the jurisdiction of any Federal or State court for the

24 purpose of actions brought under subsection (e)(2).
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1 Such contract shall be enforceable with respect to benefits

2 provided to the alien until such time as the alien achieves

3 United States citizenship through naturalization pursuant

4 to chapter 2 of title III of the Immigration and National5 ity Act.

6 (b) FORMS.—Not later than ninety days after the

7 date of enactment of this Act, the Attorney General, in

8 consultation with the Secretary of State and the Secretary

9 of Health and Human Services, shall formulate an affida10 vit of support consistent with the provisions of this sec11 tion.

12 (c) STATUTORY CONSTRUCTION.—Nothing in this

13 section shall be construed to grant third party beneficiary

14 rights to any sponsored alien under an affidavit of sup15 port.

16 (d) NOTIFICATION OF CHANGE OF ADDRESS.—(1)

17 The sponsor shall notify the Federal Government and the

18 State in which the sponsored alien is currently resident

19 within thirty days of any change of address of the sponsor

20 during the period specified in subsection (a)(1).

21 (2) Any person subject to the requirement of para22 graph (1) who fails to satisfy such requirement shall be

23 subject to a civil penalty of—

24 (A) not less than $250 or more than $2,000, or
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1 (B) if such failure occurs with knowledge that

2 the sponsored alien has received any benefit under

3 any means-tested public assistance program of the

4 Federal Government or of any State or political sub5 division of a State, not less than $2,000 or more

6 than $5,000.

7 (e) REIMBURSEMENT OF GOVERNMENT EX8 PENSES.—(1)(A) Upon notification that a sponsored alien

9 has received any benefit under any means-tested public as10 sistance program of the Federal Government or of any

11 State or political subdivision of a State, the appropriate

12 Federal, State, or local official shall request reimburse13 ment by the sponsor in the amount of such assistance.

14 (B) The Attorney General, in consultation with the

15 Secretary of Health and Human Services, shall prescribe

16 such regulations as may be necessary to carry out sub17 paragraph (A).

18 (2) If within forty-five days after requesting reim19 bursement, the appropriate Federal, State, or local agency

20 has not received a response from the sponsor indicating

21 a willingness to commence payments, an action may be

22 brought against the sponsor pursuant to the affidavit of

23 support.

24 (3) If the sponsor fails to abide by the repayment

25 terms established by such agency, the agency may, within
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1 sixty days of such failure, bring an action against the

2 sponsor pursuant to the affidavit of support.

3 (4) No cause of action may be brought under this

4 subsection later than ten years after the alien last received

5 any benefit under any means-tested public assistance pro6 gram of the Federal Government or of any State or politi7 cal subdivision of a State.

8 (f) JURISDICTION.—For purposes of this section, no

9 State court shall decline for lack of jurisdiction to hear

10 any action brought against a sponsor for reimbursement

11 of the cost of any benefit under any means-tested public

12 assistance program of the Federal Government or of any

13 State or political subdivision of a State if the sponsored

14 alien received public assistance while residing in the State.

15 (g) SPONSOR DEFINED.—For the purposes of this

16 section, the term ‘‘sponsor’’ means an individual who—

17 (1) is a citizen or national of the United States

18 or an alien who is lawfully admitted to the United

19 States for permanent residence,

20 (2) is 18 years of age or over, and

21 (3) is domiciled in any State.

22 (h) EFFECTIVE DATE.—Subsection (a) shall apply to

23 affidavits of support executed on or after a date specified

24 by the Attorney General, which date shall be not earlier

25 than 60 days and not later than 90 days after the date
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1 the Attorney General formulates the form for such affida2 vits under subsection (b).

3 SEC. 307. DEFINITIONS.

4 (a) IN GENERAL.—Except as otherwise provided in

5 this section, the terms used in this title have the same

6 meaning given such terms in section 101(a) of the Immi7 gration and Nationality Act.

8 (b) STATE.—As used in this title, the term ‘‘State’’

9 includes the District of Columbia, Puerto Rico, the Virgin

10 Islands, Guam, the Northern Mariana Islands, and Amer11 ican Samoa.

12 (c) MEANS-TESTED PUBLIC ASSISTANCE PRO13 GRAMS.—As used in this title:

14 (1) IN GENERAL.—The term ‘‘means-tested

15 public assistance program’’ means a program of

16 public assistance (including cash, medical, housing,

17 and food assistance) of the Federal Government or

18 of a State or political subdivision of a State in which

19 the eligibility for benefits under the program, or the

20 amount of such benefits, or both are determined on

21 the basis of income or financial need.

22 (2) FEDERAL MEANS-TESTED PUBLIC ASSIST23 ANCE PROGRAM.—The term ‘‘Federal means-tested

24 public assistance program’’ means a program re25 ferred to in section 302(c) or a means-tested public
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1 assistance program of (or contributed to by) the

2 Federal Government.

3 (3) STATE MEANS-TESTED PUBLIC ASSISTANCE

4 PROGRAM.—The term ‘‘State means-tested public

5 assistance program’’ means a means-tested public

6 assistance program of a State or political subdivision

7 of a State, and does not include a program referred

8 to in section 302(c) or another Federal means-tested

9 public assistance program.

10 SEC. 308. STATE AGENCIES REQUIRED TO PROVIDE INFOR11 MATION ON ILLEGAL ALIENS TO THE IMMI12 GRATION AND NATURALIZATION SERVICE.

13 Each agency that administers the State program

14 under part A of title IV of the Social Security Act shall

15 provide the Immigration and Naturalization Service with

16 the name, address, and other identifying information that

17 the agency has with respect to any individual unlawfully

18 in the United States any of whose children is a citizen

19 or national of the United States.
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1 TITLE IV—SUPPLEMENTAL

2 SECURITY INCOME

3 SEC. 401. DENIAL OF SUPPLEMENTAL SECURITY INCOME

4 BENEFITS BY REASON OF DISABILITY TO

5 DRUG ADDICTS AND ALCOHOLICS.

6 (a) IN GENERAL.—Section 1614(a)(3) of the Social

7 Security Act (42 U.S.C. 1382c(a)(3)) is amended by add8 ing at the end the following:

9 ‘‘(I) Notwithstanding subparagraph (A), an individ10 ual shall not be considered to be disabled for purposes of

11 this title if alcoholism or drug addiction would (but for

12 this subparagraph) be a contributing factor material to

13 the Commissioner’s determination that the individual is

14 disabled.’’.

15 (b) CONFORMING AMENDMENTS.—

16 (1) Section 1611(e) of such Act (42 U.S.C.

17 1382(e)) is amended by striking paragraph (3).

18 (2) Section 1631(a)(2)(A)(ii) of such Act (42

19 U.S.C. 1383(a)(2)(A)(ii)) is amended—

20 (A) by striking ‘‘(I)’’; and

21 (B) by striking subclause (II).

22 (3) Section 1631(a)(2)(B) of such Act (42

23 U.S.C. 1383(a)(2)(B)) is amended—

24 (A) by striking clause (vii);
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1 (B) in clause (viii), by striking ‘‘(ix)’’ and

2 inserting ‘‘(viii)’’;

3 (C) in clause (ix)—

4 (i) by striking ‘‘(viii)’’ and inserting

5 ‘‘(vii)’’; and

6 (ii) in subclause (II), by striking all

7 that follows ‘‘15 years’’ and inserting a pe8 riod;

9 (D) in clause (xiii)—

10 (i) by striking ‘‘(xii)’’ and inserting

11 ‘‘(xi)’’; and

12 (ii) by striking ‘‘(xi)’’ and inserting

13 ‘‘(x)’’; and

14 (E) by redesignating clauses (viii) through

15 (xiii) as clauses (vii) through (xii), respectively.

16 (4) Section 1631(a)(2)(D)(i)(II) of such Act

17 (42 U.S.C. 1383(a)(2)(D)(i)(II)) is amended by

18 striking all that follows ‘‘$25.00 per month’’ and in19 serting a period.

20 (5) Section 1634 of such Act (42 U.S.C. 1383c)

21 is amended by striking subsection (e).

22 (6) Section 201(c)(1) of the Social Security

23 Independence and Program Improvements Act of

24 1994 (42 U.S.C. 425 note) is amended—
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1 (A) by striking ‘‘—’’ and all that follows

2 through ‘‘(A)’’ the 1st place such term appears;

3 (B) by striking ‘‘and’’ the 3rd place such

4 term appears;

5 (C) by striking subparagraph (B);

6 (D) by striking ‘‘either subparagraph (A)

7 or subparagraph (B)’’ and inserting ‘‘the pre8 ceding sentence’’; and

9 (E) by striking ‘‘subparagraph (A) or (B)’’

10 and inserting ‘‘the preceding sentence’’.

11 (c) EFFECTIVE DATE.—The amendments made by

12 this section shall take effect on October 1, 1995, and shall

13 apply with respect to months beginning on or after such

14 date.

15 (d) FUNDING OF CERTAIN PROGRAMS FOR DRUG

16 ADDICTS AND ALCOHOLICS.—Out of any money in the

17 Treasury of the United States not otherwise appropriated,

18 the Secretary of the Treasury shall pay to the Director

19 of the National Institute on Drug Abuse—

20 (1) $95,000,000, for each of fiscal years 1997,

21 1998, 1999, and 2000, for expenditure through the

22 Federal Capacity Expansion Program to expand the

23 availability of drug treatment; and

24 (2) $5,000,000 for each of fiscal years 1997,

25 1998, 1999, and 2000 to be expended solely on the
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1 medication development project to improve drug

2 abuse and drug treatment research.

3 SEC. 402. SUPPLEMENTAL SECURITY INCOME BENEFITS

4 FOR DISABLED CHILDREN.

5 (a) RESTRICTIONS ON ELIGIBILITY FOR CASH BENE6 FITS.—

7 (1) IN GENERAL.—Section 1614(a)(3)(A) of the

8 Social Security Act (42 U.S.C. 1382c(a)(3)(A)) is

9 amended—

10 (A) by inserting ‘‘(i)’’ after ‘‘(3)(A)’’;

11 (B) by inserting ‘‘who has attained 18

12 years of age’’ before ‘‘shall be considered’’;

13 (C) by striking ‘‘he’’ and inserting ‘‘the in14 dividual’’;

15 (D) by striking ‘‘(or, in the case of an indi16 vidual under the age of 18, if he suffers from

17 any medically determinable physical or mental

18 impairment of comparable severity)’’; and

19 (E) by adding after and below the end the

20 following:

21 ‘‘(ii) An individual who has not attained 18 years of

22 age shall be considered to be disabled for purposes of this

23 title for a month if—

24 ‘‘(I) the individual—
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1 ‘‘(aa) is eligible for cash benefits under

2 this title by reason of disability for the month

3 before the first month for which this clause is

4 in effect and meets all non-disability-related re5 quirements for eligibility for cash benefits under

6 this title; and

7 ‘‘(bb) the individual has any medically de8 terminable physical or mental impairment (or

9 combination of impairments) that meets the re10 quirements, applicable to individuals who have

11 not attained 18 years of age, of the Listings of

12 Impairments set forth in appendix 1 of subpart

13 P of part 404 of title 20, Code of Federal Reg14 ulations (revised as of April 1, 1994), or that

15 is equivalent in severity to such an impairment

16 (or such a combination of impairments); or

17 ‘‘(II) the individual—

18 ‘‘(aa) is not described in subclause (I)(aa);

19 and

20 ‘‘(bb) has an impairment (or combination

21 of impairments) described in subclause (I)(bb)

22 as a result of which the individual—

23 ‘‘(1) is in a hospital, skilled nursing

24 facility, nursing facility, residential treat25 ment facility, intermediate care facility for
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1 the mentally retarded, or other medical in2 stitution; or

3 ‘‘(2) would be required to be placed in

4 such an institution if the individual were

5 not receiving personal assistance neces6 sitated by the impairment (or impair7 ments).’’.

8 (2) NOTICE.—Within 1 month after the date of

9 the enactment of this Act, the Commissioner of So10 cial Security shall notify each individual whose eligi11 bility for cash supplemental security income benefits

12 under title XVI of the Social Security Act will termi13 nate by reason of the amendments made by para14 graph (1) of such termination.

15 (3) ANNUAL REPORTS ON LISTINGS OF IMPAIR16 MENTS.—The Commissioner of Social Security shall

17 annually submit to the Congress a report on the

18 Listings of Impairments set forth in appendix 1 of

19 subpart P of part 404 of title 20, Code of Federal

20 Regulations (revised as of April 1, 1994), that are

21 applicable to individuals who have not attained 18

22 years of age, and recommend any necessary revisions

23 to the listings.

24 (b) ESTABLISHMENT OF PROGRAM OF BLOCK

25 GRANTS REGARDING CHILDREN WITH DISABILITIES.—
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1 Title XVI of the Social Security Act (42 U.S.C. 1381 et

2 seq.) is amended by adding at the end the following:

3 ‘‘PART C—BLOCK GRANTS TO STATES FOR

4 CHILDREN WITH DISABILITIES

5 ‘‘SEC. 1641. ENTITLEMENT TO GRANTS.

6 ‘‘Each State that meets the requirements of section

7 1642 for fiscal year 1997 or any subsequent fiscal year

8 shall be entitled to receive from the Commissioner for the

9 fiscal year a grant in an amount equal to the allotment

10 (as defined in section 1646(1)) of the State for the fiscal

11 year.

12 ‘‘SEC. 1642. REQUIREMENTS.

13 ‘‘(a) IN GENERAL.—A State meets the requirements

14 of this section for a grant under section 1641 for a fiscal

15 year if by the date specified by the Commissioner, the

16 State submits to the Commissioner an application for the

17 grant that is in such form, is made in such manner, and

18 contain such agreements, assurances, and information as

19 the Commissioner determines to be necessary to carry out

20 this part, and if the application contains an agreement by

21 the State in accordance with the following:

22 ‘‘(1) The grant will not be expended for any

23 purpose other than providing authorized services (as

24 defined in section 1646(2)) to qualifying children (as

25 defined in section 1646(3)).
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1 ‘‘(2)(A) In providing authorized services, the

2 State will make every reasonable effort to obtain

3 payment for the services from other Federal or State

4 programs that provide payment for such services

5 and from private entities that are legally liable to

6 make the payments pursuant to insurance policies,

7 prepaid plans, or other arrangements.

8 ‘‘(B) The State will expend the grant only to

9 the extent that payments from the programs and en10 tities described in subparagraph (A) are not avail11 able for authorized services provided by the State.

12 ‘‘(3) The State will comply with the condition

13 described in subsection (b).

14 ‘‘(4) The State will comply with the condition

15 described in subsection (c).

16 ‘‘(b) MAINTENANCE OF EFFORT.—

17 ‘‘(1) IN GENERAL.—The condition referred to

18 in subsection (a)(3) for a State for a fiscal year is

19 that, with respect to the purposes described in para20 graph (2), the State will maintain expenditures of

21 non-Federal amounts for such purposes at a level

22 that is not less than the following, as applicable:

23 ‘‘(A) For the first fiscal year for which the

24 State receives a grant under section 1641, an

25 amount equal to the difference between—
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1 ‘‘(i) the average level of such expendi2 tures maintained by the State for the 2-

3 year period preceding October 1, 1995 (ex4 cept that, if such first fiscal year is other

5 than fiscal year 1997, the amount of such

6 average level shall be increased to the ex7 tent necessary to offset the effect of infla8 tion occurring after October 1, 1995); and

9 ‘‘(ii) the aggregate of non-Federal ex10 penditures made by the State for such 2-

11 year period pursuant to section 1618 (as

12 such section was in effect for such period).

13 ‘‘(B) For each subsequent fiscal year, the

14 amount applicable under subparagraph (A) in15 creased to the extent necessary to offset the ef16 fect of inflation occurring after the beginning of

17 the fiscal year to which such subparagraph ap18 plies.

19 ‘‘(2) RELEVANT PURPOSES.—The purposes de20 scribed in this paragraph are any purposes designed

21 to meet (or assist in meeting) the unique needs of

22 qualifying children that arise from physical and

23 mental impairments, including such purposes that

24 are authorized to be carried out under title XIX.
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1 ‘‘(3) RULE OF CONSTRUCTION.—With respect

2 to compliance with the agreement made by a State

3 pursuant to paragraph (1), the State has discretion

4 to select, from among the purposes described in

5 paragraph (2), the purposes for which the State ex6 pends the non-Federal amounts reserved by the

7 State for such compliance.

8 ‘‘(4) USE OF CONSUMER PRICE INDEX.—Deter9 minations under paragraph (1) of the extent of in10 flation shall be made through use of the consumer

11 price index for all urban consumers, U.S. city aver12 age, published by the Bureau of Labor Statistics.

13 ‘‘(c) ASSESSMENT OF NEED FOR SERVICES.—The

14 condition referred to in subsection (a)(4) for a State for

15 a fiscal year is that each qualifying child will be permitted

16 to apply for authorized services, and will be provided with

17 an opportunity to have an assessment conducted to deter18 mine the need of such child for authorized services.

19 ‘‘SEC. 1643. AUTHORITY OF STATE.

20 ‘‘The following decisions are in the discretion of a

21 State with respect to compliance with an agreement made

22 by the State under section 1642(a)(1):

23 ‘‘(1) Decisions regarding which of the author24 ized services are provided.
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1 ‘‘(2) Decisions regarding who among qualifying

2 children in the State receives the services.

3 ‘‘(3) Decisions regarding the number of services

4 provided for the qualifying child involved and the

5 duration of the services.

6 ‘‘SEC. 1644. AUTHORIZED SERVICES.

7 ‘‘(a) AUTHORITY OF COMMISSIONER.—The Commis8 sioner, subject to subsection (b), shall issue regulations

9 designating the purposes for which grants under section

10 1641 are authorized to be expended by the States.

11 ‘‘(b) REQUIREMENTS REGARDING SERVICES.—The

12 Commissioner shall ensure that the purposes authorized

13 under subsection (a)—

14 ‘‘(1) are designed to meet (or assist in meeting)

15 the unique needs of qualifying children that arise

16 from physical and mental impairments;

17 ‘‘(2) include medical and nonmedical services;

18 and

19 ‘‘(3) do not include the provision of cash bene20 fits.

21 ‘‘SEC. 1645. GENERAL PROVISIONS.

22 ‘‘(a) ISSUANCE OF REGULATIONS.—Regulations

23 under this part shall be issued in accordance with proce24 dures established for the issuance of substantive rules

25 under section 553 of title 5, United States Code. Pay-
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1 ments under grants under section 1641 for fiscal year

2 1997 shall begin not later than January 1, 1997, without

3 regard to whether final rules under this part have been

4 issued and without regard to whether such rules have

5 taken effect.

6 ‘‘(b) PROVISIONS REGARDING OTHER PROGRAMS.—

7 ‘‘(1) INAPPLICABILITY OF VALUE OF SERV8 ICES.—The value of authorized services provided

9 under this part shall not be taken into account in

10 determining eligibility for, or the amount of, benefits

11 or services under any Federal or federally-assisted

12 program.

13 ‘‘(2) MEDICAID PROGRAM.—For purposes of

14 title XIX, each qualifying child shall be considered

15 to be a recipient of supplemental security income

16 benefits under this title. The preceding sentence ap17 plies on and after the date of the enactment of this

18 part.

19 ‘‘(c) USE BY STATES OF EXISTING DELIVERY SYS20 TEMS.—With respect to the systems utilized by the States

21 to deliver services to individuals with disabilities (including

22 systems utilized before the date of the enactment of the

23 Welfare Transformation Act of 1995), it is the sense of

24 the Congress that the States should utilize such systems

25 in providing authorized services under this part.
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1 ‘‘(d) REQUIRED PARTICIPATION OF STATES.—Sub2 paragraphs (C)(i) and (E)(i)(I) of section 205(c)(2) shall

3 not apply to a State that does not participate in the pro4 gram established in this part for fiscal year 1997 or any

5 succeeding fiscal year.

6 ‘‘SEC. 1646. DEFINITIONS.

7 ‘‘As used in this part:

8 ‘‘(1) ALLOTMENT.—The term ‘allotment’

9 means, with respect to a State and a fiscal year, the

10 product of—

11 ‘‘(A) an amount equal to the difference be12 tween—

13 ‘‘(i) the number of qualifying children

14 in the State (as determined for the most

15 recent 12-month period for which data are

16 available to the Commissioner); and

17 ‘‘(ii) the number of qualifying children

18 in the State receiving cash benefits under

19 this title by reason of disability (as so de20 termined); and

21 ‘‘(B) an amount equal to 75 percent of the

22 mean average of the respective annual totals of

23 cash benefits paid under this title to each quali24 fying child described in subparagraph (A)(ii)

25 (as so determined).
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1 ‘‘(2) AUTHORIZED SERVICE.—The term ‘au2 thorized service’ means each purpose authorized by

3 the Commissioner under section 1644(a).

4 ‘‘(3) QUALIFYING CHILD.—

5 ‘‘(A) IN GENERAL.—The term ‘qualifying

6 child’ means an individual who—

7 ‘‘(i) has not attained 18 years of age;

8 and

9 ‘‘(ii) is (or, but for section

10 1614(a)(3)(A)(ii)(II)(bb), would be) eligi11 ble for cash benefits under this title by

12 reason of disability.

13 ‘‘(B) RESPONSIBILITIES OF COMMIS14 SIONER.—The Commissioner shall provide for

15 determinations of whether individuals meet the

16 criteria established in subparagraph (A) for sta17 tus as qualifying children. Such determinations

18 shall be made in accordance with the provisions

19 otherwise applicable under this title with re20 spect to such criteria.’’.

21 (c) PROVISIONS RELATING TO SSI CASH BENEFITS

22 AND SSI SERVICE BENEFITS.—

23 (1) CONTINUING DISABILITY REVIEWS FOR

24 CERTAIN CHILDREN.—Section 1614(a)(3)(G) of such

25 Act (42 U.S.C. 1382c(a)(3)(G)) is amended—
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1 (A) by inserting ‘‘(i)’’ after ‘‘(G)’’; and

2 (B) by adding at the end the following:

3 ‘‘(ii)(I) Not less frequently than once every 3 years,

4 the Commissioner shall redetermine the eligibility for cash

5 benefits under this title and for services under part C—

6 ‘‘(aa) of each individual who has not attained

7 18 years of age and is eligible for such cash benefits

8 by reason of disability; and

9 ‘‘(bb) of each qualifying child (as defined in sec10 tion 1646(3)).

11 ‘‘(II) Subclause (I) shall not apply to an individual

12 if the individual has an impairment (or combination of im13 pairments) which is (or are) not expected to improve.’’.

14 (2) DISABILITY REVIEW REQUIRED FOR SSI RE15 CIPIENTS WHO ARE 18 YEARS OF AGE.—

16 (A) IN GENERAL.—Section 1614(a)(3)(G)

17 of such Act (42 U.S.C. 1382c(a)(3)(G)), as

18 amended by paragraph (1) of this subsection, is

19 amended by adding at the end the following:

20 ‘‘(iii)(I) The Commissioner shall redetermine the eli21 gibility of a qualified individual for supplemental security

22 income benefits under this title by reason of disability, by

23 applying the criteria used in determining eligibility for

24 such benefits of applicants who have attained 18 years of

25 age.
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1 ‘‘(II) The redetermination required by subclause (I)

2 with respect to a qualified individual shall be conducted

3 during the 1-year period that begins on the date the quali4 fied individual attains 18 years of age.

5 ‘‘(III) As used in this clause, the term ‘qualified indi6 vidual’ means an individual who attains 18 years of age

7 and is a recipient of cash benefits under this title by rea8 son of disability or of services under part C.

9 ‘‘(IV) A redetermination under subclause (I) of this

10 clause shall be considered a substitute for a review re11 quired under any other provision of this subparagraph.’’.

12 (B) REPORT TO THE CONGRESS.—Not

13 later than October 1, 1998, the Commissioner

14 of Social Security shall submit to the Commit15 tee on Ways and Means of the House of Rep16 resentatives and the Committee on Finance of

17 the Senate a report on the activities conducted

18 under section 1614(a)(3)(G)(iii) of the Social

19 Security Act.

20 (C) CONFORMING REPEAL.—Section 207

21 of the Social Security Independence and Pro22 gram Improvements Act of 1994 (42 U.S.C.

23 1382 note; 108 Stat. 1516) is hereby repealed.

24 (3) DISABILITY REVIEW REQUIRED FOR LOW

25 BIRTH WEIGHT BABIES WHO HAVE RECEIVED SSI
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1 BENEFITS FOR 12 MONTHS.—Section 1614(a)(3)(G)

2 of such Act (42 U.S.C. 1382c(a)(3)(G)), as amended

3 by paragraphs (1) and (2) of this subsection, is

4 amended by adding at the end the following:

5 ‘‘(iv)(I) The Commissioner shall redetermine the eli6 gibility for—

7 ‘‘(aa) cash benefits under this title by reason of

8 disability of an individual whose low birth weight is

9 a contributing factor material to the Commissioner’s

10 determination that the individual is disabled; and

11 ‘‘(bb) services under part C of an individual

12 who is eligible for such services by reason of low

13 birth weight.

14 ‘‘(II) The redetermination required by subclause (I)

15 shall be conducted once the individual has received such

16 benefits for 12 months.

17 ‘‘(III) A redetermination under subclause (I) of this

18 clause shall be considered a substitute for a review re19 quired under any other provision of this subparagraph.’’.

20 (4) APPLICABILITY OF MEDICAID RULES RE21 GARDING COUNTING OF CERTAIN ASSETS AND

22 TRUSTS FOR CHILDREN.—Section 1613(c) of the So23 cial Security Act (42 U.S.C. 1382b(c)) is amended

24 to read as follows:
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1 ‘‘TREATMENT OF CERTAIN ASSETS AND TRUSTS IN

2 ELIGIBILITY DETERMINATIONS FOR CHILDREN

3 ‘‘(c) Subsections (c) and (d) of section 1917 shall

4 apply to determinations of eligibility for benefits under

5 this title in the case of an individual who has not attained

6 18 years of age in the same manner as such subsections

7 apply to determinations of eligibility for medical assistance

8 under a State plan under title XIX, except that—

9 ‘‘(1) the amount described in section

10 1917(c)(1)(E)(i)(II) shall be the amount of cash

11 benefits payable under this title to an eligible indi12 vidual who does not have an eligible spouse and who

13 has no income or resources;

14 ‘‘(2) the look-back date specified in section

15 1917(c)(1)(B) shall be the date that is 36 months

16 before the date the individual has applied for bene17 fits under this title; and

18 ‘‘(3) any assets in a trust over which the indi19 vidual has control shall be considered assets of the

20 individual.’’.

21 (d) CONFORMING AMENDMENTS.—

22 (1) Subsections (b)(1), (b)(2), (c)(3), (c)(5),

23 and (e)(1)(B) of section 1611 and section

24 1614(a)(1)(B)(ii) of the Social Security Act (42

25 U.S.C. 1382(b)(1), (b)(2), (c)(3), (c)(5), and
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1 (e)(1)(B) and 1382c(a)(1)(B)(ii)) are each amended

2 by inserting ‘‘cash’’ before ‘‘benefit under this title’’.

3 (2) Section 1611(c)(1) of such Act (42 U.S.C.

4 1382(c)(1)) is amended—

5 (A) by striking ‘‘a benefit’’ and inserting

6 ‘‘benefits’’;

7 (B) by striking ‘‘such benefit’’ and insert8 ing ‘‘the cash benefit under this title’’; and

9 (C) by striking ‘‘and the amount of such

10 benefits’’ and inserting ‘‘benefits under this

11 title and the amount of any cash benefit under

12 this title’’.

13 (3) Section 1611(c)(2) of such Act (42 U.S.C.

14 1382(c)(2)) is amended—

15 (A) by striking ‘‘such benefit’’ and insert16 ing ‘‘the cash benefit’’;

17 (B) by inserting ‘‘cash’’ before ‘‘benefits’’

18 each place such term appears; and

19 (C) in subparagraph (B), by inserting

20 ‘‘cash’’ before ‘‘benefit’’.

21 (4) Section 1611(c)(3) of such Act (42 U.S.C.

22 1382(c)(3)) is amended by inserting ‘‘cash’’ before

23 ‘‘benefits under this title’’.
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1 (5) Section 1611(e)(1)(G) of such Act (42

2 U.S.C. 1382(e)(1)(G)) is amended by inserting

3 ‘‘cash’’ before ‘‘benefit of’’.

4 (6) Section 1614(a)(4) of such Act (42 U.S.C.

5 1382c(a)(4)) is amended by inserting ‘‘or impair6 ment’’ after ‘‘disability’’ each place such term ap7 pears.

8 (7) Section 1614(f)(1) of such Act (42 U.S.C.

9 1382c(f)(1)) is amended by striking ‘‘and the

10 amount of such benefits’’ and inserting ‘‘benefits

11 under this title and the amount of any cash benefit

12 under this title’’.

13 (8) Section 1614(f)(2)(A) of such Act (42

14 U.S.C. 1382c(f)(2)(A)) is amended by striking ‘‘and

15 the amount of benefits’’ and inserting ‘‘benefits

16 under this title and the amount of any cash benefit’’.

17 (9) Section 1614(f)(3) of such Act (42 U.S.C.

18 1382c(f)(3)) is amended by striking ‘‘and the

19 amount of benefits’’ and inserting ‘‘benefits under

20 this title and the amount of any cash benefit under

21 this title’’.

22 (10) Section 1616(e)(1) of such Act (42 U.S.C.

23 1382e(e)(1)) is amended by inserting ‘‘cash’’ before

24 ‘‘supplemental’’.
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1 (11) Section 1618(b)(2) of such Act (42 U.S.C.

2 1382g(b)(2)) is amended by inserting ‘‘cash’’ after

3 ‘‘level of’’.

4 (12) Section 1621(a) of such Act (42 U.S.C.

5 1382j(a)) is amended by striking ‘‘and the amount

6 of benefits’’ and inserting ‘‘benefits under this title

7 and the amount of any cash benefit under this title’’.

8 (13) Section 1631(a)(4) of such Act (42 U.S.C.

9 1383(a)(4)) is amended by inserting ‘‘cash’’ before

10 ‘‘benefits’’ the 1st place such term appears in each

11 of subparagraphs (A) and (B).

12 (14) Section 1631(a)(7)(A) of such Act (42

13 U.S.C. 1383(a)(7)(A)) is amended by inserting

14 ‘‘cash’’ before ‘‘benefits based’’.

15 (15) Section 1631(a)(8)(A) of such Act (42

16 U.S.C. 1383(a)(8)(A)) is amended by striking ‘‘ben17 efits based on disability or blindness under this

18 title’’ and inserting ‘‘benefits under this title (other

19 than by reason of age)’’.

20 (16) Section 1631(c) of such Act (42 U.S.C.

21 1383(c)) is amended—

22 (A) by striking ‘‘payment’’ each place such

23 term appears and inserting ‘‘benefits’’; and

24 (B) by striking ‘‘payments’’ and inserting

25 ‘‘benefits’’.
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1 (17) Section 1631(e) of such Act (42 U.S.C.

2 1383(e)) is amended—

3 (A) in paragraph (1)(B), by striking

4 ‘‘amounts of such benefits’’ and inserting

5 ‘‘amounts of cash benefits under this title’’;

6 (B) in paragraph (2), by inserting ‘‘cash’’

7 before ‘‘benefits’’ each place such term appears;

8 (C) by redesignating the 2nd paragraph

9 (6) and paragraph (7) as paragraphs (7) and

10 (8), respectively; and

11 (D) in paragraph (7) (as so redesignated),

12 by inserting ‘‘cash’’ before ‘‘benefits’’.

13 (18) Section 1631(g)(2) of such Act (42 U.S.C.

14 1383(g)(2)) is amended by striking ‘‘supplemental

15 security income’’ and inserting ‘‘cash’’.

16 (19) Section 1635(a) of such Act (42 U.S.C.

17 1383d(a)) is amended by striking ‘‘by reason of dis18 ability or blindness’’.

19 (e) TEMPORARY ELIGIBILITY FOR CASH BENEFITS

20 FOR POOR DISABLED CHILDREN RESIDING IN STATES

21 APPLYING ALTERNATIVE INCOME ELIGIBILITY STAND22 ARDS UNDER MEDICAID.—For the period that begins with

23 the 1st month that begins 90 or more days after the date

24 of the enactment of this Act and ends on September 30,

25 1996, an individual shall be considered to be an eligible
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1 individual for purposes of the supplemental security in2 come program established under title XVI of the Social

3 Security Act if the individual—

4 (1) has not attained 18 years of age;

5 (2) meets the requirements of section

6 1614(a)(3)(A)(ii)(II) of such Act and all non-disabil7 ity related requirements for eligibility for supple8 mental security income benefits under such title

9 XVI;

10 (3) resides in a State that, pursuant to section

11 1902(f) of such Act, restricts eligibility for medical

12 assistance under title XIX of such Act with respect

13 to aged, blind, and disabled individuals; and

14 (4) is not eligible for medical assistance under

15 the State plan under such title XIX.

16 (f) REDUCTION IN CASH BENEFITS PAYABLE TO IN17 STITUTIONALIZED CHILDREN WHOSE MEDICAL COSTS

18 ARE COVERED BY PRIVATE INSURANCE.—Section

19 1611(e)(1)(B) of the Social Security Act (42 U.S.C.

20 1382(e)(1)(B)) is amended by inserting ‘‘or under any

21 health insurance policy issued by a private provider of

22 such insurance’’ after ‘‘title XIX’’.

23 (g) APPLICABILITY.—

24 (1) IN GENERAL.—Except as provided in para25 graph (2), the amendments made by subsections
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1 (a)(1), (c), (d) and (f) and section 1645(b)(2) of the

2 Social Security Act (as added by the amendment

3 made by subsection (b) of this section), shall apply

4 to benefits for months beginning 90 or more days

5 after the date of the enactment of this Act, without

6 regard to whether regulations have been issued to

7 implement such amendments.

8 (2) DELAYED APPLICABILITY TO CURRENT SSI

9 RECIPIENTS OF ELIGIBILITY RESTRICTIONS.—The

10 amendments made by subsection (a)(1) shall not

11 apply, during the first 6 months that begin after the

12 month in which this Act becomes law, to an individ13 ual who is a recipient of cash supplemental security

14 income benefits under title XVI of the Social Secu15 rity Act for the month in which this Act becomes

16 law.

17 (h) REGULATIONS.—Within 3 months after the date

18 of the enactment of this Act—

19 (1) the Commissioner of Social Security shall

20 prescribe such regulations as may be necessary to

21 implement the amendments made by subsections

22 (a)(1), (c), (d), and (f) and to implement subsection

23 (e); and

24 (2) the Secretary of Health and Human Serv25 ices shall prescribe such regulations as may be nec-
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1 essary to implement section 1645(b)(2) of the Social

2 Security Act, as added by the amendment made by

3 subsection (b) of this section.

4 SEC. 403. EXAMINATION OF MENTAL LISTINGS USED TO DE5 TERMINE ELIGIBILITY OF CHILDREN FOR SSI

6 BENEFITS BY REASON OF DISABILITY.

7 Section 202(e)(2) of the Social Security Independ8 ence and Program Improvements Act of 1994 (42 U.S.C.

9 1382 note) is amended—

10 (1) by striking ‘‘and’’ at the end of subpara11 graph (F); and

12 (2) by redesignating subparagraph (G) as sub13 paragraph (H) and inserting after subparagraph (F)

14 the following:

15 ‘‘(G) whether the criteria in the mental

16 disorders listings in the Listings of Impair17 ments set forth in appendix 1 of subpart P of

18 part 404 of title 20, Code of Federal Regula19 tions, are appropriate to ensure that eligibility

20 of individuals who have not attained 18 years of

21 age for cash benefits under the supplemental

22 security income program by reason of disability

23 is limited to those who have serious disabilities

24 and for whom such benefits are necessary to

25 improve their condition or quality of life; and’’.
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1 SEC. 404. LIMITATION ON PAYMENTS TO PUERTO RICO,

2 THE VIRGIN ISLANDS, AND GUAM UNDER

3 PROGRAMS OF AID TO THE AGED, BLIND, OR

4 DISABLED.

5 Section 1108 of the Social Security Act (42 U.S.C.

6 1308), as amended by section 104(f)(1) of this Act, is

7 amended by inserting before ‘‘The total’’ the following:

8 ‘‘(a) PROGRAMS OF AID TO THE AGED, BLIND, OR

9 DISABLED.—The total amount certified by the Secretary

10 of Health and Human Services under titles I, X, XIV, and

11 XVI (as in effect without regard to the amendment made

12 by section 301 of the Social Security Amendments of

13 1972)—

14 ‘‘(1) for payment to Puerto Rico shall not ex15 ceed $18,053,940;

16 ‘‘(2) for payment to the Virgin Islands shall not

17 exceed $473,659; and

18 ‘‘(3) for payment to Guam shall not exceed

19 $900,718.

20 ‘‘(b) MEDICAID PROGRAMS.—’’.

21 SEC. 405. REPEAL OF MAINTENANCE OF EFFORT REQUIRE22 MENTS APPLICABLE TO OPTIONAL STATE

23 PROGRAMS FOR SUPPLEMENTATION OF SSI

24 BENEFITS.

25 Section 1618 of the Social Security Act (42 U.S.C.

26 1382g) is hereby repealed.
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1 TITLE V—CHILD SUPPORT

2 SEC. 500. REFERENCES.

3 Except as otherwise specifically provided, wherever in

4 this title an amendment is expressed in terms of an

5 amendment to or repeal of a section or other provision,

6 the reference shall be considered to be made to that sec7 tion or other provision of the Social Security Act.

8 Subtitle A—Case Registries, Eligi9 bility for Services, and Distribu10 tion of Payments

11 SEC. 501. CASE REGISTRIES; STATE OBLIGATION TO PRO12 VIDE CHILD SUPPORT ENFORCEMENT SERV13 ICES.

14 (a) REQUIRED PROCEDURES.—Section 466(a) (42

15 U.S.C. 666(a)) is amended by adding at the end the fol16 lowing:

17 ‘‘(12) USE OF STATE CASE REGISTRY AND DIS18 BURSEMENT UNIT.—Procedures under which the

19 State shall establish and operate a State case reg20 istry in accordance with section 454A(e) and a State

21 disbursement unit in accordance with section

22 454B.’’.

23 (b) STATE PLAN REQUIREMENTS.—Section 454 (42

24 U.S.C. 654) is amended—
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1 (1) by striking paragraph (4) and inserting the

2 following:

3 ‘‘(4) provide that the State will—

4 ‘‘(A) provide services relating to the estab5 lishment of paternity or the establishment,

6 modification, or enforcement of child support

7 obligations, as appropriate, under the plan with

8 respect to—

9 ‘‘(i) each child for whom cash assist10 ance is provided under the State program

11 funded under part A of this title, benefits

12 or services are provided under the State

13 program funded under part B of this title,

14 or medical assistance is provided under the

15 State plan approved under title XIX, un16 less the State agency administering the

17 plan determines (in accordance with para18 graph (27)) that it is against the best in19 terests of the child to do so; and

20 ‘‘(ii) any other child, if an individual

21 applies for such services with respect to

22 the child; and

23 ‘‘(B) enforce any support obligation estab24 lished with respect to—
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1 ‘‘(i) a child with respect to whom the

2 State provides services under the plan; or

3 ‘‘(ii) the custodial parent of such a

4 child.’’; and

5 (2) in paragraph (6)—

6 (A) by striking subparagraph (A) and in7 serting the following:

8 ‘‘(A) services under the plan shall be made

9 available to nonresidents on the same terms as

10 to residents;’’;

11 (B) in subparagraph (B), by inserting ‘‘on

12 individuals not receiving assistance under any

13 State program funded under part A’’ after

14 ‘‘such services shall be imposed’’;

15 (C) in each of subparagraphs (B), (C), and

16 (D)—

17 (i) by indenting the subparagraph in

18 the same manner as, and aligning the left

19 margin of the subparagraph with the left

20 margin of, the matter inserted by subpara21 graph of this paragraph; and

22 (ii) by striking the final comma and

23 inserting a semicolon; and

24 (D) in subparagraph (E), by indenting

25 each of clauses (i) and (ii) 2 additional ems.
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1 (c) CONFORMING AMENDMENTS.—

2 (1) Section 452(b) (42 U.S.C. 652(b)) is

3 amended by striking ‘‘454(6)’’ and inserting

4 ‘‘454(4)’’.

5 (2) Section 452(g)(2)(A) (42 U.S.C.

6 652(g)(2)(A)) is amended by striking ‘‘454(6)’’ each

7 place it appears and inserting ‘‘454(4)(A)(ii)’’.

8 (3) Section 466(a)(3)(B) (42 U.S.C.

9 666(a)(3)(B)) is amended by striking ‘‘in the case of

10 overdue support which a State has agreed to collect

11 under section 454(6)’’ and inserting ‘‘in any other

12 case’’.

13 (4) Section 466(e) (42 U.S.C. 666(e)) is

14 amended by striking ‘‘paragraph (4) or (6) of sec15 tion 454’’ and inserting ‘‘section 454(4)’’.

16 SEC. 502. DISTRIBUTION OF CHILD SUPPORT COLLEC17 TIONS.

18 (a) IN GENERAL.—Section 457 (42 U.S.C. 657) is

19 amended to read as follows:

20 ‘‘SEC. 457. DISTRIBUTION OF COLLECTED SUPPORT.

21 ‘‘(a) IN GENERAL.—An amount collected on behalf

22 of a family as support by a State pursuant to a plan ap23 proved under this part shall be distributed as follows:

24 ‘‘(1) FAMILIES RECEIVING ASSISTANCE UNDER

25 STATE PROGRAM FUNDED UNDER PART A.—In the
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1 case of a family receiving assistance under the State

2 program funded under part A, the State shall—

3 ‘‘(A) retain, or distribute to the family, the

4 State share of the amount; and

5 ‘‘(B) pay to the Federal Government the

6 Federal share of the amount.

7 ‘‘(2) FAMILIES THAT FORMERLY RECEIVED AS8 SISTANCE UNDER STATE PROGRAM FUNDED UNDER

9 PART A.—In the case of a family that formerly re10 ceived assistance under the State program funded

11 under part A:

12 ‘‘(A) CURRENT SUPPORT PAYMENTS.—To

13 the extent that the amount does not exceed the

14 amount required to be paid to the family for

15 the month in which collected, the State shall

16 distribute the amount to the family.

17 ‘‘(B) PAYMENTS OF ARREARAGES.—To the

18 extent that the amount exceeds the amount re19 quired to be paid to the family for the month

20 in which collected, the State shall distribute the

21 amount as follows:

22 ‘‘(i) DISTRIBUTION TO THE FAMILY

23 TO SATISFY ARREARAGES THAT ACCRUED

24 BEFORE OR AFTER THE FAMILY RECEIVED

25 ASSISTANCE.—The State shall distribute
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1 the amount to the family to the extent nec2 essary to satisfy any support arrears with

3 respect to the family that accrued before

4 or after the family received assistance

5 under the State program funded under

6 part A or the State plan approved under

7 part A of this title (as in effect before Oc8 tober 1, 1996).

9 ‘‘(ii) REIMBURSEMENT OF GOVERN10 MENTS FOR ASSISTANCE PROVIDED TO

11 THE FAMILY.—To the extent that clause

12 (i) does not apply to the amount, the State

13 shall retain the State share of the amount,

14 and pay to the Federal Government the

15 Federal share of the amount, to the extent

16 necessary to reimburse amounts paid to

17 the family as assistance under the State

18 program funded under part A or as aid to

19 families with dependent children under the

20 State plan approved under part A of this

21 title (as in effect before October 1, 1996).

22 ‘‘(iii) DISTRIBUTION OF THE REMAIN23 DER TO THE FAMILY.—To the extent that

24 neither clause (i) nor clause (ii) applies to
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1 the amount, the State shall distribute the

2 amount to the family.

3 ‘‘(3) FAMILIES THAT NEVER RECEIVED ASSIST4 ANCE.—In the case of any other family, the State

5 shall distribute the amount to the family.

6 ‘‘(b) DEFINITIONS.—As used in subsection (a):

7 ‘‘(1) FEDERAL SHARE.—The term ‘Federal

8 share’ means, with respect to a State, the greatest

9 Federal medical assistance percentage in effect for

10 the State for fiscal year 1995 or any succeeding fis11 cal year.

12 ‘‘(2) FEDERAL MEDICAL ASSISTANCE PERCENT13 AGE.—The term ‘Federal medical assistance per14 centage’ means—

15 ‘‘(A) the Federal medical assistance per16 centage (as defined in section 1118), in the case

17 of Puerto Rico, the Virgin Islands, Guam, and

18 American Samoa; or

19 ‘‘(B) the Federal medical assistance per20 centage (as defined in section 1905(b)) in the

21 case of any other State.

22 ‘‘(3) STATE SHARE.—The term ‘State share’

23 means 100 percent minus the Federal share.

24 ‘‘(c) CONTINUATION OF SERVICES FOR FAMILIES

25 CEASING TO RECEIVE ASSISTANCE UNDER THE STATE
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1 PROGRAM FUNDED UNDER PART A.—When a family with

2 respect to which services are provided under a State plan

3 approved under this part ceases to receive assistance

4 under the State program funded under part A, the State

5 shall provide appropriate notice to the family and continue

6 to provide such services, subject to the same conditions

7 and on the same basis as in the case of individuals to

8 whom services are furnished under section 454, except

9 that an application or other request to continue services

10 shall not be required of such a family and section

11 454(6)(B) shall not apply to the family.’’.

12 (b) EFFECTIVE DATE.—

13 (1) GENERAL RULE.—Except as provided in

14 paragraph (2), the amendment made by subsection

15 (a) shall become effective on October 1, 1997.

16 (2) EARLIER EFFECTIVE DATE FOR RULES RE17 LATING TO DISTRIBUTION OF SUPPORT COLLECTED

18 FOR FAMILIES RECEIVING TEMPORARY FAMILY AS19 SISTANCE.—Section 457(a)(1) of the Social Security

20 Act, as added by the amendment made by subsection

21 (a), shall become effective on October 1, 1996.

22 SEC. 503. PRIVACY SAFEGUARDS.

23 (a) STATE PLAN REQUIREMENT.—Section 454 (42

24 U.S.C. 454) is amended—
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1 (1) by striking ‘‘and’’ at the end of paragraph

2 (23);

3 (2) by striking the period at the end of para4 graph (24) and inserting ‘‘; and’’; and

5 (3) by adding after paragraph (24) the follow6 ing:

7 ‘‘(25) will have in effect safeguards, applicable

8 to all confidential information handled by the State

9 agency, that are designed to protect the privacy

10 rights of the parties, including—

11 ‘‘(A) safeguards against unauthorized use

12 or disclosure of information relating to proceed13 ings or actions to establish paternity, or to es14 tablish or enforce support;

15 ‘‘(B) prohibitions against the release of in16 formation on the whereabouts of one party to

17 another party against whom a protective order

18 with respect to the former party has been en19 tered; and

20 ‘‘(C) prohibitions against the release of in21 formation on the whereabouts of one party to

22 another party if the State has reason to believe

23 that the release of the information may result

24 in physical or emotional harm to the former

25 party.’’.
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1 (b) EFFECTIVE DATE.—The amendment made by

2 subsection (a) shall become effective on October 1, 1997.

3 Subtitle B—Locate and Case

4 Tracking

5 SEC. 511. STATE CASE REGISTRY.

6 Section 454A, as added by section 545(a)(2) of this

7 Act, is amended by adding at the end the following:

8 ‘‘(e) STATE CASE REGISTRY OF CHILD SUPPORT OR9 DERS.—

10 ‘‘(1) CONTENTS.—The automated system re11 quired by this section shall include a registry (which

12 shall be known as the ‘State case registry’) that con13 tains records with respect to—

14 ‘‘(A) each case in which services are being

15 provided by the State agency under the State

16 plan approved under this part; and

17 ‘‘(B) each support order established or

18 modified in the State on or after October 1,

19 1998.

20 ‘‘(2) LINKING OF LOCAL REGISTRIES.—The

21 State case registry may be established by linking

22 local case registries of support orders through an

23 automated information network, subject to this sec24 tion.
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1 ‘‘(3) USE OF STANDARDIZED DATA ELE2 MENTS.—Such records shall use standardized data

3 elements for both parents (such as names, social se4 curity numbers and other uniform identification

5 numbers, dates of birth, and case identification

6 numbers), and contain such other information (such

7 as on case status) as the Secretary may require.

8 ‘‘(4) PAYMENT RECORDS.—Each case record in

9 the State case registry with respect to which services

10 are being provided under the State plan approved

11 under this part and with respect to which a support

12 order has been established shall include a record

13 of—

14 ‘‘(A) the amount of monthly (or other peri15 odic) support owed under the order, and other

16 amounts (including arrears, interest or late

17 payment penalties, and fees) due or overdue

18 under the order;

19 ‘‘(B) any amount described in subpara20 graph (A) that has been collected;

21 ‘‘(C) the distribution of such collected

22 amounts;

23 ‘‘(D) the birth date of any child for whom

24 the order requires the provision of support; and
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1 ‘‘(E) the amount of any lien imposed pur2 suant to section 466(a)(4).

3 ‘‘(5) UPDATING AND MONITORING.—The State

4 agency operating the automated system required by

5 this section shall promptly establish and maintain,

6 and regularly monitor, case records in the State case

7 registry with respect to which services are being pro8 vided under the State plan approved under this part,

9 on the basis of—

10 ‘‘(A) information on administrative actions

11 and administrative and judicial proceedings and

12 orders relating to paternity and support;

13 ‘‘(B) information obtained from compari14 son with Federal, State, or local sources of in15 formation;

16 ‘‘(C) information on support collections

17 and distributions; and

18 ‘‘(D) any other relevant information.

19 ‘‘(f) INFORMATION COMPARISONS AND OTHER DIS20 CLOSURES OF INFORMATION.—The State shall use the

21 automated system required by this section to extract infor22 mation from (at such times, and in such standardized for23 mat or formats, as may be required by the Secretary), to

24 share and compare information with, and to receive infor25 mation from, other data bases and information compari-
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1 son services, in order to obtain (or provide) information

2 necessary to enable the State agency (or the Secretary or

3 other State or Federal agencies) to carry out this part,

4 subject to section 6103 of the Internal Revenue Code of

5 1986. Such information comparison activities shall include

6 the following:

7 ‘‘(1) FEDERAL CASE REGISTRY OF CHILD SUP8 PORT ORDERS.—Furnishing to the Federal Case

9 Registry of Child Support Orders established under

10 section 453(h) (and update as necessary, with infor11 mation including notice of expiration of orders) the

12 minimum amount of information on child support

13 cases recorded in the State case registry that is nec14 essary to operate the registry (as specified by the

15 Secretary in regulations).

16 ‘‘(2) FEDERAL PARENT LOCATOR SERVICE.—

17 Exchanging information with the Federal Parent

18 Locator Service for the purposes specified in section

19 453.

20 ‘‘(3) TEMPORARY FAMILY ASSISTANCE AND

21 MEDICAID AGENCIES.—Exchanging information with

22 State agencies (of the State and of other States) ad23 ministering programs funded under part A, pro24 grams operated under State plans under title XIX,

25 and other programs designated by the Secretary, as
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1 necessary to perform State agency responsibilities

2 under this part and under such programs.

3 ‘‘(4) INTRA- AND INTERSTATE INFORMATION

4 COMPARISONS.—Exchanging information with other

5 agencies of the State, agencies of other States, and

6 interstate information networks, as necessary and

7 appropriate to carry out (or assist other States to

8 carry out) the purposes of this part.’’.

9 SEC. 512. COLLECTION AND DISBURSEMENT OF SUPPORT

10 PAYMENTS.

11 (a) STATE PLAN REQUIREMENT.—Section 454 (42

12 U.S.C. 654), as amended by section 503(a) of this Act,

13 is amended—

14 (1) by striking ‘‘and’’ at the end of paragraph

15 (24);

16 (2) by striking the period at the end of para17 graph (25) and inserting ‘‘; and’’; and

18 (3) by adding after paragraph (25) the follow19 ing:

20 ‘‘(26) provide that, on and after October 1,

21 1998, the State agency will—

22 ‘‘(A) operate, in accordance with section

23 454B, a State disbursement unit for the collec24 tion and disbursement of child support under
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1 support orders being enforced under this part;

2 and

3 ‘‘(B) have sufficient State staff (consisting

4 of State employees) and (at State option) con5 tractors reporting directly to the State agency

6 to—

7 ‘‘(i) monitor and enforce support col8 lections through the unit (including carry9 ing out the automated data processing re10 sponsibilities described in section 454A(g));

11 and

12 ‘‘(ii) take the actions described in sec13 tion 466(c)(1) in appropriate cases.’’.

14 (b) ESTABLISHMENT OF STATE DISBURSEMENT

15 UNIT.—Part D of title IV (42 U.S.C. 651–669) is amend16 ed by inserting after section 454A the following:

17 ‘‘SEC. 454B. COLLECTION AND DISBURSEMENT OF SUP18 PORT PAYMENTS.

19 ‘‘(a) STATE DISBURSEMENT UNIT.—

20 ‘‘(1) IN GENERAL.—In order to meet the re21 quirement of section 454(26) on and after October

22 1, 1998, the State agency must establish and oper23 ate a unit (which shall be known as the ‘State dis24 bursement unit’) for the collection and disbursement
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1 of payments under support orders in all cases being

2 enforced by the State pursuant to section 454(4).

3 ‘‘(2) OPERATION.—The State disbursement

4 unit shall be operated—

5 ‘‘(A) directly by the State agency (or 2 or

6 more State agencies under a regional coopera7 tive agreement), or (to the extent appropriate)

8 by a contractor responsible directly to the State

9 agency; and

10 ‘‘(B) in coordination with the automated

11 system established by the State pursuant to

12 section 454A.

13 ‘‘(3) LINKING OF LOCAL DISBURSEMENT

14 UNITS.—The State disbursement unit may be estab15 lished by linking local disbursement units through

16 an automated information network, subject to this

17 section.

18 ‘‘(b) REQUIRED PROCEDURES.—The State disburse19 ment unit shall use automated procedures, electronic proc20 esses, and computer-driven technology to the maximum

21 extent feasible, efficient, and economical, for the collection

22 and disbursement of support payments, including proce23 dures—

24 ‘‘(1) for receipt of payments from parents, em25 ployers, and other States, and for disbursements to
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1 custodial parents and other obligees, the State agen2 cy, and the agencies of other States;

3 ‘‘(2) for accurate identification of payments;

4 ‘‘(3) to ensure prompt disbursement of the cus5 todial parent’s share of any payment; and

6 ‘‘(4) to furnish to any parent, upon request,

7 timely information on the current status of support

8 payments under an order requiring payments to be

9 made by or to the parent.’’.

10 ‘‘(c) TIMING OF DISBURSEMENTS.—The State dis11 bursement unit shall distribute all amounts payable under

12 section 457(a) within 2 business days after receipt from

13 the employer or other source of periodic income, if suffi14 cient information identifying the payee is provided.

15 ‘‘(d) BUSINESS DAY DEFINED.—As used in this sec16 tion, the term ‘business day’ means a day on which State

17 offices are open for regular business.’’.

18 (c) USE OF AUTOMATED SYSTEM.—Section 454A, as

19 added by section 545(a)(2) of this Act and as amended

20 by section 511 of this Act, is amended by adding at the

21 end the following:

22 ‘‘(g) COLLECTION AND DISTRIBUTION OF SUPPORT

23 PAYMENTS.—

24 ‘‘(1) IN GENERAL.—The State shall use the

25 automated system required by this section, to the
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1 maximum extent feasible, to assist and facilitate the

2 collection and disbursement of support payments

3 through the State disbursement unit operated under

4 section 454B, through the performance of functions,

5 including, at a minimum—

6 ‘‘(A) transmission of orders and notices to

7 employers (and other debtors) for the withhold8 ing of wages (and other income)—

9 ‘‘(i) within 2 business days after re10 ceipt (from a court, another State, an em11 ployer, the Federal Parent Locator Service,

12 or another source recognized by the State)

13 of notice of, and the income source subject

14 to, such withholding; and

15 ‘‘(ii) using uniform formats prescribed

16 by the Secretary;

17 ‘‘(B) ongoing monitoring to promptly iden18 tify failures to make timely payment of support;

19 and

20 ‘‘(C) automatic use of enforcement proce21 dures (including procedures authorized pursu22 ant to section 466(c)) where payments are not

23 timely made.

24 ‘‘(2) BUSINESS DAY DEFINED.—As used in

25 paragraph (1), the term ‘business day’ means a day
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1 on which State offices are open for regular busi2 ness.’’.

3 (d) EFFECTIVE DATE.—The amendments made by

4 this section shall become effective on October 1, 1998.

5 SEC. 513. STATE DIRECTORY OF NEW HIRES.

6 Part D of title IV (42 U.S.C. 651–669) is amended

7 by inserting after section 453 the following:

8 ‘‘SEC. 453A. STATE DIRECTORY OF NEW HIRES.

9 ‘‘(a) ESTABLISHMENT.—

10 ‘‘(1) IN GENERAL.—Not later than October 1,

11 1997, each State shall establish an automated direc12 tory (to be known as the ‘State Directory of New

13 Hires’) which shall contain information supplied in

14 accordance with subsection (b) by employers and

15 labor organizations on each newly hired employee.

16 ‘‘(2) DEFINITIONS.—As used in this section:

17 ‘‘(A) EMPLOYEE.—The term ‘employee’—

18 ‘‘(i) means an individual who is an

19 employee within the meaning of chapter 24

20 of the Internal Revenue Code of 1986; and

21 ‘‘(ii) does not include an employee of

22 a Federal or State agency performing in23 telligence or counterintelligence functions,

24 if the head of such agency has determined

25 that reporting pursuant to paragraph (1)
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1 with respect to the employee could endan2 ger the safety of the employee or com3 promise an ongoing investigation or intel4 ligence mission.

5 ‘‘(B) GOVERNMENTAL EMPLOYERS.—The

6 term ‘employer’ includes any governmental

7 entity.

8 ‘‘(C) LABOR ORGANIZATION.—The term

9 ‘labor organization’ shall have the meaning

10 given such term in section 2(5) of the National

11 Labor Relations Act), and includes any entity

12 (also known as a ‘hiring hall’) which is used by

13 the organization and an employer to carry out

14 requirements described in section 8(f)(3) of

15 such Act of an agreement between the organiza16 tion and the employer.

17 ‘‘(b) EMPLOYER INFORMATION.—

18 ‘‘(1) REPORTING REQUIREMENT.—Each em19 ployer shall furnish to the Directory of New Hires

20 of the State in which a newly hired employee works

21 a report that contains the name, address, and social

22 security number of the employee, and the name of,

23 and identifying number assigned under section 6109

24 of the Internal Revenue Code of 1986 to, the

25 employer.
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1 ‘‘(2) TIMING OF REPORT.—The report required

2 by paragraph (1) with respect to an employee shall

3 be made not later than the later of—

4 ‘‘(A) 15 days after the date the employer

5 hires the employee; or

6 ‘‘(B) the date the employee first receives

7 wages or other compensation from the em8 ployer.

9 ‘‘(c) REPORTING FORMAT AND METHOD.—Each re10 port required by subsection (b) shall be made on a W–

11 4 form or the equivalent, and may be transmitted by first

12 class mail, magnetically, or electronically.

13 ‘‘(d) CIVIL MONEY PENALTIES ON NONCOMPLYING

14 EMPLOYERS.—

15 ‘‘(1) IN GENERAL.—An employer that fails to

16 comply with subsection (b) with respect to an em17 ployee shall be subject to a civil money penalty of—

18 ‘‘(A) $25; or

19 ‘‘(B) $500 if, under State law, the failure

20 is the result of a conspiracy between the em21 ployer and the employee to not supply the re22 quired report or to supply a false or incomplete

23 report.

24 ‘‘(2) APPLICABILITY OF SECTION 1128.—Section

25 1128 (other than subsections (a) and (b) thereof)
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1 shall apply to a civil money penalty under paragraph

2 (1) of this subsection in the same manner as such

3 section applies to a civil money penalty or proceed4 ing under section 1128A(a).

5 ‘‘(e) INFORMATION COMPARISONS.—

6 ‘‘(1) IN GENERAL.—Not later than October 1,

7 1997, an agency designated by the State shall, di8 rectly or by contract, conduct automated compari9 sons of the social security numbers reported by em10 ployers pursuant to subsection (b) and the social se11 curity numbers appearing in the records of the State

12 case registry.

13 ‘‘(2) NOTICE OF MATCH.—When an information

14 comparison conducted under paragraph (1) reveals a

15 match with respect to the social security number of

16 an individual required to provide support under a

17 support order, the State Directory of New Hires

18 shall provide the agency administering the State

19 plan approved under this part of the appropriate

20 State with the name, address, and social security

21 number of the employee to whom the social security

22 number is assigned, and the name of, and identify23 ing number assigned under section 6109 of the In24 ternal Revenue Code of 1986 to, the employer.
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1 ‘‘(g) TRANSMISSION OF WAGE WITHHOLDING NO2 TICES.—

3 ‘‘(1) IN GENERAL.—Within 2 business days

4 after the date information regarding a newly hired

5 employee is entered into the State Directory of New

6 Hires, the State agency enforcing the employee’s

7 child support obligation shall transmit a notice to

8 the employer of the employee directing the employer

9 to withhold from the wages of the employee an

10 amount equal to the monthly (or other periodic)

11 child support obligation of the employee, unless the

12 employee’s wages are not subject to withholding pur13 suant to section 466(b)(3).

14 ‘‘(2) BUSINESS DAY DEFINED.—As used in

15 paragraph (1) and subsection (h), the term ‘business

16 day’ means a day on which State offices are open for

17 regular business.

18 ‘‘(h) TRANSMISSION OF INFORMATION TO THE NA19 TIONAL DIRECTORY OF NEW HIRES.—

20 ‘‘(1) IN GENERAL.—Within 4 business days

21 after the State Directory of New Hires receives in22 formation from employers pursuant to this section,

23 the State Directory of New Hires shall furnish the

24 information to the National Directory of New Hires.
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1 ‘‘(2) WAGE AND UNEMPLOYMENT COMPENSA2 TION INFORMATION.—The State Directory of New

3 Hires shall, on a quarterly basis, furnish to the Na4 tional Directory of New Hires extracts of the reports

5 required under section 303(a)(6) to be made to the

6 Secretary of Labor concerning the wages and unem7 ployment compensation paid to individuals, by such

8 dates, in such format, and containing such informa9 tion as the Secretary of Health and Human Services

10 shall specify in regulations.

11 ‘‘(i) OTHER USES OF NEW HIRE INFORMATION.—

12 ‘‘(1) LOCATION OF CHILD SUPPORT OBLI13 GORS.—The agency administering the State plan ap14 proved under this part shall use information received

15 pursuant to subsection (f) to locate individuals for

16 purposes of establishing paternity and establishing,

17 modifying, and enforcing child support obligations.

18 ‘‘(2) VERIFICATION OF ELIGIBILITY FOR CER19 TAIN PROGRAMS.—A State agency responsible for

20 administering a program specified in section 1137(b)

21 shall have access to information reported by employ22 ers pursuant to subsection (b) of this section for

23 purposes of verifying eligibility for the program.

24 ‘‘(3) ADMINISTRATION OF EMPLOYMENT SECU25 RITY AND WORKERS COMPENSATION.—State agen-
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1 cies operating employment security and workers’

2 compensation programs shall have access to informa3 tion reported by employers pursuant to subsection

4 (b) for the purposes of administering such pro5 grams.’’.

6 SEC. 514. AMENDMENTS CONCERNING INCOME WITHHOLD7 ING.

8 (a) MANDATORY INCOME WITHHOLDING.—

9 (1) IN GENERAL.—Section 466(a)(1) (42

10 U.S.C. 666(a)(1)) is amended to read as follows:

11 ‘‘(1) INCOME WITHHOLDING.—

12 ‘‘(A) UNDER ORDERS ENFORCED UNDER

13 THE STATE PLAN.—Procedures described in

14 subsection (b) for the withholding from income

15 of amounts payable as support in cases subject

16 to enforcement under the State plan.

17 ‘‘(B) UNDER CERTAIN ORDERS PREDATING

18 CHANGE IN REQUIREMENT.—Procedures under

19 which the wages of a person with a support ob20 ligation imposed by a support order issued (or

21 modified) in the State before October 1, 1996,

22 if not otherwise subject to withholding under

23 subsection (b), shall become subject to with24 holding as provided in subsection (b) if arrear-
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1 ages occur, without the need for a judicial or

2 administrative hearing.’’.

3 (2) CONFORMING AMENDMENTS.—

4 (A) Section 466(b) (42 U.S.C. 666(b)) is

5 amended in the matter preceding paragraph

6 (1), by striking ‘‘subsection (a)(1)’’ and insert7 ing ‘‘subsection (a)(1)(A)’’.

8 (B) Section 466(b)(5) (42 U.S.C.

9 666(b)(5)) is amended by striking all that fol10 lows ‘‘administered by’’ and inserting ‘‘the

11 State through the State disbursement unit es12 tablished pursuant to section 454B, in accord13 ance with the requirements of section 454B.’’.

14 (C) Section 466(b)(6)(A) (42 U.S.C.

15 666(b)(6)(A)) is amended—

16 (i) in clause (i), by striking ‘‘to the

17 appropriate agency’’ and all that follows

18 and inserting ‘‘to the State disbursement

19 unit within 2 business days after the date

20 the amount would (but for this subsection)

21 have been paid or credited to the employee,

22 for distribution in accordance with this

23 part.’’;
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1 (ii) in clause (ii), by inserting ‘‘be in

2 a standard format prescribed by the Sec3 retary, and’’ after ‘‘shall’’; and

4 (iii) by adding at the end the follow5 ing:

6 ‘‘(iii) As used in this subparagraph, the term ‘busi7 ness day’ means a day on which State offices are open

8 for regular business.’’.

9 (D) Section 466(b)(6)(D) (42 U.S.C.

10 666(b)(6)(D)) is amended by striking ‘‘any em11 ployer’’ and all that follows and inserting the

12 following:

13 ‘‘any employer who—

14 ‘‘(i) discharges from employment, refuses

15 to employ, or takes disciplinary action against

16 any absent parent subject to wage withholding

17 required by this subsection because of the exist18 ence of such withholding and the obligations or

19 additional obligations which is imposes upon the

20 employer; or

21 ‘‘(ii) fails to withhold support from wages,

22 or to pay such amounts to the State disburse23 ment unit in accordance with this subsection.’’.

24 (E) Section 466(b) (42 U.S.C. 666(b)) is

25 amended by adding at the end the following:
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1 ‘‘(11) Procedures under which the agency ad2 ministering the State plan approved under this part

3 may execute a withholding order through electronic

4 means and without advance notice to the obligor.’’.

5 (b) CONFORMING AMENDMENT.—Section 466(c) (42

6 U.S.C. 666(c)) is repealed.

7 SEC. 515. LOCATOR INFORMATION FROM INTERSTATE NET8 WORKS.

9 Section 466(a) (42 U.S.C. 666(a)), as amended by

10 section 501(a) of this Act, is amended by adding at the

11 end the following:

12 ‘‘(13) LOCATOR INFORMATION FROM INTER13 STATE NETWORKS.—Procedures to ensure that all

14 Federal and State agencies conducting activities

15 under this part have access to any system used by

16 the State to locate an individual for purposes relat17 ing to motor vehicles or law enforcement.’’.

18 SEC. 516. EXPANDED FEDERAL PARENT LOCATOR SERVICE.

19 (a) EXPANDED AUTHORITY TO LOCATE INDIVIDUALS

20 AND ASSETS.—Section 453 (42 U.S.C. 653) is amended—

21 (1) in subsection (a), by striking all that follows

22 ‘‘subsection (c))’’ and inserting ‘‘, for the purpose of

23 establishing parentage, establishing, setting the

24 amount of, modifying, or enforcing child support ob25 ligations—
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1 ‘‘(1) information on, or facilitating the discov2 ery of, the location of any individual—

3 ‘‘(A) who is under an obligation to pay

4 child support;

5 ‘‘(B) against whom such an obligation is

6 sought; or

7 ‘‘(C) to whom such an obligation is owed,

8 including the individual’s social security number (or

9 numbers), most recent address, and the name, ad10 dress, and employer identification number of the in11 dividual’s employer; and

12 ‘‘(2) information on the individual’s wages (or

13 other income) from, and benefits of, employment (in14 cluding rights to or enrollment in group health care

15 coverage).’’; and

16 (2) in subsection (b), in the matter preceding

17 paragraph (1), by striking ‘‘social security’’ and all

18 that follows through ‘‘absent parent’’ and inserting

19 ‘‘information described in subsection (a)’’.

20 (b) REIMBURSEMENT FOR INFORMATION FROM FED21 ERAL AGENCIES.—Section 453(e)(2) (42 U.S.C.

22 653(e)(2)) is amended in the 4th sentence by inserting

23 ‘‘in an amount which the Secretary determines to be rea24 sonable payment for the information exchange (which

25 amount shall not include payment for the costs of obtain-
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1 ing, compiling, or maintaining the information)’’ before

2 the period.

3 (c) REIMBURSEMENT FOR REPORTS BY STATE

4 AGENCIES.—Section 453 (42 U.S.C. 653) is amended by

5 adding at the end the following:

6 ‘‘(g) The Secretary may reimburse Federal and State

7 agencies for the costs incurred by such entities in furnish8 ing information requested by the Secretary under this sec9 tion in an amount which the Secretary determines to be

10 reasonable payment for the information exchange (which

11 amount shall not include payment for the costs of obtain12 ing, compiling, or maintaining the information).’’.

13 (d) TECHNICAL AMENDMENTS.—

14 (1) Sections 452(a)(9), 453(a), 453(b), 463(a),

15 and 463(e) (42 U.S.C. 652(a)(9), 653(a), 653(b),

16 663(a), and 663(e)) are each amended by inserting

17 ‘‘Federal’’ before ‘‘Parent’’ each place such term ap18 pears.

19 (2) Section 453 (42 U.S.C. 653) is amended in

20 the heading by adding ‘‘FEDERAL’’ before ‘‘PAR21 ENT’’.

22 (e) NEW COMPONENTS.—Section 453 (42 U.S.C.

23 653), as amended by subsection (c)(2) of this section, is

24 amended by adding at the end the following:
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1 ‘‘(h) FEDERAL CASE REGISTRY OF CHILD SUPPORT

2 ORDERS.—

3 ‘‘(1) IN GENERAL.—Not later than October 1,

4 1998, in order to assist States in administering pro5 grams under State plans approved under this part

6 and programs funded under part A, and for the

7 other purposes specified in this section, the Sec8 retary shall establish and maintain in the Federal

9 Parent Locator Service an automated registry

10 (which shall be known as the ‘Federal Case Registry

11 of Child Support Orders’), which shall contain ab12 stracts of support orders and other information de13 scribed in paragraph (2) with respect to each case

14 in each State case registry maintained pursuant to

15 section 454A(e), as furnished (and regularly up16 dated), pursuant to section 454A(f), by State agen17 cies administering programs under this part.

18 ‘‘(2) CASE INFORMATION.—The information re19 ferred to in paragraph (1) with respect to a case

20 shall be such information as the Secretary may

21 specify in regulations (including the names, social

22 security numbers or other uniform identification

23 numbers, and State case identification numbers) to

24 identify the individuals who owe or are owed support

25 (or with respect to or on behalf of whom support ob-
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1 ligations are sought to be established), and the State

2 or States which have the case.

3 ‘‘(i) NATIONAL DIRECTORY OF NEW HIRES.—

4 ‘‘(1) IN GENERAL.—In order to assist States in

5 administering programs under State plans approved

6 under this part and programs funded under part A,

7 and for the other purposes specified in this section,

8 the Secretary shall, not later than October 1, 1996,

9 establish and maintain in the Federal Parent Loca10 tor Service an automated directory to be known as

11 the National Directory of New Hires, which shall

12 contain the information supplied pursuant to section

13 453A(h).

14 ‘‘(2) ADMINISTRATION OF FEDERAL TAX

15 LAWS.—The Secretary of the Treasury shall have

16 access to the information in the Federal Directory of

17 New Hires for purposes of administering section 32

18 of the Internal Revenue Code of 1986, or the ad19 vance payment of the earned income tax credit

20 under section 3507 of such Code, and verifying a

21 claim with respect to employment in a tax return.

22 ‘‘(j) INFORMATION COMPARISONS AND OTHER DIS23 CLOSURES.—

24 ‘‘(1) VERIFICATION BY SOCIAL SECURITY AD25 MINISTRATION.—
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1 ‘‘(A) The Secretary shall transmit informa2 tion on individuals and employers maintained

3 under this section to the Social Security Admin4 istration to the extent necessary for verification

5 in accordance with subparagraph (B).

6 ‘‘(B) The Social Security Administration

7 shall verify the accuracy of, correct, or supply

8 to the extent possible, and report to the Sec9 retary, the following information supplied by

10 the Secretary pursuant to subparagraph (A):

11 ‘‘(i) The name, social security num12 ber, and birth date of each such individual.

13 ‘‘(ii) The employer identification num14 ber of each such employer.

15 ‘‘(2) INFORMATION COMPARISONS.—For the

16 purpose of locating individuals in a paternity estab17 lishment case or a case involving the establishment,

18 modification, or enforcement of a support order, the

19 Secretary shall—

20 ‘‘(A) compare information in the National

21 Directory of New Hires against information in

22 the support order abstracts in the Federal Case

23 Registry of Child Support Orders not less often

24 than every 2 business days; and
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1 ‘‘(B) within 2 such days after such a com2 parison reveals a match with respect to an indi3 vidual, report the information to the State

4 agency responsible for the case.

5 ‘‘(3) INFORMATION COMPARISONS AND DISCLO6 SURES OF INFORMATION IN ALL REGISTRIES FOR

7 TITLE IV PROGRAM PURPOSES.—To the extent and

8 with the frequency that the Secretary determines to

9 be effective in assisting States to carry out their re10 sponsibilities under programs operated under this

11 part and programs funded under part A, the Sec12 retary shall—

13 ‘‘(A) compare the information in each com14 ponent of the Federal Parent Locator Service

15 maintained under this section against the infor16 mation in each other such component (other

17 than the comparison required by paragraph

18 (2)), and report instances in which such a com19 parison reveals a match with respect to an indi20 vidual to State agencies operating such pro21 grams; and

22 ‘‘(B) disclose information in such registries

23 to such State agencies.

24 ‘‘(4) PROVISION OF NEW HIRE INFORMATION

25 TO THE SOCIAL SECURITY ADMINISTRATION.—The
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1 National Directory of New Hires shall provide the

2 Commissioner of Social Security with all information

3 in the National Directory, which shall be used to de4 termine the accuracy of payments under the supple5 mental security income program under title XVI and

6 in connection with benefits under title II.

7 ‘‘(5) RESEARCH.—The Secretary may provide

8 access to information reported by employers pursu9 ant to section 453A(b) for research purposes found

10 by the Secretary to be likely to contribute to achiev11 ing the purposes of part A or this part, but without

12 personal identifiers.

13 ‘‘(k) FEES.—

14 ‘‘(1) FOR SSA VERIFICATION.—The Secretary

15 shall reimburse the Commissioner of Social Security,

16 at a rate negotiated between the Secretary and the

17 Commissioner, for the costs incurred by the Com18 missioner in performing the verification services de19 scribed in subsection (j).

20 ‘‘(2) FOR INFORMATION FROM STATE DIREC21 TORIES OF NEW HIRES.—The Secretary shall reim22 burse costs incurred by State directories of new

23 hires in furnishing information as required by sub24 section (j)(3), at rates which the Secretary deter25 mines to be reasonable (which rates shall not include
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1 payment for the costs of obtaining, compiling, or

2 maintaining such information).

3 ‘‘(3) FOR INFORMATION FURNISHED TO STATE

4 AND FEDERAL AGENCIES.—A State or Federal agen5 cy that receives information from the Secretary pur6 suant to this section shall reimburse the Secretary

7 for costs incurred by the Secretary in furnishing the

8 information, at rates which the Secretary determines

9 to be reasonable (which rates shall include payment

10 for the costs of obtaining, verifying, maintaining,

11 and comparing the information).

12 ‘‘(l) RESTRICTION ON DISCLOSURE AND USE.—In13 formation in the Federal Parent Locator Service, and in14 formation resulting from comparisons using such informa15 tion, shall not be used or disclosed except as expressly pro16 vided in this section, subject to section 6103 of the Inter17 nal Revenue Code of 1986.

18 ‘‘(m) INFORMATION INTEGRITY AND SECURITY.—

19 The Secretary shall establish and implement safeguards

20 with respect to the entities established under this section

21 designed to—

22 ‘‘(1) ensure the accuracy and completeness of

23 information in the Federal Parent Locator Service;

24 and
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1 ‘‘(2) restrict access to confidential information

2 in the Federal Parent Locator Service to authorized

3 persons, and restrict use of such information to au4 thorized purposes.’’.

5 (g) CONFORMING AMENDMENTS.—

6 (1) TO PART D OF TITLE IV OF THE SOCIAL SE7 CURITY ACT.—Section 454(8)(B) (42 U.S.C.

8 654(8)(B)) is amended to read as follows:

9 ‘‘(B) the Federal Parent Locator Service

10 established under section 453;’’.

11 (2) TO FEDERAL UNEMPLOYMENT TAX ACT.—

12 Section 3304(a)(16) of the Internal Revenue Code of

13 1986 is amended—

14 (A) by striking ‘‘Secretary of Health, Edu15 cation, and Welfare’’ each place such term ap16 pears and inserting ‘‘Secretary of Health and

17 Human Services’’;

18 (B) in subparagraph (B), by striking

19 ‘‘such information’’ and all that follows and in20 serting ‘‘information furnished under subpara21 graph (A) or (B) is used only for the purposes

22 authorized under such subparagraph;’’;

23 (C) by striking ‘‘and’’ at the end of sub24 paragraph (A);
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1 (D) by redesignating subparagraph (B) as

2 subparagraph (C); and

3 (E) by inserting after subparagraph (A)

4 the following new subparagraph:

5 ‘‘(B) wage and unemployment compensa6 tion information contained in the records of

7 such agency shall be furnished to the Secretary

8 of Health and Human Services (in accordance

9 with regulations promulgated by such Sec10 retary) as necessary for the purposes of the Na11 tional Directory of New Hires established under

12 section 453(i) of the Social Security Act, and’’.

13 (3) TO STATE GRANT PROGRAM UNDER TITLE

14 III OF THE SOCIAL SECURITY ACT.—Section 303(a)

15 (42 U.S.C. 503(a)) is amended—

16 (A) by striking ‘‘and’’ at the end of para17 graph (8);

18 (B) by striking the period at the end of

19 paragraph (9) and inserting ‘‘; and’’; and

20 (C) by adding after paragraph (9) the fol21 lowing new paragraph:

22 ‘‘(10) The making of quarterly electronic re23 ports, at such dates, in such format, and containing

24 such information, as required by the Secretary of

25 Health and Human Services under section 453(i)(3),
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1 and compliance with such provisions as such Sec2 retary may find necessary to ensure the correctness

3 and verification of such reports.’’.

4 SEC. 517. COLLECTION AND USE OF SOCIAL SECURITY

5 NUMBERS FOR USE IN CHILD SUPPORT EN6 FORCEMENT.

7 (a) STATE LAW REQUIREMENT.—Section 466(a) (42

8 U.S.C. 666(a)), as amended by sections 501(a) and 515

9 of this Act, is amended by adding at the end the following:

10 ‘‘(14) RECORDING OF SOCIAL SECURITY NUM11 BERS IN CERTAIN FAMILY MATTERS.—Procedures

12 requiring that the social security number of—

13 ‘‘(A) any applicant for a professional li14 cense, commercial driver’s license, occupational

15 license, or marriage license be recorded on the

16 application; and

17 ‘‘(B) any individual who is subject to a di18 vorce decree, support order, or paternity deter19 mination or acknowledgment be placed in the

20 records relating to the matter.’’.

21 (b) CONFORMING AMENDMENTS.—Section

22 205(c)(2)(C) (42 U.S.C. 405(c)(2)(C)), as amended by

23 section 321(a)(9) of the Social Security Independence and

24 Program Improvements Act of 1994, is amended—
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1 (1) in clause (i), by striking ‘‘may require’’ and

2 inserting ‘‘shall require’’;

3 (2) in clause (ii), by inserting after the 1st sen4 tence the following: ‘‘In the administration of any

5 law involving the issuance of a marriage certificate

6 or license, each State shall require each party named

7 in the certificate or license to furnish to the State

8 (or political subdivision thereof) or any State agency

9 having administrative responsibility for the law in10 volved, the social security number of the party.’’;

11 (3) in clause (vi), by striking ‘‘may’’ and insert12 ing ‘‘shall’’; and

13 (4) by adding at the end the following:

14 ‘‘(ix) An agency of a State (or a polit15 ical subdivision thereof) charged with the

16 administration of any law concerning the

17 issuance or renewal of a license, certificate,

18 permit, or other authorization to engage in

19 a profession, an occupation, or a commer20 cial activity shall require all applicants for

21 issuance or renewal of the license, certifi22 cate, permit, or other authorization to pro23 vide the applicant’s social security number

24 to the agency for the purpose of admin25 istering such laws, and for the purpose of
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1 responding to requests for information

2 from an agency operating pursuant to part

3 D of title IV.

4 ‘‘(x) All divorce decrees, support or5 ders, and paternity determinations issued,

6 and all paternity acknowledgments made,

7 in each State shall include the social secu8 rity number of each party to the decree,

9 order, determination, or acknowledgement

10 in the records relating to the matter.’’.

11 Subtitle C—Streamlining and

12 Uniformity of Procedures

13 SEC. 521. ADOPTION OF UNIFORM STATE LAWS.

14 Section 466 (42 U.S.C. 666) is amended by adding

15 at the end the following:

16 ‘‘(e) UNIFORM INTERSTATE FAMILY SUPPORT

17 ACT.—

18 ‘‘(1) ENACTMENT AND USE.—In order to sat19 isfy section 454(20)(A) on or after January 1, 1997,

20 each State must have in effect the Uniform Inter21 state Family Support Act, as approved by the Na22 tional Conference of Commissioners on Uniform

23 State Laws in August 1992 (with the modifications

24 and additions specified in this subsection), and the

25 procedures required to implement such Act.
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1 ‘‘(2) EXPANDED APPLICATION.—The State law

2 enacted pursuant to paragraph (1) shall be applied

3 to any case involving an order which is established

4 or modified in a State and which is sought to be

5 modified or enforced in another State.

6 ‘‘(3) JURISDICTION TO MODIFY ORDERS.—The

7 State law enacted pursuant to paragraph (1) of this

8 subsection shall contain the following provision in

9 lieu of section 611(a)(1) of the Uniform Interstate

10 Family Support Act:

11 ‘‘ ‘(1) the following requirements are met:

12 ‘‘ ‘(i) the child, the individual obligee, and the

13 obligor—

14 ‘‘ ‘(I) do not reside in the issuing State;

15 and

16 ‘‘ ‘(II) either reside in this State or are

17 subject to the jurisdiction of this State pursu18 ant to section 201; and

19 ‘‘ ‘(ii) (in any case where another State is exer20 cising or seeks to exercise jurisdiction to modify the

21 order) the conditions of section 204 are met to the

22 same extent as required for proceedings to establish

23 orders; or’.

24 ‘‘(4) SERVICE OF PROCESS.—The State law en25 acted pursuant to paragraph (1) shall provide that,
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1 in any proceeding subject to the law, process may be

2 served (and proved) upon persons in the State by

3 any means acceptable in any State which is the initi4 ating or responding State in the proceeding.’’.

5 SEC. 522. IMPROVEMENTS TO FULL FAITH AND CREDIT

6 FOR CHILD SUPPORT ORDERS.

7 Section 1738B of title 28, United States Code, is

8 amended—

9 (1) in subsection (a)(2), by striking ‘‘subsection

10 (e)’’ and inserting ‘‘subsections (e), (f), and (i)’’;

11 (2) in subsection (b), by inserting after the 2nd

12 undesignated paragraph the following:

13 ‘‘ ‘child’s home State’ means the State in which

14 a child lived with a parent or a person acting as par15 ent for at least six consecutive months immediately

16 preceding the time of filing of a petition or com17 parable pleading for support and, if a child is less

18 than six months old, the State in which the child

19 lived from birth with any of them. A period of tem20 porary absence of any of them is counted as part of

21 the six-month period.’’;

22 (3) in subsection (c), by inserting ‘‘by a court

23 of a State’’ before ‘‘is made’’;

24 (4) in subsection (c)(1), by inserting ‘‘and sub25 sections (e), (f), and (g)’’ after ‘‘located’’;
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1 (5) in subsection (d)—

2 (A) by inserting ‘‘individual’’ before ‘‘con3 testant’’; and

4 (B) by striking ‘‘subsection (e)’’ and in5 serting ‘‘subsections (e) and (f)’’;

6 (6) in subsection (e), by striking ‘‘make a modi7 fication of a child support order with respect to a

8 child that is made’’ and inserting ‘‘modify a child

9 support order issued’’;

10 (7) in subsection (e)(1), by inserting ‘‘pursuant

11 to subsection (i)’’ before the semicolon;

12 (8) in subsection (e)(2)—

13 (A) by inserting ‘‘individual’’ before ‘‘con14 testant’’ each place such term appears; and

15 (B) by striking ‘‘to that court’s making the

16 modification and assuming’’ and inserting ‘‘with

17 the State of continuing, exclusive jurisdiction

18 for a court of another State to modify the order

19 and assume’’;

20 (9) by redesignating subsections (f) and (g) as

21 subsections (g) and (h), respectively;

22 (10) by inserting after subsection (e) the follow23 ing:

24 ‘‘(f) RECOGNITION OF CHILD SUPPORT ORDERS.—

25 If one or more child support orders have been issued in
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1 this or another State with regard to an obligor and a child,

2 a court shall apply the following rules in determining

3 which order to recognize for purposes of continuing, exclu4 sive jurisdiction and enforcement:

5 ‘‘(1) If only one court has issued a child sup6 port order, the order of that court must be recog7 nized.

8 ‘‘(2) If two or more courts have issued child

9 support orders for the same obligor and child, and

10 only one of the courts would have continuing, exclu11 sive jurisdiction under this section, the order of that

12 court must be recognized.

13 ‘‘(3) If two or more courts have issued child

14 support orders for the same obligor and child, and

15 only one of the courts would have continuing, exclu16 sive jurisdiction under this section, an order issued

17 by a court in the current home State of the child

18 must be recognized, but if an order has not been is19 sued in the current home State of the child, the

20 order most recently issued must be recognized.

21 ‘‘(4) If two or more courts have issued child

22 support orders for the same obligor and child, and

23 none of the courts would have continuing, exclusive

24 jurisdiction under this section, a court may issue a

25 child support order, which must be recognized.
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1 ‘‘(5) The court that has issued an order recog2 nized under this subsection is the court having con3 tinuing, exclusive jurisdiction.’’;

4 (11) in subsection (g) (as so redesignated)—

5 (A) by striking ‘‘PRIOR’’ and inserting

6 ‘‘MODIFIED’’; and

7 (B) by striking ‘‘subsection (e)’’ and in8 serting ‘‘subsections (e) and (f)’’;

9 (12) in subsection (h) (as so redesignated)—

10 (A) in paragraph (2), by inserting ‘‘includ11 ing the duration of current payments and other

12 obligations of support’’ before the comma; and

13 (B) in paragraph (3), by inserting ‘‘arrears

14 under’’ after ‘‘enforce’’; and

15 (13) by adding at the end the following:

16 ‘‘(i) REGISTRATION FOR MODIFICATION.—If there is

17 no individual contestant or child residing in the issuing

18 State, the party or support enforcement agency seeking

19 to modify, or to modify and enforce, a child support order

20 issued in another State shall register that order in a State

21 with jurisdiction over the nonmovant for the purpose of

22 modification.’’.
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1 SEC. 523. ADMINISTRATIVE ENFORCEMENT IN INTERSTATE

2 CASES.

3 Section 466(a) (42 U.S.C. 666(a)), as amended by

4 sections 501(a), 515, and 517(a) of this Act, is amended

5 by adding at the end the following:

6 ‘‘(15) ADMINISTRATIVE ENFORCEMENT IN

7 INTERSTATE CASES.—Procedures under which—

8 ‘‘(A)(i) the State shall respond within 5

9 business days to a request made by another

10 State to enforce a support order; and

11 ‘‘(ii) the term ‘business day’ means a day

12 on which State offices are open for regular

13 business;

14 ‘‘(B) the State may, by electronic or other

15 means, transmit to another State a request for

16 assistance in a case involving the enforcement

17 of a support order, which request—

18 ‘‘(i) shall include such information as

19 will enable the State to which the request

20 is transmitted to compare the information

21 about the case to the information in the

22 data bases of the State;

23 ‘‘(ii) shall constitute a certification by

24 the requesting State—
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1 ‘‘(I) of the amount of support

2 under the order the payment of which

3 is in arrears; and

4 ‘‘(II) that the requesting State

5 has complied with all procedural due

6 process requirements applicable to the

7 case.

8 ‘‘(C) if the State provides assistance to an9 other State pursuant to this paragraph with re10 spect to a case, neither State shall consider the

11 case to be transferred to the caseload of such

12 other State; and

13 ‘‘(D) the State shall maintain records of—

14 ‘‘(i) the number of such requests for assistance

15 received by the State;

16 ‘‘(ii) the number of cases for which the State

17 collected support in response to such a request; and

18 ‘‘(iii) the amount of such collected support.’’.

19 SEC. 524. USE OF FORMS IN INTERSTATE ENFORCEMENT.

20 (a) PROMULGATION.—Section 452(a) (42 U.S.C.

21 652(a)) is amended—

22 (1) by striking ‘‘and’’ at the end of paragraph

23 (9);

24 (2) by striking the period at the end of para25 graph (10) and inserting ‘‘; and’’; and
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1 (3) by adding at the end the following:

2 ‘‘(11) not later than June 30, 1996, promulgate

3 forms to be used by States in interstate cases for—

4 ‘‘(A) collection of child support through in5 come withholding;

6 ‘‘(B) imposition of liens; and

7 ‘‘(C) administrative subpoenas.’’.

8 (b) USE BY STATES.—Section 454(9) (42 U.S.C.

9 654(9)) is amended—

10 (1) by striking ‘‘and’’ at the end of subpara11 graph (C);

12 (2) by inserting ‘‘and’’ at the end of subpara13 graph (D); and

14 (3) by adding at the end the following:

15 ‘‘(E) no later than October 1, 1996, in

16 using the forms promulgated pursuant to sec17 tion 452(a)(11) for income withholding, imposi18 tion of liens, and issuance of administrative

19 subpoenas in interstate child support cases;’’.

20 SEC. 525. STATE LAWS PROVIDING EXPEDITED PROCE21 DURES.

22 (a) STATE LAW REQUIREMENTS.—Section 466 (42

23 U.S.C. 666), as amended by section 514 of this Act, is

24 amended—
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1 (1) in subsection (a)(2), by striking the 1st sen2 tence and inserting the following: ‘‘Expedited admin3 istrative and judicial procedures (including the pro4 cedures specified in subsection (c)) for establishing

5 paternity and for establishing, modifying, and en6 forcing support obligations.’’; and

7 (2) by inserting after subsection (b) the follow8 ing:

9 ‘‘(c) EXPEDITED PROCEDURES.—The procedures

10 specified in this subsection are the following:

11 ‘‘(1) ADMINISTRATIVE ACTION BY STATE AGEN12 CY.—Procedures which give the State agency the au13 thority to take the following actions relating to es14 tablishment or enforcement of support orders, with15 out the necessity of obtaining an order from any

16 other judicial or administrative tribunal (but subject

17 to due process safeguards, including (as appropriate)

18 requirements for notice, opportunity to contest the

19 action, and opportunity for an appeal on the record

20 to an independent administrative or judicial tribu21 nal), and to recognize and enforce the authority of

22 State agencies of other States) to take the following

23 actions:
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1 ‘‘(A) GENETIC TESTING.—To order genetic

2 testing for the purpose of paternity establish3 ment as provided in section 466(a)(5).

4 ‘‘(B) DEFAULT ORDERS.—To enter a de5 fault order, upon a showing of service of proc6 ess and any additional showing required by

7 State law—

8 ‘‘(i) establishing paternity, in the case

9 of a putative father who refuses to submit

10 to genetic testing; and

11 ‘‘(ii) establishing or modifying a sup12 port obligation, in the case of a parent (or

13 other obligor or obligee) who fails to re14 spond to notice to appear at a proceeding

15 for such purpose.

16 ‘‘(C) SUBPOENAS.—To subpoena any fi17 nancial or other information needed to estab18 lish, modify, or enforce a support order, and to

19 impose penalties for failure to respond to such

20 a subpoena.

21 ‘‘(D) ACCESS TO PERSONAL AND FINAN22 CIAL INFORMATION.—To obtain access, subject

23 to safeguards on privacy and information secu24 rity, to the records of all other State and local

25 government agencies (including law enforcement
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1 and corrections records), including automated

2 access to records maintained in automated data

3 bases.

4 ‘‘(E) CHANGE IN PAYEE.—In cases where

5 support is subject to an assignment in order to

6 comply with a requirement imposed pursuant to

7 part A or section 1912, or to a requirement to

8 pay through the State disbursement unit estab9 lished pursuant to section 454B, upon provid10 ing notice to obligor and obligee, to direct the

11 obligor or other payor to change the payee to

12 the appropriate government entity.

13 ‘‘(F) INCOME WITHHOLDING.—To order

14 income withholding in accordance with sub15 sections (a)(1) and (b) of section 466.

16 ‘‘(G) SECURING ASSETS.—In cases in

17 which there is a support arrearage, to secure

18 assets to satisfy the arrearage by—

19 ‘‘(i) intercepting or seizing periodic or

20 lump sum payments from—

21 ‘‘(I) a State or local agency (in22 cluding unemployment compensation,

23 workers’ compensation, and other ben24 efits); and
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1 ‘‘(II) judgments, settlements, and

2 lotteries;

3 ‘‘(ii) attaching and seizing assets of

4 the obligor held in financial institutions;

5 and

6 ‘‘(iii) attaching public and private re7 tirement funds.

8 ‘‘(H) INCREASE MONTHLY PAYMENTS.—

9 For the purpose of securing overdue support, to

10 increase the amount of monthly support pay11 ments to include amounts for arrearages (sub12 ject to such conditions or limitations as the

13 State may provide).

14 ‘‘(2) SUBSTANTIVE AND PROCEDURAL RULES.—

15 The expedited procedures required under subsection

16 (a)(2) shall include the following rules and author17 ity, applicable with respect to all proceedings to es18 tablish paternity or to establish, modify, or enforce

19 support orders:

20 ‘‘(A) LOCATOR INFORMATION; PRESUMP21 TIONS CONCERNING NOTICE.—Procedures

22 under which—

23 ‘‘(i) each party to any paternity or

24 child support proceeding is required (sub25 ject to privacy safeguards) to file with the
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1 tribunal and the State case registry upon

2 entry of an order, and to update as appro3 priate, information on location and identity

4 of the party (including social security num5 ber, residential and mailing addresses, tele6 phone number, driver’s license number,

7 and name, address, and name and tele8 phone number of employer); and

9 ‘‘(ii) in any subsequent child support

10 enforcement action between the parties,

11 upon sufficient showing that diligent effort

12 has been made to ascertain the location of

13 such a party, the tribunal may deem State

14 due process requirements for notice and

15 service of process to be met with respect to

16 the party, upon delivery of written notice

17 to the most recent residential or employer

18 address filed with the tribunal pursuant to

19 clause (i).

20 ‘‘(B) STATEWIDE JURISDICTION.—Proce21 dures under which—

22 ‘‘(i) the State agency and any admin23 istrative or judicial tribunal with authority

24 to hear child support and paternity cases
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1 exerts statewide jurisdiction over the par2 ties; and

3 ‘‘(ii) in a State in which orders are is4 sued by courts or administrative tribunals,

5 a case may be transferred between admin6 istrative areas in the State without need

7 for any additional filing by the petitioner,

8 or service of process upon the respondent,

9 to retain jurisdiction over the parties.’’.

10 (b) EXCEPTIONS FROM STATE LAW REQUIRE11 MENTS.—Section 466(d) (42 U.S.C. 666(d)) is amend12 ed—

13 (1) by striking ‘‘(d) If’’ and inserting the fol14 lowing:

15 ‘‘(d) EXEMPTIONS FROM REQUIREMENTS.—

16 ‘‘(1) IN GENERAL.—Subject to paragraph (2),

17 if’’; and

18 (2) by adding at the end the following:

19 ‘‘(2) NON-EXEMPT REQUIREMENTS.—The Sec20 retary shall not grant an exemption from the re21 quirements of—

22 ‘‘(A) subsection (a)(5) (concerning proce23 dures for paternity establishment);

24 ‘‘(B) subsection (a)(10) (concerning modi25 fication of orders);
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1 ‘‘(C) section 454A (concerning recording of

2 orders in the State case registry);

3 ‘‘(D) subsection (a)(14) (concerning re4 cording of social security numbers);

5 ‘‘(E) subsection (a)(15) (concerning inter6 state enforcement); or

7 ‘‘(F) subsection (c) (concerning expedited

8 procedures), other than paragraph (1)(A) there9 of (concerning establishment or modification of

10 support amount).’’.

11 (c) AUTOMATION OF STATE AGENCY FUNCTIONS.—

12 Section 454A, as added by section 545(a)(2) of this Act

13 and as amended by sections 511 and 512(c) of this Act,

14 is amended by adding at the end the following:

15 ‘‘(h) EXPEDITED ADMINISTRATIVE PROCEDURES.—

16 The automated system required by this section shall be

17 used, to the maximum extent feasible, to implement the

18 expedited administrative procedures required by section

19 466(c).’’.

20 Subtitle D—Paternity

21 Establishment

22 SEC. 531. STATE LAWS CONCERNING PATERNITY ESTAB23 LISHMENT.

24 (a) STATE LAWS REQUIRED.—Section 466(a)(5) (42

25 U.S.C. 666(a)(5)) is amended to read as follows:
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1 ‘‘(5) PROCEDURES CONCERNING PATERNITY ES2 TABLISHMENT.—

3 ‘‘(A) ESTABLISHMENT PROCESS AVAIL4 ABLE FROM BIRTH UNTIL AGE 18.—

5 ‘‘(i) Procedures which permit the es6 tablishment of the paternity of a child at

7 any time before the child attains 18 years

8 of age.

9 ‘‘(ii) As of August 16, 1984, clause (i)

10 shall also apply to a child for whom pater11 nity has not been established or for whom

12 a paternity action was brought but dis13 missed because a statute of limitations of

14 less than 18 years was then in effect in the

15 State.

16 ‘‘(B) PROCEDURES CONCERNING GENETIC

17 TESTING.—

18 ‘‘(i) GENETIC TESTING REQUIRED IN

19 CERTAIN CONTESTED CASES.—Procedures

20 under which the State is required, in a

21 contested paternity case, to require the

22 child and all other parties (other than indi23 viduals found under section 454(27) to

24 have good cause for refusing to cooperate)

25 to submit to genetic tests upon the request
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1 of any such party if the request is sup2 ported by a sworn statement by the

3 party—

4 ‘‘(I) alleging paternity, and set5 ting forth facts establishing a reason6 able possibility of the requisite sexual

7 contact between the parties; or

8 ‘‘(II) denying paternity, and set9 ting forth facts establishing a reason10 able possibility of the nonexistence of

11 sexual contact between the parties.

12 ‘‘(ii) OTHER REQUIREMENTS.—Proce13 dures which require the State agency, in

14 any case in which the agency orders ge15 netic testing—

16 ‘‘(I) to pay costs of such tests,

17 subject to recoupment (where the

18 State so elects) from the alleged fa19 ther if paternity is established; and

20 ‘‘(II) to obtain additional testing

21 in any case where an original test re22 sult is contested, upon request and

23 advance payment by the contestant.

24 ‘‘(C) VOLUNTARY PATERNITY ACKNOWL25 EDGMENT.—
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1 ‘‘(i) SIMPLE CIVIL PROCESS.—Proce2 dures for a simple civil process for volun3 tarily acknowledging paternity under which

4 the State must provide that, before a

5 mother and a putative father can sign an

6 acknowledgment of paternity, the mother

7 and the putative father must be given no8 tice, orally, in writing, and in a language

9 that each can understand, of the alter10 natives to, the legal consequences of, and

11 the rights (including, if 1 parent is a

12 minor, any rights afforded due to minority

13 status) and responsibilities that arise from,

14 signing the acknowledgment.

15 ‘‘(ii) HOSPITAL-BASED PROGRAM.—

16 Such procedures must include a hospital17 based program for the voluntary acknowl18 edgment of paternity focusing on the pe19 riod immediately before or after the birth

20 of a child.

21 ‘‘(iii) PATERNITY ESTABLISHMENT

22 SERVICES.—

23 ‘‘(I) STATE-OFFERED SERV24 ICES.—Such procedures must require

25 the State agency responsible for main-
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1 taining birth records to offer vol2 untary paternity establishment serv3 ices.

4 ‘‘(II) REGULATIONS.—

5 ‘‘(aa) SERVICES OFFERED

6 BY HOSPITALS AND BIRTH

7 RECORD AGENCIES.—The Sec8 retary shall prescribe regulations

9 governing voluntary paternity es10 tablishment services offered by

11 hospitals and birth record agen12 cies.

13 ‘‘(bb) SERVICES OFFERED

14 BY OTHER ENTITIES.—The Sec15 retary shall prescribe regulations

16 specifying the types of other enti17 ties that may offer voluntary pa18 ternity establishment services,

19 and governing the provision of

20 such services, which shall include

21 a requirement that such an entity

22 must use the same notice provi23 sions used by, use the same ma24 terials used by, provide the per25 sonnel providing such services
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1 with the same training provided

2 by, and evaluate the provision of

3 such services in the same manner

4 as the provision of such services

5 is evaluated by, voluntary pater6 nity establishment programs of

7 hospitals and birth record agen8 cies.

9 ‘‘(iv) USE OF FEDERAL PATERNITY

10 ACKNOWLEDGMENT AFFIDAVIT.—Such

11 procedures must require the State and

12 those required to establish paternity to use

13 only the affidavit developed under section

14 452(a)(7) for the voluntary acknowledg15 ment of paternity, and to give full faith

16 and credit to such an affidavit signed in

17 any other State.

18 ‘‘(D) STATUS OF SIGNED PATERNITY AC19 KNOWLEDGMENT.—

20 ‘‘(i) LEGAL FINDING OF PATER21 NITY.—Procedures under which a signed

22 acknowledgment of paternity is considered

23 a legal finding of paternity, subject to the

24 right of any signatory to rescind the ac25 knowledgment within 60 days.
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1 ‘‘(ii) CONTEST.—Procedures under

2 which, after the 60-day period referred to

3 in clause (i), a signed acknowledgment of

4 paternity may be challenged in court only

5 on the basis of fraud, duress, or material

6 mistake of fact, with the burden of proof

7 upon the challenger, and under which the

8 legal responsibilities (including child sup9 port obligations) of any signatory arising

10 from the acknowledgment may not be sus11 pended during the challenge, except for

12 good cause shown.

13 ‘‘(iii) RESCISSION.—Procedures under

14 which, after the 60-day period referred to

15 in clause (i), a minor who has signed an

16 acknowledgment of paternity other than in

17 the presence of a parent or court-appointed

18 guardian ad litem may rescind the ac19 knowledgment in a judicial or administra20 tive proceeding, until the earlier of—

21 ‘‘(I) attaining the age of major22 ity; or

23 ‘‘(II) the date of the first judicial

24 or administrative proceeding brought

25 (after the signing) to establish a child
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1 support obligation, visitation rights, or

2 custody rights with respect to the

3 child whose paternity is the subject of

4 the acknowledgment, and at which the

5 minor is represented by a parent or

6 guardian ad litem, or an attorney.

7 ‘‘(E) BAR ON ACKNOWLEDGMENT RATIFI8 CATION PROCEEDINGS.—Procedures under

9 which judicial or administrative proceedings are

10 not required or permitted to ratify an unchal11 lenged acknowledgment of paternity.

12 ‘‘(F) ADMISSIBILITY OF GENETIC TESTING

13 RESULTS.—Procedures—

14 ‘‘(i) requiring the admission into evi15 dence, for purposes of establishing pater16 nity, of the results of any genetic test that

17 is—

18 ‘‘(I) of a type generally acknowl19 edged as reliable by accreditation bod20 ies designated by the Secretary; and

21 ‘‘(II) performed by a laboratory

22 approved by such an accreditation

23 body;

24 ‘‘(ii) requiring an objection to genetic

25 testing results to be made in writing not
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1 later than a specified number of days be2 fore any hearing at which the results may

3 be introduced into evidence (or, at State

4 option, not later than a specified number

5 of days after receipt of the results); and

6 ‘‘(iii) making the test results admissi7 ble as evidence of paternity without the

8 need for foundation testimony or other

9 proof of authenticity or accuracy, unless

10 objection is made.

11 ‘‘(G) PRESUMPTION OF PATERNITY IN

12 CERTAIN CASES.—Procedures which create a re13 buttable or, at the option of the State, conclu14 sive presumption of paternity upon genetic test15 ing results indicating a threshold probability

16 that the alleged father is the father of the child.

17 ‘‘(H) DEFAULT ORDERS.—Procedures re18 quiring a default order to be entered in a pater19 nity case upon a showing of service of process

20 on the defendant and any additional showing

21 required by State law.

22 ‘‘(I) NO RIGHT TO JURY TRIAL.—Proce23 dures providing that the parties to an action to

24 establish paternity are not entitled to a trial by

25 jury.
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1 ‘‘(J) TEMPORARY SUPPORT ORDER BASED

2 ON PROBABLE PATERNITY IN CONTESTED

3 CASES.—Procedures which require that a tem4 porary order be issued, upon motion by a party,

5 requiring the provision of child support pending

6 an administrative or judicial determination of

7 parentage, where there is clear and convincing

8 evidence of paternity (on the basis of genetic

9 tests or other evidence).

10 ‘‘(K) PROOF OF CERTAIN SUPPORT AND

11 PATERNITY ESTABLISHMENT COSTS.—Proce12 dures under which bills for pregnancy, child13 birth, and genetic testing are admissible as evi14 dence without requiring third-party foundation

15 testimony, and shall constitute prima facie evi16 dence of amounts incurred for such services or

17 for testing on behalf of the child.

18 ‘‘(L) STANDING OF PUTATIVE FATHERS.—

19 Procedures ensuring that the putative father

20 has a reasonable opportunity to initiate a pater21 nity action.

22 ‘‘(M) FILING OF ACKNOWLEDGMENTS AND

23 ADJUDICATIONS IN STATE REGISTRY OF BIRTH

24 RECORDS.—Procedures under which voluntary

25 acknowledgments and adjudications of paternity
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1 by judicial or administrative processes are filed

2 with the State registry of birth records for com3 parison with information in the State case reg4 istry.’’.

5 (b) NATIONAL PATERNITY ACKNOWLEDGMENT AFFI6 DAVIT.—Section 452(a)(7) (42 U.S.C. 652(a)(7)) is

7 amended by inserting ‘‘, and develop an affidavit to be

8 used for the voluntary acknowledgment of paternity which

9 shall include the social security number of each parent’’

10 before the semicolon.

11 (c) TECHNICAL AMENDMENT.—Section 468 (42

12 U.S.C. 668) is amended by striking ‘‘a simple civil process

13 for voluntarily acknowledging paternity and’’.

14 SEC. 532. OUTREACH FOR VOLUNTARY PATERNITY ESTAB15 LISHMENT.

16 Section 454(23) (42 U.S.C. 654(23)) is amended by

17 inserting ‘‘and will publicize the availability and encourage

18 the use of procedures for voluntary establishment of pater19 nity and child support by means the State deems appro20 priate’’ before the semicolon.

21 SEC. 533. COOPERATION BY APPLICANTS FOR AND RECIPI22 ENTS OF TEMPORARY FAMILY ASSISTANCE.

23 Section 454 (42 U.S.C. 654), as amended by sections

24 503(a) and 512(a) of this Act, is amended—
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1 (1) by striking ‘‘and’’ at the end of paragraph

2 (25);

3 (2) by striking the period at the end of para4 graph (26) and inserting ‘‘; and’’; and

5 (3) by inserting after paragraph (26) the fol6 lowing:

7 ‘‘(27) provide that the State agency responsible

8 for administering the State plan—

9 ‘‘(A) shall require each individual who has

10 applied for or is receiving assistance under the

11 State program funded under part A to cooper12 ate with the State in establishing the paternity

13 of, and in establishing, modifying, or enforcing

14 a support order for, any child of the individual

15 by providing the State agency with the name of,

16 and such other information as the State agency

17 may require with respect to, the father of the

18 child, subject to such good cause and other ex19 ceptions as the State may establish; and

20 ‘‘(B) may require the individual and the

21 child to submit to genetic tests.’’.
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1 Subtitle E—Program

2 Administration and Funding

3 SEC. 541. FEDERAL MATCHING PAYMENTS.

4 (a) INCREASED BASE MATCHING RATE.—Section

5 455(a)(2) (42 U.S.C. 655(a)(2)) is amended to read as

6 follows:

7 ‘‘(2) The percent specified in this paragraph for

8 any quarter is 66 percent.’’.

9 (b) MAINTENANCE OF EFFORT.—Section 455 (42

10 U.S.C. 655) is amended—

11 (1) in subsection (a)(1), in the matter preced12 ing subparagraph (A), by striking ‘‘From’’ and in13 serting ‘‘Subject to subsection (c), from’’; and

14 (2) by inserting after subsection (b) the follow15 ing:

16 ‘‘(c) MAINTENANCE OF EFFORT.—Notwithstanding

17 subsection (a), the total expenditures under the State plan

18 approved under this part for fiscal year 1997 and each

19 succeeding fiscal year, reduced by the percentage specified

20 in paragraph (2) for the fiscal year shall not be less than

21 such total expenditures for fiscal year 1996, reduced by

22 66 percent.’’.
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1 SEC. 542. PERFORMANCE-BASED INCENTIVES AND PEN2 ALTIES.

3 (a) INCENTIVE ADJUSTMENTS TO FEDERAL MATCH4 ING RATE.—Section 458 (42 U.S.C. 658) is amended to

5 read as follows:

6 ‘‘SEC. 458. INCENTIVE ADJUSTMENTS TO MATCHING RATE.

7 ‘‘(a) INCENTIVE ADJUSTMENTS.—

8 ‘‘(1) IN GENERAL.—Beginning with fiscal year

9 1999, the Secretary shall increase the percent speci10 fied in section 455(a)(2) that applies to payments to

11 a State under section 455(a)(1)(A) for each quarter

12 in a fiscal year by a factor reflecting the sum of the

13 applicable incentive adjustments (if any) determined

14 in accordance with regulations under this section

15 with respect to the paternity establishment percent16 age of the State for the immediately preceding fiscal

17 year and with respect to overall performance of the

18 State in child support enforcement during such pre19 ceding fiscal year.

20 ‘‘(2) STANDARDS.—

21 ‘‘(A) IN GENERAL.—The Secretary shall

22 specify in regulations—

23 ‘‘(i) the levels of accomplishment, and

24 rates of improvement as alternatives to

25 such levels, which a State must attain to
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1 qualify for an incentive adjustment under

2 this section; and

3 ‘‘(ii) the amounts of incentive adjust4 ment that shall be awarded to a State that

5 achieves specified accomplishment or im6 provement levels, which amounts shall be

7 graduated, ranging up to—

8 ‘‘(I) 12 percentage points, in con9 nection with paternity establishment;

10 and

11 ‘‘(II) 12 percentage points, in

12 connection with overall performance in

13 child support enforcement.

14 ‘‘(B) LIMITATION.—In setting performance

15 standards pursuant to subparagraph (A)(i) and

16 adjustment amounts pursuant to subparagraph

17 (A)(ii), the Secretary shall ensure that the ag18 gregate number of percentage point increases as

19 incentive adjustments to all States do not ex20 ceed such aggregate increases as assumed by

21 the Secretary in estimates of the cost of this

22 section as of June 1994, unless the aggregate

23 performance of all States exceeds the projected

24 aggregate performance of all States in such cost

25 estimates.
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1 ‘‘(3) DETERMINATION OF INCENTIVE ADJUST2 MENT.—The Secretary shall determine the amount

3 (if any) of the incentive adjustment due each State

4 on the basis of the data submitted by the State pur5 suant to section 454(15)(B) concerning the levels of

6 accomplishment (and rates of improvement) with re7 spect to performance indicators specified by the Sec8 retary pursuant to this section.

9 ‘‘(4) REDUCTION OF INCENTIVE ADJUSTMENT

10 IN CERTAIN CASES.—

11 ‘‘(A) IN GENERAL.—If the Secretary finds,

12 as a result of an audit conducted under section

13 452(a)(4)(C) that the paternity establishment

14 percentage of a State does not meet the re15 quirement of subparagraph (B) for a fiscal year

16 and that the State has failed to take sufficient

17 corrective action, or that the data submitted by

18 the State under section 454(15)(B) is incom19 plete or unreliable, the Secretary shall reduce

20 the amount (if any) of the incentive adjustment

21 due the State for the fiscal year—

22 ‘‘(i) in the case of the 1st such find23 ing, by not less than 3 percent and not

24 more than 5 percent;
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1 ‘‘(ii) in the case of the 2nd such find2 ing, by not less than 5 percent and not

3 more than 8 percent; or

4 ‘‘(iii) in the case of the 3rd or subse5 quent such finding, by not less than 10

6 percent and not more than 15 percent.

7 ‘‘(B) REQUIREMENT.—The requirement of

8 this subparagraph is that the paternity estab9 lishment percentage of the State for the fiscal

10 year must be not less than—

11 ‘‘(i) 90 percent;

12 ‘‘(ii) the paternity establishment per13 centage of the State for the immediately

14 preceding fiscal year plus 6 percentage

15 points, if the paternity establishment per16 centage of the State for the fiscal year is

17 not less than 50 percent and less than 90

18 percent; or

19 ‘‘(iii) the paternity establishment per20 centage of the State for the immediately

21 preceding fiscal year plus 10 percentage

22 points, if the paternity establishment per23 centage of the State for the fiscal year is

24 less than 50 percent.
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1 ‘‘(5) RECYCLING OF INCENTIVE ADJUST2 MENT.—A State to which funds are paid by the

3 Federal Government as a result of an incentive ad4 justment under this section shall expend the funds

5 in the State program under this part within 2 years

6 after the date of the payment.

7 ‘‘(b) DEFINITIONS.—As used in this section:

8 ‘‘(1) PATERNITY ESTABLISHMENT PERCENT9 AGE.—The term ‘paternity establishment percent10 age’ means, with respect to a State and a fiscal

11 year—

12 ‘‘(A) the total number of children in the

13 State who were born out of wedlock, who have

14 not attained 1 year of age and for whom pater15 nity is established or acknowledged during the

16 fiscal year; divided by

17 ‘‘(B) the total number of children born out

18 of wedlock in the State during the fiscal year.

19 ‘‘(2) OVERALL PERFORMANCE IN CHILD SUP20 PORT ENFORCEMENT.—The term ‘overall perform21 ance in child support enforcement’ means a measure

22 or measures of the effectiveness of the State agency

23 in a fiscal year which takes into account factors in24 cluding—
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1 ‘‘(A) the percentage of cases requiring a

2 support order in which such an order was es3 tablished;

4 ‘‘(B) the percentage of cases in which child

5 support is being paid;

6 ‘‘(C) the ratio of child support collected to

7 child support due; and

8 ‘‘(D) the cost-effectiveness of the State

9 program, as determined in accordance with

10 standards established by the Secretary in regu11 lations (after consultation with the States).’’.

12 (b) CONFORMING AMENDMENTS.—Section 454(22)

13 (42 U.S.C. 654(22)) is amended—

14 (1) by striking ‘‘incentive payments’’ the 1st

15 place such term appears and inserting ‘‘incentive ad16 justments’’; and

17 (2) by striking ‘‘any such incentive payments

18 made to the State for such period’’ and inserting

19 ‘‘any increases in Federal payments to the State re20 sulting from such incentive adjustments’’.

21 (c) CALCULATION OF IV–D PATERNITY ESTABLISH22 MENT PERCENTAGE.—

23 (1) Section 452(g)(1) (42 U.S.C. 652(g)(1)) is

24 amended in the matter preceding subparagraph (A)

25 by inserting ‘‘its overall performance in child sup-
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1 port enforcement is satisfactory (as defined in sec2 tion 458(b) and regulations of the Secretary), and’’

3 after ‘‘1994,’’.

4 (2) Section 452(g)(2)(A) (42 U.S.C.

5 652(g)(2)(A)) is amended in the matter preceding

6 clause (i)—

7 (A) by striking ‘‘paternity establishment

8 percentage’’ and inserting ‘‘IV–D paternity es9 tablishment percentage’’; and

10 (B) by striking ‘‘(or all States, as the case

11 may be)’’.

12 (3) Section 452(g)(3) (42 U.S.C. 652(g)(3)) is

13 amended—

14 (A) by striking subparagraph (A) and re15 designating subparagraphs (B) and (C) as sub16 paragraphs (A) and (B), respectively;

17 (B) in subparagraph (A) (as so redesig18 nated), by striking ‘‘the percentage of children

19 born out-of-wedlock in a State’’ and inserting

20 ‘‘the percentage of children in a State who are

21 born out of wedlock or for whom support has

22 not been established’’; and

23 (C) in subparagraph (B) (as so redesig24 nated)—
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1 (i) by inserting ‘‘and overall perform2 ance in child support enforcement’’ after

3 ‘‘paternity establishment percentages’’; and

4 (ii) by inserting ‘‘and securing sup5 port’’ before the period.

6 (d) EFFECTIVE DATES.—

7 (1) INCENTIVE ADJUSTMENTS.—(A) The

8 amendments made by subsections (a) and (b) shall

9 become effective on October 1, 1997, except to the

10 extent provided in subparagraph (B).

11 (B) Section 458 of the Social Security Act, as

12 in effect prior to the enactment of this section, shall

13 be effective for purposes of incentive payments to

14 States for fiscal years before fiscal year 1999.

15 (2) PENALTY REDUCTIONS.—The amendments

16 made by subsection (c) shall become effective with

17 respect to calendar quarters beginning on and after

18 the date of the enactment of this Act.

19 SEC. 543. FEDERAL AND STATE REVIEWS AND AUDITS.

20 (a) STATE AGENCY ACTIVITIES.—Section 454 (42

21 U.S.C. 654) is amended—

22 (1) in paragraph (14), by striking ‘‘(14)’’ and

23 inserting ‘‘(14)(A)’’;

24 (2) by redesignating paragraph (15) as sub25 paragraph (B) of paragraph (14); and
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1 (3) by inserting after paragraph (14) the fol2 lowing:

3 ‘‘(15) provide for—

4 ‘‘(A) a process for annual reviews of and

5 reports to the Secretary on the State program

6 operated under the State plan approved under

7 this part, which shall include such information

8 as may be necessary to measure State compli9 ance with Federal requirements for expedited

10 procedures and timely case processing, using

11 such standards and procedures as are required

12 by the Secretary, under which the State agency

13 will determine the extent to which the program

14 is operated in compliance with this part; and

15 ‘‘(B) a process of extracting from the auto16 mated data processing system required by para17 graph (16) and transmitting to the Secretary

18 data and calculations concerning the levels of

19 accomplishment (and rates of improvement)

20 with respect to applicable performance indica21 tors (including IV–D paternity establishment

22 percentages and overall performance in child

23 support enforcement) to the extent necessary

24 for purposes of sections 452(g) and 458.’’.
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1 (b) FEDERAL ACTIVITIES.—Section 452(a)(4) (42

2 U.S.C. 652(a)(4)) is amended to read as follows:

3 ‘‘(4)(A) review data and calculations transmit4 ted by State agencies pursuant to section

5 454(15)(B) on State program accomplishments with

6 respect to performance indicators for purposes of

7 subsection (g) of this section and section 458;

8 ‘‘(B) review annual reports submitted pursuant

9 to section 454(15)(A) and, as appropriate, provide

10 to the State comments, recommendations for addi11 tional or alternative corrective actions, and technical

12 assistance; and

13 ‘‘(C) conduct audits, in accordance with the

14 government auditing standards of the Comptroller

15 General of the United States—

16 ‘‘(i) at least once every 3 years (or more

17 frequently, in the case of a State which fails to

18 meet the requirements of this part, concerning

19 performance standards and reliability of pro20 gram data) to assess the completeness, reliabil21 ity, and security of the data, and the accuracy

22 of the reporting systems, used in calculating

23 performance indicators under subsection (g) of

24 this section and section 458;
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1 ‘‘(ii) of the adequacy of financial manage2 ment of the State program operated under the

3 State plan approved under this part, including

4 assessments of—

5 ‘‘(I) whether Federal and other funds

6 made available to carry out the State pro7 gram are being appropriately expended,

8 and are properly and fully accounted for;

9 and

10 ‘‘(II) whether collections and disburse11 ments of support payments are carried out

12 correctly and are fully accounted for; and

13 ‘‘(iii) for such other purposes as the Sec14 retary may find necessary;’’.

15 (c) EFFECTIVE DATE.—The amendments made by

16 this section shall be effective with respect to calendar

17 quarters beginning 12 months or more after the date of

18 the enactment of this section.

19 SEC. 544. REQUIRED REPORTING PROCEDURES.

20 (a) ESTABLISHMENT.—Section 452(a)(5) (42 U.S.C.

21 652(a)(5)) is amended by inserting ‘‘, and establish proce22 dures to be followed by States for collecting and reporting

23 information required to be provided under this part, and

24 establish uniform definitions (including those necessary to

25 enable the measurement of State compliance with the re-
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1 quirements of this part relating to expedited processes and

2 timely case processing) to be applied in following such pro3 cedures’’ before the semicolon.

4 (b) STATE PLAN REQUIREMENT.—Section 454 (42

5 U.S.C. 654), as amended by sections 503(a), 512(a), and

6 533 of this Act, is amended—

7 (1) by striking ‘‘and’’ at the end of paragraph

8 (26);

9 (2) by striking the period at the end of para10 graph (27) and inserting ‘‘; and’’; and

11 (3) by adding after paragraph (27) the follow12 ing:

13 ‘‘(28) provide that the State shall use the defi14 nitions established under section 452(a)(5) in col15 lecting and reporting information as required under

16 this part.’’.

17 SEC. 545. AUTOMATED DATA PROCESSING REQUIREMENTS.

18 (a) REVISED REQUIREMENTS.—

19 (1) Section 454(16) (42 U.S.C. 654(16)) is

20 amended—

21 (A) by striking ‘‘, at the option of the

22 State,’’;

23 (B) by inserting ‘‘and operation by the

24 State agency’’ after ‘‘for the establishment’’;
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1 (C) by inserting ‘‘meeting the requirements

2 of section 454A’’ after ‘‘information retrieval

3 system’’;

4 (D) by striking ‘‘in the State and localities

5 thereof, so as (A)’’ and inserting ‘‘so as’’;

6 (E) by striking ‘‘(i)’’; and

7 (F) by striking ‘‘(including’’ and all that

8 follows and inserting a semicolon.

9 (2) Part D of title IV (42 U.S.C. 651–669) is

10 amended by inserting after section 454 the follow11 ing:

12 ‘‘SEC. 454A. AUTOMATED DATA PROCESSING.

13 ‘‘(a) IN GENERAL.—In order for a State to meet the

14 requirements of this section, the State agency administer15 ing the State program under this part shall have in oper16 ation a single statewide automated data processing and

17 information retrieval system which has the capability to

18 perform the tasks specified in this section with the fre19 quency and in the manner required by or under this part.

20 ‘‘(b) PROGRAM MANAGEMENT.—The automated sys21 tem required by this section shall perform such functions

22 as the Secretary may specify relating to management of

23 the State program under this part, including—
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1 ‘‘(1) controlling and accounting for use of Fed2 eral, State, and local funds in carrying out the pro3 gram; and

4 ‘‘(2) maintaining the data necessary to meet

5 Federal reporting requirements under this part on a

6 timely basis.

7 ‘‘(c) CALCULATION OF PERFORMANCE INDICA8 TORS.—In order to enable the Secretary to determine the

9 incentive and penalty adjustments required by sections

10 452(g) and 458, the State agency shall—

11 ‘‘(1) use the automated system—

12 ‘‘(A) to maintain the requisite data on

13 State performance with respect to paternity es14 tablishment and child support enforcement in

15 the State; and

16 ‘‘(B) to calculate the IV–D paternity es17 tablishment percentage and overall performance

18 in child support enforcement for the State for

19 each fiscal year; and

20 ‘‘(2) have in place systems controls to ensure

21 the completeness, and reliability of, and ready access

22 to, the data described in paragraph (1)(A), and the

23 accuracy of the calculations described in paragraph

24 (1)(B).
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1 ‘‘(d) INFORMATION INTEGRITY AND SECURITY.—The

2 State agency shall have in effect safeguards on the integ3 rity, accuracy, and completeness of, access to, and use of

4 data in the automated system required by this section,

5 which shall include the following (in addition to such other

6 safeguards as the Secretary may specify in regulations):

7 ‘‘(1) POLICIES RESTRICTING ACCESS.—Written

8 policies concerning access to data by State agency

9 personnel, and sharing of data with other persons,

10 which—

11 ‘‘(A) permit access to and use of data only

12 to the extent necessary to carry out the State

13 program under this part; and

14 ‘‘(B) specify the data which may be used

15 for particular program purposes, and the per16 sonnel permitted access to such data.

17 ‘‘(2) SYSTEMS CONTROLS.—Systems controls

18 (such as passwords or blocking of fields) to ensure

19 strict adherence to the policies described in para20 graph (1).

21 ‘‘(3) MONITORING OF ACCESS.—Routine mon22 itoring of access to and use of the automated sys23 tem, through methods such as audit trails and feed24 back mechanisms, to guard against and promptly

25 identify unauthorized access or use.
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1 ‘‘(4) TRAINING AND INFORMATION.—Proce2 dures to ensure that all personnel (including State

3 and local agency staff and contractors) who may

4 have access to or be required to use confidential pro5 gram data are informed of applicable requirements

6 and penalties (including those in section 6103 of the

7 Internal Revenue Code of 1986), and are adequately

8 trained in security procedures.

9 ‘‘(5) PENALTIES.—Administrative penalties (up

10 to and including dismissal from employment) for un11 authorized access to, or disclosure or use of, con12 fidential data.’’.

13 (3) REGULATIONS.—The Secretary of Health

14 and Human Services shall prescribe final regulations

15 for implementation of section 454A of the Social Se16 curity Act not later than 2 years after the date of

17 the enactment of this Act.

18 (4) IMPLEMENTATION TIMETABLE.—Section

19 454(24) (42 U.S.C. 654(24)), as amended by sec20 tions 503(a)(2) and 512(a)(1) of this Act, is amend21 ed to read as follows:

22 ‘‘(24) provide that the State will have in effect

23 an automated data processing and information re24 trieval system—
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•HR 1157 IH

1 ‘‘(A) by October 1, 1995, which meets all

2 requirements of this part which were enacted on

3 or before the date of enactment of the Family

4 Support Act of 1988; and

5 ‘‘(B) by October 1, 1999, which meets all

6 requirements of this part enacted on or before

7 the date of the enactment of the Welfare Trans8 formation Act of 1995, except that such dead9 line shall be extended by 1 day for each day (if

10 any) by which the Secretary fails to meet the

11 deadline imposed by section 545(a)(3) of such

12 Act.’’.

13 (b) SPECIAL FEDERAL MATCHING RATE FOR DE14 VELOPMENT COSTS OF AUTOMATED SYSTEMS.—

15 (1) IN GENERAL.—Section 455(a) (42 U.S.C.

16 655(a)) is amended—

17 (A) in paragraph (1)(B)—

18 (i) by striking ‘‘90 percent’’ and in19 serting ‘‘the percent specified in paragraph

20 (3)’’;

21 (ii) by striking ‘‘so much of’’; and

22 (iii) by striking ‘‘which the Secretary’’

23 and all that follows and inserting ‘‘, and’’;

24 and

25 (B) by adding at the end the following:
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•HR 1157 IH

1 ‘‘(3)(A) The Secretary shall pay to each State, for

2 each quarter in fiscal year 1996, 90 percent of so much

3 of the State expenditures described in paragraph (1)(B)

4 as the Secretary finds are for a system meeting the re5 quirements specified in section 454(16).

6 ‘‘(B)(i) The Secretary shall pay to each State, for

7 each quarter in fiscal years 1997 through 2001, the per8 centage specified in clause (ii) of so much of the State

9 expenditures described in paragraph (1)(B) as the Sec10 retary finds are for a system meeting the requirements

11 of sections 454(16) and 454A.

12 ‘‘(ii) The percentage specified in this clause is the

13 greater of—

14 ‘‘(I) 80 percent; or

15 ‘‘(II) the percentage otherwise applicable to

16 Federal payments to the State under subparagraph

17 (A) (as adjusted pursuant to section 458).’’.

18 (2) TEMPORARY LIMITATION ON PAYMENTS

19 UNDER SPECIAL FEDERAL MATCHING RATE.—

20 (A) IN GENERAL.—The Secretary of

21 Health and Human Services may not pay more

22 than $260,000,000 in the aggregate under sec23 tion 455(a)(3) of the Social Security Act for fis24 cal years 1996, 1997, 1998, 1999, and 2000.
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1 (B) ALLOCATION OF LIMITATION AMONG

2 STATES.—The total amount payable to a State

3 under section 455(a)(3) of such Act for fiscal

4 years 1996, 1997, 1998, 1999, and 2000 shall

5 not exceed the limitation determined for the

6 State by the Secretary of Health and Human

7 Services in regulations.

8 (C) ALLOCATION FORMULA.—The regula9 tions referred to in subparagraph (B) shall pre10 scribe a formula for allocating the amount spec11 ified in subparagraph (A) among States with

12 plans approved under part D of title IV of the

13 Social Security Act, which shall take into ac14 count—

15 (i) the relative size of State caseloads

16 under such part; and

17 (ii) the level of automation needed to

18 meet the automated data processing re19 quirements of such part.

20 (c) CONFORMING AMENDMENT.—Section 123(c) of

21 the Family Support Act of 1988 (102 Stat. 2352; Public

22 Law 100–485) is repealed.

23 SEC. 546. TECHNICAL ASSISTANCE.

24 (a) FOR TRAINING OF FEDERAL AND STATE STAFF,

25 RESEARCH AND DEMONSTRATION PROGRAMS, AND SPE-
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1 CIAL PROJECTS OF REGIONAL OR NATIONAL SIGNIFI2 CANCE.—Section 452 (42 U.S.C. 652) is amended by add3 ing at the end the following:

4 ‘‘(j) Out of any money in the Treasury of the United

5 States not otherwise appropriated, there is hereby appro6 priated to the Secretary for each fiscal year an amount

7 equal to 1 percent of the total amount paid to the Federal

8 Government pursuant to section 457(a) during the imme9 diately preceding fiscal year (as determined on the basis

10 of the most recent reliable data available to the Secretary

11 as of the end of the 3rd calendar quarter following the

12 end of such preceding fiscal year), to cover costs incurred

13 by the Secretary for—

14 ‘‘(1) information dissemination and technical

15 assistance to States, training of State and Federal

16 staff, staffing studies, and related activities needed

17 to improve programs under this part (including tech18 nical assistance concerning State automated systems

19 required by this part); and

20 ‘‘(2) research, demonstration, and special

21 projects of regional or national significance relating

22 to the operation of State programs under this

23 part.’’.

24 (b) OPERATION OF FEDERAL PARENT LOCATOR

25 SERVICE.—Section 453 (42 U.S.C. 653), as amended by
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•HR 1157 IH

1 section 516 of this Act, is amended by adding at the end

2 the following:

3 ‘‘(n) Out of any money in the Treasury of the United

4 States not otherwise appropriated, there is hereby appro5 priated to the Secretary for each fiscal year an amount

6 equal to 2 percent of the total amount paid to the Federal

7 Government pursuant to section 457(a) during the imme8 diately preceding fiscal year (as determined on the basis

9 of the most recent reliable data available to the Secretary

10 as of the end of the 3rd calendar quarter following the

11 end of such preceding fiscal year), to cover costs incurred

12 by the Secretary for operation of the Federal Parent Loca13 tor Service under this section, to the extent such costs are

14 not recovered through user fees.’’.

15 SEC. 547. REPORTS AND DATA COLLECTION BY THE SEC16 RETARY.

17 (a) ANNUAL REPORT TO CONGRESS.—

18 (1) Section 452(a)(10)(A) (42 U.S.C.

19 652(a)(10)(A)) is amended—

20 (A) by striking ‘‘this part;’’ and inserting

21 ‘‘this part, including—’’; and

22 (B) by adding at the end the following:

23 ‘‘(i) the total amount of child support

24 payments collected as a result of services
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•HR 1157 IH

1 furnished during the fiscal year to individ2 uals receiving services under this part;

3 ‘‘(ii) the cost to the States and to the

4 Federal Government of so furnishing the

5 services; and

6 ‘‘(iii) the number of cases involving

7 families—

8 ‘‘(I) who became ineligible for as9 sistance under State programs funded

10 under part A during a month in the

11 fiscal year; and

12 ‘‘(II) with respect to whom a

13 child support payment was received in

14 the month;’’.

15 (2) Section 452(a)(10)(C) (42 U.S.C.

16 652(a)(10)(C)) is amended—

17 (A) in the matter preceding clause (i)—

18 (i) by striking ‘‘with the data required

19 under each clause being separately stated

20 for cases’’ and inserting ‘‘separately stated

21 for (1) cases’’;

22 (ii) by striking ‘‘cases where the child

23 was formerly receiving’’ and inserting ‘‘or

24 formerly received’’;
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•HR 1157 IH

1 (iii) by inserting ‘‘or 1912’’ after

2 ‘‘471(a)(17)’’; and

3 (iv) by inserting ‘‘(2)’’ before ‘‘all

4 other’’;

5 (B) in each of clauses (i) and (ii), by strik6 ing ‘‘, and the total amount of such obliga7 tions’’;

8 (C) in clause (iii), by striking ‘‘described

9 in’’ and all that follows and inserting ‘‘in which

10 support was collected during the fiscal year;’’;

11 (D) by striking clause (iv);

12 (E) by redesignating clause (v) as clause

13 (vii), and inserting after clause (iii) the follow14 ing:

15 ‘‘(iv) the total amount of support col16 lected during such fiscal year and distrib17 uted as current support;

18 ‘‘(v) the total amount of support col19 lected during such fiscal year and distrib20 uted as arrearages;

21 ‘‘(vi) the total amount of support due

22 and unpaid for all fiscal years; and’’.

23 (3) Section 452(a)(10)(G) (42 U.S.C.

24 652(a)(10)(G)) is amended by striking ‘‘on the use

25 of Federal courts and’’.
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1 (4) Section 452(a)(10) (42 U.S.C. 652(a)(10))

2 is amended by striking all that follows subparagraph

3 (I).

4 (b) EFFECTIVE DATE.—The amendments made by

5 subsection (a) shall be effective with respect to fiscal year

6 1996 and succeeding fiscal years.

7 Subtitle F—Establishment and

8 Modification of Support Orders

9 SEC. 551. SIMPLIFIED PROCESS FOR REVIEW AND ADJUST10 MENT OF CHILD SUPPORT ORDERS.

11 Section 466(a)(10) (42 U.S.C. 666(a)(10)) is amend12 ed to read as follows:

13 ‘‘(10) REVIEW AND ADJUSTMENT OF SUPPORT

14 ORDERS.—Procedures under which the State shall

15 review and adjust each support order being enforced

16 under this part. Such procedures shall provide the

17 following:

18 ‘‘(A) The State shall review and, as appro19 priate, adjust the support order every 3 years.

20 ‘‘(B)(i) The State may elect to review and,

21 if appropriate, adjust an order pursuant to sub22 paragraph (A) by—

23 ‘‘(I) reviewing and, if appropriate, ad24 justing the order in accordance with the

25 guidelines established pursuant to section
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•HR 1157 IH

1 467(a) if the amount of the child support

2 award under the order differs from the

3 amount that would be awarded in accord4 ance with the guidelines; or

5 ‘‘(II) applying a cost-of-living adjust6 ment to the order in accordance with a for7 mula developed by the State and permit ei8 ther party to contest the adjustment, with9 in 30 days after the date of the notice of

10 the adjustment, by making a request for

11 review and, if appropriate, adjustment of

12 the order in accordance with the child sup13 port guidelines established pursuant to sec14 tion 467(a).

15 ‘‘(ii) Any adjustment under clause (i) shall

16 be made without a requirement for proof or

17 showing of a change in circumstances.

18 ‘‘(C) The State may use automated meth19 ods (including automated comparisons with

20 wage or State income tax data) to identify or21 ders eligible for review, conduct the review,

22 identify orders eligible for adjustment, apply

23 the appropriate adjustment to the orders eligi24 ble for adjustment under the threshold estab25 lished by the State.
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1 ‘‘(D) The State shall, at the request of ei2 ther parent subject to such an order or of any

3 State child support enforcement agency, review

4 and, if appropriate, adjust the order in accord5 ance with the guidelines established pursuant to

6 section 467(a) based upon a substantial change

7 in the circumstances of either parent.

8 ‘‘(E) The State shall provide notice to the

9 parents subject to such an order informing

10 them of their right to request the State to re11 view and, if appropriate, adjust the order pur12 suant to subparagraph (D). The notice may be

13 included in the order.’’.

14 Subtitle G—Enforcement of

15 Support Orders

16 SEC. 561. FEDERAL INCOME TAX REFUND OFFSET.

17 (a) CHANGED ORDER OF REFUND DISTRIBUTION

18 UNDER INTERNAL REVENUE CODE.—

19 (1) Subsection (c) of section 6402 of the Inter20 nal Revenue Code of 1986 is amended by striking

21 the third sentence and inserting the following new

22 sentences: ‘‘A reduction under this subsection shall

23 be after any other reduction allowed by subsection

24 (d) with respect to the Department of Health and

25 Human Services and the Department of Education
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•HR 1157 IH

1 with respect to a student loan and before any other

2 reduction allowed by law and before such overpay3 ment is credited to the future liability for tax of

4 such person pursuant to subsection (b). A reduction

5 under this subsection shall be assigned to the State

6 with respect to past-due support owned to individ7 uals for periods such individuals were receiving as8 sistance under part A or B of title IV of the Social

9 Security Act only after satisfying all other past-due

10 support.’’.

11 (2) Paragraph (2) of section 6402(d) of such

12 Code is amended—

13 (A) by striking ‘‘Any overpayment’’ and in14 serting ‘‘Except in the case of past-due legally

15 enforceable debts owed to the Department of

16 Health and Human Services or to the Depart17 ment of Education with respect to a student

18 loan, any overpayment’’; and

19 (B) by striking ‘‘with respect to past-due

20 support collected pursuant to an assignment

21 under section 402(a)(26) of the Social Security

22 Act’’.

23 (b) ELIMINATION OF DISPARITIES IN TREATMENT

24 OF ASSIGNED AND NON-ASSIGNED ARREARAGES.—
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1 (1) Section 464(a) (42 U.S.C. 664(a)) is

2 amended—

3 (A) by striking ‘‘(a)’’ and inserting ‘‘(a)

4 OFFSET AUTHORIZED.—’’;

5 (B) in paragraph (1)—

6 (i) in the 1st sentence, by striking

7 ‘‘which has been assigned to such State

8 pursuant to section 402(a)(26) or section

9 471(a)(17)’’; and

10 (ii) in the 2nd sentence, by striking

11 ‘‘in accordance with section 457(b)(4) or

12 (d)(3)’’ and inserting ‘‘as provided in para13 graph (2)’’;

14 (C) by striking paragraph (2) and insert15 ing the following:

16 ‘‘(2) The State agency shall distribute amounts

17 paid by the Secretary of the Treasury pursuant to

18 paragraph (1)—

19 ‘‘(A) in accordance with section 457(a), in

20 the case of past-due support assigned to a State

21 pursuant to requirements imposed pursuant to

22 section 405(a)(8); and

23 ‘‘(B) to or on behalf of the child to whom

24 the support was owed, in the case of past-due

25 support not so assigned.’’; and
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1 (D) in paragraph (3)—

2 (i) by striking ‘‘or (2)’’ each place

3 such term appears; and

4 (ii) in subparagraph (B), by striking

5 ‘‘under paragraph (2)’’ and inserting ‘‘on

6 account of past-due support described in

7 paragraph (2)(B)’’.

8 (2) Section 464(b) (42 U.S.C. 664(b)) is

9 amended—

10 (A) by striking ‘‘(b)(1)’’ and inserting the

11 following:

12 ‘‘(b) REGULATIONS.—’’; and

13 (B) by striking paragraph (2).

14 (3) Section 464(c) (42 U.S.C. 664(c)) is

15 amended—

16 (A) by striking ‘‘(c)(1) Except as provided

17 in paragraph (2), as’’ and inserting the follow18 ing:

19 ‘‘(c) DEFINITION.—As’’; and

20 (B) by striking paragraphs (2) and (3).

21 SEC. 562. AUTHORITY TO COLLECT SUPPORT FROM FED22 ERAL EMPLOYEES.

23 (a) CONSOLIDATION AND STREAMLINING OF AU24 THORITIES.—Section 459 (42 U.S.C. 659) is amended to

25 read as follows:
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1 ‘‘SEC. 459. CONSENT BY THE UNITED STATES TO INCOME

2 WITHHOLDING, GARNISHMENT, AND SIMILAR

3 PROCEEDINGS FOR ENFORCEMENT OF CHILD

4 SUPPORT AND ALIMONY OBLIGATIONS.

5 ‘‘(a) CONSENT TO SUPPORT ENFORCEMENT.—Not6 withstanding any other provision of law (including section

7 207 of this Act and section 5301 of title 38, United States

8 Code), effective January 1, 1975, moneys (the entitlement

9 to which is based upon remuneration for employment) due

10 from, or payable by, the United States or the District of

11 Columbia (including any agency, subdivision, or instru12 mentality thereof) to any individual, including members

13 of the Armed Forces of the United States, shall be subject,

14 in like manner and to the same extent as if the United

15 States or the District of Columbia were a private person,

16 to withholding in accordance with State law enacted pur17 suant to subsections (a)(1) and (b) of section 466 and reg18 ulations of the Secretary under such subsections, and to

19 any other legal process brought, by a State agency admin20 istering a program under a State plan approved under this

21 part or by an individual obligee, to enforce the legal obliga22 tion of the individual to provide child support or alimony.

23 ‘‘(b) CONSENT TO REQUIREMENTS APPLICABLE TO

24 PRIVATE PERSON.—With respect to notice to withhold in25 come pursuant to subsection (a)(1) or (b) of section 466,

26 or any other order or process to enforce support obliga-
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•HR 1157 IH

1 tions against an individual (if the order or process con2 tains or is accompanied by sufficient data to permit

3 prompt identification of the individual and the moneys in4 volved), each governmental entity specified in subsection

5 (a) shall be subject to the same requirements as would

6 apply if the entity were a private person, except as other7 wise provided in this section.

8 ‘‘(c) DESIGNATION OF AGENT; RESPONSE TO NOTICE

9 OR PROCESS—

10 ‘‘(1) DESIGNATION OF AGENT.—The head of

11 each agency subject to this section shall—

12 ‘‘(A) designate an agent or agents to re13 ceive orders and accept service of process in

14 matters relating to child support or alimony;

15 and

16 ‘‘(B) annually publish in the Federal Reg17 ister the designation of the agent or agents,

18 identified by title or position, mailing address,

19 and telephone number.

20 ‘‘(2) RESPONSE TO NOTICE OR PROCESS.—If an

21 agent designated pursuant to paragraph (1) of this

22 subsection receives notice pursuant to State proce23 dures in effect pursuant to subsection (a)(1) or (b)

24 of section 466, or is effectively served with any

25 order, process, or interrogatory, with respect to an
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•HR 1157 IH

1 individual’s child support or alimony payment obli2 gations, the agent shall—

3 ‘‘(A) as soon as possible (but not later

4 than 15 days) thereafter, send written notice of

5 the notice or service (together with a copy of

6 the notice or service) to the individual at the

7 duty station or last-known home address of the

8 individual;

9 ‘‘(B) within 30 days (or such longer period

10 as may be prescribed by applicable State law)

11 after receipt of a notice pursuant to such State

12 procedures, comply with all applicable provi13 sions of section 466; and

14 ‘‘(C) within 30 days (or such longer period

15 as may be prescribed by applicable State law)

16 after effective service of any other such order,

17 process, or interrogatory, respond to the order,

18 process, or interrogatory.

19 ‘‘(d) PRIORITY OF CLAIMS.—If a governmental entity

20 specified in subsection (a) receives notice or is served with

21 process, as provided in this section, concerning amounts

22 owed by an individual to more than 1 person—

23 ‘‘(1) support collection under section 466(b)

24 must be given priority over any other process, as

25 provided in section 466(b)(7);
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•HR 1157 IH

1 ‘‘(2) allocation of moneys due or payable to an

2 individual among claimants under section 466(b)

3 shall be governed by section 466(b) and the regula4 tions prescribed under such section; and

5 ‘‘(3) such moneys as remain after compliance

6 with subparagraphs (A) and (B) shall be available to

7 satisfy any other such processes on a first-come,

8 first-served basis, with any such process being satis9 fied out of such moneys as remain after the satisfac10 tion of all such processes which have been previously

11 served.

12 ‘‘(e) NO REQUIREMENT TO VARY PAY CYCLES.—A

13 governmental entity that is affected by legal process

14 served for the enforcement of an individual’s child support

15 or alimony payment obligations shall not be required to

16 vary its normal pay and disbursement cycle in order to

17 comply with the legal process.

18 ‘‘(f) RELIEF FROM LIABILITY.—

19 ‘‘(1) Neither the United States, nor the govern20 ment of the District of Columbia, nor any disbursing

21 officer shall be liable with respect to any payment

22 made from moneys due or payable from the United

23 States to any individual pursuant to legal process

24 regular on its face, if the payment is made in ac-
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•HR 1157 IH

1 cordance with this section and the regulations issued

2 to carry out this section.

3 ‘‘(2) No Federal employee whose duties include

4 taking actions necessary to comply with the require5 ments of subsection (a) with regard to any individ6 ual shall be subject under any law to any discipli7 nary action or civil or criminal liability or penalty

8 for, or on account of, any disclosure of information

9 made by the employee in connection with the carry10 ing out of such actions.

11 ‘‘(g) REGULATIONS.—Authority to promulgate regu12 lations for the implementation of this section shall, insofar

13 as this section applies to moneys due from (or payable

14 by)—

15 ‘‘(1) the United States (other than the legisla16 tive or judicial branches of the Federal Government)

17 or the government of the District of Columbia, be

18 vested in the President (or the designee of the Presi19 dent);

20 ‘‘(2) the legislative branch of the Federal Gov21 ernment, be vested jointly in the President pro tem22 pore of the Senate and the Speaker of the House of

23 Representatives (or their designees); and
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•HR 1157 IH

1 ‘‘(3) the judicial branch of the Federal Govern2 ment, be vested in the Chief Justice of the United

3 States (or the designee of the Chief Justice).

4 ‘‘(h) MONEYS SUBJECT TO PROCESS.—

5 ‘‘(1) IN GENERAL.—Subject to paragraph (2),

6 moneys paid or payable to an individual which are

7 considered to be based upon remuneration for em8 ployment, for purposes of this section—

9 ‘‘(A) consist of—

10 ‘‘(i) compensation paid or payable for

11 personal services of the individual, whether

12 the compensation is denominated as wages,

13 salary, commission, bonus, pay, allowances,

14 or otherwise (including severance pay, sick

15 pay, and incentive pay);

16 ‘‘(ii) periodic benefits (including a

17 periodic benefit as defined in section

18 228(h)(3)) or other payments—

19 ‘‘(I) under the insurance system

20 established by title II;

21 ‘‘(II) under any other system or

22 fund established by the United States

23 which provides for the payment of

24 pensions, retirement or retired pay,

25 annuities, dependents’ or survivors’
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•HR 1157 IH

1 benefits, or similar amounts payable

2 on account of personal services per3 formed by the individual or any other

4 individual;

5 ‘‘(III) as compensation for death

6 under any Federal program;

7 ‘‘(IV) under any Federal pro8 gram established to provide ‘black

9 lung’ benefits; or

10 ‘‘(V) by the Secretary of Veter11 ans Affairs as pension, or as com12 pensation for a service-connected dis13 ability or death (except any compensa14 tion paid by the Secretary to a mem15 ber of the Armed Forces who is in re16 ceipt of retired or retainer pay if the

17 member has waived a portion of the

18 retired pay of the member in order to

19 receive the compensation); and

20 ‘‘(iii) worker’s compensation benefits

21 paid under Federal or State law; but

22 ‘‘(B) do not include any payment—

23 ‘‘(i) by way of reimbursement or oth24 erwise, to defray expenses incurred by the
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•HR 1157 IH

1 individual in carrying out duties associated

2 with the employment of the individual; or

3 ‘‘(ii) as allowances for members of the

4 uniformed services payable pursuant to

5 chapter 7 of title 37, United States Code,

6 as prescribed by the Secretaries concerned

7 (defined by section 101(5) of such title) as

8 necessary for the efficient performance of

9 duty.

10 ‘‘(2) CERTAIN AMOUNTS EXCLUDED.—In deter11 mining the amount of any moneys due from, or pay12 able by, the United States to any individual, there

13 shall be excluded amounts which—

14 ‘‘(A) are owed by the individual to the

15 United States;

16 ‘‘(B) are required by law to be, and are,

17 deducted from the remuneration or other pay18 ment involved, including Federal employment

19 taxes, and fines and forfeitures ordered by

20 court-martial;

21 ‘‘(C) are properly withheld for Federal,

22 State, or local income tax purposes, if the with23 holding of the amounts is authorized or re24 quired by law and if amounts withheld are not

25 greater than would be the case if the individual
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•HR 1157 IH

1 claimed all dependents to which he was entitled

2 (the withholding of additional amounts pursu3 ant to section 3402(i) of the Internal Revenue

4 Code of 1986 may be permitted only when the

5 individual presents evidence of a tax obligation

6 which supports the additional withholding);

7 ‘‘(D) are deducted as health insurance pre8 miums;

9 ‘‘(E) are deducted as normal retirement

10 contributions (not including amounts deducted

11 for supplementary coverage); or

12 ‘‘(F) are deducted as normal life insurance

13 premiums from salary or other remuneration

14 for employment (not including amounts de15 ducted for supplementary coverage).

16 ‘‘(i) DEFINITIONS.—As used in this section:

17 ‘‘(1) UNITED STATES.—The term ‘United

18 States’ includes any department, agency, or instru19 mentality of the legislative, judicial, or executive

20 branch of the Federal Government, the United

21 States Postal Service, the Postal Rate Commission,

22 any Federal corporation created by an Act of Con23 gress that is wholly owned by the Federal Govern24 ment, and the governments of the territories and

25 possessions of the United States.
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•HR 1157 IH

1 ‘‘(2) CHILD SUPPORT.—The term ‘child sup2 port’, when used in reference to the legal obligations

3 of an individual to provide such support, means peri4 odic payments of funds for the support and mainte5 nance of a child or children with respect to which

6 the individual has such an obligation, and (subject

7 to and in accordance with State law) includes pay8 ments to provide for health care, education, recre9 ation, clothing, or to meet other specific needs of

10 such a child or children, and includes attorney’s

11 fees, interest, and court costs, when and to the ex12 tent that the same are expressly made recoverable as

13 such pursuant to a decree, order, or judgment issued

14 in accordance with applicable State law by a court

15 of competent jurisdiction.

16 ‘‘(3) ALIMONY.—The term ‘alimony’, when used

17 in reference to the legal obligations of an individual

18 to provide the same, means periodic payments of

19 funds for the support and maintenance of the spouse

20 (or former spouse) of the individual, and (subject to

21 and in accordance with State law) includes separate

22 maintenance, alimony pendente lite, maintenance,

23 and spousal support, and includes attorney’s fees,

24 interest, and court costs when and to the extent that

25 the same are expressly made recoverable as such
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1 pursuant to a decree, order, or judgment issued in

2 accordance with applicable State law by a court of

3 competent jurisdiction. Such term does not include

4 any payment or transfer of property or its value by

5 an individual to the spouse or a former spouse of the

6 individual in compliance with any community prop7 erty settlement, equitable distribution of property, or

8 other division of property between spouses or former

9 spouses.

10 ‘‘(4) PRIVATE PERSON.—The term ‘private per11 son’ means a person who does not have sovereign or

12 other special immunity or privilege which causes the

13 person not to be subject to legal process.

14 ‘‘(5) LEGAL PROCESS.—The term ‘legal proc15 ess’ means any writ, order, summons, or other simi16 lar process in the nature of garnishment—

17 ‘‘(A) which is issued by—

18 ‘‘(i) a court of competent jurisdiction

19 in any State, territory, or possession of the

20 United States;

21 ‘‘(ii) a court of competent jurisdiction

22 in any foreign country with which the

23 United States has entered into an agree24 ment which requires the United States to

25 honor the process; or
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1 ‘‘(iii) an authorized official pursuant

2 to an order of such a court of competent

3 jurisdiction or pursuant to State or local

4 law; and

5 ‘‘(B) which is directed to, and the purpose

6 of which is to compel, a governmental entity

7 which holds moneys which are otherwise pay8 able to an individual to make a payment from

9 the moneys to another party in order to satisfy

10 a legal obligation of the individual to provide

11 child support or make alimony payments.’’.

12 (b) CONFORMING AMENDMENTS.—

13 (1) TO PART D OF TITLE IV.—Sections 461 and

14 462 (42 U.S.C. 661 and 662) are repealed.

15 (2) TO TITLE 5, UNITED STATES CODE.—Sec16 tion 5520a of title 5, United States Code, is amend17 ed, in subsections (h)(2) and (i), by striking ‘‘sec18 tions 459, 461, and 462 of the Social Security Act

19 (42 U.S.C. 659, 661, and 662)’’ and inserting ‘‘sec20 tion 459 of the Social Security Act (42 U.S.C.

21 659)’’.

22 (c) MILITARY RETIRED AND RETAINER PAY.—

23 (1) DEFINITION OF COURT.—Section

24 1408(a)(1) of title 10, United States Code, is

25 amended—
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1 (A) by striking ‘‘and’’ at the end of sub2 paragraph (B);

3 (B) by striking the period at the end of

4 subparagraph (C) and inserting ‘‘; and’’; and

5 (C) by adding after subparagraph (C) the

6 following new paragraph:

7 ‘‘(D) any administrative or judicial tribu8 nal of a State competent to enter orders for

9 support or maintenance (including a State

10 agency administering a program under a State

11 plan approved under part D of title IV of the

12 Social Security Act), and, for purposes of this

13 subparagraph, the term ‘State’ includes the

14 District of Columbia, the Commonwealth of

15 Puerto Rico, the Virgin Islands, Guam, and

16 American Samoa.’’.

17 (2) DEFINITION OF COURT ORDER.—Section

18 1408(a)(2) of such title is amended by inserting ‘‘or

19 a court order for the payment of child support not

20 included in or accompanied by such a decree or set21 tlement,’’ before ‘‘which—’’.

22 (3) PUBLIC PAYEE.—Section 1408(d) of such

23 title is amended—

24 (A) in the heading, by inserting ‘‘(OR FOR

25 BENEFIT OF)’’ before ‘‘SPOUSE OR’’; and
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1 (B) in paragraph (1), in the first sentence,

2 by inserting ‘‘(or for the benefit of such spouse

3 or former spouse to a State disbursement unit

4 established pursuant to section 454B of the So5 cial Security Act or other public payee des6 ignated by a State, in accordance with part D

7 of title IV of the Social Security Act, as di8 rected by court order, or as otherwise directed

9 in accordance with such part D)’’ before ‘‘in an

10 amount sufficient’’.

11 (4) RELATIONSHIP TO PART D OF TITLE IV.—

12 Section 1408 of such title is amended by adding at

13 the end the following:

14 ‘‘(j) RELATIONSHIP TO OTHER LAWS.—In any case

15 involving an order providing for payment of child support

16 (as defined in section 459(i)(2) of the Social Security Act)

17 by a member who has never been married to the other

18 parent of the child, the provisions of this section shall not

19 apply, and the case shall be subject to the provisions of

20 section 459 of such Act.’’.

21 (d) EFFECTIVE DATE.—The amendments made by

22 this section shall become effective 6 months after the date

23 of the enactment of this Act.
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1 SEC. 563. ENFORCEMENT OF CHILD SUPPORT OBLIGA2 TIONS OF MEMBERS OF THE ARMED FORCES.

3 (a) AVAILABILITY OF LOCATOR INFORMATION.—

4 (1) MAINTENANCE OF ADDRESS INFORMA5 TION.—The Secretary of Defense shall establish a

6 centralized personnel locator service that includes

7 the address of each member of the Armed Forces

8 under the jurisdiction of the Secretary. Upon re9 quest of the Secretary of Transportation, addresses

10 for members of the Coast Guard shall be included in

11 the centralized personnel locator service.

12 (2) TYPE OF ADDRESS.—

13 (A) RESIDENTIAL ADDRESS.—Except as

14 provided in subparagraph (B), the address for

15 a member of the Armed Forces shown in the lo16 cator service shall be the residential address of

17 that member.

18 (B) DUTY ADDRESS.—The address for a

19 member of the Armed Forces shown in the loca20 tor service shall be the duty address of that

21 member in the case of a member—

22 (i) who is permanently assigned over23 seas, to a vessel, or to a routinely

24 deployable unit; or

25 (ii) with respect to whom the Sec26 retary concerned makes a determination
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1 that the member’s residential address

2 should not be disclosed due to national se3 curity or safety concerns.

4 (3) UPDATING OF LOCATOR INFORMATION.—

5 Within 30 days after a member listed in the locator

6 service establishes a new residential address (or a

7 new duty address, in the case of a member covered

8 by paragraph (2)(B)), the Secretary concerned shall

9 update the locator service to indicate the new ad10 dress of the member.

11 (4) AVAILABILITY OF INFORMATION.—The Sec12 retary of Defense shall make information regarding

13 the address of a member of the Armed Forces listed

14 in the locator service available, on request, to the

15 Federal Parent Locator Service established under

16 section 453 of the Social Security Act.

17 (b) FACILITATING GRANTING OF LEAVE FOR AT18 TENDANCE AT HEARINGS.—

19 (1) REGULATIONS.—The Secretary of each

20 military department, and the Secretary of Transpor21 tation with respect to the Coast Guard when it is

22 not operating as a service in the Navy, shall pre23 scribe regulations to facilitate the granting of leave

24 to a member of the Armed Forces under the juris25 diction of that Secretary in a case in which—
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1 (A) the leave is needed for the member to

2 attend a hearing described in paragraph (2);

3 (B) the member is not serving in or with

4 a unit deployed in a contingency operation (as

5 defined in section 101 of title 10, United States

6 Code); and

7 (C) the exigencies of military service (as

8 determined by the Secretary concerned) do not

9 otherwise require that such leave not be

10 granted.

11 (2) COVERED HEARINGS.—Paragraph (1) ap12 plies to a hearing that is conducted by a court or

13 pursuant to an administrative process established

14 under State law, in connection with a civil action—

15 (A) to determine whether a member of the

16 Armed Forces is a natural parent of a child; or

17 (B) to determine an obligation of a mem18 ber of the Armed Forces to provide child sup19 port.

20 (3) DEFINITIONS.—For purposes of this sub21 section:

22 (A) The term ‘‘court’’ has the meaning

23 given that term in section 1408(a) of title 10,

24 United States Code.
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1 (B) The term ‘‘child support’’ has the

2 meaning given such term in section 459(i) of

3 the Social Security Act (42 U.S.C. 659(i)).

4 (c) PAYMENT OF MILITARY RETIRED PAY IN COM5 PLIANCE WITH CHILD SUPPORT ORDERS.—

6 (1) DATE OF CERTIFICATION OF COURT

7 ORDER.—Section 1408 of title 10, United States

8 Code, is amended—

9 (A) by redesignating subsection (i) as sub10 section (j); and

11 (B) by inserting after subsection (h) the

12 following:

13 ‘‘(i) CERTIFICATION DATE.—It is not necessary that

14 the date of a certification of the authenticity or complete15 ness of a copy of a court order or an order of an adminis16 trative process established under State law for child sup17 port received by the Secretary concerned for the purposes

18 of this section be recent in relation to the date of receipt

19 by the Secretary.’’.

20 (2) PAYMENTS CONSISTENT WITH ASSIGN21 MENTS OF RIGHTS TO STATES.—Section 1408(d)(1)

22 of such title is amended by inserting after the 1st

23 sentence the following: ‘‘In the case of a spouse or

24 former spouse who, pursuant to section 405(a)(8) of

25 the Social Security Act (42 U.S.C. 605(a)(8)), as-
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1 signs to a State the rights of the spouse or former

2 spouse to receive support, the Secretary concerned

3 may make the child support payments referred to in

4 the preceding sentence to that State in amounts con5 sistent with that assignment of rights.’’.

6 (3) ARREARAGES OWED BY MEMBERS OF THE

7 UNIFORMED SERVICES.—Section 1408(d) of such

8 title is amended by adding at the end the following:

9 ‘‘(6) In the case of a court order or an order of an

10 administrative process established under State law for

11 which effective service is made on the Secretary concerned

12 on or after the date of the enactment of this paragraph

13 and which provides for payments from the disposable re14 tired pay of a member to satisfy the amount of child sup15 port set forth in the order, the authority provided in para16 graph (1) to make payments from the disposable retired

17 pay of a member to satisfy the amount of child support

18 set forth in a court order or an order of an administrative

19 process established under State law shall apply to payment

20 of any amount of child support arrearages set forth in that

21 order as well as to amounts of child support that currently

22 become due.’’.

23 (4) PAYROLL DEDUCTIONS.—The Secretary of

24 Defense shall begin payroll deductions within 30

25 days after receiving notice of withholding, or for the
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1 first pay period that begins after such 30-day pe2 riod.

3 SEC. 564. VOIDING OF FRAUDULENT TRANSFERS.

4 Section 466 (42 U.S.C. 666), as amended by section

5 521 of this Act, is amended by adding at the end the fol6 lowing:

7 ‘‘(f) LAWS VOIDING FRAUDULENT TRANSFERS.—In

8 order to satisfy section 454(20)(A), each State must have

9 in effect—

10 ‘‘(1)(A) the Uniform Fraudulent Conveyance

11 Act of 1981;

12 ‘‘(B) the Uniform Fraudulent Transfer Act of

13 1984; or

14 ‘‘(C) another law, specifying indicia of fraud

15 which create a prima facie case that a debtor trans16 ferred income or property to avoid payment to a

17 child support creditor, which the Secretary finds af18 fords comparable rights to child support creditors;

19 and

20 ‘‘(2) procedures under which, in any case in

21 which the State knows of a transfer by a child sup22 port debtor with respect to which such a prima facie

23 case is established, the State must—

24 ‘‘(A) seek to void such transfer; or
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1 ‘‘(B) obtain a settlement in the best inter2 ests of the child support creditor.’’.

3 SEC. 565. SENSE OF THE CONGRESS THAT STATES SHOULD

4 SUSPEND DRIVERS’, BUSINESS, AND OCCUPA5 TIONAL LICENSES OF PERSONS OWING PAST6 DUE CHILD SUPPORT.

7 It is the sense of the Congress that each State should

8 suspend any driver’s license, business license, or occupa9 tional license issued to any person who owes past-due child

10 support.

11 SEC. 566. WORK REQUIREMENT FOR PERSONS OWING

12 PAST-DUE CHILD SUPPORT.

13 Section 466(a) of the Social Security Act (42 U.S.C.

14 666(a)), as amended by sections 501(a), 515, 517(a), and

15 523 of this Act, is amended by adding at the end the fol16 lowing:

17 ‘‘(16) PROCEDURES TO ENSURE THAT PERSONS

18 OWING PAST-DUE SUPPORT WORK OR HAVE A PLAN

19 FOR PAYMENT OF SUCH SUPPORT.—

20 ‘‘(A) Procedures requiring the State, in

21 any case in which an individual owes past-due

22 support with respect to a child receiving assist23 ance under a State program funded under part

24 A, to seek a court order that requires the indi25 vidual to—
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1 ‘‘(i) pay such support in accordance

2 with a plan approved by the court; or

3 ‘‘(ii) if the individual is subject to

4 such a plan and is not incapacitated, par5 ticipate in such work activities (as defined

6 in section 404(b)(1)) as the court deems

7 appropriate.

8 ‘‘(B) As used in subparagraph (A), the

9 term ‘past-due support’ means the amount of a

10 delinquency, determined under a court order, or

11 an order of an administrative process estab12 lished under State law, for support and mainte13 nance of a child, or of a child and the parent

14 with whom the child is living.’’.

15 SEC. 567. DEFINITION OF SUPPORT ORDER.

16 Section 453 (42 U.S.C. 653) as amended by sections

17 516 and 546(b) of this Act, is amended by adding at the

18 end the following:

19 ‘‘(o) SUPPORT ORDER DEFINED.—As used in this

20 part, the term ‘‘support order’’ means an order issued by

21 a court or an administrative process established under

22 State law that requires support and maintenance of a child

23 or of a child and the parent with whom the child is liv24 ing.’’.
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1 Subtitle H—Medical Support

2 SEC. 571. TECHNICAL CORRECTION TO ERISA DEFINITION

3 OF MEDICAL CHILD SUPPORT ORDER.

4 (a) IN GENERAL.—Section 609(a)(2)(B) of the Em5 ployee Retirement Income Security Act of 1974 (29

6 U.S.C. 1169(a)(2)(B)) is amended—

7 (1) by striking ‘‘issued by a court of competent

8 jurisdiction’’;

9 (2) by striking the period at the end of clause

10 (ii) and inserting a comma; and

11 (3) by adding, after and below clause (ii), the

12 following:

13 ‘‘if such judgment, decree, or order (I) is issued

14 by a court of competent jurisdiction or (II) is

15 issued by an administrative adjudicator and has

16 the force and effect of law under applicable

17 State law.’’.

18 (b) EFFECTIVE DATE.—

19 (1) IN GENERAL.—The amendments made by

20 this section shall take effect on the date of the en21 actment of this Act.

22 (2) PLAN AMENDMENTS NOT REQUIRED UNTIL

23 JANUARY 1, 1996.—Any amendment to a plan re24 quired to be made by an amendment made by this

25 section shall not be required to be made before the
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1 first plan year beginning on or after January 1,

2 1996, if—

3 (A) during the period after the date before

4 the date of the enactment of this Act and be5 fore such first plan year, the plan is operated

6 in accordance with the requirements of the

7 amendments made by this section, and

8 (B) such plan amendment applies retro9 actively to the period after the date before the

10 date of the enactment of this Act and before

11 such first plan year.

12 A plan shall not be treated as failing to be operated

13 in accordance with the provisions of the plan merely

14 because it operates in accordance with this para15 graph.

16 Subtitle I—Enhancing Responsibil17 ity and Opportunity for

18 Nonresidential Parents

19 SEC. 581. GRANTS TO STATES FOR ACCESS AND VISITATION

20 PROGRAMS.

21 (a) IN GENERAL.—Part D of title IV (42 U.S.C.

22 651–669) is amended by adding at the end the following:
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1 ‘‘SEC. 469A. GRANTS TO STATES FOR ACCESS AND VISITA2 TION PROGRAMS.

3 (a) IN GENERAL.—The Administration for Children

4 and Families shall make grants under this section to en5 able States to establish and administer programs to sup6 port and facilitate absent parents’ access to and visitation

7 of their children, by means of activities including medi8 ation (both voluntary and mandatory), counseling, edu9 cation, development of parenting plans, visitation enforce10 ment (including monitoring, supervision and neutral drop11 off and pickup), and development of guidelines for visita12 tion and alternative custody arrangements.

13 ‘‘(b) AMOUNT OF GRANT.—The amount of the grant

14 to be made to a State under this section for a fiscal year

15 shall be an amount equal to the lesser of—

16 ‘‘(1) 90 percent of State expenditures during

17 the fiscal year for activities described in subsection

18 (a); or

19 ‘‘(2) the allotment of the State under sub20 section (c) for the fiscal year.

21 ‘‘(c) ALLOTMENTS TO STATES.—

22 ‘‘(1) IN GENERAL.—The allotment of a State

23 for a fiscal year is the amount that bears the same

24 ratio to the amount appropriated pursuant to sub25 section (f) for the fiscal year as the number of chil26 dren in the State living with only 1 biological parent
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1 bears to the total number of such children in all

2 States.

3 ‘‘(2) MINIMUM ALLOTMENT.—The Administra4 tion for Children and Families shall adjust allot5 ments to States under paragraph (1) as necessary to

6 ensure that no State is allotted less than—

7 ‘‘(A) $50,000 for fiscal year 1996 or 1997;

8 or

9 ‘‘(B) $100,000 for any succeeding fiscal

10 year.

11 ‘‘(d) NO SUPPLANTATION OF STATE EXPENDITURES

12 FOR SIMILAR ACTIVITIES.—A State to which a grant is

13 made under this section may not use the grant to supplant

14 expenditures by the State for activities specified in sub15 section (a), but shall use the grant to supplement such

16 expenditures at a level at least equal to the level of such

17 expenditures for fiscal year 1995.

18 ‘‘(e) STATE ADMINISTRATION.— Each State to which

19 a grant is made under this section—

20 ‘‘(1) may administer State programs funded

21 with the grant, directly or through grants to or con22 tracts with courts, local public agencies, or non-prof23 it private entities;

24 ‘‘(2) shall not be required to operate such pro25 grams on a statewide basis; and
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1 ‘‘(3) shall monitor, evaluate, and report on such

2 programs in accordance with regulations prescribed

3 by the Secretary.’’.

4 Subtitle J—Effect of Enactment

5 SEC. 591. EFFECTIVE DATES.

6 (a) IN GENERAL.—Except as otherwise specifically

7 provided (but subject to subsections (b) and (c))—

8 (1) provisions of this title requiring enactment

9 or amendment of State laws under section 466 of

10 the Social Security Act, or revision of State plans

11 under section 454 of such Act, shall be effective with

12 respect to periods beginning on and after October 1,

13 1996; and

14 (2) all other provisions of this title shall become

15 effective upon enactment.

16 (b) GRACE PERIOD FOR STATE LAW CHANGES.—The

17 provisions of this title shall become effective with respect

18 to a State on the later of—

19 (1) the date specified in this title, or

20 (2) the effective date of laws enacted by the leg21 islature of such State implementing such provisions,

22 but in no event later than the first day of the first cal23 endar quarter beginning after the close of the first regular

24 session of the State legislature that begins after the date

25 of enactment of this Act. For purposes of the previous
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1 sentence, in the case of a State that has a 2-year legisla2 tive session, each year of such session shall be deemed to

3 be a separate regular session of the State legislature.

4 (c) GRACE PERIOD FOR STATE CONSTITUTIONAL

5 AMENDMENT.—A State shall not be found out of compli6 ance with any requirement enacted by this title if the State

7 is unable to so comply without amending the State con8 stitution until the earlier of—

9 (1) 1 year after the effective date of the nec10 essary State constitutional amendment; or

11 (2) 5 years after the date of the enactment of

12 this title.

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