```

[Congressional Bills 105th Congress]
[From the U.S. Government Publishing Office]
[S. 1809 Introduced in Senate (IS)]

105th CONGRESS
  2d Session
                                S. 1809

 To improve the performance outcomes of the child support enforcement 
program in order to increase the financial stability and well-being of 
children and families, and to require the Secretary of Health and Human 
   Services and the Secretary of Labor to jointly develop a National 
 Standardized Medical Support Notice and establish a working group to 
    eliminate existing barriers to the effective establishment and 
                 enforcement of medical child support.

_______________________________________________________________________

                   IN THE SENATE OF THE UNITED STATES

                             March 23, 1998

 Mr. Rockefeller  (for himself, Ms. Snowe, Mr. Kerry, Mr. Kennedy, Mr. 
  Dodd, Mr. Jeffords, and Mr. Chafee) introduced the following bill; 
     which was read twice and referred to the Committee on Finance

_______________________________________________________________________

                                 A BILL

 
 To improve the performance outcomes of the child support enforcement 
program in order to increase the financial stability and well-being of 
children and families, and to require the Secretary of Health and Human 
   Services and the Secretary of Labor to jointly develop a National 
 Standardized Medical Support Notice and establish a working group to 
    eliminate existing barriers to the effective establishment and 
                 enforcement of medical child support.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Child Support Performance 
Improvement Act of 1998''.

SEC. 2. INCENTIVE PAYMENTS TO STATES.

    (a) In General.--Part D of title IV of the Social Security Act (42 
U.S.C. 651-669) is amended by inserting after section 458 the 
following:

``SEC. 458A. INCENTIVE PAYMENTS TO STATES.

    ``(a) In General.--In addition to any other payment under this 
part, the Secretary shall, subject to subsection (f), make an incentive 
payment to each State for each fiscal year in an amount determined 
under subsection (b).
    ``(b) Amount of Incentive Payment.--
            ``(1) In general.--The incentive payment for a State for a 
        fiscal year is equal to the incentive payment pool for the 
        fiscal year, multiplied by the State incentive payment share 
        for the fiscal year.
            ``(2) Incentive payment pool.--
                    ``(A) In general.--In paragraph (1), the term 
                `incentive payment pool' means--
                            ``(i) $422,000,000 for fiscal year 2000;
                            ``(ii) $429,000,000 for fiscal year 2001;
                            ``(iii) $450,000,000 for fiscal year 2002;
                            ``(iv) $461,000,000 for fiscal year 2003;
                            ``(v) $454,000,000 for fiscal year 2004;
                            ``(vi) $446,000,000 for fiscal year 2005;
                            ``(vii) $458,000,000 for fiscal year 2006;
                            ``(viii) $471,000,000 for fiscal year 2007;
                            ``(ix) $483,000,000 for fiscal year 2008; 
                        and
                            ``(x) for any succeeding fiscal year, the 
                        amount of the incentive payment pool for the 
                        fiscal year that precedes such succeeding 
                        fiscal year, multiplied by the percentage (if 
                        any) by which the CPI for such preceding fiscal 
                        year exceeds the CPI for the 2nd preceding 
                        fiscal year.
                    ``(B) CPI.--For purposes of subparagraph (A), the 
                CPI for a fiscal year is the average of the Consumer 
                Price Index for the 12-month period ending on September 
                30 of the fiscal year. As used in the preceding 
                sentence, the term `Consumer Price Index' means the 
                last Consumer Price Index for all-urban consumers 
                published by the Department of Labor.
            ``(3) State incentive payment share.--In paragraph (1), the 
        term `State incentive payment share' means, with respect to a 
        fiscal year--
                    ``(A) the incentive base amount for the State for 
                the fiscal year; divided by
                    ``(B) the sum of the incentive base amounts for all 
                of the States for the fiscal year.
            ``(4) Incentive base amount.--In paragraph (3), the term 
        `incentive base amount' means, with respect to a State and a 
        fiscal year, the sum of the applicable percentages (determined 
        in accordance with paragraph (6)) multiplied by the 
        corresponding maximum incentive base amounts for the State for 
        the fiscal year, with respect to each of the following measures 
        of State performance for the fiscal year:
                    ``(A) The paternity establishment performance 
                level.
                    ``(B) The support order performance level.
                    ``(C) The current payment performance level.
                    ``(D) The arrearage payment performance level.
                    ``(E) The cost-effectiveness performance level.
            ``(5) Maximum incentive base amount.--
                    ``(A) In general.--For purposes of paragraph (4), 
                the maximum incentive base amount for a State for a 
                fiscal year is--
                            ``(i) with respect to the performance 
                        measures described in subparagraphs (A), (B), 
                        and (C) of paragraph (4), 100 percent of the 
                        State collections base for the fiscal year; and
                            ``(ii) with respect to the performance 
                        measures described in subparagraphs (D) and (E) 
                        of paragraph (4), 75 percent of the State 
                        collections base for the fiscal year.
                    ``(B) Data required to be complete and reliable.--
                Notwithstanding subparagraph (A), the maximum incentive 
                base amount for a State for a fiscal year with respect 
                to a performance measure described in paragraph (4) is 
                zero, unless the Secretary determines, on the basis of 
                an audit performed under section 452(a)(4)(C)(i), that 
                the data which the State submitted pursuant to section 
                454(15)(B) for the fiscal year and which is used to 
                determine the performance level involved is complete 
                and reliable.
                    ``(C) State collections base.--For purposes of 
                subparagraph (A), the State collections base for a 
                fiscal year is equal to the sum of--
                            ``(i) 2 times the sum of--
                                    ``(I) the total amount of support 
                                collected during the fiscal year under 
                                the State plan approved under this part 
                                in cases in which the support 
                                obligation involved is required to be 
                                assigned to the State pursuant to part 
                                A or E of this title or title XIX; and
                                    ``(II) the total amount of support 
                                collected during the fiscal year under 
                                the State plan approved under this part 
                                in cases in which the support 
                                obligation involved was so assigned 
                                but, at the time of collection, is not 
                                required to be so assigned; and
                            ``(ii) the total amount of support 
                        collected during the fiscal year under the 
                        State plan approved under this part in all 
                        other cases.
            ``(6) Determination of applicable percentages based on 
        performance levels.--
                    ``(A) Paternity establishment.--
                            ``(i) Determination of paternity 
                        establishment performance level.--The paternity 
                        establishment performance level for a State for 
                        a fiscal year is, at the option of the State, 
                        the IV-D paternity establishment percentage 
                        determined under section 452(g)(2)(A) or the 
                        statewide paternity establishment percentage 
                        determined under section 452(g)(2)(B).
                            ``(ii) Determination of applicable 
                        percentage.--The applicable percentage with 
                        respect to a State's paternity establishment 
                        performance level is as follows:

      

------------------------------------------------------------------------
``If the paternity establishment performance level is:                  
-------------------------------------------------------  The applicable 
            At least:                 But less than:     percentage is: 
------------------------------------------------------------------------
80%..............................  ...................         100      
79%..............................  80%................         98       
78%..............................  79%................         96       
77%..............................  78%................         94       
76%..............................  77%................         92       
75%..............................  76%................         90       
74%..............................  75%................         88       
73%..............................  74%................         86       
72%..............................  73%................         84       
71%..............................  72%................         82       
70%..............................  71%................         80       
69%..............................  70%................         79       
68%..............................  69%................         78       
67%..............................  68%................         77       
66%..............................  67%................         76       
65%..............................  66%................         75       
64%..............................  65%................         74       
63%..............................  64%................         73       
62%..............................  63%................         72       
61%..............................  62%................         71       
60%..............................  61%................         70       
59%..............................  60%................         69       
58%..............................  59%................         68       
57%..............................  58%................         67       
56%..............................  57%................         66       
55%..............................  56%................         65       
54%..............................  55%................         64       
53%..............................  54%................         63       
52%..............................  53%................         62       
51%..............................  52%................         61       
50%..............................  51%................         60       
0%...............................  50%................         0.       
------------------------------------------------------------------------

                        Notwithstanding the preceding sentence, if the 
                        paternity establishment performance level of a 
                        State for a fiscal year is less than 50 percent 
                        but exceeds by at least 10 percentage points 
                        the paternity establishment performance level 
                        of the State for the immediately preceding 
                        fiscal year, then the applicable percentage 
                        with respect to the State's paternity 
                        establishment performance level is 50 percent.
                    ``(B) Establishment of child support orders.--
                            ``(i) Determination of support order 
                        performance level.--The support order 
                        performance level for a State for a fiscal year 
                        is the percentage of the total number of cases 
                        under the State plan approved under this part 
                        in which there is a support order during the 
                        fiscal year.
                            ``(ii) Determination of applicable 
                        percentage.--The applicable percentage with 
                        respect to a State's support order performance 
                        level is as follows:

      

------------------------------------------------------------------------
     ``If the support order performance level is:                       
-------------------------------------------------------  The applicable 
            At least:                 But less than:     percentage is: 
------------------------------------------------------------------------
80%..............................  ...................         100      
79%..............................  80%................         98       
78%..............................  79%................         96       
77%..............................  78%................         94       
76%..............................  77%................         92       
75%..............................  76%................         90       
74%..............................  75%................         88       
73%..............................  74%................         86       
72%..............................  73%................         84       
71%..............................  72%................         82       
70%..............................  71%................         80       
69%..............................  70%................         79       
68%..............................  69%................         78       
67%..............................  68%................         77       
66%..............................  67%................         76       
65%..............................  66%................         75       
64%..............................  65%................         74       
63%..............................  64%................         73       
62%..............................  63%................         72       
61%..............................  62%................         71       
60%..............................  61%................         70       
59%..............................  60%................         69       
58%..............................  59%................         68       
57%..............................  58%................         67       
56%..............................  57%................         66       
55%..............................  56%................         65       
54%..............................  55%................         64       
53%..............................  54%................         63       
52%..............................  53%................         62       
51%..............................  52%................         61       
50%..............................  51%................         60       
0%...............................  50%................         0.       
------------------------------------------------------------------------

                        Notwithstanding the preceding sentence, if the 
                        support order performance level of a State for 
                        a fiscal year is less than 50 percent but 
                        exceeds by at least 5 percentage points the 
                        support order performance level of the State 
                        for the immediately preceding fiscal year, then 
                        the applicable percentage with respect to the 
                        State's support order performance level is 50 
                        percent.
                    ``(C) Collections on current child support due.--
                            ``(i) Determination of current payment 
                        performance level.--The current payment 
                        performance level for a State for a fiscal year 
                        is equal to the total amount of current support 
                        collected during the fiscal year under the 
                        State plan approved under this part divided by 
                        the total amount of current support owed during 
                        the fiscal year in all cases under the State 
                        plan, expressed as a percentage.
                            ``(ii) Determination of applicable 
                        percentage.--The applicable percentage with 
                        respect to a State's current payment 
                        performance level is as follows:

      

------------------------------------------------------------------------
    ``If the current payment performance level is:                      
-------------------------------------------------------  The applicable 
            At least:                 But less than:     percentage is: 
------------------------------------------------------------------------
80%..............................  ...................         100      
79%..............................  80%................         98       
78%..............................  79%................         96       
77%..............................  78%................         94       
76%..............................  77%................         92       
75%..............................  76%................         90       
74%..............................  75%................         88       
73%..............................  74%................         86       
72%..............................  73%................         84       
71%..............................  72%................         82       
70%..............................  71%................         80       
69%..............................  70%................         79       
68%..............................  69%................         78       
67%..............................  68%................         77       
66%..............................  67%................         76       
65%..............................  66%................         75       
64%..............................  65%................         74       
63%..............................  64%................         73       
62%..............................  63%................         72       
61%..............................  62%................         71       
60%..............................  61%................         70       
59%..............................  60%................         69       
58%..............................  59%................         68       
57%..............................  58%................         67       
56%..............................  57%................         66       
55%..............................  56%................         65       
54%..............................  55%................         64       
53%..............................  54%................         63       
52%..............................  53%................         62       
51%..............................  52%................         61       
50%..............................  51%................         60       
49%..............................  50%................         59       
48%..............................  49%................         58       
47%..............................  48%................         57       
46%..............................  47%................         56       
45%..............................  46%................         55       
44%..............................  45%................         54       
43%..............................  44%................         53       
42%..............................  43%................         52       
41%..............................  42%................         51       
40%..............................  41%................         50       
0%...............................  40%................         0.       
------------------------------------------------------------------------

                        Notwithstanding the preceding sentence, if the 
                        current payment performance level of a State 
                        for a fiscal year is less than 40 percent but 
                        exceeds by at least 5 percentage points the 
                        current payment performance level of the State 
                        for the immediately preceding fiscal year, then 
                        the applicable percentage with respect to the 
                        State's current payment performance level is 50 
                        percent.
                    ``(D) Collections on child support arrearages.--
                            ``(i) Determination of arrearage payment 
                        performance level.--The arrearage payment 
                        performance level for a State for a fiscal year 
                        is equal to the total number of cases under the 
                        State plan approved under this part in which 
                        payments of past-due child support were 
                        received during the fiscal year and part or all 
                        of the payments were distributed to the family 
                        to whom the past-due child support was owed 
                        (or, if all past-due child support owed to the 
                        family was, at the time of receipt, subject to 
                        an assignment to the State, part or all of the 
                        payments were retained by the State) divided by 
the total number of cases under the State plan in which there is past-
due child support, expressed as a percentage.
                            ``(ii) Determination of applicable 
                        percentage.--The applicable percentage with 
                        respect to a State's arrearage payment 
                        performance level is as follows:

      

------------------------------------------------------------------------
   ``If the arrearage payment performance level is:                     
-------------------------------------------------------  The applicable 
            At least:                 But less than:     percentage is: 
------------------------------------------------------------------------
80%..............................  ...................         100      
79%..............................  80%................         98       
78%..............................  79%................         96       
77%..............................  78%................         94       
76%..............................  77%................         92       
75%..............................  76%................         90       
74%..............................  75%................         88       
73%..............................  74%................         86       
72%..............................  73%................         84       
71%..............................  72%................         82       
70%..............................  71%................         80       
69%..............................  70%................         79       
68%..............................  69%................         78       
67%..............................  68%................         77       
66%..............................  67%................         76       
65%..............................  66%................         75       
64%..............................  65%................         74       
63%..............................  64%................         73       
62%..............................  63%................         72       
61%..............................  62%................         71       
60%..............................  61%................         70       
59%..............................  60%................         69       
58%..............................  59%................         68       
57%..............................  58%................         67       
56%..............................  57%................         66       
55%..............................  56%................         65       
54%..............................  55%................         64       
53%..............................  54%................         63       
52%..............................  53%................         62       
51%..............................  52%................         61       
50%..............................  51%................         60       
49%..............................  50%................         59       
48%..............................  49%................         58       
47%..............................  48%................         57       
46%..............................  47%................         56       
45%..............................  46%................         55       
44%..............................  45%................         54       
43%..............................  44%................         53       
42%..............................  43%................         52       
41%..............................  42%................         51       
40%..............................  41%................         50       
0%...............................  40%................         0.       
------------------------------------------------------------------------

                        Notwithstanding the preceding sentence, if the 
                        arrearage payment performance level of a State 
                        for a fiscal year is less than 40 percent but 
                        exceeds by at least 5 percentage points the 
                        arrearage payment performance level of the 
                        State for the immediately preceding fiscal 
                        year, then the applicable percentage with 
                        respect to the State's arrearage payment 
                        performance level is 50 percent.
                    ``(E) Cost-effectiveness.--
                            ``(i) Determination of cost-effectiveness 
                        performance level.--The cost-effectiveness 
                        performance level for a State for a fiscal year 
                        is equal to the total amount collected during 
                        the fiscal year under the State plan approved 
                        under this part divided by the total amount 
                        expended during the fiscal year under the State 
                        plan, expressed as a ratio.
                            ``(ii) Determination of applicable 
                        percentage.--The applicable percentage with 
                        respect to a State's cost-effectiveness 
                        performance level is as follows:
      

------------------------------------------------------------------------
   ``If the cost-effectiveness performance level is:                    
-------------------------------------------------------  The applicable 
            At least:                 But less than:     percentage is: 
------------------------------------------------------------------------
5.00.............................  ...................         100      
4.50.............................  4.99...............         90       
4.00.............................  4.50...............         80       
3.50.............................  4.00...............         70       
3.00.............................  3.50...............         60       
2.50.............................  3.00...............         50       
2.00.............................  2.50...............         40       
0.00.............................  2.00...............         0.       
------------------------------------------------------------------------

                    ``(F) Medical support.--Subject to section 
                2(d)(2)(C) of the Child Support Performance Improvement 
                Act of 1998, the medical support performance level for 
                a State for a fiscal year, and the applicable 
                percentage for a State with respect to such level, 
                shall be determined in accordance with regulations 
                implementing the recommendations required to be 
                included in the report submitted under section 
                2(d)(2)(B) of such Act.
    ``(c) Treatment of Interstate Collections.--In computing incentive 
payments under this section, support which is collected by a State at 
the request of another State shall be treated as having been collected 
in full by both States, and any amounts expended by a State in carrying 
out a special project assisted under section 455(e) shall be excluded.
    ``(d) Administrative Provisions.--The amounts of the incentive 
payments to be made to the States under this section for a fiscal year 
shall be estimated by the Secretary at or before the beginning of the 
fiscal year on the basis of the best information available, as obtained 
in accordance with section 452(a)(12). The Secretary shall make the 
payments for the fiscal year, on a quarterly basis (with each quarterly 
payment being made not later than the beginning of the quarter 
involved), in the amounts so estimated, reduced, or increased to the 
extent of any overpayments or underpayments which the Secretary 
determines were made under this section to the States involved for 
prior periods and with respect to which adjustment has not already been 
made under this subsection. Upon the making of any estimate by the 
Secretary under the preceding sentence, any appropriations available 
for payments under this section are deemed obligated.
    ``(e) Regulations.--
            ``(1) In general.--The Secretary shall prescribe such 
        regulations as may be necessary governing the calculation of 
        incentive payments under this section, including directions for 
excluding from the calculations certain closed cases and cases over 
which the States do not have jurisdiction, and regulations excluding 
from the calculations of the current payment performance level and the 
arrearage payment performance level any case in which the State used 
State funds to make such payments for the primary purpose of increasing 
the State's performance levels in such areas.
            ``(2) Regulations implementing the medical support 
        performance level.--Subject to section 2(d)(2)(C) of the Child 
        Support Performance Improvement Act of 1998, the Secretary 
        shall prescribe regulations implementing the recommendations 
        required to be included in the report submitted under section 
        2(d)(2)(B) of such Act. To the extent necessary to ensure that 
        the implementation of such recommendations does not result in 
        total Federal expenditures under this section in excess of the 
        amount of such expenditures in the absence of such 
        implementation, such regulations may increase or decrease the 
        percentages specified in clauses (i) and (ii) of subsection 
        (b)(5)(A).
    ``(f) Reinvestment.--
            ``(1) In general.--Until such time as the State qualifies 
        for the maximum incentive amount possible, as determined under 
        subsection (b)(5), payments under this section and section 458 
        shall supplement, not supplant, State child support 
        expenditures under the State program under this part to the 
        extent that such expenditures were funded by the State in 
        fiscal year 1997.
            ``(2) Penalty.--Failure to satisfy the requirement of 
        paragraph (1) shall result in a proportionate reduction, 
        determined by the Secretary, of future payments to the State 
        under this section and section 458.''.
    (b) Payments During Transition Period.--Notwithstanding section 
458A of the Social Security Act (42 U.S.C. 658A), as added by 
subsection (a), the amount of an incentive payment for a State under 
such section shall not be--
            (1) in the case of fiscal year 2000, less than 80 percent 
        or greater than 120 percent of the incentive payment for the 
        State determined under section 458 of the Social Security Act 
        (42 U.S.C. 658) for fiscal year 1999 (as such section was in 
        effect for such fiscal year);
            (2) in the case of fiscal year 2001, less than 60 percent 
        or greater than 140 percent of the incentive payment for the 
        State (as so determined);
            (3) in the case of fiscal year 2002, less than 40 percent 
        or greater than 160 percent of the incentive payment for the 
        State (as so determined); and
            (4) in the case of fiscal year 2003, less than 20 percent 
        or greater than 180 percent of the incentive payment for the 
        State (as so determined).
    (c) Regulations.--Within 9 months after the date of enactment of 
this section, the Secretary of Health and Human Services shall, in 
addition to the regulations required under section 458A(e) of the 
Social Security Act, issue regulations governing the implementation of 
section 458A of the Social Security Act, when such section takes 
effect, and the implementation of subsection (b) of this section.
    (d) Studies.--
            (1) General review of new incentive payment system.--
                    (A) In general.--The Secretary of Health and Human 
                Services (in this subsection referred to as the 
                ``Secretary'') shall conduct a study of the 
                implementation of the incentive payment system 
                established by section 458A of the Social Security Act, 
in order to identify the problems and successes of the system.
                    (B) Reports to congress.--
                            (i) Report on variations in state 
                        performance attributable to demographic 
                        variables.--Not later than October 1, 2000, the 
                        Secretary shall submit to Congress a report 
                        that identifies any demographic or economic 
                        variables that account for differences in the 
                        performance levels achieved by the States with 
                        respect to the performance measures used in the 
                        system, and contains the recommendations of the 
                        Secretary for such adjustments to the system as 
                        may be necessary to ensure that the relative 
                        performance of States is measured from a 
                        baseline that takes account of any such 
                        variables.
                            (ii) Interim report.--Not later than March 
                        1, 2001, the Secretary shall submit to Congress 
                        an interim report that contains the findings of 
                        the study required by subparagraph (A).
                            (iii) Final report.--Not later than October 
                        1, 2003, the Secretary shall submit to Congress 
                        a final report that contains the final findings 
                        of the study required by subparagraph (A). The 
                        report shall include any recommendations for 
                        changes in the system that the Secretary 
                        determines would improve the operation of the 
                        child support enforcement program.
            (2) Development of medical support incentive.--
                    (A) In general.--The Secretary, in consultation 
                with State directors of programs operated under part D 
                of title IV of the Social Security Act and 
                representatives of children potentially eligible for 
                medical support, such as child advocacy organizations, 
                shall develop a new medical support performance measure 
                based on the effectiveness of States in establishing 
                and enforcing medical support obligations, and shall 
                make recommendations for the incorporation of the 
                measure, in a revenue neutral manner, into the 
                incentive payment system established by section 458A of 
                the Social Security Act.
                    (B) Report.--Not later than October 1, 1999, the 
                Secretary shall submit to the Committee on Ways and 
                Means of the House of Representatives and the Committee 
                on Finance of the Senate, a report that describes the 
                performance measure and contains the recommendations 
                required under subparagraph (A).
                    (C) Congressional disapproval required.--
                            (i) In general.--The Secretary shall, by 
                        regulation, implement the recommendations 
                        required to be included in the report submitted 
                        under subparagraph (B) unless a joint 
                        resolution is enacted, in accordance with 
                        subparagraph (D), disapproving such 
                        recommendations before the end of the 1-year 
                        period that begins on the date on which the 
                        Secretary submits such report.
                            (ii) Exclusion of certain days.--For 
                        purposes of clause (i) and subparagraph (D), 
                        the days on which either House of Congress is 
                        not in session because of an adjournment of 
                        more than 3 days to a day certain shall be 
                        excluded from the computation of the period.
                    (D) Congressional consideration.--
                            (i) Terms of the resolution.--For purposes 
                        of subparagraph (C)(i), the term ``joint 
                        resolution'' means only a joint resolution that 
                        is introduced within the 1-year period 
                        described in such subparagraph and--
                                    (I) that does not have a preamble;
                                    (II) the matter after the resolving 
                                clause of which is as follows: ``That 
                                Congress disapproves the 
                                recommendations of the Secretary of 
                                Health and Human Services regarding the 
                                implementation of a medical support 
                                performance measure submitted on 
                                ________'', the blank space being 
                                filled in with the appropriate date; 
                                and
                                    (III) the title of which is as 
                                follows: ``Joint resolution 
                                disapproving the recommendations of the 
                                Secretary of Health and Human Services 
                                regarding the implementation of a 
                                medical support performance measure.''.
                            (ii) Referral.--A resolution described in 
                        clause (i) that is introduced--
                                    (I) in the House of 
                                Representatives, shall be referred to 
                                the Committee on Ways and Means; and
                                    (II) in the Senate, shall be 
                                referred to the Committee on Finance.
                            (iii) Discharge.--If a committee to which a 
                        resolution described in clause (i) is referred 
                        has not reported such resolution by the end of 
                        the 20-day period beginning on the date on 
                        which the Secretary submits the report required 
                        under subparagraph (B), such committee shall 
                        be, at the end of such period, discharged from 
                        further consideration of such resolution, and 
                        such resolution shall be placed on the 
                        appropriate calendar of the House involved.
                            (iv) Consideration.--On or after the third 
                        day after the date on which the committee to 
                        which a resolution described in clause (i) has 
                        reported, or has been discharged from further 
                        consideration of such resolution, such 
                        resolution shall be considered in the same 
                        manner as a resolution is considered under 
                        subsections (d), (e), and (f) of section 2908 
                        of the Defense Base Closure and Realignment Act 
                        of 1990 (10 U.S.C. 2687 note).
    (e) Technical Amendments.--
            (1) In general.--Section 341 of the Personal Responsibility 
        and Work Opportunity Reconciliation Act of 1996 (42 U.S.C. 658 
        note) is amended--
                    (A) by striking subsection (a) and redesignating 
                subsections (b), (c), and (d) as subsections (a), (b), 
                and (c), respectively; and
                    (B) in subsection (c) (as so redesignated)--
                            (i) by striking paragraph (1) and inserting 
                        the following:
            ``(1) Conforming amendments to present system.--The 
        amendments made by subsection (a) of this section shall become 
        effective with respect to a State as of the date the amendments 
        made by section 103(a) (without regard to section 116(a)(2)) 
        first apply to the State.''; and
                            (ii) in paragraph (2), by striking ``(c)'' 
                        and inserting ``(b)''.
            (2) Effective date.--The amendments made by this subsection 
        shall take effect as if included in the enactment of section 
        341 of the Personal Responsibility and Work Opportunity 
        Reconciliation Act of 1996.
    (f) Elimination of Predecessor Incentive Payment System.--
            (1) Repeal.--Section 458 of the Social Security Act (42 
        U.S.C. 658) is repealed.
            (2) Conforming amendments.--
                    (A) Section 458A of the Social Security Act (42 
                U.S.C. 658a) is redesignated as section 458.
                    (B) Paragraphs (1) and (2) of section 458(f) (as so 
                redesignated) are each amended by striking ``and 
                section 458''.
                    (C) Subsections (c) and (d) of this section are 
                each amended by striking ``458A'' each place it appears 
                and inserting ``458''.
            (3) Effective date.--The amendments made by this subsection 
        shall take effect on October 1, 2003.
    (g) General Effective Date.--Except as otherwise provided in this 
section, the amendments made by this section shall take effect on 
October 1, 1999.

SEC. 3. DATA INTEGRITY.

    (a) Duty of the Secretary To Ensure Reliable Data.--Section 452(a) 
of the Social Security Act (42 U.S.C. 652(a)) is amended--
            (1) in paragraph (10), by striking ``and'' at the end;
            (2) in paragraph (11), by striking the period and inserting 
        ``; and''; and
            (3) by adding at the end the following:
            ``(12) ensure that data required for the operation of State 
        programs under this part is complete and reliable by providing 
        Federal guidance, technical assistance, and monitoring.''.
    (b) Effective date.--The amendments made by subsection (a) shall 
take effect on the date of enactment of this Act.

SEC. 4. ELIMINATION OF BARRIERS TO THE EFFECTIVE ESTABLISHMENT AND 
              ENFORCEMENT OF MEDICAL CHILD SUPPORT.

    (a) Promulgation of National Standardized Medical Support Notice.--
Section 452(a) of the Social Security Act (42 U.S.C. 652(a)), as 
amended by section 3(a), is amended--
            (1) in paragraph (11), by striking ``and'' at the end;
            (2) in paragraph (12), by striking the period and inserting 
        ``; and''; and
            (3) by adding at the end the following:
            ``(13)(A) develop jointly with the Secretary of Labor--
                    ``(i) a National Standardized Medical Support 
                Notice that satisfies the requirements of section 
                609(a)(3) of the Employee Retirement Income Security 
                Act of 1974 (29 U.S.C. 1169(a)(3)) and the requirements 
                of this part and shall be used by States to enforce 
                medical support orders; and
                    ``(ii) appropriate procedures for the transmission 
                of such Notice to employers by State agencies 
                administering the program established under this part;
            ``(B) not later than 90 days after the date of enactment of 
        this paragraph, establish with the Secretary of Labor, a 
        medical support working group, not to exceed 20 individuals, 
        that shall--
                    ``(i) identify the impediments to the effective 
                enforcement of medical support by State agencies 
                administering the program established under this part; 
                and
                    ``(ii) be composed of representatives of--
                            ``(I) the Department of Labor;
                            ``(II) the Department of Health and Human 
                        Services;
                            ``(III) State directors of programs under 
                        this part;
                            ``(IV) State directors of the medicaid 
                        program under title XIX;
                            ``(V) employers, including owners of small 
                        businesses;
                            ``(VI) plan administrators and plan 
                        sponsors of group health plans (as defined in 
                        section 607(1) of the Employee Retirement 
                        Income Security Act of 1974 (29 U.S.C. 
                        1167(1));
                            ``(VII) children potentially eligible for 
                        medical support, such as child advocacy 
                        organizations; and
                            ``(VIII) State public welfare programs;
            ``(C) require the working group established in accordance 
        with subparagraph (B) to--
                    ``(i) not later than 18 months after the date of 
                enactment of this paragraph, submit to the Secretary 
                and Congress a report containing recommendations for 
                appropriate measures to address the impediments to the 
                effective enforcement of medical support by State 
                agencies administering the program established under 
                this part identified by the working group, including--
                            ``(I) appropriate measures that establish 
                        the priority of withholding of child support 
                        obligations, medical support obligations, 
                        arrearages in such obligations, and, in the 
                        case of a medical support obligation, the 
                        employee's portion of any health care coverage 
                        premium, by the State agency administering the 
                        program established under this part in light of 
                        the restrictions on garnishment provided under 
                        title III of the Consumer Credit Protection Act 
                        (15 U.S.C. 1671-1677);
                            ``(II) appropriate procedures for 
                        coordinating the provision, enforcement, and 
                        transition of health care coverage under the 
                        State programs established under this part, 
                        title XIX, and title XXI;
                            ``(III) appropriate measures to improve the 
                        enforcement of alternate types of medical 
                        support that are aside from health coverage 
                        offered through the noncustodial parent's 
                        health plan and unrelated to the noncustodial 
                        parent's employer, including measures that 
                        establish a noncustodial parent's 
                        responsibility to share the cost of a 
                        copayment, deductible, or a payment for 
                        services not covered under a child's existing 
                        health coverage; and
                            ``(IV) appropriate measures for eliminating 
                        any other impediments to the effective 
                        enforcement of medical support orders that the 
                        working group deems necessary; and
            ``(D) issue, under the authority of the Secretary--
                    ``(i) not later than 180 days after the date of 
                enactment of this paragraph, a proposed regulation that 
                specifies that the National Standardized Medical 
                Support Notice shall be used by State agencies 
                administering the program under this part to enforce 
                medical support orders, and that includes such 
                procedures for transmission of the Notice to employers 
                that the Secretary determines are appropriate; and
                    ``(ii) not later than 1 year after the date of 
                enactment of this paragraph, a final regulation that 
                specifies that the National Standardized Medical 
                Support Notice shall be used by State agencies 
                administering the program under this part to enforce 
                medical support orders and the procedures for the 
                transmission of that Notice to employers.''.
    (b) Required Use of Notice by States.--
            (1) State procedures.--Section 466(a)(19) of the Social 
        Security Act (42 U.S.C. 466(a)(19)) is amended to read as 
        follows:
            ``(19) Health care coverage.--Procedures under which--
                    ``(A) all child support orders enforced pursuant to 
                this part include a provision for the health care 
                coverage of the child that, not later than October 1, 
                2000, is enforced, where appropriate, through the use 
                of the National Standardized Medical Support Notice 
                promulgated pursuant to section 452(a)(13);
                    ``(B) in any case in which a noncustodial parent is 
                required to provide such health care coverage and the 
                employer of such noncustodial parent is known to the 
                State agency, the State agency shall use the National 
                Standardized Medical Support Notice to transfer notice 
                of the provision for the health care coverage of the 
                child to the employer in conjunction, where 
                appropriate, with an income withholding notice within 2 
                days of the date that information regarding a newly 
                hired employee is entered in the State Directory of New 
                Hires pursuant to section 453A(e), and to any 
                subsequent employer if the parent changes employment or 
                obtains additional employment and the subsequent 
                employer of such noncustodial parent is known to the 
                State agency;
                    ``(C) not later than 7 business days after the date 
                the National Standardized Medical Support Notice is 
                issued, the Notice shall operate to enroll the child in 
                the noncustodial parent's employer's health plan, and 
                to authorize the collection of any employee 
                contributions required for such enrollment, unless the 
                noncustodial parent contests enforcement of the health 
                care coverage provision of the child support order 
                pursuant to the Notice to the State agency based on 
                mistake of fact; and
                    ``(D) the employer shall, within 21 days after the 
                date the Notice is issued, notify the State agency 
                administering the program under this part whether such 
                health care coverage is available and, if so, whether 
                the child has been enrolled in such coverage and the 
                effective date of the enrollment, and provide to the 
                custodial parent any necessary documentation to provide 
                the child with coverage.''.
            (2) Conforming amendments.--Section 452(f) of the Social 
        Security Act (42 U.S.C. 652(f)) is amended in the first 
        sentence--
                    (A) by striking ``petition for the inclusion of'' 
                and inserting ``include''; and
                    (B) by inserting ``and enforce medical support'' 
                before ``whenever''.
    (c) National Standardized Medical Support Notice Deemed a Qualified 
Medical Child Support Order.--
            (1) Amendment to erisa.--Section 609(a)(5) of the Employee 
        Retirement Income Security Act of 1974 (29 U.S.C. 1169(a)(5)) 
        is amended by adding at the end the following:
                    ``(C) National standardized medical support notice 
                deemed to be a qualified medical child support order.--
                If a group health plan administrator receives a 
                completed National Standardized Medical Support Notice 
                promulgated pursuant to section 452(a)(13) of the 
                Social Security Act (42 U.S.C. 652(a)(13)), and the 
                notice meets the requirements of paragraphs (3) and 
                (4), the notice shall, not later than 7 business days 
                after the date the National Standardized Medical 
                Support Notice is issued, be deemed to be a qualified 
                medical child support order and the plan administrator 
                shall comply with the notice.''.
            (2) Rule of construction.--The amendment made by paragraph 
        (1) shall not be construed as requiring an employer to provide 
        or expand any health benefits coverage provided by the employer 
        that the employer is not, as of the date of enactment of this 
        section, required to provide, or to modify or change the 
        eligibility rules applicable to a group health plan (as defined 
        in section 607(1) of the Employee Retirement Income Security 
        Act of 1974 (29 U.S.C. 1167(1))).
    (d) Report and Recommendations Regarding the Enforcement of 
Qualified Medical Support Orders Under ERISA.--Not later than 1 year 
after the date of enactment of this Act, the Secretary of Labor, in 
consultation with the Secretary of Health and Human Services, shall 
submit to the Committee on Labor and Human Resources and the Committee 
on Finance of the Senate, and the Committee on Education and the 
Workforce and the Committee on Ways and Means of the House of 
Representatives, a report containing recommendations for appropriate 
legislation to improve the effectiveness of, and enforcement of, 
qualified medical child support orders under the provisions of section 
609 of the Employee Retirement Income Security Act of 1974 (29 U.S.C. 
1169).
                                 <all>
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